IND: Orissa Integrated Irrigated Agriculture and Water Management Investment Program

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1 Resettlement Plan July 2011 IND: Orissa Integrated Irrigated Agriculture and Water Management Investment Program Prepared by Project Management Unit, Orissa Integrated Irrigated Agriculture and Water Management Investment Program for the Asian Development Bank.

2 Asian Development Bank Financed Mahanadi Chitrotpala Island Irrigation Project Land and Livelihood Assistance Plan For Orissa Integrated Irrigated Agriculture and Water Management Improvement Programme (OIIAWMIP) (PART-I) Submitted by: Chief Engineer Cum Project Director, Project Management Unit (PMU), OIIAWMIP Instructions: No part of the document will be photocopied Copies to be made: Two only in Original Only authorised person for this project will handle the communication with the client Mode: PDF - electronic July, 2011 Submitted by: Orissa Integrated Irrigated Agriculture and Water Management Investment Program (OIIAWMIP) Project 2 PMU, 5 th Floor, Rajeev Bhawan, Bhubaneswar Govt. of Orissa

3 TABLE OF CONTENTS List of Annexure... i List of Figures... i Executive Summary... i Glossary... viii List of Acronyms... ix Chapter 1 Project Description Chapter 2 Scope of Land Acquisition and Resettlement Chapter 3 Socio-economic Information and Profile Chapter 4 Information Disclosure, Consultation, and Participation Chapter 5 Grievance Redress Mechanisms Chapter 6 Legal Framework Chapter 7 Entitlements, Assistance and Benefits Chapter 8 Income Restoration and Rehabilitation Chapter 9 Resettlement Budget and Financing Plan Chapter 10 Institutional Arrangements Chapter 11 Implementation Schedule Chapter 12 Monitoring and Reporting List of Annexure Annexe Annexure -1 Annexure -2 Annexure -3 Annexure -4 Annexure -5 Annexure -6 Annexure -7 Annexure -8 Annexure- 9 Topic Properties to be acquired for construction of Canal system in MCII project covering 5930 hect of ayacut area Social Maps for all affected villages Updated status of land acquisition process Affected Trees details Minutes of public consultation of village meetings Relevant public consultation photographs during socio economic survey Survey Questionnaire Preliminary project information document in local language Project Maps List of Figures Figures Figure-1 Figure-2 Figure-3 Figure-4 Figure-5 Figure-6 Figure-7 Figure-8 Topic Percentage of Land proposed to be acquired in MCII project Income pattern in MCII project Percentage of Households with affected category Type of Occupations in the MCII project Type of Affected Households Category of land holdings in MCII project Organisation Chart of PMU & SIO Resettlement Organisation Chart

4 Executive Summary A. Project Background and Scope 1. The Orissa Integrated Irrigated Agriculture and Water Management Investment Program (OIIAWMIP), being funded by the Asian Development Bank (ADB) through sector lending approach over a span of eight years, aims to reduce rural poverty levels in the State by improving agriculture szxector productivity and enhancing rural incomes. 2. It is estimated that the OIIAWMIP will cover to enhance productivity and sustainability of existing 6 major and 9 medium irrigation schemes covering 190,000 ha (NIA), and about 1,400 minor lift irrigation schemes covering up to 30,000 ha with PIM in four river basin i.e. Subernarekha, Burhabalang, Baitarani, and Brahmani basins, and a small part of the Mahanadi delta. 3. Most of the subproject works will be limited to rehabilitation and improvement of the existing irrigation system and will not involve acquisition of private land and hence does not cause any resettlement impacts. Only in, Mahanadi-Chitrotpala Island Irrigation (MCII) subproject planned to be taken up in Tranche-2, new construction of branch canals, minor and sub-minor canals are proposed to be included which will involve land acquisition with some resettlement impacts. This document reports on the resettlement planning for the MCII subproject only. Since no homestead land is affected there will be no relocation. 4. The Mahanadi-Chitropala Island Irrigation (MCII) subproject, located in the densely populated deltaic region of the coastal belt covering Cuttack, Kendrapada and Jagatsinghpur districts, is one of the major irrigation projects of Orissa. It was conceived in 1978, but due to shortage of funds its implementation could not be initiated till In 1995, this scheme was taken up under the World Bank (WB) funded Orissa Water Resources Consolidation Project (OWRCP) to create irrigation potential of 15,342 ha. By the time the WB funding ended up, the MCII subproject could achieve only 78 per cent of the original target, covering a command area of ha. At present only 7,900 ha of command area is being served with irrigation water. 5. To enable the MCII scheme achieve its major targeted goal by covering the maximum command area, the subproject is now proposed to be included in the OIIAWMIP funding by ADB. Overall the subproject scope was to cover an additional command area for 7,442 ha and rehabilitation of some existing canal system and construction of new canals. But at present the scope of the work funded by ADB is limited to cover an additional area 5,930 ha out of balance 7,442 ha with extension works of the balance proposed canal system. The sub project is scheduled in Tranche -2 planned to commence in However, R&R process being at an advanced stage, retroactive funding is proposed so that RP implementation and construction activities can be taken up in advance. B. Land Acquisition Requirement and Resettlement Impacts 6. The proposed present scope of work in the subproject involves extension of CRBC (from RD 15.13km to RD 26.25km) along with 22 new minor and sub-minor canals and PLBC (from RD 15.00km to RD 25.18km) along with 20 new minor and sub-minor canals. Additional land will be required for construction of branch, new minor and subminor canals. The required land for this construction will be acquired by the Executing Agency (EA). 7. According to census survey 1149 APs are affected. As can be observed from the following table (Table-2.4). In some villages there is loss of more than 10 percent land of the APs. However, when we will consider the total land holding of each AP they may

