48443-002: Hunan Xiangjiang River

Resettlement Plan

May 2018

People’s Republic of China: Hunan Xiangjiang River Watershed Existing Solid Waste Comprehensive Treatment Project --- Changning Subproject

Prepared by The People’s Government of Changning for the Asian Development Bank.

CURRENCY EQUIVALENTS (as of 30 April 2018) Currency unit – yuan (CNY) CNY1.00 = $0.15 8 $1.00 = CNY6.334

ABBREVIATIONS

AAOV – average annual output value ADB – Asian Development Bank DI – design institute EA – executing agency FSR – feasibility study report HD – House demolition HPG – Hunan Provincial Government IA – implementing agency LA – land acquisition LAR – land acquisition and resettlement LRB – Land and Resources Administration Bureau RP – resettlement plan SES – social and economic survey SPS – ADB’s Safeguard Policy Statement (2009)

WEIGHTS AND MEASURES

m2 – square meter mu – 1 mu is equal to 666.7 m 2 km – kilometer

NOTE In this report, "$" refers to United States dollars. 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.

Table of Contents

EXECUTIVE SUMMARY ...... I

1. PROJECT OVERVIEW ...... 1

1.1. PROJECT BACKGROUND ...... 1

1.2 PROJECT IMPACT SCOPE AND LOCATION ...... 1

1.3 MEASURES TO AVOID OR MINIMIZE LAND ACQUISITION ...... 2

2. SCOPE OF LAND ACQUISITION AND RESETTLEMENT IMPACTS ...... 3

2.1 INVESTIGATION METHOD AND PROCESS ...... 3

2.2 PROJECT IMPACT SCOPE AND OVERVIEW ...... 3

3. SOCIAL AND ECONOMIC STATUS OF PROJECT AREA ...... 5

3.1 SOCIAL AND ECONOMIC STATUS OF HUNAN PROVINCE ...... 5

3.2 SOCIAL AND ECONOMIC STATUS OF CHANGNING ...... 5

3.3 SOCIAL AND ECONOMIC CONDITIONS OF AFFECTED VILLAGE GROUPS ...... 6

4. LEGAL AND POLICY FRAMEWORKS ...... 7

4.1 INTRODUCTION TO LAWS & REGULATIONS AND POLICIES FOR RESETTLEMENT . 7

4.2. INVOLUNTARY RESETTLEMENT POLICY OF ADB ...... 8

4.3. DIFFERENCES BETWEEN ADB POLICIES AND DOMESTIC ONES ON LA ...... 8

5. RESETTLEMENT PRINCIPLE AND COMPENSATION ELIGIBILITY ...... 11

5.1. COMPENSATION STANDARD ...... 11

5.1.1 COMPENSATION STANDARD FOR PERMANENT LAND ACQUISITION ...... 11

5.1.2 COMPENSATION FOR YOUNG CROPS ...... 12

5.1.3 OTHER SUPPORT ...... 12

5.2 ENTITLEMENT MATRIX ...... 13

6 RECOVERY AND RESETTLEMENT MEASURES ...... 14

6.1. INCOME RESTORATION PLAN FOR VILLAGES ...... 14

7. ORGANIZATIONS AND THEIR RESPONSIBILITIES ...... 15

7.1. ORGANIZATIONS ...... 15

7.2. RESPONSIBILITIES OF ORGANIZATIONS ...... 15

8. RESETTLEMENT BUDGET ...... 18

8.1. RESETTLEMENT BUDGET ESTIMATE ...... 18

8.2. RESETTLEMENT FUND MANAGEMENT AND APPROPRIATION ...... 19

9. PUBLIC PARTICIPATION AND CONSULTATION ...... 20

9.1. PUBLIC PARTICIPATION ...... 20

9.1.1. PUBLIC PARTICIPATION DURING PROJECT PREPARATION ...... 20

9.1.2. PARTICIPATION PLAN DURING IMPLEMENTATION ...... 21

10. RESETTLEMENT IMPLEMENTATION PLAN ...... 23

10.1. RESETTLEMENT IMPLEMENTATION PRINCIPLES ...... 23

10.2. RESETTLEMENT SCHEDULE ...... 23

11. MONITORING AND EVALUATION ...... 25

APPENDIX 1: DUE DILIGENCE REPORT OF RESETTLEMENT ...... 26

1 PROJECT BACKGROUND ...... 26

2 PREPARATION OF DUE DILIGENCE REPORT ...... 26

3 IMPACT SCOPE ...... 26

4.1 CHANGNING TIETANG SOLID WASTE LANDFILL ...... 27

4.2 LAND FOR 4 WASTE TRANSFER STATIONS ...... 29

5 SOCIO-ECONOMIC INFORMATION ...... 30

5.1 TIETANG EXISTING SOLID WASTE LANDFILL ...... 30

5.2 WASTE TRANSFER STATIONS ...... 30

6 INFORMATION DISCLOSURE AND PARTICIPATION ...... 30

7 APPROVAL OF LAND ACQUISITION ...... 32

7.1 CHANGNING TIETANG SOLID WASTE LANDFILL ...... 32

7.2 CHANGNING WASTE TRANSFER SYSTEMS ...... 32

8 COMPENSATION FOR LAND ACQUISITION AND RESETTLEMENT ...... 33

8.1 CHANGNING TIETANG SOLID WASTE LANDFILL ...... 33

8.2 CHANGNING WASTE TRANSFER SYSTEMS ...... 33

9 GRIEVANCE REDRESS MECHANISM ...... 34

10 CONCLUSIONS AND SUGGESTIONS ...... 34

Executive Summary

1. Overview of Project

Hunan Xiangjiang River Watershed Existing Solid Waste Comprehensive Treatment Project (Project) consists of six outputs: (i) On-site closures of existing solid waste landfills in nine counties (or districts/county-level cities); (ii) Mining of two existing municipal solid waste (MSW) landfills in two counties; (iii) Urban-rural integrated MSW management systems established in eight counties; (iv) Existing sanitary landfills upgrading in four counties; (v) Kitchen waste treatment in 2 districts; and (vi) Capacity development and institutional strengthening of all 11 project counties . The project outputs (i), (ii), (iii), (iv) and (v) will involve land acquisition or occupation, but no residential house demolition, while Output (vi) will not involve any land acquisition and resettlement.

Changning City Existing Solid Waste Comprehensive Treatment Project (Changning Subproject) is one of 10 subprojects of Hunan Xiangjiang River Watershed Existing Solid Waste Comprehensive Treatment Project (Project). Changning Subproject involved three outputs: Outputs (i), (iii) and (vi) in the Project, in which Output (i) On-site closures of existing solid waste landfill; and (iii) Urban-rural integrated MSW management systems established will involve land acquisition or occupation, but no residential house demolition.

Output (i) of Changning Subproject will involve renting the existing solid waste landfill during the construction of closure of the landfill. The budget for renting the landfill is included in this resettlement plan (RP). Output (iii) will construct a total of 17 garbage collection and transfer stations in a total of 16 towns (or streets, subdistricts), of which, 13 out of 17 garbage collection and transfer stations will involve new land acquisition (LA) so this resettlement plan (RP) was prepared, while other 4 stations will be constructed on state owned land. Therefore, a due diligence report (DDR), as one of Appendices of the RP, was prepared to identify and describe the land for the 4 garbage collection and transfer stations and the land for the existing landfill.

2. Scope of Resettlement Impacts

According to the feasibility study report (FSR, version of 5 February 2018) of the Subproject, the Subproject needs to acquire and occupy a total of 140.52 mu land: (i) 60 mu of land of existing Changning City Tietang Solid Waste Landfill to be rented for the construction of closure of the landfill; (ii) 14.62 mu of state owned land for the construction of 4 garbage collection and transfer stations; and (iii) 65.9 mu of collective land for the construction of 13 garbage collection and transfer stations in rural area of Changning. The land in item (i) was rented before and (ii) acquired before, and presented in the DDR, while the land for item (iii) will be acquired during project implementation as identified in the RP.

The existing solid waste landfill is on a waste land owned by village groups. It is not allocated to any villagers. No structure is on the land. So, it will not affect any people directly. The construction of 13 garbage transfer stations in the rural area of Changning needs to acquire collective land of a total of 65.9 mu permanently. All of the land is collective land owned by

village groups but were not allocated to any individuals or households. Therefore, no person will be affected by the land acquisition directly.

The land acquisition will involve 13 village groups of 13 villages in 12 towns (or streets, subdistricts) of Changning City. The Subproject will not involve any residential house demolition, temporary land occupation and enterprises or small businesses.

3. Policy Framework

The RP is prepared in accordance with laws, regulations and policies related to land acquisition of the PRC, Hunan Province, and Hengyang City and Changning City as well as the Involuntary Resettlement of Safeguard Policy Statement of ADB (SPS 2009). The land to be acquired and rented will be compensated to the affected village groups.

