India: Infrastructure Development Investment Program for Tourism

Transcription

1 Infrastructure Development Investment Program for Tourism (RRP IND 40648) Resettlement Framework (Updated) Project Number: P40648 Approved: July 2010 Revised: October 2010 India: Infrastructure Development Investment Program for Tourism This is an updated version of the Resettlement Framework prepared in July 2010 available on The resettlement framework 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.

2 1 I. INTRODUCTION 1. The India Infrastructure Development Investment Program for Tourism (IDIPT) envisages an environmentally and culturally sustainable and socially inclusive tourism development, in the project states of Himachal Pradesh, Punjab, Tamil Nadu and Uttarakhand. The project uses a sector loan approach through a multitranche financing facility modality likely in five tranches planned from The expected impact of the Project in the four states is sustainable and inclusive tourism development in priority State tourism sub circuits divided into marketable cluster destinations that exhibit enhanced protection and management of key natural and cultural heritage tourism sites, improved market connectivity, enhanced destination and site environment and tourist support infrastructure, and enhanced capacities for sustainable destination and site development with extensive participation by the private sector and local communities. The investment program outputs will be (i) improved basic urban infrastructure (such as water supply, sanitation, road and public transport, solid waste management, and environmental improvement) and incidental services (such as public toilets, street signage and lighting) at existing and emerging tourist destinations and gateways; (ii) improved connectivity to tourist attractions focusing on the improvement of last-mile connectivity; (iii) enhanced quality of natural and cultural tourist attractions to ensure convenience and safety for visitors; (iv) greater participation by local communities in tourism-related economic and livelihood activities; and (v) strengthened capacity of concerned sector agencies and local communities for planning, development, management, and marketing of tourist destinations and attractions, and promoting private sector participation and small businesses. 2. The Investment Program is through a multi-tranche financing facility. The Investment Program will be in various cluster of destinations in identified tourism circuits in the four states. Typical activities proposed for the cluster destinations are outlined in Table 1. Table 1: Overview of the Subproject Components S. No. Component Illustrative activities 1 Municipal Services Water supply, sanitation, solid waste management, drainage and flood 2 Tourist Support Infrastructure and Services 3 Tourist Destination Connectivity Infrastructure 4 Heritage Restoration and Conservation control, and use of renewable energy applications. Visitor information and interpretation facilities; public toilets; signage, lighting and landscaping; community markets; and CBT facilities and services at tourist attractions, destinations and gateway centres. Eligible infrastructure and services include heliports, last-mile connectivity improvements, wayside facilities, and traffic management infrastructure (circulation and parking). Conservation of historic and cultural heritage buildings and structures; Protection and improvement of habitat quality in the protected areas, including forests, wildlife sanctuaries, conservation reserves, community reserves and wetlands; and Facilitating conversion of cultural buildings for sustainable adaptive reuse. 3. The Investment Program is expected to have minimal land acquisition requirements, and minimal involuntary resettlement (IR) impacts. The subproject selection criteria specify that subprojects with significant resettlement impacts will not be financed by the Investment Program. During subproject identification in the four states, effort had been made to site subprojects within available government land (including panchayat land) at various natural and cultural heritage destinations. There are subprojects which will be sited in land owned by temple trusts. While not causing land acquisition, agreement by the temple trusts will be documented by the Government. During subproject identification, it was noted that there may be a need for

3 2 acquiring land/private assets particularly in siting part of new facilities such as helipads and parking lots. 4. Where possible, the Government is encouraged to undertake negotiated settlement to avoid expropriation and eliminated the need to remove people forcibly. The negotiated settlement will be based on meaningful consultation with affected persons. 1 A negotiated settlement will offer adequate and fair price for land and/or other assets. The Government will ensure that any negotiations with displaced persons address the risk of asymmetry of information and bargaining power of parties involved in such transactions. Where negotiated settlement is applied, this resettlement framework does not apply. However, the Government will engage an independent external party to document the negotiation and settlement processes. The Government will agree with ADB on consultation processes, policies, and laws that are applicable to such transactions, third-party validation, mechanisms for calculating the replacement costs of land and other assets affected, and record keeping requirements. These have to be agreed and undertaken prior to award of any civil works for subprojects where land is acquired through negotiated settlement. 5. The Investment Program will include interventions in protected areas and legally designated parks in all four states. These subprojects are proposed in areas identified for tourism development in the protected area's/park's management or conservation plan. The subproject selection criteria will ensure that subprojects which cause involuntary restrictions of land use or on access to these protected areas for the population in and around the subproject locations will not be financed by the Investment Program. 6. The Investment Program will minimize land acquisition and resettlement impacts by prioritizing rehabilitation and optimization work within existing facilities premises while the new construction is proposed on vacant government lands. Temporary impacts on commercial establishments around natural and cultural heritage destinations and connectivity improvements are not due to land acquisition and are addressed in the environmental planning documents. Overall resettlement impacts are to be further avoided or minimized through careful subproject siting and alignment during the detailed design and implementation stages. 7. This Resettlement Framework (RF) has been prepared to guide the preparation of resettlement plans (RPs) for additional subprojects under the Investment Program. This RF refers to the earlier RF prepared under IDIPT Tranche 1, however is modified one and reflects: borrower s new land acquisition laws/regulations. 8. This RF outlines the objectives, policy principles and procedures for any land acquisition, if any; compensation, and other assistance measures for Displaced Persons (DPs) 2 /Affected Persons (APs), if any. A detailed description of each compensation measure and assistance is provided in the entitlement matrix (EM). 9. This RF will apply to all subprojects under IDIPT and will be reviewed and updated to ensure relevance and consistency with applicable country legal frameworks and ADB's Safeguard Policy Statement, 2009 (SPS), as amended from time to time. 1 Including those without legal title to assets. 2 In the context of involuntary resettlement, displaced persons are those who are physically displaced (relocation, loss of residential land, or loss of shelter) and/or economically displaced (loss of land, assets, access to assets, income sources, or means of livelihoods) as a result of (i) involuntary acquisition of land, or (ii) involuntary restrictions on land use or on access to legally designated parks and protected areas. It covers them whether such losses and involuntary restrictions are full or partial, permanent or temporary

