Resettlement Planning Document

Due Diligence Report

Loan Number: 2796 and Grant Number: 0267 NEP April 2013

Nepal: Decentralized Rural Infrastructure and Livelihood Project- Additional Financing

Kokhe Ahale and Koya Bhanjyang Slope Stabilization Road Subproject (Part of Dhungagade-Arughat Road), Gorkha

Prepared by the Government of Nepal

The Due Diligence Report is a document of the borrower. The views expressed herein do not necessarily represent those of ADB’s Board of Directors, Management, or staff, and may be preliminary in nature.

Government of Nepal Ministry of Federal Affairs and Local Development Office of District Development Committee, Technical Office, Gorkha District Project Office, Gorkha

Decentralized Rural Infrastructure and Livelihood Project-Additional Financing (DRILP-AF)

Detailed Project Report Kokhe Ahale and Koya Bhanjyang Slope Stabilization Subproject (Part of Dhungagade-Arughat Road)

Section III: Safeguards Volume 2: Due Diligence Report ( Resettlement) April 2013

TABLE OF CONTENTS

1 INTRODUCTION...... 1 2 BACKGROUND OF THE SUBPROJECT ...... 1 3 FINDINGS ...... 1 3.1 Background of Approved Resettlement Plan ...... 1 3.2 Summary of Losses and Compensation Disbursement Status ...... 2 3.3 Life Skill Training ...... 3 3.4 Status of landslide prone zone and further plan of action ...... 4 4 SCOPE OF SUBPROJECT IN DRILP-AF ...... 4 4.1 Completion of Outstanding Activities ...... 4 5 MONITORING AND REPORTING ARRANGEMENT ...... 5 6 DRILP AF REQUIREMENTS ...... 5 7 CONCLUSION AND FURTHER ACTION ...... 6 APPENDICES...... Letter from LDO on DLRCC Formation, Gorkha ...... Letter from LDO on GRC Formation, Gorkha...... Letter from LDO on formation of Social Safeguard Desk, Gorkha ...... Letter from DDC about Allocation of Deed Transfer Cost, Gorkha ......

LIST OF TABLES

Table 1: Losses by the Sub-Project ...... 2 Table 2 : Compensation Disbursement and Deed Transfer Progress ...... 3 Table 3 : Safeguard Requirements...... 3 Table 4: Plan for Completion of Resettlement Activities with Estimated Cost ...... 6

Detail Project Report Section lll: Volume 2 Kokhe-Ahale and Koya Bhanjyang,Gorkha Due Diligence (Resettlement)

1 INTRODUCTION

1. This due diligence report investigates and document the issues associated with Resettlement Plan (RP) implementation of Kokhe-Ahale and Koyabhanjyang slope stabilization subproject the section of Dhungagade-Arughat Road Subproject during Decentralized Rural Infrastructure Livelihood Project (DRILP). It has been prepared by resettlement team of Central Implementation Support Consultant (CISC) lead by Resettlement Advisor in coordination with District Implementation Support Consultant (DISC), District Technical Office (DTO) and District Project Office (DPO) of DRILP-AF.

2. The objective of preparing the due diligence report is to verify progress of Resettlement Plan implementation such as compensation payment, restoration of public and private infrastructure, review the consultation and disclosure process, grievance redress mechanism and restoration of livelihood of the affected person in compliance with ADB’s Safeguard Policy Statement (SPS) 2009, and Government of Nepal (GoN) Land Acquisition Act 1977. It suggests appropriate mitigation measures to address the resettlement issues observed during RP implementation and propose suitable corrective action plan.

2 SUB-PROJECT BACKGROUND

3. Total 38.22 km. long Dhunggade-Arughat road subproject was upgraded from earthen to gravel standard under DRILP.The subproject is located in western development region of Gorkha district; it starts at Dhungagade of and ends at Arughat of Aruchanaute VDC and the road passes through 6 VDCs and one municipality .The 6 affected VDCs are , , , , , Tandrang and Aruchanaute of Gorkha district. The subproject links Prithivi Highway through Gorkha-Abukhaireni feeder road.

