Social Monitoring Report – RP Implementation

Project Number: 40626-013 Semi-Annual Report January 2015

PRC: Integrated Road Network Development Project

Prepared by Beijing Zhongkehongce Consulting Company for the People’s Republic of and the Asian Development Bank.

This social monitoring report is a document of the borrower. The views expressed herein do not necessarily represent those of ADB's Board of Directors, Management, or staff, and may be preliminary in nature.

In preparing any country program or strategy, financing any project, or by making any designation of or reference to a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.

Asian Development Bank

External Monitoring Report - RP Implementation

# 6 Semi-Annual Report January 2015

2709-PRC: Yunnan Integrated Road Network Development Project (Longrui Expressway)

Prepared by Beijing Zhongkehongce Consulting Company.

Table of Contents

SUMMARY ...... 1 I. INTRODUCTION ...... 3

A. PROJECT BRIEF AND CONSTRUCTION PROGRESS ...... 3 B. THIS MONITORING REPORT ...... 3 II. METHODOLOGY...... 4 III. LAR STATUS ...... 5

A. PERMANENT LAND ACQUISITION ...... 5 B. HOUSE DEMOLITION AND RESETTLEMENT ...... 7 C. TEMPORARY LAND OCCUPATION AND RESTORATION ...... 8 IV. LAR IMPACT STATUS ...... 10

A. AFFECTED HOUSEHOLDS AND PERSONS ...... 10 B. VULNERABLE AND SEVERELY AFFECTED HHS ...... 10 V. SAFEGUARDING ENTITLEMENTS ...... 12 VI. EXPENSES AND FUNDING ...... 13

A. TOTAL COMPENSATIONS MADE...... 13 B. TOTAL EXPENSES AND FUNDING ...... 13 C. LREC’S CONTRIBUTION ...... 14 D. FUNDS FLOW ...... 14 VII. INSTITUTIONAL ARRANGEMENT AND CAPACITY ...... 16 VIII. RESETTLEMENT AND INCOME RESTORATION ...... 17

A. RESETTLEMENT HOUSEHOLDS ...... 17 B. TRAINING OF APS ...... 17 Case 1: Training on Dendrobe Cultivation and Management ...... 18 Case 2: Training on Drying Aromatic Tabocco ...... 18 Case 3: Training on Rubber Tapping ...... 18 C. EMPLOYMENT OF APS ...... 19 D. PROTECTION OF WOMEN'S RIGHT AND INTERESTS ...... 19 E. SUPPORT TO VULNERABLE HOUSEHOLDS ...... 20 F. INCOME RESTORATION OF AFFECTED HHS ...... 21 Case 4: Changing Cropping Pattern of Mars Jiang...... 21 Case 5: Doing Businesses by Mr. Aiming’s Family ...... 22 Case 6: Operating A Rice Milling by Mrs. Lang’s Family ...... 22 F. RESTORATION IN SEVERELY AFFECTED NATURAL VILLAGES ...... 22 G. RESTORATION IN NON-SEVERELY AFFECTED NATURAL VILLAGES...... 23 H. RESTORATION OF TEMPORARILY OCCUPIED LAND...... 23 IX. CONSULTATION AND PARTICIPATION ...... 25 X. GRIEVANCE REDRESS ...... 26 XI. CONCLUSION AND FOLLOW-UP ACTION ...... 27 XII. ANNEXES ...... 28

ANNEX 1. LAND ACQUISITION FOR SERVICE AREAS ...... 28 ANNEX 2. ADDITIONAL LAND ACQUISITION ...... 28 ANNEX 3. RP AND ACTUAL COMPENSATIONS STANDARDS ...... 29

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ANNEX 4. DETAILED TRANSFER RECORDS FROM LREC ...... 30 ANNEX 5. TRAINING IN 2014 ...... 31 ANNEX 6: SURVEY RESULTS OF SAMPLE HHS ...... 32 ANNEX 7: RESTORATION IN SEVERELY AFFECTED NATURAL VILLAGES...... 36 ANNEX 8: LAR IN 9 NATURAL VILLAGES ...... 39

List of Figures and Tables

Figure 1: Longrui Expressway and Aligned Counties and Townships ...... iii Figure 2: Construction Progress ...... iii Figure 3: Relocation Houses ...... iv Figure 4: APs Working as Landscaping in and in Jan. 2015 ...... iv Figure 5: Training of Affected People ...... v Figure 6: Restoration of Temporally Occupied Land ...... v Figure 7: Agreements Signing and Compensation Payments ...... vi Figure 8: Interviewing APs during Monitoring ...... vi Figure 9: Income Restoration Activities ...... vii Figure 10: Funds Flow Chart ...... 15 Figure 11: Institutional Arrangement ...... 16 Figure 12: Grievance Redress Procedure ...... 26

Table 1: Natural Villages and Contractors Surveyed ...... 4 Table 2: Progress on Land Acquisition ...... 6 Table 3: Land Acquisition by Type...... 7 Table 4 Provision of Land to Five Contractors ...... 7 Table 5: Progress on Resettlement ...... 8 Table 6: House Demolishment by Type ...... 8 Table 7: Temporary Land Occupation and Restoration (Dec 2014) ...... 9 Table 8: Affected Households and Persons ...... 10 Table 9: Affected Households and Persons by County ...... 11 Table 10: Vulnerable and Severely Affected HHs ...... 11 Table 11: Implementation of Entitlements ...... 12 Table 12: Total Compensations Made by December 2014 ...... 13 Table 13: Costs and Funding ...... 14 Table 14: Fund Transfer Records from LERC to Coordination Offices ...... 14 Table 15: Implementation of Training Program ...... 18 Table 16: Employment of Local Unskilled Labors by Contractors ...... 19 Table 17: Support to Vulnerable People ...... 20 Table 18: Restoration in Severely Affected Natural Villages ...... 23 Table 19: C&P Plan and Its Implementation Status ...... 25

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Figure 1: Longrui Expressway and Aligned Counties and Townships

Santaishan Tonnel in Mangshi Jan. 2015 Heishanmen Tonnel in Mangshi Jan. 2015

Figure 2: Construction Progress

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July 2013 A celebration in a AH in Jan 2015

July 2013

Figure 3: Relocation Houses

APs working in Santaishan part of the APs working in Laiwu Village of Project Expressway in Jan 2015 the Project road in Jan 2015

Figure 4: APs Working for Landscaping in Mangshi and Ruili

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Fruit technical Training, Ruili, Nov. 2014 Vegetable technical Training, Ruili, Nov. 2014

Vegetable-technical Training, Mangshi, Sep. 2014 Potato technical Training, Mangshi, Dec. 2014

Figure 5: Training of Affected People

Restoration of #12 Spoil Area. Contractor 2

Restoration of Layuan Bridge Area. Contractor 9

Restoration of #39 Spoil Area. Contractor 19 Restoration of #39 Spoil Area. Contractor 22

Figure 6: Restoration of Temporally Occupied Land

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Signing agreement in village, Posting payment sheet in Zhefang township (Sept 2012) Hunong village, Sept 2012

Mr. Yue Xiaosi, Mangli natural village, Zhefang township, received CNY 399,101,5 for affected house on 22 Sept 2012; and CNY 106,057,84 for land loss on 04 Nov

Bank Account (opened in 2006) and a payment received. Figure 7: Agreements Signing and Compensation Payments

HH interview in Ruili, Jan. 2015 HH interview in Longling, Jan. 2015

Figure 8: Interviewing APs during Monitoring

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Rice milling of Mrs. Lang’s family, Mangshi Jan. 2015 Shops of Mrs. Lang’s family, Mangshi Jan. 2015

Aromatic Tobacco in Waiguai village, Mangshi Jan. 2015 Cattle in Laiwu Village, Ruili Jan. 2015

Figure 9: Income Restoration Activities

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Summary

A. Construction Progress The expressway will open for operation in 2015. By December 2014, civil works of the expressway’s subgrade had been basically completed: (i) 100% of roadbed excavation done; (ii) 100% of roadbed filling finished; (iii) 100% of slope protection works done; (iv) 100% of soft foundation treatment completed; (v) 100% of bridge piles/foundation completed; (vi) 100% of culverts and crossings done; (vii) 95% of tunnel works; and etc. B. Permanent Land Acquisition Land acquisition was completed for both the land within staked construction redlines (i.e., expressway alignment itself) and for additional land beyond the staked redlines by July 2014. Overall the project had acquired 13,863.1mu of land by July 2014, which is 120.8% of the RP estimate. The increase of 20.8% was mainly resulted from converting access roads in Longling County to permanent land acquisition and new acquisition of land for service areas that were not included in the final design. The increases did not have significant impacts as additionally i acquisitioned lands are either existing roads or forestlands. There was be no additional land acquisition during July-Dec 2014 and there will be no additional land acquisition in 2015 and thereafter. C. Relocation of Affected HHs Relocation of affected HHs was fully completed by July 2014. A total of 297 HHs were relocated, which is 133 HHs more than the RP estimate of 164 HHs, and 2 HHs more than the revised estimate of 195 HHs in the LREC’s DDR.1 There was no additional house demolition and relocation during July-Dec 2014 and there will also be no additional house demolition and relocation in 2015 and thereafter. D. Temporary Land Occupation and Restoration As of December 2014, overall temporary land occupation is 995.0mu, accounting for 28.9% of the planned area in the RP. Along with completion of civil works, about 2,020mu of once temporarily occupied land was restored from time to time. All the remaining temporarily occupied land will be restored in 2015. E. Safeguarding Entitlements Implementation of entitlements status followed the RP, including (i) compensation for land, houses, and standing crops with rates specified in the RP; (ii) assistance to vulnerable HHs as specified in the RP; (iii) timely payment of compensation to APs; and (iv) implementation of income restoration measures as planned in the RP. In addition, there are two positive exceptions: (i) wasteland and some forestland were counted as farmland in practice, this enabled APs to benefit more from the project because of higher compensation rates; and (ii) Zone I land compensations rates (i.e., higher rates) were adopted for Zone II in the case of Mangshi City.2 F. Total Expenses and Funding Total expenses on LAR, including compensations made and administration expenses, as well as

1 Actual relocation HHs increased to 295 by July 2013. As per ADB’s request, LREC submitted a DDR to ADB in March 2014 that explained the increases. 2 Paddy land: CNY 57,278/mu (Zone I, Mangshi township) vs. CNY 29,355/mu (Zone II, Zhefang and Santaishan townships); Dry land: CNY 50,669/mu vs. CNY 24,720/mu.

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expenses for external monitoring are CNY987.47 million by December 2014, which is 121.8% of the RP budget. Of the total expenses, LREC and local government contributed CNY627.55 million (63.6%) and CNY359.92 million (36.4%) respectively. LREC’s compensation contribution of CNY623.05 million accounts for 100.6% of the agreed contribution for LAR costs.3 G. Institutional Arrangement and Capacity The actual institutional arrangements are identical to that specified in the RP (Figure 11). This institutional arrangement, with adequate and experience staff, is very capable and had ensured the smoothly Implementation of LAR as of December 2104. H. Grievance Redress The RP specified grievance redress system, mostly using existing administrative set-ups, is in place (Figure 12) and functioning well in the project counties. The relocation of 119 HHs by 2013, that were close to the expressway alignment but beyond the staked construction redlines, was resulted from complaints. These households, for fear of blasting engineering works (HHs close to tunnels) and for fear noises and dusts during expressway construction and operation (HHs close to the expressway) first complained to their villages requesting for relocation, the villages then reported to township governments and then reported to county/city coordination offices. County coordination office, upon initial site visits and consultation, invited LREC for on-site verification and confirmation. Upon confirmation by LERC, county/city coordination mobilized relocation procedure with insensitive consultation. Apart from these relocation households, there is no other complaint on LAR. I. Consultation and Participation A consultation and participation plan is included in the RP (Table 19) and this plan was implemented as of December 2014. The consultant visited 17 natural villages in December 2014 and January 2015 for the purpose of carrying out monitoring. All visited households confirmed that there were frequents and adequate consultation and participations in 2012-2014. J. Conclusion and Follow-up Action The project had completed its LAR and there will be no additional LAR in the coming seasons. Land and resettlement compensations were timely paid to APs. APs are satisfactory with LAR of the project and restoration measures were either implemented or under implementation with good results. Given that LAR was completed by July 2014, the monitor will submit its annual evaluation reports in 2016 and 2017 respectively. During the 2017 monitoring, an end-line survey by using the baseline survey questionnaire and sample HHs, will be conducted.

3 An agreement on LAR was made among Dehong Prefecture Government, LREC and 4 provincial government departments in March 2011. The agreement stated that LREC will contribute CNY 536.65 million for Dehong Prefecture on LAR, and any exceeding budget will be covered by Dehong Prefecture Government. A similar agreement was also made among Baoshan Municipal Government. LERC and the 4 departments; the agreed contribution of LREC for Longling section is CNY 82.75 million.

