RP622 FEDERAL GOVERNMENT OF NIGERIA. Federal Ministry of Agriculture and Water Resources (FMAWR)

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1 Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized CADP Resettlement Policy Framework (RPF) Draft Final Report RP622 FEDERAL GOVERNMENT OF NIGERIA Federal Ministry of Agriculture and Water Resources (FMAWR) PROJECTS COORDINATING UNIT (PCU) OF THE FEDERAL MINISTRY OF AGRICULTURE AND WATER RESOURCES RESETTLEMENT POLICY FRAMEWORK (RPF) FOR THE Commercial Agriculture Development Project - Final Report - Earthguards Limited: Sustainable Development Consultants Suite 45, (3 rd Floor), God s Own Plaza, 4 Takum Close, Area 11, Garki, F.C.T. Abuja, Nigeria P.O. Box 12428, Garki, F.C.T. Abuja, Nigeria December, 2007 Earthguards Limited: Sustainable Development Consultants 1

2 Table of Contents I. List of Acronyms..2 Glossary of Key Terms Introduction Principles and Objectives Governing Resettlement The Process for Preparing and Approving Resettlement Plans Land Acquisition and Likely Categories of PAPs Criteria and Eligibility for Compensation of Project Affected Persons A Legal Framework Review of the fit Between the Laws and Regulations of Nigeria and Bank Policy Requirements Methods of Valuing Affected Assets Arrangements for Compensation and Description of the Implementation Process Consultation with and Participation of Affected Persons Arrangements for Monitoring...44 Annex A: A Template for Preparing Resettlement and Compensation Plans...46 Earthguards Limited: Sustainable Development Consultants 2

3 LIST OF ACRONYMS ADP CADA CADP CBO CIGs CSDP EIA ESIA ESMF EMP FEPA FMEH & UD FMEnv FGN FMAWR GDP GNI LGA MDG NC NCD NEEDS Agricultural Development Project Commercial Agriculture Development Association Commercial Agriculture Development Project Community Based Organization Commodity Interest Groups Community and Social Development Project Environmental Impact Assessment Environmental and Social Impact Assessment Environmental and Social Management Framework Environmental Management Plan Federal Environmental Protection Agency Federal Ministry of Environment, Housing and Urban Development Federal Ministry of Environment Federal Government of Nigeria Federal Ministry of Agriculture and Water Resources Gross Domestic Product Gross National Income Local Government Area Millennium Development Goal National Coordinator National Coordinating Desk National Economic and Empowerment Development Strategy Earthguards Limited: Sustainable Development Consultants 3

4 NGO NSC NRM OPRC PAD PCN PCU PMP RAMP RAP RPF SEEDS SCADO SCANTSC SEPA SSC Non Governmental Organization National Steering Committee Natural Resource Management Output and Performance Based Road Contracts Project Appraisal Document Project Concept Note Projects Coordinating Unit Pest Management Plan Rural Access Mobility Project Resettlement Action Plan Resettlement Policy Framework State Economic and Empowerment Development Strategy State Commercial Agriculture Development Office State Commercial Agriculture Development Technical Steering Committee State Environmental Protection Agency/Authority National Steering Committee Earthguards Limited: Sustainable Development Consultants 4

5 Glossary of Key Terms Cut - off Date: Refers to a day on and beyond which any person who occupies land or assets, or constructs assets on land, required for project use, will not be eligible for compensation. The date is often the day when the assessment of persons and their property in the project area commences. Environmental and Social Management Framework (ESMF) - report is an environmental assessment instrument (document) which establishes a mechanism to determine current environmental and social base-line information and assess future potential environmental and social impacts of small-scale communityowned investments under the proposed project; and then to set out mitigation, monitoring and institutional measures to be taken during design, implementation and operation of the project activities to eliminate adverse environmental and social impacts, offset them, or reduce them to acceptable and sustainable levels. This instrument has been prepared as a separate and stand alone document to be used in conjunction with the RPF. For the purpose of this project, the Federal Ministry of Environment, Housing and Urban Development and the State Environmental Protection Agencies will be responsible for ensuring proper preparation and implementation of the ESMF. Market rate: Is defined as the highest rate over the last five years based on commercial terms. Market Value: Means the most probable selling price or the value most often sought by buyers and sellers. It assumes buyers and sellers have reasonable knowledge, act competitively and rationally are motivated by self interest to maximize satisfaction and both act independently and without collusion, fraud or misrepresentation Project Affected Person (s): A person that loses assets and/or usage rights and/or income generation capacities (e.g., land, structure, crops, businesses), because these assets/rights/capacities are located in land to be acquired or used, for needs of the project. Not all PAPs are displaced due to the Project, but all are potentially affected in the maintenance of their livelihood. Host Communities: Communities receiving resettled people as a result of involuntary resettlement activities Resettlement and Compensation Plan (RAP): Also known as a Resettlement Action Plan or Resettlement Plan is a resettlement instrument to be prepared when project activities are identified, that require land acquisition that leads to physical displacement of persons, and/or loss of shelter, and /or loss of livelihoods and/or loss, denial or restriction of access to economic resources. The RAP is prepared by the party impacting people and livelihoods in this manner and contains specific and legal binding requirements to be taken by that party to Earthguards Limited: Sustainable Development Consultants 5

