Hebei Small Cities and Towns Development Demonstration Sector Project

Resettlement Planning Document

Resettlement Plan Document Stage: Final Project Number: 40641 October 2008

People’s Republic of China: Hebei Small Cities and Towns Development Demonstration Sector Project

Prepared by Urban Construction Investment Co. Ltd of Zhao County.

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

Zhaozhou Township Infrastructure Improvement Component

Resettlement Plan

Urban Construction Investment Co. Ltd. of Zhao County

1st October 2008

ENDORSEMENT LETTER FOR THE RESETTLEMENT PLAN

With sufficient assistances from all sub-project units, we have prepared and compiled this Resettlement Plan (RP) for Zhaozhou Township Infrastructure Improvement Project. This RP is in accordance with relevant laws, policies and regulations of PRC, Hebei Province, Shijiazhuang City and Zhao County as well as the involuntary resettlement policies of Asian Development Bank.

We endorse the actuality of the PR and have the commitment to the smooth implementation of land acquisition, house demolition, resettlement, compensation and budget. The PR is based on the Feasibility Study Report and the primary socio-economic survey. Once the project construction differs from the Feasibility Study Report and impacts on the implementation of the PR essentially, the PR should be revised timely and appropriately and reported to ADB for approval before its implementation.

Chief Manager of Urban Construction Investment Co. Ltd. Of Zhao County:

Date:

ABBREVIATION AND ACRONYMS

RP Resettlement Plan APs Affected Persons ADB Asian Development Bank NGO Non Government Organization LAO Land Acquisition Office M&E Monitoring and Evaluation PRC People’s Republic of China RO Resettlement Office PMO Project Management Office HH Household mu Chinese land area unit of measure: 1 mu = 0.0667 ha PAH Project Affected Household PAP Project Affected Person PRO Project Resettlement Office RMB Renminbi—another word for the PRC Currency, the Yuan SES Socioeconomic Survey DI Design Institute RIB Resettlement Information Booklet CNY Abbreviation for Yuan, PRC’s currency UCIC Urban Construction Investment Co. Ltd. Of Zhao County CBZC Construction Bureau of Zhao County ZTIIC Zhaozhou Township Infrastructure Improvement Component the Second-phased Solid Waste Treatment and Exploitation Sub-project of SSWTES Zhao County SWWTS the Second-phased Waste Water Treatment Sub-project of Zhao County the Heating Pipeline Networks Rebuilding and Newly-building Sub-project of HPNRNS the Urban Area of Zhao County. FSR Feasibility Study Report EAR Environmental Assessment Report

TABLE OF CONTENT 1 BRIEF INTRODUCTION OF THE PROJECT...... 1

1.1 SUMMARY OF THE PROJECT...... 1 1.2 THE PROJECT COMPONENT...... 1 1.3 PROJECT BENEFICIARY AREA AND AFFECTED AREA...... 4 1.3.1 Project Beneficiary Area ...... 4 1.3.2 Project Affected Area...... 4 1.3.2.1 SSWTES...... 4 1.3.2.2 SWWTS ...... 4 1.3.2.3 HPNRNS...... 4 1.4 MEASURES OF MINIMIZING NEGATIVE IMPACTS ...... 5 1.4.1 Optimize The Project Design To Avoid Or Minimize Resettlement...... 5 1.4.2 Minimizing Negative Impact By Strictly Abiding By Environmental Protection Laws And Regulations Of PRC ...... 6 1.4.3 Optimize The Construction Plan Of Pipeline Networks ...... 6 1.4.4 Others...... 6 1.5 THE DESIGN PROCESS OF EACH SUB-PROJECT ...... 8 1.6 PROJECT INVESTMENT FUNDS AND RELATED SOURCE ...... 8 1.7 PREPARATION PROGRESS OF THE RP ...... 8 2 PROJECT IMPACTS ...... 10

2.1 METHOD FOR PROJECT IMPACTS SURVEY...... 10 2.2 CONTENT OF PROJECTS IMPACTS SURVEY ...... 10 2.3 ORGANIZATION OF PROJECT IMPACT SURVEY AND RELATED IMPLEMENTATION 10 2.4 PROJECT IMPACTS ANALYSIS ...... 11 2.4.1 The Impacted Land...... 11 2.4.1.1 Permanent Land Acquisition...... 11 2.4.1.2 The Impacted Housing...... 14 2.4.1.3 The Impacted Enterprises And Shops...... 14 2.4.1.4 Temporary Land Occupation...... 14 2.4.1.5 The Affected Persons...... 17 2.4.1.6 The Impacted Attachments Of Ground...... 20 2.4.1.7 Other Impacts...... 20 2.4.2 Results Of Socioeconomic Survey For The Project Area ...... 20 2.4.2.1 Summary Of Socioeconomic Condition Of The Affected Villages..... 21 2.4.2.2 Socioeconomic Survey For The Aps ...... 22 3 POLICY FRAMEWORK...... 32

3.1 MAJOR LAW AND POLICY...... 32 3.1.1 Policies Of ADB ...... 32 3.1.2 Relevant Laws And Policies Of PRC...... 32

3.1.3 Local Regulations And Policies ...... 32 3.2 POLICIES OF ADB...... 32 3.3 RelevanT LAWS AND POLICIES OF CHINA ...... 34 3.4 THE COMPENSATION PRINCIPLE AND QUALIFICATION ADOPTED BY THE PROJECT IMPLEMENTATION...... 40 3.4.1 Compensation Principle...... 40 3.4.2 Eligibility For Compensation And Benefited People ...... 41 3.5 COMPENSATION RATES OF THE PROJECT ...... 41 3.6 THE COMPENSATION RATES FOR THE LAND OWNED COLLECTIVELY ...... 41 3.7 THE COMPENSATION RATES FOR ATTACHMENT OF GROUND ...... 42 3.8 OTHER RELATED FEES ...... 42 3.9 ASSISTANCE FOR VULNERABLE GROUPS ...... 43 4 RESETTLEMENT MEASURES...... 44

4.1 RESETTLEMENT OBJECTIVE...... 44 4.2 PRINCIPLES FOR RESETTLEMENT AND REHABILITATION ...... 44 4.3 RESETTLEMENT PLAN FOR PERMANENT LAND ACQUISITION ...... 46 4.3.1 SSWTES ...... 46 4.3.2 SWWTS...... 51 4.4 RESTORATION FOR TEMPORARY LAND OCCUPATION ...... 55 4.5 RESTORATION FOR ATTACHMENT OF GROUND ...... 55 4.6 RESETTLEMENT FOR VULNERABLE GROUPS ...... 55 5 INSTITUTIONAL ORGANIZATIONS AND RESPONSIBILITIES ...... 56

5.1 MANAGEMENT INSTITUTIONS FOR RESETTLEMENT IMPLEMENTATION ...... 56 5.1.1 Institutional Establishment...... 56 5.1.2 Responsibilities Of Institutions...... 58 5.2 STAFFING OF RESETTLEMENT MANAGEMENT INSTITUTIONS AND FACILITIES.... 59 5.2.1 Staffing ...... 59 5.2.2 Provision Of Equipment Facilities...... 60 5.3 SCHEDULE OF TRAINING ...... 60 5.3.1 Training Plan For Resettlement Management Staff ...... 60 5.3.2 Measures For Strengthening Resettlement Offices...... 61 6 PUBLIC PARTICIPATION AND GRIEVANCE REDRESS...... 62

6.1 PUBLIC PARTICIPATION ...... 62 6.1.1 Public Participation During The Stage Of Project Preparation...... 62 6.1.2 Scheme Of Public Participation ...... 67 6.2 CHANNELS FOR APPEAL AND GRIEVANCE ...... 69 7 RESETTLEMENT BUDGET ...... 71

7.1 RESETTLEMENT BUDGET ...... 71

7.2 SOURCE OF FUND AND ANNUAL RESETTLEMENT INVESTMENT PLAN...... 74 7.3 MANAGEMENT OF RESETTLEMENT FUNDS AND RELATED DISBURSEMENT...... 74 8 RESETTLEMENT IMPLEMENTATION SCHEDULE...... 76

8.1 PRINCIPLES FOR RESETTLEMENT IMPLEMENTATION...... 76 8.2 IMPLEMENTATION SCHEDULE FOR RESETTLEMENT ...... 76 9 MONITORING AND EVALUATION ...... 78

9.1 INTERNAL MONITORING ...... 78 9.1.1 Objective...... 78 9.1.2 Institution And Staffing...... 78 9.1.3 Contents Of Internal Monitoring...... 78 9.1.4 Internal Monitoring Reporting ...... 79 9.2 EXTERNAL MONITORING ...... 79 9.2.1 Contents And Methods For External Monitoring...... 80 9.2.2 External Monitoring Reporting...... 81 9.3 POST ASSESSMENT FOR RESETTLEMENT...... 81 APPENDIX 1 SUMMARY OF LAND OCCUPATION OF HPNRNS...... 82 APPENDIX 2 RESULTS OF SOCIOECONOMIC SURVEY FOR THE PROJECT AREA ...... 85 APPENDIX 3 TESTIMONY OF ZHAO COUNTY FOR AGRICULTURAL PRODUCTION VALUE FROM 2004 TO 2006...... 124 APPENDIX 4 RESETTLEMENT INFORMATION HANDBOOK...... 125 APPENDIX 5 RELEVANT LAWS AND POLICIES OF THE PRC ...... 134

