Resettlement Plan (Draft)

July 2016

PRC: Ningxia Liupanshan Poverty Reduction Rural Road Development Project

Prepared by the Transportation Department of Ningxia Hui Nationality Autonomous Region for the Asian Development Bank.

CURRENCY EQUIVALENTS CNY1.00 = US$0.16243 US$1.00 CNY= CNY6.1565

ABBREVIATIONS AAOV – Average Annual Output Value ADB – Asian Development Bank AHs – affected households APs – affected persons AV – administrative village CRO – County Resettlement Office DI – Design Institute DMS – Detailed Measurement Survey FS – feasibility study HD – house demolition LA – land acquisition LAB – Land and Resources Bureau LAR – Land Acquisition and Resettlement LCG – Longde County Government LCPMO – Longde County Project Management Office LEF – land-expropriated farmer L&RO – Land and Resources Office MOU – Memorandum of Understanding M&E – monitoring and evaluation NDRC – National Development and Reform Commission NHAR TD – Ningxia Hui Autonomous Region Provincial Transport Department PADO – Poverty Alleviation and Development Office PPTA – project preparatory technical assistance PRA – Participatory Rural Appraisal PRO – project resettlement office RIB – Resettlement information booklet RP – resettlement plan SES – socioeconomic survey SPS – Safeguards Policy Statement of ADB TRO – Township Resettlement Office

WEIGHTS AND MEASURES km – kilometer m² – square meter mu – 666.7 m²

This 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. Your attention is directed to the “terms of use” section of this website.

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

NINGXIA LIUPANSHAN POVERTY REDUCTION RURAL ROAD DEVELOPMENT PROJECT FINANCED BY THE ADB

Resettlement Plan for

Zhangtian–Jinglin–Yangchuan Road of Longde County of Guyuan City in Ningxia Hui Autonomous Region

(Draft based on preliminary design)

July 2016

Prepared by Transportation Department of Ningxia Hui Nationality Autonomous Region 宁夏回族白治区交通运输厅

Endorsement Letter

22Ju1y2016

Mr. Masahiro Nishimura Transport Specialist Asian Development Bank 6 ADB Avenue Mandaluyong City Metro Manila 1550 Philippines

Subject: P48023-PRG Ningxia Liupanshan Poverty Reduction Rural Road . Development project

Dear Mr. Masahiro Nishimura

In accordance with le]9ya$ laws and legislations of the pRG government Policy statement (sPS) 2oog, Resetflement plans (Rps) and a consoli D;yglonment Plan (EMDP rring att irrqelt components. (GAP) covering all project These reports are prepa pregared for the proposed projbct roads by institutes as well as site reconnaissance by consultant team. This is to formally advise you that there is no objection to the Rps, EMDp and GAp documents being posted on the ADB website according to ADB disclosure procedures. We further confirm that we will implement all required actions as set out in the RP, EMDP and GAp during project implementation and accept ADB's supervision and inspection of the action plan implemihtaiion and disclosure of monitoring reports dudng implementation.

Yours sincerely,

Deputy Director, Planning Division Ningxia Department of Transport

GLOSSARY

Affected person (or – Those who are physically displaced (relocation, loss of household) residential land, or loss of shelter) and/or economically displaced (loss of land, assets, access to assets, income sources, or means of livelihoods) as a result of (i) involuntary acquisition of land, or (ii) involuntary restrictions on land use or on access to legally designated parks and protected areas 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 Resettlement – Rebuilding housing, assets, including productive land, and public infrastructure in another location

Resettlement Impact – 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 Group – Distinct groups of people who might suffer disproportionately from resettlement effects, as specified in this plan

CONTENTS

1 PROJECT OVERVIEW ...... 1

1.1PROJECT BACKGROUND ...... 1 1.2 OVERVIEW OF PROJECT PREPARATION ...... 3 1.3 LONGDE COUNTY SUBPROJECT ...... 4 1.4 MEASURES EMPLOYED TO AVOID OR FURTHEST REDUCE LAND ACQUISITION AND DEMOLITION ...... 5 2 PROJECT IMPACT ...... 5

2.1 SURVEY METHOD AND PROCESS ...... 5 2.1.1 Project Survey at the Early Stage ...... 6 2.1.2 Data source and survey method ...... 6 2.2 PROJECT IMPACT SCOPE AND OVERVIEW ...... 7 2.3 IMPACT OF PERMANENT COLLECTIVE LAND ACQUISITION ...... 7 2.4 TEMPORARY LAND OCCUPATION ...... 7 2.5 ANALYSIS OF IMPACT OF RESIDENTIAL HOUSE DEMOLITION ...... 7 2.6 IMPACT OF DEMOLISHED BUILDINGS OF ENTERPRISES AND PUBLIC INSTITUTIONS ...... 7 2.7 AFFECTED INFRASTRUCTURE AND GROUND ANCILLARY FACILITIES ...... 7 2.8 AFFECTED POPULATION ...... 8 2.8.1 Overview ...... 8 2.8.2 Affected vulnerable groups ...... 8 2.8.4 Affected minority population ...... 8 3 SOCIAL AND ECONOMIC PROFILE ...... 8

3.1 SOCIOECONOMIC PROFILE OF PROJECT AREA ...... 8 3.1.1 Socioeconomic profile of Guyuan City ...... 9 3.1.2 Socioeconomic profile of Longde County ...... 9 3.1.3 Socioeconomic profile of affected towns ...... 10 3.1.4 Introduction to socioeconomic status of affected villages ...... 11 3.2 SOCIOECONOMIC PROFILE OF AFFECTED VILLAGES ...... 11 3.2.1 Sample survey ...... 11 3.2.2 Nationality and gender ...... 12 3.2.3 Age structure ...... 12 3.2.4 Education background...... 12 3.2.5 Housing size ...... 13 3.2.6 Farmland resource ...... 13 3.2.7 Household income and expenditure ...... 13 3.2.8 Pubic opinion survey ...... 14 3.3 AFFECTED ENTERPRISES AND PUBLIC INSTITUTIONS AND SENSIBILITY IMPACT ...... 15 3.4 WOMEN’S DEVELOPMENT IN PROJECT AREA ...... 15 3.4.1 Rural women profile in project areas ...... 15 3.4.2 Women’s roles in household livelihoods ...... 15 3.4.3 Decision-making at household and community levels ...... 16 3.4.4 Women’s transport needs ...... 17 3.4.5 Project Impacts on Women ...... 17 3.4.6 Measures in RP in facilitating women’s development ...... 17 4 LEGAL FRAMEWORK AND POLICIES ...... 17

4.1 ADB'S POLICY ...... 18 4.2 THE PRC’S LAWS AND REGULATIONS ON LAND ACQUISITION AND RELOCATION...... 18 4.3 RELEVANT POLICIES OF NINGXIA HUI AUTONOMOUS REGION AND LONGDE COUNTY ...... 40 4.4 ADB’S POLICY REQUIREMENTS ON INVOLUNTARY RESETTLEMENT ...... 40 4.5 DIFFERENCES OF ADB’S AND LOCAL POLICIES OF THIS SUBPROJECT ...... 40

4.5.1 Consultation and disclosure ...... 40 4.5.2 Resettlement monitoring, evaluation and reporting ...... 40 5 COMPENSATION PRINCIPLE AND ENTITLEMENT ...... 40

5.1 RESETTLEMENT PRINCIPLES ...... 40 5.2 CUT-OFF DATE OF COMPENSATION ...... 40 5.3 COMPENSATION FOR GROUND ATTACHMENT AND INFRASTRUCTURE ...... 40 5.4 ENTITLEMENT MATRIX...... 40 6 RESTORATION AND RESETTLEMENT MEASURES...... 40 7 INSTITUTIONAL ARRANGEMENTS ...... 40

7.1 INSTITUTIONAL ARRANGEMENTS ...... 40 7.2 ORGANIZATIONAL RESPONSIBILITY ...... 40 7.3 STAFFING AND EQUIPMENT ...... 40 7.3.1 Staffing ...... 40 7.3.2 Equipment ...... 40 7.3.3 Organizational Training Program ...... 40 8 RESETTLEMENT BUDGET ...... 40

8.1 RESETTLEMENT BUDGET ...... 40 8.2 RESETTLEMENT INVESTMENT PLAN AND SOURCE OF FUND ...... 40 8.3 MANAGEMENT AND DISBURSEMENT OF RESETTLEMENT FUNDS ...... 40 8.4 APPROVAL OF BUDGET INCREASE ...... 40 9 PUBLIC PARTICIPATION AND GRIEVANCE REDRESS ...... 40

9.1 PUBLIC PARTICIPATION ...... 40 9.1.1 Stakeholder identification and information disclosure ...... 40 9.1.2 Participation during project preparation ...... 40 9.1.3 Participation plan during implementation ...... 40 9.1.4 Adaptation of RP based on public opinions ...... 40 9.2 GRIEVANCES AND REDRESS ...... 40 9.2.1 Grievances ...... 40 9.2.2 Grievance Procedures...... 40 9.2.3 Grievance Redress Principle ...... 40 9.2.4 Contents and Form of Reply to Complaints ...... 40 9.2.5 Report of Grievance ...... 40 10 IMPLEMENTATION PLAN OF LAND ACQUISITION AND RESETTLEMENT ...... 40

10.1 PRINCIPLE FOR IMPLEMENTATION OF LAND ACQUISITION AND RESETTLEMENT ...... 40 10.2 RP IMPLEMENTATION SCHEDULE ...... 40 11 MONITORING, EVALUATION AND REPORT ...... 40

11.1 INTERNAL MONITORING ...... 40 11.2 EXTERNAL MONITORING ...... 40 11.3 SCOPE AND METHODOLOGY OF EXTERNAL MONITORING ...... 40 11.4 POST EVALUATION AND RESETTLEMENT COMPLETION REPORT ...... 41 ANNEXES ...... 41

ANNEX A RESETTLEMENT INFORMATION BOOKLET ...... 41 ANNEX B KEY EXCERPTS OF LOCAL REGULATIONS ...... 51 ANNEX C TERMS OF REFERENCE FOR EXTERNAL MONITORING AND EVALUATION AGENCY ...... 57 ANNEX D DESCRIPTION ON LAND OCCUPATION AND LAND ACQUISITION AND DEMOLITION OF LONGDE SUBPROJECT ...... 61

List of Tables

TABLE 1-1 BASIC INFORMATION OF LONGDE COUNTY SUBPROJECT ...... 5 TABLE 2-1 TOWNS AND ADMINISTRATIVE VILLAGES AFFECTED BY LAND ACQUISITION AND DEMOLITION OF THE PROJECT ...... 7 TABLE 2-2 AFFECTED GROUND ATTACHMENTS ...... 7 TABLE 3-1 SOCIOECONOMIC PROFILE OF GUYUAN CITY ...... 9 TABLE 3-2 SOCIAL AND ECONOMIC STATUS OF LONGDE COUNTY ...... 10 TABLE 3-3 SOCIAL AND ECONOMIC STATUS OF AFFECTED TOWNS...... 10 TABLE 3-4 SOCIOECONOMIC INDICATORS OF THE AFFECTED VILLAGES ...... 11 TABLE 3-5 SAMPLING PROPORTION ...... 12 TABLE 3-6 ANALYTICAL TABLE OF INCOME AND EXPENDITURE OF SURVEYED HOUSEHOLDS ...... 14 TABLE 3-7 PUBLIC OPINION SURVEY ...... 15 TABLE 5-1 RESETTLEMENT PRINCIPLES OF THE COMPONENT ...... 40 TABLE 5-2 COMPENSATION STANDARD FOR GROUND ATTACHMENTS AND INFRASTRUCTURE ...... 40 TABLE 5-3 COMPENSATION ENTITLEMENT AND RESETTLEMENT POLICY MATRIX ...... 40 TABLE 8-1 RESETTLEMENT BUDGET ...... 40 TABLE 8-2 RESETTLEMENT INVESTMENT PLAN ...... 40 TABLE 9-1 PUBLIC PARTICIPATION DURING PROJECT PREPARATION ᧤FINISHED᧥ ...... 40

List of Figures

FIGURE 1-1 SKETCH MAP OF RURAL TRUNK ROAD DISTRIBUTION ...... 3 FIGURE 3-1 AGE DISTRIBUTION STRUCTURE ...... 12 FIGURE 3-2 DISTRIBUTION STRUCTURE OF EDUCATION ...... 13 FIGURE 7-1 PROJECT RELOCATION ORGANIZATIONS ...... 40 FIGURE 9-1 PUBLIC SURVEY SITE ...... 40

EXECUTIVE SUMMARY

E1. DESCRIPTION OF THE PROJECT

1. Zhangtian–Jinglin–Yangchuan Road subproject (the subproject) starts from Zhangtian Village in Dian’an Town of Longde County, including the Line K0+000-K2+625 going from west to east, and Line K2+625- K12+000 going from north to south, which passes through Liangbao Village, Jinglin Village, Yanmiao Village, and Yangchuan Village, and ends at the end of Yangchuan Village. It is reconstructed as Grade-III asphalt concrete pavement with width of right of way (ROW) of 8.5 m, including width of subgrade of 7.5 m and width of pavement of 6.5 m. The total investment is estimated to be CNY22,175,253.

E2. LAND ACQUISITION AND RESETTLEMENT SCOPE

2. The land acquisition and demolition of the subproject will affect three administrative villages in Dian’an Town. The subproject is a reconstruction and expansion project based on the former “Zhangtian–Jinglin–Yangchuan Road”. When the old road was constructed, road expansion had been taken into account. And the old road covers an area of 320 mu, so land required by the subproject is within the existing ROW, and no new land will be acquired. Based on the field surveys, there are a few ground attachments and special facilities, such as trees in affected villages, poles of electric power department, wires, etc., which must be removed when construction is started. In addition, there is no AP in the project area.

E3. RESETTLEMENT PRINCIPLES AND ENTITLEMENTS

3. The Resettlement Plan (RP) is prepared in accordance with the related land acquisition and house demolition policies of Longde County, Guyuan City, Ningxia Hui Autonomous Region, PRC, as well as Safeguards Requirement 2 Involuntary Resettlement in ADB’s Safeguards Policy Statement (SPS 2009). The objective of the RP is to ensure the affected infrastructure is recovered.

E4. COMPENSATION STANDARDS

4. The resettlement policy of this RP is mainly in accordance with ADB SPS 2009, national laws, regulations, and rules, as well as the resettlement policies of Longde County, Guyuan City, Ningxia Hui Autonomous Region, and based on the full and extensive consultations with the APs and confirmation of the project implementing agency. It can be implemented after the approval of local governments.

5. The compensation standard for ground attachments, water, electricity and other special facilities should be based on the “replacement cost” in accordance with the ADB policies, relevant national provisions, as well as the Notice of the People’s Government of Ningxia Hui Autonomous Region on Issuing Compensation Standard for Land Acquisition, Demolition, and Resettlement of the Second Line Rebuilding Project for Baotou-Lanzhou Railway in Ningxia (Ning Zheng Ban Fa [2010] No.43). The compensation will be paid to the affected villages and units respectively.

E5. RESETTLEMENT AND LIVELIHOOD REHABILITATION

6. Ground attachments and special facilities involved in the project include trees, wires, telecommunication lines, etc. and the compensations standard will be on the basis of the evaluated market price and according to the principle of consensus between the APs and project implementing agency. Relevant line agencies should be responsible for detailing relocation schemes and rebuilding wires and communication facilities.

E6. PUBLIC PARTICIPATION AND GRIEVANCE

7. Since July 2016, socioeconomic surveys and public opinion consultation activities were carried out with the APs (including 40% women) for five times by the project design agency and Survey Group of Shaanxi Academy of Social Sciences. The PMO, implementing agency, affected villages, towns/townships, and APs have consulted with each other on land acquisition and resettlement of the subproject. A grievance redress procedure has been established for the APs to manage LAR and other project related issues. Both oral and written grievances received and their redress actions will be recorded and will be made available to the external monitor and ADB missions on request. The affected masses can also lodge a complaint to the external monitoring and evaluation agency.

E7. INSTITUTIONAL ARRANGEMENT

8. Transportation Department of Ningxia Hui Nationality Autonomous Region is the executing agency (EA), who will be responsible for organizing and applying for ADB loan, coordinating the implementation of the RP, supervising and checking the payment and use of land acquisition, demolition, and resettlement fees, formulating land acquisition and demolition progress reports, and providing training for personnel of the project implementing agency.

