Lao PDR: G0234-Second Northern GMS Transport Network Improvement Project
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1 Safeguards Monitoring Report Semiannual Report June 2018 Lao PDR: G0234-Second Northern GMS Transport Network Improvement Project Prepared by the Project Coordination Unit of the Ministry of Public Works and Transport (Department of Water Supply) for the Lao Peoples Democratic Republic and the Asian Development Bank. 1
2 (i) NOTE In this report, "$" refers to US dollars. This safeguards monitoring 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. In preparing any country program or strategy, financing any project, or by making any designation of or reference to a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area. 2
3 Social Monitoring Report July December 2017 LAO: SECOND NORTHERN GMS TRANSPORT NETWORK IMPROVEMENT PROJECT Asian Development Bank Grant 0234 LAO and OPEC Fund for International Development (OFID) Loan 1392P and Supplementary Loan 1650P Prepared by the Department of Roads June 2018 (Incorporated comment on dated 15 June 2018)
4 ABBREVIATIONS ADB - Asian Development Bank AP/AH - affected person/affected household COI - corridor of impact DMS - detailed measurement survey DED - detailed engineering design DOR - Department of Roads DP - displaced person (AP/AH) DRC - District Resettlement Committee EA - executing agency EDL - Electricite du Laos GMS - Greater Mekong Sub-region GRM - grievance redress mechanism Lao PDR - Lao People s Democratic Republic MPWT - Ministry of Public Works and Transport OFID - OPEC Funds for International Development OPEC - Organization of Petroleum Exporting Countries OPWT - Office of Public Works and Transport (district office) PIC - Project Implementation Consultants PMU - Project Management Unit QRN - quarterly report number ROW - right-of-way RP - resettlement plan URP - updated resettlement plan WEIGHTS AND MEASURES km - kilometer m - meter m 2 - square meter i
5 CONTENTS I. Introduction... 1 II. Background Information on the Project Road Sections... 2 A. NR6A... 3 B. NR6A+9km... 4 C. NR6B... 4 D. NR III. Objectives of the Social Monitoring Report... 5 IV. Methodology... 6 V. Scope of the Monitoring Report... 6 VI. Status of the Implementation of Land Acquisition and Resettlement... 6 A. NR6A... 6 B. NR6A+9km... 7 C. NR6B... 7 D. NR E. Other specific resettlement concerns... 8 VII. Conclusion and Recommendations... 8 LIST OF TABLES Table II-1 Project Road Sections... 3 Table II-2 Affected Villages in NR6A... 3 Table II-3 Affected Villages in NR6A+9km... 4 Table II-4 Affected Villages in NR6B... 4 Table II-5 Affected Villages in NR Table II-6 Encumbered and Unencumbered Sections of NR Table VI-1 Specific Monitoring Concerns... 8 Table VII-1 Action Plan Agreed on 7 December 2017 Meeting between PMU and ADB...10 LIST OF FIGURES Figure I-1: Project Location Map... 2 ii
6 I. Introduction 1. The Government of Lao People s Democratic Republic (Lao PDR), with assistance from the Asian Development Bank (ADB), is implementing the Second Northern GMS (Greater Mekong Sub-region) Transport Network Improvement Project under ADB Grant 0234-Lao and OPEC Fund for International Development (OFID) Loan 1392P/1650P. The Project is part of the Second Northern GMS Transport Network Improvement Project (referred hereinafter as ADB12) that aims to connect the northern provinces of Lao PDR to Vietnam. It includes upgrading of 3 national roads (NR) in Huaphanh Province, namely, NR6A in Viengxai District and in Sopbao District (61 km long), NR6B (26 km long), and NR6-1 in Viengxai District with a length of approximately 55 km. The Department of Roads (DOR)and ADB in 2017 agreed to extend the scope of NR6A by an additional 9 km, starting from Ban Samphanxay (i.e., km of NR6A) going towards Viengxai Town until it joins with NR6-1 in Ban Longkhou.The Ministry of Public Works and Transport (MPWT) is the executing agency (EA), while the DOR is the implementing agency (IA). 2. The DOR set up aproject Management Unit (PMU) each for NR6A, NR6B, and NR6-1. A manager from DOR heads each PMU with an assistant manager from the district Office of Public Works and Transport (OPWT). A task force has been formed within the PMU to overseethe preparation, updating, and implementation of the resettlement plan (RP) prepared for each road section, including monitoring RP implementation. This task force provides overall guidance and technical support to the Provincial Resettlement Committee (PRC) and the District Resettlement Committee(DRC).The PMU is assisted by 3 consultant teams; the first, the Project Management Consultant (PMC) oversaw design modification; the second, a design consultant modified the design; and the third, the Project Implementation Consultants (PIC) is engaged to supervise road upgrading contracts and construction contracts. At various project stages, these consultants have beeninvolved in the preparation, updating, and implementation of resettlement, as well as ensuring that contractors adhere to the agreed resettlement plans (RPs). 