Updated Resettlement Plan

Dingxing County Wastewater Treatment Plant Resettlement Plan Document Stage: Updated Project Number: P36437 August 2008

PRC: Integrated Ecosystem and Water Resources Management in the Baiyangdian Basin Project

Prepared by Dingxing County Urban Construction and Municipal Engineering Limited Liability Company, PRC

The resettlement plan 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.

Catalogue

PREFACE ...... I 1 PROJECT INTRODUCTION ...... 1 1.1 BRIEF INTRODUCTION OF THE PROJECT ...... 1 1.1.1 PROJECT COMPOSITION AND SCOPE OF LAND ACQUISITION ...... 1 1.1.2 PROJECT IMPACTS ...... 1 1.2 PROJECT ESTIMATED SOCIO-ECONOMIC BENEFITS ...... 4 1.3 COST ESTIMATE AND IMPLEMENTATION PLAN ...... 4 2 PROJECT IMPACTS AND SOCIOECONOMIC STATUS OF THE PROJECT AREA ...... 6 2.1 MEASURES TO AVOID OR MINIMIZE THE IMPACTS OF LAND ACQUISITION ...... 6 2.1.1 PROJECT DESIGN AND SITE-SELECTION PRINCIPLE ...... 6 2.1.2 PROJECT SCHEME COMPARISON ...... 6 2.2 SURVEY MEASURES AND PROCESS ...... 7 2.3 SOCIOECONOMIC STATUS OF THE AFFECTED COUNTY AND TOWN ...... 7 2.4 SOCIOECONOMIC STATUS OF THE AFFECTED VILLAGE ...... 9 2.5 PROJECT IMPACTS ...... 10 2.5.1 PERMANENT LAND ACQUISITION AND PROJECT IMPACTS ANALYSIS ...... 10 2.5.2 TEMPORARY LAND OCCUPATION ...... 11 2.5.3 PROJECT DEMOLISHMENT IMPACTS ...... 12 2.5.4 AFFECTED POPULATION AND BASIC ECONOMIC STATUS ...... 14 2.5.5 VULNERABLE GROUPS ...... 15 2.5.6 IMPACTS ON WOMEN ...... 15 2.5.7 INFRASTRUCTURE AND GROUND ATTACHMENT ...... 15 2.5.8 PUBLIC OPINION SURVEY ...... 16 3 LEGAL FRAMEWORK AND POLICIES ...... 19 3.1 APPLICABLE LAWS, REGULATIONS & POLICIES FOR RESETTLEMENT ...... 19 3.2 ADB POLICIES ...... 20 3.3 CHINA’S LAWS, REGULATIONS AND RELEVANT ARTICLES ...... 21 3.4 COMPENSATION PRINCIPLES FOR THIS PROJECT ...... 30 3.5 COMPENSATION ELIGIBILITY CUT-OFF DATE ...... 30 3.6 DEFINITION OF THE RESETTLEMENT RATE ...... 30 3.6.1 COLLECTIVE-OWNED LAND ACQUISITION ...... 30 3.6.2 TEMPORARY LAND OCCUPATION COMPENSATION ...... 31 3.6.3 DEMOLISHED HOUSES COMPENSATION ...... 31 3.6.4 INFRASTRUCTURES AND GROUND ATTACHMENTS COMPENSATION ...... 32 3.6.5 OTHER COMPENSATION STANDARD ...... 32 3.7 ENTITLEMENT MATRIX ...... 34 4 RESETTLEMENT MEASURES ...... 36 4.1 OBJECTIVES OF RESETTLEMENT ...... 36 4.2 RESTORATION MEASURES OF THE PERMANENTLY REQUISITIONED COLLECTIVE LAND ...... 36 4.2.1 LAND READJUSTMENT AND CASH COMPENSATION ...... 36 4.2.2 APS TRAINING ...... 37

I

4.2.3 PROJECT EMPLOYMENT ...... 37 4.2.4 SUGGESTION FOR LIVELIHOOD RESTORATION ...... 38 4.3 WOMEN’S RIGHTS...... 39 4.4 RESTORATION OF HOUSE DEMOLISHMENT ...... 39 4.4.1 RESIDENTIAL HOUSES DEMOLISHMENT ...... 40 4.4.2 COUNTRYSIDE ENTERPRISE DEMOLISHMENT ...... 40 4.5 RESTORATION OF TEMPORARILY OCCUPIED LAND ...... 42 4.6 RESTORATION OF INFRASTRUCTURES AND GROUND ATTACHMENTS ...... 42 5 INSTITUTIONAL FRAMEWORK ...... 43 5.1 INSTITUTION ESTABLISHMENT ...... 43 5.2 STAFF ARRANGEMENT AND TRAINING PLAN ...... 43 5.2.1 STAFF ARRANGEMENT ...... 43 5.2.2 TRAINING PLAN ...... 44 5.3 ENHANCEMENT MEASURES FOR RESETTLEMENT INSTITUTIONS ...... 44 6 PUBLIC PARTICIPATION AND GRIEVANCE REDRESS ...... 45 6.1 PUBLIC PARTICIPATION ...... 45 6.1.1 PUBLIC PARTICIPATION IN THE PROJECT PREPARATION PERIOD ...... 45 6.1.2 PARTICIPATION PLAN IN THE PERIOD OF IMPLEMENTATION ...... 46 6.2 GRIEVANCE REDRESS ...... 47 7 RESETTLEMENT COST ESTIMATE ...... 48 7.1 RESETTLEMENT COST ESTIMATE ...... 48 7.2 RESETTLEMENT INVESTMENT PLAN AND BUDGETARY RESOURCES...... 49 7.3 RESETTLEMENT FUND MANAGEMENT AND DISBURSEMENT ...... 49 8 RESETTLEMENT IMPLEMENTATION PLAN ...... 50 8.1 PRINCIPLES OF RESETTLEMENT IMPLEMENTATION ...... 50 8.2 SCHEDULE FOR RESETTLEMENT IMPLEMENTATION ...... 50 9 MONITORING AND EVALUATION ...... 52 9.1 INTERNAL MONITORING ...... 52 9.2 EXTERNAL MONITORING ...... 53

APPENDIX 1 OUTLINE OF EXTERNAL MONITORING APPENDIX 2 PUBLIC PARTICIPATION MEETING MINUTES APPENDIX 3 RESETTLEMENT INFORMATION BOOKLET APPENDIX 4 OPINIONS ON LAND PRELIMINARY EXAMINATION APPENDIX 5 OPINIONS ON PRELIMINARY SITE SELECTION OF WWTP

II

LIST OF TABLES

TABLE 1-1 BRIEF DESCRIPTION OF PROJECT COMPOSITION ...... 2 TABLE 2-1 TWO COMPARING SCHEMES FOR THE PROJECT...... 7 TABLE 2-2 IMPACT ANALYSIS OF PERMANENT LAND ACQUISITION ...... 10 TABLE 2-3TEMPORARY LAND OCCUPATION CONDITION ...... 12 TABLE 2-4PREJECT DEMOLISHMENT IMPACTS ...... 13 TABLE 2-5IMPACTS ON AFFECTED ENTERPRISES ...... 13 TABLE 2-6 STATISTICAL TABLE OF AFFECTED PERSONS ...... 14 TABLE 2-7FAMILY INCOME AND EXPENDITURE ANALYSIS ...... 14 TABLE 2-8BASIC INFRASTRUCTURE AND GROUND ATTACHMENT AFFECTED BY PROJECT ...... 16 TABLE 2-9SURVEY RESULTS OF PUBLIC OPINIONS ...... 17 TABLE 3-1SUMMARY OF MAIN ARTICLES IN LAND ADMINISTRATION LAW AND RELEVANT POLICIES ...... 23 TABLE 3-2 REF. NO.GF [2004]28, REF. NO.GTZF [2004]238, JZ [2004]151, DZ [2005]71 AND THEIR APPLICATION ...... 26 TABLE 3-3RESETTLEMENT PRINCIPLES OF THE PROJECT ...... 30 TABLE 3-4COLLECTIVE LAND ACQUISITION COMPENSATION STANDARD OF THE PROJECT ...... 31 TABLE 3-5COMPENSATION RATE FOR TEMPORARILY OCCUPIED ROAD ...... 31 TABLE 3-6INFRASTRUCTURE AND GROUND ATTACHMENTS RESETTLEMENT STANDARD OF THE PROJECT ...... 32 TABLE 3-7OTHER COMPENSATION STANDARD OF THE PROJECT ...... 32 TABLE 3-8ENTITLEMENT MATRIX ...... 34 TABLE 4-1COMPENSATIONS FOR VILLAGE GROUP & PERSONS AFFECTED BY LAND ACQUISITION ...... 37 TABLE 4-2TECHNICAL TRAINING PLAN FOR APS ...... 37 TABLE 4-3INPUT AND OUTPUT ANALYSIS OF THE MAIN CROPS ...... 38 TABLE 4-4 COUNTRYSIDE ENTERPRISE DEMOLISHMENT ...... 40 TABLE 5-1STAFF ARRANGEMENT IN RESETTLEMENT INSTITUTIONS INVOLVED IN THE PROJECT ...... 44 TABLE 5-2RESETTLEMENT STAFF TRAINING PLAN ...... 44 TABLE 6-1PUBLIC PARTICIPATION DURING THE PERIOD OF PROJECT PREPARATION . 45 TABLE 6-2PROJECT PUBLIC PARTICIPATION PLAN ...... 46 TABLE 7-1RESETTLEMENT COMPENSATION COST ESTIMATE OF DINGXING COUNTY URBAN CONSTRUCTION & DEVELOPMENT CORPORATION ...... 48 TABLE 7-2RESETTLEMENT INVESTMENT PLAN OF DINGXING COUNTY WWTP ...... 49 TABLE 8-1SCHEDULE OF RESETTLEMENT IMPLEMENTATION ...... 50 TABLE 9-1 PROGRESS REPORT ON LAND ACQUISITION AND RESETTLEMENT ...... 53 TABLE 9-2EXECUTIVE PROGRESS ON FUNDS UTILIZATION ...... 53 TABLE 9-3 SCHEDULE FOR RESETTLEMENT MONITORING AND EVALUATION ...... 54

iii

List of Figures

FIGURE 1-1 PROJECT SKETCH MAP ...... 2 FIGURE 2-1LOCATION MAP OF DINGXING COUNTY ...... 8 FIGURE 2-2LOCATION MAP OF DINGXING TOWNSHIP ...... 9 FIGURE 5-1 INSTITUTIONAL FRAMEWORK FIGURE FOR RP ...... 43

iv Preface

The RP is a revised one, the previous one was approved by ADB in 2007. The RP is being approved post-facto with due diligence, though the RP was adequately updated in Aug 2008. Dingxing County WWTP project consists of two subprojects, which are WWTP and wastewater pipeline network. The WWTP construction site in the previous RP should permanently require 56.115mu of collective-owned land. However, as the land is basic farmland, it is very difficult to go through the land acquisition procedures. In order not to affect project progress, Dingxing County Urban Construction and Municipal Engineering Limited Liability Company decided to select a new site, the land of which is non-basic farmland and the land use also accords with land utilization planning of Dingxing County. Therefore it is required to investigate the affected persons and update the information in previous RP. Meanwhile, the Company further optimized the wastewater pipeline network which is now nearer to county than before, consequently the length of the pipeline decreased from 31,102 m to 10,919m. The revised RP points out the changed WWTP and pipeline network.

Dingxing County WWTP Resettlement Plan

Executive Summary

Dingxing County WWTP Project is a subproject of Integrated Ecosystem Management and Environmental Protection of Baiyangdian Lake Catchment Project, which is funded by ADB. After the implementation of the project, it will greatly ameliorate the pollution condition of Dingxing County, mitigate the water pollutants and improve the water environment, which is good for the local people’s health and development of the industry and agriculture. Dingxing County WWTP consists of a wastewater treatment plant project and an auxiliary pipeline network project and a pumping station. Dingxing County Urban Construction and Municipal Engineering Limited Liability Company will be the implementing agency of the project.

The project will last 17 months from July 2009 to December 2010. The land acquisition, compensation and resettlement implementation plan to start in September 2008 and end in the end of June 2009. The resettlement cost is CNY 3.7278 million (according to the price of the first half year of 2008), including the basic cost of land acquisition, relevant tax, fees and contingencies. The resettlement cost accounts for 5.52% of the whole project.

The main impacts of Dingxing County WWTP Project mainly are from permanent land acquisition and temporary land occupation. The construction will need permanent land acquisition of 59.88 mu, of which 40.16 mu is all collective-owned land in reserve affecting 2 villages of Dagou and Xiaodian Village, Dingxing Township, Dingxing County, 19.72 mu is state-owned land. 4 households or 19 persons will be affected only by permanent collective-owned land acquisition. In addition, 569.09 m2 of houses will be affected, which affects 2 small countryside enterprises and 2 households or 13 persons. Meanwhile temporary land occupation affects 43.73mu of state-owned land all of which is non-maneuverable lanes, and 23.55mu of collective-owned land all of which is rural earth road. Furthermore, the project will affect 5 telegraph poles of 380V, 958 trees (diameter>10cm), 236 trees (diameter<=10cm) and 33 tombs.

In order to avoid or reduce the negative impacts of land acquisition, during the feasibility study phase, it is given more consideration and discussion with the affected villages and the APs. The best one was selected after comparing and optimizing the schemes.

This Resettlement Plan is based on the Land Administration Law of the People’s Republic of China (2004), State Council Circular on the Decisions of Deepening Reform and Administrating Land Strictly (Ref. No. GF [2004] 28), related policies of Hebei province and Baoding municipality, ADB’s Policy on Involuntary Resettlement, and other relevant policies for social security. Also through negotiation with local government and APs, the principles for preparation of this Resettlement Plan are: (i) Involuntary resettlement should be avoided or minimized where feasible; (ii) Compensation and entitlements provided for the APs should be able to at least maintain, or improve their - D-1-III - Dingxing County WWTP Resettlement Plan

“pre-project” standard of living; (iii) No matter whether they have legal entitlements will All APs be compensated and assisted; (iv) Where land per capita after land acquisition is not sufficient to maintain livelihood, compensation by cash or through land replacement and other income-generating activities will provided for; (v) All APs will be adequately informed on eligibility, compensation mode and standards, livelihood and income restoration plans, project timing, and will be involved in RP implementation; (vi) No land acquisition will take place unless replacement land or sufficient compensation are given to APs; (vii) The EA and independent/ third party will monitor compensation and resettlement operations; (viii) Vulnerable groups (including women) will receive special assistance or treatment to ensure then to better off. APs should have the opportunities to benefit from the Project; (ix) RP should be combined with overall county planning; (x) RP budget should be adequate and cover full aspects.

As to the permanent land acquisition, the land acquisition compensation includes land compensation fee, resettlement subsidies, and young crops compensation fee. The land acquisition compensation for the annual output value of irrigated land is CNY 1,350/mu, the compensation multiple is 20, in which land compensation multiple is 7.2 and resettlement subsidy multiple is 12.8.

The income restoration measures include cash compensation, land adjustment and employment priority. According to the agreement with the village committee, the land in reserve will be distributed to affected households so as to guarantee them to gain the same quantity and quality of land which is permanently acquired. Young crops compensation fee will be disbursed directly to the affected households. The compensation fee for the affected collective-owned reserve land acquisition and the resettlement subsidies will be paid to the village committee and will be allocated for the construction of some basic infrastructure and commonweal in the village. In addition, the affected labors will get priority to be employed in the project implementation.

Through different ways, such as meetings, interviews and group discussions, public participations and negotiations within communities, all the affected persons (including 30% women) were informed of the key content of the resettlement plan. Villagers participated in the project and their opinions were included in the plan. The draft Resettlement Plan was publicized on the ADB’s official website in June 2007. The Resettlement Information Booklet and the revised Resettlement Plan has handed out to the affected persons and villages in the middle ten days of September, 2008. The RP is updated by Aug 2008 and April 2010. The time of submit to ADB is May 2010. The grievance redress channel has been established for the affected persons. Each relevant agency should process the complaint and grievance redress from the affected persons for free, and the reasonable fee resulted will be covered by the contingencies.

Dingxing County Urban Construction and Municipal Engineering Limited Liability Company will be the implementing agency of the project. Dingxing County WWTP

- D-1-III - Dingxing County WWTP Resettlement Plan

Project Leading Team will carry out the specific responsibility for implementation of the Resettlement Plan. In order that the Resettlement Plan could be carried out smoothly, besides internal monitoring, Baoding PMO will entrust independent monitoring institute to do external monitoring and evaluation every six months. The monitoring and evaluation fee will be covered in the resettlement cost estimate. The first external monitoring has been submitted to ADB in April 2010.