LIST OF TABLES

TABLE 1-1 BRIEF CONDITIONS OF THE THREE SUB-PROJECTS...... 3 TABLE 1-2 COMPARISON OF THE PRIMARY PLANS OF SSWTES ...... 5 TABLE 1-3 SUMMARY OF EFFECTS WITH ADOPTING OPTIMIZED MEASURES TO MINIMIZE OR AVOID RESETTLEMENT...... 7 TABLE 1-4 THE DESIGN PROCESS SCHEDULE OF EACH SUB-PROJECT ...... 8 TABLE 2-1 SUMMARY OF PERMANENT LAND ACQUISITION OF THE PROJECT ...... 13 TABLE 2-2 SUMMARY OF TEMPORARY LAND OCCUPATION OF THE PROJECT ...... 15 TABLE 2-3 SUMMARY OF THE PERSONS AFFECTED BY PERMANENT LAND ACQUISITION18 TABLE 2-4 SUMMARY OF THE AFFECTED VULNERABLE GROUPS ...... 20 TABLE 2-5 SUMMARY OF THE IMPACTED ATTACHMENT OF GROUND ...... 20 TABLE 3-1 RELEVANT REGULATIONS AND THE PROJECT ADOPTION ...... 35 TABLE 3-2 RESETTLEMENT PRINCIPLES OF THE PROJECT...... 40 TABLE 3-3 ELIGIBILITY FOR COMPENSATION ...... 41 TABLE 3-4 ANNUALLY AGRICULTURAL PRODUCTION VALUE OF ZHAOZHOU TOWNSHIP. 41 TABLE 3-5 THE COMPENSATION RATES FOR LAND ACQUISITION ADOPTED BY THE PROJECT ...... 42 TABLE 3-6 COMPENSATION RATES FOR ATTACHMENT OF GROUND OF THE PROJECT .. 42 TABLE 3-7 STANDARD ADOPTED FOR OTHER RELATED FEES ...... 42 TABLE 4-1 ANALYSIS FOR INCOME RESTORATION OF SSWTES ERROR! BOOKMARK NOT DEFINED. TABLE 4-2 ANALYSIS FOR INCOME RESTORATION OF SWWTS.. ERROR! BOOKMARK NOT DEFINED. TABLE 5-1 THE PROJECT LEADING TEAM FOR ZTIIC...... 56 TABLE 5-2 THE PMO FOR ZTIIC...... 57 TABLE 5-3 STAFFING ESTABLISHMENT FOR RESETTLEMENT MANAGEMENT INSTITUTIONS60 TABLE 5-4 SCHEDULE FOR RESETTLEMENT IMPLEMENTATION TRAINING...... 61 TABLE 6-1 MAJOR PUBLIC PARTICIPATION DURING THE STAGE OF PROJECT PREPARATION ...... 64 TABLE 6-2 SCHEME OF PUBLIC PARTICIPATION ...... 68 TABLE 7-1 RESETTLEMENT COST ESTIMATES (UNIT: RMB 10,000) ...... 72 TABLE 7-2 ANNUAL RESETTLEMENT INVESTMENT PLAN ...... 74 TABLE 8-1 RESETTLEMENT IMPLEMENTATION SCHEDULE...... 76 TABLE 9-1 PROGRESS REPORT ON LAND ACQUISITION AND RESETTLEMENT...... 79 TABLE 9-2 EXECUTION PROGRESS ON FUNDS UTILIZATION ...... 79 TABLE 9-3 REPORTING SCHEDULE FOR RESETTLEMENT MONITORING AND EVALUATION81 TABLE 1 SUMMARY OF THE ANALYSIS FOR FAMILY POPULATION ...... 87 TABLE 2 SUMMARY OF THE EDUCATION OF THE SURVEY PERSONS...... 88 TABLE 3 SUMMARY OF THE EMPLOYMENT OF THE SURVEY PERSONS ...... 89 TABLE 4 SUMMARY OF THE CONTRACTED FARMLAND ...... 89

TABLE 5 SUMMARY OF HOUSING CONDITION OF THE SAMPLED PERSONS ...... 89 TABLE 6 SUMMARY OF INCOME STRUCTURE OF THE SAMPLED PERSONS...... 90 TABLE 7 SUMMARY OF THE EXPENDITURE STRUCTURE OF THE SURVEY PERONS...... 92 TABLE 8 SUMMARY OF THE POPULATION OF THE APS...... 98 TABLE 9 POPULATION STRUCTURE OF THE APS ...... 98 TABLE 10 SUMMARY OF THE AGE STRUCTURE OF THE APS ...... 99 TABLE 11 SUMMARY OF THE EDUCATION OF THE APS...... 99 TABLE 12 SUMMARY OF THE EMPLOYMENT OF THE APS...... 101 TABLE 13 SUMMARY OF FAMILY PROPERTY OF THE APS ...... 102 TABLE 14 SUMMARY OF THE CONTRACTED FARMLAND CONDITION OF THE APS ...... 103 TABLE 15 SUMMARY OF HOUSING CONDITION OF THE APS ...... 103 TABLE 16 SUMMARY OF INCOME STRUCTURE OF THE APS ...... 105 TABLE 17 SUMMARY OF EXPENDITURE STRUCTURE OF THE APS (UNIT: RMB) ...... 107 TABLE 18 CORRELATIVITY BETWEEN THE RATE OF FARMLAND LOSS AND THE RATE OF THE INCOME OF AGRICULTURAL PRODUCTION...... 109 TABLE 19 SUMMARY OF THE POPULATION OF THE APS...... 111 TABLE 20 SUMMARY OF THE EMPLOYMENT OF THE APS...... 114 TABLE 21 SUMMARY OF ANNUAL INCOME OF THE APS OF DASHIQIAO VILLAGE ...... 115 TABLE 22 ANNUAL NET INCOME PER HOUSEHOLD OF APS IN DASHIQIAO VILLAGE .....116 TABLE 23 SUMMARY OF THE APS OF DASHIQIAO VILLAGE ...... 117 TABLE 24 ANNUAL GROSS EXPENDITURE PER HOUSEHOLD OF APS IN DASHIQIAO VILLAGE ...... 118 TABLE 25 ANALYSIS ON FAMILY INCOME SOURCE OF APS IN DASHIQIAO VILLAGE ...... 118 TABLE 26 RATE OF THE INCOME OF AGRICULTURAL PRODUCTION OF THE APS...... 120 TABLE 27 ANALYSIS ON IMPACTS OF CULTIVATED LAND ACQUISITION IN DASHIQIAO VILLAGE – ...... 120 TABLE 28 PUBLIC VIEWS SURVEY QUESTIONNAIRE OF SECOND-PHASED WASTE WATER TREATMENT PROJECT...... 121

LIST OF CHARTS

CHART 1 SKETCH MAP OF DISTRIBUTION FOR THE THREE SUB-PROJECTS...... 2 CHART 2 SKETCH MAP OF THE PERMANENT LAND ACQUISITION OF SSWTES ...... 12 CHART 3 INSTITUTIONAL ORGANIZATION FOR RESETTLEMENT MANAGEMENT...... 57 CHART 4 APPEAL CHANNEL FOR THE APS ...... 70 CHART 5 THE PROCESS OF COMPENSATION FUND APPROPRIATION ...... 75 CHART 11 SUMMARY OF EXPENDITURE STRUCTURE OF THE APS...... 108 CHART 12 SUMMARY OF THE EDUCATION OF THE APS...... 113 CHART 13 SUMMARY OF EMPLOYMENT OF THE APS ...... 114 CHART 14 SUMMARY OF INCOME STRUCTURE OF THE APS ...... 115

EXECUTIVE SUMMARY

1. PROJECT BRIEFING AND MAIN IMPACTS

Zhaozhou Township Infrastructure Improvement Project includes three sub-project, which are the Second-phased Solid Waste Treatment and Exploitation Sub-project of Zhao County and the Second-phased Waste Water Treatment Sub-project of Zhao County, and the Heating Pipeline Networks Rebuilding and Newly-building Sub-project of the Urban Area of Zhao County.

Permanent land acquisition is involved in the three sub-projects, the total acquired land area is 104.46mu, including 93.81mu of the land owned collectively and 10.65mu of state-owned land. There are 26 households with 139 persons affected by permanent land acquisition.

Temporary land occupation will be involved in SWWTS and HPNRNS, the total area of the temporarily occupied land is 150.57mu (equaling to 100379.1m2). There is no person involved in the temporary land occupation.

There is only one vulnerable household directly affected.