3. A provincial resettlement committee (PRC) has been established in the province with members coming from relevant departments, including DPWT Lao Women s Union, Department of Agriculture and Forestry,and Department of Finance and Investment and Planning. The role of PRC in RP updating and implementation includes(i) conducting consultation meetings;(ii) establishing compensation rates at replacement cost for affected assets; (iii) conducting, reviewing and confirming theresults of the detailed measurement survey (DMS); (v) approving final agreement with the affected households (AHs) on their compensation; (v) managing funds for compensation disbursed by the PMU through the Provincial Department of Finance;(vi) monitoring all RP activities; and (vii) acting as a grievance officer. 4. A district resettlement committee (DRC) has been established each in Viengxai District and Sopbao District to provide support to the PRC. With representatives from various sectors, the responsibilities of the DRC include(i)conducting the DMS; (ii) helping in public information and consultation;(iii) assisting in identifying alternative lands for the AHs; (iv) assisting affected villages organize labor and other support for AHs to remove and resettle their structures; (v) 1
7 assisting in the identification of special needs of vulnerable AHs and providing timely assistance, if any; and (vi) providing first point of contact in the grievance redress mechanism. 5. Funds for the implementation of the RP, including payment of compensation and cash assistance to AHs, is borne by the national government.based on the RP agreed by government and ADB, the PMU sends a request to the Ministry of Finance to disburse to its imprest account the budget to implement the RP. Subsequently, PMU will disburse to the PRC the funds for compensation and allowances, plus administration costs. The PRC, assisted by DRC, pays the AHs their compensation and allowances. The DRC, through the village officials, notifies the AHs on the date and place of payment of compensation and cash allowance. Figure I-1:Project Location Map Source: Project Design Consultants II. Background Information on the Project Road Sections 6. The goal of ADB12 is to improve NR6A, NR6B, and NR6-1 to a modified Class IV road with a minimum of 5.5m carriageway, a shoulder of 0.5m to 2m, and a design speed of 40 km/hour. ADB12 also includes pavement strengthening, shoulder restoration, embankment improvement, provision and improvement of drainage structures and bridges. The indicative 2
8 corridor of impact (COI) 1 ranges from 15 m from the road centerline in built-up and flat areas to 50 m in mountainous sections. Table II-1 Project Road Sections Road Number End Points Length (Km) NR6-1 Viengxai Nam Soi (Km 119 Km ) NR6A Hang Long-Sop Bao (Km 0 Km 60.78) NR6A+9km Ban Samphanxay- Ban Longkhou (Km 0 of NR6A Km ) 9.00 NR6B Sop Bao-Pahang (Km 0-Km Nam Ma Bridge) Total Source: Quarterly Progress Report No. 11 (pp. 11 and 19). A. NR6A 7. The updated resettlement plan for NR6A was updated and agreed in April The km NR6A traverses 25 villages. Village Existing (km) Table II-2 Affected Villages in NR6A Project (km) Village Existing (km) Project (km) Viengxai District Sam Phanxay Na Sa Vang Hay Poung Na Loung Phon Thong Na Mao KaLeum MeuangPoua Van Xiang Home Phanh Sop Bao District Na Yom HaoSaen Phon Say Vieng Hang Na Xang Na Ngoua Na Phone Souk Meuang Hang Kang Hao PhiengFeuang Sop Bao Hard San Na Farm MeuangHom Source: April 2014 URP for NR6A 8. The DMS carried out in April to August 2013 identified a total of 161 households that wouldbe affected by various forms of losses, in addition to theelectricitedu Laos (EDL) for affected poles.specifically, 132,674m 2 were to be permanently acquired consisting of 39plots of residential land (3,277m 2 ), 73 plots of paddies (127,336 m 2 ), 4 plots of garden land (1,599 m 2 ), and 7 fish ponds (463 m 2 ). Of the affected households, 98 AHs were to be physically displaced and 13 would need to relocate their shops. Other non-land assets included trees, crops and secondary structures. There were 30 vulnerable households requiring special assistance consisting of 26 poor AHs and 4 severely affected women-headed households. 1 Actual width of the right-of-way (ROW) to be cleared (i.e., construction limit) will be defined by the contractor s drawing that is usually narrower than the COI as indicated in the approved detailed engineering design. The construction limit may not exceed the prescribed COI without prior approval by the PMU. 3