6 resettle and compensate the affected party before project activities causing this adverse impact are implemented. For the purpose of this project, the Federal Ministry of Environment, Housing and Urban Development and the State Environmental Protection Agencies will be responsible for ensuring proper preparation and implementation of the RPF and PAPs. Resettlement Policy Framework (RPF): A resettlement instrument (this document) that is prepared by the borrower (in this case by the Federal Government of Nigeria) when project activities that require land acquisition that leads to physical displacement of persons, and/or loss of shelter, and /or loss of livelihoods and/or loss, denial or restriction of access to economic resources, are not identified at the project preparation stage. The RPF is therefore prepared before the proposed project is appraised setting out the resettlement and compensation principles, organizational arrangements and design criteria to be applied to meet the needs of the people who may be affected by the project, when project activities are identified. The RAP is prepared consistent with the provisions of the RPF. Earthguards Limited: Sustainable Development Consultants 6

7 1. INTRODUCTION The Objective of the CADP is to contribute to the government s strategy for poverty reduction by improving the welfare and living conditions of many poor and vulnerable communities in the participating states of Lagos, Kano, Kaduna, Enugu and Cross River. The project development objectives (PDO) is to strengthen agricultural production, processing, and marketed outputs among participating small and medium-scale commercial farms and agro-processors, thereby contributing to reduction of poverty, increased food security and achievement of a key MDG. The Project s objectives and incentives which promote cross-cutting values on equity, partnership, participation, gender, and transparency on commercial agriculture development will be openly expressed and will guide project implementation. These values will become the standard by which an implementation activity are assessed, and is envisaged to change behavior and attitudes of the stakeholders during implementation. This is expected to result in reduced vulnerability, poverty, inequity, and social conflict. The main thrusts of the project are improving access of the poor to basic services, opportunities for social advancement, and participation in the development process; demand-driven assistance; results-focused support; flexible implementation modalities; community participation with social inclusion in overall project implementation; and greater transparency and accountability. These requirements guided design of the Project and will be incorporated in its implementation. The Project will directly and indirectly support subsistence farmers and the poor with information, skills, technology, group organizing, and business opportunities that will allow them to pursue micro-enterprises, self-employment, or other opportunities in commercial agriculture as well as assist them through training to become employed in market-chain activities. Positive impacts on social and gender development will occur by (i) expanding opportunities for the poor and women to engage in commercial activities, (ii) reducing any vulnerability of disadvantaged groups arising from commercializing agriculture, and (iii) enhancing capabilities to engage directly in or benefit indirectly from commercial agriculture. Investment in local infrastructure in the form of access to feeder roads; adoption of appropriate agricultural technologies; access to market information and agribusiness and/or product improvement technology will be provided. The project goal will be achieved through a three-pronged strategy consisting of (a) provision of resources for working capital and term lending for capital investments in productive and marketing assets/activities to improve productivity, quality and efficiency of supply chains; (b) targeted investments into public/collective goods, such as feeder roads, marketing infrastructure and into key public service functions; and (c) building market, technical and managerial knowledge of agro-businesses, nucleus and commercial farmers and producer organizations through support to market research and analysis, extension, applied research and technology transfers. Earthguards Limited: Sustainable Development Consultants 7