2. POLICY FRAMEWORK

The RP is pursuant to relevant laws or regulations related to involuntary resettlement of PRC, the policies for involuntary resettlement of ADB and relevant regulations of the project area, including: Policy of Asian Development Bank on Involuntary Resettlement, November 1995;Summary of the Handbook on Resettlement: A Guide to Good Practice, 1998;Operations Manual – Involuntary Resettlement (OM/F2), October 2006, Real Right Law of the PRC (effected from Oct.1, 2007); Land Administration Law of the PRC (effected from January 1 of 1999, revised on August 28, 2004); Comments of the PRC for Further Strengthening the Work of Basic Farmland Protection (effected from Sep. 2005); Guidelines for Strengthening Land Acquisition Compensation and Relocation System (effected from November 3, 2004) ; Regulation for Public Hearing of National Land Resource (effected from May 1, 2004); Regulation for National Land Assignment with the Agreement (effected from Aug.1, 2008, and the order of No.21 made by National Land Resource Department);A Bulletin of the Comments for Land Acquisition (effected from Jan.1, 2002 and the order of No.10 made by National Land Resource Department);Land Administration Ordinance of Hebei Province (revised in 2002);The Compensation Rates of Shijiazhuang City for the Acquisition of Crop Standing and Attachment of Ground (effected from Mar.2007);Notification of the People’s Government of Shijiazhuang City for further Implementing Social Assurance of the Land-lost Farmers (effected from Aug. 2007);Comment of the People’s Government of Zhao County for the Normalization of Land Acquisition within the Planned Area (effected from Jun. 2007).

The principle for compensation and entitlement of this project is based on the existing laws and policies of PRC and ADB with the objective of ensuring APs be provided with sufficient

compensation and assisting measures to enable them at least to restore the living standards to the pre-project levels.

After consultation between project sponsor, county land resources bureau and affected villages, it is agreed that compensation rates for farmland acquisition is set at 30 times of AAOV, which includes 10 times of AAOV or RMB20100 per mu for land compensation and 20 times of AAOV or RMB40200 for resettlement subsidy. The AAOV is set at RMB2010 per mu.

3. THE RESETTLEMENT MEASURES AND INCOME RESTORATION

SSWTES: Beibaishang Village is acquired the farmland of 38.21mu that is accounting for only 1.11% of the total farmland owned by the village, which means land acquisition brings little impact on the economy of the village. Nevertheless, the rate of land lose of the APs is up to 43.07%, which will have certain impacts for the APs. In order to minimize the negative impact on the livelihood and economic income of the APs, the agency responsible for the RP fully consulted with the village committee of Beibaishang Village for the utilization of resettlement fund and production restoration for several times. The final RP, which is in accordance with relevant policies, is determined through the collective discussion of the village committee and consultations with affected individuals. The land compensation and resettlement subsidy for the permanent land acquisition is directly paid to the village committee, while the compensation for the standing crops is directly paid to the APs. In light of the existing Compensation Rates, and after the discussion of villager representatives, it is decided to pay 70% land compensation and all resettlement subsidy to the APs who do not willing to be resettled by the village, the left 30% land compensation will given to the village so as to develop the collective projects. For the APs who want to be resettled by the village, they will receive at least 30% resettlement subsidy; and the remaining 70% of resettlement subsidy and total land compensation will be given to the village so as to improve farming condition and develop secondary and tertiary industries and resolve the production and livelihood issues of APs. With the level of underground water being low and the weather of being dry in the region, the water using condition of Beibaishang Village is bad, especially in summer, and this problem is becoming more and more seriously. In addition, villagers still use the water from well. As a result of that, the village committee plans to use the compensation fees firstly to improve the water using condition. The detailed measures include constructing 2 or 3 deep well and building the water pipeline networks for water supply. In addition, the communication condition of Beibaishang Village is also bad. At present, the road surface of the village is covered by earth without cement. The village committee expressed that it will use the compensation fees to reconstruct the village road connecting to Guowang Highway with cement covered so that the villagers have more convenience to transport starch. The agency responsible for the RP planned to take the measures as the following to restore the living and production level of the APs based on the achievements of baseline survey and the consultation with the village committees so as to guarantee the living and production of the APs not to be lowered due to the project implementation and assure them of benefiting from the project and fundamentally improving their living and production conditions. 1) Set up an

economic body engaged in starch transportation.2) Strengthen the development of tertiary industry. 3) Implement technical training for the labor force and empower them with right qualities; 4) Organize the labor forces engaged in off-farm work.5) Organize labor forces to go to other places for working.6) Temporary employment opportunities during the project implementation

SWWTS: There are 55.6mu of land, which is irrigation land, to be acquired by SWWTS. And there are 17 households and 84 persons to be affected, of which there are 53 labor forces. Dashiqiao Village is in the south of Zhaozhou Township, in which the famous Zhaozhou Bridge locates. The farmland owned per capita is only 1.06mu and the proportion of the labor forces engaged in agricultural production is 33.96%, which means family living and production is not dependent on the agricultural production compared with the traditions. What’s more, from the view of domestic income structure, the income from agricultural production is annually RMB 8119, accounting for 34.7%, whereas the income from off-farm work is annually RMB 13329, accounting for 56.9%, which also indicates that the support from agricultural production for the family living and project is not so powerful. As this village is close to the urban area of Zhao County, many villagers have sufficient employment opportunities to be engaged in construction, textile and restaurant, etc. Although the rate of land lose of the APs is 100%, it still can be predicted that land acquisition will not bring much negative impact on the family living and production of the APs. The agency responsible for the RP implemented baseline survey on Dashiqiao Village two times, which is respectively Dec. of 2007 and Jan. of 2008. At the same time, the agency invited the project owner, relevant staffs of County Land Resource Bureau, persons responsible of Dashiqiao Village and all the APs to hold public discussion to talk about the plan for the APs resettlement and rehabilitation. With the faith of minimizing the negative impacts, the agency responsible for the RP ultimately made the RP for the APs as the following through fully consulting with the village committee and asking for the views and suggestions of the APs and regarding to the socioeconomic conditions of Zhao County. This plan is in accordance with relevant laws and policies of the PRC, Hebei Province, Shijiazhuang City and Zhao County and relevant policies of ADB. 1) MONETARY COMPENSATION: The land compensation and resettlement subsidy for the permanent land acquisition is directly paid to the village committee, while the compensation for the standing crops is directly paid to the APs. In light of the existing Compensation Rates, and after the discussion of villager representatives, it is decided to pay 70% land compensation and all resettlement subsidy to the APs who do not willing to be resettled by the village, the left 30% land compensation will given to the village so as to develop the collective projects. To the APs who want to be resettled by the village, pay no lower than 30% resettlement subsidy to them and the left 70% resettlement subsidy and total land compensation will be given to the village so as to develop public agriculture, the tertiary and secondary industries and resolve the production and livelihood issues of APs. The details are shown as the following. Agricultural production: the village committee will use the compensation fees to improve irrigation conditions for the village farmlands. The village committee will continue to strengthen technical training to develop modern agricultural production. Development of secondary and tertiary industry: at present, there are totally 6 large-scaled stockbreeding plants and bag machining plants and 1 flour machining plant in this village. Although the secondary and

tertiary industry in the village has made certain progress, the level of such development is not lagging behind. The village committee planned to use the compensation fees to attract more investment for the development of the secondary and tertiary industry. In addition, the village committee will support the APs to go the urban area of Zhao County to be engaged in individual business. Public affairs: the village committee also promised to use the compensation fees for the improvement of roads, sanitation condition, the facility of school, environment and village administration, etc. In addition, the village committee planned to improve the conditions of water and electric connecting among all villagers. 2) NON-AGRICULTURAL EMPLOYMENT: According to the baseline survey for the APs, there are over 50% of labor forces of them going outside for working or doing the non-agricultural work part-time. Most of them go to the urban area of Zhao County or Shijiazhuang City for working, and some of them go to other provinces for working. They are mainly engaged in construction, spinning and restaurant, etc. and there are still a few of them doing small-scaled business, such as shop, food processing and appliance repairs in those areas. After obtaining compensation fees, they can improve their business conditions. This village is close to the urban area of Zhao County, and there are many private enterprises around the village, which make the APs search for jobs comparatively much easier. In addition, as Zhaozhou Bridge locates in the village, the APs can be engaged in the work relating to tourism. At present, the Tourism Administration Bureau of Zhao County plans to further develop the tourism of Zhaozhou Bridge and increase 80 to 90 booths of selling handicraft and offer 40 to 50 employment opportunities of afforest and cleaning and 7 to 8 employment opportunities of taxi. With fully consultation with the project owner and relevant department, the APs are preferential to obtain those employment opportunities. The project construction will bring some temporary construction employment opportunities, which includes materials transportation and earthwork. Women can also be employed during construction with jobs like preparing food and cleaning. This item is not only advantage for income restoration of the APs, but also for their further employment. After completion of the subproject, the project owner will give priority to employ the APs. According to the consultation between the village committee and the project implementation agency, there will be some labor force to be employed to enter the waste water treatment to take some work with less technique requirement, such as environmental cleaning and maintenance. 3) TECHNICAL TRAINING,4) ANALYSIS FOR INCOME RESTORATION

Restoration for Temporary Land Occupation: Temporary land occupation will be involved in SWWTS and HPNRNS, the total area of the temporarily occupied land is 150.57mu (equaling to 100379.1m2). Details are shown as the following. The pipeline networks of SWWTS are constructed by digging. The length of such pipeline networks is 1680m and the area of temporarily occupied land is 10.95mu (equaling to 7299.9 m2), which is the state-owned land. The pipeline networks of HPNRNS are mainly constructed by digging and a few of them are constructed by tunneling and top pipe. The length of such pipeline networks is 20087m and the area of temporarily occupied land is 139.62mu (equaling to 93079.2 m2), which is the state-owned land. There is no person involved in the temporary land occupation. The project owner will pay relevant fees to the department responsible, and the bodies that have the property right are in charge of restoration after they get relevant fees. After pipeline networks construction

is finished, the road will be restored into original conditions. However, the two sub-projects construction should be implemented at night so as to minimize the negative impact on people’s communication, and at same time it is still essential to reduce the impact of noise induced by the construction.