4. Compensation Standards

The compensation standards for permanent land acquisition are calculated according to location and type of land to be acquired. According to the Notice of Hunan Provincial People’s Government on Adjustment of Compensation Standards for Land Acquisition in Hunan Province (XZF [2012] No. 46), the compensation standards for the land involved in the project are (i) CNY 22,500 – 45,000/mu for different land types in the project towns in Region I 1, (ii) CNY 19,000 – 38,000/mu for different land types in the project towns in Region II, and (iii) CNY 16,500 – 33,000/mu for different land types in the project towns in Region III.

The compensation rates for young crops affected by the Subproject are based on the Measures for Compensation and Resettlement of Collective Land Acquisition and House Demolition in Hengyang City (HZBF [2015] No. 73), the compensation is made at lump sum prices. The compensation standard is RMB 3,000/mu for cultivated land, forest land and garden land, and RMB 1,000/mu for unused land.

The rental for using the landfill land will be based on negotiation between the IA, the land user, and affected villagers’ groups. According to the current local market, RMB 2,300/mu is used as reference for the rental and calculation budget in the RP.

5. Public Consultation and Grievance Redress Mechanism

During the RP preparation, public consultation on land acquisition and compensation policies as well as the project design was conducted in the affected villages. Representatives of affected village groups understand and will support the Subproject.

A grievance redress mechanism was established to resolve complaints on the land acquisition. Affected village groups express their complain on the land acquisition and building demolition to (i) the project town governments; and then (ii) Changning Project Management Office (PMO)/Changning Land and Recourses Bureau (LRB) if they are not satisfactory with the town governments’ solution. They can directly appeal to the People's Court for any aspect of the

1 Location I, II and III is defined in the main text of the RP. II

resettlement at any time (not limited by the above-mentioned two stages). All the complaints and solutions to them are kept by the Changning PMO.

6. Implementation

The RP was prepared based on the FSR and will be updated according to detailed measurement survey (DMS) which is conducted after detailed construction drawings of the Subproject is completed. The RP implementation will start from July 2018 and end by December 2020. The Changning PMO is responsible for the RP implementation incorporating with Changning LRB and project town governments.

7. Resettlement Budget

It is estimated that the compensation for LAR of the Subproject is CNY7,479,503. It includes CNY1,637,750 for permanently acquired land (accounting for 22% of the total resettlement budget), CNY137,700 for young crop (trees) compensation (accounting for 2% of the total), CNY 500,000 for other expenses (including RP preparation and design fees, implementation and management fees, training and M&E fees) (accounting for 6.68% of the total), CNY3,972,099 for taxes and fees (accounting for 53% of the total), CNY552,000 for renting the landfill land (accounting for 7% of the total), and CNY679,955 as contingencies (accounting for 10% of the basic cost).

8. Monitoring and Evaluation

To ensure smooth implementation of the land acquisition, monitoring will be carried out on a regular basis. Changning PMO is responsible for monitoring and reporting; and semi-annual monitoring reports will be submitted to the Hunan Provincial ADB Project Management Office (HPMO) which will then be submitted to ADB. After completion of the land acquisition activities, a resettlement completion report will be submitted to ADB.

III

1. Project Overview

1.1. Project Background

1. Hunan Xiangjiang River Watershed Existing Solid Waste Comprehensive Treatment Project (Project) is to improve environment of the Hunan Xiangjiang river watershed by closing existing municipal solid waste landfills (MSW), upgrading existing sanitary landfills, establishing urban-rural integrated MSW management systems, and strengthening MSW management capacity of the project counties.

2. The Project consists of six outputs: (i) On-site closures of existing solid waste landfills in nine counties (or districts/county-level cities); (ii) Mining of two existing municipal solid waste (MSW) landfills in two counties; (iii) Urban-rural integrated MSW management systems established in eight counties; (iv) Existing sanitary landfills upgrading in four counties; (v) Kitchen waste treatment in 2 districts; and (vi) Capacity development and institutional strengthening of all 11 project counties . The project outputs (i), (ii), (iii), (iv) and (v) will involve land acquisition or occupation, but no residential house demolition, while Output (vi) will not involve any land acquisition and resettlement.

3. Changning City Existing Solid Waste Comprehensive Treatment Project (Changning Subproject) is one of 10 subprojects of Hunan Xiangjiang River Watershed Existing Solid Waste Comprehensive Treatment Project (Project). Changning Subproject involved three outputs: Outputs (i), (iii) and (vi) in the Project, in which Output (i) On-site closures of existing solid waste landfill ; and (iii) Urban-rural integrated MSW management systems established will involve land acquisition or occupation, but no residential house demolition.

4. Output (i) of Changning Subproject will involve renting the existing solid waste landfill during the construction of closure of the landfill. The budget for renting the landfill is included in this resettlement plan (RP). Output (iii) will construct a total of 17 garbage collection and transfer stations in a total of 16 towns (or streets, subdistricts), of which, 13 out of 17 garbage collection and transfer stations will involve new land acquisition (LA) so this resettlement plan (RP) was prepared, while other 4 stations will be constructed on state owned land. Therefore, a due diligence report (DDR), as one of Appendices of the RP, was prepared to identify and describe the land for the 4 garbage collection and transfer stations and the land for the existing landfill.

5. The Subproject is located in Changning City of Hengyang City, Hunan Province. The closure of existing Changning Tietang Solid Waste Landfill will be conducted in Tietang Village of Lanjiang Township. The construction of 17 garbage collection and transfer stations will be conducted in 17 villages in 16 towns.

1.2 Project Impact Scope and Location

6. According to the feasibility study report (FSR, version of 5 February 2018) of the Subproject, the Subproject needs to acquire and occupy a total of 140.52 mu land: (i) 60 mu of land of existing Changning City Tietang Solid Waste Landfill to be rented for the construction of closure of the landfill; (ii) 14.62 mu of state owned land for the construction of 4 garbage 1

collection and transfer stations; and (iii) 65.9 mu of collective land for the construction of 13 garbage collection and transfer stations in rural area of Changning. The land for item (i) was rented before and the land for item (ii) was acquired before, and presented in the DDR, while the land for item (iii) will be acquired during project implementation as identified in the RP.

7. The existing solid waste landfill is on a waste land owned by Tietang village. It is not allocated to any villagers. No structure is on the land. So, it will not affect any villagers directly. The construction of 4 garbage transfer stations will occupy a total of 14.62 mu of state owned land in 4 villagers’ groups in 4 villages in 4 towns. The construction of 13 garbage transfer stations in the rural area of Changning needs to acquire collective land of a total of 65.9 mu permanently. All of the land is collective land owned by village groups but were not allocated to any individuals or households. Therefore, no person will be affected by the land acquisition directly.

8. The land acquisition will involve 13 village groups of 13 villages in 12 towns (or streets, subdistricts) of Changning City. The Subproject will not involve any residential house demolition, temporary land occupation and enterprises or small businesses.

1.3 Measures to Avoid or Minimize Land Acquisition

9. In order to avoid or minimize impacts of the LAR, selection of location and land for construction of the garbage transfer stations adopted the following principles:

(i) Keep garbage transfer stations over 200 m away from farmers’ houses; (ii) Avoid or minimize acquisition of existing cultivated land, or land with production and residential house demolition; and (iii) Try to use wasteland (non-productive land) as much as possible. 10. After comprehensive consideration of different design schemes, the wasteland or open forest land is recommended in most schemes to be the project land, and cultivated land is involved in a few parts.

2. Scope of Land Acquisition and Resettlement Impacts

2.1 Investigation Method and Process

11. At present, the impact scope of the LA of the Subproject is determined according to the project design scope of the feasibility study and the preliminary survey in the project field. The RP preparation team has confirmed the impact scope through interview with affected village groups and field surveys.

12. When the implementing agency (IA) organized the feasibility study of the Subproject, the design institute (DI) have preliminarily investigated the social and economic profile and the impact scope of the affected area and asked for the opinions of local governments and villagers in affected villages.

13. In December 2017, on the basis of the feasibility study on village groups, land and physical quantity affected by the LA of the Subproject, the RP preparation team interviewed with village committees and group leaders on social and economic development levels of the affected area.

2.2 Project Impact Scope and Overview

14. The LA of the Subproject will impact on 13 village groups in 13 administrative villages of 12 towns (or streets, subdistricts), as shown in Table 2-1. The total area of 65.9 mu lands needs to be acquired permanently for the Subproject and all lands including cultivated land, forest land and waste land are owned by the village groups as collectively owned land, not allocated to villagers. The Subproject will not involve any residential house demolition, temporary land occupation and enterprises or small business.