8 The proposed CADP is structured to achieve its project development objective within the three major components of the project, which are: Component 1: Agricultural Productivity and Commercialization The objective of this component is to improve the adoption of existing agricultural technologies by commercial farmers/agro-processors. The component has three subcomponents: (a) Technology Adoption and Advisory Services: This sub-component would finance: (i) testing of technologies; (ii) technical and business advisory services, and (ii) one-time capital grants for investments needed for adoption of technologies that are linked to markets (e.g. adoption of technology on artificial insemination for dairy cattle, recirculating production systems for Aquaculture, etc). (b) Market Facilitation: This sub-component would provide support to a variety of actors that can stimulate agricultural commercialization and market development. The subcomponent will finance: development of information and knowledge for commercial farmers/agro-processors, including information on grading, quality control and packaging. This component will also finance awareness raising and behavioral change communication in support of agricultural commercialization in Nigeria. The Project will also finance the design of communication strategy, exchange programs within and outside Nigeria, development of a website, and establishment of commercial agriculture information kiosks. (c) Capacity Building: The sub-component will finance training of commercial farmers, organized producer/commodity associations/apex organization of Commercial Agriculture Development Associations (CADAs) that will play a coordinating role in the project. The sub-component would assist to develop the capacities of the CADAs to plan and execute their projects. The training will also include gender mainstreaming and social impacts. Component 2: Improving Rural Infrastructure This objective of this component is to assist to close the infrastructure gaps to enhance agricultural commercialization in the participating states by supporting and providing resources for the rehabilitation and maintenance of network of selected feeder roads using the Output and Performance Based Road Contracts (OPRC) concept and connecting commercial farms to rural electrification. The component has the following two sub-components: (a) Network of Rural Access Roads: This sub-component will link feeder roads to State and Federal roads through Outputs and Performance Based Road Contracts. Investments will address construction/rehabilitation/maintenance of rural access roads concentrated in areas where a critical mass of project participants will benefit. This sub-component will Earthguards Limited: Sustainable Development Consultants 8

9 be closely coordinated with the World Bank assisted Rural Access Mobility Project (RAMP). (b) Rural Energy: This sub-component will finance the rehabilitation and maintenance of rural energy, including provision of transformers and extension of lines from the main transmission lines to commercial farmers and agro-processing facilities in collaboration with the Power Sector Reform Project. Component 3: Project Management, Monitoring, Evaluation and Studies Project implementation and management at the state levels will be the responsibility of the State Commercial Agriculture Development Office (SCADO) and under the supervision of the State Steering Committee (SSC). The State Steering Committee will be chaired by the state Permanent Secretaries for the States Ministries of Agriculture and will consist of representatives from both the private and public sectors (i.e. the composition of the SSC will be agreed during project preparation/appraisal). The project management team (i.e. Project Coordinator, Procurement Officer, Agricultural Productivity and Commercialization Office, Rural Infrastructure Officer, Advisory and Business Development Officer, M&E Specialist, Environment/Natural Resources Officer, Project Accountant, Internal Auditor, Cashier) will be responsible for the day to day running of the project and will provide technical services to ensure compliance with fiduciary, legal, accounting, and supervision of the project. Terms of Reference will be developed for the SSC and the SCADO during project preparation/appraisal. In addition, the SCADO will be supported by an oversight National Coordinating Desk (NCD) under the Supervision of National Steering Committee (NSC). The NCD will serve as the Secretariat for the NSC and will be housed at the Project Coordinating Unit of the Federal Ministry of Agriculture and Water Resources and with the Director of PCU as the Technical Secretary to the NSC. The project will provide resources for the operation of the NCD. The NSC, which will be chaired by the Permanent Secretary of the Federal Ministry of Agriculture and Water Resources, will be responsible for oversight coordination, advisory support, and harmonization of the Federal and State government policies on economic development and growth. The responsibility of the NCD will be to provide overall coordination of the project, facilitate project audits and consolidate reporting. It will also be responsible for coordination of M&E related activities and the PMT will report to it. These activities will include monitoring subprojects financed under the matching grants scheme and safeguards and social measures for compliance with Bank and local policies; updating project performance indicators; writing of periodic progress reports; and carrying out studies, including impact evaluations. To ensure close collaboration between the project and Fadama III, members of Fadama III preparation teams both at the Federal and state levels are in the project preparation steering committee for CADP. Also, during project implementation, it is proposed that quarterly meetings of the state steering committees and the Project teams of similar projects will be held to ensure coordination and to minimize the risk to cross project dependency. Also, the implementation arrangements of the project are decentralized to the states. Earthguards Limited: Sustainable Development Consultants 9

10 There are roles envisioned for the government, Agricultural Development Projects (ADP) and Research Institutes in the implementation of the project. State and Federal Government will be involved in project coordination and monitoring while the ADPs will provide support on adaptive research and extension services. Research Institutes will collaborate with the project in bringing research findings and proffering solutions to investments bottlenecks in production areas. This component would finance Project Management and Monitoring and Evaluation as follows: (a) Project Management : This sub-component will finance: (i). Incremental costs related to project implementation and management at the state and federal levels (i.e. State Project Management Team-PMT and the National Coordinating Desk -NCD located at the Projects Coordinating Unit); (ii). Equipment; (iii). Vehicles; (iv). Operation and maintenance cost; (v). Minor civil works for rehabilitation of both PMT and NCD offices; and (vi). Specialized technical assistance and training at the state and federal aimed at developing capacity for coordination of implementation. (b) Monitoring and Evaluation: This sub-component will finance: (i) Management Information System; (ii) Impact evaluation and beneficiary assessment, including Mid Term Review; (iii) Monitoring and evaluation of Environmental Management Plan. (iv) Monitoring and evaluation of Resettlement Action Plans (c) Studies: This sub-component will finance studies to develop a strategy for the development of commercial Agriculture. Case studies, such as the recent experience with the Kwara State partnership with the Zimbabwe farmers, will be reviewed, along with other lessons, including those that emerge from implementation of the project. Also, support to stock taking in the irrigation sub-sector will be undertaken. Specifically, under Component 2, improving rural infrastructure, there are plans to rehabilitate and or provide new infrastructure. The menu of sub-projects will include: (a) rehabilitation and/or construction of feeder and feeder access roads, culverts and small bridges; and (b) infrastructure for rural energy and transmission lines. The activities that are likely to result in involuntary displacement will be those involving feeder road improvements. Aspects which might result in involuntary resettlement are road realignment and diversion, borrow pits and construction camps. Even then, experience shows that the environmental impact of rehabilitation and maintenance projects are considerably lower than that of new road construction. The RPF provides the overarching framework by which potential resettlement issues will be addressed. Earthguards Limited: Sustainable Development Consultants 10