Restoration for Attachment of Ground: The affected attachments of ground will be re-evaluated by the project owner and paid reasonable compensation fees. The bodies that have the property right are in charge of restoration.

Resettlement for Vulnerable Groups: There is only one vulnerable group, who are affected by land acquisition of SWWTS, in the project area. In this family, there are 5 persons and 3 labor forces, of which the first son is of mental disability and the other son is of apoplexy. Livelihood of the family depends on the support of agricultural production and temporary working outside. After land acquisition, the family income will be reduced and the living conditions will become more serious. In consequence of that, with fully consultation between the PMO and village committee, there will be one son to be arranged for delivering newspaper. In addition, through the consultation among the project owner, village committee and the family members, this family will be resettled by taking the following measures.

In light of local customs, the village committee pays the family the subsidy of RMB 300 to 500 once and supplies them with daily necessities in the important festival, such as spring festival. In addition, the labors of this family are to obtain employment opportunities during the development of Zhaozhou Bridge. During the project implementation, this family will be monitored regularly so that they get relevant assistances regularly and benefit from the project.

4. ORGANIZATION

In order to achieve the expected results of land acquisition and resettlement implementation, People’s Government of Zhao County has established the Project Leading Team to be responsible for project preparation and implementation, of which, An Zhongqi, as mayor of the county, is the director. This leading group consists of the members who are the heads from Water Resources Bureau, Land Administration Bureau, Finance Bureau and Construction Bureau. They have rich experiences in land acquisition, house demolition and resettlement. Under this Steering Group, the PMO is established. The PMO’s office is located in the Construction Bureau, which is responsible for the preparation, coordination, implementation and management of the project. The PMO will establish a 3-person special unit, the Social, Environment & Resettlement Management Division, to be responsible for land acquisition and resettlement activities.

5. PUBLIC PARTICIPATION AND GRIEVANCE REDRESS

prepare the RP and practically attend to the implementation, thus to achieve the target of resettlement. Public participation in the phases of preparation and implementation is of great necessity.

Public participation during the stage of project preparation and scheme of public participation is developed.

6. CHANNELS FOR APPEAL AND GRIEVANCE

Relevant institutions will accept the complaints and grievance lodged by APs. The reasonable charges as incurred will be covered by the contingency of the project.

During the whole process of project construction, these grievance procedures remain valid so that the APs may deal with relevant issues. The above means of grievance redress will be announced in the public meetings and in the resettlement information booklet. The APs will be informed of their rights for grievance and appeal. At the same time, the procedure for appeal and grievance will be published through media among the affected people.

7. MONITORING AND EVALUATION

For the effective implementation of the RP and realization of resettlement objective, based on the resettlement policies of ADB, this project will undertake regular monitoring and evaluation for the land acquisition, demolition and resettlement activities. The monitoring consists of two parts, respectively internal monitoring conducted by resettlement institution and external monitoring carried out by external monitoring agency.

The internal monitoring institutions of this project include the PMO Zhao County, and other relevant departments (such as national land resources bureau). All these institutions will engage full-time leaders to be responsible for concerned resettlement issues of the project. Such leaders must have rich working experiences and authorities relating to resettlement to coordinate all concerned departments. At the same time, the members of these institutions must also have knowledge for handling resettlement issues and social problems so that they can perform their responsibilities.

The external monitoring and evaluation institution will undertake regular monitoring and

evaluation of the resettlement implementation activities and provide with necessary consultative suggestions, including the aspects of resettlement progress, quality and funds. In addition, the production and living standards of the APs will be also monitored and evalluated. Monitoring reports will be submitted to the PMO of Zhao County and ADB.

8. RESETTLEMENT BUDGET AND RESETTLEMENT IMPLEMENTATION SCHEDULE

All the expenses arising from land acquisition and resettlement will be covered by the total budget of the project. The total resettlement budget is RMB 24.43 million, accounting for 11.8% of the total investment budget, which includes compensation for permanent land acquisition of RMB 8.35 million, accounting for 34.18% of total resettlement budget, and compensation for temporary land occupation of RMB 12.12 million, accounting for 49.6% of total resettlement budget. All resettlement cost will be included as part of total project cost.

Based on the project construction progress, the project preparation and construction will be completed in different phases from March 2009 to December 2010. The major works of demolition and relocation will be started from March 2009 and completed by December 2010.

1 Brief Introduction of the Project

1.1 Summary of the Project

In order to meet the requirements for promoting urbanization formulated by the Tenth Five-year Program of Hebei Province, Development and Reform Commission of Hebei Province and Financial Department of Hebei Province proposed Hebei Small Cities and Towns Development Demonstration Project in the second half year of 2005. After extensive discussion and revision, the two departments submitted the project to National Development and Reform Commission for approval in Sep. 2006. In Feb. 2007, this project was listed in the ADB financed project of 2007 to 2009, which named as the Hebei Small Cities and Towns Development Demonstration Project. Zhaozhou Township Infrastructure Improvement Project is a sub-project of this project.

1.2 The Project Component

Zhaozhou Township Infrastructure Improvement Project includes three components. They are Second-phased Solid Waste Treatment and Exploitation Project, Second-phased Waste Water Treatment Project, and Heating Pipeline Networks Upgrading and Construction Project. All three components are located in the urban area of Zhaoxian County.

SSWTES involves the construction for the plant and access road. As Zhao County is supported by the development of agricultural production and organic manure is much needed. Most of the treated solid wasted are widely used for compost in agricultural production. The newly-built solid waste treatment plant is located to the north of Nanbaishang Village and close to Guowang Highway (a province-leveled road). With the measurement of environmental assessment agency, the environment impact zone is 350m around the plant and there is no residential housing within the scope, so house demolition is not involved in the project. According to the project designing, the capacity of solid waste treatment is 100 ton per day, and newly-built plant needs to acquire the farmland of 38.21mu. SWWTS involves the construction for the plant and pipeline networks for waste water drainage. The newly-built plant is located in the south of Zhao County and close to Boli Road and Xiao River. According to the project designing, the plant needs to acquire the farmland of 55.6mu from Dashiqiao Village. According to the report of environmental assessment, there is no residence housing within 200m. The length of main pipeline is 1680m with the diameter of DN1350 and DN1500. The capacity of waste water treatment is 50,000 ton per day after the sub-project construction. HPNRNS is planned to construct the pipe for heat supply of 20.087km and increase the area of heat supply for 7,040,000 m2. According to the project designing, there will be 41 heat re-transfer stations to be constructed, 44 heat re-transfer stations to be re-constructed, 2 primary heat transfer station to be re-constructed, 7 tunnel (crossing bridge) to be constructed and 5 top pipelines (crossing road) to be constructed.

The distribution of the three sub-projects is shown as Chart 1-1 and the brief condition of the three sub-projects is shown as Table 1-1.

Chart 1-1 Sketch Map of Distribution for the Three Sub-projects

Table 1-1 Brief Conditions of the Three Sub-projects1 Brief Project Construction Sub-project Capacity Brief Impact Construction Owner Period Solid Waste Treatment A farmland of 38.21mu to be permanently acquired 100 ton per SSWTES Plant 2008～2010 Occupying land of 1.51mu, including 1.46mu of the land owned day Entrance Road collectively and 0.05mu of state-owned land Waste Water Treatment A farmland of 55.6mu to be permanently acquired Plant 50,000 ton SWWTS Pipeline Networks for 2008～2010 per day There is totally 7299.9 m2 of state-owned land to be occupied Waste Water Drainage temporarily. Permanent land acquisition is not involved. (1.68km) The total area of temporary land occupation is 93079m2, of which the total area of broken road is 39032.64m2. For newly-built roadway digging, the total area of temporary land occupation is UCTC 2033m2, of which the road surface with bitumen covered is 535m Pipeline Networks for and the broken area is 738m2; and for newly-built non-roadway Heat Supply (20.087km) digging, the total area of temporary land occupation is 5955m2, of which the road surface with bitumen covered is 1385m and the 7,040,000 broken area is 2285m2; the other pipeline networks construction HPNRNS 2008～2010 m2 are implemented in the footway, and the broken road surface is cement brick. There are totally 93 trees to be affected. 65 heat re-transfer station（including 2 There is 10.6mu (equal to 7065m2) of state-owned land to be primary heat transfer occupied permanently for the newly construction of 33 heat stations）to be re-transfer stations. The rest 32 retransfer stations will be rebuild constructed or and need not requisition any land. re-constructed

1 The items of brief construction, capacity and construction period are all cited from FSR of the project, and the project impact is from the achievements of resettlement survey.