4. During DRILP the civil works was carried out for the entire section 38.22 km and road was upgraded up to gravel standard. However the two major landside at Kokhe-Ahale (Ch 7+00 km to 7+95) in Taple VDC and Koyabhanjyang (Ch. 21+100km-21+180 km) in Masel VDC has not been done in DRILP. The first one Kokhe-Ahale landslide is measured with its slope length 360 mtr (top to bottom) and average slope angel 25º degree and has affected 95 mtr of road section. The second, Koyabhanjyang landslide located in Ch. 21+100 measured its slope length 80 mtr (top to bottom) and has affected 55 mtr of road section at bottom and and 30mtr of road section at middle and average slope angel has measured 25-60º. Based on the information of the locals the section of road is sinking down 1-2 meter every monsoon. The landslide is deep seated, complex in nature and still active. The prime factor of slope failure is ground water therefore the principal works required in this landslide is the management of sub surface water These two landslide obstruct the road especially during rainy season. Hence District Development Committee, Gorkha intends to undertake slope stabilization of these two landslides to continuation of traffic throughout the year.

3 FINDINGS 3.1 Approved Resettlement Plan

5. The Resettlement Plan (RP) was prepared by the DDC with support from CISC and approved by ADB on 28 April, 2009 under DRILP. Total 799 households consisting of 5170 family members were directly affected in terms of land loss and other assets due to road construction. Of the total affected households 488 were interviewed and remaining 311 households were absent during RP preparation. Altogether 96 private structures and 4 community structures; 2 community

1

Detail Project Report Section lll: Volume 2 Kokhe-Ahale and Koya Bhanjyang, Gorkha Due Diligence (Resettlement)

building, 1 toilet and 1 shrine were permanently lost. After approval of RP the District Development Committee provided compensation to the affected households, transferred the deeds, and implemented the proposed trainings. Of the total affected households compensation was paid only for structure and two below poverty households who has lost more than 10% of total land holding. Apart from of structure and two BPL households all land has been taken through voluntary donation.

6. During the construction no additional loss was identified therefore there is no change in the affected household land plots and other assets to be paid. Likewise, 100 percent compensation has been paid and the mitigation measures proposed in approved resettlement plan have been fully addressed. Therefore due diligence report is prepared to address additional requirement of DRILP-AF instead of updated Resettlement Plan

7. The project land donation criteria were disclosed during socioeconomic survey. The donation was accepted from only those households meeting donation criteria. Except structure and two BPL households all land has been taken through donation. The signing of land donation agreement was witnessed by a third party Tole Sudhar Samitee (NGO), Gorkha to ensure that the donation was unforced.

8. The RP recorded that total 18.96 ha of private land in which 14.11 ha fall in existing track and 4.85 ha of additional land have been acquired for the road construction. Similarly, 96 private and 4 community structures were relocated as per agreed plan. Loss incurred along the alignment is under Table 1.

Table 1: Losses by the Sub-Project Nature of Unit Total Remarks Loss Land Loss ha 14.11 Existing track Land Loss ha 4.85 New cutting Land Loss HHs 799 Private No 96 structure Community No 4 structure Source: Resettlement Plan, DRILP, 2009

3.2 Summary of Losses and Compensation Disbursement Status

9. Land: Two households losing more than 10 percent of its total holding were paid NRs 2,95,000 for their land loss.

10. Private Structure: All the households losing structure owners were paid and the structures were reinstated beyond the RoW.

11. Community Structure: All four structures were reinstated at proper places making consensus with local authority.

12. Deed Transfer: At the end of DRILP just 50 households deeds has been transferred out of total 799 households. Several legal processes have to be followed to transfer the ownership of voluntary donated land. Following reasons were noted for the delayed in deed transfer process i) Land revenue office seeks physical presence of the APs during deed transfer ii) the affected households are

2

Detail Project Report Section lll: Volume 2 Kokhe-Ahale and Koya Bhanjyang, Gorkha Due Diligence (Resettlement)

reluctant to visit district headquarter because the supporting cost is not offered on time iii) land owners are migrated or living aboard. The DDC Gorkha has forwarded a commitment letter to PCU to complete all deed transfer work timely and the DDC has allocated 10,000,00.00 to support and manage the deed transfer related work (letter annexed)

13. Reserve Fund: In the approved RP NRs 10,000,00.00 was provisioned for non- interviewed households, the district team made honest effort to approach them in order to disburse the amount. Based on effort made by the district team the reserve fund allocated is not required anymore because the track was opened in 1998 and nominal land was taken during DRILP. Therefore, the small portion of land contribution for the construction of this road will not lead to any type of impoverishment nor it will lead to any adverse impact on the livelihoods of these people.