4 3 II. OBJECTIVES, POLICY FRAMEWORK AND ENTITLEMENTS A. Objectives 10. This RF reflects the national and state land acquisition and involuntary resettlement laws, policies, and regulations as well as Asian Development Bank's (ADB) Safeguards Policy Statement (SPS, 2009). The RF (i) explains the general anticipated land acquisition and resettlement impacts of subproject to be financed under the Investment Program; (ii) specifies requirements to be followed for subproject screening, categorization, assessment, and resettlement planning, including arrangements for stakeholders consultation and information disclosure; (iii) outlines objectives, policy principles, and procedures for any land acquisition, compensation and other assistance measures for any affected persons (APs), (iv) assesses adequacy of executing agency (EA) capacity to implement national and state laws, policies, and regulations and ADB SPS and identify needs for capacity building; (v) outlines social impact assessment and census methodologies, (vi) specifies implementation procedures, including budget, institutional, capacity development, and monitoring and reporting requirements; and (vii) describes responsibilities of the EA and ADB in relation to the preparation, implementation, and progress review of IR safeguard documents of subprojects. B. Policy and Legal Framework 11. The resettlement principles adopted in this RF are based on: (i) the recently passed Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act (RFCT in LARR), 2013; 3 (ii) National Rehabilitation and Resettlement Policy, (NRRP) 2007; (iv) relevant state laws; and (iii) ADB SPS, The salient features of Government and ADB polices are summarized below. 1. Government Policy 12. Land Acquisition, Rehabilitation and Resettlement Act (LARRA), This new act repeals the Land Acquisition Act, 1984 and is applicable to all states in India (except the state of Jammu and Kashmir). It is the first national/central law that addresses land acquisition and rehabilitation and resettlement collectively. Thru LARRA 2013, Government of India aims to provide a humane, participative, informed and transparent process for permanent/temporary land acquisition in the public interest. LARRA, 2013 lays down procedures for estimating fair compensation of the affected families (and not just the titleholders) due to land acquisition, rehabilitation and resettlement. It prohibits acquisition of multi-cropped irrigated land as a special provision to safeguard food security, unless in exceptional circumstances as a demonstrable last resort. 4 Step wise salient features of LARRA, 2013 are furnished below. (i) Preliminary Investigations/Preparation of Social Impact Asseement (SIA)/Social Impact Management Plan (SIMP). It is mandatory under LARRA, 2013 to conduct time bound SIA and prepare SIMP. 5 No land acquisition shall be 3 Ministry of Law and Justice. The Act has received the assent of the President on the 26 September Wherever such land is acquired, an equivalent area of cultivable wasteland shall be developed for agricultural purposes or an amount equivalent to the value of land acquired shall be deposited with the appropriate Government for investment in agriculture for enhancing food-security. This condition has been included in the entitlement matrix. These provisions however do not apply in case of projects that are linear in nature such as railways, highways, other roads, canals, power lines etc. 5 SIA shall confirm: (i) the proposed acquisition is for the public purpose and extent of land proposed is the absolute bare minimum extent needed for the project; (ii) number of affected families, displaced families;