9. Longde County Transport Bureau (CTB) on behalf of Longde County Government is the implementing agency (IA) of the Longde County subproject. Longde PMO as a working body set up in the CTB in is mainly responsible for organizing the resettlement work of the subproject, and making decisions and consultation on major issues arising from construction and resettlement. Longde County Resettlement Office (CRO) under Longde PMO is responsible for the detailed work of preparation and implementation of the RP. Each involved town government and the affected village and community committees are responsible for working with Longde CRO in the implementation of this RP. 1–2 leaders in each town government and each village committee respectively will be nominated to lead the RP preparation and implementation.

E8. RESETTLEMENT IMPLEMENTATION SCHEDULE

10. The resettlement implementation schedule has been prepared based on the preparation and construction progress of Longde County road engineering. However, the final schedule needs to be updated based on the final design and detailed measurement before civil works contract is signed. The construction of subproject is expected to start in July 2017. It is therefore scheduled that land acquisition and housing demolition will commence in April 2017, and completed in April 2018. Ningxia PMO has agreed to a set of supervision plan with ADB to ensure timely and effective implementation of the resettlement work.

E9. RESETTLEMENT COST

11. The resettlement costs are budgeted in the project. There is no resettlement, land acquisition or demolition fee, and the fees total CNY77,376, only covering compensation for ground attachment and special facilities, and resettlement plan formulation fee, implementation management fee, external monitoring and evaluation fee, and contingencies. Of these, the resettlement cost amounts to CNY61,250, compensation fee for special facilities is CNY10,000, and resettlement plan formulation and monitoring fee is CNY10,000.

E10. MONITORING AND EVALUATION

12. To ensure the land acquisition and resettlement work is implemented smoothly as planned, two supervision modes are adopted by two institutions. Firstly, internal supervision system composed of governmental departments (Ningxia PMO and county PMO) conducts supervision based on RP clauses from the perspective of administrative management. Secondly, Ningxia PMO will engage an independent external resettlement monitoring institute or firm to undertake external monitoring of the RP implementation. A baseline study will be conducted before the LAR begins and the first monitoring report will be submitted shortly thereafter. After that and until project completion, semi-annual monitoring reports will be prepared and submitted for ADB’s review. After completion of the LAR, annual evaluation reports will be submitted to ADB for 2 years or longer if there are any remaining issues.

1 Project Overview

1.1 Project Background

1. The Ningxia Hui Autonomous Region is one of the most underdeveloped provinces/regions in PRC. In 2015, its per capita GDP, per capita income of urban residents, and per capita income of rural residents respectively accounted for about 88.98％, 80.74％, and 76.4％ of the national average values, ranking 30th, 24th, and 24th among 31 administrative provinces and regions. There are 22 counties (districts) in Ningxia, and eight of them have been listed as nationally designated poor counties, accounting for 36.4% of the number of all counties and districts.

2. The poverty-stricken areas in Ningxia are mainly distributed in the mountain areas of southern Ningxia, including Guyuan City (Xiji County, Pengyang County, Longde County, Jingyuan County, and zhou District), as well as Hai County in Zhongwei City and Wuzhong City (Tongxin County and Yanchi County), which are collectively known as “Xihaigu” region (national-level poverty county), one of the “Three-Xi” (Hexi and Dingxi City of Ganshu Province and Xihaigu Area of Ningxia Hui Autonomous Region ) poverty-stricken regions in PRC.

3. Liupanshan region involved in the project is located in the mountain area of southern Ningxia, including Xiji County, Pengyang County, Jingyuan County, Zhou District, Hai County, and Tongxin County, which are key poverty relief and development regions in PRC, as well as the destitute areas among poor rural areas nationwide and national-level poverty-stricken counties. Due to the poor natural conditions and economic foundation, and limited investment, and other constraints, the road traffic in the region is featured by poor layout, low technical standard, insufficient construction funds, etc., and cannot satisfy the demands of economic and social development. Currently, undeveloped traffic and other infrastructure have become the bottleneck and disadvantage for the development of Liupanshan destitute area, and the poor transport infrastructures have become the most serious problem reported frequently by the masses in Liupanshan.

4. In order to accelerate the development of Liupanshan, enhance poverty alleviation, guarantee and improve people’s livelihood, facilitate people to overcome poverty and achieve prosperity, ensure all people can share the reform and development achievements, boost PRC Western Development, promote the coordinated development of regions, and achieve the overall strategic objective of national regional development, Transportation Department of Ningxia Hui Nationality Autonomous Region grasps the opportunity of historical development, starts from eliminating the phenomenon that undeveloped traffic and infrastructure restrict the development of contiguous destitute areas in Liupanshan, and now plans to implement Liupanshan rural roaddevelopment project for poverty alleviation in Ningxia Hui Autonomous Region with the ADB loan, which includes seven subprojects, involving seven counties and regions of Xiji County, Pengyang County, Longde County, Jingyuan County and Yuanzhou District in Guyuan City, Hai County in Zhongwei City, and Tongxin County in Wuzhong City.

5. The construction of Liupanshan rural road development project for poverty alleviation in Ningxia Hui Autonomous Region (the Project) with the ADB loan mainly targets at: (i) improving the technical grade for road network project, increasing network capacity, and perfecting regional road network; (ii) enhancing the connection between the project area and surrounding area, improving regional traffic condition, and promoting the economic development of the project area and region; and (iii) constructing seven trunk roads and 21 branches in Xiji County,

Pengyang County, Jingyuan County, and zhou District in Guyuan City, Hai County in Zhongwei City, and Tongxin County in Wuzhong City.

6. As required by ADB, resettlement plan should be formulated for seven trunk roads and two feeder roads. The other 19 roads are farm roads serving agricultural production within villages based on the provision of Notice of the General Office of Ministry of Land and Resources on Further Regulating the Identification of Land Category for Rural Roads (Guo Tu Zi Ting [2013] No.581) (see Section 4.1), so they are people-benefit projects with very limited negative impact compared to the project benefits and the counties will arrange the land acquisition and relocation according to local standards. The Project will benefit about 2.10 million residents from six project counties and districts as well as surrounding provinces, counties and cities, of which, urban residents and rural residents respectively account for 16% and 84％.

7. Longde County subproject plans to construct Zhangtian–Jinglin–Yangchuan Road. It starts from Zhangtian Village of Dian’an Town in Longde County, including line K0+000-K2+625 going from west to east, and Line K2+625- K12+000 going from north to south. The road stops at the end of Yangchuan Village via Liangbu Village, Jinglin Village, and Yanmiao Village. Its total length is about 12.0 km. The former road is reconstructed to be with Grade-III asphalt concrete pavement within the ROW of 8.5 m. And the planned subgrade width and pavement width are 7.5 m and 6.5 m respectively, and total investment is estimated to be CNY 22,175,253.

Wangtuan- Yuwang Road

Wanzhang- Zhengji-Jiucai- Sanying Road Sikouzi Road

Guanting-Gu Sectin of Gu- Xiji Road Jiangtai-Xitan- Pingfeng Road

Mengyuan Chunshucha– Chengyang Yangping Road

Shatang (Huanghua County)–Gaodian Road

Figure 1-1 Sketch Map of Rural Trunk Road Distribution

1.2 Overview of Project Preparation

8. The project is funded by the Asian Development Bank and NHAR TD. Before engineering implementation, resettlement plan shall be formulated in accordance with the

4 standard and requirements for loan financing project. Londge in the map above (Figure1-1) can be seen at the bottom left of the map.

9. On February 24–26, 2015, ADB Project Launch Delegation (hereinafter referred to as “Launch Delegation”) visited Yinchuan, and determined the content, principle and requirement of project resettlement plan. “Launch Delegation” and Transportation Department of Ningxia Hui Nationality Autonomous Region (executing agency) confirmed that, resettlement plan for subprojects will be prepared as per involved counties and district. The resettlement plans for six independent trunk roads and two feeder roads in seven counties and districts should be formulated. Also, a RP for 19 feeder roads of the Project is prepared.

10. On the basis of the task above, Transportation Department of Ningxia Hui Nationality Autonomous Region authorized the consultants and experts from Shaanxi Academy of Social Sciences to formulate corresponding documents. The document is namely RP for trunk road and branch construction confirmed for the subproject. There are four sources for critical data and information in RP: (i) Feasibility study report and preliminary design of the project, preliminary demographic census results, and relevant government documents; (ii) Relevant information of functional department, such as, policy document, work summary and statistical data; (iii) Information of the affected villages and towns and village collectives, such as basic information and statistical report; (iv) Information from focus group discussion (FGDs), interview and household (HH) questionnaire survey.

1.3 Longde County subproject

11. The starting point of this subproject is located at Zhangtian Village, Dianan Town, Longde County, and it is at the intersection of Gausu and Ningxia,The route K0+000-K2+625 shows the general west-east trend, while K2+625-K12+000 shows the general north-south trend. It passes through Liangbao Village, Jinglin Village, Yanmiao Village, and Yangchuan Village, and ends at the end of Yangchuan Village, it is 12.0 km long. The original road is Grade-IV asphalt concrete pavement, with width of subgrade of 6.5 m, and width of pavement of 5.0m within the ROW of 8.5 m. It will be reconstructed as Grade-III asphalt concrete pavement, with width of subgrade of 7.5 m, and width of pavement of 6.5 m.

12. The subproject adopts Grade-III road standard for construction, with the designed speed of 30km/h, width of subgrade of 7.5 m, and width of pavement of 6.5 m; the route is 12 km along. The total investment is estimated to be CNY22.175253 million. The total effective construction period is 12 months. (See Table 1-1)

Table 1-1: Basic Information of Longde County Subproject Construction Project Radiation Project Category Project Construction Content Grade Effect The starting point of this project is located at Zhangtian Village, Dianan Town, Longde County, and it is at the intersection of Gausu and Ningxia. It passes through Liangbao Village, Jinglin Village, Yanmiao Village, and It affects one town Zhangtian – Yangchuan Village, and ends at Adopt Grade- Jinglin- (Dian’an Town), and Road the end of the reservoir of III road three administrative Yangchuan reconstruction Yangchuan Village, it is 12.0 km technology villages (Zhantian Village, Road long. It is reconstructed as Grade- standard Jinglin Village and project III asphalt concrete pavement, Liangbao Village) with width of subgrade of 7.5m, and width of pavement of 6.5m. The total investment is estimated to be CNY 22.175253 million, The total effective construction period is 12 months. Data source: Socioeconomic and physical impact survey in July 2016.

1.4 Measures Employed to Avoid or Furthest Reduce Land Acquisition and Demolition

13. To avoid or reduce the negative impact of economic and social development and benefit people is the basic objective of this project. The following principles are followed for determination of project site selection and project boundary during the survey and design stages: (i) Avoid cultural landscape (including temples and other religious activity sites) and key cultural relics protection units. (ii) Avoid schools. (iii) Avoid or try to reduce the existing or planned residential area. (iv) Avoid or try to reduce environmentally sensitive area. (v) Avoid/minimize house demolition and relocation. (vi) Avoid/minimize use of good farmland. (vii) Avoid/minimize ground attachments.

14. As matter of fact, during the design phase of this subproject, project design is in strict accordance with the original road line of the road project, and only expansion towards the both sides on the basis of the original roads is made. Since the expansion space has been reserved when the original roads were designed, the expansion has a little impact on some ground attachments and infrastructure, which will not cause a negative effect on the local land acquisition and demolition. 2 Project Impact

2.1 Survey Method and Process

15. As for the land acquisition and demolition impact of the project at this stage, the survey scope is determined by the FSR and preliminary design. The results of the detailed design and detailed measurement survey shall be updated in the final RP, and the modified RP shall be submitted to ADB for approval prior to contract awards.

2.1.1 Project Survey at the Early Stage

16. The preliminary survey of land acquisition and demolition impact mainly includes two aspects: (i) Document review: Consult the feasibility study report of the project, economic and social development document in the project implementation areas, and statistical data, as well as data collection. (ii) Field survey: In July 2016, after receiving the feasibility study report and preliminary design, consultant experts of Shaanxi Academy of Social Sciences together with the project implementing agency and feasibility study report compilation unit screened, determined and made statistics of the socioeconomic development status of project affected areas as well as the land acquisition and demolition effects of the project and the various subprojects, including the impact survey on the affected population, land, house, ground auxiliary facilities and physical quantity, and the sampling survey on socioeconomic development level of the affected areas.

17. The subproject will affect three administrative villages,, respectively Zhangtian Village, Jinglin Village and Liangbao Village of Dianan Town. All three villages were surveyed. Meanwhile, 150 sample households were surveyed, accounting for 25.9% of the total households (579) of three villages, and group interview were conducted for five times.

18. On the basis of analysis and processing of the survey data and information above, and according to resettlement policies of PRC and Asian Development Bank, Resettlement Plan for the subproject was compiled.

2.1.2 Data source and survey method

19. Due to tight time and wide coverage of the survey of the project, the acquisition of background material and basic data of project impact shall include two aspects: (i) Document and literature review and information collection. Collect and collate the project information and relevant survey material and statistical material provided by relevant local government departments and project implementing agencies. (ii) Field measurement and data collection, supplemented by symposium, direct exchange with relevant interest groups, etc. to further verify material and data. (a) Survey on land acquisition: After the land acquisition scope is determined by feasibility study report and preliminary design, the project impact survey group shall conduct survey and statistics of the area based on the status quo of land use, ownership and land type. (b) Survey on the affected population: The land acquisition scope shall be determined by feasibility study report and preliminary design, and sampling survey shall be conducted for the affected population, including ethnicity, age, educational background, employment status, etc. (c) Survey on the demolished houses and ancillary facilities: On-site check was conducted for the demolished houses one by one, including all ancillary facilities. The survey team together with the village leaders based on the preliminary design identified the affected house and ancillary facilities, documented ownership, categorized structure types and size. (d) Survey on scattered trees: The scattered trees within the impact scope of the acquisition land are checked on site so as to distinguish fruit trees from other trees. Numbers and varieties were recorded. (e) Survey on special facilities: Surveys were done on the affected electric power, telecommunications cables and other special facilities. Based on the existing information from the line departments, the survey team together

with representatives from the owner departments carried out the field check and recording.

2.2 Project Impact Scope and Overview

20. The impact of land acquisition and demolition of the project involves three administrative villages of Diannan Town. See Table 2-1 for reference.

Table 0-1: Towns and Administrative Villages Affected by Land Acquisition and Demolition of the Project Construction Content Name of Town/ Street Name of Village/Neighborhood Committee Zhangtian Jinglin Yangchuan Zhangtian Village, Liangbao Village, and Jinglin – – Dianan Town Road Village Data source: Socioeconomic and physical impact survey in July 2016.

21. The impact of land acquisition and demolition of the project involves three administrative villages. The project is a reconstruction and expansion project on the basis of the original ‘Zhangtian–Jinglin–Yangchuan Road. The road expansion has been considered when the old road was constructed, and the actual occupation area of the old road has reached up to 320 mu. Hence, the acquired land occupation of this project has been included in the land occupation scope of old road, and new increase in land acquisition is not required. Based on the actual conditions on site, there are a few ground attachments and special facilities on both sides of the old road, such as sporadic trees, electric poles, electric wires, etc. During the construction, the attachment and special facilities shall be moved. Besides, there is no affected population within the project implementation area.

2.3 Impact of Permanent Collective Land Acquisition

22. The subproject is a reconstruction and expansion project on the basis of the original road. The road expansion has been considered during the old road construction, so the required land occupation is included in the scope of the land occupation of the original old road, and new land acquisition is not required. (See Annex D).

2.4 Temporary Land Occupation

23. No temporary land use is involved in this subproject.

2.5 Analysis of Impact of Residential House Demolition

24. No residential house demolition is required for this subproject.

2.6 Impact of Demolished Buildings of Enterprises and Public Institutions

25. No enterprises and public institutions will be affected by the subproject.

2.7 Affected Infrastructure and Ground Ancillary Facilities

26. The subproject will affect trees, electric pole and cable, totaling three categories. See Table 2-2 for details.

Table 0-2: Affected Ground Attachments

Item Unit Quantity All Tree(DBH＜15cm) Each 800 Owned by village collective of Zhangtian Village, Liangbao Village and Jinglin Village Electric pole Each 25 Electric power sector Cable m 250 Electric power sector Data source: Socioeconomic survey and physical impact survey in July 2016.

2.8 Affected Population

2.8.1 Overview

27. The subproject will be reconstructed within the existing ROW. No additional land is newly required. Since the newly increased land occupation is all within the reserved scope there is no person affected by the land acquisition and demolition. Also, no enterprise and public institution or store is affected.