11 Notwithstanding, land acquisition that may lead to either the physical displacement of people or their loss, denial or restriction of access to CADP economic resources and therefore the involuntary resettlement of people seems inevitable in some cases. In any case, wherever there is physical relocation, acquisition of land, impacts on assets and/or impact on resources (either natural or economic) occurs, the World Bank Operational Policy, OP4.12 on Involuntary Resettlement and certain Federal and State laws of the FGN will be triggered. The FGN is not required to prepare a Resettlement Plan at this stage since the land/sites have not yet been identified. However, the FGN is required to prepare a Resettlement Policy Framework (RPF) to be publicly disclosed in country and at the info shop at the Bank, before appraisal of this project. The RPF establishes the resettlement and compensation principles, organizational arrangements and design criteria to be applied to meet the needs of the people who may be affected by the project. When the land/sites are identified, resettlement/compensation plans will be subsequently prepared consistent with this policy framework and will be submitted to the Bank for approval before any land acquisition, resettlement, loss, denial of, and restriction to CADP resources or any other impact on livelihood occurs. The RPF is prepared to the standards of the FGN (and its respective participating states) own policy on resettlement and the policy of the World Bank, OP4.12. Where differences are found between the World Bank Policies and Nigerian laws and policies, the World Bank Policies will be followed. Earthguards Limited: Sustainable Development Consultants 11

12 Purpose of the Resettlement Policy Framework (RPF) The World Bank s Operational Policy on Involuntary Resettlement (OP 4.12) is applied to any project supported by the Bank which displaces people from land or productive resources, and which results in relocation, the loss of shelter, the loss of assets or access to assets important to production, the loss of incomes sources or means of livelihood, or loss of access to locations that provide higher incomes or lower expenditures to businesses or persons. The policy applies whether or not the affected persons must move to another location. The Bank describes all these processes and outcomes as involuntary resettlement, or more simply resettlement, even if people are not forced to move. Resettlement is involuntary if affected people do not have the option to retain the status quo that they have before the project begins. In straight forward investment projects in which the specific investments have been identified, the OP directs that a Resettlement Action Plan, also called RAP be drawn up to deal with any displacement caused by the project. In CADP, Neither the final list of subprojects, the timing of physical works, nor the scope and design of such works are currently known. In this case, OP 4.12 provides that there be a Resettlement Policy Framework (RPF) at the outset of the project to guide the treatment of resettlement issues across the eventual set of subprojects. This RPF is a statement of the policy, principles, institutional arrangement and procedures that the CADP project will follow in each sub-project involving resettlement. It sets out the elements that will be common to all the subprojects. It allows RAP consultants and project implementers, who may be different for different works subprojects, to deal with specific subprojects without having to re-negotiate fundamental agreements. With this RPF in place, each RAP will be a detailed action plan for treating the set of people affected by a particular subproject. Earthguards Limited: Sustainable Development Consultants