5 4 initiated unless SIA/SIMP is approved by the Expert Group. SIA shall also be conducted in a participatory manner and with all necessary public hearings, dissemination etc. duly followed. (ii) Preliminary Notification, Objections and Hearing. Under LARRA, 2013, preliminary notification 6 shall be issued only after the approval of SIA and within 12 months from the date of SIA approval; if not complied a fresh SIA/SIMP shall be prepared. Preliminary notification shall allow appropriate government to undertake various surveys and update records, which needs to be compulsorily completed within 2 months. Within this period (60 days), all affected landowners/families shall be given right to raise objections in writing to the District Collector (DC) and shall get a chance to be heard in person. (iii) Preparation of Rehabilitation and Resettlement Scheme (RRS) and its Declaration. Following preliminary notification, the administrator appointed for rehabilitation and resettlement shall conduct a survey, census of the affected families and prepare a draft RRS. 7 The administrator first submits RSS to the DC and DC then to the Commissioner for Rehabilitation and Resettlement, who approves the RSS. The RSS summary and Declaration shall be compulsorily made within the 12 months after the issue of preliminary notification. If not complied, such notification shall be considered rescinded unless land acquisition was held up on account of any stay or injunction by the order of Court. The DC shall publish a summary of RSS along with the Declaration. 8 Declaration shall be published only after the party/entity acquiring the land (requiring body) deposits the amount to cover the cost of land acquisition. 9 (iv) Public Notice and Award. Following Declaration and after the requiring body deposits amount towards the cost of land acquisition; the DC shall issue a public notice and hear objections (if any) within 6 months from the date of its issue. The DC shall make an award within a period of 12 months from the date of publication of the Declaration and if award is not made within that period, the entire proceedings of the acquisition of the land shall lapse. 13. A few of key features that are revised from the old Act while estimating various losses include: (i) multiplying market value of a land by factor up to two, depending upon its distance from the urban area, to match it with the prevailing market values; (ii) providing 100% solatium on total compensation amount (instead of 30%); (iii) compensation for damage incurred during surveys/investigations etc.; (iv) compensation of expenses/or any change if affected landowner is compelled to change his place of residence or business due to proposed land acquisition; (v) details of extent of loss and other associated social impacts; and (iii) costing for addressing estimated losses and social impacts. The SIMP shall form a part of SIA and include each component wise ameliorative measures to address land acquisition and social impacts. SIA/SIMP shall be evaluated by independent multi - disciplinary Expert Group who reserves the right to approve it. 6 The preliminary notification shall include: (i) statement on project/ public purpose; (ii) reasons necessitating the land acquisition; (iii) summary of SIA; and (iv) particulars of the Administrator appointed for the purpose of rehabilitation and resettlement. 7 Draft RSS shall include: (i) particulars of land and immovable property to be acquired of each affected family; (ii) livelihood losses of landowners as well as dependent landless families; (iii) list of government/public buildings and details of utilities and/or infrastructure facilities where resettlement of affected families is involved; (iv) details of common property resources being acquired; and (v) particulars of the rehabilitation and resettlement entitlements of each affected landowner and landless family and list/details of government buildings, utilities, infrastructure facilities to be provided in the area. The Administrator shall also set implementation timeline in draft RSS. 8 Summary RSS shall not be published unless it is published along with Declaration. DC to publish under the hand and seal of Government Secretary or any other duly authorized official. 9 In full or part, as prescribed by the appropriate Government.

6 5 compensation for loss of profits (if any) from the date of declaration; (vi) compensation for livelihood losses of families (other than landowner) who are dependent on the land for minimum three years prior to the acquisition; and (vii) increased allowance/assistance for livelihood losses, travel, additional assistance for vulnerable families, artisans etc It is also mandatory under LARRA, 2013 to make the payment for land acquisition within 3 months and payment for resettlement and rehabilitation within 6 months from the date of the award. The DC shall take possession of the land only after such payment. It is also necessary (at state level) to (i) appoint an officer as Commissioner or Secretary for Rehabilitation and Resettlement of that government; and (ii) establish a Land Acquisition, Rehabilitation and Resettlement Authority within the state for the purpose of speedy disposal of disputes relating to land acquisition, compensation, and resettlement and rehabilitation. The decisions made by Authority on disputes can only be challenged in high court/supreme court. 15. National Rehabilitation and Resettlement Policy (NRRP), It provides broad guidelines and executive instructions and will be applicable to all government projects. The provisions of the NRRP, 2007 provide for the basic minimum requirements, and all projects leading to involuntary displacement of people must address the rehabilitation and resettlement issues comprehensively. The state governments, public sector undertakings or agencies, and other requiring bodies are at liberty to put in place greater benefit levels than those prescribed under NRRP, The principles of NRRP may also apply to the rehabilitation and resettlement of persons involuntarily displaced permanently due to any other reason. The objectives of the NRRP are as follows: (i) to minimize displacement and to promote, as far as possible, non-displacing or least-displacing alternatives; (ii) to ensure adequate rehabilitation package and expeditious implementation of the rehabilitation process with the active participation of the affected families; (iii) to ensure that special care is taken for protecting the rights of the weaker sections of society, especially members of the Scheduled Castes and Scheduled Tribes, and to create obligations on the State for their treatment with concern and sensitivity; (iv) to provide a better standard of living, making concerted efforts for providing sustainable income to the affected families; (v) to integrate rehabilitation concerns into the development planning and implementation process; and (vi) where displacement is on account of land acquisition, to facilitate harmonious relationship between the requiring body and affected families through mutual cooperation. 2. State Laws 16. The land acquisition process in the four states is guided by the provisions of the LARRA, In addition, there are specific legislations, at the state level which have relevance to the Investment Program. These legislations have specific objectives towards (i) management of common lands, and (ii) conversion of agricultural lands for non-agricultural purposes, etc, and are discussed in Appendix 1. The relevant state laws are: (i) Himachal Pradesh (a) Himachal Pradesh Tenancy and Land Reforms Act, These are reflected in Entitlement Matrix.