2.8.2 Affected vulnerable groups

28. No people or vulnerable groups are affected by the subproject.

2.8.3 Project impact on women

29. No woman will be affected by LAR of the subproject.

30. During the field survey, women focus group discussions were held in each surveyed village. Household interviews paid special attention to women. No negative impacts on women were found. The survey found that women, children and elderly are the majority left behind after men and young people migrate out and hence the road improvements will particularly benefit, purchasing daily supplies go to school and travel to clinic in transporting crops and other social service facilities. Travel will be safer, easier, and smoother.

31. In the longer term, women expect that the road improvement will stimulate tourism and the agricultural modernized planting area close to Yangchuan reservoir to be built in future will help them in employment to increase their income.

2.8.4 Affected minority population

32. Project implementation area is Han people concentrated area, and only few Hui people live at the both sides of the roads. Since the project is mainly the reconstruction of old road, hence, the lifestyles and customs of the local Hui people will not be affected by the negative effect of LAR; on the contrary, since project implementation improves the local traffic condition, Hui people will positively support the rapid implementation of the project. (See Chapter 9: Public Participation).

3 Social and Economic Profile

3.1 Socioeconomic Profile of Project Area

33. The project is located in Longde County of Guyuan City and impacts three administrative villages of Dian’an Town.

3.1.1 Socioeconomic profile of Guyuan City

34. Guyuan is located at the northwest border of Loess Plateau, with Liupan Mountain as the spine crossing from the south to north and dividing the city into two parts. The north of Gu is higher than the south, and elevation is between about 1,500 m and 2,200 m. The east and south of Guyuan adjoin to Qingyang City and Pingliang City of Gansu Province respectively, the west is connected with Baiyin City of Gansu Province and the north borders on Zhongwei City and Wuzhong City in Ningxia. The territorial scope is in northern latitude of 35º14'–35º38' and east longitude of 105º20'–106º58'. Sitting in the center of the triangle area constituted by Xi’an, Lanzhou and Yinchuan, Gu is an undeveloped area with outstanding prospect in West PRC, and also one of “Three-Xi (Hexi and Dingxi City of Ganshu Province and Xihaigu Area of Ningxia Hui Autonomous Region)” major poverty relief areas approved by the Central People’s Government.

35. Xiji County, Longde County, Pengyang County, Jingyuan County and Yuanzhou District are under the administration of Gu City, where covers a total area of 1,504 km² with the total population of 1.533 million, including agricultural population of 1.242 million, accounting for 81%; Hui nationality of 717,000, taking up 46.8%. Sex ratio of the city is 105:100, and population density is 145 person/ km². In 2015, GDP of Gu City reached up to CNY21.7 billion, with an annual average increase of 13.8%. Primary industry completed value added of CNY4.513 billion, and that of secondary industry reached up to CNY5.902 billion, and of tertiary industry was CNY11.284 billion. The three industries structure ratio was 20.8:27.2:52. The accumulated fixed-asset investment of the whole society amounted to CNY118.9 million, with the annual average increase of 25.2%. Local public financial budget revenue reached up to CNY1.591 billion, with annual average increase of 24.78%. Urban per capita disposable income was CNY 21,144.1, with annual average increase accounting for 10.1%; rural per capita disposable income reached up to CNY7,002.1, with annual average increase of 15%.

Table 3–1: Socioeconomic Profile of Guyuan City No. Item Unit Guyuan 1 Land area km² 10,540 1.1 Farmland area 10,000mu 2,699 2 Population 10,000 person 153.3 2.1 Agricultural population 10,000 person 124.2 2.2 Non-agriculture population 10,000 person 29.1 3 GDP CNY100 million 217 3.1 Primary industry CNY100 million 45.14 3.2 Secondary industry CNY100 million 59.02 3.3 Tertiary industry CNY100 million 112.84 3.4 Per capita GDP CN /person 20,588 4 Urban per capita disposable income CNY/person 21,144.1 5 Rural per capita net income CN /person 7,002.1 Source: 2015 Gu City statistics yearbook.

3.1.2 Socioeconomic profile of Longde County

36. Longde County is located at the southern border area of Ningxia and the western foot of Liupan Mountain. The country is adjacent to Jingning and Xiji in the northwest, directly connects Jingyuan and Zhuanglang in the southeast, and borders on Guyuan in the northeast. It is situated at 35°21′–35°47′ of northern latitude, and 105°48′–106°15′ of east longitude. It is 47 km long from south to north, and 41 km wide from east to west. The county covers an area of 985 km2. Qingliang River is in the south, while Qingliu River lies in the north, and the two rivers

join together in Sanlidian at the south of the county. The terrain is high in the east and low in the west, with ten mountains and nine gullies. Liupan Mountain stands in the east, and seven rivers flow westward, forming valleys. The hills are among the numerous rivers. The geomorphic type includes loess hilly and gully region (55.70%), dark and moist earth-rock mountain region (33.26%), and river valley area (11.04%). The climate is semi-humid to semi-arid transitional climate of mid-temperate zone monsoon region, and the annual average temperature is 5.6.

37. The total population of the county in 2015 was 180,100, of which there were 157,600 Han people and 22,400 Hui people. In 2015, the county achieved a regional GDP of CNY2.07 billion, fixed-asset investment of the whole society was CNY4.69 billion, and the local public financial budget income was CNY135 million. The industrial added value of enterprises above the designated size was CNY100 million, and the structure of three industries was optimized to be 23:28:49. The income of urban and rural residents respectively amounted to CNY18,627 and CNY6,769, and the total retail sales of consumer goods was CNY550 million.

Table 3–2: Social and Economic Status of Longde County No. Item Unit Longde County 1 Land area km² 985 1.1 Farmland area 10,000mu 64.3 2 Permanent resident population 10,000 person 15.79 2.1 Urban population 10,000 person 4.42 2.2 Rural population 10,000 person 11.37 2.2 Population density 10,000 person/km² 160.3 3 GDP CNY100 million 20.7 3.1 Primary industry CNY100 million 4.8 3.1.1 Proportion in GDP % 23 3.2 Secondary industry CNY 100 million 5.8 3.2.1 Proportion in GDP % 28 3.3 Tertiary industry CNY100 million 10.1 3.3.1 Proportion in GDP % 49 3.4 Per capita GDP CNY/person 13,109.6 4 Urban per capita disposable income CNY/person 18,627 5 Rural per capita net income CNY/person 6,769 Source: 2015 national economy and social development statistical yearbook of Longde County.

3.1.3 Socioeconomic profile of affected towns

38. The project affects Dianan Town, Longde County, Guyuan City. The town covers an area of 7,118 ha, of which the cultivated area is 43,475 mu, the waste hills and waste land is 38,608mu, and the forest area is 8,216 mu. The town has 10 administrative villages of 48 villager groups, totaling 6,528 people of 2,054 households, of which labor force is 3,876. In 2015, the rural per capita net income was CNY5,625. The county focuses on the traditional agricultural planting such as corn, wheat, etc., and the income of most villagers comes from migration working, breeding or planting. Table 3-3: Social and Economic Status of Affected Towns Rural per Land Number Average Per capita Capita net Tow Population Labor Farmland Road Area of House- Household Farm Income n (person) (person) (mu) (ha.) hold Population land (mu) (CNY/ year)

Zhangtian Dianan – 7,118 2,054 6,528 3,876 43,475 3.18 6.66 5,625 Yang Town

Rural per Land Number Average Per capita Capita net Tow Population Labor Farmland Road Area of House- Household Farm Income n (person) (person) (mu) (ha.) hold Population land (mu) (CNY/ year)

chuan Source: July 2016: Socioeconomic survey in July 2016.

3.1.4 Introduction to socioeconomic status of affected villages

39. The subproject affects three administrative villages of Jinglin Village, Liangbao Village, Zhangtian Village of Longde County, Guyuan City, involving 2,104 people of 579 households. The total farmland is 7,796 mu, the per capita farmland is 3.71 mu, and per capita income is CNY5,645 on average.

Table 3-4: Socioeconomic Indicators of the Affected Villages Annual Per House- Rural per No. of Popula- Farm- capita Labor hold Capita Road Town Village House- tion land Culti (person) Popula- net hold (person) (mu) vated tion Income land (CNY) Jinglin 138 516 304 1,680 3.7 3.26 5,825 Village Zhangtian– Jinglin Dianan Liangbao – 205 717 423 1,888 3.5 2.63 5,769 Yangchuan Town Village Road Zhangtian 236 871 514 4,228 3.7 4.85 5,438 Village Total 1 3 579 2,104 1,241 7,796 3.6 3.71 5,645 Source: Socioeconomic survey in July 2016.

3.2 Socioeconomic Profile of Affected Villages

3.2.1 Sample Survey

40. In order to understand the basic status of villagers of the affected villages, the socioeconomic survey group conducted sampling survey for all affected villages, including Jinglin Village, Liangbao Village and Zhangtian Village of Dianan Town, totaling 2,104 people from 579 households. The subproject surveyed 540 sample people from 150 households, with the sampling proportion of 25.9%. See the distribution of sample in Table 3-5.

Table 3-5: Sampling Proportion

Number of Household in Sample Sampling No. Town Sampling Village Proportion (Household) Number of (%) Population Household 138 households in Jinglin 1 Village 35 126 25.4% 205 households in Liangbao 2 Dianan Town Village 54 194 26.3% 236 households in Zhangtian 3 Village 61 220 25.8% Total 1 579 150 540 25.9% Source: Socioeconomic survey in July 2016.

3.2.2 Nationality and gender

41. The 150 sample households have a total population of 540, a total labor force of 318 and an average population of 3.6 per household. All the households surveyed are Han people. There are 262 females (48.5%) of the total surveyed population; most women are mainly engaged in agriculture, housework and other production activities.

3.2.3 Age structure

42. Among the 540 sample people from 150 households, 75 are under 16 years old (13.8%), 177 are from 16–39 years old (32.8%); 198 from 40–59 (36.7%); and 90 people are over 60 (16.7%). See age structure in Figure 3-1.

19.4% 12.3% 1.under 16 years old 31.6% 2.16~39 years old 36.7% 3.40～59 years old 4.over 60 years old

Figure 3-1: Age Distribution Structure

3.2.4 Education background

43. Among the 540 sample people from 150 households, 226 people have received primary or below education(41.8%); 268 people received junior high school education (49.6%);

44 people received senior high school or technical secondary school education (8.2%); two people received junior college or above education (0.4%). See education distribution in Figure 3-2. The education levels are very low due to the remote location of villages and the age structure of villagers.

0.9% 1.primary or below

12.6% 2.junior school 51.2% 35.1% 3.senior high school/technical secondary school 4.college or above

Figure 3-2: Distribution Structure of Education

3.2.5 Housing size

44. Among the 540 sample people from 150 households, their houses are mainly of earth- wood or brick-wood structure, with a total housing area of 24,570 m², and 163.8 m² per household on average and 45.5 m² per capita. 6 households (4%) have an area less than 100m²; 63 (42%) households with an area of 100–150 m²; 71 (47.4%) households with an area of 151–300 m²; 8 (4.5%) with an area of 301–450 m² and 2 households (1.3%) with an area over 451 m². These are typical housing sizes for rural people but the quality of housing in these villages is quite simple due to the poverty conditions.

3.2.6 Farmland resource

45. Among the surveyed 540 people of 150 households, per household farmland is 13.5 mu and per capita farmland is 3.71 mu. The farmland mainly refers to dryland and the major crops are corn and wheat, with yearly net return of about CNY320/mu. There are 49 households (32.7%) with per capita farmland of less than 1 mu; 86 households (57.3%) with 1–3 mu; 12 households (8%) with 3–5 mu; 3 (2%) households with more than 5 mu.

3.2.7 Household income and expenditure

1. Annual household income

46. Based on the statistical analysis of the surveyed 540 people from 150 households, the average annual income of household is CNY25,183, including annual average agricultural income of CNY4,800 per household, taking up 19.1%; annual average animal husbandry income of CNY3,700 per household, accounting for 14.7%; annual average odd jobs income of CNY15,760 per household, taking up 62.5%; annual average income of others of CNY923 per

household, accounting for 3.7%. The per capita annual net income is CNY 6,995. The farmers’ more income comes from working in cities. Males in middle age and females mainly engage in agriculture and breeding, and young men usually go out for working.

2. Annual family expenditure

47. The annual average expenditure per household is CNY19,500, including household operating expenditure of CNY4,500 (23.1%); living expenditure of CNY10,500 (53.8%); other expenditure of CNY4,500 (23.1%). See sample survey on income and expenditure of affected household in Table 3-6.

Table 3-6: Analytical Table of Income and Expenditure of Surveyed Households Income per Per capita Proportion Household Item (CNY/ % (CNY/ person) household) Agricultural income 19.1% 4,800 1,333 Forestry income 0 0 0 Income from animal husbandry 14.7% 3,700 1,028 Industrial income 0 0 0 Income from construction industry 0 0 0 Annual Income from transportation industry 0 0 0 household Income from trade, food and service industry 0 0 0 income Income from other non-farming jobs 3.7% 923 257 Income from going-out for work 62.5% 15,760 4,377 Income from collective distribution 0 0 0 Income from property 0 0 0 Subtotal 100% 25,183 6,995 Per Per capita Proportion household (CNY /year) (CNY /year) Household operation expenditure 23.1% 4,500 1,250 Annual Living expenditure 53.8% 10,500 2,917 household Others 23.1% 4,500 1,250 expenditure Subtotal 100.0% 19,500 5,417 Sources: July 2016: Survey on physical impact and socioeconomic.

3.2.8 Public opinion survey

48. People in charge of formulation of Resettlement Plan surveyed the public opinions of the 150 sample households. The survey has issued 150 questionnaires, and all of them have been returned. (i) Awareness: 52% of surveyed households are aware the project is going to be constructed, 33% are not quite clear about the project and 15% know nothing about it. (ii) Attitude: 95% of surveyed households support the project construction, 5% do not care about it, and no one opposes the project. (iii) Road safety: 90% surveyed households think the project can facilitate road safety, and the rest 10% think otherwise. See public opinion survey in Table 3-7.

Table 3-7: Public Opinion Survey Selection Proportion of the Opinions No. Questions Answers of the Affected Households (%) 1 2 3 Total Do you know the project will be (1) Yes (2) Not quite clear 1 50 35 15 100 constructed? (3) No Do you approve the project (1 2 )Yes (2)No (3) I don’t 95 0 5 100 construction? care Who do you think can benefit from (1) Nation (2) Collectivity 3 100 97 90 100 the project? (multiple choices) (3) Individual Do you worry about being affected 4 (1) Yes (2) No 5 95 - 100 during the construction of project? Will the local transportation safety 5 (1) Yes (2) No 90 10 - 100 be improved after the construction? Will the project accelerate economic (1) Quite obvious (2) 6 20 70 10 100 development after construction? obvious (3) Not obvious Sources: July 2016: Survey on physical impact and socioeconomic.

3.2 Affected Enterprises and Public Institutions and Sensibility Impact

49. The survey shows that there are no affected enterprises, public institutions, schools, hospitals as well as religion facilities and cultural relics.

3.4 Women’s Development in Project Area

3.4.1 Rural women profile in project areas

50. The proportion of female population was 48.2% in Longde County in 2015, of which the majority was rural women accounting for 68.7% of total female population. Women are playing important roles both in agricultural sector as well as rural household development.

51. Based on the socioeconomic survey, there are differences in the education level between women and men. Specifically, 25% of female respondents are in the no-schooling category, higher than male respondents (18%). Similarly, the proportion of female respondents with 7–9 years of education (30%), is lower than that of males (45%), and female respondents with 10–12 years of education (1%), is also lower than that for males (6%).

52. The majority of respondents were farmers with 72% of females and 62% of males being concentrated in agriculture on their farmland. Both long-term and seasonal migrant laborers were mostly men. 18% of males were engaged in the long-term migrant labor compared to 8% for women. 25% of men were seasonal migrant labors against only 9% of women. Women were often left at home both for cultivating household land and taking care of household members. Women were 100% responsible for household work. The survey indicated that there were slightly more females running small businesses than men. However, of the respondents, only 1% of females were village cadre compared to males (3%), indicating that women’s participation in decision-making at village level was lower than for men.

3.4.2 Women’s roles in household livelihoods

53. Among surveyed villages, women and men are involved not only in agricultural activities but also non-agricultural practices. Women and men have different roles in agricultural production practices. Males usually dominate ploughing and clearing activities, while females are more engaged in transplanting and weeding. Both women and men take part in activities

such as fertilizing, harvesting and animal husbandry. Tending poultry feeding is solely a woman’s activity.