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I. Introduction

A. Project Brief and Construction Progress

1. The proposed Longrui expressway component includes a 128.96 km expressway, 6.0 km of link roads to 7 interchanges and a 34.44 km Class II road. The expressway starts at the end of the Baoshan-Longling Expressway in Longling County, passes Mangshi (Mangshi City) and ends at Mengmao Township of Ruili City. A new Class II road will continue from the end of the expressway to Nongdao Border Port (China–Myanmar border). The expressway and Class II road traverse 4 state farms and 42 villages/communities of 14 townships/subdistricts in Longling County, Mangshi City and Ruili City. Figure 1 shows the Longrui Expressway and the aligned counties and townships. 2. By end of 2014, civil works of the expressway’s subgrade had been basically completed (see Figure 2): (i) 100% of roadbed excavation done; (ii) 100% of roadbed filling finished; (iii) 100% of slope protection works done; (iv) 100% of soft foundation treatment completed; (v) 100% of bridge piles/foundation completed; (vi) 100% of culverts and crossings done; (vii) 95% of tunnel works; and etc. 3. The expressway is expected to open for traffic in 2015. B. This Monitoring Report

4. This semi-annual report summarizes the overall RP implementation progress and quality since the commencement of land acquisition and resettlement in 2012, and it also presents the LAR progress during July-December 2014.

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II. Methodology

5. The consultants visited the project area in December 2014 and January 2015, had met/interviewed about 180 persons, including APs in 17 natural villages, 5 contractors, staff of LREC, staff of prefecture and county/city coordination offices, as well as township officials. The visited natural villages, including 8 severely affected ones in the RP and 6 other ones, and the contractors are listed in the table below. 6. The methods used for monitoring included: (i) group interview of affected people in severely affected natural villages for assessing their income and livelihood restoration situation and results; (ii) questionnaire survey of sample HHs aimed at assessing income and livelihood restorations status of APs (survey results are presented in Annex 5); (iii) site visits of natural villages and relocation HHs to check LAR progresses, resettlement houses and restoration status (survey results are given in Annex 6 and Annex 7; (iv) interviewing LREC and coordination to understand LAR progress; (v) interviewing township officials and village leaders for assessing the implementation status of restoration measures, especially technical and skill training (county level training activities are given in Annex 3); (vi) interviewing contractors for understanding the status of land provision for construction and employments of APs; and (vii) consultation of APs to check payments of compensations, consultation and participation during LAR, satisfactory status, etc. (see Figure 8). Table 1: Natural Villages and Contractors Surveyed Target Longling Mangshi Ruili Contractor C02: CCCC Second Harbor C9: Yunnan Sunny Road & Bridge Co., C19: Yunnan No.1 Road and Engineering Co., Ltd. Ltd Bridge Engineering Co. C12: China Railway No.12 group Co., Ltd Ltd C22: Hongcheng Road & Bridge Co. Ltd of Yunnan Road Construction Engineering Group Severely affected Batuo community Waimangguai Manman natural villages Manghong Jiele Batuo Laiwu Zhexiang Other natural Xiaomidi, Laolvshu, Duanjiazhai Tengmiechang, Shuicaozi Mangling, Manman Huoma villages Chudonggua

Sample land loss HHs 7 15 8

Demolished HHs 3 15 12

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III. LAR Status

A. Permanent Land Acquisition

7. All Land acquisition was completed by July 2014 and there was no additional land acquisition during July-Dec 2014, and there will also be no additional land acquisition in 2015 and thereafter. Table 2 presents the overall land acquisition progress of the project and overall 13,863.2mu of land had been permanently acquisitioned by July 2014, which is 120.8% of the planned area in the RP. 8. Longling County had almost doubled the land acquisition area (actual 2,483.4mu vs. RP 1,346.5mu). The reasons for increased land acquisition of 1,136.9mu (or 84.4% increase) in Longling include: (i) Converting construction access roads from temporary land acquisition to permanent land acquisition (354.4mu, accounting for 31.2% of the increase) and acquiring land for reestablishment of power lines (14.4mu, 1.3%); while Dehong Prefecture took these as temporary land occupation. (ii) Additional land acquisition (247.3mu, 21.8%) resulted from minor design changes for Contractors No.1~3 (see Annex 2). (iii) Additional land acquisition for a small service area and tunnel management stations (50mu, 4.4%) that were not included in the final design of the expressway and not included in the RP (see Annex 1). (iv) Flexibility in acquisition of land outside the construction redlines in Longling, but Dehong Prefecture strictly limited its land acquisition within the construction redlines. Dehong Prefecture allowed only 5% variations between measurement survey results and actual land acquisition, while Longling County allowed for much higher variations.4 9. Increased land acquisition for Dehong Prefecture (i.e., Mangshi and Ruili cities) was limited (1,246.1mu or 12.3% increase) and is mostly beyond expressway alignment. As mentioned above, Dehong Prefecture allowed only 5% variations between measurement survey results and actual land acquisition for land acquisitions within the construction redlines. The limited increases mainly include: (i) Additional land acquisition for 3 service areas (448mu, accounting for 36.0% of increases) that were not included in the final design of the expressway and not included in the RP (see Annex 1). For instance, the service area in Gahzong village occupied 200mu of forestland, while the final design only included 55mu of land for the expressway in Gazhong village. (ii) Additional land acquisition due to minor design changes (504.5mu, 40.5%) for Contractors No. 4-21 (see Annex 2). 10. All the increased land acquisition was done before July 2014 and followed the permanent land acquisition procedure specified in the RP and affected people were fully consulted and compensations were completely paid at rates stipulated in the RP. The increased land acquisition did not much affect the people’s livelihoods, because majority of the land were mostly existing roads and forestland/waste land.

4 Land acquired in Dehong Prefecture was or will be fully used by the project, while some land acquired in Longling will not necessarily be used by the project. For instance, in case of acquiring 0.8mu farmland of a plot of 1.0mu, Longling could have acquired the whole plot of 1.0mu, but the additional 0.2mu will not be used by the project; while Dehong could have strictly acquired 0.8mu.

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11. Of the total increased area of 2,383.0mu, there include 1,546.2mu (64.9%), 354.4mu (14.9%), and 482.4mu (20.2%) of forestland, existed roads (counted as dry farmland for compensations) and farmland respectively. The increased farmland acquisition affected another 675 households with 2,795 people. On average, each household lost 0.71mu farmland or each person lost 0.17mu (less than 10 % of total farmland resource on average). There are less than 10 households that had lost more than 2mu of their farmland. Therefore, increased land acquisition did not lead to significant impacts on the affected people. 12. Land Acquisition and provision to contactors for the expressway alignment itself (i.e., land within the staked construction redlines) was completed by July 2014 and this was reported in previous progress and monitoring reports,5 as well as in an official document of Dehong prefecture government.6 Land acquisition beyond the expressway alignment (or right of way) after July 2013 (shown in Table 2) include: (i) 478mu for 5 service areas (see Annex 1); (ii) 354.4mu for construction access roads in Longling County; (iii) 751.8mu additional land due to minor design changes (see Annex 2) and for slope protection; and (v) 676.5mu for bridge and tunnel management stations, necessary activities beyond the construction redlines, etc. 13. All compensations were timely paid to affected people, yet ceiling rates were adopted wherever possible.7 Table 2: Progress on Land Acquisition County Land Acquisition (mu) Accumulative total Plan (RP) By Aug-Dec Jan-July Aug-Dec Area (mu) % of RP July 2013 2013 2014 2014 Longling 1,346.5 1,475.5 851.7 156.2 0 2,483.4 184.4 Mangshi 6,809.6 6,979.9 609.0 121.5 0 7,710.4 113.4 Ruili 3,323.1 3,146.1 423.7 98.6 0 3,668.4 110.4 Total 11,479.2 11,601.5 1,884.4 376.3 0 13,862.2 120.8 Source: LREC and county coordination offices

14. Table 3 summaries the land acquisition by type by July 2014 and it highlights that: (i) Acquisition of house plots increased to 250.4mu from the planned 60.4mu (315% of increase) due to inclusion of additional relocation households and additional house plots. Again, Longling increased the most although it has the least number of relocation households. (ii) Area of paddy land (including garden/plantation land, water ponds) increased to 4,713.0mu from planned 4,230.6mu (+11.4%). (iii) Dry farmland area increased to 6,478.0mu from the planned 3,328.3mu (+94.9%), major reason for this huge increase is that wasteland and large area of forestland were treated as dry farmland. This further implies that affected persons (APs) could benefit more from the project as compensation rates are higher for dry farmland than for forestland (CNY5,180-22,000/mu vs. CNY21,000-50,699/mu), but compensation budget had to increase by about CNY50 million or so. (iv) Consequently, forestland decreased to 2,465.8mu from 3,859.9mu (-34.4%).

5 No further land acquisition since July 2014. 6 No.178 [2013] Document of Dehong Prefecture Government, issued on 02 August 2013. The document states that 98.56% of land provided to the contractors for construction 31 July 2013. 7 Zhefang and Santaishan Townships in Mangshi City are officially classified/documented as Zone II for land acquisition, but Zone I rates were adopted in this project (see Table 4-1 in RP).

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Table 3: Land Acquisition by Type Unit: mu Longling Mangshi Ruili Total Land Type RP Actual Var. RP Actual Var. RP Actual Var RP Actual Var. House plot* 20.4 112.5 92.1 26.3 95.1 68.8 13.7 42.8 29.1 60.4 250.4 190.0 Paddy Paddy land 408.3 1,424.6 371.7 2,204.6 land Water surface/ 0.6 32.4 70.8 103.8 water works 608.9 87.0 2,629.5 273.6 1,474.6 121.8 4,731.0 482.4 Orchard/ 113 898.9 910.3 1,922.2 garden Subtotal 521.9 608.9 87.0 2,355.9 2,629.5 273.6 1,352.8 1,474.6 121.8 4,230.6 4,713.0 482.4 Dry Dry farmland 118.3 1,389.8 864.9 2,373.0. 1,105.9 920.1 4,000.6 2,020.4 1371.5 209.2 6,478.0 3,149.7 farmland Others** 67.5 590.4 297.4 955.3 Subtotal 185.8 1,105.9 920.1 1,980.2 4,000.6 2,020.4 1,162.3 1,371.5 209.2 3,328.3 6,478.0 3149.7 Forestland 618.4 658.3 39.9 2,447.2 985.2 -1,460.0 794.3 822.3 28.0 3,859.9 2,465.8 -1392.1 Total Area 1,346.5 2,483.4 1,136.9 6,809.6 7,710.4 900.8 3,323.1 3,668.4 345.3 11,479.2 13,862.2 2,383.0 % 84.4 13.2 10.4 20.8 Source: LREC and county coordination offices; *: Databases of county coordination offices put this item under the house demolition and resettlement component. **: Include existed roads.

15. The consultants visited 5 contractors and learnt that they are happy with the LAR progress as the timely transfer of land enabled them to complete civil works of the expressway itself by December 2014 or so. As given in the table below, the final dates of land transfer from the local coordination offices were in May 2013 for four sections/contractors and in July 2013 for one section/contractor, this is in line with the LAR progress reported by LERC. Table 4 Provision of Land to Five Contractors Contractor/Section Chainage Time of final land transfer 02 K6+180- K14+900 May 2013 09 K37+540- K45+900 May 2013 12 K63+000- K69+800 July 2013 19 K111+500-K117+540 May 2013 22 K7+600- K25+251.89 May 2013

B. House Demolition and Resettlement

16. House demolition and resettlement works completed by Dec 2013. Table 5 presents the progress on resettlement of house demolishment affected households. Again, 295 affected households by the expressway alignment were resettled by September 2013 and reported in LERC’s No. 7 Progress Report submitted in October 2013. Instead of resettling 164 HHs given in the RP, as many as 295 households were relocated (Figure 3 shows some of the relocation houses). LERC had prepared a due diligence report (DDR) regarding the significant increase of relocation households per ADB’s requirement. The DDR, however, mixed and miscounted the number of relocation households among the project counties, but the total number of 295 is correct (see Table 5)8. During Oct-Dec 2014, another 2 households outside the expressway alignment in Mangshi were resettled. 17. There will be no additional house demolition and resettlement and all project construction will be completed in 2015.

8 DDR data collected through contractors by the time when databases of coordination offices were not fully established. Affected HHs in Mangshi in section for contractor No.3, covering both Longling and Mangshi, were counted for Longling; similarly, AHs in Ruili in section for Contractor No. 16 were counted for Mangshi.