7 6 (b) Himachal Pradesh Ceiling on Land Holdings Act, 1972 (c) Himachal Pradesh Village Common Lands Vesting and Utilization Act, 1974 (d) Himachal Pradesh Holdings (Consolidation and Prevention of Fragmentation Act), 1971 (ii) (iii) Punjab (a) Punjab Tenancy Act, 1887 (b) Punjab Village Common Lands (Regulation) Act, 1961 (c) Punjab Land Revenue Act, 1967 (d) Punjab Public Premises and Land (Eviction and Rent Recovery) Act, 1973 Tamil Nadu (a) Tamil Nadu Highways Act, 2000 (b) Resettlement Policy adopted by the Government of Tamil Nadu (Government Order Ms. No. 193 dated and subsequent amendments) 3. ADB Safeguards Policy Statement (SPS), The objectives of ADB SPS, 2009 with regard to IR are: (i) to avoid involuntary resettlement wherever possible; (ii) to minimize involuntary resettlement by exploring project and design alternatives; (iii) to enhance, or at least restore, the livelihoods of all displaced persons in real terms relative to pre-project levels; and (iv) to improve the standards of living of the displaced poor and other vulnerable groups. 18. ADB SPS, 2009 covers physical displacement (relocation, loss of residential land, or loss of shelter) and economic displacement (loss of land, assets, access to assets, income sources, or means of livelihoods) as a result of (i) involuntary acquisition of land, or (ii) involuntary restrictions on land use or on access to legally designated parks and protected areas. It covers them whether such losses and involuntary restrictions are full or partial, permanent or temporary. 19. For any ADB operation requiring involuntary resettlement, resettlement planning is an integral part of project design, to be dealt with from the earliest stages of the project cycle, taking into account the following basic principles: (i) (ii) Screen the project early on to identify past, present, and future involuntary resettlement impacts and risks. Determine the scope of resettlement planning through a survey and/or census of displaced persons, including a gender analysis, specifically related to resettlement impacts and risks. Carry out meaningful consultations with affected persons, host communities, and concerned nongovernment organizations. Inform all displaced persons of their entitlements and resettlement options. Ensure their participation in planning, implementation, and monitoring and evaluation of resettlement programs. Pay particular attention to the needs of vulnerable groups, especially those below the poverty line, the landless, the elderly, women and children, and Indigenous Peoples, and those without legal title to land, and ensure their participation in consultations. Establish a grievance redress mechanism to receive and facilitate resolution of the affected persons concerns. Support the social and cultural

8 7 (iii) (iv) (v) (vi) (vii) (viii) (ix) (x) (xi) (xii) institutions of displaced persons and their host population. Where involuntary resettlement impacts and risks are highly complex and sensitive, compensation and resettlement decisions should be preceded by a social preparation phase. Improve, or at least restore, the livelihoods of all displaced persons through (i) land-based resettlement strategies when affected livelihoods are land based where possible or cash compensation at replacement value for land when the loss of land does not undermine livelihoods, (ii) prompt replacement of assets with access to assets of equal or higher value, (iii) prompt compensation at full replacement cost for assets that cannot be restored, and (iv) additional revenues and services through benefit sharing schemes where possible. Provide physically and economically displaced persons with needed assistance, including the following: (i) if there is relocation, secured tenure to relocation land, better housing at resettlement sites with comparable access to employment and production opportunities, integration of resettled persons economically and socially into their host communities, and extension of project benefits to host communities; (ii) transitional support and development assistance, such as land development, credit facilities, training, or employment opportunities; and (iii) civic infrastructure and community services, as required. Improve the standards of living of the displaced poor and other vulnerable groups, including women, to at least national minimum standards. In rural areas provide them with legal and affordable access to land and resources, and in urban areas provide them with appropriate income sources and legal and affordable access to adequate housing. Develop procedures in a transparent, consistent, and equitable manner if land acquisition is through negotiated settlement to ensure that those people who enter into negotiated settlements will maintain the same or better income and livelihood status. Ensure that displaced persons without titles to land or any recognizable legal rights to land are eligible for resettlement assistance and compensation for loss of non-land assets. Prepare a RP elaborating on displaced persons entitlements, the income and livelihood restoration strategy, institutional arrangements, monitoring and reporting framework, budget, and time-bound implementation schedule. Disclose a draft RP, including documentation of the consultation process in a timely manner, before project appraisal, in an accessible place and a form and language(s) understandable to affected persons and other stakeholders. Disclose the final RP and its updates to affected persons and other stakeholders. Conceive and execute involuntary resettlement as part of a development project or program. Include the full costs of resettlement in the presentation of project s costs and benefits. For a project with significant involuntary resettlement impacts, consider implementing the involuntary resettlement component of the project as a stand-alone operation. Pay compensation and provide other resettlement entitlements before physical or economic displacement. Implement the RP under close supervision throughout project implementation. Monitor and assess resettlement outcomes, their impacts on the standards of living of displaced persons, and whether the objectives of the RP have been achieved by taking into account the baseline conditions and the results of resettlement monitoring. Disclose monitoring reports. 4. Comparison of the Borrower's Policy with the ADB SPS