54. It is very common for both females and males to be involved in income-generating activities. Among middle-aged groups, more males are long-term as well as seasonal migrant labors compared to women. Whereas more women are left at home to undertake agricultural practices as well as to look after their household members such as children and elderly.

55. Women exclusively perform household work in addition to their agricultural work. Their roles are cooking, washing and care of small children and elders in their households.

56. It is obvious that men contribute more to cash income generation in the household, and women’s roles tend to be in household maintenance like growing corn and grain, raising animals for household consumption rather than for selling purpose. Looking after children is women’s domain. About 10% interviewed women reported that they are living in rented houses in the town to look after their school children. They no longer cultivated their land in the village. The household expenditures were fully met from their husbands’ non-farm earnings.

3.4.3 Decision-making at household and community levels

57. 58. Among the surveyed households, women in few families have decision-making power, and in most households, men made the decision. Couples jointly discuss agriculture production activities such as planting, crop selections, seed purchases, fertilizer and equipment/tools. In many cases, women’s voices are heard during the discussion process but men make final decisions.

59. Men dominate decision making on household investments such as buying vehicles, running small shops or building new houses. The interviewed villagers indicated that men have more opportunities to go outside than women and therefore have more experience and knowledge with which to make decisions.

60. Men also dominated with respect to decision making on renting out land and on borrowing and lending money. These are very important household decisions and are definitely the responsibility of household heads.

61. Men and women equally share decision-making on household saving and buying durable consumables such as TVs, furniture, washing machines and electronic cookers. Women dominate decisions on purchase of daily consumables.

62. The participation of women in community decision-making is still much less than for men because there are the fewer women members in decision-making bodies of communities. Women’s participation in community management include organizing traditional festivals, special occasions like marriage ceremonies and funeral activities, attending community meetings in the absence of men, and contributing labor for public works such as village road routine maintenance and irrigation repair.

3.4.4 Women’s transport needs

63. 64. The women’s role in the household shapes their transport patterns, frequency of women’s mobility and travel costs. Women’s transport activities are different from men’s since women often have the primary responsibility for transporting goods to and from market, and for accompanying children and elders to hospital, and for seeking job opportunities to meet increasing cash demand of households.

65. Women have similar transport needs to other social groups. Due to their higher level of domestic responsibility, women assign greater importance to transport that is easier, faster, and safer and provides more mobility, as this in turn provides more home time for productive work. Women also expect more buyers to come to the village, which would in turn further reduce travel time and thus save more time. Specifically, women are more reliant on public transport and prefer safe and regular public transports with fixed fares.

3.4.5 Project Impacts on Women

66. 67. The subproject will bring benefits equally to women and other social groups through improvement of road safety facilities, trunk road rehabilitations and particular rural road upgrade. Shorter travel time on roads is beneficial to them, as it increases mobility, and allows more productive use of time.

68. Women are primarily local travelers for buying home consumption goods and selling produce, sending and picking up small children to and from school, traveling for health purposes, and more frequently accompanying family members to hospital. Accessing better roads, thereby, will provide them easier, faster and safer travel.

69. Public or private transport operators will be more willing to provide services when the road condition and road safety is improved. This could increase the potential for young women to travel outside the village to seek employment. Specifically, availability of public transport services, which are their primary means of travel, is important to women.

3.4.6 Measures in RP in facilitating women’s development

70. 71. Participation and consultation: separate consultation meetings and focus group discussions have been undertaken in each surveyed village. Women’s needs, comments and suggestions on the project have been documented and incorporated in the RP, such as, training needs of handicraft, landscaping, seedling producing and fruit tree caring.

72. Women show stronger desire for project participation and most of them expressed willingness to take part in the project activity in their free time. They also expressed desires to be informed about the project job opportunities.

49. Legal Framework and Policies

73. The resettlement policies of this project are based on ADB’s policies and on the laws and regulations of the People’s Republic of China (PRC). These are as follows.

4.1 ADB's Policy

74. 75. The relevant ADB policy is: ADB Safeguard Policy Statement (2009), Safeguard requirement 2: Involuntary Resettlement

4.2 The PRC’s Laws and Regulations on Land Acquisition and Relocation

76. 77. The PRC relevant laws and regulations include the following: (1) The Land Administration Law of the People’s Republic of PRC

78. (Amended at the Eleventh Session of the Standing Committee of the Tenth National People’s Congress on August 28, 2004; and effective as of then). Main contents: formulations on land ownership, overall land use plan, Farmland protection, land for construction, supervision and inspection, legal responsibility, including land expropriation compensation, subsidy standard for relocation, and manner of relocation of relocated people.

(2) Regulations on the Protection of Basic Farmland

79. (No.257 Decree of the State Council of The People’s Republic of PRC on December 27, 1998) Main contents: in line with Agriculture Law of the People’s Republic of PRC and the Land Administration Law of the People’s Republic of PRC, concrete formulations for the country’s protection of basic Farmland, including delimitation, protection, supervision and management, legal responsibility, etc.

(3) Interim Regulations on Farmland Use Tax of the People’s Republic of PRC

80. (No. 511 Document of the State Council issued on December 1, 2007 and effective on January 1, 2008) Main contents: formulations about tax contribution standard and contribution range of state construction occupied farmland.

(4) Decision on Furthering Reform of Land Management of the State Council (Guofa [2004] No. 28)

81. Main contents: In order to use the land properly, to protect the legal rights of the farmers whose land i`s expropriated, to maintain social stability, and to perfect the land expropriation and resident relocation system, the decision puts forward the guiding principle and way to perfect the compensation of land expropriation. The decision requires all the county, city and province governments to take effective measures to ensure that farmers’ living standards will not decrease after their land is expropriated, and that according to laws in force, the land compensation, relocation compensation, ground ancillary facilities and young crop compensation are paid in full and in time. If after the payment of land compensation and relocation compensation in accordance with the laws in force, the farmers whose land has been expropriated cannot maintain their original living standard and their social safeguards cannot be paid, the province, autonomous region and/or municipality government should agree to provide further relocation compensation. If the sum of land compensation and relocation compensation reaches the legal upper limit, but the farmers whose land has been expropriated cannot maintain their previous living standard, the local people’s government can offer subsidy with the state-owned land income. The government of province, autonomous region and/or municipality should work out and promulgate the standard of output value or price of land. The land

19 expropriation should be the same price for the same land. National key construction projects should incorporate the expense of land expropriation into its budget.

(5) Notice on the Suggestions for Completing Compensation and Relocation System of Land Expropriation by the Ministry of Land Resources of People’s Republic of PRC (November 3, 2004, Guotuzifa [2004] No. 238)

82. The main contents: to put forward how to carry through The Decision of the State Council on Deepening the Reform and Strictly Enforcing Land Administration especially aiming at some problems during the land expropriation compensation and relocation system. There are two aspects:

1. To formulate unified annual output value standard. The provincial land and resources administration along with relevant agencies woks out the minimum unified annual output value of every county in the province, then announce and carry out it after the approval of the province government. The workout of unified annual output value standard should consider the type and quality of expropriated land, the investment on the land, the price of agricultural products, the grade of land, and so on. 2. To affirm unified annual output value multipliers. The unified annual output value times of land compensation and resettlement subsidy should ensure the farmers whose land is expropriated remain a standard no lower than before and be worked out within the legal limit. According to the legal unified annual output value times, if the land compensation and resettlement subsidy couldn't ensure that the peasants whose land is expropriated can’t maintain the original living level or pay for their social security, the times can be increased after the approval of provincial government. If the sum of land compensation and resettlement subsidy is 30 times as the unified annual output value, the farmers whose land is expropriated couldn't remain the original living standard, the local government can provide subsidy from the state-owned land income. If the basic farmland is expropriated by the legal approval, the land compensation should be carried out according to the highest compensation standard announced by the local government.

(6) Real Property Right Law of the People’s Republic of PRC (Order of the People’s Republic of PRC No. 62, in effect as of October 1, 2007)

83. Main contents: In accordance with the Constitution Law, the present Law is enacted with a view to maintaining the basic economic system of the state, protecting the socialist market economic order, clearly defining the attribution of the property, utilization of property, and safeguarding the real right of the right holder. The civil relationships incurred from the attribution and utilization of the property shall be governed by the present Law.

(7) Notice on Further Specification of the Land Type Identification of Farm Road of General Office of Ministry of Land and Resources of the People’s Republic of PRC (Guo Tu Zi Ting [2013] No.581)

84. Main contents: Define and specify the definition and scope of country road, clearly propose that farm road refers to road (including farm track) serving the transportation between villages and fields and the rural agricultural production, and excluding from the national road network system. Public road (including overpass) and land for street trees inside towns and

20 villages do not belong to farm road. The pavement width of farm road shall not exceed 6.0m, or the subgrade width of 6.5m. In case the road’s pavement or subgrade exceeds the limitation width after reconstruction and expansion, and only has unidirectional lane, it cannot be identified as farm road, and shall be included in construction land management, and handle relevant land using procedure according to regulations.

4.3 Relevant Policies of Ningxia Hui Autonomous Region and Longde County

(1) Notice on Implementing Compensation Standard for Land Acquisition for Towns (Cities and Districts) of Ningxia Hui Autonomous Region of the People’s Government of Ningxia Hui Autonomous Region (Ning Zheng Fa [2010] No.3) (taking effect on January 7, 2000). Main contents: Specify the detailed implementation regulations according to the reality of Ningxia Hui Autonomous Region and complying with Land Administration Law of the People’s Republic of PRC. (2) Notice on Publishing the Compensation Standard for Land Acquisition of Ningxia Hui Autonomous Region of the People’s Government of Ningxia Hui Autonomous Region (Ning Zheng Fa [2015] No.101), which was issued and took into effect January 1, 2016. Main contents: According to Land Administration Law of the People’s Republic of PRC and Land Administration Regulation of Ningxia Hui Autonomous Region, decide to publish Compensation Standard for Land Acquisition of Ningxia Hui Autonomous Region after deliberation of executive meeting of the People’s Government. Main contents: compensation rates of LA range from CNY1,500/mu for natural grassland to CNY4,790 for mountainous dry land, and rates of HD range from CNY210/m2 for earth and timber structure to CNY650/m2 for concrete and brick structure. (3) Document of Jingyuan County People’s Government: Notice on Compensation Standard for Land Acquisition, Demolition and Resettlement of Highway Engineering Construction of Qingshizui-Jingyuan Section of G344 (Jingyuan Zheng Fa [2014] No.36) Main contents: compensation rates of LA range from CNY1,500/mu for natural grassland to CNY4,790 for mountainous dry land, and rates of HD range from CNY210/m2 for earth and timber structure to CNY650/m2 for concrete and brick structure.

4.4 ADB’s Policy Requirements on Involuntary Resettlement

79. ADB involuntary resettlement safeguards covers physical displacement (relocation, loss of residential land, or loss of shelter) and economic displacement (loss of land, assets, access to assets, income sources, or means of livelihoods) as a result of (i) involuntary acquisition of land, or (ii) involuntary restrictions on land use or on access to legally designated parks and protected areas. It covers them whether such losses and involuntary restrictions are full or partial, permanent or temporary.

80. The objectives of the policy: To avoid involuntary resettlement wherever possible; to minimize involuntary resettlement by exploring project and design alternatives; to enhance, or at least restore, the livelihoods of all displaced persons in real terms relative to pre-project levels; and to improve the standards of living of the displaced poor and other vulnerable groups.

81. The basic principles include:

(i) Screen the project early on to identify past, present, and future involuntary resettlement impacts and risks. Determine the scope of resettlement planning through a survey and/or census of displaced persons, including gender analysis, specifically related to resettlement impacts and risks.

(ii) Carry out meaningful consultations with affected persons, host communities, and concerned nongovernment organizations. Inform all displaced persons of their entitlements and resettlement options. Ensure their participation in planning, implementation, and monitoring and evaluation of resettlement programs. Pay particular attention to the needs of vulnerable groups, especially those below the poverty line, the landless, the elderly, women and children, and Indigenous Peoples, and those without legal title to land, and ensure their participation in consultations. Establish a grievance redress mechanism to receive and facilitate resolution of the affected persons’ concerns. Support the social and cultural institutions of displaced persons and their host population. Where involuntary resettlement impacts and risks are highly complex and sensitive, compensation and resettlement decisions should be preceded by a social preparation phase. (iii) Improve, or at least restore, the livelihoods of all displaced persons through (a) land-based resettlement strategies when affected livelihoods are land based where possible or cash compensation at replacement value for land when the loss of land does not undermine livelihoods, (b) prompt replacement of assets with access to assets of equal or higher value, (c) prompt compensation at full replacement cost for assets that cannot be restored, and (d) additional revenues and services through benefit sharing schemes where possible. (iv) Provide physically and economically displaced persons with needed assistance, including the following: (a) if there is relocation, secured tenure to relocation land, better housing at resettlement sites with comparable access to employment and production opportunities, integration of resettled persons economically and socially into their host communities, and extension of project benefits to host communities; (b) transitional support and development assistance, such as land development, credit facilities, training, or employment opportunities; and (c) civic infrastructure and community services, as required. (v) Improve the standards of living of the displaced poor and other vulnerable groups, including women, to at least national minimum standards. In rural areas provide them with legal and affordable access to land and resources, and in urban areas provide them with appropriate income sources and legal and affordable access to adequate housing. (vi) Develop procedures in a transparent, consistent, and equitable manner if land acquisition is through negotiated settlement to ensure that those people who enter into negotiated settlements will maintain the same or better income and livelihood status. (vii) Ensure that displaced persons without titles to land or any recognizable legal rights to land are eligible for resettlement assistance and compensation for loss of non-land assets. (viii) Prepare a resettlement plan elaborating on displaced persons’ entitlements, the income and livelihood restoration strategy, institutional arrangements, monitoring and reporting framework, budget, and time-bound implementation schedule. (ix) Disclose a draft resettlement plan, including documentation of the consultation process in a timely manner, before project appraisal, in an accessible place and a form and language(s) understandable to affected persons and other stakeholders. Disclose the final resettlement plan and its updates to affected persons and other stakeholders. (x) Conceive and execute involuntary resettlement as part of a development project or program. Include the full costs of resettlement in the presentation of project’s costs and benefits. For a project with significant involuntary resettlement impacts,

consider implementing the involuntary resettlement component of the project as a stand-alone operation. (xi) Pay compensation and provide other resettlement entitlements before physical or economic displacement. Implement the resettlement plan under close supervision throughout project implementation. (xii) Monitor and assess resettlement outcomes, their impacts on the standards of living of displaced persons, and whether the objectives of the resettlement plan have been achieved by taking into account the baseline conditions and the results of resettlement monitoring. Disclose monitoring reports.

4.5 Differences of ADB’s and Local Policies of this subproject

4.5.1 Consultation and disclosure

79. Difference: ADB policies require APs are fully informed and consulted as soon as possible. Chinese provisions have improved the transparency of disclosure and compensation. However, APs still play a weak role in project decision-making, and the disclosure period is usually too short. Solution: Consultations have begun at the early stage (before and during technical assistance). Ningxia Provincial DOT and local Government agreed to disclose the RP to APs as required by ADB.

4.5.2 Resettlement monitoring, evaluation and reporting

80. Difference: ADB requires internal and external resettlement monitoring. However, laws of PRC have no such requirement except projects that have reservoir resettlement. Solution: Follow the ADB requirements, Internal and external resettlement monitoring systems have been established for all ADB financed projects, and this has been included in the RP. The requirements for internal and external monitoring reporting are specified in the RP.

5 Compensation Principle and Entitlement

5.1 Resettlement Principles

81. The principles for compensation and entitlement of the Project have been developed in accordance with the regulations and policies of the PRC and ADB, with the aim of ensuring that APs obtain sufficient compensation based on replacement cost and assistance so that their production and livelihoods are at least restored to pre-project levels. Table 5-1 presents the resettlement principles of the Component.

Table 0-1: Resettlement Principles of the Component No. Principle 1 Involuntary resettlement should be avoided where feasible. The APs are granted compensation and rights that can at least maintain or even improve their livelihoods in the 2 absence of the project. The rate of compensation for acquired housing, land and other assets will be calculated at full replacement costs. The APs are given compensation in full replacement cost and assistance in resettlement whether legal title is 3 available or not. If the land available to everyone is insufficient to maintain his/her livelihood, replacement in cash or in kind and 4 other income-generating activities are provided for the lost land.