5 come under 10 percent loss category. All APs who are losing lands have been categorised into four affected categories (as in Table-2.5) in accordance with the percentage of land loss. In this subproject, only 192 APs (16.7%) are losing more than 10 percent of their productive assets. 8. According to the land schedule submitted by the DOWR, further land requirement for the proposed work is acres. The detail of the land acquisition requirement for the subproject is summarized in the Table E.1. Table E.1 Land Acquisition Requirements for the Subproject Purpose for Acquisition Requirement (in acre) Construction of 22 minors and sub-minors including branch canal in CRBC Construction of 20 minors and sub-minors including branch canal in PLBC Total Based on the Detailed Project Report (DPR) prepared by DOWR for the MCII subproject, information on subproject proposal was obtained and accordingly resettlement impacts were established. For resettlement planning a census was undertaken in the subproject area initially covering all the households losing land to the project. DOWR has taken fresh stock of their land requirement in 2011 and decided to acquire acres of land to complete the present scope of work. This draft RP is prepared for the newly proposed land area for acquisition. An inventory of losses due to proposed subproject work has been prepared administrating census schedule. The survey conducted in the canal sections was limited to the area to be acquired and for which landholders and their details are available. 10. According to the census survey conducted in the subproject area the subproject impacts include impacts on land, structures and livelihoods etc. In the surveyed area 12 structures will be affected. A total of 1149 households being affected from 47 villages directly by losing land. In addition, there are some households who were not available during the survey. These HHs will also be affected directly by losing land and/or structure, tree and may include some agricultural labourers/tenants or sharecroppers indirectly affected by losing their livelihood. The details of subproject impacts on available data are discussed in the following section and the summary subproject impacts are presented in the Table E.2. Table E.2 Summary Subproject Impacts Description of the subproject Impacts Impacts Loss of Government land acres Loss of private agricultural land acres Total land requirement acres Loss of Structure 12 Economically No of affected Person 1149 Economically No of Affected Population 7826 Number of Trees affected by the subproject 661 Note- The above mentioned information is for 47 villages C. Resettlement Principles for the Project 11. Based on the analysis of National, State Government and ADB policies and procedures, the broad involuntary resettlement principle that will be applied to this project and its subprojects are: The negative impacts of the project and its subprojects such as physical and economic displacement and impoverishment will be avoided or minimized as much as possible. ii

6 Where the negative project impacts are unavoidable, the persons affected by the project and vulnerable groups will be identified and assisted in improving or at least restoring their livelihoods, income, and standard of living. Compensation, relocation and rehabilitation information will be disclosed to all stakeholders. RPs will be formulated in consultation with all project stakeholders. All subproject RPs will be disclosed to all APs in languages that are understood by APs. Brochures, public display of translated RPs at common gathering centers and wide publicity of entitlements through mass media will be ensured before approval of RPs. Land acquisition for the project would be done as per the Land Acquisition Act, The Act specifies payment of adequate compensation for the properties to be acquired. Additional assistance will be extended to all APs to equal the cash compensation package with the replacement cost of the acquired property. The affected persons who does not own land or other properties, but have economic interests or lose their livelihoods will be assisted as per the broad principles and entitlement matrix listed. Before taking possession of the acquired lands and properties, compensation and assistance will be paid in accordance with the provision described in the entitlement matrix of the RP. For the construction of field channels/drain channels in all schemes and tube well points for lift irrigation schemes there will be no compulsory acquisition of land. The land required for this purpose will be provided by farmers in the form of grant or voluntary building of field channels. The voluntary building of field channels will be confirmed through written record and verified by an independent third party i.e. Revenue Department of Government of Orissa. The Executing Agency (EA) will ensure that the voluntary building of field channels will not adversely affect the standards of living of the affected people. To avoid any loss of livelihood by voluntary building of field channels additional benefits from the project like subsidy in water tax can be provided. An entitlement matrix for all APs is listed below. To fully provide the entitlements of each AP sufficient budget has already been allocated. Those who would lose land and other property in the subprojects are entitled to all the entitlements. However, people moving into the project area or subproject areas after its cut-off date will not be entitled to any assistance. In case of land acquisition, the date of notification for acquisition will be treated as the cut-off date. For non-titleholders such as squatters and encroachers if any the date of project census survey or a similar designated date declared by the Executing Agency will be considered as the cut-off date. Appropriate grievance redress mechanism will be established at the Project/District and State level to ensure speedy resolution of disputes. All activities related to resettlement planning, implementation, and monitoring would ensure the involvement of women and other vulnerable groups in such project activities. Consultations with APs will continue during the implementation of resettlement and rehabilitation works. D. Public Consultation and disclosure 12. To ensure peoples participation in the planning phase of this subproject and to treat public consultation and participation as a continuous two way process, numerous events were arranged at this stage of subproject preparation. Aiming at promotion of public understanding (APs and other beneficiaries) and fruitful solutions of developmental problems such as local needs and problems and prospects of resettlement, various sections of APs and other stakeholders were consulted through focus group discussions and meetings at the village level. 13. To maintain more transparency in planning and for further active involvement of APs and other stakeholders the subproject information will be disseminated through disclosure of resettlement planning documents. A resettlement information leaflet containing information on compensation, entitlement and resettlement management iii