9 8 20. LARRA, 2013 has come into effect from January 1, This Act and NRRP, 2007 decrease significantly the gaps between the Government s previous Land Acquisition Act (principal act) and ADB SPS, In particular, LARRA, 2013 requires SIA for projects involving land acquisition, although it has set minimum threshold of affected people for this provision to apply, while the ADB does not so require. The Act also expands compensation coverage of the principal act by requiring that the value of trees, plants, or standing crops damaged must also be included and solatium being 100% of the all amounts inclusive. The Act furthermore has match ADB requirements for all compensation to be paid prior to project taking possession of any land. 21. Therefore, LARRA, 2013 has established near equivalence of the government s policies with those of ADB SPS, Adoption of the below principles for the project has ensured that both are covered in their application to this project. Appendix 2 provides a gap analysis. C. Resettlement Framework Principles and Entitlements 22. Following Government laws, policies, and regulations relevant to IR; state laws, policies, and regulations of the four states, and ADB SPS, entitlements for various impact categories are detailed in this section. Subprojects of the Investment Program may result in impacts which will require mitigation measures. These are (i) loss of assets, including land and houses; (ii) loss of livelihood or income opportunities; and (iii) collective impacts on groups, such as loss of common property resources and loss of access or limited access to such resources. 23. Resettlement impacts in subproject locations (such as existing tourist sites, religious places, connectivity improvements sites, etc.) will be limited to the area required for the subproject and its safety zones referred to as the direct impact zone. Only structures and other encumbrances within this zone will be removed for the subprojects. Efforts will be made during the preparation of the detailed design to minimize acquisition of land and other assets and to reduce negative socio-economic impacts. The structures and assets falling outside the direct impact zone will be left undisturbed. Unforeseen impacts to the structures or assets outside the direct impact zone as a result of subprojects, will also be compensated in accordance with the principles of this RF. 24. The core involuntary resettlement principles for IDIPT to be followed for each subproject are: (i) land acquisition, and other involuntary resettlement impacts will be avoided or minimized exploring all viable alternative sub-project designs; (ii) where unavoidable, time-bound RPs will be prepared and affected persons will be assisted in improving or at least regaining their preprogram standard of living; (iii) full information and close consultations with affected persons including consultation on compensation, disclosure of resettlement information to affected persons, and participation of affected persons in planning and implementing subprojects will be ensured; (iv) vulnerable groups will be provided special assistance; 11 (v) payment of compensation at replacement rates to affected persons including non-titled persons (e.g., informal dwellers/squatters, and encroachers) for acquired assets; (vi) payment of compensation and resettlement assistance prior to the contractor taking physical acquisition of the land and prior to the commencement of any construction activities; (vii) provision of income restoration and rehabilitation; and (viii) establishment of appropriate grievance redress 11 Including poor households, households headed by women, the elderly, the physically handicapped, and scheduled tribes.

10 9 mechanisms. These policy principles - does not apply to the negotiated settlements unless expropriation would result upon the failures of negotiation. 25. Negotiated settlement. Negotiated settlement helps avoid expropriation and eliminate the need to use governmental authority to remove people forcibly. However, in this mechanism the Investment Program needs to ensure that alternative options are available in the event that the land owner/s refuse to sell the land or the negotiation fails to reach an agreement. This RF encourages acquisition of land and other assets through a negotiated settlement wherever possible, based on meaningful consultations with the affected people including non-title holders. In negotiated settlement both the parties (each affected person/family including non-titled) agrees on fair price for all losses incurred and is like a direct purchase by the government from private party. In such settlement, government will however has to ensure that any negotiations with affected persons openly address the risks of asymmetry of information and bargaining power of the parties involved in such transactions. For this purpose, the government/pmu will engage an independent external party to document the negotiation and settlement processes. The government will also agree with ADB on consultation processes, policies, and laws that are applicable to such transactions; third-party validation; mechanisms for calculating the replacement costs of land and other assets affected; and record-keeping requirements. PMU/PIU will document and keep record of all processes undertaken in the negotiated settlement. If an expropriation would result upon the failures of negotiation, all safeguard requirements as per ADB SPS, 2009 will be applied and RP will have to be prepared in line with this RF. The land transfer (with new titles) should be completed prior to project completion. The cost for registering new land titles should be agreed between both parties. 26. Land Donation. 12 If land requirement of a subproject will use a land that is voluntarily donated by an affected person, an independent external party will have to be engaged to ensure and validate these requirements: (i) the donation will not cause significant impacts 13 on the livelihood of the donor/s and the donor s is fully understood on the value of their donated land/s; (ii) the donation does not come from the land owner categorized as poor or vulnerable household; (iii) the donation will not cause any economical or physical displacement (legal or illegal); (iv) the land donor/s will get direct benefits from the proposed project activities; (v) meaningful consultations are conducted with the land owner/s; and (vi) the land donation/s does not come from coercion or asymmetrical power relation between the land owner/s and the government. The above information has to be included in a due diligence report to be prepared by the external party for ADB review and approval. The Investment Program shall bear the cost for changing the land ownership titles 14 and land registration, and land transfer (with new titles) shall be completed prior to project completion. 27. Any person displaced due to subprojects will fall into either of the following three groups: (i) those who have formal legal rights to land that is lost in its entirety or in part; (ii) those who lost land in its entirety or in part who do not have formal legal rights to land, but have a claim to such land or assets that are recognized or recognizable under national laws; and (iii) those who lost the land they occupy in its entirety or part who have neither formal legal rights nor recognized or recognizable claims to such land. 12 This donation also refers to other assets attached to the land (i.e. trees, structures etc.) 13 Impact will be considered significant if the donor will lose 10% or more of his/her productive assets/income generating (ADB OMF1/OP, 2013). 14 For both donor s and government s lands.