13 2. Principles and Objectives Governing Resettlement The impacts due to involuntary resettlement from development projects, if left unmitigated, often gives rise to severe economic, social and environmental risks resulting in production systems being dismantled, people facing impoverishment when their productive skills may be less applicable and the competition of resources greater; community institutions and social networks being weakened; kin/clan groups being dispersed; and cultural identity, traditional authority, and the potential for mutual help are diminished or lost. The World Bank Safeguard Policy OP 4.12, in most cases, is not triggered because people are being affected by physical displacement. It is triggered because the project activity causes land acquisition, whereby a physical piece of land is needed and people may be affected because they are cultivating on that land, they may have buildings on the land, they may use the land for water and grazing of animals or they may otherwise access the land economically, spiritually or any other way which may not be possible during and after the project is implemented. Therefore, people are in most cases compensated for their loss (of land, property or access) either in kind or in cash of which the former is preferred Therefore, the objectives of this Resettlement Policy Framework are: a) to minimize and mitigate impacts of involuntary resettlement resulting from all components of subprojects under CADP. b) to ensure that people adversely affected by CADP subprojects are fully compensated and successfully resettled, the livelihoods of affected people are re-established and the standard of living improved. c) to ensure that no impoverishment of people shall result as a consequence of compulsory land acquisition, or acquisition of assets, for purposes of implementing CADP subprojects. d) to assist adversely affected persons in dealing with the psychological, cultural, social and other stresses caused by project impacts. e) to make all affected persons aware of processes available for the redress of grievances that are easily accessible and immediately responsive. f) to have in place a consultative, transparent and accountable involuntary resettlement process with a time frame agreed to by the subproject implementer and the affected persons. Earthguards Limited: Sustainable Development Consultants

14 Affected people, according to the Bank Safeguard Policy OP 4.12, refers to people who are directly affected socially and economically by Bank-assisted investment projects caused by: (a) the involuntary taking of land and other assets resulting in: i. Relocation or loss of shelter ii. Loss of assets or access to assets iii Loss of income sources or means of livelihood, whether or not the affected persons must move to another location; (b) the involuntary restriction or access to legally designated parks and protected areas results in adverse impacts on the livelihood of the impacted persons. The Bank Safeguard Policy OP 4.12 applies to all components under the project, whether or not they are directly funded in whole or in part by the Bank. The policy applies to all components under the project, whether or not they are directly funded in whole or in part by the Bank. The Annex A shows the template for preparing resettlement and compensation plans. The policy applies to all (economically or physically) impacted persons regardless of the total number affected, the severity of the impact and whether or not they have legal title to the land. Particular attention will be paid to the needs of vulnerable groups among those displaced; especially those below the poverty line; the landless, the elderly, women and children and the ethnic minorities or other impacted persons who may not be protected through Nigerian land compensation legislation. In particular for CADP, the policy also requires that the implementation of individual resettlement and compensation plans are a prerequisite for the commencement of subproject activities causing resettlement, such as land acquisition, to ensure that displacement or restriction to access does not occur before necessary measures for resettlement and compensation are in place. It is further required that these measures include provision of compensation and of other assistance required for relocation, prior to displacement, and preparation and provision of resettlement sites with adequate facilities, where required. In particular, the taking of land and related assets or the denial of access to assets may take place only after compensation has been paid and where applicable, resettlement sites, new homes, related infrastructure, public services and moving allowances have been provided to impacted persons. Furthermore, where relocation or loss of shelter occurs, the policy further requires that measures to assist the impacted persons are implemented in accordance with the resettlement and compensation plan of action. In this project, the implementation of subprojects is expected to have overall positive social impacts, simply because incomes of the commercial farmers are expected to significantly increase, so are agricultural productivity and rural infrastructure, which will lead to an increase in the standard of living of the commercial farmers and the communities at large. Notwithstanding, there are considerable risks to the success of the Earthguards Limited: Sustainable Development Consultants 14

15 project as a whole if the negative social impacts on some of the Commercial farmers are left unmitigated. These negative social impacts include denial, restriction or loss of access to the economic resources or sources of livelihood. When this happens, people will be impacted and resettlement and compensation cannot be avoided and the World Bank Safeguard Policy OP 4.12 will be triggered even though they may not have to physically move to another location. The FGN will actively seek and engage the participation of all key stakeholders in the formulation of Conflict Resolution Committees as a condition of funding of any sub project. It is particularly important to neutralize to the extent possible any socio-economic pressures in the communities that are likely to be exacerbated by involuntary resettlement, by facilitating the participation of those impacted in the sub project activities. Therefore, offering impacted people the opportunity to continue to participate in the planning process that would lead to the preparation of Resettlement Plans is mandatory. Offering impacted people the opportunity for employment during the construction or to providers of services such as supplying water or construction materials such as gravel, sand etc., will provide additional income generating opportunities to a significant number of impacted persons who may potentially have to be resettled. Therefore, this opportunity for local employment is being taken advantage of in this RPF, by including it for discussion in the consultative process with the affected communities. This RPF prefers to encourage potential civil works contractors and the Commercial Agriculture Development Association's (CADAs) through the provision of incentives in their contracts to show preference for employing project affected persons and not through legal provision. One way of promoting this would be for the project to train potentially affected persons to acquire the skills needed by these contractors. Furthermore, it is worthy to note that rush migration to selected land sites may occur by those wishing to take advantage of the rules of eligibility. Were this to happen it would bring to bear additional pressures on the whole planning process, compensation budgets and increase the tendency for conflict among users. This has major considerations therefore when establishing the cut-off dates. A major object of this RPF is to ensure that displaced communities are meaningfully consulted, have participated in the planning process, are adequately compensated to the extent that at least their pre-displacement incomes have been restored and that the process has been a fair and transparent one. Earthguards Limited: Sustainable Development Consultants 15