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Abbreviations

ADB Asian Development Bank APs Affected persons BMG Baoding Municipal Government CNY Chinese currency DMS Detailed Measurement Survey EA Executing agency HH Household IA Implementing agency LA Land acquisition LAR Land acquisition and resettlement MLR Ministry of Land and Recourses M&E Monitoring & Evaluation Mu Chinese land area unit of measure: 1 mu = 0.0667 ha AAOV Average annual output value PMO Project management office PPTA Project preparatory technical assistance PRC People’s Republic of China RP Resettlement plan TOR Terms of reference WWTP Wastewater treatment plant

Glossary or Terminology

Affected person (or : People (households) affected by project -related changes in use of land, water household) or other natural resources. Compensation : Money or payment in kind to which the people affected are entitled in order to replace the lost asset, resource or income. Entitlement : Range of measures comprising compensation, income restoration, transfer assistance, income substitution, and relocation which are due to affected people, depending on the nature of their losses, to restore their economic and social base. Income restoration : Reestablishing income sources and livelihoods of people affected Relocation : Rebuilding housing, assets, including productive land, and public infrastructure in another location. Resettlement effect : Loss of physical and non-physical assets, including homes, communities, productive land, income-earning assets and sources, subsistence, resources, cultural sites, social structures, networks and ties, cultural identity, and mutual help mechanisms. Resettlement plan : A time-bound action plan with budget setting out resettlement strategy, objectives, entitlement, actions, responsibilities, monitoring and evaluation. Vulnerable groups : Distinct groups of people who might suffer disproportionately from resettlement effects.

Dingxing County WWTP Resettlement Plan

1 Project Introduction

1.11.11.1 Brief Introduction of the Project

Dingxing County WWTP Project is a subproject of Integrated Ecosystem Management and Environmental Protection of the Baiyangdian Lake Catchment Project in Baoding City, Hebei Province, which is funded by ADB. The objective of the proposed project is to prevent wastewater from discharging into Juma River directly, so as to protect Juma River water body, the urban environment, and the environment of Baiyangdian Lake Catchment, which can enhance sustainable development of Dingxing County’s economy. After the implementation of the project, it will greatly ameliorate the pollution condition of Dingxing County, mitigate the water pollutants and improve the water environment, raise the life quality of inhabitants, ensure the sustainable development of regional industry and agriculture.

The project consists of a WWTP project with a treatment capacity of 30,000m3/d, an auxiliary pipeline network which is 10.919 km. The Booster Pumping Station in the draft Resettlement plan is cancelled in this design optimization.

Being entrusted by Dingxing County Government, Hebei Province, North Design & Research Institute has finished “The Feasibility study Report of Dingxing County Wastewater Treatment Plant Project” in August 2008, and the Resettlement Plan is based on the feasibility study report, field survey and relevant information survey.

1.1.1 Project Composition and Scope of Land Acquisition

Dingxing County Wastewater Treatment Plant Project consists of Dingxing County WWTP project and an auxiliary pipeline network. Refer to Table 1-1 for the project composition and Figure 1-1 Project Sketch Map.

1.1.2 Project Impacts

The main impacts of Dingxing County WWTP Project mainly are from permanent land acquisition and temporary land occupation. Residential houses and countryside enterprises are affected in the project.

The construction will need permanent land acquisition of 59.88 mu, of which 40.16 mu is collective-owned land in reserve and 19.72 mu is state-owned land. 40.16 mu of collective-owned land in reserve is non-basic farmland affecting 2 villages of Dagou and Xiaodian Village, Dingxing Township; therein the affected land of Dagou Village

- D-1-1 - and Xiaodian Village is respectively 22.13 mu and 18.03mu. 4 households or 19 persons will be affected only by permanent collective-owned land acquisition. In

Dingxing County WWTP Resettlement Plan addition, 569.09 m 2 of houses will be affected, which affects 2 small countryside enterprises and 2 households or 13 persons. No vulnerable groups such as poor households will be involved in the APs. Table 1-1 Brief Description of Project Composition Project Brief Description Remarks The construction will need permanent land acquisition of 59.88 mu, among which 40.16 mu is all collective-owned land in reserve, which is non-basic Establish a proposed WWTP to the south of urban area, north farmland affecting 2 villages of of Dagou Village, and east of the old National Road 107. The Dagou and Xiaodian Village, treatment capacity of the proposed WWTP is 30,000m 3 per day Dingxing Township, Dingxing (long-future it would be 40,000m 3 per day). Compared between County, 19.72 mu is WWTP Project BIOLAK and Orbal oxidation ditch process, BIOLAK is taken to state-owned land. 4 households use by the proposed WWTP. The wastewater mainly comes or 19 persons will be affected from domestic sewage and industrial wastewater discharge only by permanent (except for poisoned and harmful industrial wastewater). collective-owned land acquisition. In addition, 569.09 m2 of houses will be affected, which affects 2 small countryside enterprises and 2 households or 13 persons. Include wastewater pipeline project of two wastewater Temporary land occupation Auxiliary treatment systems both in the old urban area to the west of affects 43.73mu of state-owned Pipeline the railway and in the new urban area to the east of the land all of which is Network railway and general trunk pipelines in and out plant of which non-maneuverable lanes, and Project Pipe diameter is D600-1200mm, pipe length is 10.919km, 23.55mu collective-owned land concrete wastewater pipeline is adopted. all of which is rural earth road.

Figure 1-1 Project Sketch Map

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Dingxing County WWTP Resettlement Plan

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Dingxing County WWTP Resettlement Plan

Pipeline network construction will temporarily occupy both state-owned land and collective-owned land. It will need to dig 10,919m road, temporarily occupying 43.73mu of state-owned land all of which is non-maneuverable lanes, and 23.55mu collective-owned land all of which is rural earth road. No farmland will be affected in the temporary land occupation; nor will any residential houses, enterprises or shops demolishment happen.

Furthermore, the project will affect 5 telegraph poles of 380V, 958 trees (diameter>10cm), 236 trees (diameter<=10cm) and 33 tombs.

1.21.21.2 Project Estimated Socio-economic Benefits

The benefited area is the urban zone of Dingxing County, and according to the plan, the total service area of the wastewater treatment system is 12.2k m 2. The implementation of the project is divided into several periods. The recent auxiliary network construction service area is 8.6 km 2 with a population of 84,000.

The estimated socioeconomic benefits of the proposed project are: (1) Control the pollution of Haihe River Basin and protect the water resources; (2) Protect the water quality of South-to-North Water Transfer Project line; (3) Improve the city environment of Dingxing County and ensure the health of inhabitants; (4) Improve the sustainable development of Dingxing County and mitigate the tense condition of water resources; (5) Ameliorate the eco-environment of Nanjuma River and Baiyangdian Lake and improve the development of local agriculture.

1.31.31.3 Cost Estimate and Implementation Plan

The total cost estimate for The Dingxing County Wastewater Treatment Plant Project is CNY 67.5265 million and among which CNY3.7278 million is for the resettlement cost estimate, accounting for 5.52% of the total cost estimate.

The Dingxing County Wastewater Treatment Plant Project will last 17 months from

July 2009 to December 2010. According to the schedule of the implementation,

Dingxing County Urban Construction and Municipal Engineering Limited Liability

Company started the Resettlement Plan in August 2006 and the Resettlement Plan was finished on December 2006 and was submitted to ADB for a review in January 2007. After

- D-1-4 - the plan being approved by ADB, land acquisition, compensation and resettlement

Dingxing County WWTP Resettlement Plan implementation planned to start in June 2007. The previous construction site affected basic farmland and land acquisition approval is difficult, therefore new site has to be selected, the revised RP was prepared in August 2008 and April 2010 and then will be submitted to ADB for review in April 2010.

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2 Project Impacts and Socioeconomic Status of the Project Area

2.12.12.1 Measures to Avoid or Minimize the Impacts of Land Acquisition

2.1.1 Project Design and Site-selection Principle

In the phase of project design, in consideration of minimizing the area of acquisition and resettlement, the main principles are:

- Avoid or reduce the occupation of the present and planning residential districts; - Avoid or reduce the occupation of high-quality cultivated land; - Utilize the existing roads available to the project site, either by the national ones or the local ones; - Pipeline construction should utilize the existing ones and decrease the length of new pipelines so as to reduce existing road digging and impact of temporary land occupation; - Avoid or reduce the occupation of the environmentally sensitive area.

2.1.2 Project Scheme Comparison

(1) Site-selection Scheme of WWTP

There are two site-selection schemes for Dingxing County WWTP. The previous scheme: Xijin Village in Beitian Township, southeast of Dingxing County. The village is located outside the urban area, treated water from WWTP can be discharged into Nanjuma River nearly and directly, which can help to avoid pollution possibility of the treated water. The new scheme: the proposed WWTP is to the south of urban area, north of Dagou Village, and east of the old National Road 107. The terrain is flat and treated water from WWTP will directly discharge into Nanjima River. The proposed WWTP is located in the bottom of the Urban Drainage System which is easy for wastewater collection and conveyance. Details of the two comparing schemes are shown in Table 2-1。

Through comparing and optimizing, both schemes can meet the requirements of plant construction, but as to the new scheme, its investment is lower, the production and operation cost is less, and the land acquisition is easier, thus finally the new scheme was selected.

Table 2-1 Two Comparing Schemes for the Project Comparing Items Previous Scheme New Scheme The terrain is flat and lower than urban area, The terrain is flat and lower than urban area, which is convenient for wastewater collection. which is convenient for wastewater collection. Environmental Treated water from WWTP can directly Treated water from WWTP canl directly Status discharge into Nanjima River, which can help discharge into Nanjima River, which can help to avoid pollution possibility of the treated to avoid pollution possibility of the treated water. water. Located outside the urban area, and in the Located at the edge of the urban area, and in down wind position of the leading direction of the down wind position of the leading direction Environmental wind in summer, thus, the odor and noise will of wind in summer, thus, the odor and noise Impact impose no impact on the urban area when the will impose no impact on the urban area when WWTP is in operation. the WWTP is in operation. Neither residential houses nor other structures The affected land is coll ect ive -owned land in WWTP exist in the proposed WWTP construction site. reserve, the impact is slight, but residential Permanent Land It is more convenient for permanent land houses and enterprises will be demolished. Acquisition acquisition. The proposed WWTP is located outside the The proposed WWTP is in the bottom of the urban area, and in the backward position of urban area drainage system, which is Relationship Nanjuma River. It has a large scope of convenient for wastewater collection and Between WWTP wastewater collection. However, the pipeline is conveyance. It is also near to the northern and Pipeline much longer. industrial zone, which is convenient for Networks wastewater collection and recycling. And the pipeline is shorter. Area 3.741ha 3.992ha Land property Ba sic farmland Non -basic farmland

2.22.22.2 Survey Measures and Process

In August 2006, in order to know the impact condition and according to the requirement of ADB, Dingxing County Urban Construction and Municipal Engineering Limited Liability Company technicians, project design institute and the resettlement plan design team from Hohai University conducted surveys on various indexes of affected physical goods with the coordination of the cadres and villagers in affected villages and groups. An overall account was conducted on household basis. In the mean time, the survey was conducted door to door with affected families (5 households), including family members, land acquisition impacts, family financial conditions and resettlement wills. The survey group also went deep into the village committee and village group and invited further opinions and proposals on the resettlement in form of conversation and negotiation participated by the village committee, village group and persons to be affected. As the construction site changed, the company, design institute and Hohei University re-investigated the affected villages, APs in August, 2008.

2.32.32.3 Socioeconomic Status of the Affected County and Town

Dingxing County is located in the central part of Hebei Province, 52km away from 。 。 Baoding City. The geographical coordinate is from 39 05’ to 39 20’ north altitude, from 。 。 115 3’ 8 to 115 20’ east longitude. Dingxing County nears Gaobeidian City in the east and Yi County in the west, and marches with Rongcheng County and Xushui County in the

south and Laishui County in the north. Also, Dingxing County is located in the hinterland of Beijing City, Tianjin City and Baoding City. The total area of the county is 714km 2, and the total population is 0.532 million with an average population density of 743.7 persons per square kilometers. Dingxing County administers 4 towns, 12 townships, and totally 274 administration villages. There are 1.061 million mu of land in the county, of which, 0.742 million mu is cultivated land. The main agricultural products in the county are corn, soybeans, peanuts, delicious potatoes and so on. The raising industry focuses on pigs, cattle, sheep and poultry. The forest coverage rate in the county is 10.5%, and the timber volume is totally 0.79 million m 3. The total product value of 2007 was CNY 4.2178 billion.

Beijing-Guangzhou Highway passes through Dingxing County, the highway length inside the county is 24.3 km with a passenger transport amount of 0.934 million person-times. The total road length of the county is 253.1km, of which, there is 24.5km National Highway named Beijing-Shenzhen Highway with a yearly freight amount of 64,000 tons.

Among these years, industry of Dingxing County develops very fast. Pillar industries include automobile manufacture, mechanism process, light industry and spinning, construction material, and fine chemical industry. In total, there are more than 2,000 industrial enterprises in the county. Industry of Dingxing County aims at size development, which means high capacity, high levels and more science and technology content. There are many large-size enterprises such as Baoding Gas Engine Manufacture Ltd., Baoding Tianma Automobile Ltd., Baoding Dadi Automobile Ltd., Hebei Lihua Hat-making Group, and so on, which enhance the integrated capacity of the county economy.

Dingxing County

Baoding Municipality

Figure 2-1Location Map of Dingxing County

Dingxing Township is located in the north of Dingxing County with a total area of 17.1 km 2. Up to 2007, population in Dingxing Township was totally 26,639 households, 88,159 persons, of which 60,498 persons are non-agricultural. Net income of farmers is CNY

2,715 per capita. The terrain in the township is flat with the east little lower than the west. The Nanjuma River is close to the south of the township flowing from the west to the east, most villages are along the southern bank of the river, connecting closely and distributing like strip shape. There are 27,600 mu of cultivated land, of which irrigated land is 25,345 mu. The main agricultural products are wheat, corn, peanut, cotton and tingle yam. Refer to Figure 2-1 for Location Map of Dingxing Township.

Dingxing Township

Figure 2-2 Location Map of Dingxing Township

2.42.42.4 Socioeconomic Status of the Affected Village

The permanent collective-owned land acquisition involves Dagou Village and Xiaodian Village, Dingxing Town.

Dagou village has overall 364 households, 1,530 persons and farmland of 1,511mu with the main product of wheat and corn. Wheat and corn are both planted once a year with a production of 500kg per mu and 650kg per mu, respectively. The cash crops mostly are cotton, tingle yam, garlic and asparagus. In 2007, the total product value was CNY 6.12 million of which agricultural part is 50%, net income of farmers was over CNY 2,800 per capita. There are nearly 950 labors in the village, of which 400 labors mainly engage in agricultural production, the others work outside all year long as migrant workers.

Xiaodian village has overall 350 households, 1,420 persons and farmland of 1,330mu with the main product of wheat and corn. Wheat and corn are both planted once a year with a production of 450kg per mu and 600kg per mu, respectively. The cash crops mostly are cotton, tingle yam, garlic and asparagus. In 2007, the total product value was CNY 5.82 million of which agricultural part is 30%, net income of farmers was over CNY 2,650 per capita. There are nearly 860 labors in the village, of which 300 labors mainly engage in agricultural production, the others work outside all year long as migrant workers.

2.52.52.5 Project Impacts

2.5.1 Permanent Land Acquisition and Project Impacts Analysis

The construction will need permanent land acquisition of 59.88 mu, of which 40.16 mu is collective-owned land in reserve and 19.72 mu is state-owned land.

2.5.1.1 Permanent Collective-owned Land Acquisition

The construction of WWTP will need permanent land acquisition of 40.16 mu collective land affecting 2 villages of Dagou and Xiaodian Village, Dingxing Township. The collective land is all collective land in reserve. The affected land of Dagou Village is 22.13mu, of which 1.39 mu has been rented by individuals for flour plant construction, the other is idle land. The affected land of Xiaodian Village is 18.03mu, which is contracted to households with a one-year contract by village committee.

2.5.1.2 Impact Analysis of Permanent Collective-owned Land Acquisition

The construction of WWTP will requisition permanently 22.13 mu of Dagou Village and 18.03 mu of Xiaodian Village,. Refer to Table 2-2 to find the impact analysis of permanent land acquisition.

Table 2-2 Impact Analysis of Permanent Land Acquisition Collective Land Project Township Village Land Property Acquisition （（（mu ））） Project Impacts Cultivated Land 1 household and 1 Collective land in Dingxing Dagou 22.13 enterprise reserve WWTP demolished Collective land in 4 households, 19 Dingxing Xiaodian 18.03 reserve persons Total 40.16

The affected 22.13mu land of Dagou Village is collective land in reserve, of which 1.39 mu has been rented by individuals for a flour plant construction, the other is idle land. No households are affected.

The affected 18.03mu land of Xiaodian Village is collective land in reserve, which is of worse quality and is contracted to households with a one-year contract by village committee. The rental is CNY 400/mu. 4 households, 19 persons will be affected. After land acquisition, there is still 100mu reserve land in the village, the village committee will provide the same quantity and quality of land as before for the affected households from the reserve land to remedy the loss resulted from land loss. Therefore, land acquisition won’t bring any distinct impacts on them.

2.5.1.3 Impact Analysis of Permanent State-owned Land Acquisition

The construction will requisition permanently 19.72 mu of state-owned land. The land is idle land belonging to previous forest company. Because this project is the key project of the county, after the approval of Dingxing County Government and Land Resources Bureau, the land can be transferred to the project at no cost.