9 B. NR6A+9km 9. The DMS in the 5 villages traversed by NR6A+9km was done in August-September A total of 222 households would be affected by various forms of losses, in addition to the EDL that need to relocate a number of electric poles. About 49, m 2 of landholdings inside the ROW, consisting of 247 plots used for residence (35, m 2 ); 6 plots of rice paddies (1, m 2 ); 48 plots of garden land (11, m 2 ); and 6 fish ponds (1,331 m 2 )would be recovered by the project. Also, 24 houses and 20 shops would be affected, of which 9 houses and 14 shops require relocationon the residual area of the ROW or on plots outside of the ROW. The other 15 houses and 6 shops are marginally affected and may be reorganized on the residual area of the ROW. Other structures affected includeelectric poles, porches, kitchens, rice bins, fence, and rice milling machines. A number of timber and fruit treeswould likewise be affected. Table II-3Affected Villages in NR6A+9km Village Existing Project (km) (km) Samphanxay Hanglong Nathean Buck Longkou The DMS found 1 male AH head to have physical disability, while another AH was found to belong to the Hmong ethnic minority group. There were 20 women-headed AHs identified in the DMS. C. NR6B 11. The RP for NR6B wasupdated and agreed in March 2014.The 26 km NR6B traverses 4 villages. Table II-4 Affected Villages in NR6B Village Project (km) Na Pung Pong Pa KhokNgai Pa Hang The DMS carried out in April to August 2013 identified 24 AHs, in addition to the EDL. A total of m 2 of ROW landwould be acquired permanently, consisting of 16 plots of residential land (879.25m 2 ), and 1 fishpond (40 m 2 ). Thirteen AHswould relocate homes and 1 would relocate its shop. Other affected assets included trees, crops and secondary structures. There were no vulnerable AHs identified. D. NR Project Implementation Consultants (PIC) In August-September 2016 carried out 4
10 thedms of fixed assets in 22 villages traversed by NR6-1 in Viengxai District.The DMS identified 831 AHs thatwould lose various forms assets, in addition to the EDL. Around 30,884 m 2 of landholdings in the road ROW, consisting of 97 plots of residential land (5,692 m 2 ); 152 plots of rice paddies (20, m 2 ); 41 plots of garden land (2, m 2 ); and 40 fishponds (2,085 m 2 ) would be recovered permanently. Also, 202 houses and 60 shops would be affected, of which 84 houses and 46 shops require relocationon the residual area of the ROW or on plots outside of the ROW, while the other 118 houses and 14 shops maystill be reorganized on the residual area of the ROW. Other affected assets include electric poles, porches, kitchens, rice bins, fence, water lines, irrigation canals, timber trees, and fruit trees. Village Existing (km) Table II-5Affected Villages in NR6-1 Project (km) Village Existing (km) Project (km) Long Khou R/L 2 Kang Thard Na Kai R Kang Meuang Na Vid Kang Mong XiengLouang Phoun San Na Mone PhounNeua PoungNakhao Phoun Kang Na Khao Phoun Kao Na Hia Phoun Mai Xiengmen Som Khor Xieng Na San Deuy NOTES: 1 Viengxai Town 2 To the right or left of the road section 14. Information on the locations of encumbered (i.e., with affected assets) and unencumbered (i.e., no affected assets) sections of NR6-1was extracted from the DMS. Table II-6Encumbered and Unencumbered Sections of NR6-1 Encumbered Unencumbered Encumbered Unencumbered Length Length Length Length (m) (m) (m) (m) , , , , , , , , , , , , , , , , , Total 10,199 Total 18,900 Total 9,000 Total 15,900 III. Objectives of the Social Monitoring Report 15. The agreed 2010 resettlement framework tasks the PMU to look into the following concerns in its monitoring activities: 5