7 adopted for the subproject will be made available in local language(s) and distributed to APs. 14. Each AP will be provided information regarding specific entitlements. The CSO that will be hired for supporting the implementation activities will keep the affected people informed about the impacts, the compensation and assistances proposed for them and facilitate addressing of grievances, if any. 15. The subproject summary Resettlement Plan will be translated in to local language and disclosed to affected persons at Panchayat level. The copy of the full Resettlement Plan will be available with subproject Implementation Office (SIO) and Project Management Unit (PMU) and will be made available for the APs as and when asked for. A copy of the RP will be disclosed through the DOWR website and in ADB website as well. E. Grievance Redress Mechanism 16. In the subproject RP implementation there is a need for an efficient grievance redress mechanism that will assist the APs in resolving queries and complaints. Therefore, formation of Grievance Redress Committee (GRC) will be most important for redressing grievances and it is anticipated that most, if not all grievances, would be settled by the GRC. 17. The GRC will be established at the district level with the primary objective of providing a mechanism to mediate conflict and cut down on lengthy litigation. It will also provide people, who might have objections or concerns about their assistance, a public forum to raise their objections and through conflict resolution, address these issues adequately. The GRCs will continue to function, for the benefit of the APs, during the entire life of the subproject including the defects liability periods. The response time prescribed for the GRCs is 6 weeks. Since the entire resettlement component of the subproject has to be completed before the construction starts, the GRC will meet at least once in a month to resolve the pending grievances. It is expected that the GRCs will play a very crucial role in redressing grievances of the APs, and will help the implementation of the subproject as scheduled. F. Strategy for Income Restoration 18. As revealed from the above portrayal it will not be necessary to plan for any resettlement colony because of very negligible amount of impact. The best possible mitigation of the negative impacts will be to assist the APs in improving their livelihood in the remaining land in various ways like providing monetary assistances for livelihood improvement and infrastructure facilities for better livelihood. 19. In addition to the above option it is suggested to verify the canal alignment and avoid these impacts wherever feasible. Keeping in view the intensity of impacts and the options preferred by the affected household, no resettlement site or provision is suggested. However, any related updating of RP will be dealt in accordance with the RF. 20. The RF proposed for the Project has adequate provision for restoration of livelihood of the affected communities. Attempts have been made to provide strategies for improving incomes. The focus of restoration of livelihoods is to ensure that the APs are able to at least regain their previous standards of living. To restore and enhance the economic conditions of the APs, certain income generation and income restoration programs are incorporated in the RP. To begin with providing employment to the local people during the construction phase through the contractor will enable them to benefit from the project, reduce the size of intrusive work forces and keep more of the resources spent on the project in the local economy. It will also give the local communities a greater stake and sense of ownership in the project. The RF of the iv

8 project provides that the loss of livelihood which would mainly result from the loss of land will be compensated by way of: Alternative economic rehabilitation support and training for upgrading of skills or imparting new skills; and R&R assistance such as transitional allowance. Preference in providing employment through the contractors for canal construction works specially to those belonging to vulnerable groups. G. Institutional Arrangement 21. For resettlement planning and successful implementation of RP there will be a set of institutions involved at various levels and stages of the project. The Orissa Resettlement Policy-2006 has its own institutional mechanism for resettlement planning and implementation but the setup is not functional in its all aspects. In the present scenario the institutional mechanism suggested here will be followed for the proposed Project. 22. The EA for the Project is the Department of Water Resources (DOWR), Government of Orissa. Secretary, DOWR will chair the Project Steering Committee, responsible for monitoring the use of loan funds and overall implementation process. The EA, technically headed by the Engineer-in-Chief (EIC), will have overall responsibility for policy guidance, coordination and planning, internal monitoring and overall reporting of the Project. The EA has set up a Project Management Unit (PMU) in its Head Quarter level at Bhubaneswar fully dedicated for the OIIAWMIP. The PMU will be functional for the whole Project duration. For subproject planning and implementation Subproject Implementation Office/s (SIO) has been established headed by a Spl. LA&RO for land acquisition and implementation of the RP and an Executive Engineer for irrigation schemes at the subproject level. 23. For resettlement activities, PMU will do the overall coordination, planning, implementation, and financing. In order to achieve the above objective the PMU has created a Resettlement Cell (RC) and has appointed a Project Resettlement Officer (PRO) with good knowledge of resettlement process and ADB involuntary Policy requirements. There will be some additional support staff for the duration of the Project to ensure timely and effective planning and implementation of RPs. The PRO will work in close coordination with ISPM consultant appointed by EA to support and monitor resettlement and rehabilitation activities on a day to day basis. 24. The Subproject Implementation Office (SIO) will be established at river basin / District level for the implementation of subprojects. The PMU will coordinate with SIOs for subproject level activities. The Spl. LA&RO will serve as the chief functionary for resettlement and vulnerable people issues at the project level. 25. The SIO, if required depending on the workload will also hire other support staff in the rank of RI/Amin/ Data Entry Operator etc. to be engaged on contractual basis having adequate land acquisition/ R&R planning and implementation expertise. In the case of MCII subproject where there are 3 districts involved, it is suggested to appoint some additional support staff through the implementing CSO for smooth functioning of work. 26. The staffs at the SIO level will be provided with the training for implementation of the RP. The SIO will maintain all databases, work closely with APs and other stakeholders and monitor the day to day rehabilitation activities. 27. The EA will determine the replacement cost of land and assets to be acquired based on principles of the LA Act. There is a District Compensation Advisory Committee (DCAC) to advise in case of dispute or deadlock. The role of DCAC functioning as per notification of the Revenue and Disaster Management Department, Government of Orissa under the chairmanship of District Collector will not only limited to the determination of replacement cost of land, structures and other immovable assets but also include assisting / negotiating for purchase of land. To simplify the procedure and for a smooth functioning of acquisition work it is recommended that the DCAC would include one representative of the AFs. v