11 The executing agency will provide adequate and appropriate replacement land and structures or cash compensation at replacement cost for lost land and structures, adequate compensation for partially damaged structures, and relocation assistance to displaced persons in para 27 (i) and (ii) prior to displacement. For persons described in para 27 (iii), the executing agency will compensate them for the loss of assets other than land (such as dwellings) and other improvements to the land at full replacement cost prior to displacement. Entitlements of persons under para 27 (iii) are given only if they occupied the land or structures in the subproject area prior to the cut off 15 date for eligibility for resettlement assistance. Unforeseen impacts will be mitigated in accordance with the principles of this RF. 29. A detailed description of each compensation measure and assistance is provided in the entitlement matrix (Table 3). affected persons will be entitled to a combination of compensation measures and resettlement assistance, depending on the nature of ownership rights of lost assets and scope of the impact, including social and economic vulnerability of affected personss. The entitlement matrix for the Investment Program is an exhaustive list of entitlements based on the resettlement framework principles. D. Subproject Screening Criteria and Checklists 30. The Project Management Unit (PMU) of each state will be responsible for resettlement planning and implementation. For the preparation of new RPs or any other safeguard reporting (due diligence, corrective action plan etc.) following checklist can be used to identify land acquisition and resettlement impacts. (i) Where the proposed subproject is located? What is the ownership status of land? Is the land identified is adequate to accommodate proposed facilities? If not, whether it requires additional government/private land acquisition? Whether this land acquisition is permanent/temporary? (ii) If involves a private land acquisition, then what is the number and profile of affected people? What are the extent of losses and other socio-economic impacts? Does proposed land acquisition involves permanent displacement of people? (iii) What are the impacts of permanent/temporary land acquisition on public utilities, common property resources, encroachers/squatters and other non-titled users of the land? (iv) Are there any impacts on indigenous or ethnic communities? 31. With reference to the above inventory, the Design, and Supervision Consultant s (DSC) Social Development Specialist will prepare ADB s Involuntary Resettlement Checklist (Appendix 3) for each proposed subproject. PMU will submit completed checklists to ADB for review. The above inventory shall also help to screen the subprojects into following categories. The level of detail and comprehensiveness of the RP will be commensurate with the significance of the potential impacts and risks. (i) Category A A proposed project is classified as category A if it is likely to have significant involuntary resettlement impacts19. A RP, including an assessment of social impacts, is required. 15 Cut-off date. The census will be the cut-off date for non-titled affected persons. For titled affected persons, the cut-off is the date of Declaration.

12 11 (ii) Category B A proposed project is classified as category B if it includes involuntary resettlement impacts that are not deemed significant. A RP, including assessment of social impacts, is required. (iii) Category C A proposed project is classified as category C if it has no involuntary resettlement impacts. No further action is required.

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14 1 Table 3: Entitlement Matrix Type of Loss Application Definition of Entitled Person Compensation Policy Implementation Issues Land 1 - a. Loss of private land Agricultural land 16, homestead land or vacant plot Legal titleholders Family with traditional titleholders 17 Compensation at replacement cost or land-for-land where feasible. 18 If land-forland is offered, titles will be in the name of original landowners. One time Resettlement allowance 19 of Rs. 50,000 per affected family 20 All displaced families 21 will receive monthly subsistence allowance of Rs. 3, for one year (total Rs. 36,000) from the date of award or transitional allowance based on three months Compensation accounts for all taxes and fees, and does not account for any depreciation. Vulnerable households will be identified during the census. Re-titling to be completed prior to project completion Responsibl e Agency The Valuation Committee will determine replaceme nt value as per the procedure s outlined in the subsequen t sections of this document. PIU will ensure provision of notice. PIU will verify the extent of 16 LARRA, 2013 says no irrigated multi cropped land shall be acquired under this Act, except in exceptional circumstances, as a demonstrable last resort. Wherever such land is acquired, an equivalent area of culturable wasteland shall be developed for agricultural purposes or an amount equivalent to the value of land acquired shall be deposited with the appropriate Government for investment in agriculture for enhancing food-security. Such costing shall also reflect while preparing resettlement budget. 17 Traditional land rights refer to households with customary rights to land, and shall be treated equivalent to titleholders 18 Including option for compensation for non-viable residual portions. 19 LARRA, 2013 specifies that each affected family shall be given one time Resettlement Allowance of Rs. 50,000 only. This is to cover transport and shifting. 20 Family includes a person, his or her spouse, minor children, minor brothers and minor sisters dependent on him. Widows, divorcees and women deserted bv families shall be considered separate family. An adult of either gender with or without spouse or children or dependents shall be considered as a separate family as defined under LARRA, "Displaced family" as defined by the LARRA, 2013, means any family, who on account of acquisition of land has to be relocated and resettled from the affected area to the resettlement area. According to ADB SPS, 2009, displaced persons are those who are physically displaced (relocation, loss of residential land, or loss of shelter) and/or economically displaced (loss of land, assets, access to assets, income sources, or means of livelihoods) as a result of (i) involuntary acquisition of land, or (ii) involuntary restrictions on land use or on access to legally designated parks and protected areas. Thus, under this RF, the subsistence allowance is applicable for all affected families losing land irrespective of their nature of physical or economic displacement. 22 LARRA, 2013 provides for monthly subsistence allowance equivalent to three thousand rupees per month for a period of one year from the date of award.