Table 2-1 Impact of Permanent Land Acquisition

Land Area and Type To Be Acquired (mu) Group of Ownershi Town / street Village Waste or Village Subtotal Paddy Dry land Forest Garden Pond p Unused Land Yintian Town Fengyuan Village Group 2 5 0 0 5 0 0 0 Miaoqian Town Quanjing Village Group 5 8 3.5 3.5 1 0 0 0 Banqiao Town Qunyi Village Group Guji 5 0 0 0 5 0 0 Shengqiao Town Shengqiao Village Group Xiajie 4.9 0 0 4.9 0 0 0 Collectively Dabao Township Longfeng Village Group Lijia 3 0 0 0 0 3 0 -owned Tashan Yao Township Shiyuan Village Group 2 3 0 0 0 0 3 0 land and Lanjiang Township Hutang Village Group Xintang 3 0 0 0 3 0 0 not Peiyuan Street Huxi Village Group Huangjia 3 0 0 0 0 3 0 allocated Shuikoushan Street Sanxiang Village, Xinhua Village Group 2, 3 8 0 0 3 0 5 0 to villagers Quanfeng Street Xialian Village Group Qingshui 15 0 0 5 0 0 10 Sanjiaotang Town Sanjiaotang Village Group 7 5 0 0 5 0 0 0 Baisha Town Yangshi Village Group 15 3 0 0 2 0 1 0 Total 65.9 3.5 3.5 25.9 8 15 10

3. Social and Economic Status of Project Area

3.1 Social and Economic Status of Hunan Province

15. Hunan Province, located in the middle reaches of Yangtze River, is the hinterland of southeast China, covering a land area of 211,800 km2. The province administrates 13 cities, 1 autonomous prefecture and 122 counties (or county level cities and districts), with 66.29 million permanent residents. The regional GDP of the province in 2016 was CNY3124.47 billion. Per capita disposable income of urban residents was CNY 31,284, while per capita disposable income of rural residents was CNY 11,930.

3.2 Social and Economic Status of Changning

16. Changning City, located in the south of Hunan Province, has a total area of 2,046.6 km 2. It administrates 14 towns, 4 townships and 3 streets (subdistricts). In 2016, it had a total population of 1,010,000. The regional GDP of the city exceeded CNY 29.667 billion. The GDP per capita was CNY32,424, per capita disposable income of urban residents was CNY25,314 and the per capita net income of rural residents was CNY12,812.

17. Refer to Table 3-1 for comparison of the social and economic status between Hunan Province and Changning City.

Table 3-1 Basic Social and Economic Information of Hunan Province and Changning City

Hunan Changning Area Increase Rate Increase Rate Province City Total registered population at the end of the year (10,000 7,090 - 101 - persons) Territory area (km 2) 211,800 - 2,046.6 - GDP per capita (CNY) 45,931 7.30% 32,424 10% Per capita disposable income 31,284 8.50% 25,314 8.90% of urban residents (CNY) Per capita net income of rural 11,930 8.50% 12,812 9.10% residents (CNY) Regional GDP (CNY 100 177,558.8 10.70% 296.67 9.00% million) Total agricultural output value 2,276.6 3.60% 47.26 3.80% (CNY 100 million) Industrial added value (CNY 11,177.3 6.60% 108.88 6.40% 100 million) Local fiscal revenue (CNY 100 26,977.9 7.30% 16.31 15.60% million)

Data source: Statistic yearbook 2016 of Hunan Province and statistic yearbook 2016 of Changning City

18. According to the table above, in 2016, the GDP per capital and the per capita disposable income of urban residents of Changning were slightly lower than the average level of Hunan

Province, while the per capita net income of rural residents of Changning was slightly higher than the average level of Hunan Province. The table shows that Changning City was below the average among all districts and counties of Hunan Province in economic comprehensive development level.

3.3 Social and Economic Conditions of Affected Village Groups

19. The Subproject will impact on 3 streets (subdistricts) and 9 towns of Changning City, namely Peiyuan Street, Shuikoushan Street, Quanfeng Street, Sanjiaotang Town, Baisha Town, Yintian Town, Miaoqian Town , Banqiao Town, Shengqiao Town, Dabao Township, Tashan Yao Township, and Lanjiang Township.

20. Basic social and economic situations of the affected village groups are summarized on Table 3-2.

Table 3-2 Basic Social and Economic Situation of the Affected Village Groups in 2016

Per Per Populati Capita capita Househo Sreet / town Village Group on Cultivate incom ld (HH) (person) d Land e (mu) (CNY) Yintian Town Fengyuan Village Group 2 29 106 1.31 12650 Miaoqian Town Quanjing Village Group 5 35 126 1.00 12780 Banqiao Town Qunyi Village Group Guji 43 169 0.49 12950 Shengqiao Town Shengqiao Village Group Xiajie 22 82 0.74 12640 Dabao Township Longfeng Village Group Lijia 17 68 1.09 12610 Tashan Yao Township Shiyuan Village Group 2 18 72 0.62 12100 Group Lanjiang Township Hutang Village 21 89 0.97 13010 Xintang Group Peiyuan Office Huxi Village 25 90 0.74 12980 Huangjia Shuikoushan Subdistrict Sanxiang Village, Xinhua Group 2, 3 47 156 0.76 13020 Office Village Group Quanfeng Office Xialian Village 39 170 1.89 13100 Qingshui Sanjiaotang Town Sanjiaotang Village Group 7 37 133 0.65 12930 Baisha Town Yangshi Village Group 15 36 121 0.95 12560 Total 13 13 369 1,382

Data sources: Changning City Statistic Yearbook of 2016 and field survey .

4. Legal and Policy Frameworks

4.1 Introduction to Laws & Regulations and Policies for Resettlement

21. The resettlement policy of the Subproject is mainly based on the PRC's relevant laws, regulations and policies. Meanwhile, it is also based on relevant policy requirements of the ADB's Safeguard Policy Statement (SPS, 2009) - Requirement 2: Involuntary Resettlement .

22. The compensations for LA in this Subproject will be implemented in strict accordance with the compensation standards and related regulations and policies as determined in this RP. If there are any changes in the laws and regulations on the compensations of the PRC and Hunan Province during the implementation of resettlement, the updated laws and regulations and policies will be implemented and the IA shall promptly update and report the RP to ADB. After approval by ADB, the plan can be implemented formally. Legal and policy frameworks of the project are shown in Table 4-1.

Table 4-1 Summary of Relevant Policies and Laws & Regulations

Policy Relevant Laws & Regulations Effective Date Level

Revised on August Land Administration Law of the People's Republic of China 28, 2004

Guiding Opinion on Improvement of the System for Land Acquisition Compensation and Resettlement (GTZF [2004] November 3, 2004 No. 238)

Provisions on the Hearings in Respect of Land and State Resources issued by the Ministry of Land and Resources of May 1, 2004 China

Decision on Deepening Reform and Strict Land Administration October 21, 2004 of the State Council (GF [2004] No.28)

Notice of the Ministry of Land and Resources on Further Administration of Land Acquisition (Ministry of Land and June 26, 2010 Resources [2010])

Hunan Notice on Further Administration of Rural Collective March 26, 2009 Province Construction Lands (XGTZF [2008] No.15)

Policy Relevant Laws & Regulations Effective Date Level

Notice of People's Government of Hunan Province on Adjustment of the Compensation Standard for Land December 18, 2012 Acquisition in Hunan Province (XZF [2012] No.46)

Notice of General Office of People's Government of Hunan Province on Supervision and Administration of Allocation and July 9, 2008 Usage of Land Requisition Compensation for Rural Collective Economic Organization (XFBF [2008] No.15)

Notice of People’s Government of Hengyang City on Printing and Issuing the Measures for Compensation and December 28, 2015 Resettlement of Collective Land Acquisition and House Hengyang Demolition in Hengyang City (HZBF [2015] No. 73) City Circular on the Notice of Printing and Issuing the Implementation Opinions on Social Security of Land- December 30, 2014 acquisition Farmers in Hengyang City (HZBF [2014] No.43)

ADB’s Safeguard Policy Statement- Requirement 2: ADB June, 2009 Involuntary Resettlement

4.2. Involuntary Resettlement Policy of ADB

23. The objectives of the involuntary resettlement safeguards of ADB are (i) to avoid involuntary resettlement wherever possible; (ii) to minimize involuntary resettlement by exploring project and design alternatives; (iii) to enhance, or at least restore, the livelihoods of all displaced persons in real terms relative to pre-project levels; and (iv) to improve the standards of living of the displaced poor and other vulnerable groups.

4.3. Differences between ADB Policies and Domestic Ones on LA

24. The main aspects of the legal system include the collective land acquisition, the procedures for transferring collective land to the state, house demolition on collective land in rural areas, and house demolition on state-owned land in urban areas triggering the need for compensating and relocating persons, households, and communities. Key gaps between SPS and the PRC’s system and how to the bridge the gaps are as follows:

(i) Lack of identification of the poor and vulnerable groups during the screening process.