2.5.2 Temporary Land Occupation

According to the temporary land occupation scheme, the main temporarily occupied land of the project is the areas used for construction of the auxiliary pipeline network. Digging mud from WWTP will be conveyed to the sanitary landfill belonging to Dingxing County Office of Environment and Sanitation, with no temporary land occupation requirement.

The total temporarily occupied land area is 67.28 mu. Among all the land, there is 43.73mu of state-owned land all of which is non-maneuverable lanes of the state-owned road. Dingxing County conducted an investigation on the state-owned road affected by the 6494 m of pipeline construction, the results show that pipeline construction will cause some inconvenience temporarily on 141 residential households or 427 persons’ temporary egression and 222 non-residential households or 492 persons’ parking and freight. However, pipeline construction will make tiny effect on the nearby residents and shops, because the road is wide enough to make use of the existing drainage ditch. Thus, it is no need to compensate the households and shops along the lane for the impacts. At the same time, the engineering and environmental protecting measures should not excessively disturb surrounding environment and construction monitoring should be adopted in the implementation. 23.55mu of collective-owned land will be temporarily occupied by the project, all of which is rural earth road. No shops along the road will be affected. Pipeline construction will be implemented together with the planned road; therefore, no extra impacts will be caused. The occupied period for land construction is 10 days. During the implementation, monitoring and public consultation for the APs should be conducted to make sure valid and fast construction. If the construction period exceeds 10 days, the construction unit will pay affected households and enterprises 100 yuan/day, the fee will come from the contingencies. Refer to Table 2-3 and Figure 1-1 for information of temporary land occupation.

Table 2-3 Temporary Land Occupation Condition

Road Pipeline Pipeline Residential Non-residential Area of Land property Types Length Temporary Diameter Household Household (m) Land Population Population Occupation (mu) HHs No. HHs No. Wastewater D600 4425 / / / / 23.55 Collective-owned Pipeline D800 1869 37 117 40 100 11.63 State-owned D1000 1397 24 70 26 80 9.11 State-owned D1200 3228 80 240 156 312 22.99 State-owned Total 10919 141 427 222 492 67.28

2.5.3 Project Demolishment Impacts

569.09 m 2 of houses will be demolished, which affects 2 small countryside enterprises and 2 households or 13 persons.

2.5.3.1 Residential Houses Demolishment

125.35 m 2 of residential houses will be demolished, which affects 2 households or 13 persons. 1 household will just demolish its affiliated simple shed, so the impact on it is not significant. The other household built their house on the idle state-owned land; after the evaluation on the affected house, they will build a new house on the new house site provided by the village committee. Refer to Table 2-4.

2.5.3.2 Countryside Enterprise Demolishment

443.74 m 2 of countryside enterprise structures will be demolished, which affects 2 countryside enterprises of Dagou Flour Plant and Dingxing Liangxing Feed-processing Plant. Dagou Flour Plant has stopped operation, so demolition will not bring any impacts on production. As to Dingxing Liangxing Feed-processing Plant, its structures will be evaluated; compensation and resettlement mode will be fully based on its opinions. Refer to Table 2-5.

Table 2-4 Project Demolition Impacts

Total House Area （㎡） Demolished House Area （（（m2 ））） Land Area of Householder Demolishment Village Brick-concrete Brick-wood Brick-concrete Brick-wood Simple Demolished Land property Resettlement Mode Name Impact Degree House House House House shed Houses（（（mu ））） Partly Cash Dagou Yang Xueliang 123.8 22.8 0.03 Collect-owned land demolished Compensation Wang Completely Rebuild on the Dagou 102.55 102.55 0.5 State-owned land Shengxian demolished same village

Table 2-5 Impacts on affected Enterprises

Introduction of affected enterprises Demolishment Impacts

Employee Land Total House Area （㎡） Demolished House Area （（（m2 ））） Enterprise Tatol Demolishment Demolished Acquisition Name Characteristics owner Area Brick- Brick- Brick- Brick- Impact Structure Note （（（mu ））） Simple Simple Total Females （（（mu ））） concrete wood subtotal concrete wood subtotal Degree Usage shed shed Structure Structure Structure Structure 1.39 mu of Completely Already Dagou Flour Tian Office or 5 2 Private 1.39 collective 176.67 176.67 176.67 176.67 demolished stopped Plant Jiajun plant land production Dingxing Completely 3.46 mu of Liangxing Miao demolished Office or 10 3 Private 3.46 state-owned 267.07 267.07 267.07 267.07 Feed-processing Jian plant land Plant

2.5.4 Affected Population and Basic Economic Status

(1) Affected Population

The project permanent land acquisition will affect 4 households or 19 persons of Xiaodian Village. In addition, 2 small countryside enterprises and 2 households or 13 persons will involve their house demolishment. The total temporarily occupied land is state-owned land and collective-owned land, there is no person directly affected, but there are 919 persons who will be indirectly affected in a short period. Refer to Table 2-6.

Table 2-6 Statistical Table of Affected Persons Permanent Land Residential House Affected Total Impact Acquistion Demolishment Enterprise Type Affected APs Affected HHs APs Affected APs Affected Affected APs HHs HHs HHs Enterprises Total 4 19 2 13 2 15 6 2 47

(2) Basic Economic Status of Affected Population

In order to know the basic status of the affected people, the Socioeconomic Survey Team has conducted a sample survey on the affected households, including 5 household samples, which accounts for 83.3% of total affected households of permanent land acquisition. Refer to Table 2-7 to find the basic economic status of the affected households. Table 2-7 Family Income and Expenditure Analysis items income Yuan/household Yuan/capita ratio Agricultural Incom 20000 4000 689.66 18.89% Sideline Income 3250 650 112.07 3.07% Family Annual Income of Migrant Workers 40000 8000 1379.31 37.79% Income (CNY) Other income 42600 8520 1468.97 40.25% subtotal 105850 21170 3650.00 100.00% Seeds 6750 1350 232.76 7.21% Pesticide and Fertilizer 7200 1440 248.28 7.69% Irrigation Fee 6400 1280 220.69 6.83% Machine Work 5500 1100 189.66 5.87% Living Water Fee 400 80 13.79 0.43% Family Electricity Fee 1750 350 60.34 1.87% Annual Communication 6700 1340 231.03 7.15% Expenditure (CNY Education 7500 1500 258.62 8.01% Medical Service 10350 2070 356.90 11.05% Fuel 3800 760 131.03 4.06% Food 32200 6440 1110.34 34.38% Others 5100 1020 175.86 5.45% subtotal 93650 18730 3229.31 100.00% Savings 21025 2440 420.69 Net income 80000 16000 2758.62

As shown in table 2-7, in terms of family income of the 5 sample households, agricultural income accounts for a small percentage of the total income with 17.3%, 17.5%, 16.9%, 25.1% and 20.8% for the 5 sample households respectively. The highest percentage is only 25.1%, and the lowest percentage is as small as 16.9%. That is to say, non-agricultural industry is the main income source of the households in the project affected area, comprising of sideline, animal breeding, migrant workers, salaries from enterprises, and so on. Since affected households rely less on land, permanent land acquisition causes tiny impacts on local farmers.

2.5.5 Vulnerable Groups

There is no vulnerable person affected.

2.5.6 Impacts on Women

Among the affected population, there are 25 women, 53.2% of the total population. In the land-requisitioned households, there is no such household in which single woman is the master laborer because of losing spouse, being divorced or being deserted etc. According to the socioeconomic survey, the affected women enjoy the legal rights as well as men, including cultivated land contracting, education receiving, family planning and voting etc. Most of the surveyed women think that they have the same self-governance rights on production and management as men. They can choose to be migrant workers or to start their own family business. Of course, male and female take different parts in family life and production. Women do more housework and some nonagricultural productions which they can deal with by themselves, such as yam and asparagus planting. Some are even engaged in mason work in their own village or nearby villages. Men mainly undertake construction work or labor migration. Generally speaking, women’s working time is 1.2 times of men’s.

The main income resources of the affected women are from agricultural planting and mason work. Their per capita net income is about CNY 1,000, accounting for 27% of their total family income. Before the proposed project, the village committee promises to redistribute the same quantity and quality of land to the affected households, therefore, the project construction and land acquisition won’t bring any exceptional distinct impacts on women.

2.5.7 Infrastructure and Ground Attachment

According to the investigation, the project will affect 5 telegraph poles of 380V, 958 trees (diameter>10cm), 236 trees (diameter<=10cm) and 33 tombs. Table 2-8 presents the index of basic infrastructure and ground attachment affected by project.

Table 2-8Basic Infrastructure and Ground Attachment Affected by Project Items Unit Quantity telegraph poles of 380V no. 5 trees (diameter>10cm) no. 958 trees (diameter<=10cm) no. 236 Tombs no. 33

2.5.8 Public opinion Survey

Among the 8 investigated households, 6 households or 80% are familiar with the project; 8 households or 100% agree with the project; 100% of the households consider the proposed project to benefit all national, collective and individual; 60% are dissatisfied with present water supply service; 6 households consider the present water environment to affect living seriously; 100% of the households regard the project as good for body and mind’s health; 5 households think it possible to reduce income because of land acquisition caused by project construction; 5 households know relevant policies about land acquisition and resettlement; and 8 households or 100% know to appeal to concerned departments when their legal rights are infringed. Refer to Table 2-9 for the survey results of public opinions.

Dingxing County WWTP Resettlement Plan

Table 2-9 Survey Results of Public Opinions

Results No. Questions Answers Investigated 1 2 3 4 5 Populations Population Percentage (%) Population % Population % Population % Population % 1 (1)very familiar Are you (2)not very familiar with 6 80 2 30 familiar the project? (3)unfamiliar 2 (1)support Do you (2)disapprove support this 8 100 (3)it doesn’t project? matter 3 Who do you (1)nation think the (2)collective proposed (3)individual 8 100 8 100 8 100 project will benefit? 4 Are you (1)very satisfie d satisfied with (2)just so so the present (3)unsatisfied 8 1 10 2 30 5 60 water (4)it doesn’t condition? matter 5 How does (1)no (2)not water serious shortage or (3)serious environmental (4)very serious 2 30 6 80 pollution impact your life? 6 What benefit (1)improve living do you think environment the project (2)improve 8 100 8 100 3 40 8 100 will bring working you? environment (3)increase job

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Dingxing County WWTP Resettlement Plan

opportunity (4)good for health 7 What (1)no disadvantage disadvantage do you think (2)impact the project transportation will give you? (3)house demolishment will lead to 3 40 5 60 economic loss (4)the land acquisition will reduce family income (5)other disadvantageous impacts 8 Do you know (1) know about policies (2) know some of land (3) don’t know 1 10 5 60 2 30 acquisition and resettlement? 9 Do you know (1) know that you can (2) don’t know appeal to concerned 8 100 departments when your rights are infringed?

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3 Legal Framework and Policies

3.13.13.1 Applicable Laws, Regulations & Policies for Resettlement

The resettlement policies of this project are mostly based on ASIAN DEVELOPMENT BANK (ADB)’s policies and relevant laws and regulations of the People’s Republic of China, including:

ADB Policies - Involuntary Resettlement , Asia Development Bank (ADB), Manila. 1995; - Handbook on Resettlement: A Guide to Good Practice , ADB Manila, 1998; - Gender Checklist : Involuntary Resettlement, ADB Manila, February 2003; - OM Section F2 —Operations Manual: Bank Policies (BP) and Operational Procedures (OP) , ADB, Manila. Issued on 29 October 2003.

Laws and Regulations of PRC - Land Administration Law of the People’s Republic of China (effective as of 28 August, 2004) - State Council Circular on the Decisions of Deepening Reform and Administrating Land Strictly (State Council [2004] No. 28, effective as of 21 October 2004) (Ref. No.GF [2004]28) - Regulations on the Protection of Basic Farmland (effective as of 1 January, 1999) - Provisions of Public Hearings on Land and Resources (MLR, effective as of 1 May 2004) - Guiding Opinions on Improving Compensation and Rehabilitation System for Land Acquisition (No. 238 Decree and issued by Ministry of Land and Resources in 2004) (Ref. No.GTZF [2004]238) - Pre-examination Management Methods of Land for Construction Project (Document 27 in 2004, MLR) - Public Announcement Methods on Land Requisition (MLR, effective as of 1 Jan. 2002) - Regulations on Land Administration of Hebei Province (effective as of 27 May, 2005) - Protection Regulation on Basic Farmland of Hebei Province (effective as of 29 November, 2003) - Circular on implementation opinions of Deepening Reform and Administrating Land Strictly (Document 151 in 2004, Hebei provincial peoples’ government) (JZ[2004]151) - Transferred circular on charge management methods for urban road occupation and excavation (effective as of 16 October 1993) (JJC[1994] 6) - Circular on temporary methods of compensation for permanent collective-owned land acquisition and resettlement in Urban Dingxing County (effective as of 21 July 2005) (DXZ[2005]71)

3.23.23.2 ADB Policies

The three important elements of involuntary resettlement of ADB are: (i) compensation for lost assets and loss of livelihood and income: (ii) assistance for relocation, including provision of relocation sites with appropriate facilities and services: and (iii) assistance for rehabilitation to achieve at least the same level of well-being with the project as without it. Some or all of these elements may be present in projects involving involuntary resettlement. For any project that requires involuntary resettlement, resettlement should be an integral part of project design and should be dealt with from the earliest stages of the project cycle, taking into account the following basic principles:

(i) Involuntary resettlement should be avoided where feasible. (ii) Where population displacement is unavoidable, it should be minimized by exploring all viable project options. (iii) Replacing what is lost. If individuals or a community must lose all or part of their land, means of livelihood, or social support systems, so that a project might proceed, they will be compensated and assisted through replacement of land, housing, infrastructure, resources, income sources, and services, in cash or kind, so that their economic and social circumstances will be at least restored to the pre-project level. All compensation is based on the principle of replacement cost. (iv) Each involuntary resettlement is conceived and executed as part of a development project or program. ADB and executing agencies or project sponsors, during project preparation, assess opportunities for rehabilitation measures, the affected people need to be provided with sufficient resources and opportunities to reestablish their livelihoods and homes as soon as possible, with time-bound action in coordination with the civil works. (v) The affected people are to be fully informed and closely consulted. Affected people are to be consulted on compensation and/or resettlement options, including relocation sites, and socioeconomic rehabilitation. Pertinent resettlement information is to be disclosed to the affected people at key points, and specific opportunities provided for them to participate in choosing, planning, and implementation options. Grievance redress mechanisms for affected people are to be established. Where adversely affected people are particularly vulnerable groups, resettlement planning decisions will be preceded by a social preparation phase to enhance their participation in negotiation, planning and implementation. (vi) Social and cultural institutions. Institutions of the affected people, and, where relevant, of their hosts, are to be protected and supported. Affected people are to be assisted to integrate economically and socially into host communities so that adverse impacts on the host communities are minimized and social harmony is promoted. (vii) No formal title. Indigenous groups, ethnic minorities, pastoralists, people who claim for such land without formal legal rights, and others, who may have usufruct or customary rights to affected land or other resources, often have no formal legal title to their lands. The absence of a formal legal title to land is not a bar to ADB policy entitlements. (viii) Confirmation of eligibility. Affected people are to be identified and recorded as early

as possible in order to establish their eligibility through a population record or census that serves as an eligibility cutoff date, preferably at the project identification stage, to prevent a subsequent influx of encroachers or others who wish to take advantage of such benefits. (ix) The Poorest. Particular attention must be paid to the needs of the poorest affected people, and vulnerable groups that may be at high risk of impoverishment. This may include those without legal title to land or other assets, households headed by females, the elderly or disabled and, other vulnerable groups, particularly indigenous peoples. Appropriate assistance must be provided to help them improve their socio-economic status. (x) The full resettlement costs are to be included in the presentation of project costs and benefits. This includes costs of compensation, relocation and rehabilitation, social preparation and livelihood programs as well as the incremental benefits over the without-project situation (which is included in the presentation of project costs and benefits). The budget also includes costs for planning, management, supervision, monitoring and evaluation, land taxes, land fees, and physical and price contingencies. Where loans include subprojects, components or investments prepared only after project approval and loans through financial intermediaries that are likely to cause involuntary resettlement, sufficient contingency allowance must be allocated for resettlement prior to approval of the loan. Similarly, resettlement plans should also reflect the timeframe for resettlement planning and implementation. (xi) Eligible costs of compensation. Relocation and rehabilitation may be considered for inclusion in ADB loan financing for the project, if requested, to assure timely availability of the required resources and to ensure compliance with involuntary resettlement procedures during implementation.

3.33.33.3 China’s Laws, Regulations and Relevant Articles

In this subproject, Land Administration Law of the People’s Republic of China and Regulations on the Protection of Basic Farmland are the major legal basis. Meanwhile, Ministry of Land and Resources and Hebei Provincial Government also enact relevant regulations and policy documents as presented in Section 3.1 of this chapter. Refer to Table 3-1 for the main contents of the above-mentioned policies and their applications in the project.