16 3. The Process for Preparing and Approving Resettlement Plans. As stated earlier, the World Bank policy on Involuntary Resettlement OP 4.12 is triggered because the CADP will finance productive and infrastructural investments that may require land acquisition leading to loss, denial or restriction of access to economic resources or sources of livelihoods. Since the location of these sites were not known at the time of the preparation of the project, the preparation and disclosure of this RPF by the FGN is a conditionality for appraisal of this project. However, during implementation of this project, in a process defined here below, the selection of these sites would be made. When that happens, land would be acquired or access to economic resources of the CADAs may be lost, denied or restricted and people may then be affected. At that stage, OP 4.12 calls for the preparation of individual Resettlement Plans that must be consistent with this RPF. To address the impacts under this policy, resettlement and compensation plans must include measures to ensure that impacted persons are; (a) (b) (c) (d) informed about their options and rights pertaining to resettlement and compensation. consulted on, offered choices among, and provided with technically and economically feasible resettlement and compensation alternatives. provided prompt and effective compensation at full replacement cost for losses of assets and access, attributable to the project. Enabled to restore but preferably, to improve upon their pre-project living standards and conditions. The first stage in the process of preparing the individual resettlement and compensation plans is the screening process to identify the land/sites that are causing this impact (i.e. resettlement). The resettlement and compensation plans will contain the analysis of alternative sites undertaken during the screening process. The Land Selection Screening Process This process would lead to the identification and approval of a number of subprojects that may potentially involve resettlement issues. In pursuant thereof, the respective Commercial Agriculture Development Associations (CADAs) who will be assisted by facilitators will be responsible for screening of their subprojects before submission to the State Commercial Agriculture Development Office (SCADO) for review and final approval. The SCADO will also subject the subprojects submitted to it by the CADA to a final screening process to ensure compliance with this RPF. Earthguards Limited: Sustainable Development Consultants

17 The screening process would take the form of; General sub project sub sector classification: A - Food and Cash crops B - Livestock C - Fisheries D - Hunting E - Miscellaneous Geographic location of the sub-project: The name of the State and Local Government in which the sub- project is located. Environmental Classification: A, B or C in compliance with Bank Policy OP Classifying the sub projects by activity into the following categories; (i) Irrigation- small dams (ii) Rural energy infrastructure (iii) Water Retention Ponds/Water Harvesting structures (iv) Livestock/diary infrastructure (v) Aquaculture related infrastructure (vi) Agric-processing related infrastructure (vii) Storage infrastructure (viii) Feeder and CADP access roads; culverts and small bridges Any Category A project will not be funded by this project. 2. Identifying and evaluating potential impacts for each proposed subproject on the Bank Safeguard Policy OP 4.12 described in chapter 2 above. 3. If it is determined that social impacts are too great then the sub-project may be rejected. 4. Alternatively, triggering of the Bank Safeguard Policy OP 4.12 would require a further preliminary determination of whether the subproject should be proposed or not, based on an assessment of the intensity of impact and on the mitigation measures that would need to be developed and proposed. The CADA may then determine whether or not, to submit its subproject proposals to the SCADO for review and eventual approval; even where extensive/cumbersome mitigation measures are deemed necessary in the subproject. 5. Determine the sub - project land needs. For sub projects requiring land, the CADA must obtain legal title to the land. This is a pre-condition for approval. 6. A socio-economic study and census is to be carried out for each sub project targeted area requiring land acquisition impacting assets and/or resulting in loss, denial, restriction of access to users of CADP resources. Using the findings of the socio-economic studies and the census to identify affected people on the individual, household level and Earthguards Limited: Sustainable Development Consultants 17