9 28. Involuntary resettlement is a sensitive issue and strong experience in R&R matters along with community related skills will be required by the SIO in order to build a good rapport with the affected community and facilitate satisfactory R&R of the APs. To overcome this deficiency, experienced and well-qualified Civil Society Organisations (CSOs) in this field will be engaged to assist the SIO in the implementation of the RP. The CSO would play the role of a facilitator and will work as a link between the SIO and the affected community. 29. A Grievance Redress Committee (GRC) at SIO/District level will be formed to deal with the disputes and AP s grievance and facilitate timely implementation of the subproject. H. R&R Budget 30. Detailed budget estimates for the RP will be prepared by the PMU/SIO which will be included in the overall subproject financial estimates. The budget shall include: (i) detailed costs of land acquisition, livelihood and income restoration and improvement; (ii) source of funding; (iii) administrative costs; (iv) monitoring and evaluation costs (v) cost of hiring consultants; (vi) arrangement for approval, and the flow of funds and contingency arrangements. 31. The total R&R budget for the proposed subproject RP works out to Rs million. Contingency provision would cover non-identified and other costs during R&R implementation. The summary budget for R&R activities is presented in the Table E.3. Table E.3 Summary Budget for Resettlement and Rehabilitation Activities SNo Item Amount (in million Rs.) 1 Compensation cost Livelihood Assistance RP implementation cost Contingency (excluding compensation) 1.16 Total As agreed upon, the land acquisition and resettlement costs will be borne by the EA and the R&R cost will be borne out of the OIIAWMIP loan fund for RP implementation. The DoWR has agreed to implement the RP as per the funding provision made above. I. Implementation Schedule 33. The proposed subproject R&R activities are divided in to three broad categories based on the stages of work and process of implementation. The details of activities involved in these three phases viz subproject Preparation Phase, LA Activities and RP Implementation phase, Monitoring and Evaluation Phase. 34. The total subproject implementation time has been taken as about 24 months. A composite implementation schedule for R&R activities in the subproject including various sub tasks and time line matching with civil work schedule is prepared for the subproject. However, the sequence may change or delays may occur due to circumstances beyond the control of the subproject and accordingly the time plan can be adjusted for the implementation of plan (Para-111). J. Monitoring and Evaluation 35. RP implementation for the subproject will be closely monitored by the EA which will be at the helm of all activities related to the RP implementation. The monitoring mechanism will have a two-tier system at the EA level i.e. Internal Monitoring and External Monitoring. 36. Internal project monitoring and evaluation will be carried out by PMU/SIO and the CSO, covering the implementation progress as well as any disputes of the resettlement plans vi

10 with the progress of the detailed design. The internal monitoring by PMU/SIO will include: (i) administrative monitoring; (ii) socio-economic monitoring (iii) impact evaluation monitoring. Monitoring reports will be submitted at regular intervals. This monitoring will form parts of regular activity and reporting on this will be extremely important in order to undertake mid-way corrective steps. 37. For external project monitoring and evaluation, the PMU will engage qualified and experienced external experts with previous experience in resettlement activities and familiarity with Government and ADB resettlement policy. A budget is already allocated for this vital task. The experts will be engaged with ADB concurrence within three months of the loan effectiveness. The experts will monitor and verify RP implementation to determine whether resettlement goals have been achieved, livelihood and living standards have been restored, and provide recommendations for improvement. Note- This Resettlement Plan (RP) is presented in TWO parts: Part-I contains the main report while Part-II contains all Annexure. vii