Specific to vulnerable households (men, women, ethnic groups), they are identified by the Government as those who belong to the (i) Five-Guarantee program (the elderly, weak, widowed and disabled members who are unable to work and have no means of living, or

whose households lack labor) who are being provided with production and living assistance (e.g. food, clothing, fuel, education and burial expenses) and (i) those eligible for the Minimum Living Guarantee System and are provided with living subsidy each month. Furthermore, identification of the poor and vulnerable households is only done during implementation.

Those who are not considered as vulnerable groups as per Government definition but may become at risk of being vulnerable or experience hardship due to impacts of LA/HD; i.e., may need special support during the transition period (e.g. during relocation such as provision of labor, transport) will also be identified and will be provided with necessary assistance.

In this RP, there are no affected persons.

(ii) Lack of documentation on the consultation and information disclosure activities, and grievances received.

Meetings held at the local levels are often maintained at the local level. Given the roles and responsibilities of the PMO, meetings and interviews held with the affected households are reflected in the RP and will continue to be documented during RP updating and implementation. The grievance redress will also be documented as part of the monitoring reports. Copies of the RP will be placed in village offices.

(iii) Inadequate social and risk analysis as resettlement planning is focused on loss of land and impacts on houses.

Government-funded projects carry out impact assessment but focused mostly on land acquisition and relocation impacts in general and no impact assessment on the socio- economic conditions of households in particular. As per SPS, impact assessment and gender analysis have to be carried out. There is also conduct of socio-economic survey, consultation meetings, and inventory of losses. Such measures will lead to the preparation of project entitlements, relocation, rehabilitation, and gender strategies

For this RP, there are no affected persons.

(iv) Assistance to households who are not eligible for compensation of houses at replacement cost.

Based on the Regulations on the Demolition and Compensation of Houses on State- owned Land (2011), the illegal houses and temporary structures which were constructed after the approval period will not be compensated. However, if the APs belong to the vulnerable groups and in need of housing, they will be assisted in securing affordable housing or low-rent housing which is according to the Regulations to Solve the Housing Difficulties for the Low Income HHs issued by State Council [GF 2007, No 24], affordable housing and low-rent housing should be provided to the households who have housing difficulties. The demolished HHs can apply the affordable housing and low-rent housing.

Compensation for non-land assets will be at replacement cost and provision of resettlement assistance similar to those who have licensed houses provided that the

affected households meet the Project’s cut-off date. If an earlier cut-off date has been established by the Government, the Government’s cut-off date will be followed provided that the following conditions are met: (i) copy of Halt Notice for Land Acquisition and House Demolition/ pre-notice for Land Acquisition and House Demolition published, (ii) documents confirming dissemination of information (billboards, minutes of public meetings, letters to households, newspapers, websites, broadcast, etc), and (iii) confirmation from households that they were informed about the cut-off-date verbally and in writing. For households who are not eligible for compensation for houses at replacement cost, the history or reason why the structure has no certification/license; and their socio-economic conditions and vulnerability will be assessed by the Project (through its local government and concerned bureaus) to determine the necessary assistance that can be provided to them to ensure that they will be able to restore or will not be worse-off.

In this subproject, there is no house demolition.

(v) Inadequate monitoring and reporting arrangements

Audit monitoring (focused on resettlement funds) are done but not on a regular basis. For this project, regular monitoring and semi-annual monitoring reports will be submitted by the implementing agencies to the PMO while the PMO will submit the reports to ADB. Monitoring indicators have been developed.

5. Resettlement Principle and Compensation Eligibility

25. The cut-off date for compensation is the date of LAR announcement. After the cut-off date, settlement, newly cultivated land, newly built houses and any other trees newly planted and facilities newly set up just for extra compensation on the affected areas shall not be counted in the scope of compensation or subsidy for the Subproject.

5.1. Compensation Standard

26. Compensation standards for various influences are hereby made in accordance with related laws, regulations and policies, by considering actual social & economic status of Changning. During the land acquisition of the Project, the compensation standard may be adjusted according to the actual implementation situation, but the adjusted standards will not be lower than the compensation standard specified in this Resettlement Plan .

5.1.1 Compensation Standard for Permanent Land Acquisition

27. The compensation standard for land acquisition and resettlement is made in accordance with provisions and requirements of Decisions of the State Council on Deepening Reform and Stringent Regulation of Land (GF [2004] No.28), Notice of Ministry of Land and Resources of PRC on Printing and Distributing of Comments on Improvements of Compensation and Resettlement Rules for Land Acquisition (GTZF [2004] No.238), Notice of Hunan People’s Government on Adjustment of Compensation Standard for Land Acquisition of Hunan Province (XZF [2012] No. 46), Notice of Hengyang Municipal People’s Government on Printing and Issuing Measures for Collective Land Acquisition and House Demolition Compensation and Resettlement in Hengyang City (HZBF [2015] No. 73).

28. In terms of Notice of Hunan Provincial People’s Government on Adjustment of Compensation Standard for Land Acquisition of Hunan Province (XZF [2012] No. 46), the unified standard for land acquisition compensation fee (including land acquisition compensation fee and resettlement subsidy) of Changning City is: CNY 45,000/mu for Class I Area, CNY 38000/mu for Class II Area, CNY 33000/mu for Class III Area. The coefficient factors of land are 1.0 for pond, 0.8 for dry land and garden land, 0.5 for forest land and 0.5 for waste land (unused land).

29. Changning City did not issue a separate compensation policy for land acquisition and house demolition. Changning have implemented the compensation standards for LAR in accordance with Measures for Collective Land Acquisition and House Demolition Compensation and Resettlement in Hengyang City (HZBF [2015] No. 73), which was prepared according to Hunan Province’s document of XZF [2012] No. 46. The specific compensation standards for the Subproject are as detailed in Table 5-1.

Table 5-1 Compensation Standard for Land Acquisition of Changning City

Affected Land Types Compensation Standard by Land Region (CNY/mu) Remarks and Project Area Region I Region II Region III Paddy land and pond - 38000 33000 Dry land - - 26400 Garden land - - 26400 Affected streets Forestland, waste and 22500 19000 16500 in Region I will unused land involve forestland, waste Fengyuan Village of Yintian Chajian Village of and unused land Dali Village of Town, Miaoqian Village of Quanfeng Street, only. Affected Peiyuan Miaoqian Town, Zhangtang Sanjiaotang streets and towns Street, and Village of Banqiao Town, Village of in Region II will Affected villages of Sanxiang and Shengqiao Village of Shengqiao Sanjiaotang not involve dry streets or towns Xinhua Town, Dabao Village of Dabao Town, and land and garden villages of Township, Shiyuan Village of Shangzhou land. Shuikoushan Tashan Yao Township, and Village of Baisha Street Hutang Village of Lanjiang Town Township

5.1.2 Compensation for Young Crops

30. The compensation standard for young crops and ground attachments in the Subproject is subject to the Measures for Collective Land Acquisition and House Demolition Compensation and Resettlement in Hengyang City (HZBF [2015] No. 73). The compensation standard is CNY3,000/mu for paddy land, dry land, forest land and garden land, and CNY1,500/mu for waste land.

Table 5-2 Compensation Standard for Young Crop in Changning City

Paddy land, dry land, forest Waste land and unused land Land Type land and garden land Compensation for Young Crop CNY 3,000 /mu CNY 1,500 /mu

5.1.3 Other Support

1. In addition to the above, the following will also be provided

a) Social Security Fee. This fee is provided if there are collective village lands affected. The fee will be used for endowment insurance. The fee will be paid to the affected rural collective economic organizations. If in the future their land will be affected by other projects, and the affected households’ per capita cultivated land will be less than 0.2 mu, the funds will be used to subsidize the affected household’s endowment system. The social security fee is RMB 40,000 per mu.

b) Vegetation Fee: The fee is required by forest department for restoring vegetation on other area than the land acquired by the project. Due to the land acquisition, forest (and garden land) land or land with any vegetation will be converted to construction land; the vegetation coverage will be reduced. So forest department needs to find some (waste or unused) land to restore vegetation and maintain the vegetation coverage. It is RMB6,667 per mu.

5.2 Entitlement Matrix

31. The entitlement matrix of the subproject is set up according to related policies above. See Table 5-3.

Table 0-3 Entitlement Matrix

Compensation Type of Degree of Entitled and resettlement Implementation impact impact persons/entities policy A total of 65.9 mu of collective The land land to be compensation acquired (including land permanently, Collective compensation including 3.5 economic and resettlement Permanent mu paddy organizations, subsidy) is: CNY acquisition land, 3.5 mu including 13 22,500/mu in of rural dry land, administrative Region I, CNY collective 25.9 mu villagers in 9 19,000 - land forest land, towns and 3 38,000/mu in The compensation will be paid 8 mu garden streets of Region II, and to village collectives directly. land, 15 mu Changning City CNY 16,500 - Villager conference will be held waste land 33,000/mu in to determine the use of the (non- Region III. compensation, including land productive reallocation or investment for land), and some projects, which shall be 10 mu pond. approved and monitored by high The level institution - town compensation government. Collective standard for economic young crops and organizations, ground including 13 attachment is Young General administrative CNY 3,000/mu crop attachment villagers in 9 for cultivated land towns and 3 and forest land streets of and CNY Changning City 1,500/mu for waste and unused land.