15 2 1 - b. Type of Loss Application Definition of Entitled Person Compensation Policy Implementation Issues Loss of private land Agricultural land, homestead land or vacant plot Tenants and leaseholders (whether having written tenancy/lease documents or not / Sharecroppers minimum wage rates, whichever is higher. Shifting assistance for households. Notice to harvest standing seasonal crops. If notice cannot be given, compensation for share of crops will be provided. Additional compensation for vulnerable households Compensation for rental deposit or unexpired lease (such amount will be deducted from the compensation of land owners). All displaced families will receive monthly subsistence allowance of Rs. 3,000 for one year (total Rs. 36,000) from the date of award or compensation equivalent to up to 3 months of rental, whichever is higher. (For agricultural lands) 60 days notice to harvest standing seasonal crops. If notice cannot be given, compensation for share of crops will Land owners will reimburse tenants and leaseholders land rental deposit or unexpired lease Vulnerable households will be identified during the census. Responsibl e Agency impacts through a 100% survey of APs, determine assistance, and identify vulnerable household s. PIU will confirm land rental and ensure tenants and leaseholde rs receive reimburse ment for land rental deposit or unexpired lease, and report to PIU. PIU will ensure provision of notice.

16 3 2 - a. 2 - b. Type of Loss Application Definition of Entitled Person Compensation Policy Implementation Issues Loss of Government land Loss of Government land Vacant plot, Agricultural land, homestead land Vacant plot, Agricultural land, homestead land, RoW of road be provided. Additional compensation for vulnerable households Leaseholders Compensation for rental deposit or unexpired lease (such amount will be deducted from the compensation of the lessee). All displaced families will receive monthly Subsistence allowance of Rs. 3,000 for one year (total Rs. 36,000) from the date of award, Additional assistance to vulnerable households Squatters 23, Encroachers days advance notice to shift from occupied land. Notice to harvest standing seasonal crops and compensation. All displaced families will receive monthly subsistence allowance of Rs. 3,000 for one year (total Rs. 36,000) from the date of award, Vulnerable households will be identified during the census. Vulnerable households will be identified during the census. Responsibl e Agency PIU will ensure provision of notice and identify vulnerable household s. PIU will ensure provision of notice. PIU will identify vulnerable household s. 23 Squatters are those who have no recognizable rights on the land that they are occupying. 24 Encroachers are those who build a structure which is in whole or is part of an adjacent property to which he/she has no title. They are not vulnerable.

17 4 Type of Loss Application Definition of Entitled Person Compensation Policy Implementation Issues Residential/Commercial Structures 3 - a. Loss of residential/ commercial structure Residential/ commercial structure and other assets 25 Legal titleholders Family with traditional land right Additional assistance to vulnerable households Cash compensation equivalent to replacement value 26 of structure (or part of structure). Option to be compensated for entire structure if remaining structure is no longer viable. Rights to salvage materials from structure. Provision of all taxes, registration costs, and other fees incurred for replacement structure. One time resettlement allowance of Rs. 50,000 per affected family All displaced families will receive both: (i) one time shifting assistance of Rs. 50,000 towards transport costs etc.; and (ii) monthly subsistence allowance of Rs. Compensation accounts for all taxes and fees, and does not account for any depreciation. Vulnerable households will be identified during the census. Responsibl e Agency Valuation committee will verify replaceme nt value. PIU will verify the extent of impacts through a 100% survey of affected household s determine assistance, verify and identify vulnerable household s. 25 Other assets include, but is not limited to walls, fences, sheds, wells, etc. 26 To be assessed based on the current schedule of rates of the district.

