Resettlement Plan Cao Bang Province
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TRANSPORT CONNECTION IN NORTHERN MOUNTAINOUS PROVINCES PROJECT Resettlement Plan Cao Bang Province Project Number : TA7245-VIE April 2011 (FINAL DRAFT)
PPTA 7245-VIE: Transport Connection in Northern Mountainous Provinces Project Resettlement Plan CURRENCY EQUIVALENTS (As of March 2011) Currency Unit = Dong (VND) $1.00 = VND 20,900 ABBREVIATIONS ADB = Asian Development Bank CARB = Compensation, Assistance and Resettlement Board CPC = Commune People’s Committee DARD = Department of Agriculture and Rural Development DP = Displaced Person DOF = Department of Finance DONRE = Department of Natural Resources and Environment DPC = District People’s Committee FHH = Female-headed household GOV = Government of Viet Nam HH = Household IMO = Independent Monitoring Organization IOL = Inventory of Losses LMO = Land Management Organizations LURC = Land Use Rights Certificate MARD = Ministry of Agriculture and Rural Development MOLISA = Ministry of Labour, Invalids and Social Assistance NGO = Non-government Organization PDOT = Provincial Department of Transport PPC = Provincial People’s Committee PPMU = Provincial Project Management Unit RCS = Replacement Cost Study ROW Right of Way RP = Resettlement Plan RT = Resettlement Taskforce SC = Steering Committee Cao Bang Province Page ii
PPTA 7245-VIE: Transport Connection in Northern Mountainous Provinces Project Resettlement Plan GLOSSARY Assistance Means additional support provided to DPs losing assets (particularly productive assets), incomes, employment or sources of living, to supplement payment of compensation for acquired assets, in order to achieve, at a minimum, full restoration of living standards and quality of life. Cut-off date Means the date prior to which the occupation or use of any part of the project area makes residents or occupiers or users of the same eligible to be recognized as DPs. In this Project, the cut-off date coincides with the completion of the inventory of losses survey. Detailed Means the finalization and/or validation of the results of the inventory of Measurement losses (IOL), severity of impacts, and list of DPs. The final cost of Survey (DMS) compensation, assistance and resettlement is determined following completion of the DMS. The DMS will be done by different Compensation, Assistance and Resettlement Board in the phase of RP implementation once the benchmarks of the project site demarcation are put on the ground. Displaced Person Displaced Persons in a project area could be of three types: (DP) (i) persons with land use rights to land lost in its entirely or in part; (referred to as (ii) persons who lost the land they occupy in its entirely or in part “Affected Persons” who have no land use rights to such land, but who have claims as per Government to such lands that are recognized or recognizable under law) national laws; and (iii) person who lost the land they occupy in its entirely or in part who have neither land use rights nor recognized or recognizable claims to such land. The involuntary resettlement apply to all three types of displaced persons Livelihood Means the re-establishment or improve of sources of income and livelihood restoration of relevant DPs through the RP policy and its implementation. Inventory of Losses Means the process of identification, location, measurement and valuation of (IOL) replacement cost of all fixed assets that will be recovered or adversely affected by or as a result of the project. These include, (without limitation or being an exhaustive list) lands used for residence, commerce, agriculture, ponds; dwelling units, stalls and shops, other structures, such as fences, tombs, wells; trees with commercial value, sources of income and livelihood. It also includes the assessment of the severity of the impact of land and property on the affected assets and the severity of impact to the livelihood and productive capacity of DPs. IOL is carried in the phase of RP preparation. Land recovery (also Means the processes by which all or part of land and property owned, referred to land possess, occupies or uses, are compulsorily recovered or otherwise acquisition) acquired from an individual, household, firm or private institution by the State or are acquired by agreement. Decision on land recovery will be done through two steps (i) Decision at the provincial or city for the whole project areas and subsequently (ii) Decision by the district to each individual. Resettlement or Means the physical relocation of an DP from the DP’s pre-project place of Relocation residence and/or business. Replacement Cost Means the amount calculated before displacement which is needed to replace an affected asset without deductions for taxes, and/or costs of transaction as follows: (i) Productive land (Agricultural, fishpond, garden, forest) based on market prices that reflect recent land sales of comparable land in the district and other nearby areas, and in the absence of such recent sales, based on Cao Bang Province Page iii
PPTA 7245-VIE: Transport Connection in Northern Mountainous Provinces Project Resettlement Plan productive value; (ii) Residential land based on market prices that reflect recent sales of comparable houses and residential land in the district and other nearby areas, and in the absence of such recent land sales, based on sales in other locations with similar attributes; (iii) Houses and other related structures based on current market prices of materials and labor without depreciation nor deductions for salvaged building materials; (iv) Standing crops equivalent current market value of the crop at the time of compensation; (v) Perennial crops and trees, cash compensation equivalent to current market value given the type, age and productive value (future production) at the time of compensation. (vi) Timber trees, the price that would currently be paid for the tress on the nearest market based on the diameter of each tree at breast height. Replacement Cost Means the process involved in determining the replacement cost of land, Study houses and other affected assets based on surveys by qualified appraisers or assessors. Vulnerable People Means individuals or distinct groups of people who might suffer disproportionately or face the risk of being further marginalized by the effects of land and property recovery or resettlement and specifically includes: (i) female headed households with dependents (ii) households with disabled persons, (iii) households falling under the current MOLISA benchmark poverty line, (iv) children and elderly households who are with no other means of support, (v) landless households, and (vi) non-integrated and vulnerable ethnic minorities. Cao Bang Province Page iv