11 Glossary Gram Gram Panchayat is the primary unit of Panchayati Raj Institutions Panchayat and is local government bodies at the village level in India. Pani Panchayat Pani Panchayat is a farmers association at the primary level consisting of all the water users, as constituted within a specified hydraulic boundary of a major, medium, minor (flow and lift-both surface and ground water) and creek irrigation projects funded by Government. Pradhan Sarpanch Vulnerable Groups Zilla Parishad Village Headman A sarpanch is a democratically elected head of a village level statutory institution of local self-government called the Gram (village) Panchayat in India. The Vulnerable Group comprises landless encroachers or homestead-less encroachers as defined by Orissa Prevention of Land Encroachment Act-1972; affected populations living below poverty line (BPL), belonging to Scheduled Caste (SC) or Scheduled Tribe (ST), women headed households (WHH) and the physically/mentally challenged headed households. Zilla Parishad is a local government body at the district level in India. It looks after the administration of the rural area of the district and its office is located at the district headquarters. Members of the Zilla Parishad are elected from the district on the basis of adult franchise for a term of five years. The Chairmen of all the Panchayat Samitis are members of the Zilla Parishad. The Parishad is headed by the President and Vice-President. viii

12 List of Acronyms ADB- AP- ARO- BPL- BSR- CRBC- CRC- CSO- DC- DC- DCAC- DOWR- DM- DPR- EA- EIC- ERM- FGD- GOI- GRCha- HH- HIG- IA- IMEA- IR- IRP- ISPMC- LA- LAA- LAO- LIG- LPG- MCII- MDG- MIG- MLBC- MLC- MLD- MOU- NGO- NIA- NRRP- OBC- OIIAWMIP- ORRP- OWRCP- PD- PIM- PLBC- Asian Development Bank Affected Person Assistant Resettlement Officer Below Poverty Line Basic Schedule of Rates Chitrotpala Right Branch Canal Chitrotpala Right Canal Civil Society Organisation District Collector District Commissioner District Compensation Advisory Committee Department of Water Resources Disaster Management Detail Project Report Executing Agency Engineer-in-Chief Extension Renovation and Modernization Focus Group Discussion Government of India Grievance Redress Committee Hectare Household High Income Group Implementing Agency Independent Monitoring and Evaluation Agency Involuntary Resettlement Involuntary Resettlement Plan Institutional Strengthening and Project Management Consultants Land Acquisition Land Acquisition Act Land Acquisition Officer Low Income Group Liquid Petroleum Gas Mahanadi-Chitrotpala Island Irrigation Millennium Development Goal Middle income Group Mahanadi Left Branch Canal Mahanadi Left Canal Mahanadi Left Distributary Memorandum of Understanding Non-Government Organizations Net Irrigated Area National Rehabilitation and Resettlement Policy, Other Backward Caste Orissa Integrated Irrigated Agriculture and Water Management Investment Program Orissa Resettlement and Rehabilitation Policy Orissa Water Resources Consolidation Project Project Director Participatory Irrigation Management Paika Left Branch Canal ix

13 PMU- PRD- PRO- R&R- RC- RF- RO- RP- RS- SBE- SC- SGO- SIA- SIO- SRO- ST- ToR- WB- WUA- Project Management Unit Paika Right Distributary Project Resettlement Officer Resettlement and Rehabilitation Resettlement Cell Resettlement Framework Resettlement Officer Resettlement Plan Resettlement Specialist Small Business Establishments Scheduled Caste State Government of Orissa Social Impact Assessment Subproject Implementation Office Subproject Resettlement Officer Scheduled Tribe Terms of Reference World Bank Water Users Association x

14 Chapter 1 Project Description 1.1 Introduction 1. The Millennium Development Goals (MDGs) aim at enabling poor people to improve their livelihoods. In Asia about 70 percent of the MDGs target group live in rural areas, and for most of them agriculture is the main source of living, hence it is very important, both directly and indirectly, to improve quality of agriculture. In order to doing so, rehabilitation of irrigation systems has been planned in the State of Orissa with the financial assistance of Asian Development Bank (ADB). 1.2 The Project 2. The proposed Orissa Integrated Irrigated Agriculture and Water Management Investment Program (OIIAWMIP) are to be funded by the ADB through sector lending approach over a span of eight years. It aims at reducing rural poverty levels in the State by improving agriculture sector productivity and enhancing rural incomes. It is estimated that the OIIAWMIP will cover to enhance productivity and sustainability of existing 6 major and 9 medium irrigation schemes covering 190,000 ha (NIA), and about 1,400 minor lift irrigation schemes covering up to 30,000 ha with PIM in four river basin i.e. Subernarekha, Burhabalang, Baitarani, and Brahmani basins, and a small part of the Mahanadi delta. Objective and scope of the subproject are summarized as follows: Objective 3. To enhance productivity and sustainability of existing 6 major and 9 medium schemes (19,000 ha NIA), and about 1,400 minor lift irrigation systems (up to 30,000 ha) with PIM within four major river basins, viz. the Subernarekha, Burhabalang, Baitarani, and Brahmani basins, and a small part of the Mahanadi delta. Scope Part A: Productive and Sustainable Irrigated Agriculture and Management Systems i. Participatory planning and WUA strengthening (through NGO support) ii. Renovation of irrigation and associated infrastructure including command area development (CAD), associated drainage, rural infrastructure, and promotion of private investments for conjunctive use of groundwater, iii. Agriculture and allied sector development, livelihood enhancement, with a particular focus on developing WUAs as cohesive platform for these purposes iv. Sustainable O&M monitoring and support based on PIM with PPs Part B: Institutional strengthening and project Management i. Institutional strengthening of DoWR for operationalizing PIM and IWRM (river basin planning and a pilot river basin organization in Baitarani River Basin) including training and consulting services ii. Project management support for incremental project staff including those hired from the market, implementation consultants, and other operational costs 11