18 5 3 - b. Type of Loss Application Definition of Entitled Person Compensation Policy Implementation Issues Loss of residential/ commercial structure Residential/ commercial structure and other assets 3,000 for one year (total Rs. 36,000) from the date of award. One time financial assistance of Rs. 25,000 to the families losing shop for reconstruction of shop. Additional compensation for vulnerable households Tenants and leaseholders Replacement cost of part/whole of structure constructed by the tenant/leaseholder, and this will be deducted from the compensation amount of the owner. Compensation for rental deposit or unexpired lease. Right to salvage materials (of the portion constructed by tenants or leaseholders) from structure and other assets One time resettlement allowance of Rs. 50,000 per affected family All displaced families will receive both: (i) one time shifting assistance of Land/structure owners will reimburse tenants and leaseholders rental deposit or unexpired lease. Vulnerable households will be identified during the census. Responsibl e Agency Valuation committee will verify replaceme nt value. PIU will verify the extent of impacts through a 100% surveys of affected household s determine assistance, verify and identify vulnerable household s.

19 6 3 - c. Type of Loss Application Definition of Entitled Person Compensation Policy Implementation Issues Loss of residential/ commecial structure Residential/ commercial structure and other assets Rs. 50,000 towards transport costs etc.; and (ii) monthly subsistence allowance of Rs. 3,000 for one year (total Rs. 36,000) from the date of award. Additional assistance to vulnerable households Squatters, Encroachers Replacement cost of structure constructed by the squatter Right to salvage materials from structure and other assets One time resettlement allowance of Rs. 50,000 per affected family All displaced families will receive both: (i) one time shifting assistance of Rs. 50,000 towards transport costs etc.; and (ii) monthly subsistence allowance of Rs. 3,000 for one year (total Rs. 36,000) from the date of award. Additional assistance to Vulnerable Vulnerable households will be identified during the census. Responsibl e Agency PIU will verify the extent of impacts through a 100% survey of affected household s determine assistance, verify and identify vulnerable household s.

20 7 Type of Loss Application Definition of Entitled Person Compensation Policy Implementation Issues Livelihood 4. Loss of livelihood Livelihood Legal titleholder Family with traditional land right Commercial tenant Commercial leaseholder Employee in commercial establishment Agricultural laborer (long term) Artisans Squatters Hawkers Households One time financial assistance of minimum Rs. 25,000 or based on three months lost income or minimum wage rates, 27 whichever is higher. Preference in employment under the project during construction and implementation. All displaced families will receive both: (i) One time Shifting assistance of Rs. 50,000 towards transport costs etc.; and (ii) monthly Subsistence allowance of Rs. 3,000 for one year (total Rs. 36,000) from the date of award Additional assistance to Vulnerable Households Vulnerable households will be identified during the census. Responsibl e Agency PIU will verify the extent of impacts through a 100% survey of affected household s determine assistance, verify and identify vulnerable household s. For Agricultura l laborer (long timer) Only those who are in fulltime / permanent employme nt of the land owner, will be eligible for this assistance. Seasonal agricultural laborers 27 To be provided for affected persons whose livelihood is getting affected by the project. The transitional allowance shall be calculated based on minimum wage rates for semi-skilled labor and is estimated at INR 175/day. This allowance shall be utilized till an alternative means of livelihood is found. In case of vulnerable households, the transitional allowance will be supplemented by livelihoods related skill trainin g.

21 8 Type of Loss Application Definition of Entitled Person Compensation Policy Implementation Issues Trees and Crops 5. Loss of trees and crops Standing trees and crops Legal titleholder Family with traditional land right Vulnerable 6 Impacts on vulnerable. affected persons Agricultural tenant/ leaseholder Sharecroppers Squatter Advance notice (60 days) to harvest crops, fruits, and timbers. Compensation for standing crops in case of such loss, based on an annual crop cycle at market value Cash compensation for perennial crops and fruit bearing trees based on annual net product market value multiplied by 5 years. Cash compensation equivalent to prevailing market price of timber for non-fruit trees All impacts Vulnerable affected persons 28 Land-for-land option will be a guaranteed option for vulnerable affected persons. 29 Harvesting prior to acquisition will be accommodated to the extent possible Work schedules will avoid harvest season. Seasonal crops will be given 6-month notice. If notice cannot be given, compensation for standing crops will be compensated at market value. Market value of trees/crops has to be determined. Vulnerable households will be identified during the census and implementation of project. Responsibl e Agency will not be entitled for this assistance. PIU will ensure provision of notice. Valuation Committee will undertake valuation of standing crops, perennial crops and trees, and finalize compensat ion rates in consultatio n with affected persons. PIU will verify the extent of impacts through a 28 Vulnerable affected persons may include female-headed households, disable-headed households, indigenous persons-headed households, and Below Poverty Line households. 29 For vulnerable affected persons experiencing loss of housing and/or loss of livelihood, each State will provide alternative housing and/or alternative livelihood. Where land-for-land option is not available, in particular for vulnerable affected persons who have legal land title, because of a lack of appropriate land held by the State or otherwise, the State concerned will provide: (i) cash compensation at replacement value for land; (ii) prompt replacement of assets with corresponding assets of equal or higher value; (iii) cash compensation at full replacement cost fo r those assets that cannot