PPTA 7245-VIE: Transport Connection in Northern Mountainous Provinces Project Resettlement Plan TABLE OF CONTENTS EXECUTIVE SUMMARY I A. Background 1 B. The Cao Bang Subproject Description 1 II. SCOPE OF LAND ACQUISITION AND RESETTLEMENT 2 A. Inventory of Losses (IOL) 2 B. Affected Households 2 C. Affected Land and Non-Land Assets 2 III. SOCIO-ECONOMIC INFORMATION 3 A. Socio-Economic Profile of Subproject Area 3 B. Socio-Economic Profile of Affected Households 3 IV. INFORMATION DISCLOSURE, CONSULTATION AND PARTICIPATION 4 A. Consultations 4 B. Information Disclosure 5 V. GRIEVANCE REDRESS MECHANISM 5 VI. POLICY FRAMEWORK AND ENTITLEMENTS 6 A. Legal Framework 6 B. Reconciliation of Government and ADB Policy on Resettlement 7 VII. PROJECT OBJECTIVES AND ENTITLEMENTS 9 A. Objectives 9 B. Project Entitlements 10 VIII. RESETTLEMENT BUDGET AND FINANCING PLAN 12 A. Source of Resettlement Funds 12 B. Replacement Cost Survey 12 C. Resettlement Costs 13 IX. INSTITUTIONAL ARRANGEMENTS 14 A. Cao Bang Provincial People’s Committee 14 B. Provincial Project Management Unit (PPMU) of PDOT 14 C. District Compensation and Resettlement Board 14 D. Commune Peoples Committee 15 X. IMPLEMENTATION SCHEDULE 15 XI. MONITORING AND REPORTING 16 APPENDIX 1: IOL FORM 17 APPENDIX 2: MINUTES OF COMMUNITY CONSULTATION MEETING 22 APPENDIX 3: LIST OF APS AND AFFECTED ASSETS 23 APPENDIX 4: ADB ACCOUNTABILITY MECHANISM 24 LIST OF FIGURES Figure 1:Class V Road Cross Section .............................................................................................1 Cao Bang Province Page v
PPTA 7245-VIE: Transport Connection in Northern Mountainous Provinces Project Resettlement Plan LIST OF TABLES Table 1: Detailed Road Descriptions 1 Table 2. Number of Affected Households 2 Table 3. Scope of Land Acquisition 2 Table 5 : Public Consultation Conducted Error! Bookmark not defined. Table 6 : Summary of Perceived Benefits and Adverse Effects of Road Project 4 Table 7: Gaps Between National Laws and ADB Policy 7 Table 8: Entitlement Matrix of the Project 10 Table 9: Summary of Replacement Cost Survey (VND/m2) 13 Table 10: Summary of Compensation and Allowance 13 Table 11: Resettlement Implementation Schedule 15 Cao Bang Province Page vi
PPTA 7245-VIE: Transport Connection in Northern Mountainous Provinces Project Resettlement Plan EXECUTIVE SUMMARY 1. Project. This Resettlement Plan (RP) is developed for the Transport Connection in Northern Mountainous Provinces Project. For Cao Bang Province, the Project will improve Road 202 with a total length of 30.2 km. The road will be upgraded to Class V with a carriageway of 3.5 meters (m) width and an embankment width of 6.5 m. 2. The RP was prepared based on available design during the Project Preparation Technical Assistance (PPTA) During loan implementation, following the completion of detailed design, detailed measurement survey (DMS) will be undertaken to determine the households and organizations who will be affected, actual impacts on their land and assets. Consultation meetings will be undertaken with the affected people. The Updated RP will be disclosed to the affected people, submitted to ADB for review and concurrence. Once the Updated RP has been agreed between ADB and PPC, PPC can commence implementation of the Updated RP. 3. Scope of Resettlement Impacts. The impacts are not significant. Per results of the IOL carried out in August 2010, a total of 77households (HHs) will be affected by the project in which (i) 27 HHs affected with agricultural land; (iii) 33 HHs affected with garden land and, 18 HHs affected with forest land. All households are marginally affected as loss of land is between (1 to 9 %) of their total landholdings. There is no case of relocation. 4. Socio-Economic Conditions. Affected households are mostly Dao, followed by Nung and Tay ethnic minority groups. Based on the socio-economic survey, there are 15 households who are classified as poor households while another three households are headed by women. 5. Consultation, Information Disclosure and Grievance Redress. In the preparation of this Resettlement Plan, consultation meetings were held, for each of the subproject roads. Representatives of communal leader, village leader, local NGOs and DPs, with 15 participants attended the meeting. A grievance redress mechanism has also been established. The RPs will also be disclosed in all affected communes and a PIB will be distributed to all APs. 6. Government’s Legal Framework, ADB Safeguard Policy Statement, and Project Objectives. The Project’s objectives and principles are based on the laws and regulations of the Government of Viet Nam (GOV) and the ADB’s Safeguard Policy Statement (2009). The overall objective of the policy is to ensure that all people affected by the subproject are able to maintain and, preferably, improve their pre-subproject living standards and income-earning capacity from compensation and life rehabilitation assistance for the loss of movable and immovable assets. 7. Cut-off date. The subproject cut off date was the date of completing inventory of losses, which was August 25th 2010. Hence, all cases arising after this date will not be identified as the project’s DPs. 8. Project Entitlements. The project entitlements developed and presented in the entitlement matrix correspond to the impacts identified during the IOL. Compensation will be based on the principle of replacement cost. Types of assistance will be provided to households based on the severity of impacts and their vulnerability to hardship. It should be noted that the entitlements in the RP can not be downgraded but can be enhanced, as necessary 9. Resettlement Budget. The RP Cost Estimates is VND 3,725,0000 (178,200 USD). Cost of land acquisition, payment for non-land assets, assistance, administration and contingency costs will be funded by the provincial government. 10. Institutional Arrangement. The PPC and District Compensation and Resettlement Board will be responsible in the updating, implementation and monitoring of the resettlement plan. A team of international and national consultants from the Project Coordination Consultant will provide support and guidance on all resettlement-related activities. 11. Implementation Schedule. PPC will submit the Updated RP based on detailed design to ADB for ADB review and concurrence prior to resettlement implementation. Compensation and clearance of land will not commence until the Updated RP has been agreed between the PPCs and ADB and that provisions in the agreed Updated RP has been satisfactorily implemented. Cao Bang Province Page i
PPTA 7245-VIE: Transport Connection in Northern Mountainous Provinces Project Resettlement Plan 12. PPC, through PPMU, will not issue a site possession notice to the Works contract to commence construction activities for a specific section, until the head of the district resettlement committee (or board) has officially confirmed in writing that (i) payment and assistance has been fully provided to the affected persons and rehabilitation measures are in place for that specific section as per the respective RP; (ii) already compensated displaced persons for that specific section have been cleared from the area in a timely manner; and (iii) that the specific section of the project is free from any encumbrances. Table ES-1: Indicative Implementation Schedule Main Resettlement Plan Activities Implementation Schedule Preparation of Resettlement Plan (PPTA) RP Preparation (IOL, consultation, RCS) Sep, 2009, Jul-Aug 2010 Disclosure of Draft RP to Affected People April 11 PPC submission to ADB for review and concurrence April 2011 Uploading of RP on ADB website May 2011 Updating of Resettlement Plan (Loan Implementation) Establishment of the District Compensation Board July,2012 Land clearance/boundary setting for the Project July,2012 Training for resettlement staff. July,2012 Consultation with the Affected Households July-Aug ,2012 Conduct of Replacement Cost Survey by a Qualified Appraiser July-Aug ,2012 Detailed Measurement Survey. Jul-Aug,2012 Disclosure of Updated RP to the Affected People Aug 2012 Submission of Updated RP to ADB for review and concurrence Sep, 2012 ADB issues concurrence of Updated RP Sep 2012 Award of Civil Works Contract Sep 2012 Implement Updated Resettlement Plan Compensation payments Oct-Nov 2012 Implement rehabilitation measures Oct-Nov 2012 Clearance of acquired land Dec 2012 DCARB to issue letter of confirmation that RP has been Dec 2012 satisfactorily implemented PPC, through PPMU, to issue Notice of Site Possession to civil Dec 2012 works contractor Start of Civil Works Construction Dec 2012- Onwards Monitoring (from RP updating to civl works construction) July 2011 -onwards 13. Monitoring. Resettlement activities will be monitored by PPC and CARB. The PPMU will provide guidance and advise as required. No external monitoring organization (EMO) wil be hired as the impacts are not significant. Cao Bang Province Page ii