15 4. As most of the subproject works under OIIAWMIP will be limited to rehabilitation and improvement of the existing irrigation system and will not involve acquisition of private land and hence do not cause any resettlement impacts. While under the Mahanadi-Chitrotpala Island Irrigation (MCII) Subproject new construction of part of remaining portion of branch canals and minors and sub-minors are proposed which will involve land acquisition with some resettlement impacts. This document reports on the resettlement planning for the MCII Subproject. 1.3 The MCII Subproject Background 5. The Mahanadi-Chitrotpala Island Irrigation (MCII) Subproject, one of the major irrigation projects of Orissa, is located in the densely populated deltaic region of the coastal belt covering Cuttack, Kendrapada and Jagatsinghpur districts. It was conceived in 1978, but due to shortage of funds the implementation of it could not start until In 1995, this scheme was taken up under the World Bank (WB) funded Orissa Water Resources Consolidation Project (OWRCP) to create irrigation potential of 15,342 hectares of land. 6. The subproject was to be completed by June 2003, but after the midterm review by WB the subproject scope was reduced by 23 percent of the command area. The main reason for this was the slow progress of construction work which was affected by the slow and lengthy process of land acquisition. After the super cyclone in 1999 some funds were diverted for the reconstruction work and the scheme could achieve partially by the end date of funding by the WB. By the time the WB funding ended, the MCII subproject could achieve only 78 per cent of original target, covering a command area of 11,900 hectares. The findings broadly confirm the conclusions of the World Bank Implementation Completion Report and other previous studies. It revealed dissatisfaction among some affected persons, but this is on a limited scale. They admit that they had received compensation as per provisions of the Land Acquisition Act of 1894 and OWRCP policy and relocated by themselves. But the assistance amount was not been paid. The SLRO also confirmed the position and mentioned that the assistance was due for 166 households due to non-availability of fund. The office of the Spl LA&RO had assured that the assistance amount will be disbursed once the fund is available. In the meantime the amount has been sanctioned and budgetary provision has been made. The disbursement process has been initiated by SLAO, MCIIP with assistance of RS, ISPMC. As on date only 7 APs (out of 166 APs) are yet to receive the assistance. 7. At present only 7,900 hectares of command area is being served with irrigation water. The details of canal system under MCII scheme is presented in the Table 1.1. Table 1.1 MCII Scheme with Details of Canal System and Command Area Name of Canal Section Planned Command Area in hectares Chitrotpala Right Canal (CRC) Chitrotpala Right Branch Canal (CRBC) Mahanadi Left Canal (MLC) Mahanadi Left Branch Canal (MLBC) Mahanadi Left Distributary (MLD) Paika Right Distributary (PRD) Paika Left Branch Canal (PLBC) Total Source: Technical Data, DPR prepared by DoWR,

16 8. In most of the reaches of MCII excepting the tail reaches of CRBC and PLBC, along with some minors and sub-minors off-taking from them, extension of the canal system have been completed barring some minor stretches where land has been acquired but R&R still exists which will be addressed by the DoWR. Some rehabilitation work in the completed stretches may be required to run the canal system effectively. 1.4 Scope of Work 9. To enable the MCII scheme achieve its major targeted goal by covering maximum command area, the subproject is now included in the OIIAWMIP funding by ADB. On the whole the subproject scope was to include extension of canal system to cover an additional command area of 7,442 ha and rehabilitation of some existing canal system. The present scope of work funded by ADB is limited to cover an additional command area of 5,930 ha out of 7,442 ha. The reaches where the extension works will be taken up under the present scope of work along with resettlement impact are presented in Table 1.2. Table 1.2 Scope of Work Proposed in MCII Subproject and Resettlement Impacts Proposed Scope of Work in the Canal Section Subproject 1 CRBC Extension of the canal system New Construction of branch canal (from RD 15.13km to RD km) New construction of minor and sub-minor canals (22 numbers) Construction of required hydraulic structures including bridges/culverts. Extension of the canal system New construction of branch canal PLBC (from RD 15.00km to 25.18km) New construction of minor and sub-minor canals (20 numbers) Construction of required hydraulic structures including bridges/ culverts. Source: Technical Data, DPR prepared by DoWR, 2011 Resettlement Impacts For construction of branch canal and 22 new minor and subminor canals, further land required to be acquired is acres. For construction of branch canal and 20 new minor and subminor canals, further land required to be acquired is acres. 10. The index map of MCII along with the schematic diagram is enclosed as showing therein the minor, sub-minor and branch canals proposed to be taken up under the present scope of work and the CCA to be covered by each canal. 11. The proposed present scope of work in the subproject involves extension of CRBC (from RD km to RD km) along with 22 new minors and sub-minors and PLBC (from RD km to RD km) along with 20 new minors and subminors. Additional land will be required for construction of branch, new minor and sub-minor canals. The required land will be acquired by the Implementing Agency. 1 Land for new CAD works under the Project will be voluntarily donated through a process of farmer consultation and empowerment of the PP. Farmer and PP decision to make land available will be facilitated by main system ERM works and improved supply of canal water to minor canals. The choice however will rest with the PPs and farmers. 13