6 Recovery and Resettlement Measures

6.1. Income Restoration Plan for Villages

32. There will be no loss of income since the land to be acquired are not used for productive purposes. The social security fee will paid to the rural collective economic organizations be used for the endowment insurance in the future.

33. The compensation for the land acquisition will be completely paid to the rural collective economic organizations. The use of the compensation will be determined by all village group members through full discussion. The compensation will be mainly used for those presented in Table 6-1.

Table 6-1 Analysis on Influence of Collectively-owned Land Acquisition for the Project

Amount of Type of Subdistrict / Compensatio Village Group Land and Main Application Town n (CNY Area 10,000) Peiyuan 3 mu of Construction of Dali Village Group 4 6.8 Sreet waste land water storage ponds Maintenance of 3 mu of Sanxiang Village Group 3 6.8 public ancestral Shuikoushan forest land temple Sreet 5 mu of Construction of Xinhua Village Group 2 11.3 waste land water storage ponds Construction of 5 mu of sublateral canal for Quanfeng Kuangchong paddy filed Chajian Village 57.0 irrigation and Sreet Village and 10 mu of maintenance of pond cultural room Sanjiaotang Sanjiaotang 5 mu of Construction of Group 7 9.5 Town Village forest land water storage ponds 2 mu of Construction of Shangzhou forest land Baisha Town Group 2 5.7 water well in water Village and 1 mu of storage pond waste land 5 mu of Maintenance of Yintian Town Fengyuan Village Group 2 8.3 forest land cultural room 3.5 mu of paddy filed, Miaoqian 3.5 mu of dry Maintenance of Miaoqian Village Group 4 22.4 Town land and 1 cultural room mu of forest land Construction of Banqiao 5 mu of dry Zhangtang Village Group 3 13.2 sublateral canal for Town land irrigation Shengqiao 4.9 mu of Construction of Shengqiao Village Group Xiajie 8.1 Town forest land water storage ponds Construction of Dabao 3 mu of Dabao Village Group 1 5.0 sublateral canal for Township waste land irrigation Tashan Yao 3 mu of Construction of Nationality Shiyuan Village Group 2 5.0 waste land water storage ponds Township Lanjiang 3 mu of Maintenance of Hutang Village Group Xinwu 5.0 Township waste land clinic

7. Organizations and Their Responsibilities

7.1. Organizations

34. The ADB-Loan Project Management Office of Changning City of Hunan Province, Changning Land and Resource Administration Bureau, and responsible departments of all affected towns will participate in and assist with the resettlement. The 12 project affected towns and subdistricts will have 1 ~ 3 main leaders assigned to take responsibility for the resettlement. Organizations responsible for the land acquisition and resettlement include:

(i) Changning ADB-Loan Project Management Office;

(ii) Land Acquisition Center of Changning Land and Resources Administrative Bureau;

(iii) Urban Administrative and Law Enforcement Bureau / Domestic Waste Management Headquarters;

(iv) Town Government Offices of 12 project affected towns or streets;

(v) Village Collective committees (or residents committees) of 13 affected villages;

7.2. Responsibilities of Organizations

1) Changning ADB-Loan Project Management Office

35. As the resettlement coordination and management organization of the Project, Changning ADB-Loan Project Management Office is mainly responsible for the resettlement management, planning, coordination and supervision:

(i) Provide coordination, management and supervision services during the implementation of the Project;

(ii) Report the implementation progress of the Project to Hunan Provincial Project Management Office and ADB;

(iii) Assist with preparing the Report on Implementation of Resettlement Plan;

(iv) Coordinate and supervise the implementation of resettlement plan.

2) Land Acquisition Office of Changning Bureau of Land and Resources;

36. It is mainly responsible for guiding the resettlement of the Project, formulating resettlement policies for the project area, and coordinating the relationships among resettlement agencies at all levels.

(i) Coordinate the works of all related government departments at the preparation and implementation stages of the Project;

(ii) Make decisions on major issues concerning project construction and resettlement;

(iii) Implement resettlement activities according to the Resettlement Plan approved by ADB;

(iv) Handle procedures related to land acquisition and demolition;

(v) Publicize resettlement policies of the Project;

(vi) Arrange for public participation;

(vii) Put the resettlement program into practice, and report to the client and the Project Office for filing.

3) Urban Management Bureau / Domestic Waste Management Headquarters

37. Main responsibility is for internal monitoring and management of the resettlement activities, including:

(i) Organize the project procurement;

(ii) Recruit a resettlement preparation institute to prepare the resettlement plan;

(iii) Assist in the field survey for reparation of the resettlement plan;

(iv) Coordinate implementation of the resettlement;

(v) Monitor and manage the resettlement activities .

4) 12 Town (Street) Government offices

38. The government offices of the towns are responsible for:

(i) Conduct land acquisition;

(ii) Coordinate relevant departments to solve disputes occurring during the implementation of the Project;

(iii) Participate in the handling of grievances and complaints during the resettlement;

(iv) Supervise the payment of compensation.

5) Affected Village Collective Committees

39. The responsibilities of village committees (or community committees) and village groups of the project affected villages and communities are:

(i) Participate in the investigation on social and economic impacts as well as project impacts;

(ii) Arrange for public consultation and publicize compensation policies;

(iii) Report opinions and suggestions to relevant superior departments;

(iv) Report the progress of resettlement.

6) Internal supervision organization

7) Hunan Provincial Project Resettlement Office is provided with a land acquisition and resettlement internal supervision team consisting of 5 staffs. The responsibilities of the internal supervision team are as follows:

Ensure the implementation of land acquisition and resettlement of each village as scheduled in accordance with the Resettlement Plan;

Strive to guarantee all rights and interests of each project-affected village group (person);

Conduct supervision according to the requirements on internal supervision for resettlement as specified in the Resettlement Plan, and incorporate supervision results into the project progress report;

Review and instruct internal resettlement monitoring report provided by Changning Project Office.

8. Resettlement Budget

8.1. Resettlement Budget Estimate

40. It is estimated that the compensation for LAR of the Subproject is CNY7,479,503. It includes CNY1,637,750 for permanently acquired land (accounting for 22% of the total resettlement budget), CNY137,700 for young crop (trees) compensation (accounting for 2% of the total), CNY 500,000 for other expenses (including RP preparation and design fees, implementation and management fees, training and M&E fees) (accounting for 6.68% of the total), CNY3,972,099 for taxes and fees (accounting for 53% of the total), CNY552,000 for renting the landfill land (accounting for 7% of the total), and CNY679,955 as contingencies (accounting for 10% of the basic cost). Refer to Table 8-1 for the detail of resettlement fund estimate.

Table 8-1 Resettlement Budget

Amount in S/N Item Unit CNY / Unit Qty. Total (CNY) Part I Permanent land acquisition CNY 65.9 1637750 Forest land and waste land in 1.1 mu 22500 11 247500 Region I 1.2 Paddy filed and pond in Region II mu 38000 15 570000 Forest land and waste land in 1.3 mu 19000 8 152000 Region II 1.4 Paddy filed in Region III mu 33000 3.5 115500 Dry land and garden land in Region 1.5 mu 26400 8.5 224400 III Forest land and waste land in 1.6 mu 16500 19.9 328350 Region III Part II Young crops and forest CNY 55.9 137700 2.1 Paddy field mu 3000 8.5 25500 2.2 Garden land and dry land mu 3000 8.5 25500 2.3 Forest land mu 3000 23.9 71700 2.4 Waste land mu 1000 15 15000 Part III Other related fees CNY 500000 Planning and design fees 3.1 (preparation of resettlement plan CNY 100000 and due diligence report) 3.2 Implementation management fee CNY 200000 Technical training fee (for project 3.3 CNY 100000 personnel) 3.4 Supervision and evaluation fees CNY 100000 Part IV Other taxes CNY 3972099

Amount in S/N Item Unit CNY / Unit Qty. Total (CNY) 4.1 Cultivated land occupation tax 972757 4.1.1 Cultivated land and garden land mu 17333 17 294661 4.1.2 Other agricultural land mu 13867 48.9 678096 4.2 Cultivated land reclamation fee mu 12000 17 204000 4.3 Forest vegetation restoration fee mu 6667 23.9 159341 4.4 Social security fee mu 40000 65.9 2636000 Subtotal (Part I~Part IV) CNY 6247549

Part V Renting the landfill land (4 years) mu 9200 60 552000

Subtotal (Part I~Part V) 6799549 Part VI Contingency CNY 10% 679955 Total 7479503

41. According to the project construction plan, the People's Government of Zixing is responsible for the raising and payment of resettlement fund of the Project. It is expected that the resettlement fund will be put into use in 2018-2019.