No. Principle The IA will ensure that APs fully understand their entitlements, the method and standard of compensation, the 5 livelihood and income restoration plan, and the project schedule, and participate in the implementation of the RP. The IA will ensure that no physical displacement or economic displacement will occur until (i) compensation at full replacement cost has been paid to each AP for project components or sections that are ready to be 6 constructed; (ii) other entitlements listed in the RP have been provided to APs; and (iii) a comprehensive income and livelihood rehabilitation program, supported by an adequate budget, is in place to help APs improve, or at least restore, their incomes and livelihoods. Vulnerable groups are provided special assistance or treatment so that they lead a better life, and all APs 7 should have an opportunity to benefit from the project. At least two members of each AH receive skills training, including at least one woman. 8 The resettlement plan should combine with the overall planning of county/ city/ district. If feasible, changing from “agricultural to non-agricultural” status can be provided to LEF on a voluntary basis. 9 All resettlement cost is included in the project budget and sufficient to cover all affected aspects. The fund 10 needs to be paid in time. The IA and an external monitoring agency will monitor and measure the progress of implementation of the RP 11 and will prepare monitoring reports to ensure that the implementation of the RP has produced the desired outcomes.

5.2 Cut-off Date of Compensation

82. The cut-off date for the eligibility for compensation is on November 1, 2016, which is also the date of Longde PMO and RO conducting resettlement DMS. Any newly claimed land, newly built house or settlement in the project area by the APs after this date is not entitled to compensation or subsidization. Any building constructed or tree planted purely for extra compensation is not counted in the inventory of losses.

5.3 Compensation for Ground Attachment and Infrastructure

83. The compensation standard for the ground attachment facilities and infrastructure of the project is determined based on the principle of “replacement price”, shown as Table 5-2.

Table 0-2: Compensation Standard for Ground Attachments and Infrastructure

Item Unit Compensation standard

Tree (DBH <15cm) Each 25

Electric pole Each 1,000

Cable M 25

5.4 Entitlement Matrix

84. The entitlement matrix has been established in accordance with the applicable policies in this chapter. See Table 5-3 for details.

Table 0-3: Compensation Entitlement and Resettlement Policy Matrix No. of Applicable Entitled Person/ Entitled Compensation Compensation Type of Loss Targets Collective Person/ Policy Entitlement Collective All facilities within Electric power Proprietor of all Cash compensation Proprietor receives Affected public the project department and facilities based on the market the total facilities implementation three affected price and negotiation compensation area village collectives with proprietor

6 Restoration and Resettlement Measures

85. The land acquisition and demolition of the project affect three administrative villages in Dian’an Town. The subproject is a reconstruction and expansion project based on the former “Zhangtian–Jinglin–Yangchuan Road”. According to the survey, when the old road was constructed, road expansion had been taken into account. So land required by the subproject has been within the scope of old road, no new land will be acquired.

86. Based on the field survey, there are a few ground attachments and special facilities, such as trees in affected villages, poles of electric power department, wires, etc., which must be removed when construction is started.. Cash compensation based on the market price and negotiation with proprietor will be paid by IA. And the relevant agencies have the responsibility to detail the removal scheme and rebuild wire and telecommunication facilities.

7 Institutional Arrangements

7.1 Institutional Arrangements

87. Since resettlement is a very comprehensive task that needs the assistance and cooperation of various departments, relevant departments including transportation department, department of land and resources, department of finance, etc. shall participate in and support resettlement implementation. Each affected town/township or village has one or two chief leaders responsible for resettlement. The agencies responsible for the LA and the HD in the Project are:

 Leading Group for Poverty Relief Road Project with ADB Loan of Transportation Department of Ningxia Hui Autonomous Region  Project Management office for Poverty Relief Road with ADB Loan of Transportation Department of Ningxia Hui Autonomous Region  Longde County Transport Bureau (implementing agency which also has a PMO)  Longde County Project Resettlement Office of Poverty Relief Project with ADB Loan  Project town/township governments  Village committees  Project design institute  External monitoring and evaluation agency  Other departments: Land Resources Bureau (LRB), Demolition and Relocation Office, Women’s Federation, Labor and Social Security Bureau.

The Organizational Chart is shown in Figure 7-1.

Ningxia Transportation Department Project Leading Group with ADB loan

Project Management office with ADB Loan of Ningxia Transportation Department

Longde Transportation Bureau

Internal monitoring Project Longde Project Resettlement Office design institute

Town/township Gov’t External monitoring

Village/ Community committees

Affected people

AH by HD AH by LA Infrastructure

Figure 7-1: Project Relocation Organizations

7.2 Organizational Responsibility

(i) Leading Group for Poverty Relief Road Project with ADB Loan of Transportation Department of Ningxia Hui Autonomous Region

88. Project and solving major issues. The group includes Comprehensive Planning Department and Road Management Department, and is led by Deputy Director of Transportation Department of Ningxia Hui Nationality Autonomous Region.

89. Leading Group for Poverty Relief Road Project with ADB Loan of Transportation Department of Ningxia Hui Autonomous Region is the executing agency for the overall deployment of the Ningxia PMO is the working body of Ningxia Hui Autonomous Region Project Leading Group as coordinating agency in charge of applying for ADB loan, coordinating the formulation and implementation of RP, monitoring and evaluation of the RP implementation.

(ii) Leading Group and Management Office of Poverty Relief Project with ADB Loan of Longde County

90. Longde County PMO is the key working body set up in Longde County Transport Bureau, responsible for the project management, coordination, supervision, direction, quality assurance and annual planning, and the follow-up monitoring of the implementation, reporting to Ningxia Hui Autonomous Region Project Leading Group regularly. The main responsibilities in resettlement include organizing the resettlement work of the project, developing the local policy on resettlement activities, coordinating relations among resettlement agencies at all levels, coordinating the work of the bureaus concerned at the preparation and implementation stages, and making decisions and consultation on major issues arising from construction and resettlement.

(iii) Longde County ADB Loan Poverty Reduction Road Project Resettlement Office

91. Longde County ADB Loan Poverty Reduction Road Project Resettlement Office, consisting of 4 persons, responsible for identifying and confirming the quantity of land acquisition and house demolition, special facilities and ground attachments, conducting the DMS and saving data; assisting in preparing the RP and implementing RP; selecting resettlement officials for operational training; organizing public consultation, and communicating resettlement policies; directing, coordinating and supervising LA and resettlement activities and progress; disbursing resettlement costs according to the agreement and handling grievances of APs; assisting and supervising the affected villages’ carrying out economic rehabilitation plans and ensuring the income restoration of the affected people; carrying out internal monitoring, preparing internal monitoring reports and reporting to Longde County PMO.

(iv) Town/Township Government

92. The town/township resettlement offices, headed by each Town/township leader are comprised of key officials of the land and resources office, police office, civil affairs office and villages. The main responsibilities are:

• Participating in the survey of the Project, and assisting the preparation of the RP. • Organizing public participation, and communicating the resettlement policies; • Implementing, inspecting, monitoring and recording all resettlement activities within the town; • Coordinating and handling conflicts and issues arising from its work.

(v) Village Committees and Village Groups

93. The resettlement working team of a village committee or village group comprises its key community leaders and representatives of APs and with authorization of villagers’ convention. Its main responsibilities are:

• Participating in the socioeconomic survey and DMS; • Assistance in preparing the Relocation and Resettlement Plan; • Organizing public consultation, and communicating the policies on LA and HD; • Organizing village meetings in discussing the proportion of compensation distribution to APs and supervision of the use of collective compensation funds in a village if any, • Reporting the APs’ opinions and suggestions to the relevant authorities;

• Preparing clearance letter to confirm the facility and infrastructure restored and meet their requirement.

(vi) Agency undertaking RP formulation

94. Shaanxi Academy of Social Sciences has been entrusted by Ningxia Hui Autonomous Region PMO to formulate the RP. The responsibilities include: (i) formulating the RP and (ii) providing training to the RP implementation staff of PMO in provincial, county and township level.

(vii) Internal supervision agency

95. Longde County PMO sets up an internal supervision office for land acquisition and resettlement, consisting of two persons. The duty of the office is to guarantee all the land acquisition and resettlement officers can fulfill their tasks, carry out the requirements of the RP, and guarantee all the affected people can get their rights and interests.

(viii) Design Institute

96. At the planning and design stage, it will survey the physical indicators of LA and HD, environmental capacity, usable resources, etc. accurately, and assist the governments in the Project area in developing resettlement programs, preparing budgetary investment estimates for compensation for LA and HD, and preparing the relevant drawings. At the implementation stage, it will submit the design documents, technical specifications, drawings and notices to the owner, make design disclosure to the PMOs of all levels.

(ix) External independent monitoring and evaluation agency

97. The Ningxia PMO will invite qualified M&E institutes as external M&E agency. The main responsibility includes:

• Monitoring all aspects of resettlement planning and implementation as an independent M&E agency, monitoring and evaluating the effectiveness of restored infrastructure and submitting M&E reports to NPMO and ADB semi-annually; • Providing technical advice to the Resettlement Office in data collection and processing. • Follow the TOR for external M&E (see Annex C).

7.3.1 Staffing and Equipment

7.3.1 Staffing

98. In order to ensure the successful implementation of the RP, all resettlement agencies of the project have been provided full-time staff, and an efficient communication channel has been established.

7.3.2 Equipment

99. All resettlement agencies of the Project have been provided basic office, transport and communication equipment, including desks and chairs, PCs, printers, telephones, facsimile machines and vehicles.

7.3.3 Organizational Training Program

100. In order to ensure the successful implementation of the resettlement work, the resettlement staff will be provided training. As Ningxia Hui Autonomous Region Transport Department has implemented previous ADB and World Bank projects, they are familiar with both ADB and PRC resettlement policy and procedures, and therefore do not need much training. In contrast, the staffs in county RO, Town RO and village levels is experienced with PRC resettlement policies and procedures, but are not familiar with ADB policy and procedures. Therefore the training will focus on county level and lower.

101. A staff training and human resources development system for the county, township, and village level resettlement agencies will be established. Training will be conducted in such forms as expert workshop, skills training course, visiting tour and on-site training.

102. The scope of training includes

• ADB’s Safeguard Policy Statement (involuntary resettlement policy) • Differences between ADB and PRC polices, • Resettlement implementation planning and management • Key points require attention during RP implementation • RP implementation M&E

103. The training budget for resettlement agencies is CNY50,000, which has been included in the technical training budget.

7.4 Resettlement Budget 8.1 Resettlement Budget

104. The costs incurred for land acquisition and resettlement is included into the total budget of the project. With no LAR, the costs for this subproject are only for ground attachments and special facilities, RP formulating fee, implementation & management fee, land acquisition fee, technical training fee, external monitoring evaluation fee and contingencies, totaling CNY 77,376, including basic relocation fee of CNY61,250, compensation fee for special facilities of CNY10,000, and RP formulating and monitoring fee of CNY10,000. See table 8-1 for details.

Table 7.4-1: Resettlement Budget Total Standard Quantity No. Budget Item Unit amount Proportion (CNY) (unit) (CNY) Total of 1.1 1 Basic relocation costs CNY – 1.2 items \ 61,250 79.2% Compensation fee for ground 1.1 CNY ancillary facilities 51,250 66.2% 800 1.1.1 Tree(DBH <15cm) CNY CNY 25/tree 20,000 25.8% CNY 1,000/ 25 1.1.2 Electric pole CNY 25,000 each 32.3% 250 1.1.3 Cable CNY CNY 25 /m 6,250 8.1% Compensation fee for special- 1.2 CNY purpose facilities 10,000 12.9% RP formulating and monitoring 2 CNY fee 10,000 12.9% 2.1 Fee for formulation of RP CNY 2,500 3.2% Relocation monitoring and 2.2 CNY evaluation fee 7,500 9.7% (10% of item 3 Contingencies CNY 1–2) 6,126 7.9% 2~3 Subtotal CNY 16,126 20.8% 4 Total CNY 77,376 100.0%

8.2 Resettlement investment plan and source of fund

105. The source of resettlement funds is Longde county government funds and domestic loans. Before or during the construction phase, the investment plan will be implemented in stages in order to not affect the production and livelihood of the affected households. See details in Table 8-2.

Table 7.4-2: Resettlement Investment Plan Year 2017 2018 Total Amount of investment (CNY) 46,425.6 30,950.4 77,376 Proportion (%) 60 40 100

8.3 Management and Disbursement of Resettlement Funds

106. Compensation fees for public infrastructure/special purpose facilities and ground attachments are paid to the affected entities or individuals directly. The cost may be increased due to the increase of the compensation standards and price inflation, but the Longde County Government will ensure that compensation fees are fully paid.

8.4 Approval of Budget Increase

107. The project implementation unit has the authority to adjust the budget among categories and the use of contingencies within the budget. Costs exceeding total RP budget should be reported to Ningxia Hui Autonomous Region Development and Reform Commission and

Financial Department of Ningxia Hui Autonomous Region by the project office and the increase of the budget subject to the approval. The whole process shall not be more than one month.

8 Public Participation and Grievance Redress

9.1 Public Participation

108. According to relevant policies and regulations of ADB, the PRC, Transportation Department of Ningxia Hui Nationality Autonomous Region and Longde County, it is required to conduct public participation at the preparation and implementation stages in order to protect the lawful rights and interests of the APs, reduce grievances and disputes, and realize the resettlement objectives. It is necessary to develop a sound framework and implementation rules, preparing an effective RP, and organizing proper implementation.

9.1.1 Stakeholder identification and information disclosure

109. The main stakeholders refer to the groups directly affected by or involved in the project, including: (i) those suffering land loss and property loss; (ii) the villages to be benefited in the project area; and (iii) all organizations and companies directly participating in project construction and operation, including the construction contractor.

110. Others stakeholders include indirect beneficiaries, such as suppliers of building materials, government organizations participating in the project activities as well as the people who are interested in the project and also participate in the relevant project activities in the process of land acquisition and demolition.

111. Early stage information disclosure will be through agencies involved in project design and administrative line agencies at various levels. The main content includes project rationale, scope, road standard and alignment selection.

112. During the PPTA phase, information disclosure occurred mainly through Ningxia and Longde PMOs, and survey teams of RP, poverty and social analysis and environment assessment. Key information including resettlement principles and compensation standard, and up to date negotiation process and results were shared with the APs. Future information disclosure will be conducted through information booklet distribution and website, village bulletins and public media as well as through public consultation. Key information related to compensation standard, implementation schedules, resettlement budget and funds flow, organizational responsibility and contact persons, grievance redress, and internal and external M&E are included in the booklet and will be distributed to all affected households by July 2016. Project implementation progress will also be disclosed to the APs and posted in village bulletins. The draft and final RPs will be posted on ADB website and made available to APs in the town ROs and affected villages.

9.1.2 Participation during project preparation

113. At the feasibility study, PPTA phase, intensive consultations with stakeholders have been conducted with project executing agency, focusing on project scope and component, the alignment selection/shaping, design standards, and alternatives of reducing affected population. During the PPTA, surveys were undertaken from July 2016. A total of 150 households in three villages along the road were surveyed. In addition, a total of 4 key informant interviews, two

FGDs and two consultation workshops have been held with women, the poor, the elderly and village representatives in the project area and a number of key informant interviews were held with various bureaus. See Figure 9-1 for details. The participants include individual villagers, village leaders, worker and government institution like Transportation Bureau, Development and Reform Committee. The quantitative and qualitative material provided in evaluation, investigation and discussion were used to formulate Resettlement Plan and other documents according to policy requirements of ADB and the People’s Republic of PRC.

Figure 8-1: Public survey site

114. Methods and tools used include (i) field visits to collect basic information on the project impact from project beneficiaries and APs; (ii) household survey to understand family situations, livelihood status and living conditions; (iii) focus group discussion to learn expectations and requirements of affected people; (iv) interviews with representatives of households, villages or communities to find potential impacts, coping strategies and demands for support.

115. The consultation during project preparation shows in Table 9-1 for details. The resettlement information booklet (RIB) has been formulated, and will be distributed in July 2016. The updated RP is subject to the detailed measurement and survey, and will be handed over to ADB for approval before the land acquisition and resettlement and issuing of civil engineering contracts. Meanwhile, the updated RP will be disclosed to the APs and published on the website of ADB.