17 12. As per the land schedule supplied by the DoWR, further land requirement for the proposed work is acres. A summary of land acquisition requirement is presented in the Table 1.3 and village wise details are presented in Annexure-1 Table 1.3: Land Acquisition Requirements for the Subproject Purpose for Acquisition Requirement (in acre) Construction of 22 minors and sub-minors including branch canal in CRBC Construction of 20 minors and sub-minors including branch canal in PLBC Total Source: Land schedule supplied by DoWR 1.5 Resettlement Planning in the Project 13. The involuntary resettlement policy of ADB provides an effective opportunity for people who are displaced in order to achieve development benefits. This policy is a consonant with the Poverty Reduction Strategy. Involuntary resettlement addresses socio-economic impact- either temporary or permanent in nature caused by acquisition of land or by change in use of land. 14. The policy states that if the screening or social assessment determines that people will experience resettlement impacts a resettlement plan (RP) is required. The plan needs to be a time-bound action plan with appropriate budget provisions and should be incorporated as an integral part of project design. 15. Involuntary resettlers are people of any age, skill level, or socio-economic status who have been requested to give up land or assets for a project, and under ADB policy these people require assistance to re-establish their home and/or livelihoods. 16. The policy requires that a plan be prepared that sets out all of the compensation and rehabilitation support to be provided to any person, family or household who on account of the execution of the project would have his, her or their: Standard of living adversely affected; Right, title or interest in any house, or interest in or right to use any land (including premises, agricultural and grazing land, commercial properties, tenancy, or right in annual or perennial crops and trees or any other fixed or moveable assets) acquired or possessed, temporarily or permanently; Income earning opportunities, business, occupation, work or place of residence or habitat adversely affected temporarily or permanently; or Social and cultural activities and relationships and other losses that may be identified during the process of resettlement planning. 17. The objective of this RP is to provide a strategy for assisting the project affected people (APs) with replacement of lost structures, compensation for lost land, and restoration of income levels/standards of living through a compensation and rehabilitation package. For example; livelihood development allowance, agricultural extension services and farm inputs to increase productivity on remaining land, and assistance in establishing a new business. The latter might include access to credit, site selection, and labour arrangements, training in a 14

18 related or new skill along with a training allowance. The objective is to at least ensure that APs are not worse off with the project than without it. 18. The RP is fully in compliance with Asian Development Bank, Government of India and Government of Orissa social safeguard policies designed to protect the rights of the affected persons and communities. The following issues were identified and addressed in this document: a. Type and extent of loss of land and non-land assets including loss of livelihood; b. Collective losses, such as common property resources and social infrastructure; c. Entitlement matrix and provisions for livelihood restoration assistance and restoration of businesses/income; d. Evaluation of properties and cost estimate including provision for fund and; e. Institutional framework and mechanism for the implementation of the RP, including monitoring and evaluation. 15

19 2.1 Impact Chapter 2 Scope of Land Acquisition and Resettlement 19. As per findings of the census survey conducted in the subproject area the subproject impacts include impacts on land, structures and livelihoods. In this project, no physical displacement is proposed during canal construction activity. In the surveyed area in addition to acres of private agricultural land, 12 structures will be affected, details in Table-2.7, Para-38. It is estimated that in 47 villages 7,826 persons are likely to be economically affected directly due to the proposed subproject work. Out of 7,826 APs, 70.5 percent are male and 29.5 percent female. It was found that all the land owners were titleholders and of the enumerated private plots only 0.7 percent was irrigated land, 99.3 percent nonirrigated. This data indicates that there is need of irrigation facility in the locality as majority in each income group possess non-irrigated land. The details of Project impacts are discussed in the following section and the summary Project impacts are presented in the Table 2.1. Table 2.1 Summary Subproject Impacts SNo Subproject Impacts Quantity 1 Loss of agricultural land (private) acres 2 Loss of Government Land acres 3 Loss of structure 12 4 Total No of Villages surveyed 47 5 Economically Affected Person Economically Affected population Total Male 70.5 % 8 Total Female 29.5% 9 Affected trees 661 Source: CPDA Survey, MCII, Methodology 20. The socio-economic-cultural survey for resettlement & rehabilitation of the affected persons was done by using the questionnaire framed by Revenue and DM Department, Government of Orissa. The socio-economic survey covered percent affected population in three districts. As per Resettlement and Rehabilitation Policy 2006, Government of Orissa the data was collected from each affected family, as identified by the NGO through SE survey, in the questionnaire method. Detailed measurement survey was undertaken by the Executive Engineer (EE) with detail demarcation of the land affected for canal construction in 47 villages. After field survey land plan and land schedule of each affected family have been prepared by EE. 21. The present proposal envisages conducting Socio-economic-Cultural study in the canal affected villages to find out the details of affected land as per Rehabilitation and Resettlement Policy, 2006 of Government of Orissa. The project mandate was also to prepare a Resettlement Plan (RP) for the MCII irrigation project for affected families. 16