1.3 Project Beneficiary Area and Affected Area

1.3.1 Project Beneficiary Area

Project beneficiary area is the urban area of Zhao County. The urban area of Zhao County, with a total population of 105,100, is the center of polity, economy, culture, commence, banking and technology of Zhao County. After the project construction, the capacity of solid waste treatment and waste water treatment will be enhanced, and the water quality will be improved; the area of heat supply will be further expanded. The living and production level of residences of Zhao County will be further raised and image of Zhao County will be further improved, which can make Zhao County obtain more investment and effectively promote local socioeconomic development.

1.3.2 Project Affected Area

1.3.2.1 SSWTES

SSWTES will affect Beibaishang Village of Zhaozhou Township. This sub-project is planned to acquire 38.21mu of the land owned collectively, and there are 9 households with 55 persons to be affected, who are from the 2nd villagers’ groups and the 7th villagers’ group. According to EAR, there is no residential housing within the scope of 350m, so house demolition is not involved.

1.3.2.2 SWWTS

SWWTS will affect Dashiqiao Village of Zhaozhou Township. This sub-project is planned to acquire 55.6mu of the land owned collectively, and there are 17 households with 84 persons to be affected, who are all from the 12th villagers’ group. According to EAR, there is no residential housing within the scope of 350m, so house demolition is not involved. The construction of the pipeline networks for waste water drainage is planned to temporarily occupy 10.95mu (equal to 7299.9m2) of the land owned by the state.

1.3.2.3 HPNRNS

Totally 65 heat re-transfer stations will be newly constructed or reconstructed. Among them, 33 heat re-transfer stations and permanently occupy 10.6mu of the land owned by the state and the other 32 heat re-transfer stations will be reconstructed and need not to requisition any land. The total area of broken road induced by pipeline networks construction is 58.55mu (equal to 39032.64m2). The total area of temporary land occupation (containing the area of broken road) is 139.62mu (equal to 93079m2). In addition, the construction of pipeline networks will unavoidably bring some negative impacts on the transportation.

1.4 Measures of Minimizing Negative Impacts

1.4.1 Optimize the Project Design to Avoid or Minimize Resettlement

In order to avoid or minimize resettlement, through sufficient public participation, the project owner and the project designing unit have tried their best to optimize the project design and select the proper sites for the solid waste treatment plant and waste water treatment plant.

SSWTES, at the stage of project preparation, had two construction plans. The first plan was to construct the solid waste plant in the southeast of Zhaozhou Township with a distance of 1km, on the north of Xiao River with a distance of 1.5km and on the west of No. 308 National Highway and on the east of Ye River. The second plan is to construct the solid waste plant to the north of Nanbaishang Village and close to Guowang Highway. With fully considering to relevant elements, the project owner and the project designing unit compared the two plans, details of which are shown as Table 1-2.

Table 1-2 Comparison of the Primary Plans of SSWTES 1 Item First Plan Second Plan In the southeast of Zhaozhou Township with a distance of To the north of Nanbaishang 1km, on the north of Xiao River 1 Site Village and close to Guowang with a distance of 1.5km and on Highway. the west of No. 308 National Highway 2 Nature of Land Farmland Farmland There is 1000m2 of residential There is no residential housing housing to be demolished and Circumstances of the and production facility needed to 3 some production facilities Site be demolished within the scope needed to be relocated within of 350m. the scope of 300m. The air course is disadvantage The air course is advantage for View of Residents 4 for some residents to avoid the some residents to avoid the Living Around the Site smell. smell. The site is close to first-phased solid waste treatment and There is no house demolition Comprehensive exploitation project, but it is 5 and residents can avoid the Comparison close to residential housing site smell. and to make residents not avoid the smell. Conclusion Not Adopt Adopt

After the comparison, the second plan is adopted, by which house demolition can be avoided.

SWWTS is planed to be constructed in the south of Zhao County, on the west of Boli Road, on the north of Xiao River with a distance of 150m and close to the existing waste water treatment plant with fully considering the geology of Zhao County, the air course of the site and the existing pipeline networks for waste water drainage. This design can make use of the existing production facilities and reduce the project construction scale so as to lower permanent land acquisition and avoid resettlement impact.

1.4.2 Minimizing Negative Impact by Strictly Abiding by Environmental Protection Laws and Regulations of PRC

With fully definition for environmental impact by the agency entrusted for making EAR, the environmental buffer zone of the newly-built solid waste treatment plant is the scope of 350m, and one of oxidation pool of the newly-built waste water treatment plant is the scope of 200m. There is no residential housing in the two environmental buffer zones.

Meanwhile, with fully abiding by environmental protection laws and regulation of PRC, the project owner will adopt biotechnical means to treat the smell produced from solid waste treatment and use the induced draft fan to further minimize the smell and then eliminate collected smell through biotechnical clean; collect the waste water and reuse it for the re-treatment for solid waste and drain the un-used waste water through waste water drainage pipeline and; select the trees that have powerful capacity to prevent noise and smell and plant arbors and establish greenbelts around the plant.

1.4.3 Optimize the Construction Plan of Pipeline Networks

The pipeline networks will be constructed along the main road to minimize temporary land occupation and house demolition.

1.4.4 Others

There are other measures to be adopted for minimizing the negative impact, which is mentioned as the following.

Strengthen data collection and further analysis socioeconomic conditions of the project area to make effective RP and powerfully guarantee the APs to avoid economic loss;

Encourage public participation and welcome public monitoring;

Strengthen internal and external monitoring and evaluation, and establish feedback mechanism to assure various problems reflected of resolving timely.

With adopting the measures mentioned above, the resettlement can be minimized effectively, details of which are shown as Table 1-3.

Table 1-3 Summary of Effects with Adopting Optimized Measures to Minimize or Avoid Resettlement Amount of Affected Area of Demolished Permanently Occupied A Population of the APs Measures of Households House (unit: m2) Land (unit: mu) Sub-project Optimization Pre- Post- Pre- Post- Pre- Post- Pre- Post- optimization optimization optimization optimization optimization optimization optimization optimization Site SSWTES 16 9 1000 0 31 38.21 83 55 Optimization Designing SWWTS 26 17 0 0 84.9 55.6 123 84 Optimization Designing HPNRNS 0 0 0 0 12.3 10.6 0 0 Optimization

1.5 The Design Process of Each Sub-project

This project is prepared from Jul. 2007 and approved in Nov. 2007 (according to No.1798 of JFGWZ [2007]). Then the project designing is implemented. FSR for SSWTES and SWWTS is made by Tangshan Planning and Design Institute, and FSR for HPNRNS is made by Hebei Xindi Heat Engineering Technology Co. Ltd. Environment Research Center of Hebei Normal University is entrusted to make EAR for the three sub-projects.

Simultaneously, People’s Government of Zhao County specially established Lead Team and the project management office (the PMO) for the project. Li Ruilin, as the general manager of UCTC, is the head of the PMO and Zhao Jiaoyan (vice head of development and reform bureau of Zhao County) and Wei Jinshui (vice manager of UCTC) are the vice heads of the PMO. The PMO is located in Construction Bureau of Zhao County. During the stage of project preparation, the PMO finished the work of site selection for SSWTES and the Second-phased Waste Water Treatment Sub-project of Zhao Count, determination for the site of pipeline networks and heat transfer stations, and measurement of water and electricity supply, project geology, land acquisition and house demolition, and making the sketch map for the project site, and at the same time the PMO obtained relevant approval.

Summary of the design process schedule of each sub-project is shown as Table 1-4.

Table 1-4 The Design Process Schedule of Each Sub-project Project No. Sub-project FSR EAR RP Recommendation

The last ten The first ten 1 SSWTES Oct. 2007 Jan. 2008 days of Dec. day of Jan. 2007 2008 The first ten The middle 2 SWWTS Oct. 2007 Dec. 2007 day of Dec. ten day of 2007 Dec. 2007 The first ten The middle 3 HPNRNS Oct. 2007 Jan. 2008 day of Dec. ten day of 2007 Dec. 2007

1.6 Project Investment Funds and Related Source

This project is invested by UCTC, and the total investment fund is from domestic counterpart funds and loans of ADB. The total investment fund is RMB 207.01 million, of which there is RMB 103.65 million from domestic counterpart funds, accounting for 50% and RMB 103.36 from loans of ADB, accounting for 50%.

1.7 Preparation Progress of the RP

In light of relevant policies for involuntary resettlement of ADB, the project owner should make detailed resettlement plan (RP). UCTC, as the project owner and associated by People’

Government of Zhao County and People’s Government of Zhaozhou Township entrusted special agencies to make FSR and EAR. The agency entrusted for making FSR determined the scope of land acquisition and house demolition and the agency entrusted for EAR determined the scope of environmental impact. People’ Government of Zhao County and People’s Government of Zhaozhou Township are in charge of consultation for the RP with affected villages and affected persons.