Table 8-1: Public Participation during Project Preparation ᧤Finished᧥ Time Organizer Participants Objective Comments and Contents Affected people, town, Introducing project Project Feasibility Report village leaders, background and Project feasibility formulation institute, engineering purpose study, on-site Foreign Capital personnel, local Site selection should inspection and 2015.12~2016.2 Division of Transportation agency of traffic minimize Farmland preliminary Department of Ningxia Hui management Route selection should assessment of Nationality Autonomous organization in project minimize impact on project impact Region implementation county APs and district Assisting project impact survey Villager representatives Design personnel, Shaanxi expressed strong Academy of Social Relevant government Relocation plan needs of the project Science, agencies, villager preparation, and proposed Foreign Capital representatives and 2016.6~2016.7 socioeconomic suggestions for route Division of Transportation grass-roots cadres survey of adjustment Department of Ningxia Hui resettlement impact Socioeconomic survey Nationality Autonomous and investigation on Region resettlement households

Shaanxi Academy of Relevant government Negotiate Social Science, agencies and affected compensation plan for Foreign Capital towns, villages and Infrastructure and 2016.6~2016. 7 Division of Transportation villagers Public consultation Ground Ancillary Department of Ningxia Hui representatives Facilities Nationality Autonomous

Region, Longde PMO Source: from Longde PMO.

9.1.3 Participation Plan During Implementation

116. Along with project implementation, the IA will conduct further public participation. The arrangement of public participation is shown in Table 9-2.

Table 9-2: Project Public Participation Scheme Objective Approach Time Agency Participant Topic Disclosing draft Village compensation resettlement APs, town, announcement Longde County standard, plan and 2016.7 village and and villagers PMO complaint information village group meeting channels, etc. booklet compensation Disclosing draft Ningxia and standard, Resettlement Website 2016.7 ADB website Longde PMOs complaint Plan and ADB channels, etc. Longde PMO, Confirm the final DRB, LRB, affection quantity Detailed Road Bureau in Measurement Field survey 2016.11~2016.12 affected All APs Preparation of the Survey (DMS) counties, LRB basis contract for and town, compensation village leaders agreement Prepare final RP Village 2016.12~ Longde PMO APs, town, Detailed impact based on announcement 2017.1 village and numbers, AHs,

Objective Approach Time Agency Participant Topic detailed design and villagers village group compensation and DMS and meeting standards and RP disclose budget (1) Resettlement progress and Villagers impacts Town, village Monitoring participates in 2017.3~2019.6 All APs (2) Payment of leaders meeting compensation (3) Information disclosure Source: from Longde PMO.

9.1.4 Adaptation of RP based on public opinions

117. According to public consultation done by RP survey team of SASS, PPTA consultants, and Longde PMO, some reasonable opinions and suggestions of the affected people are included in the resettlement plan.

118. In the public consulting activities, besides disclosing project implementation information to the masses in the affected areas, opinions of the masses to project implementation are also collected and mainly concluded as follows:

(i) For the project is implemented in the rural mountain areas with worse roads and natural conditions, it has direct and positive impact on the improvement of going out and economic activities of local people. (ii) The masses wish the project can absorb more local labor forces to engage in the transportation of earthwork, construction materials, etc. after the project is implemented. Women expect to be involved in the project implementation more. (iii) Most of the masses think training activities are necessary if possible. For instance, the masses wish to pursue agricultural production expect the training on agricultural skills, or relevant trainings on planting good agricultural varieties and increasing the value of agricultural production; women expect the training on handicraft and housekeeping; and some masses wish the skill training on e- commerce.

9.2 Grievances and Redress

119. To ensure rehabilitation and improvement of the possibly affected persons’ production, livelihood and living conditions, the provincial and county PMO closely consulted with the affected persons to reduce complaints. A mechanism is set up to provide AP with opportunities to complain and to solve problems during implementation.

9.2.1 Grievances

120. Contents of grievances include any aspect of resettlement.

9.2.2 Grievance Procedures

121. The public participation is always encouraged in the process of compiling and implementing the RP. No substantial dispute is expected to arise; however there may be some unforeseeable problems that occur in the process. In order to solve such potential problems

35 effectively and ensure the project construction and land acquisition to be carried out successfully, a transparent and effective appeal channel has been set up.

122. The grievance procedures will be operative throughout the entire construction period so that they can be used by villagers to deal with problems relating to infrastructure rehabilitation. In this way villagers will have an effective procedure to bring these matters to the attention of Longde PMO and the contractors, as well as a forum, for their timely resolution. As an additional measure, village leaders will be provided with a name and contact point (e.g. Telephone number), to whom they can raise matters relating to the road construction as and when they arise.

123. The basic procedure of the grievance solution is: APs-Village committees- Township or town resettlement office- county resettlement office-Longde PMO and Ningxia PMO.

124. The basic grievance redress system is as follows:

(i) Stage 1: If APs have any dissatisfaction with RP or implementation, they may report to the villagers’ committee. Alternatively, the villagers’ committee or the APs may directly appeal to the town resettlement offices for negotiated records or put forward an oral or written grievance. The town resettlement office records the complaints and resolve the problems within two weeks after the receipt of the complaints if the grievance is oral. (ii) Stage 2: If the APs who lodge the complaints are not satisfied with the results of the Stage 1, they may lodge a grievance to Longde county RO or PMO. The latter will make resolution within two weeks. (iii) Stage 3: If the persons who lodge the complaints are still not satisfied, they may after receiving the decision, lodge complaints to the Ningxia PMO for arbitration. The latter will make arbitration decision within a month.

125. If the persons are still dissatisfied with the decision of the Stage 2 or 3, they may, after receiving the arbitration decision, appeal to administrative setups step by step (township office, county office, authorities of letters and calls, administrative supervision, disciplinary inspection and procurement department) according to Administrative Procedure law.

126. The complaints and appeal procedures have been conveyed to APs through public meetings and other information dissemination procedures such as village notice boards, to ensure they fully understand their rights and the mechanisms for complaint and appeal. Any complaints raised by APs and resolutions must be registered in written form by the resettlement office that receives these grievances.

127. At any point, if the appellant is dissatisfied, he/she may bring a suit in a civil court in accordance with the Civil Procedure Law of the PRC.

128. The APs may also express grievance to the external monitoring agency, who would then report it to Longde County Resettlement Office, Longde Land and Resource Bureau, and Ningxia PMO. Alternatively, the APs may submit a complaint to the ADB’s Project Team to try to resolve the problem. If good faith efforts are still unsuccessful, and if there are grievances that stemmed from a violation of ADB’s safeguard policy, the APs may appeal directly to ADB in accordance with ADB’s Accountability Mechanism (2012).1

1 http://www.adb.org/site/accountability-mechanism/main

129. All the grievances received, oral or written will be recorded and their redress will be recorded as well and these will be made available to the external monitoring agency or ADB review missions on request. All agencies will accept grievances and appeals from the APs for free, and costs so reasonably incurred will be disbursed from the contingencies. During the whole construction period of the Project, these appeal procedures shall remain effective to ensure that the APs can use them to address relevant issues. The above grievance redress system will be communicated to the APs at a meeting or through the RIB, so that the APs know their right of appeal. In addition, the appeal process will be published to affected population on mass media.

9.2.3 Grievance Redress Principle

130. The resettlement offices at each level must perform on site investigations on the complaints from the people and closely consult with them on their opinions before providing practical and justified redress opinions in accordance with the principles and standards specified in national laws and ADB’s involuntary resettlement safeguards principles enshrined in the RP. The complaints that could not be solved must be timely submitted to the higher resettlement department, and the RO at each level are required to provide assistance on investigations.

9.2.4 Contents and Form of Reply to Complaints

a. Contents

131. Description of the complainants’ grievance; Results of investigations; National policies, and the ADB’s principles and standards specified in RP; Resolution and its basis; The complainant has the rights to appeal to the higher resettlement department or to the courts.

b. Form of Reply

132. For complaint concerning individual case, the reply can be directly delivered to the complainant in written form.

133. For complaints frequently addressed, notify the local village or sub-village by convening village meeting or issuing documents.

9.2.5 Report of Grievance

134. During implementation of the RP, the resettlement units shall make proper records and management of the complaints and solutions, and report them to Ningxia PMO in written form monthly.

9 Implementation Plan of Land Acquisition and Resettlement

10.1 Principle for Implementation Of Land Acquisition And Resettlement

135. The schedule for land acquisition and resettlement will be integrated with the schedule of Project construction. The basic principles for RP implementation are as follows.

 There will no commencement of related civil works until all compensation is paid.  During resettlement, the affected villagers shall have opportunities to participate in the Project.

136. After project approval and completion of detailed design, the Longde resettlement office will organize a survey team along with town resettlement office as well as village leaders to conduct detailed measurement survey. Longde PMO will update the Resettlement Plan based on the DMS results, and the plan will be submitted to Ningxia PMO. Ningxia PMO shall submit the updated Resettlement Plan to ADB for concurrence; this is a condition for ADB award of civil works contracts.

10.2 RP Implementation Schedule

137. The general resettlement schedule of the project has been drafted based on the planned progress of road project construction of Longde County. The exact implementation schedule may be adjusted due to deviations in overall project progress. See details in Table 10-1.

Table 10-1: Schedule of Activities No. Resettlement Task Target Responsible Unit Time Remark 1 Information disclosure 1 towns and 3 Longde County PMO and 1.1 Information booklet July 2016 villages each town governments Disclosure draft RP on Implementation agency, RPs 1.2 July 2016 ADB website PMO and ADB endorsed 2 RP and budget Approve the draft RP and budget (including Government, Longde 2.1 July 2016 completed compensation County PMO standard) If any Update RP based on changes detailed design and Longde County PMO, 2.2 December 2016 from this DMS and submit to Ningxia PMO, ADB RP (as ADB for concurrence required) 3.1 Detailed measurement survey 3.1 Detailed measurement November~ 3 villages Longde County PMO on area December 2016 4 Compensation agreements 4.1 compensation for ground attachment and 3 villages LRB March 2017 special facilities 5 Monitoring and evaluation Sample of 5.1 Baseline survey External monitoring unit Feb 2017 AHs Build internal monitoring 5.2 Based on RP Ningxia PMO and IAs Dec 2016 system Internal monitoring Quarterly PMO and implementation 5.3 Start Jan 2017 report report agency External monitoring Semi-annual July 2017 1st report 5.4 External monitoring unit report report Jan 2018 2nd report rd External monitoring Jan 2019 3 report 5.5 Annual report External monitoring unit report Jan 2020 4th report Resettlement PMO and implementation 5.6 1 report March 2020 completion report agency 6 Consultation and Participation records Longde PMO Ongoing 7 Grievance records Longde PMO Ongoing

No. Resettlement Task Target Responsible Unit Time Remark 8 Process of land compensation and resettlement capital flows About CNY Longde county 8.1 -To Longde PMO Jan 2017 70,000 government About CNY 8.2 - To village Longde PMO and RO Feb ~Mar 2017 60,000 9 Start civil works 9.1 Longde County project Longde County PMO July 2017

10 Monitoring, Evaluation and Report

138. In order to ensure the successful implementation of the RP, two types of supervision modes will be applied at the same time and it will be supervised by two organizations from different channels: First, internal supervision system comprised of government departments (Ningxia PMO, Longde PMO with resettlement focal persons with support from Project Management System consultant) conduct supervision according to RP provisions from the perspective of public administration. Second, external supervision system comprised of sociology experts conduct evaluation and supervision through social survey.

11.1 Internal Monitoring

139. The internal resettlement monitoring agencies will include Longde County PMO, Finance Bureau and other departments concerned (e.g., Land and Resources Bureau). The Ningxia and Longde PMO shall develop a detailed internal monitoring plan for land acquisition and resettlement, including:

(i) Investigation, coordination of and suggestion on key issues of the resettlement and implementing agencies during implementation; (ii) Payment, use and availability of compensation fees for resettlement; (iii) Resettlement training and its effectiveness;

140. The Ningxia PMO shall submit progress sheet and an internal monitoring report to ADB. Such report shall indicate the statistics of the past months in tables, and reflect the progress of LA, resettlement and use of compensation fees. Ningxia PMO will also be responsible to prepare a resettlement completion report; this can be done in conjunction with the external monitor. This report will be submitted to ADB.

11.2 External Monitoring

141. According to ADB’s policies, the Ningxia PMO shall employ a qualified, independent and experienced resettlement institute/firm as the external RP M&E agency. The external M&E agency shall conduct follow-up M&E of resettlement activities periodically, monitor resettlement progress, quality and funding, and give advice. It will also conduct follow-up monitoring of the APs production levels and living standard, and submit M&E reports to the Ningxia PMO and Longde PMO for their review, follow-up and disclosure to APs. Ningxia PMO shall submit the external M&E report to ADB semiannually for their review, comment and disclosure on website.

11.3 Scope and methodology of external monitoring

(i) Baseline survey

142. The external M&E agency will conduct a baseline survey on the affected villages to obtain baseline data on the sample AHs’ production levels and living standard (living, production and income level). The production level and living standard sample surveys will be conducted semiannually. Statistical analysis and evaluation will be made on this basis.

(ii) Periodic M&E

143. During the implementation of the RP, the external M&E agency shall conduct periodic follow-up resettlement monitoring semiannually of the following activities:

 Payment and amount of compensation fees;  Restoration and reconstruction of infrastructure and special facilities;  Time table of the above mentioned activities (applicable for any time);

(iii) Public consultation and participation

144. The external M&E agency will attend public consultation meetings held during resettlement implementation to evaluate the effectiveness of public participation.

(iv) Grievance redress

145. The external M&E agency will visit the affected villages regularly, and interviewing the township RO and county PMO that accept grievances about how grievances have been handled. It will also meet complainants, and propose corrective measures and advice for existing issues so as to make the resettlement process more effective.

(v) External monitoring reports

146. The external M&E agency will submit a monitoring or evaluation report to the ADB and Ningxia PMO semiannually. See Table 11-1 for external monitoring activity and report submitting time. The TOR for External M&E can be found in Annex C.

Table 11-1: Schedule of Monitoring and Evaluation No. Report Date Socioeconomic baseline survey 1 report Feb 2017 2 First monitoring report July 2017 3 Second monitoring report Jan 2018 4 First evaluation report Jan 2019 5 Second evaluation report Jan 2020

11.4 Post Evaluation and Resettlement Completion Report

147. After project implementation, the post-evaluation will be implemented to evaluate the Project’s resettlement activities on the basis of M&E to (i) confirm the RP objectives have been met and (ii) to obtain successful experience and lessons in land acquisition and property demotion as a reference for future work.

148. Postevaluation will be led by Longde RO, with support from the Monitor. It should be started earlier when records are fresh but it can only be finalized when evaluation reports confirm satisfactory restoration.

 

Annexes Annex A Resettlement Information Booklet

NINGXIA LIUPANSHAN POVERTY REDUCTION RURAL ROAD DEVELOPMENT project FINANCED BY THE ADB

Resettlement Information Booklet for Zhangtian–Jinglin–Yangchuan Road project of Jingyuan County of Guyuan City in Ningxia Hui Autonomous Region

Prepared by Transportation Department of Ningxia Hui Nationality Autonomous Region

July 2016

1 Project Background

1. Transportation Department of Ningxia Hui Nationality Autonomous Region grasps the opportunity of historical development, starts from eliminating the phenomenon that undeveloped traffic and infrastructure restrict the development of contiguous destitute areas in Liupanshan, and now plans to implement Liupanshan rural highway development project for poverty alleviation in Ningxia Hui Autonomous Region with the ADB loan, which includes seven subprojects, involving Xiji County, Pengyang County, Jingyuan County and zhou District in Guyuan City, Hai County in Zhongwei City, and Tongxin County in Wuzhong City.

2. The construction of Liupanshan rural road development project for poverty alleviation in Ningxia Hui Autonomous Region (the Project) with the ADB loan mainly targets at: (i) improving the technical grade for road network project, increasing network capacity, and perfecting regional road network; (ii) enhancing the connection between the project area and surrounding area, improving regional traffic condition, and promoting the economic development of the project area and region; (iii) constructing seven trunk roads and 21 branches in Xiji County, Pengyang County, Jingyuan County, and zhou District in Guyuan City, Hai County in Zhongwei City, and Tongxin County in Wuzhong City.

3. Zhangtian–Jinglin–Yangchuan Road subproject (the subproject) starts from Zhangtian Village in Dian’an Town of Longde County, including the Line K0+000-K2+625 going from west to east, and Line K2+625- K12+000 going from north to south, which passes through Liangbao Village, Jinglin Village, Yanmiao Village, and Yangchuan Village, and ends at the end of Yangchuan Village. It is reconstructed as Grade-III asphalt concrete pavement with width of right of way (ROW) of 8.5 m, including width of subgrade of 7.5 m and width of pavement of 6.5 m. The total investment is estimated to be CNY22,175,253.