PPTA 7245-VIE: Transport Connection in Northern Mountainous Provinces Project Resettlement Plan I. PROJECT DESCRIPTION A. Background 1. The Asian Development Bank (ADB) is funding the Technical Assistance (TA) of the Transport Connection in Northern Mountainous Provinces Project to help Viet Nam Government implement its poverty reduction and road improvement programs. The project zone includes 06 provinces in the North of Viet Nam, namely: Bac Kan, Cao Bang, Ha Giang, Tuyen Quang, Lao Cai and Yen Bai. 2. These provinces have high rate of poverty and ethnic minority population. The road network consists predominantly of unpaved, narrow roads. Many sections are impassable during the rainy season. Travel time and cost from mountainous remote areas to social infrastructure will be reduced, and the economic activities along the roads will be enhanced. B. The Cao Bang Subproject Description 3. For Cao Bang Province, the Project will improve Road 202 (Subproject 0201) with a length of 30.2 km: located in Ca Thanh, Yen Lac and Vu Nong communes of Nguyen Binh District; and Hung Dao, Huy Giap and Dinh Phung communes of Bao Lac District. The road will be upgraded to Class V with a carriageway of 3.5 meters (m) width and an embankment width of 6.5 m (see Figure 1). Figure 1:Class V Road Cross Section Table 1: Detailed Road Descriptions1 1 The initial project scope included 2 roads; however, the project scope was reduced in March 2011 to 1 road (Road 202). Road 209 has been removed. Cao Bang Province Page 1
PPTA 7245-VIE: Transport Connection in Northern Mountainous Provinces Project Resettlement Plan II. SCOPE OF LAND ACQUISITION AND RESETTLEMENT A. Inventory of Losses (IOL) 4. During design implementation, PPTA Consultants in cooperation with Cao Bang PPMU, local commune authorities carried out Inventory of Losses (IOL) for all affected land, assets, trees in the project area. The following summarizes the IOL process and related procedures: (i) Preparation of the IOL for affected assets in the project area in Sep 2009 and updated in August, 2010. (ii) Conducted community meetings with various stakeholders (medical station, local NGOs and households whose houses are located along the road sides) in order to notify them about the dates and procedures of the IOL. 5. The survey form used for the IOL is presented in Appendix 1. The Minutes of Community Consultation Meetings in Appendix 2 and the list of HHs with their affected land/assets in Appendix 3. B. Affected Households 6. Per results of the IOL, carried out in August 2010, a total of 77 households (HHs) stand to lose part ot their residential, agricultural, garden and forest land and various fixed assets with the construction of the project roads. Among the 77 affected households (AHs): (i) 72 HHs will be affected through loss of residential land; (ii) 27 HHs affected with agricultural land; (iii) 33 HHs affected with garden land and, 18 HHs affected with forest land, (See Table 2 ) 7. All AHs are partially and marginally affected and there is no case of relocation nor loss of shop or business. Table 2. Number of Affected Households 2 Number of Households Routes Res. Agri. Garden Forest. Total Road 202 48 27 33 18 77 8. The IOL data on land acquisition are preliminary. A more reliable determination of impacts will be carried out during the DMS. Detailed provision of land/asset impacts are shown below. C. Affected Land and Non-Land Assets 9. Land. Total land to be acquired is 209,122 m2. Total affected forest land is 201,272 m2, accounting for 96,2% of the total land acquisition. The proposed roads are located mainly in mountainous area dominated by forestry land. All DPs are legal land users. Forestry land belongs to both private and public owners. Private HHs are losing an average of 232 m2 of forestry land. Private HH usually own several hectares (between 3.0 to 5.0 has) of forestry land in the project area. Average agricultural landholding in the area is 500 to 600 m2 in several plots. Table 3. Scope of Land Acquisition 2 Land Area for Acquisition (m ) Routes Res. Agri. Garden Forest. Total Road 202 1,971 2,940 2,939 201,272 209,122 10. Secondary Structures. There are no houses affected by the road improvement. A few secondary structure such as breeding structures (14 m2) will be affected. For households losing residential land, a part of their concrete yard (2,998 m2) will be affected. 2 An AP might be affected various kinds of land including residential land, agricultural land and forest land, so sum up numbers of the affected household could not equal to actual APs numbers mentioned in Column Total. Cao Bang Province Page 2
PPTA 7245-VIE: Transport Connection in Northern Mountainous Provinces Project Resettlement Plan 11. Crops and Trees. Almost all 77 DPs affected through loss of land, will also lose trees/crops: 19,542 timbers, 155 fruit-trees and 2,940 m2 of paddy rice and maize field. III. SOCIO-ECONOMIC INFORMATION A. Socio-Economic Profile of Subproject Area 12. Cao Bang is a mountainous province in the northeast of Vietnam. The national poverty line is established by Ministry of Labour, Invalids and Social Assistance (MOLISA). For the period from 2006 to 2010; the rural poverty line is VND 200,000/person/month while the urban poverty line is VND 260,000/person/month. The incidence of poverty in Cao Bang province in 2008 was 39.2% (new standard). 13. Ethnic groups in the province accounts for 95% of the total population. Ethnic composition includes Tay (41.9%), Nung (32.9%), H’mong (8.3%) and Dao (4.5%). Kinh accounts for 4.6% of the total population. B. Socio-Economic Profile of Affected Households 14. The socio-economic survey (SES) was conducted among 51%3 of the total number of DPs which corresponds to 59 households (270 persons). The respondents, heads of households, stated that they all went to school and reached high school level. 15. Population and Household Size. Among the 59 surveyed HH, there are 133 are males And 137 females. The average HH size is 4.6 persons/HH. 16. Age Distribution. Regarding the age distribution of the surveyed population, there are about 36.5% (74 persons) between 21 and 60 years old; 50.8% (103) above 20 years old and 12.8% (26) are those who are 60 years old and above. 17. Ethnic Groups. Among the 59 surveyed HH, all belongs to an ethnic group, mainly Dao (48 HHs), followed by Nung (10 HHs) and Tay (1 HH). 