State Council Circular on the Decisions of Deepening Reform and Administrating Land Strictly (State Council [2004] No. 28, effective as of 21 October 2004) (Ref. No.GF[2004]28) defines further the principles of compensation for land acquisition and resettlement, compensation standard, land acquisition procedures and monitoring system. Correspondingly, Ministry of Land and Resources issued Guiding Opinions on Improving Compensation and Rehabilitation System for Land Acquisition (No. 238 Decree and issued by Ministry of Land and Natural Resources in 2004) (Ref. No.GTZF [2004]238), Circular on implementation opinions of Deepening Reform and Administrating

Land Strictly (Document 151 in 2004, Hebei provincial people’s government) (JZ[2004]151) was issued by Hebei Province, and Circular on temporary methods of compensation for permanent collective-owned land acquisition and resettlement in Urban Dingxing County (effective as of 21 July 2005) (DXZ[2005]71 was issued by Dingxing County Government. These documents have become the basis for resettlement of this project. The main contents of the above-mentioned policies and their applications in the project are shown in Table 3-2.

Dingxing County WWTP Resettlement Plan

Table 3-1Summary of Main Articles in Land Administration Law and Relevant Policies Items Main Contents Reference ♦ The People's Republic of China practises the socialist public ownership of land, namely ownership by the whole people and collective ownership by the laboring masses. Article 2, Land Administration Law of Land Ownership ♦ The state practises the system of paid-for use for state-owned land in accordance with law. However, appropriation of People’s Republic of China state-owned land use right by the state within the scope prescribed by law is excluded. ♦ Any unit or individual that needs to use land for construction must apply for the use of state-owned land in accordance Article 43, Article 44, Land with law; …… Administration Law of People’s ♦ For occupation and use of land for construction involving turning agricultural land into land for construction, formalities of Republic of China examination and approval for turning agricultural land into other uses should be completed. …… ♦ For occupation and use of land for construction, strategy of land transition in batch should be formulated by the city-level and county-level land administration departments in accordance with the annual land use plan. For those acquired Article 36, Land Administration cultivated land, strategy of cultivated land supplement should be formulated at the same time, which will be sent to the Regulations of Hebei Province Application for above government for examination and approval step by step after it is agreed by the government at the same level. Construction ♦ Land In the event of inability to move away from basic farmland protection zones in site selection for such major construction projects as state energy, communications, water conservancy and military installations that require occupation of basic Article 15, Regulations on the farmland involving diversion to other use of agricultural land or land requisition, it must be subject to the approval of Protection of Basic Farmland the State Council. ♦ In the event of inability to move away from basic farmland protection zones in site selection for such major construction projects as state energy, communications, water conservancy and military installations that require occupation of basic Article 12, Basic Farmland Protection farmland, application for land acquisition must be put forward to the provincial land administration department, and when it Regulations of Hebei Province is agreed by the provincial government, it should be subject to the approval of the State Council. ♦ Requisition of the following land shall be subject to the approval of the State Council: (1)basic farmland; (2)cultivated land other than the basic farmland exceeding 35 hectares; and (3)other land exceeding 70 hectares. ♦ Article 45, Land Administration Law Requisition of land other than those prescribed in the preceding paragraph shall be subject to the approval of people's of People’s Republic of China Purview of Land governments of the provinces, autonomous regions and municipalities directly under the Central Government, and Acquisition submitted to the State Council for the record. ♦ For occupation and use of land collectively owned by peasants, land acquisition strategy should be drawn out by the Article 37, Land Administration Law city-level and county-level land administration departments. When the strategy is approved by the government at the same of Hebei Province level, it should be sent to the above people government for examination and approval step by step.

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Items Main Contents Reference ♦ Where occupation of basic farmland has been approved by the State Council, people's government of the locality should revise the overall planning for land utilization in accordance with the approval document of the State Council, and make up equivalent basic farmland in quantum and quality. The occupation unit should, in accordance with the principle of reclamation according to occupation, be responsible for the Article 16, Regulations on the reclamation of cultivated land equivalent to the quantum and quality of the basic farmland occupied; where Protection of Basic Farmland there are no conditions for reclamation or the reclaimed cultivated land fails to conform to requirements, Supplement for payment of cultivated land reclamation fee should be effected in accordance with the provisions of the Basic Farmland provinces, autonomous regions and municipalities directly under the Central Government. ♦ Where occupation of basic farmland has been approved by the State Council, the occupation unit should be responsible for the reclamation of cultivated land equivalent to the quantum and quality of the basic farmland Article 13, Basic Farmland occupied; where there are no conditions for reclamation or the reclaimed cultivated land fails to conform to Protection Regulations of Hebei requirements, cultivated land reclamation fee should be paid to the county-level above land administration Province department in accordance with the standard of 10-15 CNY/m2, which will be used to reclaim new cultivated land without derating, seizing and embezzlement. ♦ For land requisitioned by the state, local people's governments at or above the county level shall, upon approval pursuant to legal procedures, make an announcement and organize its implementation. …… ♦ Upon determination of the scheme for compensation and resettlement for land requisition, the local people's Land Article 46, Article 48, Article 49, government concerned should make an announcement and seek the views of the rural collective economic Acquisition Land Administration Law of organization and peasants of the requisitioned land. Announcement People’s Republic of China ♦ The rural collective economic organization of the requisitioned land should publish the revenue and expenditure of the compensation fee of the requisitioned land for the members of the respective collective economic organization and accept supervision. ♦ For requisition of land, compensation shall be given in accordance with the original use of the requisitioned land. ♦ Compensation fee for the cultivated land requisitioned include land compensation fee, subsidy for resettlement as well as compensation fee for ground attachments and young crops. Land compensation fee for the cultivated land requisitioned shall be six to ten times of the average annual output value in the three Compensation years prior to requisition. Subsidy for resettlement for the cultivated land requisitioned shall be calculated on Article 47, Land Administration Rate for Land the basis of the agricultural population that requires resettlement. The agricultural population that requires Law of People’s Republic of Acquisition resettlement shall be calculated on the basis of the amount of cultivated land requisitioned divided by the China average per capita occupancy of cultivated land of the unit requisitioned. The rate of subsidy for resettlement per head of the agricultural population that requires resettlement shall be four to six times of the average annual output value in the three years prior to requisition of the said cultivated land. However, the maximum subsidy for resettlement for cultivated land requisitioned per hectare shall not exceed fifteen times of the average annual output value in the three years prior to the requisition.……

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Items Main Contents Reference ♦ Compensation fee for the acquired cultivated land should be 6-10 times of the annual output value of the affected cultivated land in the previous three years.…… ♦ Resettlement subsidies should be 4-6 times of the annual output value of the affected cultivated land in previous three years. …… ♦ If land compensation fee and resettlement subsidies due to current laws and regulations are not enough to maintain their previous living standards, the subsidy for resettlement may be increased with the approval of Article 38, 39, 40, 41, Land the people’s governments of province. However, the sum of land compensation fee and resettlement Administration Regulations of subsidies should not exceed the following limit: 1) for the acquired cultivated land, compensation fee should Hebei Province not exceed 30 times of the annual output value of the affected cultivated land in the previous three years; …… ♦ Compensation for standing crops are calculated based on one crop season. Compensation rate for ground attachments should be determined by the municipality-level government which owns districts, and can be implemented after the approval of the provincial government. ♦ User of temporary use of the land should use the land according to the use agreed on in the contract for the Article 57, Land Administration temporary use of the land and shall not construct permanent constructions thereon. The duration of Law of People’s Republic of temporary use of land shall generally not exceed two years. China Temporary Use ♦ Temporary use of the land should be approved by the concerned municipality-level and county-level land of Land administration departments in accordance with relevant regulations. Article 56, Land Administration ♦ Temporary land use procedures should be transacted again when the time of the former temporary use of Regulations of Hebei Province land exceeds two years. ♦ Temporary road occupation is defined as setting operational booth, setting motor vehicles parking spots, setting bicycle depositary, setting stalls, basical construction, stacking materials and such inside the urban Article 2, Charge Management Occupation and road red line. Temporary road occupation should be controlled seriously. Those units or individuals who Method of Urban Road Excavation of really need to temporarily occupy road must transact temporary road occupation and excavation application Occupation and Excavation in Urban Road procedures and start their work until they get the approval of the construction administration departments in Hebei Province accordance with the concerned regulations.

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Table 3-2 Ref. No.GF [2004]28, Ref. No.GTZF [2004]238, JZ [2004]151, DZ [2005]71 and Their Application Ref. Policies in the Ref. No.GF[2004]28 JZ[2004]151 DXZ [2005]71 No.GTZF[2004]238 Project •The people’s governments at and above •On the basis of the county level shall adopt effective comprehensive statistics, •RP will strictly measures to ensure that the persons each city should determine implement the affected by land acquisition don’t uniform annual output relevant • The sum of compensation for decrease their living standards because of value of land acquired. policies of the land acquisiton. Outside the area of urban collective-owned land acquisition in the State, Hebei urban area should be determined in •Land compensation fee, subsidy for land using scope, the Province and accordance with the uniform annual resettlement, compensation fee for ground sum of land compensation Baoding output value standard supplied by the attachments and young crops shall be fee and resettlement Municipality. (1) To formulate county statistic department, as well as paid legally, fully and timely. If land subsidies can not be less •AAOV for land the uniform the compensation multiples stated in compensation fee and resettlement than the 16 times of acquisition average annual relevant laws; subsidies due to current laws and annual output value in shall be based output value; (2) • Compensation for land acquisition will regulations are not enough to maintain local place. on the To identify the their previous living standards ,or cannot Cities shall hear opnions be paid to the land acquired collective regulations of uniform multiples village by the county land and resource Article 12 the pay social security fee for land-lossed of farmers and village Hebei of annual output management departments. Resettlement measures for farmer, the subsidy for resettlement may economy organizations province. value; (3) to subsidies and compensation fee for land be increased with the approval of the through workshop, •Compensation formulate the standing crops will be paid to the APs by acquisition people’s governments of provinces, hearings and for the uniform the Village Committee in time. compensation autonomous regions and municipalities.If announcement according acquired land comprehensive Compensation fee for land will be improvement the sum of land compensation fee and to land position and land will be regional land reseved by the Village Committee. resettlement subsidies reach to legal demand. On the baisis of executed in price; (4) The upper limit and are still not enough to this, the compensation Ground attachments such as trees, accordance distribution of tombs, electrical power irrigated maintain the previous living standards, the rate of land in urban with the upper land infrastructures and so on will be local people’s government can subsidize construction land scope limit of compensation compensated in accordance with the them using the fee from paid-for shall be determined. After compensation fee. amount and their value. For those large state-owned land use. apprval of governement of rate in infranstructure and house demolishment, •The uniform annual output value standard province, it can be Dingxing compensation should be conducted in or comprehensive land price of each announced and County. accordance with the evaluation price region should be prepred and disclosed by implemented. •All the governemts of provinces, autonomous •The compensation rate of given by the qualified evaluation resettlement departments. regions and municipalities, land land in urban construction fees will be compensation for the same land should be land scope can not be less included in equal price. The land compensation fee of than the 16 times of total project natioal key projects shall be included in annual output value in cost. - D-1-26 - Dingxing County WWTP Resettlement Plan

Ref. Policies in the Ref. No.GF[2004]28 JZ[2004]151 DXZ [2005]71 No.GTZF[2004]238 Project the project budget. local place. • One -off currency re settlement ; • Grain and cash compensation year by •The people’s governments at and above year. The land acquired households can the county level shall prepare specific get grain or currency converted from measures to gurantee the future life of •According to grain from the county government land-lost farmers. the willingness appointed grain station in accordance •As to the project which has stable profit , of the affected with the standard of wheat annual the farmers can buy shares through persons, production of 300kg/mu and corn legally approved construction land use •To work out monetary 350kg/mu respectively. The eligibility rights. (1) Agricultural implementation plan and compensation cut-off date of the resettlement subsidies •Within the area of urban planning, production gradually establish livining is adopted. is the remaining contract years of the land-lost farmers shall be included in resettlement; (2) security system for APs. •During the Article 13 acquired land. When it expires, 16,000 employment system and social security Reemployment •To gradually establish construction the CNY/mu of the resettlement subsidies system shall be established; (3) Outside resettlement; (3) adjustment fund for land period, resettlement will be resreved and controlled by the the area of urban planning, for rural Sharing acquistion to pay land non-technical of land-lost village committee. The land acquired collective land acquisiton, local dividends compensation, jobs will be farmers farmers will perform the new land government shall reserve necessary land resettlement; and resettlement subsidies, given to the contract. for farmers or arrange jobs. For the (4) Migratory subsidy for baic living affected labors • Land resettlement. The land acquired farmers who have not consitions of resettlement. security and training fee in priority. village with more land can arrange new production or living, they shall be for APs. •Occupational land to the affected farmers through resettled in other places. training will be readjusting land, redistributing reserve •Guiding opinions on employment training offered to the land, transposing contracted land, or and social security system for land-lost affected contracting land in other villages. farmers shall be proposed by labor and people. • Land acquisition unit should give socia security departments as soon as priority of employment opportunities to possible. those farmers who lose all land during the land acquisition. •During land acquisition, the ownership of (1) To inform •Land examination and • Land acquisition agreement sho uld be (1) Conduct Article 14 collective land and entitlement of farmers’ land acquisition; approval must be done signed after the investigation results are detailed land land contract shall be protected. (2) to identify according to legal rights, confirmed by the affected village, socio-economic acquisition •Before approval, the use, position, survey results of conditions and affected households and ground survey and procedure compensation rate, resettlement channel land acquisition; procedures. appendix proprietors. Land and resource detailed improvement shall be told to farmers. Survey results of (3) to organize •If the feasibility report management departments will organize a measurement land acquisition shall be identified by hearing on land or other related files do public hearing meeting in accordance survey (DMS), - D-1-27 - Dingxing County WWTP Resettlement Plan

Ref. Policies in the Ref. No.GF[2004]28 JZ[2004]151 DXZ [2005]71 No.GTZF[2004]238 Project village collective economy organizations acquisition. not definite construction in with the regulations on the hearing of the and or households affected. Hearing shall be phases, it shall apply national land resource. If the party does the survey organized by departements of land and agricultural land change not apply for public hearing during the results shall be resources according to related and land acquisition once. cut-off date, it will be considered to drop signed and regulations, if necessary. The •If no opinions of APs on the public hearing rights. accepted by identification of farmers should be compensation rate and • After the date when the land and the affected prepared as necessary materials for resettlement channels or resource management departments households. (2) approval. relevant hearing materials inform the affected village committee and organize public •The coordination and arbitration in application, land the affected households of the proposed participation mechanism for resettlement issues shall acquistion shall not be land acquisition, the settlement in the and public be established to protect legal rights of approved. affected areas, newly cultivated land, hearings for farmers and land users. Except special newly built houses as well as any newly resettlement situations, approved land acquisiton planted trees or newly added facilities of policies; (3) issues should be disclosed to the public. the affected persons aimed at extra Distribute RP compensation will be excluded from the or range of compensation and subsidy. Resettlement • For the proposed acquired land without information objection on its compensation rate and booklet. relocation measures from the affected Village Committee and the affected households, land and resource management departments will prepare land acquisition strategy in accordance with legal proceedings. The strategy will be announced in the village and township after it has been approval. • When the announcement expires, the county land and resource departments will propose a land acquisition compensation strategy in accordance with the provisions of article 9 of this method as well as the perambulation results and agreement confirmed by the affected village, the affected households and the and ground appendix proprietors. - D-1-28 - Dingxing County WWTP Resettlement Plan

Ref. Policies in the Ref. No.GF[2004]28 JZ[2004]151 DXZ [2005]71 No.GTZF[2004]238 Project The compensation and relocation strategy will be announced in the village and township with an announcement period of 5-10 days. (1)Conduct internal and external • When the land acquisition monitoring and compensation strategy is approved by evaluation; (2) •No land acquisition shall be made if the Dingxing County Government, the Compensation without ensuring compensation and total sum of land compensation will be fees are resettlement. paid to the colletcive economic directly paid to •The distribution methods of land (1) Disclose the organization in 3 months based on the the affected •Construction land compensation fees shall be formulated by land approval law. Supervision on the distribution and village groups approval license will not governments of provinces, autonomous issues; (2) Pay use of the compensation for land or individuals be given if land regions and municipalities according to the land acquisition and resettlement will be (3) Dingxing Article 15 compensation fee is not the principle of “The land compensation compensation conducted by County Land and Resource County PMO Strengthening paid fully. shall be used mainly by the displaced fee and Bureau, together with concerned and land and land •Land and resources households”. resettlement departments of agriculture, civil affairs resources acquisition departments in all levels •Village collective economy organizations subsidies; and and township-level government. bureau conduct supervision shall strenghten to check affected by land acquisition should (3) Supervision • Units of land, construction, finance, supervision Process and supervise and strike disclose the income, expenses and and examination police, labor, agriculture, audit, civil and behaviors of illegal land distribution of land compensation fees and after the affairs, township government as well as examination; approval and land accept public supervision. approval of land project construction unit should work and (4) occupation. Agricultural,cilvil administration acquisition. together to make sure that the Utilization of departments shall supervise the compensation will be implemented resettlement distribution and use of compensation in successfully. For those farmers whose fees shall be village economy organization. living standard is worse after land audited by acquisition, effective methods should be Audit Bureau of adopted to improve their living. Dingxing County and each relevant county.