18 vulnerable groups (in the sub-project impact(s)) and to calculate household incomes. These studies are to be carried out by the CADA's assisted by their facilitators. The purpose of the Socio-economic study is to collect base line data within the chosen/targeted sites/areas thereby enabling the social assessment of potentially affected populations/communities. The socio-economic study would focus on the identification of stakeholders (demographic data), the participation process, identification of affected people (including owners and users of land) and impact on their property and their production systems, the institutional analysis and the system for monitoring and evaluation. Detailed calculation of individual and household economies and identification of all impacts will be undertaken as part of the socio-economic study and be the determinant in the potential compensation process. Standard characteristics of the affected households, including a description of production systems, labor, and household organization, and baseline information on livelihoods (including production levels and incomes derived from both formal and informal economic activities) and standards of living and health status of the displaced population. Under this study a comprehensive base line census would be carried out to identify potentially affected people on the individual and household levels, vulnerable groups (women, children, the elderly, female headed households, affected internally impacted people, affected internally displaced households, etc.) and to discourage inflow of people ineligible for assistance. The socio-economic study and baseline census will be prepared on behalf of the CADA by their facilitators and paid for by the CADA's. Alternatively, consultants could be recruited to undertake these studies. On completion the socio- economic study and the baseline census, the CADA's will prepare a resettlement plan for each site/subproject. Where the impacts on the entire displaced population are minor (i.e. if affected people are not physically displaced and less than 10% of their productive assets are lost) or fewer than 200 people are displaced, then the bank may approve the preparation of an Abbreviated Resettlement Plan (ARAP). The contents of the ARAP are: (a) A census survey of impacted persons and valuation of assets. (b) Description of compensation and other resettlement assistance to be provided. (c) Consultations with impacted people about acceptable alternatives. (d) Institutional responsibility for implementation and procedures for grievance redress (e) Arrangements for monitoring and implementation, and (f) A timetable and budget. For impacts that are not considered minor, the preparation of a Resettlement Plan (RAP) is required for each site. World bank OP 4.12 article 25 sets the requirements of the RAP to include; (a) Baseline census and socio-economic survey information (b) Specific compensation rates and standards Earthguards Limited: Sustainable Development Consultants 18

19 (c) Policy entitlements related to any additional impacts identified through the census or survey (d) A description of the resettlement sites and programs for improvement or restoration of livelihoods and standards of living (e) Implementation schedule for resettlement activities (f) Detailed costs estimates. The resettlement plans would then be forwarded for screening and approval to the SCADO in compliance with the project institutional and administrative requirements. All approved subprojects that trigger OP4.12 and their resettlement plans would be subject to the final approval of the World Bank to ensure compliance with Bank safeguards. Thus ensuring that before land is actually acquired or access to resources is lost, denied or restricted, that the individual resettlement plans are consistent with this RPF. The above screening process should be used by the CADA's in their preparation of their subprojects to enhance their likelihood for approval. Furthermore, the SCADOs should as a guideline consider the cumulative factor and not approve sub projects that have individual high impact intensity. For example, where land acquisition is required to such an extent that it would require more than 20% of a community's or individual's total land under use or when the mitigation measures are so cumbersome that their efficacy cannot be predetermine or they cost more than 15% of the subproject investment budget. Before the decision to approve a subproject is taken, the SCADO's will need to approve or disapprove the resettlement plan of the sub project in totality with the overall environmental and social screening process that has been applied for each sub project and to also approve or disapprove of the proposed mitigation measures, if any. The subprojects are expected to be very small in scale. However, the cumulative effect of hundreds of subprojects is likely to be significant and a review must be made at a level higher than the community level on the possible cumulative impact of subprojects and if the respective individual mitigation measures per subproject are sufficient at the cumulative level. When the cumulative impacts of subprojects are being considered at the community and trans - state levels, additional mitigation measures may be deemed necessary. These would have to be integrated into the resettlement plans of future sub projects and the monitoring and evaluation plan of the project. This process of identifying land, consulting potentially impacted people, carrying out a socio-economic study may have to be iterative, simply because the mitigation measures (i.e. the compensation levels) may be too costly in terms of the amount paid as compensation and the overall number of people impacted. This would have to be determined by the SCADO's. The CADA's may also wish to consider the selection of alternative sites to propose to the SCADO's for approval. However, irrespective of whether the process of identifying potential land/sites is pursued Earthguards Limited: Sustainable Development Consultants 19

20 iteratively or a number of sites are identified simultaneously, the process for the selection must be as described above. Capacity will be built at the community levels (within the CADAs) by providing technical assistance to allow communities themselves to screen their subprojects for environmental and social concerns. This training will also include the capacity to develop mitigation measures to meet environmental and social impacts and to prepare implementation of such measures. Local facilitators that are required to work with the CADA's will be targeted for training to enhance their skills and to produce more of them. This would build capacity at the community level which is crucial for success of this project. Earthguards Limited: Sustainable Development Consultants 20