18. Poor and Vulnerable Households. There are 10 households classified as poor households by the commune following MOLISA poverty criteria. There are no household with disabled persons, invalids, elderly people without support or war heroes (“policy” households). 19. Households headed by women. The SES found three households headed by women. 20. Income Sources. The main primary source of income of most households is agriculture with nearly 85.1%. The main crops planted are rice, maize and peanuts. Additional sources of income are livestock (cows, buffalos), poultry (chicken and ducks) and pig rearing. Business activities accounts for 13.4% of the main source of income of DPs. It is worth noting that income from women represents 47% of the total income of household. Average income of households is about 1,400,000 VND per month. 21. Houses and Basic Facilities. Most of the houses are built with permanent materials. All HHs are connected to the state power network; electricity is used mainly for lightning. Wood or gas are generally used for cooking. 22. Water and Sanitation. Piped water is not available in the Project area. All HH still use water from stream and pond. Most of the households surveyed (97%) do not have toilet. Only 2% have in- house toilet. 3 Rehabilitation of Road 202 has been reduced from 46 km to 30.2 km in March 2011. The total number of affected HH was first 116.; It has been reduced to 77. The SES was conducted among the 116 affected HH at tte time of the survey. Cao Bang Province Page 3
PPTA 7245-VIE: Transport Connection in Northern Mountainous Provinces Project Resettlement Plan IV. INFORMATION DISCLOSURE, CONSULTATION AND PARTICIPATION 23. Disclosure of information and consultations are conducted during preparation and implementation of subprojects to ensure that DPs and other stakeholders have timely information about land acquisition, compensation and resettlement, as well as opportunities to participate in and express their preferences and concerns regarding the resettlement program. from the commune, ward and/or village authorities organized meetings and consultation and disseminated information to ensure that the DPs are well informed and consulted as early as project preparation. A. Consultations 24. Consultation and information dissemination has been an integral component of the RP preparation. During the preparation of this RP, significant information dissemination and consultation with primary stakeholders has been undertaken, through IOL, village level meetings, sample household surveys, and meetings with other key stakeholders. 25. Two Resettlement Workshops, attended by representatives from the 6 PDOTs, were held in Lao Cai on October 27th 2009 and in Hanoi on December 7th 2009. The workshops consisted of the following presentation: Project’s components; ADB Requirements prior to Appraisal and Loan Negotiation; GOV’s laws and procedures on land acquisition; ADB’s Safeguard Policy Statement; Project’s Policy Framework and Entitlements; Project Impacts and Entitlements for each type of impact; Proposed Resettlement Strategies; Preparation of Resettlement Plan; Budget Costs and Tentative Implementation Schedule. The workshop also allowed the participants to share their opinion and suggestions in order to improve the preparation and implementation of the Resettlement Plan. 26. In the preparation of Resettlement Plan, the PPTA Social Safeguard Consultants, Cao Bang PPMU coordinated with the commune local authorities in subproject areas to hold consultation meetings for each of the project roads. In Road 202, a meeting at the commune level was held on 28 August 2010 and 15 representatives from the households attended the meeting. During the IOL survey, all HHs were also informed about the proposed project by the survey team. A project map has also been posted at the commune People's committee billboard, by PPMU and social consultant 27. The purpose of the meeting was to provide information to and consult with DPs and other stakeholders regarding: (i) project information; (ii) the scope and objectives of the subproject based on preliminary design; (iii) the policies, principles, entitlement and procedures for land acquisition, compensation and resettlement; (iv) implementation schedule and, (iii) preliminary estimates of land acquisition requirements and grievance redress. 28. All participants agreed with the project implementation and the proposed policy for the project. They expect that the project will be implemented soon so that local people have better opportunity in economic and social development for communes in the area. Other discussion on the subproject’s Perceived Benefits and Adverse Effects are provided in Table 6. Table 4 : Summary of Perceived Benefits and Adverse Effects of Road Project Benefits Adverse Effects 1. Improved roads will provide safer traffic condition 1. Number of traffic accidents may increase. for local people. 2. Number of social evils may increase. Improved roads 2. People will have better access to schools by will provide easier access for outsiders who may bring making roads easier to navigate specially during with them vices such as drug addiction and rainy season. Easier and safer for children to go to prostitution, trafficking of women and children and school. spread of communicable diseases. 3. Better transportation contributes in promoting 3. Disruption in daily living of people during construction product exchanges and trading activities and period like their mobility in going to school and facilitates the movement of products from source to market. markets. 4. Households who will be directly affected in terms of 4. Improved roads and transportation will help improve their houses and livelihood are concerned that they the standard of living of local people. will not be paid on time nor given assistance for 5. The people within the project area can earn repairing their houses or relocating. additional income from jobs in construction work Cao Bang Province Page 4
PPTA 7245-VIE: Transport Connection in Northern Mountainous Provinces Project Resettlement Plan Benefits Adverse Effects and for providing lodging and food to Contractors and construction workers coming from outside. 6. The people can benefit from livelihood and crop production training, awareness rising which are proposed to be conducted during the project implementation. 29. In addition, the participants also suggested that they should participate in the project implementation: (i) during the resettlement implementation, the DPs should be informed, consulted prior to compensation implementation, and they should be represented as a member in the CARB, which will participate in implementation of DMS, pricing, and payment process; (ii) during the road construction, the Contractor should mobilize local people to work as laborers in construction work, and (iii) they are willing to work in Operation and Maintenance (O&M). 