- D-1-29 - Dingxing County WWTP Resettlement Plan

3.43.43.4 Compensation principles for this Project

The principles of compensation and entitlement for this project are decided according to the regulations and policies of Chinese government and the Asian Development Bank (ADB), which aim at ensuring the access of the APs to enough compensation and support, at least to ensure the restoration of their living standard prior to the project. Refer to Table 3-3 for the resettlement principles of the project.

Table 3-3Resettlement Principles of the Project Principles 1 Involuntary resettlement should be avoided or minimized where feasible; Compensation and entitlements provided for the APs should be able to at least maintain, or improve their 2 “pre-project” standard of living; 3 No matter whether th ey have legal entitlements will All APs be compensated and assisted; Where land per capita after land acquisition is not sufficient to maintain livelihood, compensation by cash or 4 through land replacement and other income-generating activities will provided for; All APs will be adequately informed on eligibility, compensation mode and standards, livelihood and income 5 restoration program, project timing, and will be involved in RP implementation; 6 No land acquisition will take place unless replacemen t land or sufficient compensation are given to APs ; 7 The EA and independent/ third party will monitor compensation and resettlement operations; Vulnerable groups will receive special assistance or treatment to ensure then to better off. APs should hav e the 8 opportunities to benefit from the Project; 9 RP should be combined with overall county planning; 10 RP budget should be adequate and cover full aspects.

3.53.53.5 Compensation Eligibility Cut-off Date

BMG announced that the eligibility cut-off date in August 2008. After the date, the settlement in the affected areas, newly cultivated land, newly built houses as well as any newly planted trees or newly added facilities of the affected persons aimed at extra compensation will be excluded from the range of compensation and subsidy.

3.63.63.6 Definition of the Resettlement Rate

3.6.1 Collective-owned Land Acquisition

The resettlement rate of the project is decided on the basis of our survey and estimation, in accordance with Circular on temporary methods of compensation for permanent collective-owned land acquisition and resettlement in Urban Dingxing County （effective as of 21 July 2005 ）(DXZ[2005]71) as well as consultation with Dingxing County Land and Resources Bureau and the affected households. The compensation rate for land acquisition will be 9720 CNY/mu; the resettlement subsidies will be 17280 CNY/mu, and the standing crops compensation rate will be 500 CNY/mu. The average annual output value of affected cultivated land (mainly corn output and wheat output) in previous three

- D-1-30 - Dingxing County WWTP Resettlement Plan years is 1,350 CNY/mu. The total of land compensation fee and the resettlement subsidies will be 20.4 times of the annual output value more than the lowest compensation rate of 16 times. Refer to Table 3-4 for the land acquisition and resettlement compensation rate of the project.

Table 3-4Collective Land Acquisition Compensation Standard of the Project Annual Compensation Standard (CNY/mu) Compensation multiple Land Output Land Land Resettlement Compensation Resettlement Compensation Type Value Compensation Total Compensation Total Subsidies for Standing Crops Subsidies for Standing Crops (CNY) Fee Fee Irrigated 1,350 9,720 17,280 500 27,500 7.2 12.8 0.4 20.4 Land

3.6.2 Temporary Land Occupation Compensation

On account of the laying of the pipeline networks, it is required to temporarily excavate state-owned non-maneuverable lanes and collective-owned rural earth road. Compensation fee for temporarily occupied urban road and compensation fee for road excavation is needed, of which, compensation fee for road excavation is used for road restoration. The pipeline network construction will be flexibly implemented in several periods. For every period, the construction time will be controlled in less than 10 days. Temporary channels will be opened and direction brands will be used during the construction so as to minimize the impact degree. If the construction period exceeds 10 days, the construction unit will pay the affected households or enterpreises CNY100/day. The fee will come from the contingencies. No road excavation fee will be estimated in the resettlement plan. Upon the complementation of the pipeline network construction, the construction unit will restore them according to their original scales and standards. This item of cost will be included in the project cost. Refer to Table 3-5 to the temporary land occupation compensation rate.

Table 3-5Compensation Rate for Temporarily Occupied Road No. Items Unit Rate (CNY/unit) 1 Compensation fee for temporarily occupied urban road m2 1 2 Compensation fee for temporarily occupied rural road mu 1000 3 If the construction period exceed s 10 days, the construction unit will pay day 100 the affected households or enterpreises CNY100/day.

3.6.3 Demolished Houses Compensation

Table 3-6 for the compensation rate of house demolishment,

Table 3-6 Evaluation Rate for House Demolishment Evalution Rate No. Items Unit

1 Brick -concrete Structure m2 600 CNY/m2

2 Brick -woo d Structure m2 55 0 CNY/m2

3 Simple Structure m2 350 CNY/m2

4 Concrete Ground m2 50 CNY/m2 5 Toilet no. CNY 200 each

- D-1-31 - Dingxing County WWTP Resettlement Plan

6 Enclosing Wall m 180 CNY/m

7 Sheds m2 130 CNY/m2 8 Well no. CNY 1200 each 9 wood power pole pole CNY 100 each 10 Pigpen no, CNY 180 each

3.6.4 Infrastructures and Ground attachments Compensation

Refer Table 3-6 for the affected infrastructures and ground attachments resettlement rate.

Table 3-6 Infrastructure and Ground attachments Resettlement Standard of the Project No. Item Unit Rate (CNY/unit) 1 telegraph poles of 380V no. inculded in the project cost 2 trees (diameter>10cm) piece 70 3 trees (diameter<=10cm) piece 40 4 Tombs no. 500

3.6.5 Other Compensation standards Refer to Table 3-7 for other compensation rate of the project. Table 3-7 Other Compensation Standard of the Project No. Item Standard Basis Recipient Cultivated Land State Council Document The Land and Resources Bureau 1 3,335 CNY/mu Acquisition Tax No. 027 , 1987 will hold in trust Implementation Regulation Cultivated Land 2 10,005CNY/mu of Land Administration Land and Resources Bureau Reclamation Fee Law for Hebei Province Fee for Paid -for Implementation Regulation New 3 6,667CNY/mu of Land Administration Land and Resources Bureau Construction Law for Hebei Province Land Use Land Acquisition 2.8% fo the total 4 Administration land acquisition Land and Resources Bureau Fee budget Reconnaissance, 4% of the total 5 Design and land acquisition Design Institutes Research Fee budget 5% of the total Implementation 6 land acquisition Implementation Agency Management Fee budget 3% of the total Technical 7 land acquisition Implementation Agency Training Fee budget Externa l 4% of the total Monitoring and Evaluation 8 Monitoring and land acquisition Agency Evaluation Fee budget 10% of the total sum of land Contingencies acquisition cost, 9 Implementation Agency design cost, implementation management fee,

- D-1-32 - Dingxing County WWTP Resettlement Plan

No. Item Standard Basis Recipient training cost and monitoring cost

- D-1-33 - Dingxing County WWTP Resettlement Plan

3.73.73.7 Entitlement Matrix

The entitlement matrix is designed according to the relevant policies in this chapter. Refer to Table 3-8. Table 3-8 Entitlement Matrix Type of Loss Impact Degree Entitled Persons Entitlements Compensation policy and rate 1. The village as a whole will receive the compensation fee for permanent collective-owned land acquisition and resettlement subsidies which will be particularly used in the construction of the village. 2. The affected households will receive the young The 40.16 mu of crops compensation fee which is planted in the contracting permanently requsitioned land. land is irrigated land and Dagou Village, 3. In the process of the construction, laborers in the irrigated land Permanent also collective-owned Xiaodian Village and the affected households will be given the priority for taking land compensation fee : 9,720 CNY/mu collective-owned land in reserve, of which affected households(4 part in the construction, working at the non-technical resettlement subsidies: 17,280 CNY/mu land Acquisition 22.13 mu belongs to households,19persons) posts. There are totally 40,000 work days during the young crops compensatioin: 500 CNY/mu Dagou Village, 18.03 mu project construction, among which, 15,000 work days are belongs to Xiaodian non-technical posts with a salary of 35 CNY/day. When Village. the project is completed, about 10 part-time labors in the WWTP will be supplied to them. 4. The Project management office (PMO) will provide a special fund of CNY 33,000 for technical training, which will benefit all APs for free. Permanent 19.7 mu of state-owned state-owned land Free transferred to the project land will be affected Acquisition Temporari ly occupied Compensation fee for temporarily state-owned road (1) Compensation for temporarily occupied urban occupied urban road: 1 CNY/m2/day amounts to 43.73 mu all road Temporary Dingxing County Compensation fee for temporarily of which are (2) Compensation for temporarily occupied rural Land Occupation Urban Construction Bureau occupied rural road: 1,000 CNY/mu non-maneuverable lanes; road

and temporarily occupied

collective-owned rural

- D-1-34 - Dingxing County WWTP Resettlement Plan

Type of Loss Impact Degree Entitled Persons Entitlements Compensation policy and rate earth road amounts to 23.55mu. The tempary land If the construction period exceed s 10 days, the construction unit will pay the affected households or occupation afttects enterpreises CNY100/day. 141HHs with Affected HHs and enterprises 427persons and 222 enterprises with 492employees 125.35 m 2 of house will 2 households, 13 persons (1)cash compensation according to the evaluation value Residential be demolished which (2)provision of house site CNY70 507 for Wang household House Relocation affect 2 households, 13 CNY2554 for Yang household persons 2 enterprises (1)cash compensation according to the evaluation value 443.74 m 2 of house will Resettlement (2)provide the land for the enterprise rebuilding CNY315,834 Yuan for Dingxing Liangxing be demolished which of Enterprises Feed-processing Plant affect 2 enterprises CNY280,004 Yuan for Dagou Flour Plant 1. The percentage of women given employment priority should not be less than 30%. There will be 40,000 work days, of which, 15,000 work days are non-technical posts. 2. Women will have the priority in the free technical Women The 25 affected persons training. The total training person-time is 28, and women workers should not be less than 14 person-times (about 50%). 3. Women will be assured of their access to the relevant information and the consultation of the resettlement. 5 telegraph poles of Infrastructures 380V, 958 trees tree(diameter>10cm): CNY 70 each and the Ground (diameter>10cm), 236 Proprietor Compensation at replacement costs tree(diameter<=10cm): CNY 40 each attachments trees (diameter<=10cm) tomb: CNY 500 each and 33 tombs

- D-1-35 -

4 Resettlement Measures

4.14.14.1 Objectives of Resettlement

The objectives of the Resettlement Plan are to prepare an action plan of resettlement and restoration for the affected persons so as to ensure that they will benefit from the project and their living standard will be improved or at least will be restored after the project is completed.

The impacts of this project only involve that of the permanent acquisition and temporary occupation of collective land. Although its impacts are not immense, in order to achieve the above objectives, we will still take a series of measures to make sure the affected persons will benefit from the project.

4.24.24.2 Restoration Measures of the Permanently Requisitioned Collective Land

The construction of WWTP will need permanent land acquisition of 40.16 mu collective land in reserve. The land belongs to 2 villages of Dagou and Xiaodian Village. The affected land of Dagou Village is 22.13mu, of which 1.39 mu has been rented by Dagou Flour Plant, the other is idle land. The affected land of Xiaodian Village is 18.03mu, which is contracted to households with a one-year contract by village committee and affects 4 households, 19 persons.

As to Dagou Village, except compensation for Dagou Flour Plant, land compensation fee and resettlement subsidies will belong to the village committee, then the village committee will make use of the fund to construct village infrastructures.

As to the 4 households of Xiaodian Village, after land acquisition, the village committee will provide the same quantity and quality of land as before for them from the reserve land. Furthermore, they also can gain young crop compensation fee. Thus, land acquisition will bring them no impacts. According to the investigation of the resettlement from the 4 households surveyed, all of the affected households agree with land readjustment after gaining the young crops compensation and the same quantity and quality of land which is permanently acquired .

4.2.1 Land Readjustment and Cash Compensation

According to calculation, Dagou Village will receive CNY 0.6086 million of land fee, after the approval of the whole villagers, the village committee will manage the land fee and make use of it to construct village infrastructures. Xiaodian Village will receive CNY 0.4958 million of land fee, of which land compensation fee is CNY 0.1753 million, resettlement subsidies is CNY 0.3116 million and young crops compensation fee is CNY 0.009 million. Based on the consultation, the total CNY 0.4868 million of land acquisition

compensation fee and resettlement subsidies belonging to the village committee will be special fund for the construction of collective infrastructures. The remaining standing crops compensation fee (CNY 0.028 million) will directly go to the affected households. As told above, farmers in Xiaodian Village are planting tingle yam and asparagus which has great economic benefits. When the affected households receive the standing crops compensation fee, they can plant such economic crops to earn more income than planting corns. Further more, in order to remedy land loss of farmers, the affected households will be distributed the same quantity and quality of land as before land acquisition from the village reserve land. Refer to Table 4-1 for the compensations for village group & persons affected by the land acquisition.

Table 4-1Compensations for Village Group & Persons Affected by Land Acquisition Irrigated Land Recipient (village group & Land Young Crops Resettlement Total (CNY) affected persons) Amount (mu) Compensation Compensation Subsidies(CNY Fee (CNY) Fee (CNY ) Dagou Village 22.13 215103.6 382406.4 11065 608575 Xiaodian Village 18.03 175251.6 311558.4 486810 the Affected Households 18.03 9015 9015 Total 40.16 390355.2 693964.8 20080 1104400

4.2.2 APs Training

In order to ensure that the APs will change their traditional employment idea, set up correct sense of career and master necessary working skills, Dingxing County Urban Construction & Development Corporation will arrange a special fund of CNY 33,000 for APs training. The training will be carried out by Dingxing County Urban Construction & Development Corporation together with the local ministry of labor security. It includes pre-employment training and professional skill training. The pre-employment training mainly consists of lectures on the state employment situation, employment policy, laborer rights and interests safeguard and professional moral. The professional skill training will be held flexibly according to the post requirements. It consists mainly of non-agricultural technical training such as stone-working, cosmetology and hairdressing ，catering industry and so on. Refer to Table 4-2 for the training plan.

Table 4-2 Technical Training Plan for APs Number of Funds Arrangement Time Trainee Training Contents Participants (CNY) The affected 11 ,000 2009.03 28 Pre-employment Training households The affected Professional Skill Training 11 ,000 2009.05 28 households (Non-agricultural) Other aperiodic skill training 11 ,000

4.2.3 Project Employment

The construction of this project will create some certain temporary or semi-fixed

construction work chances which include material transportation, earthwork project and food provision, etc. Laborers in the affected households will enjoy the priority of taking part in the construction, working at the non-technical posts so as to increase their income and improve their living standard. During the project construction, there will be 40,000 work days in total, of which 15,000 work days are non-technical posts with a salary of 35 CNY/day.

When the project is finished, there will be 30 vacancies in the plant. Under equal conditions, the households affected by the land acquisition will enjoy the priority of obtaining working chances. After consultation with Dingxing County Urban Construction & Development Corporation, they have agreed that when the plant is built, they will recruit from the affected households 10 part-time workers who will be responsible for the afforestation protection, tidiness and security for the plant.

4.2.4 Suggestion for Livelihood Restoration

The main crops planting in Xiaodian Village include corn, wheat, peanut, tingle yam, and asparagus. For the land planting wheat and corn in alternation, the average annual input is 850 CNY/mu, and the annual gross income is 1,625 CNY/mu. In other words, annual net income of the land planting wheat and corn in alternation is 775 CNY/mu. For tingle yam planting, the annual input is 760 CNY/mu and the annual gross output is 3,400 CNY/mu with an annual net income of 2,640 CNY/mu. Asparagus planting will earn a higher amount of income. The net income in the first year is 660 CNY/mu because it is the growth stage with a lower output. From the second year to the fifteenth year, an annual net income of 5,100CNY/mu will be arrived every year. According to the villagers, firstly, they sow the asparagus seed in nursery land and cultivate young plant, and then they transplant the young crop into farmland. When the asparagus is growing in the farmland, it can be harvested for 15 years in succession. Only field management comprising of weeding, fertilizing and irrigating is needed during the 15 years. Based on the year view and management level, 2 or 3 times of harvest will be reached every year. When it is the fastigium harvest year, the ouput will be more than twice of the first year. Asparagus planting is a great method for local farmers to become richer because of its once input with many years output and a higher comparative benefit. Refer to Table 4-3 to find the input and output analysis of the main crops. Table 4-3 Input and Output Analysis of the Main Crops Crops Corn Wheat Peanut Tingle yam Asparagus Land Levelling 20 20 20 30

Cost (CNY/mu) (CNY/mu) Cost Buying Seeds 36 75 24 210 500 Seeding 20 20 20 20 30 Irrigation 88 176 88 280 50 Basal Dressing 65 65 60 120 Additional Fertilizer 100 50 30 150 170 Harvest 90 50 0 0 230 Pesticide 10 10 0 20 50 Transportation 20 20 0 0 0 Output (kg/mu) 650 500 350 850 1,250 Price (CNY/kg) 1.5 1.3 4.6 4 5 Net Income (CNY/mu) 775 1,363 2,640 5,070

Nowadays, there are more than 40mu of asparagus farming land in the village. More and more farmers turn to plant asparagus because of its higher benefit. Along with a more and more broandening asparagus sales market, Xiaodian Village is preparing to sign a purchase contract with the main client, and is getting in touch with a refrigeratory in the urban county so as to store asparagus, which will lead to extending scale development. If some preferential and leaning policies of asparagus farming are supplied to the local farmers, economic loss caused by land acquisition will be countervailed by higher benefit of asparagus. Further more, asparagus farming will increase the affected households’ income and improve their living level.