The agency entrusted for making the RP implemented socioeconomic survey for the affected area twice in Dec. 2007 and Jan. 2008 and submitted the first draft RP for Zhaozhou Township Infrastructure Improvement Component of Hebei Small Cities and Towns Development Demonstration Sector Project (first edition) to the project owner in the first ten days of Feb. 2008.

2 Project Impacts

With further realizing the socioeconomic conditions of the project area and the basic living and production conditions of the APs, in light of relevant requirements of ADB, the agency entrusted for making the RP associated by the project owner and the PMO of Zhao County implemented a project impacts survey for the project area from Dec. 2007 to Jan. 2008. And then, the agency analyzed the achievements of such project impacts survey, details of which are shown as the following.

2.1 Method for Project Impacts Survey

The agency entrusted for making the RP implemented self-survey with essential cooperation of the project owner. Based on the determination of the project affected scope, which are shown by the feasible study report and EAR, the agency implemented the project impacts survey around the entire area that include the area of land acquisition and the area of environmental buffer, through which the impact indicators of the project area is ultimately determined. At the same time, the agency interviewed all the APs and stakeholders. During the stage of baseline survey, the agency also consulted with the APs, the affected villages, the affected villagers’ group, project owner and relevant departments responsible to research into appropriate RP and rehabilitation measures.

2.2 Content of Projects Impacts Survey

The content includes threes parts, which are shown as the following.

(ⅰ) Project Impacts Survey, including conditions of the acquired land and attachments of ground, the amount of land of the project area, summary of the population of the project area, the amount of the demolished houses and their property owners, conditions of the affected enterprises, conditions of temporary land occupation and attachments of ground, and conditions of vulnerable groups of the project area; (ⅱ) Socioeconomic Survey for the APs and enterprises, including conditions of income structure, employment of business. All the persons affected by land acquisition and affected vulnerable groups should be investigated. (ⅲ) Public Opinion Survey, the agency designs the questionnaire to ask for the opinion of the rehabilitants of the project area for the project and then analyzes the achievements.

2.3 Organization of Project Impact Survey and Related Implementation

In Dec. 2007, agencies entrusted for making feasible study report and EAR measured and determined the scope of land acquisition of SSWTES and SWWTS and the site of heat supply line, heat transfer station and hear re-transfer station of HPNRNS. Then, the agency entrusted for making RP implemented socioeconomic survey for the impact indicators within the project area and environmental buffer area, and meanwhile researched into the adopted policies and

11 budget for the compensation for land acquisition. In the very beginning of the project impacts survey, the agency discovered the social impacts within 350m of the Second-phased Solid Waste Treatment and Exploitation Sub-project was comparatively serious and house demolition was unavoidable, so the agency suggested the project owner change the plant site. In Jan. 2008, the agency implemented socioeconomic survey for the new plant site and achieved new impacts indicators. All affected enterprises and institutions and APs are involved in the survey. And at the same time, the agency heard the views from the rehabilitants and village committees of the project area, and relevant departments responsible for land acquisition and fully consulted them for RP and rehabilitation measures.

Simultaneously, with the means of data collection and field study, the agency entrusted for making the RP also organized relevant departments responsible to implement the survey for socioeconomic conditions of the project area and collected relevant data. As for data collection, the agency asked departments of plan, statistic and price administration for the data that include the project area’s GDP, national income, gross value of agriculture and industry, government receipts, living level, the prices of agricultural products and sideline products, the structure of farmland cultivation, total area of farmland, average production value and the quality of farmland. The field study is adopted the means of combining interview and questionnaire survey.

2.4 Project Impacts Analysis

2.4.1 The Impacted Land

2.4.1.1 Permanent Land Acquisition

Permanent land acquisition is involved in the three sub-projects, the total area of which is 104.46 mu, including 93.81mu of rural land owned collectively and 10.65 mu of state-owned land.

There are 26 households with 139 persons affected by permanent land acquisition, including the population of production resettlement of 81.

SSWTES is planned to acquire 38.21mu land, which is irrigated farmland owned by the 2nd villagers’ group and the 7th villagers’ group. The solid waste treatment plant is planned to occupy the land of 36.75mu, which includes 1.46mu of the access road. In addition, the access road also includes a ditch with 0.05mu land (with the length of 10mu and width of 3.2mu), which locates in the east and is close to Guowang Highway. The land used for access road is the waste land and owned by Highway Administration Bureau of Zhao County. Detailed condition of permanent land acquisition of the subproject is shown as Chart 2-1. There are totally 9 households with 55 persons affected by this subproject.

Chart 2-1 Sketch Map of the Permanent Land Acquisition of SSWTES

The Impacted Land The Impacted Land

SWWTS is planned to acquire 55.6mu of the land owned by collectively, which is irrigation land and owned by Dashiqiao Village. There are totally 17 households with 84 persons affected by the permanent land acquisition.

HPNRNS is planned to construct 65 heat transfer stations, including construction of 33 new heat exchange stations and upgrade 32 existing heat exchange stations. The construction of new heat exchange stations will acquire 10.6mu land, which is the state-owned land. Details of the newly-built 33 heat re-transfer stations and 32 of re-building are shown as Appendix 1.

Detailed conditions of permanent land acquisition of the project are shown as Table 2-1.

Table 2-1 Summary of Permanent Land Acquisition of the Project Households The Land Owned Collectively (unit: mu) Affected by Directly Cultivated Land Un-cultivated Land State-owned Affected Villagers’ Sub-project Item Permanent affect Sub-total Land Area Group Irrigation Dry VegetableHousing ForestrySlopingWaste Land person Pound Others (unit: mu) Land Land Land Site Land Field Land Acquisition

Plant Site 36.75 36.75 Beibaishang SSWTES 2,7 9 55 Village Enter 1.51 1.46 0.05 Road

Dashiqiao SWWTS Plant Site 12 17 84 55.6 55.6 Village

The Urban Heat Area of HPNRNS Transfer 0 0 10.6 10.6 Zhao Station County Total 26 139 104.46 93.81 10.65

2.4.1.2 The Impacted Housing

As there is no housing existing in the project area and the environmental buffer area, house demolition is not involved in the project implementation.

2.4.1.3 The Impacted Enterprises and Shops

As there is no housing existing in the project area and the environmental buffer area, the demolition of enterprise and shop is not involved in the project implementation.

2.4.1.4 Temporary Land Occupation

There is no person involved in the temporary land occupation. Detailed conditions of temporary land occupation are shown as Table 2-2.

Table 2-2 Summary of Temporary Land Occupation of the Project Area of Temporarily Diameter of Width of Width of Land Present Length（unit: Means of Road Nature of Broken Area Occupied Sub-project No. Road Starting Point End Point Pipeline （unit: Digging （unit: Occupation Condition of m） Construction Surface Land （unit: ㎡） Land （unit: mm） m）（unit: m） Road ㎡）（including broken area） No. DN1350 867 Digging 2.3 4.2 Bitumen State-owned Complete 1994.1 3641.4 1 308NationalHighwa Gongye’erRoad DongbeivHighway DN1500 321 Digging 2.5 4.5 Bitumen State-owned Complete 802.5 1444.5 SWWTS y 2 DongbeiHighway No. 308NationalHighway Shiqiao Road DN1500 492 Digging 2.5 4.5 Bitumen State-owned Complete 1230 2214 Sub-total 1680 4026.6 7299.9 Longteng street of Primary Station of Heat HPNRNS 1 Anji Road DN900 60 Digging 2.91 6 Bitumen State-owned Complete 174.6 360 Zhaoyuan Road Supply Plant Tractor Repairing 2 Ziqiang Road Anji Road DN800 720 Digging 2.72 5.8 Bitumen State-owned Complete 1958.4 4176 Plant 3 Ziqiang Road Tractor Repairing Plant Chengbo Street DN700 638 Digging 2.5 5.5 Bitumen State-owned Complete 1595 3509 Worker Attached 4 Ziqiang Road Chengbo Street DN600 2074 Digging 2.32 5.1 Bitumen State-owned Complete 4811.7 10577.4 School People's Bank of Ziqiang Road Worker Attached School PRC 5 Chengbo Street Ziqiang Road Lichun Road DN500 3626 Digging 2.11 4.9 Bitumen State-owned Complete 7650.9 17767.4 Longteng Street Zhaoyuan Road Yongtong Road Ziqiang Road Longteng Street Anji Road Ziqiang Road People's Bank of PRC Bolin Road 6 DN450 1080 Digging 1.95 4.8 Bitumen State-owned Complete 2106 5184 Yongtong Road Anji Road Yongtong Garden Agricultrual Lichun Road Chengbo Street Development Bank Yongtong Gardon Shiqiao Road Yongtong Road Limin Electricity 7 Bolin Road DN400 9162 Digging 1.8 4.4 Bitumen State-owned Complete 16492 40312.8 Power Station Civil Administration Ziqiang Road Bolin Road Bureau Yongtong Road Bolin Temple Environmental Protection Chengbo Street Bureau Lichun Road Agricultrual Development North of Wujin Plant 8 Bank DN350 1542 Digging 1.65 4.3 Bitumen State-owned Complete 2544.3 6630.6 Civil Administration Bureau Construction Band Bolin Road Bolin Road Yuntai Road Shiqiao Road Yongtong Road Shita Road Environmental Protection Water Supply Plant Bureau Lichun Road Arm Force North of Wujin Plant Department Industry and Yongtong Road Shiqiao Road 9 Commerce Bank DN300 590 Digging 1.49 3.9 Bitumen State-owned Complete 879.1 2301 North of Agricultureal Ziqiang Road Bolin Road Bank Construction Bank Agricultrure Burea Residential Area of Shiqiao Road Shita Road Plasic Plant