11 a. Compensation and/or other entitlements are provided as per final RP, with no discrimination according to gender, ethnicity, vulnerability, or any other factor; b. Livelihood restoration measures are designed and implemented including modifications in the programs and provision of additional cash and in-kind assistance to the participating affected households as and when necessary; c. Public information, public consultation and grievance redress procedures are followed; d. Capacity of DPs (APs/AHs) to restore/re-establish livelihoods and living standards. Special attention given to severely affected and vulnerable households; e. Affected public facilities and infrastructure are restored promptly; and f. The transition between relocation or site clearing and commencement of civil works is smooth and that sites are not handed over for civil works until affected households have been satisfactorily compensated, assisted and relocated. IV. Methodology 16. Information for this report came mainly from a review of the Project Implementation Consultants reports, namely, Quarterly Report Number (QRN) 9 for the period January-March 2017, QRN 10 (April-June 2017), QRN 11 (July-September 2017), and QRN 12 (October- December 2017). Background information on the project road sections were culled from the final agreed RPs (NR6A and NR6B), and draft RPs per the August-September 2016 DMS (NR6-1) and the August-September 2017 DMS (NR6A+9km). Additional information was obtained from the PMU and Project Implementation Consultants (PIC). V. Scope of the Monitoring Report 17. This social monitoring report covers the period July to December VI. Status of the Implementation of Land Acquisition and Resettlement A. NR6A 18. The cumulative progress of construction work in NR6A was 81.99% by the end of December 2017 (QRN 12, p.5). 19. QRN 10 on page 38 reported that the total number of AHs in the approved RP was 479, while QRN 11 on page 37 said that the total number of AHs in the approved RP was 353. The agreed RP uploaded on the project website said that there were 161 AHs. On the other hand, following the demarcation of the construction limits (i.e., referred in the quarterly reports as minimized COI ), both quarterly reports said that there were 255 AHs in NR6A. 20. Payment of compensation for all structures had reportedly been completed in April Both QRN 10 (p. 36) and QRN 11 (p. 37) claimed that 738,469,916 Kip was paid to AHs for structures. Payment of transition allowance to AHs that relocated and poor AHs 2 had been 2 Transition allowance is computed at 16 kg milled rice X 5 household members (average household size in the project area) X Kip7,000 per month. Relocated AHs were entitled to 6 months allowance, while poor AHs were entitled to 1-month allowance. 6
12 completed by May 2017 (QRN 11, p. 35). QRN 11 did not provide a breakdown of how much of the reported81,760,000 Kip transition allowance (QRN 11, p. 36) was paid to relocated AHs and poor AHs in NR6A and in NR6B, however. QRN 10 (p. 39) and QRN 11 (p. 38) merely mentioned that there were 4 poor AHs in NR6A. 21. There were no outstanding grievances in NR6A as of the end of December B. NR6A+9km 22. QRN 12 (p.7) reported that the RP for this section was still being prepared and would be submitted by February C. NR6B 23. QRN 10 (April-June 2017) on page 28 reportedthat civil works for 6B had been completed. 24. QRN 10 on page 38 and QRN 11 on page 37 reported that the total number of AHs in the approved RP was 17. The agreed RP uploaded on the project website said that there were 24 AHs. Following the demarcation of the construction limits, both quarterly reports said that there were 35 AHs in NR6B, however. 25. Payment of compensation for all structures had been completed in April QRN 10 (p. 36) reported that payment of compensation for structures had amounted to 181,931,384 Kip as of the end of the quarter 2. On the other hand, QRN 11 (p. 37) said that only 160,256,730 Kip (or 88.09% of the 181,931,384 Kip) had been disbursed as of quarter 3. If QNR 11 was correct, then, payment of compensation was still not complete as of quarter 3. QRN 12 (October- December 2017) did not contain any update on compensation. 26. Payment of transition allowance to AHs that relocated and poor AHs had been completed by May 2017 (QRN 11, p. 35). QRN 11 did not provide a breakdown of how much of the reported 81,760,000 Kip transition allowance (QRN 11, p. 36) was paid to relocated AHs and poor AHs in NR6B and in NR6A, however. QRN 10 (p. 39) and QRN 11 (p. 38) merely stated that there were 2 poor AHs in NR6B. 27. There were no outstanding grievances in NR6A as of the end of December D. NR As of 31 December 2017, there was no acceptable updated RP (URP) for NR6-1 yet. The schedule of submission of the updated resettlement plan (URP) for NR6-1 was earlier targeted for July 2017 (QRN, p. 28), and reset to October 2017 (QRN 11, p. 28). In QRN 11 (p. 15), the slow progress in construction works in NR6-1 (i.e., 4% vis-à-vis planned progress) was blamed mainly on the delay in the preparation of the URP. 29. Notwithstanding the aforementioned, the contract of the civil works contractor was signed on 19 January DOR issued on 29 March 2017 the notice to start construction work in unencumbered sections. In the diagram of construction schedule for NR6-1, clearing and grubbing activities began in July 2017 (QRN 11, p. 31). By end of December 2017, the cumulative progress in construction works in NR6-1 was 11.83% (QRN 12, p. 5). 7