14. Table 2 shows the RP implementation progress and table 3 indicates the safeguards requirements fulfilled as per DRILP-AF.

Table 2 : Compensation Disbursement and Deed Transfer Progress

Indicator Unit RP data Progress Remaining Deed Transfer HH 799 50 749

Compensation for Private NRs. 2,95,000 2,95,000 (100%) Complete Land Compensation for Private NRs 79,72,464.83 79,72464.83 Complete and community Structure (100%) Total Amount 82,67,464.83 82,67,464.83 (100%) (100%) Complete Source: RP Monitoring Report, 2013, Gorkha Table 3 : Safeguard Requirements SN Activity Status Notes 1 GRC, VWRCC and GRSC formation Achieved 2 Notification about preferential Achieved employment for affected people in construction 3 Disbursement of compensation for 100% Land 4 Disbursement of compensation for 100% private and community structure 5 Deeds of the road will be transferred 6.25 % DDC has agreed to to the Government of Nepal. complete by Dec 2013. Source: DPO Reporting 2012, Gorkha

3.3 Life Skill Training

15. During DRILP 18 life skills training were conducted and total 167 male and 159 female were benefitted.

3

Detail Project Report Section lll: Volume 2 Kokhe-Ahale and Koya Bhanjyang, Gorkha Due Diligence (Resettlement)

3.4 Status of Landslide Prone Zone and Further Plan of Action

16. Two major landslide locations are; Kokhe Ahale Ch. 7+00 at Taple VDC which affects 95 meter of road section and second, Koya Bhanjyang land slide Ch.21+100 at Masel VDC affects 80 mtr of road section. Due to the landslide altogether 4 households lost their land in that particular section and these households had provided land with free of cost during track open in 19981. Based on site observation no additional private land has been lost due to landslide. There is public land adjacent to same private lands that can be used to minimize further loss of private land. If additional land is lost during construction they will be paid as per their actual loss.DDC Gorkha is agreed to pay compensation if loss occurred during construction. The APs believe that slope stabilization work protect further loss of land and make road vehicle pliable throughout the year. APs were well informed; they get paid their additional loss. At the moment the District Development Committee Gorkha is temporarily maintaining the road with minor earthwork activities to continuation of traffic during monsoon season. Therefore, during DRILP-AF special remedial measures are proposed to stabilization roadside slope.

4 SCOPE OF SUBPROJECT IN DRILP-AF

Completion of Outstanding Activities

17. Land Donation: Of the total 799 households of 1038 plots 488 have signed project land donation agreement paper. The deed transfer is slow, till date only 50 households ownership has been transferred. The DDC has confirmed the budget2 NRs. 10,00,000.00 from the project cost for the deed transfer activities (APs time loss and travel cost) and awarding letter of appreciation to the land donors. Therefore, the DDC has been advised to precede the work on the target action plan.

18. Slope Stabilization and Enumeration of Actual Loss: Major two locations Ch.7+00 at Kokhe Ahale of Taple VDC and Ch.21+100 at Koya Bhanjyang of Masel VDC is identified as a landslide prone area. Total about 175 mtr road side is affected due to landslide and 4 households lost their land under existing road. A total 10 mtr (5-5 mtr from either side) had already taken through donation. Hence no APs have lost additional land yet because public land is adjacent with private land. Additionally if necessary, a separate loss assessment report will be prepared to address the additional loss during construction. An orientation programme has been provisioned to aware the all stakeholders to minimize the further loss during construction.

1 Altogether 5-5 mtr either side has been taken through donation. 2 DDC Gorkha has allocated NRs 10,000,00 to transfer the ownership of 1038 land plots of 799 households as per DOLIDAR norms.