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Table 5: Progress on Resettlement County Relocation (HH) Accumulative total Plan Actual Relocation % of HHs Revised Plan RP Revised (Sept 2012 Jan-Sept Oct-Dec Jan-Dec 2013 2013* 2013 2014 Longling 16 50 0 36 0 0 36 100.0 Mangshi 85 185 0 190 2 0 192 103.8 Ruili 63 60 0 69 0 0 69 115.0 Total 164 295 0 295 2 0 297 104.6 Source: LERC. *: variations between DDR and actual relocation HHs were resulted from miscounting among project counties.

18. Table 6 summarizes the house demolition by type. The table highlights that House demolished house areas are basically in line with the revised plan. Table 6: House Demolishment by Type County Actual by completion Plan No. Structure Unit by Dec 2013 RP Revised (DDR) Qty % of DDR Longling 1 Brick-concrete m2 2,355.3 3,950.4* 3,950.4 100 2 Brick-tiles m2 2,722.8 4,087.0* 4,087.0 100 3 Earth-tiles m2 1,520.2 1,858.2* 1,858.2 10 4 Others m2 114.3 948.7 948.7 100 Subtotal m2 6,712.6 10,844.4 10,844.4 100 Mangshi 1 Brick-concrete m2 196.0 410.2 410.2 100.0 2 Brick-tiles m2 5,586.5 12,732.6 14,132.6 111.0 3 Earth-tiles m2 7,722.4 15,217.0 16,033.2 105.4 4 Others m2 1,900.0 1,900.0 100.0 Subtotal m2 13,504.9 30,259.8 32,476.0 105.1 Ruili 1 Brick-concrete m2 1,865.0 1,704.0 2,435.1 142.9 2 Brick-tiles m2 2,064.4 1,959.5 2,312.2 118.0 3 Earth-tiles m2 638.0 618.0 828.0 134.0 4 Others m2 963.0 13,764.4 15,129.0 109.9 Subtotal m2 18,424.3 18,045.9 20,704.3 114.7 Total 1 Brick-concrete m2 4,416.3 6,064.6 6,795.7 112.1 2 Brick-tiles m2 10,373.7 18,779.1 20,531.8 109.3 3 Earth-tiles m2 9,880.6 17,693.2 18,719.4 105.8 4 Others m2 1,077.3 16,613.1 17,977.7 108.2 Total m2 38,641.8 59,150.1 64,024.7 108.2 Source: county coordination offices *: Excluded the doubled counted housing area in the DDR.

2 9 19. Among the houses affected there include a simple village temple of 77.4m in Mangshi. This temple was close to but outside the expressway alignment. Expressway construction and operation could affect the operation of the temple if not relocated. Based on request of villagers and meaningful consultation, this temple was relocated following local Buddhist procedures. The temple was compensated at CNY1,760/m2, higher than the ceiling standard of CNY1,300/m2 for houses in the RP. C. Temporary Land Occupation and Restoration

20. Areas of temporary land occupation/borrowing were dynamic over the past years as there were short term (1-6 months) and small area of temporary borrowings from time to time; yet

9 Gazhong village.

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there were restorations of borrow/spoiling pits. The table below presents the temporary land occupation as per 31 December 2014: (i) Overall temporary land occupation is 995.0mu, accounting for 28.9% of the planned area in the RP. (ii) Longling has relatively limited temporary land occupation because it permanently acquisitioned land for many construction access roads. The land acquisition followed procedure of permanent land acquisition, consulted the affected people and compensated at rates of permanent land acquisition. (iii) Wastelands were treated either as farmland or forestland in practice; and this enabled farmers to benefit more from the project. 21. Restoration of temporary land occupation is also dynamic and it is under strict supervision of local coordination offices (land resource bureaus); and each contractors has cash deposits in the coordination office which could convert into penalty if restoration is not timely or properly done. As of 31 December 2014, 2,020mu land was restored, and has already been handed over to owner/users who are satisfied with the quality of restored land. Table 7 shows restoration of some temporarily occupied lands. Table 7: Temporary Land Occupation and Restoration (Dec 2014) Longling Mangshi Ruili Total Land type Unit RP Actual RP Actual RP Actual RP Actual Current Farmland mu 61.8 15.0 532.6 150.0 209.0 30.0 803.4 195.0 occupation Forestland mu 548.3 75.0 1,370.9 625.0 479.7 100.0 2,399.9 800.0 Wasteland* mu 100.0 0 111.3 0 27.2 0 238.5 0 Total mu 710.1 90.0 2,014.8 775.0 715.9 130.0 3,441.8 995.0 Land restored mu 245 1,195 580 2,020 Source: LERC; * treated as farmland in practice

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IV. LAR Impact Status

A. Affected Households and Persons

22. Table 8 and Table 9 specify the affected households and people by county. It has to be noted that about 60% of the farmland loss was not legally contracted farmland, but forestland/wasteland (also other land) treated/counted as farmland during land acquisition and resettlement.10 The two tables highlight that: (i) Total APs increased by 20.5%, this is in line with the increased total land acquisition of 20.8% (see Table 2): Longling’s land acquisition increased 84.4% and APs increased 44.0%; Mangshi’s land acquisition increased 13.4% and APs increased 12.0%; Ruili’s land acquisition increased 10.4% and APs increased 33.7%. (ii) Farmland loss had significantly increased by 161% as a result of counting affected wasteland and some forestland as farmland (also other land), but affected people only increased by 12%. Because of counting forestland and wasteland as farmland, increased farmland acquisition did not have any significant impact on the affected people’s livelihood. (iii) Forestland loss decreased by 23%, affected people consequently decreased by 18.6%. 23. Additional land acquisition and house demolitions were compensated at the same rates as that for the expressway alignment. Planned and actual compensations rates are given in Annex 3. Table 8: Affected Households and Persons Difference Impact Unit RP Actual Qty % Loss (60% of actual loss was forestland and mu 4,288.5 11,191.0 6,902.5 161.0 wasteland counted as farmland) AHs HH 5,490 6,165 675 12.3 Loss of APs No. 23,315 26,110 2,795 12.0 farmland HH 993 1,057 64 6.4 Losing over 15% of legally contracted farmland % 18.1 17.1

Losing over 15% of contracted farmland in HH 227 259 32 14.1 non-peri-urban villages11 % 5.4 5.3

Loss mu 3,200.5 2,465.8 -734.7 -23.0 Loss of AHs HH 2,246 1,858 -388 -17.3 forestland APs No. 9,696 6,895 -1,801 -18.6 Loss m2 63,595.4* 64,024.70 429.30 0.7 Loss of house/ Relocation HHs HH 295* 297 2 0.7 relocation Relocation people No. 1,296* 1,303 70 5.7 AH 5,827 7,077 1,250 21.5 Total without overlapping AP 24,772 29,859 5,087 20.5 Source: county coordination offices; *Revised plan (DDR submitted to ADB in March 2014). B. Vulnerable and Severely Affected HHs

24. Table 10 presents the vulnerable and severely affected households. As indicated, in line with increased land acquisition, the vulnerable HHs and severely affected HHs slightly increased.

10 Higher compensations that benefits APs more. 11 Severely affected HHs defined in the RP as they will lose 10% of income (about 20% offarmland).

10

Table 9: Affected Households and Persons by County Longling Mangshi Ruili Impact Unit RP Actual RP Actual RP Actual Loss (60% of actual loss was forestland and mu 526.6 1,714.8 2,761.0 6,630.1 1,000.9 2,846.1 wasteland counted as farmland) AHs HH 634 820 3,428 3,714 1,428 1,631 Loss of APs No. 2,637 3,425 15,486 16,750 5,192 5,935 farmland Losing over 15% (count HH 292 303 452 486 249 268 legally contracted % 46.1 36.9 13.0 13.1 20.0 16.4 farmland only) Losing over 15% in HH 16 22 147 162 64 75 non-peri-urban villages % 4.8 4.7 5.0 4.8 7.0 6.8 Loss mu 618.4 658.3 1911.8 985.2 670.3 822.3 Loss of AHs HH 261 285 1,246 662 739 911 forestland APs No. 1,040 1,138 5,789 3,071 2,867 3,536 Loss m2 10,844.4* 10,844.4 30,259.8* 32,476.0 18,045.9* 20,704.3 Loss of house/ Relocation HH 36* 36 185* 192 60* 69 relocation Relocation people No. 142* 142 857* 893 234* 268 AH 674 968 3,615 4,053 1,538 2,056 Total without overlapping AP 2,793 4,021 16,356 18,318 5,623 7,520 Source: County coordination offices *Revised plan (March 2014).

Table 10: Vulnerable and Severely Affected HHs Group Unit RP Actual Variation Qty % Wubao, Disabled, and female-headed HH 145 151 6 4.1 (Han and Dai HHs) Persons 511 530 19 3.7 HH 200: 221: 21 10.5 Lisu: 22 Lisu: 22 De’ang: 31 Jingpo: 147 De’ang: 38 Jingpo: 161 Ethnic minority of less people Persons 769 854: 85 11.1 Lisu: 93 Lisu: 93 De’ang: 123 De’ang: 153 Jingpo: 553 Jingpo: 608 HH 230 241 11 4.8 Dibao (Han and Dai) Persons 790 816 26 3.3 Severely affected HHs by HH 227 259 32 14.1 farmland loss in non-peri-urban villages Persons 975 1,108 133 13.6 Source: county coordination office

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V. Safeguarding Entitlements

25. As indicated in Table 10, the implementation of entitlements status followed the RP as of December 2014 with the following (positive) exceptions:12 (i) Wasteland and some forestland were counted as farmland in practice. (ii) Zone I land compensations rates (i.e., higher rates) were adopted for Zone II in the case of Mangshi city13. Table 11: Implementation of Entitlements

Type of impact Eligibility (actual) Compensation and resettlement policy in RP Implementation Status Permanent 26,110 APs i) Land belongs to collective/state farms: compensation i) Implemented as planned;; land acquisition (6,165 HHs) to collective and state farms; ii) As planned, and higher rates were ii) Land contracted to farmers: cash compensation to adopted for Zone II in Mangshi. Wasteland farmers totally with the rates specified and announced and some forestland were counted as during DMS; farmland t iii) Standing crops compensation: to owners directly iii) As planned with the rates specified and announced during DMS iv) state land used by business entity, government iv) As planned agencies/institutes: direct payment to users or management bodies Temporary i) Temporary land occupation fee: to land users yearly. i) As planned. land occupation The duration cannot be over two years. Once exceeded, the land use permission needs re-approval;

ii) Land reclamation fee: to land owners directly; ii) Government charge iii) Standing crops: compensation for the first year to land users with agreed rates between AH and users; iii) As planned iv) The land will be restored by the owner to the original iv) 1,200mu restored, remaining ones will condition be done by the end of 2014 House 64,024.7m2 of i) Demolition compensation: to owners directly at i) As planned demolition 297 relocation replacement costs; ii) As planned HHs ii) Each relocation HH will receive a lump sum relocation allowance of CNY50,000, to cover moving subsidy and transitional allowance. iii) As planned in the case of Longling’s iii) Establishment of access road, water and power Baita community. supply systems by local government in case of collective relocation, if any.

Ground facilities Compensations: to owners at replacement costs As planned Compensations: to property owners at replacement Partly paid Special facilities costs, based on negotiation. Scattered trees Compensations: to property owners As planned A village temple 77.4m2 Relocation following religious procedures Not in RP Vulnerable Wubao, Disabled, and i) Village and township government help to rebuild i) As planned groups female-headed HHs houses in case of relocation; (Han and Dai): 511 ii) vulnerable subsidy CNY500 each HH persons of 145 HHs ii) as planned Ethnic minority of less i) Vulnerable subsidy of CNY500 per HH; i) As planned people: 854 persons, ii) Priority for technical training and unskilled jobs of the ii) As planned 221 HHs (details in project. Table 10) Dibao: 816 Dai i) Vulnerable subsidy CNY500 of per HH; i) As planned & Han APs, 241 HHs ii) Priority for technical training and unskilled jobs of the ii) As planned project for two labors (one is woman) of each household at least. Severely affected 975 APs of 227 HHs i) Priority for technical training and unskilled jobs i) As planned HHs by land from non-peri-urban ii) Obtain land use right by land transfer ii) No action acquisition villages/communities iii) Endowment insurance on a voluntary basis in case iii) No one eligible in the non-peri-urban APs lose basic living due to land acquisition. villages Source: county coordination offices.

12 Land reclamation fee under temporary land occupation is a government charge, but the RP misstated that as a fee to owners. 13 Paddy land: CNY 57,278/mu (Zone I, Mangshi township) vs. CNY 29,355/mu (Zone II, Zhefang and Santaishan townships); Dry land: CNY 50,669/mu vs. CNY 24,720/mu.