30. During loan implementation, households will continuously be informed and consulted specifically on the project schedule and activities. Results of the DMS, entitlements and value of assets will also be disclosed to the DPs. Suggestions from women and other vulnerable households specific to mitigating impacts or addressing impacts will be carefully taken into account. During RP updating, separate meetings will be held with women. There will be also announcements during market days. 31. The updated Resettlement Plan (Draft and approved) will be prepared following the Detailed Design and disseminated to the affected communities and uploaded on the ADB’s website. B. Information Disclosure 32. Key information in the draft RP will be disclosed to the DPs through the distribution of public information booklets in Vietnamese language during market days prior to ADB Management Review Meeting or before ADB follow-up mission. Disclosure to the DPs will be done prior to submission of draft RP to ADB. The draft RP and the RP agreed between ADB and Government will be uploaded on the ADB website. 33. Public Information Booklet. A public information booklet has been prepared (see Annex 5). V. GRIEVANCE REDRESS MECHANISM 34. Grievances related to any aspect of the Project will be handled through negotiation aimed at achieving consensus. Complaints will pass through 3 stages before they could be elevated to a court of law as a last resort. 35. First Stage, Commune People’s Committee. An aggrieved affected household may bring his/her complaint before any member of the Commune People’s Committee, either through the Village Chief or directly to the CPC, in writing or verbally. It is incumbent upon said member of CPC or the village chief to notify the CPC about the complaint. The CPC will meet personally with the aggrieved affected household and will have 30-45 days following the lodging of the complaint to resolve it (Note: in remote and mountainous areas, the complaint should be resolved within 45-60 days. The CPC secretariat is responsible for documenting and keeping file of all complaints that it handles. 36. Upon issuance of decision of CPC, the household can make an appeal within 30 days. If the second decision has been issued and the household is still not satisfied with the decision, the household can elevate his/her complaint to the DPC. 37. Second Stage, District People’s Committee. Upon receipt of complaint from the household, the DPC will have 30-45 days (or 45-60 days if it is in remote or mountainous areas) following the lodging of the complaint to resolve the case. The DPC is responsible for documenting and keeping file of all complaints that it handles. 38. Upon issuance of decision of DPC, the household can make an appeal within 30 days. If the second decision has been issued and the household is still not satisfied with the decision, the household can elevate his/her complaint to the PPC. Cao Bang Province Page 5
PPTA 7245-VIE: Transport Connection in Northern Mountainous Provinces Project Resettlement Plan 39. Third Stage, Provincial People’s Committee. Upon receipt of complaint from the household, the PPC will have 30-45 days (or 45-60 days if it is in remote or mountainous areas) following the lodging of the complaint to resolve the case. The PPC is responsible for documenting and keeping file of all complaints that reaches the same. 40. Upon issuance of decision of PPC, the household can make an appeal within 30 days. If the second decision has been issued and the household is still not satisfied with the decision, the household can elevate his/her complaint to the court within 45 days. PPC will then deposit the compensation payment in an escrow account. 41. Final Stage, the Court of Law Arbitrates. Should the complainant file his/her case to the court and the court rule in favor of the complainant, then PMU-MT will have to increase the compensation at a level to be decided by the court. In case the court will rule in favor of PPC, then the amount deposited with the court is what the complainant will receive. 42. The DPs will be provided with support and assistance by local based organizations, in case they have limited capacity in case they have questions or complaints. 43. If efforts to resolve complaints or disputes are still unresolved and unsatisfactory following the project’s grievance redress mechanism, the households have the right to send their concerns or problems directly to ADB’s Operations Department, i.e., Transport and Communications Division, Southeast Asia Department (SERD) or through ADB Viet Nam Resident Mission. If the households are still not satisfied with the responses of SERD, they can directly contact the ADB's Office of the Special Project Facilitator (OSPF) as outlined in the "Information Guide to the Consultation Phase of the ADB Accountability Mechanism" (Appendix 4).4 VI. POLICY FRAMEWORK AND ENTITLEMENTS A. Legal Framework 44. The Resettlement Legal Framework and Entitlements for the Project have been built upon the laws of the Government of Viet Nam and the ADB Safeguard Policy Statement (2009). However, provisions and principles adopted in the Resettlement Legal Framework for the project supersede the provisions of relevant decrees currently in force in Viet Nam wherever a gap exists. The overall objective of the policy is to ensure that all people affected by the subproject are able to maintain and, preferably, improve their pre-subproject living standards and income-earning capacity from compensation and life rehabilitation assistance for the loss of movable and immovable assets. 45. The policy is based on the laws and regulations of the Government of Viet Nam (GOV) of Cao Bang Province and the ADB. The principal Vietnamese laws and regulations include: The 2003 Land Law dated 26 November 2003; Decree 181/2004/ND-CP dated 29/10/2004of the Government guiding the execution of amended land law 2003; Decree 197/2004/ND-CP date 03/12/2004 of the Government on compensation, assistance and resettlement in the event of land recovery by the State; Decree No. 188/2004/ND-CP dated November 16, 2004 of the Government on methods of determining land prices and land prices framework; Circular No. 114/2004/TT-BTC dated November 16, 2004 of Ministry of Finance guiding the implementation of Decree No. 188/2004/ND-CP of the Government; Decree No. 17/2006/ND-CP dated January 27, 2006 of the Government amending and supplementing some articles of the Decree guiding the implementation of the Land Law and Decree No. 187/2004/ND-CP on the transfer state-owned companies into joint stock companies. Decree No. 84/2007/ND-CP dated May 25, 2007 of the Government on additional regulations on the granting of land use right certificates, land acquisition, implementation 4 The information guide is also available on the ADB’s website: http://adb.org/SPF/default.asp . Cao Bang Province Page 6