13 30. QRN 11 reported that grievance boxes had been installed in 22 villages traversed by NR6-1. Usual complaints by residents revolved around rerouting and/or repair of gravity water lines and irrigation canals which the civil works contractor resolved promptly. There were no outstanding grievances by the end of December E. Other specific resettlement concerns 31. Table below provides a review of specific areas of concern that PMU is mandated to monitor. Resettlement Concerns Compensation and/or other entitlements are provided as per final RP, with no discrimination according to gender, ethnicity, vulnerability, or any other factor Livelihood restoration measures are designed and implemented including modifications in the programs and provision of additional cash and inkind assistance to the participating affected households as and when necessary Public information, public consultation and grievance redress procedures are followed Capacity of DPs (APs/AHs) to restore/re-establish livelihoods and living standards. Special attention given to severely affected and vulnerable households Affected public facilities and infrastructure are restored promptly The transition between relocation or site clearing and commencement of civil works is smooth and that sites are not handed over for civil works until affected households have been satisfactorily compensated, assisted and relocated VII. Conclusion and Recommendations Table VI-1Specific Monitoring Concerns Status/Comments Compensation for structures were provided per the final agreed RPs for NR6A and NR6B. However, no compensation, in cash or in kind, was provided for recovered ROW landholdings (i.e., plots used for residence or cultivation). Also, in lieu of compensation, AHs were requested to execute deeds of voluntary donation for affected trees. Trees will be compensated for in NR6-1 and NR6A+9km. Payment of transition allowance was delayed for about a year until May Grievance boxes have been installed in all villages of NR6A, NR6B, and NG6-1.The community mobilizer checks all boxes regularly. Complaints usually revolved around damaged water lines, spoils slipping into paddies outside of the construction limits, and blocked irrigation canal. Civil works contractors havereportedly resolved all such complaints. There were no outstanding complaints as of the end of December All APs/AHs have already resettled. It is not known, though, if this was made possible by the adequacy of compensation and allowances provided by the project. No post-resettlement implementation assessment has been carried as of the end of December Yes Restoration of access for all subproject roads shall be addressed by the contractor. Encumbered sections of NR6A, NR6B and NR6-1 were not handed over to the civil works contractor until AHs were paid their compensation and have vacated the construction limits. 32. This social monitoring report has noted a number of inconsistencies in data reported in the project quarterly monitoring reports. This pattern of inconsistencies in data has also been noted 8
14 in the action plan agreed between PMU and ADB during a meeting at the Lao Resident Mission on 7 December 2017 (see Table VII-1). Said meeting was held to discuss the findings of the November 13-15, 2017 ADB Safeguard Mission (resettlement) that visited NR6A, NR6B and NR6-1. The outcome of the agreed actions will be covered in the next semiannual social monitoring report. 33. The brief yet detailed presentation of background information on each road section is intended to be used in tracking developments in project implementation that may include changes in scope of work and/or changes in the number of APs/AHs and impacted assets. 34. In conclusion, this report would like to stress the importance of ensuring consistency of information across all quarterly and semiannual reports. 9
15 Table VII-1 Action Plan Agreed on 7 December 2017 Meeting between PMU and ADB 10
16 11
17 12
18 13
19 14
20 15
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