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VI. Expenses and Funding

A. Total Compensations Made

26. As of 31 December 2014, total compensations made and formally reported to LREC by the county coordination offices are CNY970.21 million, which is 120.5% of RP budget, Table 12 presents the details. Compensations for public facilities were made during July-December 2014, while compensations for others were mostly made before July 2014. The table further highlights that: (i) Of the total compensations made, LREC and local government contributed CNY623.05 million (64.2%) and CNY347.16 million (35.8%) respectively. LREC’s contribution is 100.6% of the agreed CNY619.4 million among LERC, Dehong Prefecture and Baoshan Municipality governments, and 4 provincial government departments.14 (ii) As of December 2014, about 90% of the compensations were on land compensations, including compensations for standing crops and some attached facilities/structures, but excluding compensations for house plots. (iii) Overall compensations will mostly exceed CNY1,000 million given that compensations for some public infrastructures were not fully made yet. Table 12: Total Compensations Made by December 2014

Compensations made (CNY million) House plots, Total Land, standing Drinking Relocation Relocation houses, Public (CNY crops and Water of tombs of temple15 transitional facilities million) attachments facilities allowance Longling 115.33 1.11 11.75 0.00 5.19 133.38

Mangshi 437.81 7.78 0.14* 44.60 1.89 15.37 507.59 Ruili 296.16 4.72 23.81 0.65 3.89 329.23

Qty 849.29 13.61 0.14 80.17 2.54 24.45 970.21 As % of Total 87.5 1.4 0.0 8.3 0.3 2.5 100.0 actual total As % of RP 105.4 1.7 0 9.9 0.3 3.0 120.5 Source: coordination offices. *: Rate of CNY1,760/m2 (77.4m2), higher than the highest standard for houses in the RP (CNY1,300/m2).

B. Total Expenses and Funding

27. Table 13 summarizes the total expenses on LAR by December 2014, including compensations made and administration expenses, as well as expenses for external monitoring. As indicated, overall costs by December 2014 are CNY987.47 million, which is 121.8% of the RP budget. The table also highlights that:

14 An agreement on LAR was made among Dehong Prefecture Government, LREC and 4 provincial government departments in March 2011. The agreement stated that LREC will CNY 536.65 million for Dehong Prefecture on LAR, and exceeding budget will be covered by Dehong Prefecture Government. A similar agreement was also made among Baoshan Municipal Government. LERC and the 4 departments; the agreed contribution of LREC for Longling section is CNY 82.75 million. 15 A temple of 77.4 m2 in Gazhong village. The temple was close to but outside the expressway alignment, but project construction and operation could affect the operation of the temple if not relocated.

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(i) Of the total costs of CNY987.47 million, LREC and local government contributed CNY627.55 million (63.6%) and CNY359.92 million (36.4%) respectively. (ii) Of the total costs occurred, 14.0%, 36.3%, 35.6% and 14.1% were spent in 2011, 2012, 2013 and 2014 receptively. Table 13: Costs and Funding

Cost (CNY million) Year Longling County Dehong Prefecture Total LREC Cost LERC Gov’t Cost LREC Gov’t Total LREC Gov’t 2011 15.93 15.93 0 121.62 121.62 0 0.5 138.05 138.05 0 2012 43 43 0 314 214 100 1.5 358.5 258.5 100 2013 45 20 25 305 205 100 1.5 351.5 226.5 125 2014 31.04 3.5 27.54 107.38 0 107.38 1.0 139.42 4.5 134.92 Qty 134.97 82.43 52.54 848.00 540.62 307.38 4.5 987.47 627.55 359.92

Total % 100.0 61.1 38.9 100 63.8 36.2 100.0 100.0 63.6 36.4 As % of 147.3 118.9 121.8 RP Source: LERC & coordination offices

C. LREC’s Contribution

28. Table 14 summarizes the contribution of LREC on LAR for Longling County and Dehong Prefecture year by year; while detailed disbursement records are given in Annex 4. As shown in the table, over 99% of LREC’s contribution (CNY619.55 million out of CNY623.05 million) was made before 31 December 2013. In addition to the direct contributions, LREC also lent CNY20.0 million to Longling County in June 2013 for the sake of quick completion of LAR for the expressway alignment (see Annex 4). Table 14: Fund Transfer Records from LERC to Coordination Offices Year Accumulative Transfer (CNY million) Total Longling County Dehong Prefecture Qty (CNY mil) % By 2011 15.93 121.62 137.55 22.1 By 2012 58.93 335.62 394.55 63.3 By 2013 78.93 540.62 619.55 99.4 By July 2014 82.43 623.05 100.0 Total 82.43 540.62 623.05 100.0 As % of RP budget* 89.9 75.8 77.4 Source: LREC; *: CNY91.64 million for Longling; CNY713.6 million for Dehong Prefecture (Mangshi: CNY467.554 million, Ruili: CNY246.079 million) D. Funds Flow

29. The funds flow exactly followed the chart defined in RP (see Figure 10). Specifically, the compensation payments to APs followed the procedures stipulated in the RP: (i) Before February 2012: Interviews, meetings, disclosure of project information including resettlement information, notice on cut-off date; (ii) February-May 2012: detailed measurement surveys in the presence of affected household, co-signing of DMS results by surveyors and affected households.

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(iii) June 2012 onwards: continued consultations, land acquisition and relocation agreements between affected households and County/city Coordination Office, and township and village authorities endorse the agreements with signatures and stamps; (iv) Publicity of detailed compensation sheet by natural village (see 错误!未找到引用 源。); (v) Signatures of APs on compensation sheet if there was no complaint; (vi) City/County Coordination Office directly transfer of compensations to the saving account of APs at the Yunnan Rural Credit Cooperatives in one installment within 2 weeks after the agreement (see 错误!未找到引用源。).

LREC, Dehong Prefecture Government Longling County Government

Land Resource Department Dehong CO Independent Water Resource Department Monitor Forestry Department Longling CO Mangshj & Ruili Power & Telecommunication COs Companies Water Resource Bureau Land Resource Bureau Forestry Bureau

Affected HHs, entities and agencies,

Figure 10: Funds Flow Chart

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VII. Institutional Arrangement and Capacity

30. The actual institutional arrangements, shown in the figure below (Figure 11), are identical to that specified in the RP. This institutional arrangement, with adequate and experience staff, is very capable and had ensured: (i) Implementation of LAR in accordance with the RP. (ii) Timely acquisition and provision and land for the right of-way of the expressway (fully provided by July 2013) that enabled the basic completion of civil works by June 2014. (iii) Adequate funds for LAR activities and timely payments of compensations to APs as of 31 December 2014. (iv) Favorite compensations rates and transitional allowance to APs.16 (v) Satisfaction of APs with the LAR work in the three project counties as of December 2014 (there is no complaint on LAR).

LREC

Project Resettlement Division (PRD)

Dehong Prefecture Leading Dehong Prefecture External Monitor (Beijing Group Coordination Office Zhongkehongce)

County Leading Group CO (Mangshi and CO (Longling) Ruili)

Monitoring Township Resettlement Work Groups

Village Committees, Natural Villages, Groups

APs

Figure 11: Institutional Arrangement 31. Given that LAR was mostly completed by September 2013, LREC had adjusted the staffing of its Resettlement Division in December 2013 and 2 full time staff remained (used to have 5-7 staff) to take charge of land acquisition and resettlement related issues, if any. Similarly, the Dehong Prefecture Coordination Office had reduced its full time staff (office positioned in LREC) from four to one since January 2014.

16 Including: (i) counting wasteland and some forestland as farmland (i.e, higher rate); (ii) using Zone I rates for Zone II in the case of Zhefang and Santaishan townships in Mangshi; (iii) highest compensation rates of expressway projects , as of July 2014, for standing crops (CNY 20,000/mu for paddy land and CNY 5,000/mu for dry land); (iv) high resettlement allowance for relocation HHs (CNY 50,000/HH); and (v) additional transitional allowance of CNY 3,600 per relocation HH (CNY 300 each month for one year).

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VIII. Resettlement and Income Restoration

A. Resettlement Households

32. The relocation HHs increased to 297 by Dec 2013 from the planned 164 in 2012. Of the 297 HHs: (i) All affected houses were compensated at replacement costs that were evaluated and verified in the RP (see Annex 7 of the RP). (ii) Each HH got a lump sum relocation allowance of CNY50,000, the highest the monitor had ever encountered for rural resettlement of the project kind. (iii) Each HH got an additional lumps sum transitional allowance of CNY3,600 (CNY300 per month, 12 months in total). This transitional allowance was not specified in the RP, but included as part of the relocation allowance. (iv) 296 HHs now live in self-built new houses, and 1 HH lives in an old house of his parents.17 (v) 295 HHs, affected by the expressway itself, resettled before Sept 2013 (including the one who lives in his parents’ old house); and 2 HHs, affected by activities beyond the expressway alignment, resettled during Oct-Dec 2013. (vi) No one is still transition, the one who lives in his parent’s house should not be counted as in transition as he plans to build a good house in some years. (vii) All HHs relocated HHs, based previous monitoring, considered that their living conditions improved and livelihood restored. Figure 3 presents some of the relocation houses that were built before July 2013. B. Training of APs

33. A training program was prepared in the RP and actual implementations were far beyond the set target of the program (see table below). According to officials in 7 townships,18 there is at least one person in each household who participated in the various training organized either by township technical stations or county level technical line agencies. The county level line agencies include women’s federation, agricultural bureau, agricultural school, etc. 34. The county level training activities are supported by the national level Sunshine Program that is further termed as training for labor transfer (i.e., transferring rural labors from agricultural sector to non-farm sector); but actually the program is used by various government line agencies (such as agricultural bureau, poverty alleviation office) to train farmers to shift ordinary farming to high-profit farming. Under the Sunshine Program, central government allocates CNY500 for each trainee, and all training activities have to be fully and properly documented (such as lists of participants, training contents, duration, venue, dates, training materials, etc.). 35. More details regarding training activities for the 3 project counties in 2014 are given in Annex 5; while Figure 5 presents some of the training activities in some affected villages.

17 This HH is from Huoma natural village of Mengmao Township in Ruili City. 18 There are the Longxin township in Longling; Mangshi, Zhefang and Santaishan townships in Mangshi, Jiexiang, Mengxiu and Nongdao townships in Ruili.

17

Table 15: Implementation of Training Program Participants (person-time) No. Date Target RP Actual 1 July-Dec 2012 APs 3,000 >3,000 by county level agencies 2 Jan-Dec 2013 APs 3,000 >5,000 by county level agencies 3 Jan-Dec 2014 APs 1,500 >5,000 by county level agencies. Source: county governments/coordination offices

36. The trainings increased APs’ knowledge and enhanced their skills and capacity. The trained techniques have been applied into practices and improved quantity and quality of the products. Below are 3 cases the monitor leant during this monitoring.

Case 1: Training on Dendrobe Cultivation and Management Mrs. Jiang lives with her husband, two kids and her parents in-law in Baita Community, Longling County. As an earlier cultivator in the community, her family planted 5mu dendrobe since 2012. Technicians from her township and county provided training on management of dendrobe every year. She actively participated in all trainings and learned a lot. She now understood all key techniques in the dendrobe production, such as watering, applying manure, controlling of pests, and etc. She told the monitor that good management of dendrobe need: (i) Appropriate watering, neither more nor less, is necessary. If water is not enough, dendrobe cannot grow well or will die of drought; while if water is too much, the roots will be decayed. In the very beginning, she did not realize the importance of covering the dendrobe in raining season in order to avoid surplus water, many roots decayed. After training, she started cover the dendrobe in raining season. However, she was not aware that dendrobe have to be open to air for one to two days after half a month of covering and cannot be covered for the whole raining season (2~3 months). (ii) Application appropriate quantity of manure. At first, she just thought that the more the manure (from sheep and pigs) applied, the higher the productivity will be. So she applied manure every half a month, but her dendrobe did not grew well and some even died. She leant from the technicians in training session that once every two month is enough and appropriate.

Case 2: Training on Drying Aromatic Tabocco Mrs. Shang is from Waimangguai community in Mangshi City. Her family plant has been cultivating aromatic tobacco for several years. Technicians from the township extension station and Mangshi Agricultural Bureau provided training for many times in her village. She participated in the trainings and mastered the skills for drying tobacco leaves under sunshine. She emphasized that site selection is a key point for drying the tobacco. The whole frame for sunning the tobacco likes a greenhouse in the air. The ground for sunning tobacco should be high enough and shuld not be wet; otherwise the leaves of tobacco will become dark which then deteriorates the quality. The shelf for placing tobacco should be kept an appropriate distance from the ground, the tobacco have to be covered for getting enough heat for drying, while the cover have to be opened in the two sides for natual ventilation; otherwise the leaves will become crisp due to too high temperature. Dark or/and crisp leaves belong to the lowest grade. Greatly benefited from participation in many trainings, percentage of high-quanlity tobacco sold by her family increased a lot, and as results, income from tobacco planting increased a lot.