Considering of the livelihood restoration of the APs, tingle yam farming and asparagus farming is suggested to the local farmers based on the grain consumption guarantee. In addition, relevant policies should be supplied to local farmers to support and help them, such as training on economic crops planting, supplying sales information, rerating taxes, and encouraging farmers to extend planting scale. All of the methods will increase the APs’ income and help them to restore the livelihood.

4.34.34.3 Women’s Rights

In the plan and preparation stage of the Resettlement Plan, the investigation group organized the women villagers to actively take part in the investigation of the project impacts and acquired them of their thoughts about the income restoration program. They were approval of the project, thinking that the construction of the WWTP is good for improving the environment, that the land acquisition doesn’t have much impact on their life. They wish to get cash compensation and training on leather clothes sewing skills, catering service and so on.

In the light of these women’s will, the implementation process will ensure that 30% of them will get non-technical jobs. They wish the IAs to broaden age request of employees so that the elder women can get some work opportunities. Meanwhile, they wish the IAs to supply work opportunities calculated by hours because women have to take charge of most agricultural work in the land and have not enough time to take the full-time work. The affected women will be given priority in the technical training so that their economic status will not be impaired. Altogether the training person-time will be 28, in which women laborers should not be less than 14 person-times (50%).

4.44.44.4 Restoration of House Demolishment 569.09 m 2 of houses will be demolished, which affects 2 small countryside enterprises and 2 households or 13 persons. The compensation fee for the affected houses was paid after assessment by the evalution company and consultation with affected households and enterprises.

4.4.1 Residential Houses Demolishment

125.35 m 2 of residential houses will be demolished, which affects 2 households or 13 persons. 1 household will just demolish its affiliated simple shed, which was self-built for piling up waste, so the impact on it is not distinct, through consutation, the household agree to cash compensation for the shed with the value of CNY 2,554. The other household built their house on the idle state-owned land, after consultation, the households agree to cash compensation for the house with the evaluation value of CNY 109,000. The replacement costs were assessed by Baoding Dongfang Guzheng Real Estate Appraisal Co., Ltd. and compensation agreements have been signed. After resettlement, household Wang rebuilt house in village, the land is from reserve collective-owned land which is given by village committee. Household Yang used compensation rebuild his house on his own house land which was not affected.

4.4.2 Countryside Enterprise Demolishment

443.74 m 2 of countryside enterprise structures will be demolished, which affects 2 countryside enterprises of Dagou Flour Plant and Dingxing Liangxing Feed-processing Plant. Dagou Flour Plant has stopped production, after consultation, the plant agrees to cash compensation. As to Dingxing Lianxing Feed-processing Plant, its structures will be evaluated, compensation and resettlement mode will be fully based on its opinions. The compensation 370,000 Yuan is higher than the evaluation price of 315,834 Yuan. The govement helped Dingxing Lianxing Feed-processing Plant find a place to rebuild. The Plant reopened again and formal workers are still work in there.Refer to Table 4-4.

Table 4-4 Countryside Enterprise Demolishment Enterprise Manegement Resettlement No. Resettlement Mode Evaluation Value Name Status Mode cash Dagou Flour compensation, cash compensate, 1 Stopped CNY 295,000 Plant self-contruction transition subsidy in another place Dingxing cash cash compensate, Liangxing compensation, transition subsidy, help 2 Doing well CNY370000 Feed-processing provide new provide a new site and Plant plant site self-contruct

4.4.3 Comparison of Evaluation value, resettlement price and the final

compensation

Comparison was made for the evaluation value, restttlement price and the final compensation of two enterprise and two householders demolishment. See table 4-5, table 4-6 and 4-7.

Table 4-5 the evaluation value of demolishment

Demolish Assessment Assessment Attachments Total No. Name area of buildings of fitment

Dagou Flour 262.06 125851 0 144195 1 270046 Plant Dingxing 440.47 195784 1264 102049 Liangxing 2 299097 Feed-processing Plant 3 Wang 102.55 48557 5457 12597 66611 Household 4 Yang Household 22.8 1254 0 434 1688

Table 4-6 the resettlement price of demolishment Demolish Assessment Assessment Attachments Resettlement Total No. Name area of buildings of fitment Compensation Dagou Flour 262.06 125851 0 144195 9958 280004 1 Plant Dingxing 440.47 195784 1264 102049 16737 315834 Liangxing 2 Feed-processing Plant 3 Wang 102.55 48557 5457 12597 3896 70507 Household 4 Yang Household 22.8 1254 0 434 866 2554

Table 4-7 the compensation paid for demolishment Assessment Attachments Resettlement Stoppage total No. name Demolish Assessmen t of fitment Compensation Compensation area of buildings or special Compensation

1 Dagou Flour 262.06 125851 0 144195 9958 14996 295000 Plant

2 Dingxing 440.47 195784 1264 102049 16737 54166 370000 Liangxing Feed -processing 3 Wang Household 102.55 48557 5457 12597 3896 19493 90000

4 Yang Household 22.8 1254 0 434 866 0 2554

For comparation we can see the final compensations all higher than the evaluation value and almost higher than he resettlemet price.

4.54.54.5 Restoration of Temporarily Occupied Land

According to the temporary land occupation plan of this project, the temporary land occupation refers mainly to the temporary land occupation of land excavated for the construction of pipeline network. The temporarily occupied state-owned land amounts to 43.73 mu which is totally used for non-maneuverable lanes; and the temporarily occupied collective-owned land totals 23.55mu which is all rural earth road. When the project is finished, the Dingxing Couny Urban Construction & Development Corporation will conduct a bidding meeting to search proper implementation unit to take charge of the restoration of the roads to their original scale and standard. This cost will be included in the cost of the whole project.

4.64.64.6 Restoration of Infrastructures and Ground attachments

After the compensation by the project unit to the proprietorship unit, the proprietorship unit will take charge of the reconstruction of the affected infrastructures and ground attachments.

Concerning the restoration of the demolished facilities, arrangements should be made in advance. In the implementation process, measures taken should suit local conditions. Safety, efficiency, timeliness and accuracy should be achieved and harmful impacts on the people around should be avoided as much as possible.

5 Institutional Framework

5.15.15.1 Institution Establishment

In order to ensure the successful implementation of the land acquisition and resettlement and the achievement of the planned results, Baoding Project Management Office (PMO) appoints 4 persons to particularly take charge of the land acquisition and resettlement. Meanwhile, Dingxing County Project Management Office (PMO) appoints 7 persons to take charge of the resettlement and the concerned organizing and coordinating work. Four persons in Dingxing County Urban Construction and Municipal Engineering Limited Liability Company are in charge of the implementation of the land acquisition and resettlement.

In May, 2006, Dingxing County government set up a project leading group to prepare for the project and coordinate the implementation process. The vice county head assumed the position of group leader. The group consists of leaders from Development and Reform Bureau, Land and Resources Bureau, Financial Bureau and Environment Protection Bureau, with rich experience of land acquisition and resettlement. Dingxing County Project Leading Group is located in Dingxing County Development and Reform Bureau. This office is mainly in charge of the project preparation, organizing and coordinating, implementation and management, and so on. Refer to Figure 5-1 for the institutional framework of Resettlement Plan.

Baoding PMO (4 persons)

Dingxing County Dingxing County Project Leading Group (7 External Monitoring Land and Institution Dingxing County Urban Construction and Municipal Resources Engineering Limited Liability Company (4 persons) Bureau

Affected Towns, Villages, Village Groups and APs

Figure 5-1 Institutional Framework Figure for RP

5.25.25.2 Staff Arrangement and Training Plan 5.2.1 Staff Arrangement In order to guarantee the successful implementation of the Resettlement Plan, resettlement institutions on every level have arranged special staff to form an unimpeded

information communication channel. Refer to Table 5-1 for the staff arrangement in resettlement institutions involved in the project.

Table 5-1Staff Arrangement in Resettlement Institutions Involved in the Project In stitution Name Staff Arrangement (No.) Staff Identity Baoding PMO 4 civil servant Dingxing County Project Leading Group 7 Civil Servant Dingxing County Urban Construction and 4 Technician Municipal Engineering Limited Liability Company Town, Village an d Village Group 4～6 cadre and representative of APs External Monitoring Institution 4 resettlement expert

5.2.2 Training Plan

In the implementation process of the Resettlement Plan, it is planned to organize the key members engaged in the Resettlement Plan to study and visit domestic ADB projects and participate in resettlement policy and implementation training as well as other special training. This training will be organized by ADB Office in Baoding. Refer to Table 5-2 for the training plan. Table 5-2 Resettlement Staff Training Plan Cost Estimate(10 No. Training Content Trainee Time Place thousand) Studying Domestic Key members in the Inside 1 ADB Resettlement 2009.01 2.5 resettlement office China Project Resettlement 2 Resettlement staff 2009.03 Baoding 1.5 Implementation Training

5.35.35.3 Enhancement Measures for Resettlement Institutions

In order to ensure the successful implementation of the resettlement, it is necessary to strengthen the executive capacity building of each institution. Measures to be taken are as follows:

1) Fund and facilities are sufficiently guaranteed, the concerned institutions are equipped with telephones, fax machines and computers, etc. 2) Establish land acquisition and resettlement management information system, use computer to process the data of land acquisition and resettlement, enhance the information feedback and guarantee an unimpeded communication of information up and down. 3) Improve the reporting system, strengthen the internal monitoring and solve problems found in time. 4) Improve the external monitoring and evaluation mechanism, set up early warning system. The external monitoring and evaluation institution should propose in time suggestions and solutions to the existing problems to the resettlement implementation unit.

6 Public Participation and Grievance Redress

6.16.16.1 Public Participation According to policies and regulations of ADB, China and Hebei Province on land acquisition and resettlement, it is necessary to carry out public participation in the project preparation and implementation period in order to well adopt the proposals and suggestions of the APs, to further work out policies and detailed regulations concerned with land acquisition and resettlement, to prepare a good resettlement plan , to effectively organize the implementation, to protect the legal rights of the APs, to reduce their complaints and achieve the resettlement objectives.

6.1.1 Public Participation in the Project Preparation Period

Since May, 2006, under the guide of the technical consultants, Dingxing County Project Leading Group and Dingxing County Urban Construction & Development Corporation have carried out a series of socioeconomic investigations and public consultations in which 40% of the participants are women. During the period of the project preparation, Hebei Institute of Urban Designing & Research, Dingxing County Project Leading Group and Dingxing County Urban Construction & Development Coporation have carried out wide consultation on land acquisition and resettlement of this project. As the construction site was changed, the Dingxing County Project Leading Group and Dingxing County Urban Construction and Municipal Engineering Limited Liability Company re-investigated the affected villages, APs in August, 2008. Refer to Table 6-1 for public participation during the period of project preparation.

Table 6-1 Public Participation During the Period of Project Preparation Number Department Date Participants of Aim Major Advice or Contents People Dingxing County Project Leading µ Introduce the Preliminary Group, background and aim of the investigation of Dingxing County the affectedpersons, project project Urban August, 2008 villagecadres and 11 µ project site selection feasibility, field Construction & technicians should avoid cultivated survey and Development land acquisition as much project impacts Corporation and as possible Design Institude µ assist the project RP impacts investigation preparation, µ The village Dingxing County investigation of representatives strongly Urban Sepertember, Concernedgovernment 15 resettlement expressed the necessity of Construction 2008 andvillagerepresentatives impacts and the project Bureau socioeconomic µ socioeconomic situation investigation and affected households investigation Dingxing County October, Concernedgovernmentand prepare for µ Discuss the

Urban 2008 villagerepresentatives income compensation

Number Department Date Participants of Aim Major Advice or Contents People Construction restoration scheme and the Bureau program income restoration scheme Dingxi ng County Project Leading announce the µ Announce the Group, Dingxing December, the affectedpersons resettlement compensation rate

County Urban 2008 andvillage group information and grievance Construction booklet redress channel, etc. Bureau announce the The ADB Website 2009.6 draft RP µ assist the project impacts investigation µ The village Dingxing County Revise RP and concerned government representatives strongly Urban re-investigate 2009.8 and village expressed the necessity of Construction socio-economic representatives the project Bureau status socioeconomic investigation and affected households investigation

6.1.2 Participation Plan in the Period of Implementation

In the process of implementation of the Resettlement Plan, Dingxing County Project Leading Group and Dingxing County Urban Construction & Development Corporation will carry out more public participation. Refer to Table 6-2 for the schedule of public participation. Table 6-2Project Public Participation Plan Aim Means Time Department Participants Topic Dingxing County Project village notice LeadingGroup, Land announce the requisitioned board and DingxingCounty Acquisition 2008.9 all APs land area, resettlement rate villager UrbanConstruction & Announcement and resettlement means meeting DevelopmentCorporation, town andvillage cadre Announcement Dingxing CountyProject of land village notice LeadingGroup, Acquisition board and DingxingCounty Compensation fee and Compensation 2008.9 all APs villager UrbanConstruction disbursement mode and meeting &DevelopmentCorporation, Resettlement town andvillage cadre Scheme Dingxing County Project LeadingGroup, Recheck of DingxingCounty Check and remedy, identify field survey 2008.9 all APs Physical Index UrbanConstruction& the final result DevelopmentCorporation, town andvillage cadre Dingxing County Project LeadingGroup, Work out Discuss the scheme of Villager DingxingCounty Income 2008.9 all APs income restoration and use meeting UrbanConstruction and restoration plan of compensation funds Municipal Engineering Limited Liability Company,

Aim Means Time Department Participants Topic town andvillage cadre Dingxing County Project Inform LeadingGroup, compensation DingxingCounty Villager Inform compensation fee fee and the 2008.9 UrbanConstruction and all APs meeting and the date to disburse. date to Municipal Engineering disburse. Limited Liability Company, town andvillage cadre Dingxing County Project LeadingGroup, DingxingCounty To know the implementation Monitor to all Family visit 2008.9 UrbanConstruction and Samples of RP, the income retoration APs Municipal Engineering of APs Limited Liability Company, town andvillage cadre

6.26.26.2 Grievance Redress Public participation is encouraged in both the preparing and the implementing process of the resettlement action plan, so there should not be immense controversies to incur. However, in the whole process, some unforeseeable problems may happen. In order to effectively solve the problems and guarantee the successful implementation of the project and land acquisition, a transparent and effective grievance redress channel is to be set up in the project. The basic solution procedures are as follows:

- Stage 1: If the rights of the affected households are infringed in any respect of the land acquisition and resettlement, the affected households can complain or appeal to Village Committee in oral or in written form. If an oral appeal is made, Village Committee must record it on paper and respond to it. The above appeal is to be handled in no more than one week. - Stage 2: If the AP is not satisfied with the decision in stage 1, he/she can appeal to the town government after receiving the decision, the town government will reach a solution in no more than two weeks. - Stage 3: If the AP is still not satisfied with the decision made by the town government, he/she can go on to appeal to the Dingxing County Project Leading Group after receiving the decision. Dingxing County Project Leading Group will reach a solution in no more than one month. - Stage 4: If the AP is still dissatisfied with the decision made by Dingxing County Project Leading Group, he/she can, after receiving the solution, appeal progressively to administrative agencies of jurisdiction according to Administrative Litigation Law of PRC and call for arbitration. - Stage 5: if the AP is still dissatisfied with the arbitration result, he/she can appeal to the civil court according to civil litigation law after receiving the final arbitration solution.

All of the institutions accept the appeals and grievance of the affected persons free of charge, and the proper expenses occured thereof will be paid in the contingencies of this project. The grievance redress procedures are valid in the whole construction period, so that the affected persons may apply them to solve relevant problems.

7 Resettlement Cost Estimate

7.17.17.1 Resettlement Cost Estimate The cost estimate of this project includes the land acquisition and resettlement cost. According to the price in the first half year of 2008, the estimate totals CNY 3.7278million, in which the permanent collective land acquisition cost is CNY 1.1044 million, accounting for 29.63% of the total; compensation for temporary land occupation is CNY 0.3152 million, accounting for 8.46% of the total; demolished houses compensation fee is CNY 0.7646 million, accounting for 20.51% of the total; all kinds of taxes amounts to CNY 1.4506 million, accounting for 38.91%, 1.34% of which is the external monitoring and evaluation fee of CNY 0.05 million, and 6.98% of which is the contingencies of CNY 0.26 million. Refer to Table 7-1 for the overall schedule of resettlement investment estimate.