Wangtuan-

Wanzhang- Zhengji-Jiucai-

Guanting-Gu Sectin of Gu-

Jiangtai-Xitan- Pingfeng Road

Mengyuan Chunshucha–

Shatang (Huanghua County)–Gaodian Road

Figure 1: Sketch Map of Rural Trunk Road Distribution

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2 Project Impact

2.1 Project Impact Scope and Overview

4. The impact of land acquisition and demolition of the project involves one towns and three administrative villages.

Table 1: Towns and Administrative Villages Affected by Land Acquisition and Demolition of the Project

Construction Content Name of Town/Street Name of Village/Neighborhood Committee Zhangtian Jinglin Yangchuan Zhangtian Village, Liangbao Village, and Jinglin – – Dianan Town Road Village

2.2 Impact of Permanent Collective Land Acquisition

5. The project is a reconstruction and expansion project on the basis of the original road. The road expansion has been considered during the old road construction, so the required land occupation is included in the scope of the land occupation of the original old road, and new land acquisition is not required.

2.3 Temporary Land Occupation

6. No temporary land use is involved in this project.

2.4 Analysis of Impact of Residential House Demolition

7. No residential house demolition is required for this project.

2.5 Impact of Demolished Buildings of Enterprises and Public Institutions

8. No enterprises and public institutions will be affected by land acquisition and demolished.

2.6 Affected Infrastructure and Ground Ancillary Facilities

9. The subproject will affect trees and other two categories ground attachment.

Table 2: Affected Ground Ancillary Facilities Item Unit Quantity All

Tree(DBH＜15cm) Each 800 Owned by village collective of Zhangtian Village, Liangbao Village and Jinglin Village Electric pole Each 25 Electric power sector

Cable m 250 Electric power sector

3 Legal Framework and Policies and compensation rates 3.1 Policy Basis

10. The resettlement policies of this project are based on ADB’s policies and on the laws and regulations of the People’s Republic of China (PRC). These are as follows:

 ADB Safeguard Policy Statement (2009), Safeguard requirement 2: Involuntary Resettlement  The Land Administration Law of the People’s Republic of PRC  Regulations on the Protection of Basic Farmland  Interim Regulations on Farmland Use Tax of the People’s Republic of PRC  Decision on Furthering Reform of Land Management of the State Council (Guofa [2004] No. 28)  Notice on the Suggestions for Completing Compensation and Relocation System of Land Expropriation by the Ministry of Land Resources of People’s Republic of PRC (November 3, 2004, Guotuzifa [2004] No. 238)  Notice on Further Specification of the Land Type Identification of Farm Road of General Office of Ministry of Land and Resources of the People’s Republic of PRC (Guo Tu Zi Ting [2013] No. 581)  Notice on Publishing the Compensation Standard for Land Acquisition of Ningxia Hui Autonomous Region of the People’s Government of Ningxia Hui Autonomous Region (Ning Zheng Fa [2015] No.101)

3.2 Cut-off Date of Compensation

11. The cut-off date for the eligibility for compensation is on November 1, 2016, which is also the date of Longde PMO and RO conducting resettlement DMS. Any newly claimed land, newly built house or settlement in the project area by the APs after this date is not entitled to compensation or subsidization. Any building constructed or tree planted purely for extra compensation is not counted in the inventory of losses.

3.3 Compensation for Ground Attachment and Infrastructure

12. The compensation standard for the ground attachment facilities and infrastructure of the subproject is determined based on the principle of “replacement price”.

Table 3: Compensation Standard for Ground Attachments and Infrastructure

Item Unit Compensation Standard (CNY)

Tree (DBH <15cm) Each 25

Electric pole Each 1,000

Cable M 25

3.4 Entitlement Matrix

13. The entitlement matrix has been established in accordance with the applicable policies.

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Table 4: Compensation Entitlement and Resettlement Policy Matrix

No. of entitled Type of Applicable Entitled Person/ Compensation Compensation Person/ Loss Targets Collective Policy Entitlement Collective Affected All facilities Electric power Proprietor of all Cash compensation Receiving the public within the department and facilities at the market price total facilities project three affected will be paid to the compensation by implementation village collectives propertiors the market price area

4. Institutional Arrangements

14. Since resettlement is a very comprehensive task that needs the assistance and cooperation of various departments, relevant departments including transportation department, department of land and resources, department of finance, etc. shall participate in and support resettlement implementation. Each affected town/township or village has one or two chief leaders responsible for resettlement. The agencies responsible for the LA and the HD in the Project are:

• Leading Group for Poverty Relief Road Project with ADB Loan of Transportation Department of Ningxia Hui Autonomous Region • Project Management Office for Poverty Relief Road with ADB Loan of Transportation Department of Ningxia Hui Autonomous Region • Longde County Transport Bureau (implementing agency which also has a PMO) • Longde County Project Resettlement Office of Poverty Relief Project with ADB Loan • Project town/township governments • Village committees • Project design institute • External monitoring and evaluation agency • Other departments: Land Resources Bureau (LRB), Demolition and Relocation Office, Women’s Federation, Labor and Social Security Bureau.

The Organizational Chart is show in Figure 2.

Ningxia Transportation Department Project Leading Group with ADB loan

Project Management office with ADB Loan of Ningxia Transportation Department

Longde Transportation Bureau

Internal

monitoring Project

Longde Project Resettlement Office design

institute

Town/township Gov’t External

monitoring

Village/ Community committees

Affected people

AH by HD AH by LA Infrastructure

Figure 2: Project Relocation Organizations

5. Resettlement Budget

15. The costs incurred during land acquisition and resettlement is included into the total budget of the project. Due to no expenses of land acquisition and resettlement, there are only compensation expenses for ground attachments and special facilities, RP formulating fee, implementation and management fee, land acquisition fee, technical training fee, external monitoring evaluation fee and contingencies, totaling CNY77,376, including basic relocation fee of CNY61,250, compensation fee for special facilities of CNY10,000, and RP formulating and monitoring fee of CNY10,000.

16. Resettlement fees should be used in full consultation with the APs, and was given by the Ningxia and Longde PMO.

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6. Grievances and Redress

17. The public participation is always encouraged in the process of compiling and implementing the RP. No substantial dispute is expected to arise; however there may be some unforeseeable problems that occur in the process. In order to solve such potential problems effectively and ensure the project construction and land acquisition to be carried out successfully, a transparent and effective appeal channel has been set up.

18. The grievance procedures will be operative throughout the entire construction period so that they can be used by villagers to deal with problems relating to infrastructure rehabilitation. In this way villagers will have an effective procedure to bring these matters to the attention of Longde PMO and the contractors, as well as a forum, for their timely resolution. As an additional measure, village leaders will be provided with a name and contact point (e.g. Telephone number), to whom they can raise matters relating to the road construction as and when they arise.

19. The basic procedure of the grievance solution is: APs-Village committees- Township or town resettlement office- county resettlement office-Longde PMO and Ningxia PMO. The basic grievance redress system is as follows:

(i) Stage 1: If APs have any dissatisfaction with RP or implementation, they may report to the villagers’ committee. Alternatively, the villagers’ committee or the APs may directly appeal to the town resettlement offices for negotiated records or put forward an oral or written grievance. The town resettlement offices records the complaints and resolve the problems within two weeks after the receipt of the complaints if the grievance is oral. (ii) Stage 2: If the APs who lodge the complaints are not satisfied with the results of the Stage 1, they may lodge a grievance to Longde county RO or PMO. The latter will make resolution within two weeks. (iii) Stage 3: If the persons who lodge the complaints are still not satisfied, they may after receiving the decision, lodge complaints to the Ningxia PMO for arbitration. The latter will make arbitration decision within a month.

20. If the persons are still dissatisfied with the decision of the Stage 2 or 3, they may, after receiving the arbitration decision, appeal to administrative setups step by step (township office, county office, authorities of letters and calls, administrative supervision, disciplinary inspection and procurement department) according to Administrative Procedure law.

21. The complaints and appeal procedures have been conveyed to APs through public meetings and other information dissemination procedures such as village notice boards, to ensure they fully understand their rights and the mechanisms for complaint and appeal. Any complaints raised by APs and resolutions must be registered in written form by the resettlement office that receives these grievances.

22. At any point, if the appellant is dissatisfied, he/she may bring a suit in a civil court in accordance with the Civil Procedure Law of the PRC.

23. The APs may also express grievance to the external monitoring agency, who would then report it to Longde County Resettlement Office, Longde Land and Resource Bureau, and Ningxia PMO. Alternatively, the APs may submit a complaint to the ADB’s Project Team to try to 48

49 resolve the problem. If good faith efforts are still unsuccessful, and if there are grievances that stemmed from a violation of ADB’s safeguard policy, the APs may appeal directly to ADB in accordance with ADB’s Accountability Mechanism (2012).3

7. Implementation Plan of land Acquisition and Resettlement

24. The general resettlement schedule of the project has been drafted based on the planned progress of road project construction, LA and implementation. The exact implementation schedule may be adjusted due to deviations in overall project progress.

Table 9: Schedule of Land Acquisition and Resettlement Activities No. Resettlement Task Target Responsible unit Time Remark 1 Information disclosure 1 towns and 3 Longde County PMO and 1.1 Information booklet July 2016 villages each town governments RPs need Disclosure draft RP on Implementation agency, 1.2 July 2016 to be ADB website PMO and ADB endorsed 2 RP and budget Approve the draft RP and budget (including Government, Longde 2.1 July 2016 completed compensation County PMO standard) If any Update RP based on changes detailed design and Longde County PMO, 2.2 December 2016 from this DMS and submit to Ningxia PMO, ADB RP (as ADB for concurrence required) 3.1 Detailed measurement survey 3.1 Detailed measurement November~ 3 villages Longde County PMO on area December 2016 4 Compensation agreements 4.1 compensation for ground attachment and 3 villages LRB March 2017 special facilities 5 Monitoring and evaluation Sample of 5.1 Baseline survey External monitoring unit Feb 2017 AHs Build internal monitoring 5.2 Based on RP Ningxia PMO and IAs Dec 2016 system Internal monitoring Quarterly PMO and implementation 5.3 Start Jan 2017 report report agency External monitoring Semi-annual July 2017 1st report 5.4 External monitoring unit report report Jan 2018 2nd report rd External monitoring Jan 2019 3 report 5.5 Annual report External monitoring unit report Jan 2020 4th report Resettlement PMO and implementation 5.6 1 report March 2020 completion report agency 6 Consultation and Participation records Longde PMO Ongoing 7 Grievance records Longde PMO Ongoing 8 Process of land compensation and resettlement capital flows About CNY Longde county 8.1 -To Longde PMO Jan 2017 70,000 government About CNY 8.2 - To village Longde PMO and RO Feb ~Mar 2017 60,000

3 http://www.adb.org/site/accountability-mechanism/main

49 50

No. Resettlement Task Target Responsible unit Time Remark 9 Start civil works 9.1 Longde County project Longde County PMO July 2017

8. Monitoring, Evaluation and Report

25. According to ADB’s policies, the Ningxia PMO shall employ a qualified, independent and experienced resettlement institute/firm as the external RP M&E agency.

26. The external M&E agency shall conduct follow-up M&E of resettlement activities periodically, monitor resettlement progress, quality and funding, and give advice. It will also conduct follow-up monitoring of the APs production levels and living standard, and submit M&E reports to the Ningxia PMO and Longde PMO for their review, follow-up and disclosure to APs. Ningxia PMO shall submit the external M&E report to ADB semiannually for their review, comment and disclosure on website.

27. The external M&E agency will submit a monitoring or evaluation report to the ADB and Ningxia PMO semiannually.

Table 10: Schedule of Monitoring and Evaluation No Report Date Socioeconomic baseline survey 1 report March 2017 2 First monitoring report July 2017 3 Second monitoring report Jan 2018 4 First evaluation report Jan 2019 5 Second evaluation report Jan 2020

Annex B Key Excerpts of Local Regulations

A Key articles of Land Administration Law of PRC, SC [2004] No.28 and MLR [2004] No.238

1. Land Administration Law of PRC (2004) and the Decision of the State Council on Deepening the Reform and Rigidly Enforcing Land Administration (SC [2004] No.28) promulgated in October 2004 defines the principles and rates of compensation for land acquisition and resettlement, land acquisition procedures, and monitoring system, and the Guidelines on Improving Compensation and Resettlement Systems for Land Acquisition (MLR [2004] No.238) play a similar role. These legal documents have become the legal basis for resettlement of the Project. The key provisions of the above policies are as follows:

Table A2.1: Abstract of the Land Administration Law and Relevant Policies Item Key points Index Land ownership The People's Republic of China resorts to a socialist public ownership Article 2 of the i.e. an ownership by the whole people and ownerships by collectives, of Land land. Administration Law of The State introduces the system of compensated use of land owned by the PRC the State except the land has been allocated for use by the State according to law. Application for Any unit or individual that need land for construction purposes should Articles 43 and 44 of construction land apply for the use of land owned by the State according to law; Whereas the Land occupation of land for construction purposes involves the conversion of Administration Law of agricultural land into land for construction purposes, the examination and the PRC approval procedures in this regard shall be required. All applications for land use for construction shall be accepted by the Article 17 of the administrative department in charge of land of the county government Land in a unified manner, and submitted to higher authorities level by level Administration after examination by the county government. If the acquisition or use of Regulations of land for construction involves farmland conversion, the administrative Shaanxi Province department in charge of land of the county government shall file an application, which shall be submitted to higher authorities level by level after examination by the county government. In case of acquisition or use of woodland, or acquisition or use of land in the urban planning area, the land user shall obtain the approval of the forestry and construction departments at or above the county level, and go through the construction land approval formalities as stipulated herein. The approved construction land must be used for the approved purpose and its use shall not be altered without authorization. If the change of use is necessary, Article 56 of the Land Administration Law of the PRC shall apply. Land acquisition The acquisition of basic farmland exceeding 35 hectares outside the Article 45 of the authority basic farmland, and other land exceeding 70 hectares shall be Land approved by the State Council. Acquisition of land other than Administration Law of prescribed in the preceding paragraph shall be approved by the the PRC governments of provinces, autonomous regions and municipalities and submitted to the State Council for the record The acquisition of not more than 35 hectares of cultivated land other than Article 20 of the basic farmland, and not more than 70 hectares of other land than Land cultivated land shall be approved by the provincial government. Administration Regulations of Shaanxi Province Land For the acquisition of land by the State the local governments at and acquisition above the county level shall make an announcement and organize the announcement implementation after the approval according to the legal procedures.

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Item Key points Index system After the plan for land compensation and resettlement fees is finalized, related local governments shall make an announcement and hear the opinions of the rural collective economic organizations and peasants whose land has been acquired. Rural collective economic organizations shall make public to its members Articles 46, 48 and the 49 of the Land receipts and expenditures of the land compensation fees for land acquired Administration Law of and accept their supervision. the PRC Compensation In acquiring land, compensation should be made according to the original Article 47 of the rates for land purposes of the land acquired. Land acquisition Compensation fees for land acquired include land compensation fees, Administration Law of resettlement fees and compensation for attachments to or green crops on the PRC the land. The land compensation fees shall be 6-10 times the average output value of the three years preceding the acquisition of the cultivated land. The resettlement fee shall be calculated according to the number of agricultural population to be resettled. The number of agricultural population to be resettled shall be calculated by dividing the amount of cultivated land acquired by the per capital land occupied of the unit whose land is acquired. The resettlement fees for each agricultural person to be resettled shall be 4-6 times the average annual output value of the three years preceding the acquisition of the cultivated land. However, the maximum resettlement fee per hectare of land acquired shall not exceed 15 times of the average Article 23 of the annual output value of the three years prior to the acquisition. Land Administration (1) Acquired vegetable land or irrigated land shall be compensated for at Regulations of 8-10 times the average annual output value (AAOV) of the three years Shaanxi Province prior to acquisition of such land, acquired irrigable land, garden land or lotus root pond at 7-9 times, acquired rain-fed farmland or non-irrigated land at 6-8 times, crop rotation land at 6 times, and pasture land or fishpond at 3-5 times; (2) Acquired newly reclaimed farmland that has been cultivated for less than 3 years shall be compensated for at twice the AAOV, and the investment in development shall be compensated for; (3) Acquired housing land, threshing ground or sunning ground shall be compensated for based on the original land type; (4) The compensation rate for allocated state-owned farm, forest farm, pasture or fishing ground shall be based on subparagraphs (1), (2) and (3) of this paragraph. The compensation rate for acquired or allocated woodland shall be as stipulated by the state. Temporary Users who use the land temporarily should use the land according to the Article 57 of the land use purposes agreed upon in the contract for the temporary use of land and Land should not build permanent structures. The term for the temporary use of Administration Law of land shall not usually exceed two years. the PRC If state-owned or collectively owned land is to be used temporarily for Article 31 of the Land project construction, geologic investigation or any other purpose, an Administration application shall be filed along with the application for construction land Regulations of and approved by the administrative department in charge of land; in case Shaanxi Province of separate application for temporary land use, it shall be approved by the administrative department in charge of land of the county government in case of non-cultivated land, by the administrative department in charge of land of the prefecture or municipal government in case of cultivated land, or the administrative department in charge of land of the provincial government in case of basic farmland. Temporary land use in the urban planning area shall be first approved by the municipal administrative department in charge of construction before submission for approval. The user of temporarily used land shall use the land for the approved purpose and shall not construct any permanent building thereon. The period of temporary land use shall not exceed 2 years in general.