Case 3: Training on Rubber Tapping Mrs. Wang, from Laiwu community, Ruili City, told the monitor that she benefited a lot from training on rubber tapping. She emphasized that crucial point of rubber production is to tap the latex, which is a very skillful work. The latex is in the bark layer. People have to cut the bark layer carefully. If cutting is deeper than it should be, it will damage the cambium layer and you cannot

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harvest any latex in one month. A good tapping must make a good cut at the right time. When she first started tapping the latex in 2012, she had less knowledge and was not skillful. She harvested less latex than others every morning. She felt fed up with tapping the trees soon after. Other people tapped their trees every morning, while she tapped every two or three mornings. Later on, she thought it was not good way to be angry with the trees, but learning the right way to tap. During the training organized by Ruili Agricultural Bureau that year, she consulted the trainers for the reasons, and leant the key points. Little by little, with practices and trainings, she mustered many techniques and became more skillful. Even though having learnt certain technology, she said that she still needs further training in the 2015 spring.

C. Employment of APs

37. All contractors were advised to give priority to APs to work as unskilled labors for the project, and they did follow this advice. More than 90% of temporarily employed unskilled labors were locals. Figure 4 gives a few examples of employing unskilled labors by Contractor No. 12 and No. 21 in Mangshi and Ruili in January 2015, while Table 16 presents the employment situation of unskilled local labors by all contractors in 2014. The table shows that the employed APs were 2,637 person-months in the second half year of 2014, a little bit more than that in the first half year,19 but lower than those in 2013 because of less civil works in 2014. On average, each labor could earn CNY4,000 per month.20 Therefore, affected people totally received CNY19.16 million from the project employment in 2014. Table 16: Employment of Local Unskilled Labors by Contractors Unit: person-month Total Women Ethnic minority people APs Jan-Jun 2014 6,309 2,657 3,101 2,152 Jul-Sep 2014 3,012 1,452 1,656 1,569 Oct-Dec 2014 2,007 949 1,044 1,068 Sub-total of Jul-Dec 2014 5,019 2,401 2,700 2,637 % of the sub-total 100.0 47.8 53.8 52.5 Total in 2014 11,328 5,058 5,801 4,789 % of the total 100.0 44.7 51.2 42.3 Sources: quarterly employment records by the contractors in 2014.

38. The five contractors interviewed (see Table 1) initially contacted village heads who then organized the labors for the first time. After a couple of times, the contractors then directly contact the reliable APs for employments. The monitor leant that most of the contractors hire locals in this manner. 39. To safeguard the benefits of construction workers, including APs working as unskilled labors, contractors had signed liability agreements with LREC for timely payments of wages. Yet, contractors need to submit to LREC the lists of employed persons with detailed personal information, and a sample list was presented in previous monitoring report. D. Protection of Women's Right and Interests

40. As per RP, about 20% (10-30%) of the project’s unskilled job opportunities should go to

19 Jan-February is the Chinese New Year time, construction will stop for about 1 month, so less people employed in the first half year. 20 Coundted as 20 work days a month, CNY 200 a day.

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women. This target was reached for employed APs (about 50% of the employed APs are women, see also Figure 4). However, of the total employment of 79,214 person-months of unskilled labors employed in 2014, only 6,417 person-months or 8.1% are women (see Table 16). In other words, female APs account for more than 40% of the total women employed. 41. The RP’s training program (Table 15) set the target of training 7,500 person-times of APs on production and employment skills, yet the RP further defined that women trainees shall not be less than 50%. According to local officials and villagers interviewed, women actually accounted for over 50% of the trainees, and this phenomenon is very obvious in Figure 5. 42. Other interests and rights of women specified in the RP were notified to women during various consultation meetings. Such interests and rights include singing compensation agreements by both spouses if being requested; provision of equal opportunities in any income restoration actives and resettlement assistance for married in women who don’t have Hukou21 and contracted land in the affected villages. E. Support to Vulnerable Households

43. The project followed the RP for special supports to vulnerable HHs, Table 17 presents the monitoring results in the 14 visited natural villages. Table 17: Support to Vulnerable People RP Monitoring results Vulnerable Eligibility Compensation and groups resettlement policy Wubao, Disabled, Wubao, Disabled, and i) Village and township Not encountered in the monitoring, but county and female-headed female-headed HHs (Han government help to rebuild and township officials endorsed that supports HHs and Dai): 511 persons, houses in case of relocation; were given accordingly. 145 HHs ii) vulnerable subsidy CNY500 each HH EM of less people Ethnic minority of less i) Vulnerable subsidy of CNY500 The Lisu HHs in Xiaomidi Natural Village in people: 854 persons, 221 per HH; Longling County, the De’ang HHs in HHs (details in Table 10) ii) Priority for technical training Chudongua Village in Mangshi City, and the and unskilled jobs of the project. Jingpo HHs in laiwu Natural Villages in Ruili City received the subsidies. HHs in the above-mentioned villages participated in training and also got employed by the project Dibao (poor) Dibao: 816 Dai and Han i) Vulnerable subsidy CNY500 of Longling County: All Dibao received subsides APs, 241 HHs per HH; in the visited natural villages, including 2 Han ii) Priority for technical training Dibao HHs in Yunshan, 1Han HH in Laolvshu, and unskilled jobs of the project and 1 Han HH in Duanjiazhai. for two labors (one is woman) of Mangshi City. All poor HHs in the visited each household at least. natural villages received subsides including: 2 Dai HH in Batuo, 2 Dai HHs in Manghong, 2 Han HH in Tengmiechang, 2 Han HH in Shuicaozi Ruili City. All poor HHs, the 2 Dai HHs in Jiele natural villages received subsides. The above-mentioned poor participated in training and project employments as well Source: field surveys during resettlement monitoring.

21 Officially registered and counted members in affected village.

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F. Income Restoration of Affected HHs

44. To initially assess the income restoration of affected HHs by 2014, the consultant surveyed 30 sample HHs that were also targeted by the baseline survey. The survey results, in comparison with baseline survey results, are presented in Annex 6. Of the 30 sample HHs, the farmland loss ranges from 4% to 85%. The survey results are summarized as follows: (i) 22 HHs or 73.3% of total reported having net loss from cropping, ranging from CNY450 to over CNY10,000 in 2014, about two year after land acquisition. All affected HHs reported that income from livestock is similar before and after the project. (ii) 2 HHs or 6.6% of total have not yet restored their overall income, and the other 28 HHs or 93.4% of sample HHs have restored their income. The income loss from cropping was mostly covered by working as unskilled labors in general; shifting cropping patterns from now-profit grains to high-value cash crops/herbs, such as planting dendrobe in Baita Community; and doing business by some of those who with large amount of land compensation, such as purchasing trucks and other transport vehicle in Chudonggua village, Santaishan Township, Mangshi City. 45. Given that RP implementation started 3 years ago, the above results are still indicative or it is too early to make final conclusions on income restoration. In the forthcoming annual monitoring and evaluation, the consultant will have major effort to assess the income restoration status of land loss farmers. 46. A few good cases of income restorations leant by the monitor during this monitoing are presented as follows as well as in Figure 9.

Case 4: Changing Cropping Pattern of Mars Jiang Mrs. Jiang lives with her husband, two kids and her parents-in law. Her family had 2.1mu paddy land, 2.2mu dryland and 5mu forest land in 2011. The project acquired 65.1% (0.6mu paddy land and 2.2mu dry land, totally 2.8mu) of her family’s cropland in 2012. Before the land acquisition, her family earned income from paddy and corn from the cropland, 2mu teaoin the forest land (the other 3mu forest land were scattered with shrubs), and wage work mainly by her husband in slack seasons. After the land acquisition, her family increased income through adjusting cropping pattern and diversifying income sources. Instead of continuously planting paddy and corn, her family started cultivating dendrobe, and substituted shrub forest for Amomum Tsao-ko after 2012. The family planted 5mu dendrobe and 3mu Amomum Tsao-ko in 2014. Of the 5mu dendrobe land, 1.5mu on the family’s remaining paddy land and the other 3.5mu on rented land from neighbors. The 3mu Amomum Tsao-ko was planted on own forestland, which were scattered with shrubs before 2012. Initial investment in dendrobe planting was about CNY30,000 per mu including seedling and facilities, which is a lot of money for many households. Planting dendrobe is also a skillful work. If one does not master the techniques, both the productivity and the quality will be low, and accordingly income is low, even negative. With the land compensation of more than CNY100,000, and the technical training by local government and the dendrobe farmer association, Mrs. Jiang’s family started planting dendrobe in 2012 and expanded to 5mu in 2014. Similar situation is to Amomum Tsao-ko planting. Both Mrs. Jiang and her husband cultivated these crops, and hired some labors during the harvest period. Besides, Mrs. Jiang also started doing some small businesses in slack seasons. For example, she collects Collybia albuminosa22 from villagers during June to September, and then sells to a

22 A kind of wild mushroom, which is harvested during June to September.

21

processor23 in her community. She also sells vegetables in the county seat of Longling.24 Her husband does part-time wage work in the city too. Through these activities, her family earned CNY113,400 in 2014 (per capita CNY18,900, which is 5.2 times of that in 201)1. Income retroation of her family was successfully achieved by 2014.

Case 5: Doing Businesses by Mr. Aiming’s Family Mr. Aiming, a Dai person, became a father in 2014. There were 4 family members before 2012, his grandmother, his parents and himself, and became 6 members in 2014, added his wife and his son. His family was a relocated, but only 0.58mu dryland was acquired. There is a reserve land in his village that was used as homesteads for demolished households. Mr. Aiming’s family built a new two-and-half-storey house there with a cost of about CNY300,000, including CNY250,000 from compensations and CNY50,000 borrowed from relatives. His family has 10mu paddy land and 5mu dry land. Before 2012, the 10mu paddy land were planted with paddy for half year, and rented to a farm for the other half year after harvesting paddy for planting water melon. The rent fee was CNY400 per mu per half year. Before 2012, the 5mu dryland were rotated with corn and vegetable, which could earn some limited money. The total income of his family in 2011 was about CNY17,000, averaging at CNY4,000 per capita. Since 2013, in order to repay the borrowed money from his relatives, his family planted 4mu paddy for own consumption, and 10.5mu sugarcane for income, a relatively high profitable crop25 with intensive labor inputs. Besides, his family also initiated processing and selling bean jelly, a delicious and popular local food. The family buys beans from market and processes to bean jelly in his home yard and sells to people during the market day in his village. The market opens every 5 calendar days. Processing bean jelly can take fully use of his and his wife’s spare time. The family earned more than CNY70,000 in 2014, averaging at over CNY10,000 per capita and it is 3 times of that in 2011. This family’s income was fully restored by 2014.

Case 6: Operating A Rice Milling by Mrs. Lang’s Family Mrs. Lang (39 years old), lives with her husband, two kids and her mother-in-law in Waimamgguai village of Mangshi City. Her family had 4.5mu paddy land before 2012 and lost 2.7mu (60% of paddy land loss) to the Project in 2012. Before the land acquisition, her family got income from paddy and aromatic tobacco from the 4.5mu of paddy land, and her wage work in Mangshi City. Her family earned about CNY23,000 per capita CNY4,600 in 2011. After land acquisition, her family received over CNY200,000 of land compensation and it enabled the family’s to turn its pre-existing idea of running a rice mill and retail shops into true. She also got a free loan of CNY80,000 from Mangshi City Women’s Federation for two years, with repayment started from the seventh month after getting the loan. Compensations and loan met the total initial investment of around CNY300,000 for the rice mill and the retail shop (see Figure 9). Currently, on average, her family can earn CNY400 every day from the rice mill and the shop. Together with the income from the remaining 1.8mu paddy land, her family earned about CNY150,000 in 2014 which is CNY30,000, 6 times of that in 2011. This family successfully restored its income.

F. Restoration in Severely Affected Natural Villages

47. During resettlement planning, 8 natural villages were identified as being seriously affected either because of losing large area of farmland or because of relocating large number of

23 Mrs. Zhao Zuqin 24 She bought vegetable from wholesale market first, then sold to consumers. 25 Compared with paddy or corn, not watermelon.