8.2. Resettlement Fund Management and Appropriation

42. The disbursement procedure of the compensation fund is as follows: The People's Government of Changning will disburse all compensation fund to Changning Land Acquisition Office (e.g. Land Acquisition Center of Land and Resources Bureau) which will directly pay the cost of compensation for collectively-owned land acquisition to the collective economic organizations. The collective economic organizations will hold a villager conferences to discuss the application of the compensation.

43. The disbursement of compensation fund shall be subject to the supervision and management of Hunan Provincial Audit Office.

(i) All the costs related to land acquisition and resettlement will be included in the general cost of the Project. The compensation for land acquisition and resettlement and related costs will be paid to relevant organizations by the Land Acquisition Center of Changning Land and Resource Administration Bureau.

(ii) The payment of the compensation for land acquisition and resettlement allowances shall be finished before conducting the land acquisition and resettlement.

(iii) To ensure smooth implementation of the land acquisition and resettlement, financial and supervision organizations at all levels will be established to ensure disbursement of all fund in place on time.

9. Public Participation and Consultation

9.1. Public Participation

9.1.1. Public Participation during Project Preparation

44. Since June 2017 2, the project design institute and the land acquisition investigation team have conducted a series of social and economic investigation and public consultation. The project office, implementation agency (IA) and design institute (DI) negotiated extensively on project LAR, to further confirm land acquisition policies.

Table 9-1 Public Participation during Project Preparation

Item Method Dates Participant Topic Main Results

The project- affected villagers groups knew To understand the range of the background, scale project area; 35 persons from and impacts of Clients of the December project impacts Meeting the Changning the Project; Project 2017 were estimated; Government introduce ADB’s relevant relevant policy departments and requirements understand ADB's relevant requirements.

There was a clear understanding of 37 village social and representatives To know about economic including village- general social and conditions of the Villagers level cadres and economic project-affected Symposium December with village- Group villager conditions of the villages and 2017 level cadres Meetings representatives project-affected communities in in 13 project- villages and the project area affected village communities. as well as groups distribution scheme of land compensation.

10 public To collect data Relevant support Interview with December Interviews officials from and information measures made the government 2017 Changning related to the by all related Development Project as well as parties for

2 The field survey work started in June 2017 and visited potential sites and met with potentially affected village groups. Finally, it was decided to use unallocated land.

Item Method Dates Participant Topic Main Results

and Reform land acquisition households Commission, and resettlement involved in land Land Acquisition policies. acquisition, Office, specific Agricultural arrangement, Bureau, information Municipal disclosure mode Human and complaint Resources and channel. Social Security Bureau, Poverty Alleviation and Development Office, the Women's Federation, and other government departments

45. All affected villagers groups have known the subproject due to the field survey and meeting with affected groups during the project preparation. In addition, prior to the commencement of the subproject, an announcement of the LAR shall be issued affected villagers’ groups, village committees and town governments with information on construction contents, implementation schedule, land and young crops compensation policies and standards, etc; and this resettlement plan shall be distributed to affected villagers’ groups.

9.1.2. Participation Plan during Implementation

46. During the project implementation, villager representatives from affected village groups can participated in the LAR implementation to know the LAR policies and implementation plan, consult any problems occurred in the LAR implementation and keep close communication with Changning Land and Resource Administration Bureau and PMO.

9.2. Grievance Redress Mechanism

47. Since the resettlement work is conducted with the participation of affected village groups, it will benefit to reduce any complaints and disputes occurred during the RP implementation. However, to ensure that affected village groups have a channel to file their complaints on any issues related with the land acquisition and resettlement, a two-stage grievance mechanism has been established in the RP. Relevant organizations will accept the project village groups' grievance and complaints without any charges. During the project construction, the grievance and complaint channel will be effective to timely handle relevant issues. The basic grievance and complaint channels are as follows:

Stage 1: If the affected village groups are unsatisfied with the resettlement, they can file an oral or written complaint to the towns, which shall be processed and provided with feedback within two weeks. Stage 2: If the affected village groups are still unsatisfied with the resolution of Stage 1,

they may file their complaints to Changning Project Management Office or the Land Acquisition Center of Changning Land and Resource Administration Bureau for administrative arbitration. The final result shall be made within 4 weeks. 48. At any stage, affected village groups may bring a suit in a law court directly in accordance with the Administrative Procedure Law of the PRC.

49. Affected village groups can also submit complaints to ADB which will first be handled by the project team. If any affected village groups are still not satisfied and believes they have been harmed due to non-compliance with ADB policy, they may submit a complaint to ADB’s Accountability Mechanism. However, the first step requires good faith efforts to resolve the problem with the relevant organizations and ADB Project Team.

50. All organizations will accept the affected village groups’ grievance and complaints without and charges. Any reasonable costs incurred thereby will be included in the contingencies of the Project.

Table 9-3 Main Contacts Persons of Relevant Departments

Person in Contact Department Position charge number Housing and Construction Liao Xiaoping Director of Poverty Alleviation Department 18873492213 Bureau of Changning City Luoqiao Town Xiao Guisong Deputy Chairman of NPC 15197400769 Shuikoushan Office Bai Ping Deputy Town Chief 13875768958 Banqiao Town Chen Changgui Deputy Town Chief 18773475720 Yangquan Town Deng Shaowen Deputy Chairman of NPC 13575123910 Miaoqian Town Yi Jinping Chairman of the NPC 15096028166 Lanjiang Township Zhu Zhiyi Deputy township head 13187161236 Xinhe Town Leijian Lin Committee members of the Party committee 18774251849 Dabao Township Zhan Xiaojun Deputy Chairman of NPC 15074756812 Shengqiao Town Li Wenbin Chairman of the NPC 13974775018 Baifang Town Chu Fang Deputy Chairman of NPC 13787711171 Baisha Town Xie Guoshun Deputy Town Chief 13087347319 Guanling Town Duan Guogang Director of the CPPCC 13575253766 Yintian Town Liu Zhenghong Director of the CPPCC 13875765366 Xiling Town Yin Song Chairman of the NPC 13907476969 Sanjiaotang Town Yang Yingwen Committee members of the Party committee 13786464820 Pengtang Liu Yunzhong Secretary of Discipline Inspection Commission 13908448156 Township Yanzhou Town Tang Rui Deputy Secretary 13574788541 Tashan Yao Nationality Zuo Xiaolin Chairman of CPPCC 18711461868 Township Quanfeng Office He Chuanjiang Leader in charge 13975446768 Yiyang Office Liu Qiucheng Leader in charge 15273408468 Peiyuan Office Xu Zhengui Leader in charge 13575141768

10. Resettlement Implementation Plan

10.1. Resettlement Implementation Principles

51. According to the implementation schedule of the Project, it is planned to commence the Project in 2018 and complete the Project in 2019. To achieve smooth link between the resettlement schedule and the construction schedule of the Project, it is planned to commence land acquisition and resettlement in July 2018 and finish the work in December 2019. The basic implementation principles of resettlement are as follows:

(i) The land acquisition shall be completed in 1 month before the commencement of civil works of the Project. The civil works shall only commence when the payment of compensation has been completed.

(ii) Prior to the commencement of the Project, an announcement of the LAR shall be issued; and this resettlement plan shall be distributed to affected villagers’ groups.

(iii) All compensations shall be directly paid to affected village groups in full amount within 3 months from the approval date of compensation scheme for the LAR. Any organizations or individuals shall not use the compensations on behalf of affected village groups, and shall not discount these compensations for any reasons during distribution .

10.2. Resettlement Schedule

52. The master resettlement schedule of the Project is proposed according to the schedule of land acquisition in Changning. The specific implementation time may be adjusted properly due to deviations in overall progress of the Project. Refer to Table 10-1 for the details of resettlement schedule.