Table A2.2: Key Provisions of SC [2004] No.28 and MLR [2004] No.238, and their Application SC [2004] No.28—Improvement of Compensation and Resettlement Systems for Land MLR [2004] No.238 Acquisition Article 12 County-level and above local governments shall take practical measures Fixation of uniform Improvement of so that the standard of living of LEFs is not reduced by land AAOV rates measures acquisition. Determination of compensation Land compensation, resettlement subsidy and compensation for ground uniform AAOV land acquisition attachments and crops shall be paid in full and timely pursuant to law. If multiples Fixation of for for the land compensation and resettlement subsidy pursuant to the integrated land prevailing laws and regulations are insufficient to maintain the former prices for land standard of living of the LEFs or to pay the social security expenses of acquisition areas farmers who lose all land due to land acquisition, governments of Distribution of land provinces, autonomous regions and municipalities directly under the compensation central government shall approve an increased resettlement subsidy. If the sum of the land compensation and the resettlement subsidy attains the statutory upper limit and is still insufficient to maintain the former standard of living of the LEFs, local governments may pay a subsidy from the income from compensated use of state land. Governments of provinces, autonomous regions and municipalities directly under the central government shall fix and publish the uniform AAOV rates or integrated land prices for land acquisition of all cities and counties, so that the same price applies to the same kind of land. For key construction projects of the state, land acquisition expenses must be listed in the budgetary estimate in full. Article 13 County-level and above local governments shall take specific measures Resettlement for Proper to guarantee long-term livelihoods of LEFs. agricultural resettlement For projects with a stable income, farmers may become a shareholder production LEFs using the right to use of land used for construction approved pursuant to Resettlement by law. reemployment Within the urban planning area, local governments shall bring farmers Resettlement who lose all land due to land acquisition into the urban employment by dividend system, and establish a social security system; out of the urban planning distribution Non-local area, in acquiring land collectively owned by farmers, local governments resettlement shall reserve necessary arable land or arrange appropriate jobs for LEFs within the same administrative area; farmers without land who do not have the basic living and production conditions shall be subject to non- local resettlement. The labor and social security authorities shall propose guidelines for the employment training and social security systems for LEFs as soon as possible. Article 14 During land acquisition, the ownership of collective land of farmers and Disclosure of Improvement of the right to contracted management of farmers’ land shall be information on land land acquisition maintained. acquisition procedures Before acquisition is submitted for approval pursuant to law, the use, Confirmation of land location, compensation rate and mode of resettlement of the land to be acquisition survey acquired shall be notified to LEFs; the survey results of the present results Organization situation of the land to be acquired shall be confirmed by rural collective of land acquisition economic organizations and farmers to be affected by land acquisition; if hearing necessary, the land and resources authorities shall organize a hearing in accordance with the applicable provisions. The materials for notification to and confirmation by the LEFs shall be taken as requisite materials for approval for land acquisition. Accelerate the establishment and improvement of the coordination and judgment mechanism for disputes over compensation and resettlement for land acquisition to protect the lawful rights and interests of LEFs and land users. Approved matters of land acquisition shall be disclosed unless in special cases. Article 15 If the compensation and resettlement for land acquisition has not been Disclosure of Strengthening implemented, the acquired land shall not be used forcibly. approval items of

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SC [2004] No.28—Improvement of Compensation and Resettlement Systems for Land MLR [2004] No.238 Acquisition Supervision over Governments of provinces, autonomous regions and municipalities land the directly under the central government shall formulate the procedures for acquisition implementation of the distribution of the land compensation within rural collective economic Payment of land acquisition organizations on the principle that the land compensation is used for compensation and rural households affected by land acquisition mainly. resettlement Rural collective economic organizations affected by land acquisition expenses for shall disclose the receipt, disbursement and allocation of land land acquisition compensation fees to their members and accept supervision. The Post-approval agricultural and civil affairs authorities shall strengthen the supervision supervision and over the allocation and use of land compensation fees within rural inspection of land collective economic organizations. acquisition

B. Notice on Publishing the Compensation Standard for Land Acquisition of Ningxia Hui Autonomous Region of the People’s Government of Ningxia Hui Autonomous Region，Ning Zheng Fa [2015] No.101

2. The various departments and organizations directly under the people’s government of the various cities, counties (districts) and autonomous regions:

3. To promote the scientific and sustained use of land resources, it was decided to publish Compensation Standard for Land Acquisition of Ningxia Hui Autonomous Region (hereinafter referred to as the new compensation standard for land acquisition) in accordance with The Law of Land Administration of the People’s Republic of China and Land Administration Regulations of Ningxia Hui Autonomous Region as well as other laws and regulations and through the deliberation of the executive meeting of the People’s Government of Ningxia Hui Autonomous Region, to be implemented from January 1, 2016. The relevant matters are notified as follows:

4. The new compensation standard for land acquisition is farmland-based. The compensation for the garden acquired shall be equal to that for farmland in the same area, that for forest land acquired shall be equal to 70% of that for farmland in the same area, that for new irrigable land (within three years) acquired shall be equal to 60% of that for farmland in the same area, that for artificial grassland acquired shall be equal to that for dry farmland in the same area, that for natural grassland and shrubland shall be equal to 60% of that for dry farmland in the same area, that for unused land acquired shall be equal to 20% of that for dry farmland in the same area, and that for homestead and threshing ground acquired shall be equal to that for farmland in the same area. For use of state-owned agricultural (forestry, animal husbandry) land, refer to the compensation standard for acquisition of the neighboring collective lands.

B. Land Management Regulations of Ningxia Hui Autonomous Region

5. (Passed on the 16th Session of the Standing Committee of the 8th Ningxia Hui Autonomous Region People’s Congress).

Chapter V Construction Land Management

6. Article 46: The user should pay fees based on the following items and standards:

(i) Land compensation fee: The compensation for the land acquired should be six to ten times as much as the average annual output value of the land in the first three years; that for forest land, artificial pasture and extensive fish pond should be six to eight times as much as the average annual output value of local farmland in the first three years; that for natural grassland, vacant land, abandoned land, and lake should be two to three times as much as the average annual output value of the local farmland in the first three years; that for unutilized land should be one to two times as much as the average annual output value of the local farmland in the first three years; that for residential land and threshing ground should be based on the standard for nearby farmland. Key construction projects of the state and Ningxia Autonomous Region should make minimum compensation based on the above standards. (ii) Young crop compensation fee: The compensation for common crops (including artificial grass and after-culture grass) should be in accordance with the average annual output value of local farmland in the first three years; that for perennial crops should be two or three times as much as the average annual output value of local farmland in the first three years; no compensation will be made for the farmland without crops. (iii) Compensation for ground attachments: The specific standard is established by land administration department and price control authority as well as other relevant departments of Ningxia Hui Autonomous Region based on the local condition. And the compensation standard for large and medium-sized construction projects is established by the People’s Government of Ningxia Hui Autonomous Region.

In case the land compensation fees paid according to the preceding clause still fail to make the peasants to be resettled maintain their original living level, the resettlement subsidies shall be added through the approval of the People’s Government of Ningxia Hui Autonomous Region. But the sum of land compensation fees and resettlement subsidies shall not exceed 30 times of average annual output within the three years before the acquisition of the farmland.

7. After the competent administrative departments of land posted notices on land acquisition to the units with land to be acquired, the compensation will not be made for the rush planting of trees and crops, rush-construction of buildings structures and other facilities abandoned on the land of the units or individuals.

8. After the fees for compensation, resettlement, etc. are paid in according to the clause, the units and individuals with land to be acquired shall not have additional requests or obstruct the construction.

9. Article 47: Land compensation fees, resettlement subsidies and compensation fees for attachments that belong to collective paid by the land acquiring units shall be owned by the

55 56 units with land acquired, and deposited in a special account in the bank. Then the units with land acquired shall propose resettlement scheme and plan for use of funds.

10. Article 48: In case that the personnel to be resettled of the units with land acquired is resettled by rural collective economic organization, the resettlement subsidy shall be managed and used by rural collective economic organization; in case the personnel are resettled by other units, the resettlement subsidies shall be paid to the resettlement unit; in case unified resettlement is not required, the resettlement subsidy shall be issued to resettlement personnel or to be used for the insurance fees of the personnel to be resettled after their consent. In case the resettlement subsidies are issued to resettlement personnel, the personnel shall apply for it, and then it shall be reviewed by villager committee and approved by town people’s government. After self-employment agreement is signed and notarization is made, the subsidies shall be issued by collective economic organization in one time.

Annex C Terms of Reference for External Monitoring and Evaluation Agency

A. Purpose resettlement monitoring and evaluation

1. According to ADB’s SPS 2009 on involuntary resettlement, the resettlement work of this Project will be subject to external M&E. The monitoring will ensure that the resettlement processes are being implemented in accordance with the requirements set out in Resettlement Plans (RPs). The external M&E will also undertake an evaluation of changes in peoples’ standard of living as a result of the project and project-related LAR activities.

2. A TOR is drafted and a specialist with 8~10 years of relevant social and resettlement experience will be engaged by CQS method.

3. M&E reports will be submitted to ADB and the PMO of Ningxia Hui Autonomous Region Transport Department regularly twice a year during the land acquisition and resettlement (LAR) implementation period and once a year following LAR completion. Through external M&E, ADB and the EAs can fully understand if the LAR work is implemented on schedule and according to the quality standard, point out existing issues, and propose suggestions for improvement.

B. Scope and Methods of External Monitoring

(i) Baseline Survey

4. The external monitor will undertake a baseline survey of the villages affected by land acquisition and house demolition of the Project, and collect baseline data on the production level and standard of living of the monitored displaced households (standard of living, production, and income levels). The survey methods include follow-up survey of sample households (minimum sample size: 10% of households affected by land acquisition, 20% of households affected by house demolition, 40% households significantly affected, 50% of affected villages; the households will be sampled randomly). A statistical analysis will be made on this basis for evaluation.

(ii) Regular Monitoring and Evaluation

5. During the RP implementation, the external monitor will perform regular follow-up resettlement monitoring of the following activities twice a year through field observation, follow- up survey of the sample households, and random interview with affected persons. The external monitor will monitor:

 the progress of disbursement of compensation for LAR and house demolition;  the progress of selection and preparation of resettlement sites including provisions for civic amenities, construction of new houses, and adequacy of construction;

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 institutional capacity of the resettlement office—adequate trained staffing, office space and equipment, and provisions for ongoing training;  financial capacity of the PMO and IAs, particularly the budgetary arrangements and cash flow for resettlement activities;  the process of public participation and consultation, ensuring that the public participation and consultation schedule is being followed and outcomes are being incorporated in resettlement implementation process;  the functioning of the GRM;  the progress of livelihood rehabilitation plans and training, restoration of productive assets, and livelihood systems;  rehabilitation of affected shops;  that the vulnerable groups are being provided support in accordance to the criteria set out in the RP;  the progress of restoration and reconstruction of infrastructure and special  facilities;  implementation schedule for the RP activities; and  the overall RP implementation process and if any significant involuntary resettlement are identified, the agency will prepare a corrective action plan to address such issues

6. In addition, the external monitor will be responsible for verifying the internal monitoring reports of IAs on implementation and progress of the RPs. These internal monitoring reports are prepared by the IAs and the PMO as part of the quarterly progress report.

7. On the basis of the baseline survey, the external monitoring agency will evaluate the project impacts and will provide a “without” and “with” project comparative analysis.

(iii) Monitoring Indicators

8. The following indicators shall be monitored and evaluated in accordance with principles, entitlements, and rehabilitation strategies/plans set out in the RPs:

 Progress: including preparation, implementation of land acquisition, house demolition, resettlement site construction, housing relocation and rehabilitation of livelihoods and living conditions;  Quality: including resettlement implementation, civil construction quality, timeliness, minimal disturbance/inconvenience and transition time, and degree of APs’ satisfaction;  Entitlements: timely allocation of full compensation entitlements and proper and timely use of funds, and adequate and timely availability of funds for resettlement site construction;  Economic/income conditions: household economic development before and after resettlement, including assets, production materials, subsistence materials, income, savings and debts, income generation potential, etc.;

 Living conditions: living environment before and after resettlement, including traffic, education, sanitation, social services, commercial service facilities, etc. in the new resettlement sites;  Livelihood/employment: change in livelihood (income sources) and employment, including employment rate, assistance to the different APs, especially for women, and vulnerable APs, and seriously-affected households, such as those at risk of impoverishment due to land loss or housing loss; training and skill enhancement;  Community development: local economy in resettlement sites, environmental development, neighborhood relations and safety, and public opinions (by gender and age groups) after resettlement; and  Conditions of the vulnerable groups and seriously-affected households: including before and after situations of those people.

(iv) Monitoring and Evaluation Method

9. The external monitor will use both quantitative and qualitative methods to undertake the M&E such as:

Surveys – questionnaire surveys based on random sampling with a minimum sample size of 10% of households affected by land acquisition, 20% of households affected by house demolition and 50% of the affected villages. These surveys will be done on annual basis to assess the impact on yearly basis. Out of the above indicated survey population, the external monitor will select a suitable sample size and will undertake follow-up surveys by using tracer survey method. It will require following the same respondents on a yearly basis to assess the project impacts.

Qualitative interviews and focus group discussions – with project affected persons, village and community representatives, officials in PMO, IAs and other government departments that are involved in the resettlement process; and, Along with written materials, photos, audio and video records, real objects shall also be used.

C. Reporting

10. The RP monitoring report will include: (i) Summary of findings and conclusion of investigations and evaluation; (ii) Major problems identified (existing and potential); (iii) Recommended mitigation or prevention measures which need to be taken; and (iv) Assessment of previous follow-up actions.

11. Reports will be submitted to ADB every 6 months during the resettlement implementation. After the preparation of resettlement completion reports, annual evaluations will be conducted for 2 years, or until all issues have been successfully resolved. The final evaluation report should summarize monitoring results and should clearly establish whether resettlement has been successfully completed.

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12. All reports will be provided in English and Chinese. It should be ensured that information on the progress and status on all aspects of LAR activities will be provided to the external monitor for verification, including records of grievances.

D. Consultant Specifications and Inputs

13. The specialist shall have a degree in a relevant subject (sociology, anthropology, or related subject) with 8~10 years’ experience in M&E of projects funded by ADB or other international development funding agencies. The consultant’s inputs will be spread intermittently over the life of the Project for a total of 6 months.

E. Monitoring Budget

14. A total budget for RP is about $150,000.

Annex D Description on land occupation and land acquisition and demolition of Longde subproject

Longde county government plans to implement the Zhangtian–Jinglin–Yangchuan road. According to design criterion of road, the road will be 12 km long, with subgrade 7.5 m wide and pavement 6.5 m wide. The road will occupy 308.2 mu in total.

The road is a reconstruction and expansion project on the basis of the original Zhangtian–Jinglin–Yangchuan Road. Road expansion has been considered when the old road was constructed, and the actual occupation area of the old road has reached up to 320 mu. Hence, the acquired land of this road has been included in the land occupation scope of old road, and new increase in land acquisition is not required. Based on the actual conditions on site, there are a few ground attachments and special facilities on both sides of the old road, such as sporadic trees, electric poles and electric wires, etc. During the construction, the attachment and special facilities shall be removed. Besides, there is no affected population within the project implementation area.

Longde Transport Bureau