PPTA 7245-VIE: Transport Connection in Northern Mountainous Provinces Project Resettlement Plan of land use rights, compensation order and procedure, resettlement when the State recovers land and settle claims about land; Decree No. 123/2007/ND-CP dated 27 July 2007 amending and supplementing some articles of Decree No. 188/2004/ND-CP dated 16 November 2004 on methods of determining land prices and frame land prices; Decree 69/2009/ND-CP dated August 13, 2009 of the Government of Vietnam regulating additional planning of land use plan, land prices, land acquisition, compensation, assistance and resettlement; Circular 14/2009/TT - BTNMT dated January 10, 2009 by MONRE regulating compensation, assistance and resettlement procedures and land acquisition, land allocation, land lease in details; Decision No. 3336/2009/QD-UBND dated December 31th, 2010 of Cao Bang Province People's Committee promulgating the compensation policy, assistance and resettlement when the State recovers land in the province of Cao Bang; Decision No. 3165/2009/QD-UBND dated 22/12/2009 of the Cao Bang PPC promulgating the table of land prices in the Cao Bang province in year 2010. Decision 776/2009/QD-UBND dated April 28, 2009 of Cao Bang PPC regulating the unit price for housing and other architectural objects when acquired in the Cao Bang province; Decision No.52/2008/QD-UBND dated January 11, 2008 by Cao Bang PPC promulgating the unit prices for crop and tree when acquired in the Cao Bang province; B. Reconciliation of Government and ADB Policy on Resettlement 46. With the promulgation of Decree 197/2004/ND/CP (3/12/2004) and Decree 69/2009/ND-CP and relevant decrees stated above, the policies and practices of the Government have become more consistent with ADB’s social safeguards policies. Nonetheless, provisions and principles adopted in this Resettlement Plan will supersede the provisions of the relevant decrees currently in force in Viet Nam wherever a gap exists, as provided for under Decree 131/2006/ND-CP (November 2006), which regulates the management and use of official development assistance. 47. It should also be noted that as per Decree 69/2009, Article 23, it states "Apart from the support prescribed in Articles 18, 19, 20, 21 and 22 of this Decree, basing themselves on the local realities, the provincial-level People’s Committee shall decide on other supporting measures to stabilize life and production of persons who have land recovered; special cases shall be submitted to the Prime Minister for decision”, therefore, if additional gaps not mentioned below are found during RP updating, the required assistance or support will be included in the Updated RP. 48. The differences between the Government’s Laws and Decrees and ADB Policy with regard to resettlement and compensation, and how to address these gaps for this Project are shown in the table below. Table 5: Gaps Between National Laws and ADB Policy Key Issues National Laws ADB Policy Project Policy Definition of Vulnerable households are Vulnerable groups those (i) female headed Vulnerable those households living below the poverty line, the households with groups below the poverty line as set landless, the elderly, dependents (ii) households by MOLISA and social policy women and children, and with disabled persons, (iii) households who receive Indigenous Peoples. households falling under special cash allowances the current MOLISA from the Government. benchmark poverty line, These households have (iv) children and elderly household members who households who are with are invalids, who have no other means of support, heroic mothers, martyrs, and (v) landless households, those who made contribution and (vi) non-integrated and to the revolution. vulnerable ethnic Cao Bang Province Page 7
PPTA 7245-VIE: Transport Connection in Northern Mountainous Provinces Project Resettlement Plan Key Issues National Laws ADB Policy Project Policy minorities; and (vii) social policy households as defined by the Government Provision of Decree 197/2004 (as Provide economically Households who lose less Assistance to amended by Decree displaced persons with than 30% of their Economically 69/2009) states that affected needed assistance. agricultural land who are Displaced households losing 30% or determined to depend Households. more of their productive land Improve the standards of heavily in agriculture for will be provided assistance. living of the displaced poor their livelihood will be and other vulnerable provided with additional However, Article 23 of groups, including women, assistance similar to those Decree 69/2009 also states to at least national losing 30% or more of their that based on actual minimum standards. land. conditions at the local area, PPC shall determine other Specific measures will be assistance methods to provided to ensure that all ensure accommodation and Focus on strategies to vulnerable groups are life stabilization. avoid further assisted to improve or at impoverishment and create least restore living It also states that new opportunities to standards to pre-project households who are directly improve status of the poor levels and in a manner that involved in agricultural and vulnerable people. is culturally sensitive and production and derive their appropriate. major income from the land that are to be acquired by the Government, PPC shall consider the assistance level on a case by case basis based on actual conditions. Decree 17, 2006 also states that In any case where any household or individual from whom land is recovered has a living standard which is classifies either as a poor household according to criteria set for poor households by MOLISA, they must be assisted to overcome the poverty. The actual amount and time of assistance will be decided by the People’s Committee of a province or city under Central control but it must not be less than 3 years and must not exceed 10 years counting from the day of completion of land recovery. Non-titled Clause 2 of Article 23, Non-titled housheolds, Poor and vulnerable non- users Decree 69/2009, the including displaced titled users will be provided Peoples’ Committees of the tenants, sharecroppers and appropriate assistance to provinces or centrally-run squatters, are not entitled help them improve their Cao Bang Province Page 8
PPTA 7245-VIE: Transport Connection in Northern Mountainous Provinces Project Resettlement Plan Key Issues National Laws ADB Policy Project Policy cities shall consider to compensation for land socio-economic status. providing such support on but are entitled to payment The type of assistance will case-by-case basis. for non-land assets and be identified during RP assistance to restore their updating as per pre-project living consultation with standards. If they are poor households. and vulnerable, appropriate assistance must be provided to help them improve their socio- economic status. Unregistered Compensate and support Promptly compensate all Assist displaced businesses only registered economically displaced persons/households who manufacturing and business persons for the loss of do not fall under registered enterprise or households income or livelihood business by providing sources at full replacement assistance in cash or in- cost, and assist through kind during transition credit facilities, training and period. employment opportunities. Houses and Decree 197/2004, Articles Structure to be Houses and other structures 18-20: Houses and compensated 100% of structures on land without structures constructed prior replacement cost, without sufficient conditions for to land use plans or the right depreciation and compensation that were of way announcements will regardless of status of the constructed prior to the be assisted at 80% of DP on the land as long as decision on land recovery replacement cost. structure was put prior to (cut-off date) will be the cut-off date compensated 80% of new construction price. Plus: cash assistance amounting to 20% of new construction price if at the time of construction there is no clear or proper announcement of land use plan or ROW. Entity that Provincial and cities people’s Qualified and experienced Qualified and experienced conducts the committee under central experts will undertake the experts will be engaged to valuation of authority will establish valuation of acquired conduct replacement cost acquired specific land prices based on assets surveys for the project assets the principles stated in which will be used as input clause 1, Article 56, Land by the District Law. Compensation Boards under the District People’s Qualified organizations may Committee for determining provide consultancy on land compensation amounts. prices (Article 57, Land Law) VII. PROJECT OBJECTIVES AND ENTITLEMENTS A. Objectives 49. The overall objectives of the resettlement policy for this RP are (i) to minimize, if not avoidable, resettlement impacts; (ii) if impacts are unavoidable, RP is prepared in a way to ensure that DPs are not worse off; rather, they should be able to at least maintain or otherwise improve their pre-project living standards and income-earning capacity. Principles adopted for this Project, irrelevant to current Cao Bang Province Page 9