21 4 Land Acquisition and Likely Categories of PAPs At this stage, it is not possible to estimate the likely number of people who may be affected since the subprojects have not yet been developed and are largely unknown. However, the likely impacted persons can be categorized into three groups, namely; Individuals and Households Potentially Affected (i) Affected Individual An individual who suffers loss of assets or investments, land and property and/or access to natural and/or economical resources as a result of the subproject activities and to whom compensation is due. For example, an affected individual is a person who farms a land, pastoralists whose routes have been altered, or a person who has built a structure on land that has been demarcated and is now required by the subproject. (ii) Affected Household A household is affected if one or more of its members is affected by sub project activities, either by loss of property, loss of access or otherwise affected in any way by project activities. This provides for: (a) any members in the households, men, women, children, dependent relatives and friends, tenants (b) vulnerable individuals who may be too old or ill to work. (c) members of households who cannot reside together because of cultural rules, but who depend on one another for their daily existence (d) members of households who may not eat together but provide housekeeping, or reproductive services critical to the family s maintenance, and (e) other vulnerable people who cannot participate for physical or cultural reasons in production, consumption, or co-residence. In the local cultures, members of production, consumption, and co-resident groups form overlapping, often incongruent sets of people who may exchange domestic or farming services on a regular basis even though living separately. Compensation will not be limited to people who live together in a co-resident group, since this might leave out people whose labor contributions are critical to the functioning of the household. For example, among polygamous settings, each wife has her own home. (iii) Vulnerable Households Vulnerable households could be owners of compound walls or shops/room that will be partially demolished during sub project activities. Partial demolition of houses will lead to congestion and possible voluntary Earthguards Limited: Sustainable Development Consultants 21

22 termination of tenancy. These negative impacts of partial demolition will deprive landlords of important rent income. Other vulnerable groups are: (a)-internally Impacted peoples these are people who had to flee their homes during recent civil unrests/riots/armed robberies and are virtually refugees in their own country and have not returned. They may be dependent on the NGO community and others for support. (b) Elderly With age limiting them in terms of productivity, they will have cash or in-kind replacements to exchange. For future production they need access to only a small parcel of land. What would damage their economic viability is resettlement that separates them from the person or household on whom they depend for their support. The definition of household by including dependents avoids this. (c) Women May depend on husbands, sons, brothers or others for support. In many cases too, women are the main breadwinners in their household. They need relatively easy access to health service facilities, as mothers and wives. Some women live in a polygamous situation in Nigeria and this requires special attention, as women are central to the stability of the household. For example, where the land being acquired is used by a woman with no formal rights to it or a woman who is dependent on a man other than her husband for her primary income. These women should not be resettled in a way that separates them from their households as the very survival of their households may depend on them. Their compensation must take into account all these factors. (d) Income related poverty that is the poorest households are also vulnerable. Special attention would be paid to these groups by identifying their needs from the socioeconomic and baseline study so that (i) they are individually consulted and given the opportunity (i.e. not left out) to participate in the project activities, (ii) that their resettlement and compensation is designed to improve their pre-project livelihood (iii) special attention is paid to monitor them to ensure that their pre-project livelihood is indeed improved upon (iv) they are given technical and financial assistance if they wish to make use of the grievance mechanisms of the project and (v) decisions concerning them are made in the shortest possible time. Earthguards Limited: Sustainable Development Consultants 22

23 5. Criteria and Eligibility for Compensation of Project Affected Persons (PAPs) The Bank s OP4.12 suggests the following three criterions for eligibility; a) Those who have formal rights to land (including customary land, traditional and religious rights, recognized under the Federal and/or State Laws of Nigeria) b) Those who do not have formal legal rights to land at the time the census begins but have a claim to such land or assets provided that such claims are recognized under the state and/or federal laws of Nigeria, traditional or customary recognition of right to occupy, or become recognized through a process identified in the resettlement plan. c) Those who have no recognizable legal right or claim to the land they are occupying, using or getting their livelihood from. Those covered under a) and b) above are to be provided compensation for the land they lose, and other assistance in accordance with the policy. Persons covered under c) above are to be provided with resettlement assistance in lieu of compensation for the land they occupy, and other assistance, as necessary, to achieve the objectives set out in this policy, if they occupy the project area prior to a cut-off date established by the SCADO s/cada s in close consultation with the potential PAPs and in compliance with the Conflict Resolution Mechanisms established in the CADP project and acceptable to the Bank. Persons who encroach on the area after the cut-off date are not entitled to compensation or any other form of resettlement assistance. All persons included in a), b) or c) above are to be provided with compensation for loss of assets other than land. Therefore, it is clear that all project affected persons irrespective of their status or whether they have formal titles, legal rights or not, squatters or otherwise encroaching illegally on land, are eligible for some kind of assistance if they occupied the land before the entitlement cut-off date. Persons who encroach the area after the socio-economic study (census and valuation) are not eligible for compensation or any form of resettlement assistance. Eligibility for Community Compensation Communities (districts, towns and villages) permanently losing land and/or access to assets and or resources under customary rights will be eligible for compensation. Example of community compensation could include those for public toilets, market place, taxi parks, schools and health centers. The rationale for this is to ensure that the pre-project socio-economic status of communities where adversely impacted is also restored. The local community leaders will play a crucial role in identifying users of land Earthguards Limited: Sustainable Development Consultants

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