22

HHs. Along with resettlement planning, restoration plans were developed for these 8 natural villages (see Annex 8 of the RP). 48. The following table summarizes the implementation status of the restoration plans in these natural villages, while details are given in Annex 7. Table 18: Restoration in Severely Affected Natural Villages Affects Implementation of restoration measures and results26 Natural village RP Actual Bata Land loss As plan, but more As planned Community farmland acquisition as  All eligible affected HHs are covered by gov’t endowment some forestland was insurance counted as farmland  All affected HHs either planting dendrobe, or doing business, big or small, and/or renting houses  Income increased by 50% (2014 vs 2011) on average. Waimangguai Land loss Ditto As planned  3 construction teams with more than 30 affected people were formed, who construct houses and earn income  The other affected people do part-time wage work or change cropping pattern  On average, income increased by 35% Manghong Land loss Ditto  Over 90% of affected HHs are involved in beef cattle business since 2012 (5 HHs during resettlement planning). HHs buy cattle from nearby counties and from Burma for fattening and selling. Mangshi market is dominated by the village  30% affected HHs rent land outside for cultivation of watermelons, especially during winter seasons  Generally speaking, income of affected HHs increased by 20% Batuo Land loss Ditto As planned  80% of affected HHs improved cropping patterns by planting water melon or more rubber trees. The other affected HHs increased income by finding wage work locally.  Income of these HHs increased by 15% on average. Zhexiang Land loss Ditto As Planned  All affected HHs either rent land outside, or change cropping pattern, or keep cattle;  On average, income increased by 20% Manman Land loss Ditto As planned  20% affected HHs cultivated winter season watermelons outside on rented land  The other affected HHs were engaged in wage work, short time or long time  On average, income increased by 20% Jiele Concentrated Limited relocation The 4 affected HHs built and moved to their new houses relocation (4 HHs only) Laiwu Concentrated As plan As planned relocation  All affected HHs built and moved to their new houses Source: monitoring surveys G. Restoration in Non-Severely Affected Natural Villages

49. In addition to the 8 severely affected natural villages, the monitor also visited 9 other natural villages in December 2014 and January 2015, and learnt that LAR were completed in these 9 natural villages by 2013, and livelihoods were basically restored, details of these 9 natural villages are given in Annex 8. H. Restoration of Temporarily Occupied Land

50. As indicated in Table 7, 2,020mu temporarily occupied land was restored and handed over to the owners by December 2014, and Figure 6 shows some good examples of restoration.

26 The figures in the column were provided by group interviews of the affected people.

23

51. Temporarily occupied land in the consultants’ visited construction sites in Jan 2015 were restored pretty well, such as the 4 cases in Figure 6. In fact, in the whole process of construction, the contractors restored the spoil pits, access roads to the construction sites, land under the bridge, etc. whenever and wherever possible. 52. In the case of Gazhong village in Zhaefang township of Mangshi City, as reported in the last monitoring report, a low-lying land was used as a spoil ground by Contractor No. 16. The land, often flooded and with about 50mu unusable yet with poor access, was developed into 318mu flat farmland with good access road by December 2013. The flat farmland was cultivated with sugarcane in early 2014. To support farmers to cultivate sugarcane, the Zhefang Sugar Refinery Factory subsided farmers with CNY350 and two bags of fertilizers per mu. The project had acquired 145.0mu farmland and forestland of land in the village; this 350mu newly developed farmland is considered more than sufficient to overcome the losses of land acquisition. This case was widely reported by local newspapers, TV and government websites.

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IX. Consultation and Participation

53. A consultation and participation plan is included in the RP (see Table 19) and the project do followed the plan, details are shown in the table below. 54. The monitor visited 17 natural villages in December 2014 and January 2015 for the purpose of carrying out monitoring. All visited households confirmed that there were frequents and adequate consultation and participations in 2012-2014. For the additional land acquisition taking place in 2014, beyond the expressway construction redlines, same policy and compensation rates were adopted; and all affected households were consulted at least 4 times by county and township resettlement staff. In the case of Longling county, converting project access roads into permanent rural roads (also permanent land acquisition) was based APs’ requirements and intensive consultations. For the access road in the Xiaomidi Lisu natural village that needed additional land acquisition, for instance, 4 consultation meetings were held. Table 19: C&P Plan and Its Implementation Status Plan Implementation Status Purpose Mode Date Participants Land acquisition Village meeting July 2012- Dec LERC, i) LAR completed by July 2014, and LAR for and resettlement and visiting 2014 Coordination expressway alignment completed by 2013. individual HHs offices (Cos), ii) At least 2 consultation meetings in each townships, natural village villages and APs iii) All affected HHs signed LAR agreement with county/city COs iv) Each relocation HH was separately visited 4 times at least v) All compensations paid within 2 weeks after signing agreements Determination and Village meeting Before & after Ditto i) restoration measures in severely affected implementation of (many times) implementation villages implemented and/or under income implementation restoration plan ii) A lot of skill and technical training activities carried out. iii) Income of sample HHs (land loss HHs) was restored in 2014. House plots Village meeting Aug. 2012 COs, township House plots for affected HHs within and next to selection and village the right-of-way of the expressway were jointly officials, APs selected in 2012 based on consultations. Plots for additionally affected HHs were selected by July 2013 Training plans Village meeting July. Local labor Township level technical training plan was 2012~May bureau, township developed and implemented based on needs 2014 and village assessment. officials, APs i) 14 natural villages and over 200 APs were consulted for monitoring resettlement progress and Monitor, COos, impacts June. 2012~ township and Monitoring Village participation ii) 30 sample HHs were surveyed trough Dec. 2015 village officials, questionnaires to assess income restoration status. APs iii) COs and township officials participated in the monitoring.

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X. Grievance Redress

55. The grievance redress system, mostly using existing administrative set-ups, is effective in the project counties (see Figure 12). The relocation of 119 HHs by 201327, close to the expressway alignment but beyond the staked construction redlines, was resulted from complaints. These household, for fear of blasting engineering works (HHs close to tunnels) and for fear noises and dusts during expressway construction and operation (HHs close to the expressway) first complained to their villages requesting for relocation, the villages then reported to township governments and then reported to county/city coordination offices. County coordination office, upon initial investigation and consultation, therefore invited LREC for on-site verification and confirmation. Once confirmed by LERC, county/city coordination mobilized relocation procedure with insensitive consultation of these relocation households. In addition, some HHs unreasonably requested for higher compensations, coordination office and township governments had made a large of convincing work with great patience. 56. Apart from these relocation households, there is no other complaint on LAR by APs. However, they were some complaints about blocking irrigation system and farmland resulted from construction works and storms. These complaints were made by township governments and reported to Dehong Prefecture CO and LREC. According to the records kept, the project made immediate rescues.

APs

Village committee

If no resolution

Township government

If no resolution

Township government

If no resolution

CO/Leading Group Grievance and appeal Resolution accepted If no resolution

Prefecture CO

Figure 12: Grievance Redress Procedure

27 164 HHs for relocation in RP, but increased to 283 due to inclusion of HHs next but beyond the expressway alignment.

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XI. Conclusion and Follow-up Actions

57. The project had completed its LAR and no additional LAR is foreseen given that civil works (tunnels, bridges, subgrade, slope protection, etc) of the project was basically completed as of 31 December 2014. Compensations to affected rural people were fully and timely made and all house demolished households were well resettled by July 2014. 58. APs are satisfactory with LAR of the project and restoration measures were either implemented or under implementation with good results. Thanks to the employment opportunities of the project and the local governments’ greatly support of the RPs, 93.4% of sample HHs had restored their income in 2014. However, as the project's employment opportunities are temporary and less and less employment opportunities are available after December 2014 as civil works of project was basically complemented; therefore, sustainable income restoration measures need to be developed such as changing cropping patterns and transfer rural labors from primary sector to tertiary sector, etc. with strong support from local governments like the cases shown in the above sections. 59. LREC and the coordination offices will continue to cooperate with county government line agencies to help APs to implement sustainable income restoration activities through: (i) strengthening rural labor transfer training; (ii) strengthening agricultural technical training with emphasis on structure adjustment (changing cropping pattern); (iii) provision of (free) credit for business operations and cropping pattern adjustments; and (iv) business training, etc.. 60. The monitor will submit annual evaluation reports in 2016 and 2017. During the 2017 monitoring, an end-line survey by using the baseline survey questionnaire and sample HHs, will be conducted.

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XII. Annexes

Annex 1. Land Acquisition for Service Areas

Service area/parking area Location Land acquisition (mu) Longling K13+900 30 Mangshi K41+987 158 Gazhong K91+090 200 Ruili K124+130 60 Ruili K8+150 30 Total 478

Annex 2. Additional Land Acquisition

Paddy Dry Forest Rubber Bush Waste House Tea Contractor Total land land land plantation land land plot plantation No. 1 4.89 15.15 115.22 3.54 138.8 No. 2 13.81 51.76 16.61 21.18 0.82 0.92 105.1 No. 3 3.43 3.43 No. 4 26.81 6.87 0.4 34.08 No. 5 0.95 16.47 17.42 No. 6 14.46 0.26 1.06 15.78 No. 7 14.77 35.72 0.75 51.24 No. 8 5.08 87.66 92.74 No. 9 12.54 22.7 27.66 0.65 0.21 63.76 No. 10 7.76 34.36 4.7 46.82 No. 11 7.42 12.5 19.92 No. 12 No. 13 12 2.16 0.81 0.41 15.38 No. 14 No. 15 5.27 22.44 1.51 0.14 29.36 No. 16 2.87 12.91 0.25 13.76 29.79 No. 17 36.8 36.8 No. 18 No. 19 2.43 10.81 13.24 No. 20 2.23 0.97 0.23 0.72 4.76 13.95 22.86 No. 21 15.28 15.28 No. 22 Total 83.25 224.99 354.2 25.29 27 0.21 31.34 5.52 751.8

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Annex 3. RP and Actual Compensations Standards

A. Land-RP No. Land type Longling Mangshi Ruili (CNY/mu) (CNY/mu) (CNY/mu)

1 Agri. Area Class I28 Paddy: 41,600 Paddy: 57,278 Paddy: 42,870 land Dry land: 21,000 Dry land: 50,699 Dry land: 40,012 2 Area Class II (Santaishan & Zhefang Paddy: 29,355 Townships) Dry land: 24,720 3 Forest land 5,180-22,000 5,180-22,000 5,180- 22,000 4 Wasteland 4,287 4,287 4,287 5 Housing plot 100,050 100,050 49,588

B. Land -Actual No. Land type Longling Mangshi Ruili (CNY/mu) (CNY/mu) (CNY/mu)

1 Agri. Area Class I Same as RP As RP As RP 2 land Area Class II (Santaishan & Zhefang As Area I Townships) 3 Forest land As RP As RP As RP 4 Wasteland As RP As RP As RP 5 Housing plot As RP As RP As RP

C. Standing Crops No. Land type RP(CNY/mu) Actual Paddy/vegetable land 15,000 15,000 2 Dry land 5,000 5,000

D. Houses No. House type Unit RP Actual 1 Brick-concrete CNY/m2 900-1,300 900-1,300 2 Brick-tiles CNY/m2 500-800 500-800 3 Earth-tiles CNY/m2 400-750 400-750 4 Wood-tiles CNY/m2 230 230 5 Simple CNY/m2 80 80 2 6 Brick-asbestos tiles CNY/m 450 450 7 Hollow brick-asbestos tiles CNY/m2 500 500 2 8 Earth wall-asbestos tiles CNY/m 550 550 9 Relocation allowance HH 50,000 50,000 10 Additional transitional allowance HH 0 3,600 (CNY300/month* 12 months)

28 Area Classes are defined in the provincial document of Unified AAOV and Regional Integrated Land Compensation Standards (2009). The project counties might further define the area classes when implementing this RP.