4

Detail Project Report Section lll: Volume 2 Kokhe-Ahale and Koya Bhanjyang, Gorkha Due Diligence (Resettlement)

5 MONITORING AND REPORTING ARRANGEMENT

19. The implementation support consultants (CISC/DISC) will monitor the implementation progress and advise DTO/DPO on the timely implementation of outstanding work and progress will be updated through trimester report

6 DRILP AF REQUIREMENTS

20. The Resettlement Framework (RF) of DRILP- AF states that the land acquisition, compensation payments and resettlement activities of the affected families need to be completed before civil works award, whereas deed transfers and livelihood restoration trainings can be continued and completed even after civil works has begun. In addition, formation of District Level Resettlement Coordination Committee (DLRCC), District Grievance Redress Committee (GRC) and safeguard desk need to be established at each district prior to the approval of the Detailed Project Report. Hence, DLRCC, GRC and Safeguard Desk have been already formed at the Gorkha district.

21. Meeting chaired by Local development Officer dated on 22 March 2013 has formed 11- members DLRCC and 9-membered GRC in Gorkha. The letter for DLRCC formed as been annexed and given under boxes.

Member of DLRCC, Gorkha

1. Chair - Local Development Officer 2. Member - District Technical Office 3. Member - Chief District Revenue Office 4. Member - Chief District Agriculture Development Office. 5. Member - Chief District Survey Office 6. Member - Chief District Forest Office 7. Member - Planning& Monitoring & Administrative Officer DDC. 8. Member - Secretary Affected VDC 9. Member - Representative from Affected Family Member 10. Member- - Social mobilization Coordinator 11. Member - DRILP/DPO, Engineer

5

Detail Project Report Section lll: Volume 2 Kokhe-Ahale and Koya Bhanjyang, Gorkha Due Diligence (Resettlement)

Member of GRC, Gorkha

1. Chair - Local Development Officer 2. Member - District Technical Office 3. Member - Secretary Affected VDC 4. Member - Planning& Monitoring & Administrative Officer 5. Member - Representative from Affected Family 6. Member - Representative from Affected Family 7. Member - Representative from Civil Society 8. Member - Representative from VWRCC 9. Member - DRILP/DPO Engineer

22. Monitoring and Administrative officer of DDC Gorkha Mr.Krishna Bahadur Karki has been appointed for coordinating the safeguard activities, effective from 22 March 2013. The Letter of Safeguard Desk formation has been annexed with this report.

7 CONCLUSION AND FURTHER ACTION

23. Out of total 799 households 50 HHs deed has been transferred and still 749 HHs deeds are yet to be transfered. The district team is constantly involved in communicating these households for deed transfer.DDC Gorkha has plan to bring official landowners at district headquater by providing them transportation and other allowance to fulfill legal obligatory to transfer the deed.

24. The social safeguard requirements according to DRILP-AF resettlement framework especially compensation disbursement have been 100 percent achieved with few actions which has been agreed to complete as proposed action plan. The following table 4 explains the actions to be complete with the commencement date.

Table 4: Plan for Completion of Deed transfer Activities with Estimated Cost

Actions to Plan Estimated Milestone Responsibility Remarks SN Complete Cost (NRs) 1 Deed - 10,00,000.0 Dec. 2013 DPO/DISC Total 1038 parcel of transfer & Travel/othe 0 land has to be Appreciation r allowance transferred. As per programme offered to DOLIDAR norms to Land APs each parcel NRs donors - Formal 1000 is decided to Progamme pay which cover all will be cost including organized transportation. for land donors by the district.

Total Cost 10,00,000.00 Source: DPO Gorkha, April, 2013

6

APPENDICES

Letter from LDO on DLRCC Formation, Gorkha

Theme Translation

The meeting was held in order to form DLRCC in Gorkha. The DLRCC has been established in order to discuss and resolve resettlement related issues. DLRCC is chaired by Local Development Officer along with other committee members from the District Land Revenue Office, District Survey Office, District Agriculture Office, District Forest Office, and respective from VDC head and affected families.

Letter from LDO on GRC Formation, Gorkha

Theme Translation

This meeting is set up in order to form GRC at Gorkha for discussion and resolution of grievances of affected people related to resettlement and environmental issues. GRC is chaired by head of the district, LDO at the moment where, respective VDC head and representative from affected families will be committee member.

Letter from LDO on formation of Social Safeguard Desk, Gorkha

Theme Translation

The DDC Gorkha has formed Social Safeguard Desk consisting of three members committee headed by Monitoring and Administrative Officer.

Letter from DDC about Allocation of Deed Transfer Cost, Gorkha