Table 7-1Resettlement Compensation Cost Estimate of Dingxing County Urban Construction & Development Corporation Total Compensation Rate No. Items Unit Investment Ratio (CNY/Unit) Quantity (CNY, *10,000 ) 1 Permanent Collective Land Acquisition mu 27500 40.16 110.44 29.63

Land Compensation Fee mu 9720 40.16 39.04 Resettlement Subsidies mu 17280 40.16 69.40

Young Crops Compensation Fee mu 500 40.16 2.01

2 Temporary Land Occupation mu 31.52 8.46

Compensation for temporarily occupied rural road mu 1000 23.55 2.36

Compensation for temporarily occupied state-owned road m2 10 29167.91 29.17

3 Ground attachments 9.30 2.49

Tombs no. 500 33 1.65

Tree （diameter>10cm ） piece 70 958 6.71 Tree （diameter<=10cm ） piece 40 236 0.94

4 House Demolishment 76.46 20.51

Item 1 ～4 / 4.00% 227.72 9.11

5 Reconnaissance, Design and Research Fee CNY, *10,000 5.00% 227.72 11.39 3.05 6 Implementation Management Fee CNY, *10,000 3.00% 227.72 6.83 1.83

7 Skill Training Fee CNY, *10,000 5.00 1.34

8 External Monitoring and Evaluation Fee CNY, *10,000 10.00% 260.05 26.00 6.98

9 Contingencies CNY, *10,000 3335 40.16 13.39 3.59 10 cultivated Land Acquisition Tax mu 10005 40.16 40.18 10.78

11 Cultivated Land Reclamation Fee mu 6667 40.16 26.77 7.18

12 Fee for Paid-for New Construction Land Use mu 2.80% 227.72 6.38 1.71

13 Land acquisition administration fee CNY, *10,000 27500 40.16 110.44 29.63 Item 5 ～13 / 145.06 38.91

Total 372.78 100

7.27.27.2 Resettlement Investment Plan and Budgetary Resources

All the resettlement cost comes from the local counterpart funds and self-financing. In order not to impair the land-lost farmers’ production and living conditions, the investment plan is to be carried out in phases during the pre-construction and the process of construction of the Dingxing County WWTP. Refer to Table 7-2 for the overall schedule.

Table 7-2Resettlement Investment Plan of Dingxing County WWTP Fiscal year 2008 2009 Total Investment(CNY, *10,000 ) 279.58 93.19 372.78 Ratio 75% 25% 100%

7.37.37.3 Resettlement Fund Management and Disbursement

The use of the land compensation fee and resettlement subsidies should be decided on the basis of the adequate consultation of villagers’ opinions. The young crops compensation fee should be paid directly to the affected persons. The compensation for ground attachments and infrastructures should be paid to the concerned unit or individual.

To ensure the timely availability of the fund in full, the restoration of the production and living standard, and the income of affected persons, Dingxing County Project Leading Group and Dingxing County Urban Construction & Development Corporation will adopt the following measures:

- All the fees concerning the land acquisition and resettlement will be taken into the consideration the project total cost. - All the land compensation fee and the resettlement subsidies should be paid prior to the land acquisition so as to ensure that all the affected persons receive well-arranged resettlement. - For the smooth implementation of land acquisition and resettlement, financial and supervisory institutions of all levels should be established to make sure all the funds can be disbursed in due time. - The budget is the resettlement cost estimate, which, due to the actual changes of the project, the practical influences of Detailed Measurement Survey (DMS), the compensation modification and inflation, etc., may increase by certain amount. Nonetheless, Dingxing County Project Leading Group and Dingxing County Urban Construction & Development Corporation promise to pay the compensation. The contingencies should be taken into the account of budget which can be used and modified according to requirements.

Dingxing County WWTP Resettlement Plan

8 Resettlement Implementation Plan

8.18.18.1 Principles of Resettlement Implementation

According to the plan of the project implementation of Dingxing County WWTP, this project will begin in October, 2008, and will be finished by December, 2010 ．To connect the plan of resettlement implementation progress with that of project construction, the land acquisition will start in September.,2008 and finish in late December., 2008. The basic principles for resettlement implementation plan are as follows:

- The land acquisition must be finished at least one month prior to the start of project construction. The starting time should be confirmed in accordance with the need of land acquisition and resettlement. - Those affected persons should have the opportunity to participate in the project during the process of resettlement. Before the start of the project construction, the area of land acquisition should be made known to the public, the resettlement information booklet should be issued, and that the public can participate in the related work should be ensured. - All kinds of compensation should be paid directly and fully to the property owner within three months after the approval of land acquisition compensation and resettlement plan. No unit or individual can use the compensation fee on behalf of the property owner. And there should be no discount for the compensation, whatever the reason is.

8.28.28.2 Schedule for Resettlement Implementation

The plan for the general resettlement implementation progress of this project is worked out according to the land acquisition implementation progress in the project construction of Dingxing County WWTP. There may be appropriate modification of the exact implementation time due to the deviation of the project general progress. Refer to Table 8-1 for the resettlement implementation schedule.

Table 8-1Schedule of Resettlement Implementation

No. Task Working Days Starting Time

1 Resettlement plan 1.1 Affected assets investigation 15 10/15/08 1.2 Affected assets recheck 10 11/01/08 1.3 Consultation about standard 12 12/18/08 1.4 Disclosure to the public 5 1/01/09 1.5 Approval by directing department 20 04/28/09 1.6 Submittion to ADB 1 08/30/08

- D-1-50 - Dingxing County WWTP Resettlement Plan

No. Task Working Days Starting Time

1.6 Submittion update to ADB 1 04/30/10 2 Implementation preparation 2.1 Organization enforcement 6 09/30/08 2.2 Public participation 20 09/18/08 2.2.1 Land acquisition announcement 15 09/25/08 2.2.2 Mobilisation meeting 20 10/10/08 2.2.3 Policy and standard disclosure 10 10/15/08 2.2.4 Individual compensation fee disclosure 10 10/20/08 2.3 Fund arrangement 180 11/05/08 2.4 Agreement on land acquisition and resettlement 40 11/05/08 2.4.1 Agreement on land aquisition 40 11/05/08 2.4.2 Agreement on land adjustment 25 11/05/08 2.4.3 Agreement on enterprise compensation 45 11/05/08 2.4.4 Agreement on APs’ compensation 45 11/05/08 2.5 Ensure external evaluation and monitoring agency 1 12/20/08 3 APs’ living restoration 3.1 Individual compensation disbursement 60 12/20/08 3.2 APs moving to new houses 60 12/15/08 3.3 Enterprises moving to new sites 60 12/20/08 3.4 Demolishment and cleaning up 60 12/20/08 3.5 Infrustructures 15 12/10/08 3.6 Public facilities matching 20 1210/08 4 Special facilities reconstruction 30 12/25/08 5 Training 6.1 Resettlement staff training 40 01/15/09 6.2 Skill training on APs 15 03/15/09 6 Internal monitoring report 583 10/15/08 7 External monitoring report 583 4/15/10 8 Completion-based check and acceptance 20 09/30/10 9 Post-evaluation from ADB 20 12/30/10

- D-1-51 - Dingxing County WWTP Resettlement Plan

9 Monitoring and Evaluation

In order to ensure the successful implementation of the resettlement plan, to realize the goal of proper resettlement, the regular monitoring, including both the internal monitoring within resettlement institutions and the external monitoring, and the regular evaluation will be carried out in the implementation of land acquisition and resettlement, according to the requirements of Resettlement Policy of Asian Development Bank.

9.19.19.1 Internal Monitoring

The internal monitoring agencies of resettlement include Baoding Project Management Office, Dingxing County Project Leading Group and Dingxing County Urban Construvtion & Development Corporation. Dingxing County Project Leading Group will provide a detailed internal monitoring plan for the land acquisition and resettlement. The monitoring content includes:

(1) Investigation, coordination and suggestions for the major problems in both the resettlement institutions and the Implementing Agencies in the implementation of resettlement; (2) Income restoration situation of the households after land acquisition; (3) Livelihood restoration situation of the vulnerable groups after land acquisition; (4) Disbursement, use of the resettlement compensation fee; (5) The participation and consultation of affected households during the implementation; (6) The resettlement training and its impacts; (7) The establishment of the resettlement implementation management organizations for this project, consisting of Land and Resources Bureau, Bureau of Finance, Government of Dingxing Township, Dagou Village Committee , Xiaodian Village Committee, the training of the resettlement implementation staff and their work efficiency.

Dingxing County Project Management Office will submit an internal monitoring report to Asian Development Bank every three months. The statistics in the past three months have to be shown with charts in the report and can reflect the progress by comparing the planed items with the planned ones on land acquisition, resettlement as well as the use of compensation. Refer to Table 9-1 and Table 9-2 for the format.

- D-1-52 -

Dingxing County WWTP Resettlement Plan

Table 9-1 Progress Report on Land Acquisition and Resettlement

County ______Town ______Date: ____/____/______(d/m/y)

Planne Complete % Items Unit Sum d Qty. d Qty. Completion Permanent Land mu Acquisition Temporary Land mu Occupation Land Compensation fee CNY10,000

APs Receiving Training Persons

Job Provision Persons

Land Readjustment mu Prepared by: Signature (In -charge): Seal:

Table 9-2Executive Progress on Funds Utilization

County ______Town ______Cut-off date: ____/____/______(d/m/y) Date: ____/____/______(d/m/y)

Investment Compensation Affected Compensation Ratio of Description 1 Unit/Qty. Required Received Units Adjusted Compensation (CNY) (CNY)

Village 1 Village 2 Collective Rel ocated Households

Unit Prepared by: Signature (In -charge): Seal:

9.29.29.2 External Monitoring

According to the requirements of Asian Development Bank policy, Baoding Project Management Office will invite qualified, independent and experienced resettlement agency to be the independent resettlement monitoring agency.

The external monitoring and evaluation agency will make regular follow-up monitoring

- D-1-53 -

1 “Description” refers to the construction of village road (Qty.), labor training and employment, subsidies to vulnerable groups etc.

Dingxing County WWTP Resettlement Plan and evaluation of the resettlement implementation, monitor the progress, quality and fund of resettlement, and give advice. These agencies will also make follow-up monitoring of production and living standards of resettlement, and submit independent monitoring and evaluation report to Baoding Project Management Office and Asian Development Bank. The outline of the external monitoring and evaluation is contained in Appendix 1.

(1) Baseline survey: the external monitoring agency will make baseline investigation in the affected Dagou and Xiaodian Village to get the basic data of the production and living standards (production, living and income standard) of the affected households. The Investigation of production and living standards is to be carried out twice a year so as to track the change of these standards. Certain methods will be adopted to get necessary relevant data which provide the basis for statistical analysis, and further for evaluation. Such methods can be the follow-up investigation of the typical samples (sampling scale: 6 households, 100% of the affected households), casual interview and field observation, etc.

(2) Regular monitoring and evaluation: the external monitoring agency will make regular follow-up monitoring twice a year during the implementation of resettlement plan. The following activities will be monitored through field observation, follow-up investigation of sample households and casual interviews with affected persons: the payment and amount of compensation, new livelihood and jobs, the production and living standards of the affected persons, resettlement institutional framework, etc.

The external monitoring and evaluation agency will semiannually submit resettlement monitoring reports to the Asian Development Bank and Baoding Project Management Office every six months, and annual evaluation reports as well. Refer to Table 9-3 the detailed arrangement for report submission.

Table 9-3 Schedule for Resettlement Monitoring and Evaluation No. Monitoring report Date 1 Socio- economic baseline survey 2010.3 2 The 1 st Monitoring Report 2010.4 The 2nd Monitoring Report and the 1st Annual 3 2010.10 Evaluation report The 3rd Monitoring Report and the 2 nd Annual 4 2011.4 Evaluation report 5 The post-evaluation report 2011.10

- D-1-54 -

Dingxing County WWTP Resettlement Plan

Appendix 1 Outline of External Monitoring

A Purpose of Resettlement Monitoring and Evaluation

According to the requirements of Resettlement Policy of Asian Development Bank, external monitoring and evaluation will be conducted during Dingxing County WWTP resettlement implementation. The follow-up evaluation will be conducted during the land acquisition and resettlement through checking the progress, fund and management of land acquisition and resettlement and through analyzing and comparing the changes and restoration of production and living standards of those affected persons. Apart from the regular submission of report to Asian Development Bank, Baoding project Affairs Office and concerned department (twice a year in the resettlement implementation), information and advice are also provided for every department to make decision as a reference. Through the external monitoring and evaluation, Asian Development Bank and departments in charge of the program get sufficient information about whether the land acquisition and resettlement are implemented in time and up to the requirements. Moreover, problems are pointed out and suggestions for the work improvement are given.

B The Main Content of Resettlement Monitoring and Evaluation

(1) The monitoring and evaluation of land acquisition and relocation implementation progress. - Including: Land acquisition progress; temporary land occupation progress.

(2) Availability of fund and application of monitoring and evaluation - Including: Fund disbursement; the use of fund (both planned and actual).

(3) The monitoring and evaluation of living standard of affected persons - Including: ①the production and living standard before the project;②the production and living standard after the project; ③ comparative analysis and evaluation of employment and living standard before and after resettlement.

(4) Evaluation of the capacity of resettlement institute and the situation of public participation, complaint and grievance redress.

C Technical Route

Refer to Figure 1 for the technical route of external monitoring and evaluation.

- D-1-1 -

Dingxing County WWTP Resettlement Plan

Project Identification

Prepare an external Monitoring and Eval uation Outline

Design survey outline, survey form, and Typical Household Record Form

Design Sample Investigation Strategy

Baseline Survey

Establish an Information System of Monitoring and Evaluation Management

Monitoring Survey

Socio-economic Monitoring Monitoring on VCs Affected Monitoring on HHs Affected Survey on EAs by Land Acquisition by Land Acquisition

Establish Monitoring Data-base

Comparing, Analysis, and Evaluation

Write Monitoring and Evaluation Report

No Whether Resettlement Monitoring is Finished or not

Finished Figure 1 Technical Route of External Monitoring and Evaluation

D External Monitoring Institutions

The external monitoring and evaluation will be undertaken by the external monitoring agency authorized by Asian Development Bank and entrusted by Baoding Project - D-1-2 - Affairs Office.

Dingxing County WWTP Resettlement Plan

E The Organizations and Responsibilities

- The Baoding Project Affairs Office entrusts the external monitoring agency with the specific investigation, data collection, calculation and analysis of monitoring and evaluation, as well as the examination of their results. - The external monitoring agency form the resettlement monitoring and evaluation group of the Dingxing County WWTP project, which is responsible for the monitoring and evaluation of project resettlement, the formulation of the outline for monitoring and evaluation, the establishment of monitoring sites, the monitoring of field survey and the in-door analysis, as well as the preparation of report of resettlement monitoring and evaluation, according to ADB Involuntary Resettlement Policy. - Baoding Project Management Office will coordinate with the resettlement monitoring and evaluation group concerning personnel, transportation and so on during the field monitoring and investigation.

F The Resettlement Monitoring and Evaluation Methods

- The monitoring and evaluation adopts a combined method of field investigation, calculation and analysis, and the comprehensive assessment by experts. - The investigation is to be conducted in the way of a combination of the key parts with the whole project. There should be an overall investigation of the resettlement implementation progress, funds, institutions and management. And a sample investigation should be carried out among affected households. - The sample investigation adopts random sampling and other methods to make follow-up investigation for the typical sampling households in resettlement project. Sampling ratio: 6 affected households, accounting for 100 ％ of the affected ones. - The overall investigation adopts the forms of table investigation, forum discussion, inquiring of documents and archives. - Photos, audio and video records and objects should be collected apart from the written materials.

G Report of External Monitoring and Evaluation of Project Resettlement

The external monitoring agency should submit the report of resettlement monitoring every six months, and the annual report of resettlement evaluation to the Baoding Project Management Office and Asian Development Bank.

- D-1-3 -

Dingxing County WWTP Resettlement Plan

Appendix 2 Public Participation Meeting Minutes

Time August 7 th , 2006 Place Xijin Village Committee, Beitian Town, Dingxing County Participant Government of Beitian Town, Dingxing County, Xijin Village cadres (7 persons in total) (1)The land acquisition compensation should be implemented according to the nat ional standard. Before the project land acquisition starts, the affected farmers should be compensated for their loss based on the national standard, mobilization meeting for land acquisition should be held, and the compensation standard should be explained that land Opinion Summary acquisition compensation is based on the related national compensation standard which allows both cash compensation and land of equal area. The submission to higher authorities for construction approval can only be made after the approval and signature of the APs. (2) The issue of income remedy and improvement for land-lost farmers should be taken into consideration.

Time August 16 th , 2006 Place Xijin Village Committee, Beitian Town, Dingxing County Hohai University; governmen t of Beitian Town, Dingxing County; Xijin Village cadres and Participant others(7persons in total), 6 resettlement representatives(including 2 women) All participants approved of the construction of Dingxing County WWTP . Due to the minor influence of the project on the cultivated land, participants have less ideas and suggestions concerning the construction land acquisition and the resettlement. Major ones are: (1) The cultivated land should be taken as the temporary occupation to the least extent. The cultivated land occupied for temporary construction should be compensated on the basis of the lately policy about the young crops compensation, and be restored by the construction unit after the construction. Opinion Summary (2) The permanent land acquisition should be compensated for on the basis of national policy. Meanwhile, the Village Committee will redistribute the same quantity and quality of land as the acquired land to the APs. The households affected should be consulted concerning the land acquisition and compensation. (3) Under the same condition during the construction period, the involved villages have the priority to be considered. Those households that suffer the loss in the construction should receive proper resettlement.