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Annex 4. Detailed Transfer Records from LREC

Date To Longling County (CNY mil) To Dehong Prefecture (CNY mil) Disbursement Accumulative total Disbursement Accumulative total 28 March 2011 3.0 3.0 02 Sept. 2011 8.0 11.0 7.0 7.0 23 Nov 2011 85.0 92.0 28 Nov 2011 4.93 15.93 29.62 121.62 05 April 2012 2.0 17.93 29 May 2012 10.0 27.93 04 June 2012 30.0 151.62 19 June 2012 5.0 32.93 25 July 2012 20.0 171.62 04 Sept 2012 50.0 221.62 05 Sept 2012 6.0 38.93 13 Sept 2012 10.0 48.93 17 Oct 2012 100.0 321.62 Dec 2012 -21.0 300.62 (repayment) 22 Dec 2012 10.0 58.93 35.0 335.62 21 Jan 2013 100.0 435.62 01 April 2013 10.0 68.93 09 April 2013 10.0 78.93 100.0 535.62 24 June 2013 20.0 (lending) 98.93 17 Dec 2013 5.0 540.62 02 Jan 2014 2.0 100.93 Jan 2014 1.5 102.43 Total by Dec 2014 102.43 540.62

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Annex 5. Training in 2014

Date Venue Training contents Participants I. Mangshi

5-Jan-14 Fengping township Machine rice transplantation 75 9-Jan-14 Fengping township Orient tobacco cultivation 86 26-Jan-14 Zhefang township Employment skills 120 26-Feb-14 Zhongshan township Orient tobacco cultivation 100 4-Mar-14 Fapa village, Mangshi township Machine rice transplantation 58 21-Feb-14 Nongnong village, Zhefang township Rubber tree pest control 150 Jan-April 2014 Mangshi city Tea grafting

20-21-Mar-2014 Mangshi township Orient tobacco cultivation 75 1-Apr-14 Mangshi township Tobacco flue-curing 30 11-Apr-14 Mangshi city Machine tea picking 50 11-Apr-14 Jiangdong topwnship Tea & mulberry (silkworm) cultivation 50 28-Mar-14 Xuangang township Sugarcane cultivation 40 4-May-14 village, Mengshi township Tobacco grading 45 15-May-14 Whole Mangshi city Summer maize high-yielding 100 14-May-14 Yunpan village, Mangshi township Rice transplanting through throwing 30 21-May-14 Nongmen village, Fengping township Machine rice transplantation 56 3-May-14 Yunpan village, Mangshi township Pest control for rice 30 Pest control for rice, Agri machine Jun-Dec-14 management, vegetable in high > 2,000

mountain, lemon planting, etc. Total > 4,000

II. Longling

23-Jan-14 Longxin township potato frost hardiness cultivation 65 15-Jan-14 Longxin township Tobacco cultivation 40 28/02-01/03, 14 Agri. School Dendrobe processing 138 1-Apr-14 Longshan township Tobacco cultivation 30 29-Jun-14 Longshan township Rice-fish cultivation 32 Dendrobe panting, embroidery for Jun-Dec-14 > 300 women, Tobacco cultivation, etc. Total > 700

III. Ruili

14-Jan-14 Hansha natural vill., Mengmao t-ship IPM on greenhouse vegetables 43 27-Jan-14 Dengxiu village, Nongdao township Watermelon grafting 62 27/02-02/03, Jiedong village, Mengmao township Sweet corn cultivation 60 2014 27-Feb-14 Dengxiu village, Nongdao ownship Sugarcane cultivation 50 24-28/02, 2014 Ruili city Village technicians on plant protection 100 25-28/02, 2014 Nonghong village, Jiexiang township Aquaculture 200 24-27/02, 2014 Jiexiang village, Jiexiang township Employment skills 50 8-Mar-14 Mengxiu village, Mengxiu township Training of women on agri technologies 400 women 03-06/03, 2014 Jiexiang wonship Formulated fertilization

10-Mar-14 Jiexiang wonship Vegetable production 75 16-20/03, 2014 Rulici city Lemon and pumelo cultivation 40 6-Mar-14 Jiedong village, Jiexiang township Agri machinery 13 9-May-14 Xiaojie village, Mengxiu township Summer corn high-yielding cultivation 50 8-May-14 Xinzhai village, Mnegxiu township Vegetable seedlings/nursery 36 Feb-Mar, 2014 Mengmao township Machine rice transplantation 403 Pumelo cultivation, vegetable, water Jun-Dec-14 > 2000 melon, etc. Total > 4,000

Source: county governments

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Annex 6: Survey Results of Sample HHs

A: Basic Information Type of Impact Labor Ethnic Group Administrative Natural County/city Township HH Head HH Size Village Village

A:Land acquisition A: Han B: Dai only;B:Relocation Total M F M F Total C: Jingpo D: De'ang only; C:Both E: Lisu F: Others 1 A Ou Yafu 4 2 2 2 1 3 E 2 A Yu Xingmao 5 3 2 1 1 2 E

3 Longxin Huangcaoba Xiaomidi A Yu Baofu 5 3 2 2 1 3 E 4 A Yu Kengcheng 4 2 2 1 1 2 E

5 A Yu Baocai 4 3 1 3 1 4 E Longling 6 No. 4 C Yang Yousheng 5 3 2 3 2 5 A 7 C Yang Jiajin 6 3 3 2 3 5 A 8 Longshan Baita C Yang Jiaxue 5 3 2 2 1 3 A 9 No. 3 A Zhao Derui 6 2 4 1 2 3 A 10 A Zhao Shishu 7 3 4 2 2 4 A 11 C Generxiao 3 1 2 1 1 2 B 12 A Xiaoxiazuo 8 5 3 3 1 4 B 13 Mangshi Lahuai Waigua A Sixiangbao 3 1 2 1 1 2 B 14 A Xiaoerbao 5 2 3 1 2 3 B 15 A Gengruan 6 3 3 2 3 5 B Mangsh 16 A Zhaolaku 5 1 4 1 1 2 D 17 A Zjaolazhi 4 2 2 2 2 4 D 18 Santaishan Chuguadong No. 4 A Huohongyang 5 3 2 2 2 4 D 19 A Jiang Jinfa 4 1 3 1 1 2 D 20 A Zhaolaliu 3 2 1 1 1 2 D 21 C Feng 4 2 2 2 2 4 B 22 A Wangbai 5 2 3 1 2 3 B 23 Jiexiang E'luo Laiwu C Hanliangsang 4 3 1 1 1 2 B 24 A Gutianning 4 1 3 1 3 4 B 25 A Shuaienyue 7 5 2 4 2 6 B Ruili 26 A Yanlun 3 2 1 2 1 3 Jingpo 27 A Zheodeyi 5 3 2 2 2 4 Jingpo

28 Mengmao Jiele Mangliang A Hanshun 3 1 2 1 2 3 Jingpo 29 A Sanhan 4 2 2 1 1 2 Jingpo 30 A Ganhanyi 4 3 1 1 1 2 Jingpo

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B: Land Acquisition Data Farmland before Acquisition (mu) Farmland Acquisition (mu) Farmland after Acquisition Farmland Paddy Land Dryland Total Paddy Land Dryland Total Paddy Land Dryland Total Loss(%)

1 2.90 2.50 5.40 0.30 1.00 1.30 2.60 1.50 4.10 24.1 2 2.60 3.50 6.10 0.87 0.87 1.73 3.50 5.23 14.3

3 3.30 3.20 6.50 1.20 0.20 1.40 2.10 3.00 5.10 21.5 4 2.80 2.10 4.90 0.50 0.50 2.30 2.10 4.40 10.2

5 4.00 26.00 30.00 11.25 11.25 4.00 14.75 18.75 37.5

6 2.50 2.20 4.70 1.13 2.20 3.33 1.37 0.00 1.37 70.9 7 2.00 0.20 2.20 1.00 0.20 1.20 1.00 0.00 1.00 54.6 8 1.00 1.25 2.25 1.25 1.25 1.00 0.00 1.00 55.6

9 1.20 1.30 2.50 1.20 1.20 0.00 1.30 1.30 48.0

10 2.31 0.71 3.02 2.31 0.26 2.57 0.00 0.45 0.45 85.1 11 3.20 1.40 4.60 1.40 1.40 1.80 1.40 3.20 30.4

12 8.00 4.00 12.00 3.42 3.42 4.58 4.00 8.58 28.5

13 4.00 0.50 4.50 1.51 1.51 2.49 0.50 2.99 33.6

14 6.00 0.50 6.50 2.13 2.13 3.87 0.50 4.37 32.8

15 4.50 0.80 5.30 1.00 1.00 3.50 0.80 4.30 18.9

16 4.50 20.00 24.50 3.50 3.50 1.00 20.00 21.00 14.3

17 1.91 22.00 23.91 1.31 1.31 0.60 22.00 22.60 5.5

18 5.96 7.00 12.96 3.89 3.89 2.07 7.00 9.07 30.0

19 5.88 7.00 12.88 2.77 2.77 3.11 7.00 10.11 21.5

20 6.00 17.00 23.00 3.60 0.20 3.80 2.40 16.80 19.20 16.5 21 10.00 5.00 15.00 0.58 0.58 10.00 4.42 14.42 3.9

22 11.00 4.00 15.00 3.10 3.10 7.90 4.00 11.90 20.7

23 4.00 3.50 7.50 0.50 0.50 3.50 3.50 7.00 6.7

24 11.00 6.00 17.00 1.10 1.53 2.63 9.90 4.47 14.37 15.5 25 17.00 7.00 24.00 1.79 1.21 3.00 15.21 5.79 21.00 12.5 26 3.20 2.70 5.90 1.36 1.36 3.20 1.34 4.54 23.1 27 5.00 5.00 10.00 1.21 1.21 5.00 3.79 8.79 12.1 28 2.00 2.00 4.00 0.93 0.93 2.00 1.07 3.07 23.5 29 2.50 2.50 5.00 0.78 0.78 2.50 1.72 4.22 15.6 30 1.60 3.00 4.60 0.85 0.85 1.60 2.15 3.75 18.5

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C: Income from Agriculture of Land Loss APs (2014 vs. 2011) No. Farmland Income in 2011 Income in 2014 Income Difference Loss (%) 2014-2011 Cropping Livestock Others29 Total Cropping Livestock Others Total 1 2,995 1,000 4,000 7,995 1,426 1,200 5,000 7,626 -369 24.1

2 3,455 1,000 3,000 7,455 2,649 1,200 4,000 7,849 394 14.3 3 3,625 1,200 4,000 8,825 2,343 1,400 5,500 9,243 418 21.5

4 2,699 700 3,000 6,399 1,793 1,000 4,000 6,793 393 10.2

5 17,932 1,000 4,000 22,932 9,536 2,000 10,000 21,536 -1,396 37.5 6 60,000 0 4,000 64,000 85,200 0 9,000 94,200 30,200 70.9 7 7,000 0 8,000 15,000 77,500 0 13,000 90,500 75,500 54.6 8 4,500 0 6,000 10,500 77,000 0 11,000 88,000 77,500 55.6

9 8,000 0 4,000 12,000 80,000 0 9,000 89,000 77,000 48.0 10 10,000 0 9,000 19,000 90,000 0 14,000 104,000 85,000 85.1

11 3,000 500 2,000 5,500 1,017 700 8,500 10,217 4,717 30.4 12 12,520 500 3,000 16,020 2,320 700 21,020 24,040 8,020 28.5 13 3,510 500 2,000 6,010 567 700 8,010 9,277 3,267 33.6

14 5,140 500 4,000 9,640 569 700 13,640 14,909 5,269 32.8

15 7,818 500 3,800 12,118 719 700 16,618 18,036 5,919 18.9 16 12,700 1,200 5,000 18,900 10,601 1,500 8,000 20,101 1,201 14.3

17 12,146 1,000 4,500 17,646 14,901 1,300 12,500 28,701 11,055 5.5 18 7,076 800 2,000 9,876 4,102 1,100 5,000 10,202 326 30.0 19 7,028 800 1,000 8,828 4,103 1,100 7,000 12,203 3,375 21.5 20 12,100 500 1,000 13,600 9,002 700 9,000 18,702 5,102 16.5

21 16,000 500 500 17,000 45,000 700 25,000 70,700 53,700 3.8 22 5,692 500 2,000 8,192 4,539 1,000 3,000 8,539 347 20.7 23 2,888 500 3,000 6,388 4,102 700 4,500 9,302 2,914 6.7 24 6,492 300 3,000 9,792 5,471 500 4,500 10,471 679 15.5 25 9,124 300 3,000 12,424 8,669 500 4,500 13,669 1,245 12.5 26 2,635 200 4,000 6,835 1,025 400 6,000 7,425 590 23.1 27 4,430 200 6,000 10,630 2,007 400 9,000 11,407 777 12.1 28 1,772 300 6,000 8,072 916 500 9,000 10,416 2,344 23.3 29 2,215 300 4,000 6,515 1,177 500 6,000 7,677 1,162 15.6 30 1,978 300 3,000 5,278 1,348 500 4,500 6,348 1,070 18.5

29 Others include wage work, business, government subsidy etc. 34

D: Income from Non-agriculture Sector and Total HH Income of Land Loss APs (2014 vs. 2011) Income from Non-Agricultural Sectors Total HH Income 2011 2014 2011 2014 Difference Short-time Long-time Short-time Long-time Income Income Business Subsidy Total Business Subsidy Total (2014-2011) Migration Migration Migration Migration in 2011 in 2014 1 4,000 0 4,000 5,000 0 5,000 7,995 7,626 -369