Table 10-1 Resettlement Schedule Responsible S/N Task Objective Deadline Organization 1 Consultation and information disclosure Changning PMO and Disclosure of All project-affected LAR Office of Changning 1.1 2018.4 resettlement plan villages, village groups Land and Resource Administration Bureau Villages, groups of Release of resettlement Changning PMO and 1.2 villagers and individuals 2018.5 plan on ADB's website ADB with great impact 2 Resettlement budget Approval of resettlement Municipal / district 2.1 2018.7 budget government 3 Capacity building

Responsible S/N Task Objective Deadline Organization Discussion about the All project-affected Changning PMO and 3.1 Project with resettlement towns and street, 2017.8-2018.1 town government offices at all levels Changning PMO Capacity building of Changning PMO and 3.2 30 staffs 2017.8-2018.5 resettlement office town governments Appointment of Changning PMO and 3.3 responsible persons of 2017.8-2018.8 town governments affected villages 4 Commencement and completion of resettlement Updating of the All project-affected Changning PMO and 4.1 resettlement Plan based 2018.6-7 towns, Changning PMO town government on detailed design Submission of Updated RP to ADB for review and Changning PMO, 4.2 concurrence and Changning PMO, ADB 2018.6-7 ADB uploading on ADB website Negotiation on renting Resettlement office, and Changning PMO, 4.3 landfill land and signing Land and Resources 2018.8 project-affected village agreement Bureau Signing of agreement Resettlement office, and All project-affected 4.4 with project-affected Land and Resources 2018.8 village groups villages Bureau Commencement of land All project-affected 4.5 Municipal / district office 2018.8 acquisition village groups Distribution of All project-affected 4.6 Resettlement office 2018.8-2018.9 compensation village groups Completion of land 4.7 Resettlement office 2018.10 acquisition 5 Training All staffs in city, towns 5.1 Training on resettlement and villages related to Changning PMO 2018.7-2018.8 resettlement 6 Monitoring and evaluation Internal monitoring and Each June and 6.1 Semi-annual report Changning PMO report December Establishment of internal 6.2 Semi-annual report Changning PMO 2018.6 supervision system

11. Monitoring and Evaluation

53. To ensure smooth land acquisition and resettlement as planned, an internal supervision system will be established by government departments including Changning Project Office, Land Acquisition Center of Changning Bureau of Land and Resources and Changning Bureau of Finance. Hunan Provincial Project Resettlement Office will conduct supervision according to relevant administrative laws and regulations. Considering small impact scope of LAR of the project, only internal monitoring system is designed.

54. Changning PMO, Land Acquisition Center of Changning Land and Resources Administration Bureau, Changning Bureau of Finance, Urban Management Bureau and other relevant departments will jointly conduct internal monitoring for the LAR of the Project.

55. Investigation on main issues of project-affected persons and implementation organization, corresponding coordination and suggestions during implementation;

(i) Results of LAR agreements signed; (ii) Disbursement and use of the LAR compensations; (iii) Any comments and suggestions of affected village groups; (iv) Training and arrangement for resettlement management institutes and staffs related to LAR implementation. 56. The internal monitoring report is part of the progress report of the Project, which will be submitted to ADB on a semi-annual basis by Changning PMO through Hunan Provincial PMO. The report shall include the statistical data of land acquisition and resettlement, and compensation disbursed in the past 6 months. Changning PMO will prepare a resettlement completion report within one year after the LAR completion, and be submitted to ADB though Hunan Provincial PMO in December 2019.

Appendix 1: Due Diligence Report of Resettlement

1 Project Background

Changning City Existing Solid Waste Comprehensive Treatment Project (Changning Subproject) is one of 10 subprojects of Hunan Xiangjiang River Watershed Existing Solid Waste Comprehensive Treatment Project (Project). Changning Subproject involved three outputs: Outputs (i), (ii) and (iii) in the Project, in which Output (i) On-site closures of existing solid waste landfill; and (ii) Urban-rural integrated MSW management systems established will involve land acquisition or occupation, but no residential house demolition.

Output (i) of Changning Subproject will involve renting the existing solid waste landfill during the construction of closure of the landfill. The budget for renting the landfill is included in this resettlement plan (RP). Output (ii) will construct a total of 17 garbage collection and transfer stations in a total of 16 towns (or streets, subdistricts), of which, 13 out of 17 garbage collection and transfer stations will involve new land acquisition (LA) so this resettlement plan (RP) was prepared, while other 4 stations will be constructed on state owned land. Therefore, a due diligence report (DDR), as one of Appendices of the RP, was prepared to identify and describe the land for the 4 garbage collection and transfer stations and the land for the existing landfill.

Therefore, this DDR identified and reviewed (i) 60 mu of collective land for the existing Changning Tietang Solid Waste Landfill, and (ii) 14.62 mu state owned land for the 4 out of 17 garbage collection and transfer stations in Changning.

According to the survey results, the land acquisition was fully followed relevant Chinese laws and regulations. The land acquisition process was transparent and open, and the compensation for project-affected villagers groups were completed. No outstanding issues related the land acquisition and resettlement (LAR) were identified.

2 Preparation of Due Diligence Report

The DDR was jointly prepared by the Changning Project Management Office (PMO) and the resettlement plan preparation institute (RP-PI). An investigation team from the RP-PI visited relevant government departments of Zixing in November 2017 ~ January 2018 to collect relevant data about the LAR, compensation and resettlement agreements, and also interviewed some village groups and people affected by the LAR.

3 Impact Scope

The Subproject will involve a total acquired land of 74.62 mu, including (i) 60 mu for the existing Tietang Landfill and (ii) 14.62 mu for construction of the 4 garbage collection and transfer stations.

Land Used for Changning Tietang Solid Waste Landfill

The existing Changning Tietang Solid Waste Landfill covers a total of 60 mu collectively-owned land. It is located Group 6 of Tietang Village, Lanjiang Township, Changning City.

According to the field interviews with relevant departments and the field survey, it is known that the landfill was opened in 2001 and closed in 2012 after the landfill was filled out completed. The land of the landfill is collective land owned by Group 6 of Tietang Village, Lanjiang Township, Changning City. House and Urban-Rural Development Bureau of Changning City obtained the land for the landfill by signing a lease agreement with the villagers’ group of Tietang Village, and used the land from 2001 to 2012 by paid the rental. After simply closed in 2012, the land was returned to the collectives of Tietang Village and terminated the lease agreement.

House and Urban-Rural Development Bureau of Changning City had paid the land rental on time according to the lease agreement from 2001 to 2012. There are no outstanding issues left.

The land used for Tietang landfill was classified as waste mountainous land, and there were no residence house on the land before the land was used for the landfill, so no house demolition was involved. Now, there are no any houses or structures on the landfill. The land is not allocated to villagers and owed by Group 6 of Tietang Village.

Land for 4 Garbage Collection and Transfer Stations

Four garbage collection and transfer stations as components of Changning urban-rural waste transfer system have been built, including: (i) Yangquan Town Waste Transfer Station, (ii) Luoqiao Town Waste Transfer Station, (iii) Yanzhou Town Waste Transfer Station and (iv) Pengtang Township Waste Transfer Station. The total area of land acquisition is 14.62 mu, including 3.27 mu paddy land, 2.56 mu dry land, and 8.79 mu forest land.

According to the field survey, agreements of compensation for the LA were signed for the four waste transfer stations. The compensation standard for land acquisition was based on the Notice of the Measures for the Compensation and Resettlement of Collective Land Acquisition and House Demolition in Hengyang City (HZBF [2015] No. 73), and the compensation for LA included land compensation, resettlement subsidy and young crop compensation. The compensation was paid to Tietang Village completely. There are no outstanding issues left.

4 Range of Land Use

4.1 Changning Tietang Solid Waste Landfill

The 60 mu land for Tietang Solid Waste Landfill is located in Group 6 of Tietang Village, Lanjiang Township, Changning City, is about 8.5km from the urban area of Changning City. The location of the landfill is shown in Figure 1, and current situation of the landfill is shown in Figure 2 (1) and (2).

Figure 1 Location of Changning Tietang Solid Waste Landfill

Figure 2 Current Situation of Changning Tietang Waste Landfill (1)

Figure 2 Current Situation of Changning Tietang Waste Landfill (2)

According to the field survey, it was told that before the land was used for the landfill, it was categorized as mountainous land as non-productive land. It is owned by Group 6 of Tietang Village, and not allocated to villagers. There were no houses and other structures on it. The 28

land was agreed to use for Changning Tietang Solid Waste Landfill after negotiation and signing a lease agreement between the collectives of Group 6 of Tietang Village and the Changning House and Urban-Rural Development Bureau in 2001, and was returned to Group 6 of Tietang Village after closure of the landfill in 2012. It was told that Changning House and Urban-Rural Development Bureau had paid all rentals in accordance with the lease agreement during 2001 to 2012. However, both Changning House and Urban-Rural Development Bureau and Group 6 of Tietang Village can’t find the lease agreement to RP-PI team. It was explained that the agreement was signed many years ago. But it was confirmed by both parties that no disputes related to the land use and rental payment occurred, and no outstanding issues left.

4.2 Land for 4 Waste Transfer Stations

Four transfer stations have been built in the waste transfer system in Changning, including: Yangquan Town Waste Transfer Station, Luoqiao Town Waste Transfer Station, Yanzhou Town Waste Transfer Station and Pengtang Township Waste Transfer Station. The total area of land acquisition is 14.62 mu, including 3.27 mu paddy field, 2.56 mu dry land, and 8.79 mu forest land, as presented in Table 1. According to the survey, the agreement has been signed for the land acquisition of four waste transfer stations. The compensation standard for land acquisition is based on the Notice of the Measures for the Compensation and Resettlement of Collective Land Acquisition and House Demolition in Hengyang City (HZBF [2015] No. 73). One of built solid waste collection and transfer station is shown in Figure 3.