20 2.3 Status of Land Acquisition and Resettlement 22. As discussed earlier, the proposed subproject work was intended to complete and achieve the original target set under WB funded OWRC Project. In the process of project planning and implementation of MCII under WB funding, DoWR acquired certain amount of land and executed the construction work. Both the planning and implementation work stopped midway after termination of WB funding. Acquisition of acres of land proposed during that period under LA Act 1894, also lapsed due to unavailability of fund for compensation. The fresh assessment for acquisition of land made by DoWR for the present scope of work indicates that further acquisition of acres of land is necessary for the concerned subproject activities. 23. To know the resettlement status of the area already acquired a short study was also simultaneously done for those lands. The study revealed that some of the APs have received eligible compensation for loss of land and structure as per R&R policy adopted for the OWRCP and some are yet to receive. There is some outstanding payment due for economic rehabilitation assistance. But majority are not happy with the compensation and even after receiving compensation those households are still holding the land. 24. The concerned division office has all details of these APs and will disburse the assistance including applicable interest amount once it is released by the Government. The DoWR had agreed to settle this due before implementation of the proposed subproject and in the meantime the amount has been sanctioned and budgetary provision has been made. 2.4 Data Collection 25. A fresh inventory of the affected land and HHs in the MCII subproject area was prepared in October 2010 to April A census survey and socio-economic survey was undertaken in all 47villages of 3 districts. This was to identify the affected HHs and other establishments, if any on the affected land. 26. Primary data collection has been through a combination of quantitative and qualitative approaches. The qualitative data has been obtained through General observation of the land, houses and the localities Focus group discussions at project locations Participatory rapid appraisal 27. Quantitative data has been obtained from a census survey and a household sample survey. The database thus obtained provides a detailed picture of the social and economic impacts and has been used for RP preparation, its management, implementation, and monitoring. Some of the key findings of the census/ses have been presented below. 2.5 Type and Ownership of the Proposed Land to be acquired 28. The data (Table 2.2) reveals that out of the affected land 70.5 percent are private land and 29.5 percent are Government land. It is clear that rehabilitation is required for the owners of the lands other than the Government land. Majority of the private owners own the land for longer than 10 years in all affected villages. 17

21 Percentage ADB Financed MCII Project Land & Livelihood Assistance Plan Table 2.2 Ownership of the Proposed Land to be Acquired Ownership Affected land (in acre) Percentage Private Government Total Source: CPDA Survey, 2011 Figure-1: Percentage of land proposed to be acquired for MCIIP Private Government Type of Land 2.6 Economic Status 29. It is widely recognized that poverty is experienced through a variety of dimensions of which low income is one. Further, within the poor there are important differences in intensity of poverty, the ability of the poor households to graduate from poverty and relative vulnerability to different groups to withstand risks of livelihood such as unemployment, access to services, sickness, and so on. 30. Table 2.3 presents the data on income pattern of the 1149 APs. Of these around 71 percent of the households come under 22, and around 10 percent is below poverty line. It is evident from the above break up that poverty is not very intense in the subproject location. 18

22 Percentage ADB Financed MCII Project Land & Livelihood Assistance Plan Table 2.3 Income Pattern Income Range p.a (Rs.) %age Less than 22, ,001-50, ,001-1,00, ,00,001-1,50, ,50,001-2,00, ,00,001-5,00, ,00, Total Source: CPDA Survey, MCII, 2011 Figure-2: Income pattern in MCII project Less than 22,000 22,001-50,000 50,001-1,00,000 1,00,001-1,50,000 1,50,001-2,00,000 2,00,001-5,00,000 5,00, Income Range (Rs.) 31. Mean monthly household income, expenditure and savings are Rs. 3256, Rs.2976 and Rs.280 per month respectively mainly between the income categories of Rs to RS. 50,000 per annum..2.7 Subproject Impacts on Landholders and Size of Land Loss 32. According to census survey 1149 APs are affected. As can be observed from the following table (Table-2.4). In some villages there is loss of more than 10 percent land of the APs. However, when we will consider the total land holding of each AP they may come under 10 percent loss category. 19

23 Table: 2.4 Total land holding and acquired land Table- Village wise Total and Acquired Land with Livelihood Assistance Sl. No Name of the Village Total Land Area in Acre Acquired Land %age of Loss 1 Bamra Birijung Bhargol Bantala Bilashpur Banakunda Brhampur Bhodgaon Barimula Babujunga Bangari Bangalpur Bhadalo Champa Chasahunda Daanlo Dulupur Garadpur Khosida Kalabudha Kusumpur Kharisan Lankapada Muraripur Mahanga Manijunga Managarajpur Nischiantasasan Nainidipur Pursatampur Pundilo Pakahad Patkura Putling Tarod Tendukura Talakusum Uttarkul Purnagopinathpur Sahaspur Sangrampur Baripala Balikana Biswanathpur Mangarajpur

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