2 1,700 1,300 3,000 2,700 1,300 4,000 7,455 7,849 394

3 4,000 0 4,000 5,000 500 5,500 8,825 9,243 418

4 3,000 0 3,000 4,000 0 4,000 6,399 6,793 393

5 4,000 0 4,000 10,000 0 10,000 22,932 21,536 -1,396

6 4,000 0 4,000 8,000 1,000 9,000 64,000 94,200 30,200

7 3,800 4,200 8,000 8,800 4,200 13,000 15,000 90,500 75,500

8 6,000 0 6,000 6,000 5,000 0 11,000 10,500 88,000 77,500

9 4,000 0 4,000 4,000 5,000 9,000 12,000 89,000 77,000

10 9,000 0 9,000 9,000 5,000 14,000 19,000 104,000 85,000

11 2,000 0 2,000 3,500 5,000 0 8,500 5,500 10,217 4,717

12 3,000 0 3,000 20,000 1,020 21,020 16,020 24,040 8,020

13 2,000 0 2,000 3,000 5,000 0 8,000 6,010 9,277 3,267

14 3,000 1,000 4,000 13,000 640 13,640 9,640 14,909 5,269

15 3,800 0 3,800 1,300 15,000 320 16,620 12,118 18,036 5,919

16 5,000 0 5,000 5,000 3,000 0 8,000 18,900 20,101 1,201

17 4,500 0 4,500 12,000 500 12,500 17,646 28,701 11,055

18 2,000 0 2,000 5,000 0 5,000 9,876 10,202 326

19 1,000 0 1,000 7,000 0 7,000 8,828 12,203 3,375

20 1,000 0 1,000 9,000 0 9,000 13,600 18,702 5,102

21 500 500 25,000 0 25,000 17,000 70,700 53,700

22 2,000 0 2,000 3,000 0 3,000 8,192 8,539 347

23 3,000 0 3,000 4,500 0 4,500 6,388 9,302 2,914

24 3,000 0 3,000 4,500 0 4,500 9,792 10,471 679

25 3,000 0 3,000 4,500 0 4,500 12,424 13,669 1,245

26 4,000 0 4,000 6,000 0 6,000 6,835 7,425 590 27 6,000 0 6,000 9,000 0 9,000 10,630 11,407 777 28 6,000 0 6,000 9,000 0 9,000 8,072 10,416 2,344 29 4,000 0 4,000 6,000 0 6,000 6,515 7,677 1,162 30 3,000 0 3,000 4,500 0 4,500 5,278 6,348 1,070

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Annex 7: Restoration in Severely Affected Natural Villages

Table A7-1: Severely Affected Natural Villages Severely affected natural village County/city Township Village/ Type of impact Affected by community Baita Community Longling Longshan Baita Community Land loss Interchange Waimangguai Mangshi Mangshi Lahuai Land loss Interchange Manghong Mangshi Fengping Mangzhai Land loss Interchange Batuo Mangshi Zhefang Humen Land loss Interchange Zhexiang Mangshi Zhefang Zhemao Land loss Interchange Manman Ruili Wanding Hunban Land loss Interchange Jiele Ruili Mengmmao Jiele Concentrated relocation Expressway Laiwu Ruili Jiexiang E’luo Concentrated relocation Expressway

A. Baita community, Longling County

RP impact: Acquiring 156.7mu arable land, accounting for 37.3% of the total. The land acquisition affects 211 HHs with 796 persons. In addition, 13 households will need to be relocated due to house demolition. Actual impact: as plan. Table A7-2: Restoration Measures and Implementation Status in Baita Restoration measure (RP) Implementation Status by December 2014 13 relocation HHs: 120m2 of house plot each by government, As planned by June 2013 self-building of new houses Participation in Endowment insurance (55HHs) 55 HHs (project affected) and many other HHs (affected by other projects) participated in the insurance since late 2013 Leasing house renting: 55 HHs As planned Working as skilled labors: 15 HHs As usual and as planned Huanglong Jade business: 11 HHs As planned mini-bus passenger transport business: 5 HHs As planned cultivation of purple dendrobium and dendrobium officinale As planned , 10 HHs actually, 5 HHs on rented land in other (two high-value medical herbs): 8 HHs villages Migration employment locally: 50% of HHs As planned,

B. Jie’le natural village, Ruili city

RP: 20 relocation HHs losing houses (farmland acquisition impact is minor), Actual: only 4 HHs affected by relocation. In addition, 81 HHs (46.6% of total) lost 141.2mu (5.4% of total) of farmland by May 2013. Table A7-3 Restoration Measures and Implementation Status in Jiele Restoration measure (RP) Implementation Status by December 2014 Natural village allocate new homestead for each of the 20 Self-identified plots household, 330m2 for each. Township government build electricity, drinking water facilities No needed and access road AH build own houses Done by March 2013.

C. Laiwu natural village, Ruili city

Impact: 9 relocation HHs, acquisition of 30.3mu of farmland (2.97%) Actual: as plan

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Table A7-4: Restoration Measures and Implementation Status in Laiwu Restoration measure (RP) Implementation Status by December 2014 House plots: 0.8mu per HH from natural village’s reserve of As planned 30mu Self-building houses: Built by June 2013 Single storey houses: 3 HHs Single storey houses: 3 HHs 2-storey houses: 5 HHs 2-storey houses: 6 HHs Un-determined: 1 HH D. Manghong natural village, Mangshi city

RP impact: loss 164.98mu farmland of 141 HHs, 89 households lost less than 10%, 38 households lost 10-20%, and 14 households lost 20-50%. No relocation Actual impact loss 269.49mu farmland of 198 HHs because affected forestland was counted as dryland, 2 relocation HHs. Table A7-5: Restoration Measures and Implementation Status in Manghong Restoration measure (RP) Implementation Status by December 2014 58 HHs continuously renting land in Ruili City, Yingjiang 15 HHs engaged in this activity during winter season County, even in Xishuanbanna to cultivate water melon Good income due to good market prices in 2014 (limited input from Vietnam resulted in good price of watermelon produced in south China) 51 HHs: coffee cultivation 51 HHs belonging to a coffee cooperative, 1-2mu/HH. Income: CNY5000-6000/mu at high mountain CNY2,000-3,000/mu at low mountain 7 HHs: beef cattle business Over 90% of HHs engaged in this business, Mangshi’s market was dominated by this village. Usually, villagers buy cattle from nearby areas and from Burma, fattening for a short period within the village before selling. Major income source of all HHs Provision of employment opportunities Limited Technical training Many training. A technician from Fengping township is in charge of the Mangzhai village (which administrates Manghong natural village)

E. Batuo natural village, Mangshi city RP impact: acquisition of 48.48mu farmland, affecting 29 HHs with 145 people, the overall loss is 19.3%. Of the affected HHs, 11 HHs lost less than 10% of their farmland, 12 HHs lost 10-20% and 6 HHs lost more than 20%. Actual: acquired 180.59mu farmland (including some forestland counted as farmland) and 24.7mu forestland, actually affected 180 HHs. Table A6-6: Restoration Measures and Implementation Status in Batuo Restoration measure (RP) Implementation Status by December 2014 Improving agri. production structure: 15 HHs (replace rice by About 120 HHs engaged in water melon and sweet corn water-melon in spring season) production since 2012 Better rubber tree management: 8 HHs 28 HHs (more HHs affected) Local non-farm employment: 3 HHs About 25 HHs Intensified short-term employments for sugarcane harvest: 6 21 HHs HHs

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F. Zhexiang natural village, Mangshi city RP impact: acquisition of 144.98mu farmland, accounting for 11.1% of the total, affecting 40 HHs with 198 people. Of the affected HHs, 18 HHs lost less than 10%, 13 HHs lost 10-20%, and 9 HHs over 20%. Actual impact: lost 180mu farmland, including some forestland counted as farmland. Table A7-7: Restoration Measures and Implementation Status in Zhexiang Restoration measure (RP) Implementation Status by December 2014 Purchase farmland through land transfer: 8 HHs 3 HHs done Renting farmland in the village: 5 HHs 35 HHs, also in other counties during winter season Renting farmland in Jingpo village: 17 HHs Buy vehicles: 2 HHs 5 HHs Buy breeding cows: 2 HHs 2 HHs Technical training Many regular and irregular training

G. Waiwangguai natural village, Mangshi city RP impact: (i) acquisition of 76.65mu arable land, accounting for 13.91% of the total, affecting 33 HH with 153 people. Of the 33 AHs, 3 HHs lost less than 10% of their arable land, 4 HHs 10%-20%, and 27 HHs lost more than 20%. (ii) 2 relocation HHs Actual impact: 105mu farmland acquisitioned as some forestland was counted as farmland; 4 relocation HHs. Table A7-8: Restoration Measures and Implementation Status in Waimanggua Restoration measure (RP) Implementation Status by December 2014 Relocation HHs: 2; 4 HHs natural village allocate 0.6mu to each from its reserved land 2 allocated sites, 2 used own plots Houses built by June 2013 Buy land (use rights only): 2 HHs losing over 20% of farmland 2 HHs, as planned (very common practice in recent years) Improve agri. Production (orient tobacco to replace corn in 25 HHs winter season): 17 HHs, Technical training At least one person in each HH got trained in 2013

H. Manman natural village, Ruili city RP impact: acquisition of 69.55mu arable land and 41.23mu cash tree land, accounting for 8.8% and 3.2% of the total respectively. Farmland acquisition affected 35 HHs with 151 people, losing 43.84%. Of the affected HHs, 3 households lost less than 10%, 15 HHs lost 10-20% and 3 HHs lost more than 20%. Actual impact: acquisition of 123mu farmland (cash tree land/forestland counted as farmland). Table A7-9: Restoration Measures and Implementation Status in Manman Restoration measure (RP) Implementation Status by December 2014 Farming on rented land in Burma: 31 HHs 55 HHs Local migration: 3 HHs 6 HHs Working on daily paid temporary jobs (transport and factory at Many, both men and women Manman landport

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Annex 8: LAR in 9 Natural Villages

1. Laolvshu natural village, Longshan Township, Longling County. The project acquired 17 HHs’ land of 88.9mu and affected 4 HHs’ houses. Two HHs relocated in June 2013 and the remaining two relocated in September 2013. 2. Duanjiazhai natural village, Longxin Township, Longling County. It is a natural village (or sub-village) of Huangcaoba village. Duanjiazhai has 53 HHs with 175 persons, all are Han. The natural village has 1,166.7mu of land after 90.7mu of land being acquired from 31 HHs. There are 6 relocation HHs in Duanjiazhai; of which 4 relocated in June 2013 and the remaining 2 relocated in August 2013. 3. Xiaomidi natural village, Longxin Township, Longling County. It is a Lisu natural village of the above mentioned Huangcaoba village. It has 67 HHs with 306 persons. 66 of the 67 HHs are Lisu. The village has 303.4mu of farmland after 19.6mu of 22 HHs being acquisitioned before March 2013. Of the 3,482mu of forestland in Xiaomidi, 19.7mu of 6 HHs were acquired also before March 2013. Again, all HHs confirmed that they received land compensation timely and livelihood restored. 4. Tengmiechang natural village, Mangshi Township, Mangshi City. It is a natural village of Yunmao village and it has 33 households with 119 people who are all Han ethnic group. Out of the 33 HHs, 8 and 18 HHs were affected by land acquisition and by relocation respectively. The natural village has 2,566mu of land resource after being acquisitioned of 31.1mu of land by Dec 2012 by the project (loss of less than 1%). Among the 8 relocation HHs (821.7m2): (i) 2 HHs had moved in their new houses before June 2013; (ii) 3 HHs moved in their new houses in August 2013; and (iii) the remaining 2 HHs moved in their new houses in September 2013. According to village leaders, livelihood of this natural village was restored. 5. Shuicaozi natural village, Mangshi Township, Mangshi City. Land of 56.37mu (6.3% of the total land area 889.3mu) were acquired by May 2013 and houses of 785.3m2 were demolished by the project by June 2013. The village has 88 households of 359 people who are mostly Dai ethnic minority (350 persons). Land acquisition affected 48 HHs and demolishment of house and structures affected 7 HHs. The 7 HHs with 785.3m2 of houses and structures, need to be relocated. All the 7 households moved to their new houses by July 2013. All HHs in Shuicaozi restored their inomce. 6. Chudonggua natural village, Santaishan De’ang Township, Mangshi City. It is a mountainous De’ang natural village of Chudonggua village. It has 136 De’ang HH with 593 persons. The project acquisitioned 80mu farmland and out of a total of 3,530mu by March 2013, affecting 123 HHs with 556 persons. There is no relocation in this natural village. 7. Manman natural village, Wanding Township, Ruili City. It is a Jingpo natural village. It has 180 Jingpo HHs with 751 persons. The project acquired 69.55mu farmland out of a total 497mu and affected 35 HHs by April 2013. In addition, the project resulted in the relocation of 3 HHs, who were all relocated in May 2013. 8. Mangling natural village, Mengmao Township, Ruili City. It is a Dai natural village where there are 126 HHs with 611 persons. It has a land area of 1,704mu after 96mu of 77 HHs being acquired by June 2013. In addition, there are 11 HHs with 1,944.96m2 of houses being demolished. The 11 HHs were relocated by March 2013. 9. Huoma natural village, Mengmao Township, Ruili City. It is a Jingpo natural village of Mangling Village. It has 43 Jingpo HHs with 156 persons. The project only acquired 13.8mu or 4.6% of the village’s total farmland of 299.4mu, plus 33.3mu forestland out of 4,020mu by April 2013. No one was severely affected by land acquisition. However, the project resulted in the relocation of 9 HHs. Of the 9 relocation HHs, 6 relocated in May 2013 and 2 relocated in August 2013, and the remaining one relocated in an unused house of his parents since April 2013. This HH, however, should not be counted as in transition because it intends to build a luxury 2-storey house in a few years once it could afford for the cost. All HHs confirmed that they received all compensations timely.

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