Table 1 Current Location and Type of Land for the Four Built Garbage Collection and Transfer Stations

Land Fore S/ Township/Neighborhood Acquisitio Paddy Dry Village Group st N Committee n Area field land land (mu) 1 Yangquan Town Xiangping Village Group 6 4.95 1.42 2.33 1.2 2 Luoqiao Town Sanhe Village Group 1 5.67 1.85 0.23 3.59 3 Yanzhou Town Taiquan Village Group Renmin 2 0 0 2 4 Pengtang Township Fuxing Village Group Caoyi 2 0 0 2 Total 14.62 3.27 2.56 8.79

Figure 3 Current Situation of Yangquan Waste Transfer Station

5 Socio-Economic Information

The land involved in this Project for both Tietang Existing Solid Waste Landfill and the Waste Transfer Stations is the collective land owned by the villagers’ groups that is not contracted to villagers. Therefore, no villagers were affected by the Lan directly.

6 Information Disclosure and Participation

The land used for Changning Tietang Solid Waste Landfill was acquired through land lease. After the negotiation between the Changning Housing and Urban-Rural Development Bureau and the collectives of Group 6 of Tietang Village, Lanjiang Township, the parties entered into the lease agreement in 2001, which is announced in the village committee. See Table 4.

Table 4 Disclosure of Land Acquisition to Affected Villagers

Form of Location Main Affected Affected Time of Mode of land of Contents of Town Village Disclosure Disclosure use Disclosure Disclosure Lease Villager agreement, representatives Lanjiang Tietang Village lease Lease 2001 meeting and Township Village committee compensation announcement by standard, scope post of land use, etc.

Source: Interviews with the staff of land department and affected villages.

The land used for the garbage collection and transfer system of Changning City was mainly acquired by way of acquisition. After the consultation with the affected village collectives, the agreement for land acquisition was entered into for the land that has been acquired for four waste transfer stations, and disclosed in the corresponding village committee. See Table 5.

Table 5 Overview of Announcement of Acquired Land

Form of land Time of Location of Affected Town Affected Village Mode of Disclosure Main Contents of Disclosure use Disclosure Disclosure Villager representatives Land acquisition agreement, land Yangquan Town Xiangping Village Acquisition 2015 Village committee meeting and disclosure by acquisition compensation standard, post scope of land use, etc. Villager representatives Land acquisition agreement, land Luoqiao Town Sanhe Village Acquisition 2016 Village committee meeting and disclosure by acquisition compensation standard, post scope of land use, etc. Villager representatives Land acquisition agreement, land Yanzhou Town Taiquan Village Acquisition 2016 Village committee meeting and disclosure by acquisition compensation standard, post scope of land use, etc. Villager representatives Land acquisition agreement, land Pengtang Township Fuxing Village Acquisition 2016 Village committee meeting and disclosure by acquisition compensation standard, post scope of land use, etc.

7 Approval of Land Acquisition

7.1 Changning Tietang Solid Waste Landfill

Construction and usage land of Changning City Tietang Existing Solid Waste Landfill was rent from 2001, which belonged to Group 6 village collective of Tietang Village, Lanjiang Country, Changning City before being rent, and a rental agreement was signed (because it was a long time ago, the original file of the rental agreement has not been found, but related expenses have been paid according to the agreement).

In 2012, due to saturation of existing solid waste, the Tietang Existing Solid Waste Landfill became useless, thus the 60 mu of barren mountain land in acquisition, after being covered and treated, was returned to Group 6 of Tietang Village, Lanjiang Country. The returned land is wild grass land now.

Because the Existing Solid Waste Landfill was simply covered and treated, which resulted in leachate and waste gas overflow in barren mountain land of the Project, the land cannot be normally cultivated and developed. Further and immediate land coverage and treatment shall be taken to restore its capacity in cultivation and development.

Subject to requirement of Asian Development Bank, the Project Office and Immigrant Resettlement Unit of the People’s Government of Changning City have investigated the removal, compensation and payment condition of land in acquisition related to Changning County Existing Solid Waste Landfill Coverage and Treatment Project, and made the due diligence report.

7.2 Changning Waste Transfer Systems

Changning City Waste Transfer System Waste Transfer Station was built in 2014 and put into operation gradually, and land acquisition and construction of 4 waste transfer stations was completed in December, 2017. The surveys showed that, as to land acquisition of waste transfer station, the land acquisition agreement was signed as per related procedure after asking local people for opinions, and corresponding compensation was all paid.

Figure 5 Land Acquisition Compensation Agreement of Each Waste Transfer Station

8 Compensation for Land Acquisition and Resettlement

8.1 Changning Tietang Solid Waste Landfill

Changning City Tietang Existing Solid Waste Landfill was rent from 2001, and returned to Group 6 of Tietang Village in 2012, with release period of 11 years. The 60 mu of rental land is mainly barren mountain. Related expenses have been paid according to rental agreement signed by the two parties.

Compensation for land acquisition is in full appropriated to the rural collective economic organization and the use will be determined through discussion of all the members in the village group. According to the investigation, it is known that such compensation is mainly applied to repair and maintenance of public facilities such as maintenance of access to villages, temples, culture room, activity room and medical room as well as repair of public drinking water facility and to improvement of work measures such as building of storage pool, well and sublateral canal for irrigation. All these measures of using the compensation play a significant role in improving living standard of local villagers.

.8.2 Changning Waste Transfer Systems

Changning City Waste Transfer System Waste Transfer Station was built in 2014 and put into operation gradually, and land acquisition and construction of 4 waste transfer stations was completed in December, 2017. The area of land acquisition is 14.62 mu including 3.27 mu of paddy field, 2.56 mu of dry land and 8.79 mu of forest land. According to survey result, effected village collectives and Housing Construction Bureau of Changning City have signed land acquisition compensation agreement as per compensation standard stipulated in Notice on Adjustment of Hunan Province Land Acquisition Compensation Standard XZBF [2012] No. 46 and Notice of the People’s Government of Hengyang City on Adjustment of Hengyang City

Land Acquisition District Comprehensive Price Scoping (HZT[2013]No. 10). At present, Housing Construction Bureau of Changning City is performing the procedures to handle land use certificates. The process of land acquisition is legitimate without public objection. The land compensation fee is used overall after the village collective held the Village Meeting.

9 Grievance Redress Mechanism

Owing to local governments’ information disclosure and project-affected persons’ public participation, the land acquisition and resettlement has gone well. To effectively find and address issues, a transparent and effective grievance and complaint channel has been established for the Project: in case the affected villages are unsatisfied with the resettlement plan, they may submit an oral or a written protest to the subdistrict or the government; if they are unsatisfied with the handling decision given by the subdistrict and the government, they may lodge a complaint to Changning Bureau of Land and Resources or Land Acquisition Center of Changning Bureau of Land and Resources for an administrative arbitration. In addition, the affected villages may bring an administrative proceeding to people’s court at any time with regard to any aspect of resettlement.

During this due diligence, the team interviewed cadres from the project-affected villages, and knew that the villagers had a clear understanding of compensation policies and grievance and complaint channels. During land acquisition, issues raised by project-affected villagers have been addressed timely or explained reasonably, so there have been no collective petitions of villagers, and villagers are satisfied with the compensation for land acquisition.

10 Conclusions and Suggestions

(1) Before and during land acquisition, relevant departments and village collectives had arranged for information disclosure and public participation several times in different forms; opinions given by the project-affected villagers’ group had been fully respected and put into practice during the implementation of the Project; renting, compensation and resettlement had been carried out in accordance with the agreements, without causing any impact on the livelihood of persons in the project-affected villages. In general, all compensation had been taken based on full public participation. Therefore, there is no leftover problem.

(2) During land acquisition, the grievance regress mechanism had been conducted. Up to now, no collective petitions occurred, and the project-affected villages showed a support attitude towards the Project, and are satisfied with the land compensation.

(3) After land acquisition, according to the filed investigation, the rental land and land acquisition involved in the Project are all collective land, and compensation payment for rental and acquisition are used to carry out infrastructure construction in villages to improve living conditions. Meanwhile, the construction and operation of the Project also provided various employment positions to villagers.

(4) Based on the field survey and interview with related departments and individuals, after the landfill was closed simply in 2012, leachate and waste gas overflow still exist in the landfill. Group 6 of Tietang Village required further and immediate treatment of the landfill. They support to the project to further closure of the landfill to improve local environment.

Annex 1: Land Compensation Agreement on Land Acquisition in Luoqiao Town

Luoqiao Town Land Compensation Agreement

Annex 2: Land Compensation Agreement on Land Acquisition in Yangquan Town

Yangquan Town Land Compensation Agreement

Annex 3: Land Compensation Agreement on Land Acquisition in Pengtang Town

Pengtang Town Land Compensation Agreement

Annex 4: Land Compensation Agreement on Land Acquisition in Yanzhou Town

Yanzhou Town Land Compensation Agreement