Time August 16 th , 200 8 Place Dag ou Village Lianxing Feed -procesiing Plant , Dingxi ng County 7 persons from Hohai University , Dingxing County Development and Reform Bureau, Dingxing Participant County Urban Contruction Bureau, etc. 6 resettlement representatives(including 2 women) All participants approved of the construction of Dingxing County WWTP . Due to the minor influence of the project on the cultivated land, participants have less ideas and suggestions concerning the construction land acquisition and the resettlement. As to house demolishment, the participants expressed the conpensation must meet present policy and present situation. Major ones are: (1) The cultivated land should be taken as the temporary occupation to the least extent. The cultivated land occupied for temporary construction should be compensated on the basis of the lately policy about the young crops compensation, and be restored by the construction unit after Opinion Summary the construction. (2) The permanent land acquisition should be compensated for on the basis of national policy. Meanwhile, the Village Committee will redistribute the same quantity and quality of land as the acquired land to the APs. The households affected should be consulted concerning the land acquisition and compensation. (3) Under the same condition during the construction period, the involved villages have the priority to be considered. Those households that suffer the loss in the construction should receive proper resettlement.

Dingxing County WWTP Resettlement Plan

Appendix 3 Resettlement Information Booklet

Asian Development Bank (ADB) TA4629-PRC Integrated Ecosystem Management and Environmental Protection of Baiyangdian Lake Catchment Project

Dingxing County Wastewater Treatment Plant Project

Resettlement Information Booklet

Dingxing County Urban Construction and Municipal Engineering

Limited Liability Company

August 2008

Dingxing County WWTP Resettlement Plan

Dingxing County Wastewater Treatment Plant Project Resettlement Information Booklet

1 Project Introduction

Dingxing County WWTP Project is a subproject of Integrated Ecosystem Management and Environmental Protection of Baiyangdian Lake Catchment Project, which is funded by ADB. Dingxing County WWTP consists of a wastewater treatment plant project and an auxiliary pipeline network project. After the implementation of the project, it will greatly ameliorate the pollution condition of Dingxing County, mitigate the water pollutants and improve the water environment, which is good for the local people’s health and development of the industry and agriculture. Dingxing County Urban Construction and Municipal Engineering Limited Liability Company will be the implementing agency of the project.

2 Cost Estimate and Implementation Plan

The total cost estimate for The Dingxing County Wastewater Treatment Plant Project is CNY 67.5265 million and among which CNY3.7278 million is for the resettlement cost estimate, accounting for 5.52% of the total cost estimate.

The Dingxing County Wastewater Treatment Plant Project will last 17 months from July 2009 to December 2010. According to the schedule of the implementation, Dingxing County Urban Construction and Municipal Engineering Limited Liability Company started the Resettlement Plan in August 2006 and the Resettlement Plan was finished on December 2006 and was submitted to ADB for a review in January 2007. After the plan being approved by ADB, land acquisition, compensation and resettlement implementation planned to start in June 2007. The previous construction site affected basic farmland and land acquisition approval is difficult, therefore new site has to be selected, the revised RP was prepared in August 2008 and then will be submitted to ADB for review.

3 Project Estimated Socio-economic Benefits

The benefited area is the urban zone of Dingxing County, and according to the plan, the total service area of the wastewater treatment system is 12.2k m 2. The implementation of the project is divided into several periods. The recent auxiliary network construction service area is 8.6 km 2 with a population of 84,000.

The estimated socioeconomic benefits of the proposed project are: (1) Control the pollution of Haihe River Basin and protect the water resources; (2) Protect the water quality of South-to-North Water Transfer Project line; (3) Improve the city environment of

- D-1-1 - Dingxing County and ensure the health of inhabitants; (4) Improve the sustainable development of Dingxing County and mitigate the tense condition of water resources; (5)

Dingxing County WWTP Resettlement Plan

Ameliorate the eco-environment of Nanjuma River and Baiyangdian Lake and improve the development of local agriculture.

4 Loss Types Affected by Land Acquisition and Resettlement

According to the project feasibility study and field survey, several loss types affected by land acquisition and resettlement have been confirmed as follows:

(1)loss of permanent land acquisition, such as loss of irrigated land; (2)loss of temporary land occupation; (3) loss of ground attachments.

5 Collection of various indexes of affected physical index

5.1 Permanent Land Aquisiton The construction will need permanent land acquisition of 59.88 mu, of which 40.16 mu is collective-owned land in reserve and 19.72 mu is state-owned land.

The construction of WWTP will need permanent land acquisition of 40.16 mu collective land affecting 2 villages of Dagou and Xiaodian Village, Dingxing Township. The collective land is all collective land in reserve. The affected land of Dagou Village is 22.13mu, of which 1.39 mu has been rented by individuals for flour plant construction, the other is idle land. The affected land of Xiaodian Village is 18.03mu, which is contracted to households with a one-year contract by village committee.

The construction of WWTP will requisition permanently 22.13 mu of Dagou Village and 18.03 mu of Xiaodian Village,. Refer to Table 1 to find the impact analysis of permanent land acquisition.

Table 1 Impact Analysis of Permanent Land Acquisition Collectve Land Project Township Village Characteristics Aquisition （（（mu ））） Project Impacts Cultivated Land 1 household and 1 Collective land in Dingxing Dagou 22.13 enterprise reserve WWTP demolished Collective land in 4 households, 19 Dingxing Xiaodian 18.03 reserve persons Total 40.16

The construction will requisition permanently 19.72 mu of state-owned land affecting 1 household and 1 enterprise. The land is idle land belonging to previous forest company. Because this project is the key project of the county, after the approval of Dingxing County Government and Land Resources Bureau, the land can be free

- D-1-2 - transferred to the project.

Dingxing County WWTP Resettlement Plan

5.2 Project Demolition Impacts

569.09 m 2 of houses will be demolished, which affects 2 small countryside enterprises and 2 households or 13 persons.

125.35 m 2 of residential houses will be demolished, which affects 2 households or 13 persons. 1 household will just demolish its affiliated simple shed, so the impact on it is not distinct. The other household built their house on the idle state-owned land; after the evaluation on the affected house, they will build a new house on the new house site provided by the village committee.

443.74 m 2 of countryside enterprise structures will be demolished, which affects 2 countryside enterprises of Dagou Flour Plant and Dingxing Liangxing Feed-processing Plant. Dagou Flour Plant has stopped production, so demolishment will not bring distinct impacts on it. As to Dingxing Liangxing Feed-processing Plant, its structures will be evaluated; compensation and resettlement mode will be fully based on its opinions.

5.3 Temporary Land Occupation

According to the temporary land occupation scheme, the main temporarily occupied land of the project is the areas used for construction of the auxiliary pipeline network. Digging mud from WWTP will be conveyed to the sanitary landfill belonging to Dingxing County Office of Environment and Sanitation, with no temporary land occupation requirement.

The total temporarily occupied land area is 67.28 mu. Among all the land, there is 43.73mu of state-owned land all of which is non-maneuverable lanes, and 23.55mu of collective-owned land all of which is rural earth road. The construction period is 10 days.

5.4 Affected Ground attachments

According to the investigation, the project will affect 5 telegraph poles of 380V, 958 trees (diameter>10cm), 236 trees (diameter<=10cm) and 33 tombs. Table 2 presents the index of basic infrastructure and ground attachment affected by project.

Table 2 Basic Infrastructure and Ground Attachment Affected by Project Items Unit Quantity telegraph poles of 380V no. 5 trees (diameter>10cm) no. 958 trees (diameter<=10cm) no. 236 Tombs no. 33

- D-1-3 - 5.5 Infrastructure and Special Facilities

Dingxing County WWTP Resettlement Plan

No illegal structures or electrical wire or optical cable have been involved in the project affected areas.

6 Compensation Standard

6.1 Compensation Standard for Permanent Land Acquisition

According to the survey and estimation, the average annual output value of affected cultivated land (mainly corn output and wheat output) in previous three years is 1,350CNY/mu.

Table 3 Collective Land Acquisition Compensation Standard of the Project Annua Compensation Standard (CNY/mu) Compensation multiple l Land Land Land Output Resettlement Compensation Resettlement Compensation Tota Type Compensation Total Compensation Value Subsidies for Standing Crops Subsidies for Standing Crops l (CNY) Fee Fee Irrigated 1,350 9,720 17,280 500 27,500 7.2 12.8 0.4 20.4 Land

6.2 Temporary Land Occupation Compensation

On account of the laying of the pipeline networks, it is required to temporarily excavate state-owned non-maneuverable lanes and collective-owned rural earth road. Upon the complementation of the pipeline network construction, the construction unit will restore them according to their original scales and standards. This item of cost will be included in the project cost. Refer to Table 4 to the temporary land occupation compensation rate.

Table 4 Compensation Rate for Temporarily Occupied Road No. Items Unit Rate (CNY/unit) 1 Compensation fee for tempor arily occupied urban road m2 1 2 Compensation fee for temporarily occupied rural road mu 1000 3 If the construction period exceeds 10 days, the construction unit will pay day 100 the affected households or enterprises CNY100/day.

6.3 Demolished Houses Compensation

The demolished houses will be compensated after evolution by the evaluation company.

6.4 Infrastructures and Ground attachments Compensation

Refer Table 5 for the affected infrastructures and ground attachments resettlement rate.

Table 5 Infrastructure and Ground attachments Resettlement Standard of the Project No. Item Unit Rate (CNY/unit) 1 telegraph poles of 380V no. included in the project cost

- D-1-4 - 2 trees (diameter>10cm) piece 70 3 trees (diameter<=10cm) piece 40

Dingxing County WWTP Resettlement Plan

No. Item Unit Rate (CNY/unit) 1 telegraph poles of 380V no. included in the project cost 4 Tombs no. 500

6.5 Entitlement Matrix

The entitlement matrix is designed according to the relevant policies in this chapter. Refer to Table 6. Table 6 Entitlement Matrix Compensation policy Type of Loss Impact Degree Entitled Persons Entitlements and rate

- D-1-5 - Permanent The 40.16 mu of Dagou Village, 1. The village as a irrigated land collective-owned permanently Xiaodian Village and whole will receive the land

Dingxing County WWTP Resettlement Plan

Compensation policy Type of Loss Impact Degree Entitled Persons Entitlements and rate land Acquisition requisitioned land the affected compensation fee for compensation fee : is irrigated land households(4 permanent 9,720 CNY/mu and also households,19persons) collective-owned land resettlement collective-owned acquisition and subsidies: 17,280 land in reserve, of resettlement subsidies CNY/mu which 22.13 mu which will be particularly young crops belongs to Dagou used in the construction compensation: 500 Village, 18.03 mu of the village. CNY/mu belongs to 2. The affected Xiaodian Village. households will receive the young crops compensation fee which is planted in the contracting land. 3. In the process of the construction, laborers in the affected households will be given the priority for taking part in the construction, working at the non-technical posts. There are totally 40,000 work days during the project construction, among which, 15,000 work days are non-technical posts with a salary of 35 CNY/day. When the project is completed, about 10 part-time labors in the WWTP will be supplied to them. 4. The Project management office (PMO) will provide a special fund of CNY 33,000 for technical training, which will benefit all APs for free. Permanent 19.7 mu of Free transferred state-owned state-owned land to the project land Acquisition will be affected

- D-1-6 - Temporary Temporarily Dingxing County (1) Compensation Compens ation Land occupied Urban Construction for temporarily occupied fee for temporarily

Dingxing County WWTP Resettlement Plan

Compensation policy Type of Loss Impact Degree Entitled Persons Entitlements and rate Occupation state -owned road Bureau urban road occupied urban road: amounts to 43.73 (2) Compensation 1 CNY/m2/day mu all of which are for temporarily occupied Compensation non-maneuverable rural road fee for temporarily lanes; and occupied rural road: temporarily 1,000 CNY/mu occupied collective-owned rural earth road amounts to 23.55mu. The temp or ary If the construction period exceeds 10 days, the land occupation construction unit will pay the affected households affects 141HHs Affected HHs and or enterprises CNY100/day. with 427persons enterprises and 222 enterprises with 492employees 125.35 m 2 of 2 households, 13 (1)cash compensation according to the house will be persons (2)provision of house site evaluation value Residential demolished which House affect 2 Relocation households, 13 persons 443.74 m 2 of 2 enterprises (1)cash compensation according to the house will be (2)provide the land for evaluation value Resettleme demolished which the enterprise rebuilding nt of Enterprises affect 2 enterprises 1. The percentage of women given employment priority should not be less than 30%. There will be 40,000 work days, of which, 15,000 work days are non-technical posts. 2. Women will have the priority in the free technical training. The The 25 affected Women total training person-time persons is 28, and women workers should not be less than 14 person-times (about 50%). 3. Women will be assured of their access to the relevant information and the consultation of the resettlement.

- D-1-7 - Infrastructu 5 telegraph poles Compensation at tree(diameter>10 Proprietor res and the of 380V, 958 trees replacement costs cm): CNY 70 each

Dingxing County WWTP Resettlement Plan

Compensation policy Type of Loss Impact Degree Entitled Persons Entitlements and rate Ground (diameter>10cm) , tree(diameter<=1 attachments 236 trees 0cm): CNY 40 each (diameter<=10cm) tomb: CNY 500 and 33 tombs each

7 Compensation Eligibility Cut-off Date

BMG announced that the eligibility cut-off date is on 31st March, 2007. After the date, the settlement in the affected areas, newly cultivated land, newly built houses as well as any newly planted trees or newly added facilities of the affected persons aimed at extra compensation will be excluded from the range of compensation and subsidy.

8 Compensation Disbursement Procedure

The use of the land compensation fee and resettlement subsidies should be decided on the basis of the adequate consultation of villagers’ opinions. The young crops compensation fee should be paid directly to the affected persons. The compensation for ground attachments and infrastructures should be paid to the concerned unit or individual.

9 Restoration Methods of Economy

(1) Land Readjustment and Cash Compensation; (2) Secondary and tertiary industries Development, and Labor Forces Transfer; (3) Technical Training to Improve Capacity of Farmers; (4) Employment Opportunities Supplied by the Project. (5) Others.

10 Institution Establishment

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Dingxing County WWTP Resettlement Plan

Baoding PMO (4 persons)

Dingxing County Dingxing County Project Leading Group (7 External Monitoring Land and Institution Dingxing County Urban Construction and Municipal Resources Engineering Limited Liability Company (4 persons) Bureau

Affected Towns, Villages, Village Groups and APs

11 Grievance Procedures

- Stage 1: If the rights of the affected households are infringed in any respect of the land acquisition and resettlement, the affected households can complain or appeal to Village Committee in oral or in written form. If an oral appeal is made, Village Committee must record it on paper and respond to it. The above appeal is to be handled in no more than one week. - Stage 2: If the AP is not satisfied with the decision in stage 1, he/she can appeal to the town government after receiving the decision, the town government will reach a solution in no more than two weeks. - Stage 3: If the AP is still not satisfied with the decision made by the town government, he/she can go on to appeal to the Dingxing County Project Leading Group after receiving the decision. Dingxing County Project Leading Group will reach a solution in no more than one month. - Stage 4: If the AP is still dissatisfied with the decision made by Dingxing County Project Leading Group, he/she can, after receiving the solution, appeal progressively to administrative agencies of jurisdiction according to Administrative Litigation Law of PRC and call for arbitration. - Stage 5: if the AP is still dissatisfied with the arbitration result, he/she can appeal to the civil court according to civil litigation law after receiving the final arbitration solution.

12 Public Participation Plan

Aim Means Time Department Participants Topic

- D-1-9 - Land Acquisition village notice Dingxing County announce the requisitioned 2008.9 all APs Announcement board and Project Leading land area, resettlement rate

Dingxing County WWTP Resettlement Plan

Aim Means Time Department Participants Topic villager meeting Group , Dingxing and resettlement means County Urban Construction & Development Corporation, town and village cadre Dingxing County Announcement Project Leading of land Group, Dingxing Acquisition village notice County Urban Compensation fee and Compensation board and 2008.9 all APs Construction & disbursement mode and villager meeting Development Resettlement Corporation, town and Scheme village cadre Dingxing County Project Leading Group, Dingxing Recheck of County Urban Check and remedy, identify field survey 2008.9 all APs Physical Index Construction & the final result Development Corporation, town and village cadre Dingxing County Project Leading Group, Dingxing Work out County Urban Discuss the scheme of Income Villager meeting 2008.9 Construction and all APs income restoration and use restoration plan Municipal Engineering of compensation funds Limited Liability Company, town and village cadre Dingxing County Project Leading Group, Dingxing Inform County Urban compensation Inform compensation fee Villager meeting 2008.9 Construction and all APs fee and the date and the date to disburse. Municipal Engineering to disburse. Limited Liability Company, town and village cadre Dingxing County Project Leading Group, Dingxing County Urban To know the implementation Monitor to all Family visit 2008.9 Construction and Samples of RP, the income restoration APs Municipal Engineering of APs Limited Liability Company, town and village cadre

- D-1-10 -

Dingxing County WWTP Resettlement Plan

Appendix 4 Opinions on Land Preliminary Examination

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Dingxing County WWTP Resettlement Plan

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Dingxing County WWTP Resettlement Plan

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Dingxing County WWTP Resettlement Plan

Appendix 5 Opinions on Preliminary Site Selection of WWTP

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