PPTA 7245-VIE: Transport Connection in Northern Mountainous Provinces Project Resettlement Plan situation but might be relevant in the future in case there will be major changes in alignment designs, are presented below: a. Involuntary resettlement and impacts on land, structures and other fixed assets will be minimized where possible by exploring all alternative options. b. Compensation will be based on the principle of replacement cost at the time of compensation. c. Displaced persons without title or any recognizable legal rights to land are eligible for resettlement assistance and compensation for non-land assets at replacement cost. d. Residential land, residential house and agricultural land for replacement should be close to the previous places as much as possible and be suitable to displaced persons. e. Meaningful consultation will be carried out with the affected households and concerned groups and ensure participation from planning up to implementation. The comments and suggestions of the DPs and communities will be taken into account. f. The RP will be disclosed to DPs in a form and language(s) understandable to them prior to submission to ADB. g. Resettlement identification, planning and management will ensure that gender concerns are incorporated. h. Special measures will be incorporated in the resettlement plan to protect socially and economically vulnerable groups such as households headed by women, children, disabled, the elderly, landless and people living below the generally accepted poverty line. i. Existing cultural and religious practices will be respected and, to the maximum extent practical, preserved. j. Culturally appropriate and gender-sensitive social impact assessment and monitoring will be carried out in various stages of the project. k. Resettlement transition stage should be minimized. Restoration measures will be provided to displaced persons before the expected starting date of construction in the specific location. l. Budget for payment of compensation, resettlement and support will be prepared sufficiently and made available during project implementation. Sites for resettlement and restoration will be available as required. m. Reporting and monitoring will be defined clearly as part of the management system of resettlement. Independent assessment of the duration and results of the land recovery should be carried out. n. PPC, through PPMU, will not issue notice of possession to contractors until CARB has officially confirmed in writing that (i) payment has been fully disbursed to the displaced persons and rehabilitation measures are in place as per Updated RP agreed between PPC and ADB; (ii) already-compensated displaced persons have cleared the area in a timely manner; and (iii) the area is free from any encumbrances. No land recovery or site clearing will be done until and after the Updated RP has been agreed between PPC and ADB and the provisions in the Updated RP have been implemented satisfactorily. B. Project Entitlements 50. The project entitlements (i.e. compensation and support) developed and presented in the entitlement matrix below correspond to the impacts identified during the IOL. It should be noted that these entitlements can not be downgraded. Entitlements may be enhanced, as necessary, following the conduct of DMS and consultation with DPs. Entitlements adopted are based on government policies and decisions and ADB policies. Entitled persons are those who satisfy the cut-off-date. Table 6: Entitlement Matrix of the Project Impact/ Loss Eligible Persons Entitlements Implementation Issues and Application(*) Loss of Households or Cash compensation at DPs who lose 30% or more Productive Land persons with replacement cost which is of their agricultural land will (paddy, garden, (i) LURC; or (ii) in the equivalent to current market be provided with additional forest land) process of acquiring price and free from assistance such as Cao Bang Province Page 10
PPTA 7245-VIE: Transport Connection in Northern Mountainous Provinces Project Resettlement Plan Impact/ Loss Eligible Persons Entitlements Implementation Issues and Application(*) LURC (iii) are eligible transaction costs (e.g., transitional allowance (e.g. to acquire LURC taxes, certification, rice allowance). according to the administration costs). DPs who lose less than 30% regulations of GoV; Cash assistance equivalent of their agricultural land who and (iv) covered by to 5 times of the current are determined to depend customary rights, market price of agricultural heavily in agriculture for their such as members of land. livelihood and whose land is ethnic minority below the minimum land If agricultural land is within groups. quota in the commune will the residential area, cash assistance amounting to also be provided with 20% to 50% of current additional assistance similar market price of adjacent to those losing 30% or more residential land. of their agricultural land. Land Users who have No compensation for public no formal legal rights land and land allocated by nor recognized or GoV/ local authorities to recognizable claims institutions or individual DP, to such land. but full replacement cost for non-land assets and investment on land to land user. Loss of Households or Cash compensation at Residential Land persons with (i) replacement cost which is LURC; or (ii) in the equivalent to current market process of acquiring price and free from LURC (iii) are eligible transaction costs (e.g., to acquire LURC taxes, certification, according to the administration costs). regulations of GoV; and (iv) covered by customary rights, such as members of ethnic minority groups. Land Users who have No compensation for public no formal legal rights land and land allocated by nor recognized or GoV/ local authorities to recognizable claims institutions or individual DP, to such land. but full replacement cost for non-land assets and investment on land to land user. Loss of Houses Owners with or Cash compensation at and Secondary without acceptable replacement cost which is Structures proof of rights over equivalent to the current the land; with or market value of a newly built without building structure and with no permit. depreciation or deduction for salvageable materials. Impacts on Owners regardless of Annual crops and Crops, Trees and land tenure status aquaculture products Aquaculture equivalent to current market Products value of crops/aquaculture Cao Bang Province Page 11