Jinyu Paint Water Supply Plant Lichun Road Arm Force Department Yinji Garden Industry and Commerce Yongtong Road Bolin Street Bank Yuntai Road Yucai Road Bolin Street Linxiao Road Shiqiao Road Heritage Plant Yantouxiao Street Ziqiang Road Lichun Road Tianyi Residential Bolin Road North of Agricultureal Bank Area Dongyuan 10 Shunchengbei Road DN250 595 Digging 1.38 3.8 Bitumen State-owned Complete 821.1 2261 Shenghua Road Residential Area Yongtong Road Bolin Middle School Shunchengbei Road Bolin Road Shenghua Street Yucai Road Yuntai Road Shita Road Anji Road Yongtong Road Maohua Residential Area of Plasic Shiqiao Road Linxiao Road Plant Residential Area of Pingji Street Ziqiang Road Electricity Supply Plant Sub-total 20087 39033 93079.2 Total 21767 43059 100379.1

2.4.1.5 The Affected Persons

1) Persons Directly Affected

Persons directly affected are involved in two subprojects that are SSWTES and SWWTS. According to the designing plan, there will be 26 households with 139 persons to be affected by permanent land acquisition.

SSWTES is planned to acquire the farmland of 38.21mu that are owned by the 2nd villagers’ group and 7th villagers’ group of Beibaishang Village. There are totally 9 households with 55 persons affected by this subproject. Among the 55 APs, there are 4 persons of non-agricultural residence register, 26 women (accounting for 47.27% of the total), 39 labor forces (accounting for 70.1%) including 19 of female labor forces (accounting for 48.72% of total labor forces). SWWTS is planned to acquire the farmland of 55.6mu that are owned by one villagers’ group of Dashiqiao Village. There are totally 17 households with 84 persons affected by this subproject. Among the 84 APs, there are 1 person of non-agricultural residence register, 35 women (accounting for 41.67% of the total), 60 labor forces (accounting for 71.43%) including 29 of female labor forces (accounting for 48.33% of total labor forces).

Details of the persons affected by permanent land acquisition are shown as Table 2-3.

Table 2-3 Summary of the Persons Affected by Permanent Land Acquisition

Population of The The Affected Non Sex of Ethnic Domestic Agricultural Population of Population of Population of the persons Sub-project Affected Villagers’ Householder Age Education -agricultural Householder Group Population Population Men Labor Forces Women being Village Group Population supported

junior high 7th Li Guoping Male 53 Han 9 8 1 5 6 3 3 school junior high 2nd Li Peiying Male 56 Han 5 5 0 2 4 2 1 school

7th Liu Pingfa Male 58 Han primary school 8 8 0 5 6 3 2

2nd Li Huanduo Male 53 Han primary school 6 4 2 3 4 2 2

Beibaishang SWWTS 7th Liu Qingzhi Female 60 Han illiteracy 4 3 1 1 4 3 0 Village

7th Jiang Shengqin Female 55 Han primary school 6 6 0 3 4 2 2

senior high 7th Li Ruishe Male 54 Han 6 6 0 2 4 2 2 school junior high 7th Su Zhenjiang Male 41 Han 4 4 0 3 3 1 1 school junior high 7th Liu Junfa Male 58 Han 7 7 0 5 4 1 3 school Dashiqiao Zhang SWWTS 12th Male 67 Han primary school 6 6 0 3 4 2 2 Village Fengshan

12th Fan Rongkui Male 64 Han primary school 5 5 0 3 5 2 0

12th Shi Xinfa Male 62 Han primary school 5 5 0 3 4 2 1

12th Shi Xinzhu Male 59 Han illiteracy 4 4 0 2 4 2 0

senior high 12th Hao Jucun Male 46 Han 5 5 0 3 3 2 2 school

12th Chang Xuezhen Male 54 Han primary school 5 5 0 3 4 2 1

junior high 12th Chang Yingzhen Male 51 Han 6 6 0 3 3 2 3 school

Zhang junior high 12th Male 50 Han 5 5 0 4 2 1 3 Guangmin school junior high 12th Hao Jubo Male 38 Han 4 4 0 3 2 1 2 school junior high 12th Chang Baoju Male 57 Han 6 6 0 2 4 2 2 school junior high 12th Chang Yingbo Male 37 Han 3 3 0 2 2 1 1 school

12th Hao Jushan Male 58 Han primary school 4 4 0 2 3 1 1

senior high 12th Wen Xianhui Male 52 Han 6 5 1 3 5 2 1 school junior high 12th Wen Xiansuo Male 43 Han 5 5 0 3 3 2 2 school junior high 12th Fan Rongfa Male 59 Han 5 5 0 3 4 2 1 school junior high 12th Zhang Xiulin Male 45 Han 5 5 0 2 4 2 1 school senior high 12th Wen xianjun Male 46 Han 5 5 0 3 4 1 1 school

Total 139 134 5 76 99 48 40

The construction of the pipeline networks for waste water drainage and heat supply only involves temporarily state-owned land occupation, by which no person will be affected.

2) The Affected Vulnerable Groups

There is only of vulnerable group directly affected, details of which are shown as Table 2-4.

Table 2-4 Summary of the Affected Vulnerable Groups Item Details Sub-project SWWTS Householder Fan Rongkui Age 64 The first son is of mental disability and the other son Reason of vulnerability is of apoplexy. Householder’s Education Level Primary School Number of Family Members 5 Labor Force Population 3 The Population of Male Labor Forces 1 Housing Site 12th villagers' group Income Source Agricultural Project Impacts of the Project Land Acquisition

3) The Impacted Attachments of Ground

Details of the impacted attachments of ground are shown as Table 2-5.

Table 2-5 Summary of the Impacted Attachment of Ground Item Unit SSWTES SWWTS HPNRNS Total Tomb Nos 10 46 56 Cement Telegraph Nos 8 8 Pole Tree Pcs 10 40 93 143

4) Other Impacts

In the project area, the affairs of ethnic minority and cultural heritage protection are not involved in.

2.4.2 Results of Socioeconomic Survey for the Project Area

Zhao County, with the distance of 42km from Shijiangzhuang City and as an administrative county of Shijiazhuang City, is in the south of Hebei Province. Its accurate location is East Longitude from 114°36 to 115°6 and North Latitude from 37°43 from 37°54 . Gaocheng City

21 and Luancheng City are to the north, Yuanshi County is to the west, Gaoyi County and Boxiang County are to the south, Ningjin County and Jinzhou County are to the east. Xiao River goes through the county from northwest to southeast and No. 308 National Highway goes through the county from north to south. Zhao County, with the regional area of 675km2, has a total population of 556,124 and 148,774 households. It owns 11 towns (or townships), 252 natural villages and 281 village committees.

2.4.2.1 Summary of Socioeconomic Condition of the Affected Villages

1) Beibaishang village

Beibaishang village is 4km away from the urban area of Zhao County. Guowang Highway, as a province-leveled highway, is through the village. Nanjiejiatong Village is to the north, Nanhejiazhuang Village is to the west and Nanbaishang Village is to the south. Up to the end of 2007, the village has a population of 2508 and 620 households registered. The male population is 1326; and the labor force is 1807 persons. The total area of farmland is 3,450mu, and all of them are irrigated farmland. There is only 50mu left and used by village committee. The major agricultural products are wheat and corn. In that year, the gross product value of primary industry is RMB 3,881,200 and that of tertiary industry is RMB 1,750,000.

During the survey for socioeconomic conditions of the village, the agency entrusted for making the RP randomly sampled 120 households with 541 persons (the persons directly affected by the project not included), of which the sampling rate is 21.6% of the population of the village. Detailed data of the survey is shown in Appendix 2.

According to the analysis for the sampled 120 households (541 persons), the family population is averagely 4.51. The persons with the education level equal or higher than junior high school is 310, accounting for 57.51%. Most of them are engage in agricultural production and off-farm and working outside, and a few of them are engaging in individual small-scaled business. As for the farmland contracted, the amount of contracted farmland is 735mu with 6.13mu of the farmland owned per household and 1.36mu of the farmland owned per capita, which shows that the farmland holding per capita is limited and it is necessary to develop tertiary industry to effectively raise the villagers’ income. Income of the survey persons is mainly from the income of working outside (51.3%) and agricultural production (39.2%), while the income of individual business accounts for a little proportion (4.8%). As for family expenditure, an expenditure of irrigation (18.5%) takes a large proportion among the expenditures for production and an expenditure of food (30.8%) takes a large proportion among the expenditures for living, which corresponds with socioeconomic conditions of the village. With the analysis for the family income and family expenditure, the annual net income per capita of the surveyed persons is RMB 5839, which is higher than average level (RMB 4,642) of Zhaozhou Township. It shows that the income condition of Beibaishang Village keeps a high level.