PPTA 7245-VIE: Transport Connection in Northern Mountainous Provinces Project Resettlement Plan Impact/ Loss Eligible Persons Entitlements Implementation Issues and Application(*) products at the time of compensation; Timber trees based on For perennial crops trees, diameter at breast height at cash compensation at current market value. replacement cost equivalent to current market value given the type, age and productive value (future production) at the time of compensation. Impacts on Public Owners of assets Cash compensation to cover To be agreed between Facilities, the cost of restoring the PPMU and owner during RP Communal facilities or assets updating Owned Assets OR and Collective In-kind compensation (such Assets as PPMU to replace materials and/or provide labor). Temporary Households or Land. For the portion to be Impacts During persons with (i) used temporarily during Construction LURC; or (ii) in the construction: (i) rental in process of acquiring cash which will be no less LURC (iii) are eligible than the net income that to acquire LURC would have been derived according to the from the affected property regulations of GoV; during disruption; (ii) and (iv) covered by restoration of the land within customary rights, 3 months after use. such as members of For non land assets, ethnic minority payment will be based on groups. replacement cost as For Non-Land Assets, indicated above. regardless of tenure status. VIII. RESETTLEMENT BUDGET AND FINANCING PLAN A. Source of Resettlement Funds 51. All land acquisition, compensation and resettlement costs of the subproject are taken from provincial counterpart funds of Cao Bang province. B. Replacement Cost Survey 52. All compensation will be based on the principle of replacement cost. Replacement cost is the amount calculated before displacement which is needed to replace an affected asset without deduction for taxes and/or transaction costs. 53. A Replacement Cost Survey has been prepared to assess if the compensation rates issued by the Cao Bang People’s Committee corresponds to replacement costs. The survey took place in the middle of August 2010. The market rates have been determined through desk study and field survey. Information about price was mainly collected through direct interviewees with affected and non affected households, especially households Affected households were prioritized for the selection of Cao Bang Province Page 12
PPTA 7245-VIE: Transport Connection in Northern Mountainous Provinces Project Resettlement Plan sample for the survey. However, to have objective results, non affected households who have similar characteristics (similar location and assets) were also selected for the survey. 54. Households who have recently bought land and built structure on this land were also interviewed. In addition, information was also collected from various provincial departments and commune, district and other stakeholders. 55. The results of this replacement cost survey are summarized in Table 9. The market prices identified through this survey will be used in the costs estimates. Table 7: Summary of Replacement Cost Survey (VND/m2) PPC Rates Used for Market Rates No Items Compensation Cost Estimates (VND) rates (VND) (VND) A LAND 2 1 Residential Land (m ) 367,000 367,000-400,000 385,000 2 2 Agricultural Land (m ) 23,000 50,000 50,000 2 3 Forest Land (m ) 7,500 - 9,000 2 4 Garden Land (m ) 54,000 - 60,000 B STRUCTURE 2 1 House (m ) 1,050,000 1,050,000-1,500,000 1,250,000 2 2 Secondary structures (m ) 230,000 230,000-300,000 280,000 2 3 Yard (m ) 54,000 54,000-80,000 68,000 C TREE AND CROPS 1 Timber (each) 2,000 2,000-5,000 3,000 2 Fruit Tree (each) 250,000 - 250,000 2 3 Paddy (Rice) (m ) 2,000 2,000-5,000 3,000 C. Resettlement Costs 56. The RP budget is estimated at 3,725,0000 VND (178,200 USD). Table 10 summarizes the subproject resettlement costs including (i) compensation for land acquired permanently or temporarily; (ii) compensation for structures, crops and trees; (iii) allowances; and (iv) implementation and contingency costs. Budget for the RP will be financed by the Government as part of its counterpart fund. Table 8: Summary of Compensation and Allowance Road 202 Unit Price Road 202 Total No Items Quantity (VND) Amount (VND) I COMPENSATION & ASSISTANCES A LAND 2 893 483 946 2 893 483 946 2 1 Residential Land (m ) 1 971 385 000 758 720 193 758 720 193 2 Agricultural Land 4 287 2 940 50 000 146 979 795 3 Forest Land 201 272 9 000 1 811 449 346 1 811 449 346 4 Garden Land 2 939 60 000 176 334 612 176 334 612 B STRUCTURE - 143 821 461 143 821 461 2 1 House (m ) - - - 2 2 Secondary Structures (m ) 14 280 000 4 031 916 4 031 916 2 3 Yard (m ) 2 056 68 000 139 789 545 139 789 545 C TREE AND CROPS - 106 188 188 106 188 188 1 Timber (tree) 19 542 3 000 58 627 350 58 627 350 Cao Bang Province Page 13
PPTA 7245-VIE: Transport Connection in Northern Mountainous Provinces Project Resettlement Plan 2 Fruit Tree (tree) 155 250 000 38 742 050 38 742 050 2 3 Crop/ paddy rice (m ) 2 940 3 000 8 818 788 8 818 788 4 Sub-total (I) - 3 064 124 506 3 064 124 506 II ALLOWANCES - Allowance for career change (5 x 4 comp. Rate for ag. Land) 2 940 115 000 338 100 000 338 100 000 Sub-total (II) 338 100 000 338 100 000 III MANAGEMENT COST - 1 Administration (2%) 69 631 872 69 631 872 2 Contingency (5%) 174 079 680 174 079 680 Sub-total (III) 243 711 552 243 711 552 TOTAL (I+II+III) 3 725 305 147 3 725 305 147 USD 178 244 57. Once the Updated RP is acceptable to ADB, compensation payment can commence. During payment, the PPMU and local authorities will require the presence of both husband and wife to receive payment and sign payment documents. Before handing over of payments to the DPs, breakdown of compensation will be explained in detail using local language. IX. INSTITUTIONAL ARRANGEMENTS A. Cao Bang Provincial People’s Committee 58. The Cao Bang Provincial People’s Committee, is responsible for the following: a) Review and approve the RP (and its update) prepared for the Project b) Direct its relevant departments such as Departments of finance, construction, agriculture and rural development, transport and environment to help in the preparation, updating, and implementation of the RP. c) Approve the unit rates submitted by CARB to enable CARB in finalizing the compensation plans. d) Approve the compensation plan and overall RP budget which will be reviewed and submitted by the DOF e) Settle complaints and outstanding issues. B. Provincial Project Management Unit (PPMU) of PDOT 59. The responsibilities of the PPMUs under PDOTs are to: a) Participate as a member of district resettlement committee; a) Integrate construction, land acquisition and resettlement, indigenous peoples development plan and gender mainstreaming activities; b) Establish proper PDP databases for each road sections; c) Participation in the compensation payment to affected households; d) Regularly liaise with the concerned RDC and PRC regarding the list of PDPs, compensation payments and grievance resolution; and e) Submit regular progress reports to PDOT and SC on civil works, construction and RP activities. C. District Compensation and Resettlement Board 60. The responsibilities of the District Resettlement Committee are to: a) Carry out consultation and dissemination of information on the RP; b) Organize, plan and carry out land acquisition, compensation, assistance and other resettlement activities in the district as per agreed RP Cao Bang Province Page 14
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