2) Dashiqiao Village

Dashiqiao Village, which is affected by SWWTS, is 1km from the urban area of Zhao County in the south and is closed to No. 308 National Highway. At present, the village has a total population of 3125 and 780 households, including 1600 of the population of men (accounting for 51.2%) and 1525 of the population of women (accounting for 48.8%). The population of labor forces is 2083. The agency entrusted for making the RP randomly samples 147 households (not including the persons directly affected by the project) to further realize the socioeconomic condition of this village, the sampling rate of which is 18.85%. Detailed data of the survey is shown in Appendix 2.

According to the survey, majority of the sampled persons are engage in agricultural production and off-farm and working outside, with a total proportion of 97.19%, and a few of them are engage in individual small-scaled business (0.7%). The farmland owned per capita is 1.06mu. The major agricultural products are wheat and corn with the output of wheat and corn are respectively 500kg one mu and 550kg one mu. The persons with the education with junior high school (35.06%) and senior high school (20.57%) take the largest proportion, the basic condition of which is similar to the one of Beibaishang Village. According to the analysis for the sampled 147 households (559 persons), the annually gross income per household is RMB 20,959 with RMB 5,579 of the annually gross income per capita, and the annual net income per household is RMB 19,247 with RMB 5,088 of the annual net income per capita, which is higher than the average level (RMB 4,642) of Zhouzhou Village. Meanwhile, annually gross expenditures per household is RMB 10,398, of which an expenditure of food (including staple food and non-staple food) takes the largest proportion and an expenditure for seed takes the least.

2.4.2.2 Socioeconomic Survey for the APs

Under the appreciated assistances of relevant departments, the agency entrusted for making the RP and the project owner implemented questionnaire survey for the persons directly affected by the project, the achievements of which are shown as the following.

A. The Survey for the APs of SSWTES

There are totally 9HHs with 55 persons of Beibaishang Village affected by permanent acquisition of collective-owned land, the agency entrusted for making the RP implemented socioeconomic survey to them. The brief data is shown as the following, whereas the detailed data is shown in Appendix 2.

1）Family Population

Among the affected 9 households with 55 persons, the population of men is 29, accounting for 53% of the total population; the population of women is 26, accounting for 47%; the population of labor forces is 39, accounting for 71%, details of which are shown as Table 2-6.

Table 2-6 Population Structure of the APs Residence Sex Labor Forces Marriage Registered Persons Item Total Female Being Rural Non-rural Male Female Labor Labor Married Un-married Supported Forces Forces Population 51 4 29 26 39 19 39 16 16 Rate 93% 7% 53% 47% 71% 35% 71% 29% 29%

2）Age Structure

Among the affected 9 households with 55 persons, a population of the persons with the age under 7 is 8, accounting for 15%; a population of the persons with age from 7 to 16 is 3, accounting for 5%; a population of the persons with age from 17 to 50 is 29, accounting for 53%; a population of the persons with age from 51 to 60 is 14, accounting for 25% and; a population of the persons with age over 60 is 1, accounting for 2%.

3）Education Level

Among the affected 9 households with 55 persons, the ones with the education level less than junior high school is 12, accounting for 22%, while the ones with the education level equal to or higher than junior high school is 31, accounting for 58%. It can be concluded that education of the survey persons can make them receive relevant technical training.

4）Employment Conditions

Among the affected 9 households with 55 persons, the persons just engaged in agricultural production is 11; the persons just engaged in going outside for working is 6; the persons engaged in both agricultural production and going outside for working is 19; and the persons engaged in individual business is 1.

5）Contracted Farmland

According to the survey, the acquired land is irrigation land with the major agricultural production of wheat and corn. Summary of the contracted farmland condition of the APs is shown as Table 2-7.

Table 2-7 Summary of the Contracted Farmland Condition of the APs Annual Gross Annual Net Annual Existing Acquired Rate of Agricultural Agricultural Householder Production Farmland Farmland Farmland Loss Production Value production (unit: kg) (unit : RMB) Value Li Guoping 9 4.1 45.56% 9600 17280 12285 Li Peiying 5 1.28 25.60% 5333 9600 6100 Liu Pingfa 12 4.38 36.50% 12800 21080 16560 Li Huanduo 8 5.09 63.63% 8533 15360 9960

Annual Gross Annual Net Annual Existing Acquired Rate of Agricultural Agricultural Householder Production Farmland Farmland Farmland Loss Production Value production (unit: kg) (unit : RMB) Value Liu Qingzhi 9 4.28 47.56% 9600 17280 12410 Jiang Shengqin 8 4.38 54.75% 6125 11025 5556 Li Ruishe 15 4.16 27.73% 19500 28600 15750 Su Zhenjiang 6 2.58 43.00% 7800 14040 6300 Liu Junfa 12 5.93 49.42% 15600 21080 12600 Total 84 36.18 43.07% 94892 170805 97521 Average 9.33 4.02 43.07% 10543.52 18978.33 10836

It can be acknowledged from Table 2-19 that the total farmland of all the APs is 84mu with average production value of 1,129.66kg per mu. This sub-project is planned to acquire their farmland for 36.18mu, which induces the rate of farmland loss is 43.07%. The rate of farmland loss of Li Huanduo is the highest, which is 63.63%, and the one of Li Peiying is the lowest, which is 25.60%. The rate of farmland loss still keeps a high level, so it is much essential to guarantee them to receive sufficient compensation. And the same time, as the APs have many labor forces, it is still necessary to supply them with appropriate and effective technical training.

6）Housing

The structure of the houses owned by the APs is mainly brick-concrete and brick-wood. An area of the houses with brick-concrete structure owned per household is 131 ㎡; an area of the houses with brick-wood structure owned per household is 78 ㎡ and; an area of the houses with timber structure is 3 ㎡.

7）Analysis for Family Income

According to the analysis for the APs, income came from agricultural production, wage, working outside and individual business but excluding stockbreeding and others. The net income per household is RMB 34,413 or RMB5631 per capita. Among the annual net income per household, the income of agricultural production is RMB 10,836, accounting for 31.5%; the income of wage is RMB 2,933, accounting for 8.5%; the income of working outside is RMB 18,422, accounting for 53.5%; the income of individual business is RMB 2,222, accounting for 6.5%. Details of the income structure are shown as Table 2-8.

Table 2-8: Summary of Income Structure of the Affected Households Agricultural Working Individual Annual Income Householder Wage Total Net production Outside Business Per Capita Li Guoping 12285 0 22000 0 34285 3809 Li Peiying 6100 0 26000 0 32100 6420 Liu Pingfa 16560 0 15000 0 31560 3945 Li Huanduo 9960 0 10000 0 19960 3327 Liu Qingzhi 12410 12000 5000 0 29410 7353 Jiang Shengqin 5556 0 26000 0 31556 5259

Agricultural Working Individual Annual Income Householder Wage Total Net production Outside Business Per Capita Li Ruishe 15750 14400 22800 0 52950 8825 Su Zhenjiang 6300 0 15000 0 21300 5325 Liu Junfa 12600 0 24000 20000 56600 8086 Total 97521 26400 165800 20000 309721 5631 Average 10836 2933 18422 2222 34413 5631 Percent 31.5% 8.5% 53.5% 6.5% 100.0%

It can be concluded from Table 2-8 that the APs’ income is supported by working outside and agricultural production and permanent land acquisition will bring negative impacts on them, so it is much essential to guarantee them to receive sufficient compensation timely and offer them effective and appropriate technical training.

8）Analysis for Family Expenditure

According to the analysis for the APs, annually gross expenditures per household is RMB 23,268.

As for the expenditures for production, annual expenditures per household per household is RMB 8,143, accounting for 35.0% of the total. An expenditure for seed is RMB 1,341, accounting for 5.8%; an expenditure of pesticide and fertilizer is RMB 1,296, accounting for 5.6%; an expenditure of irrigation is RMB 4,401, accounting for 18.9% and; an expenditure of planting and reaping with machine is RMB 1,104, accounting for 4.7%.

As for the expenditures for living, annual expenditures per household is RMB 15,126, accounting for 65.0% of the total. An expenditure of electricity is RMB 392, accounting for 1.7%; an expenditure of communication is RMB 1,702, accounting for 7.3%; an expenditure of schooling is RMB 4,680, accounting for 20.1%; an expenditure of medical care is RMB 633, accounting for 2.7%; an expenditure of fuel is RMB 1,396, accounting for 6.0%; an expenditure of food (including staple food and non-staple food) is RMB 5,378, accounting for 23.1% and; an expenditure for others is RMB 944, accounting for 4.1%.

As the village committee of Beibaishang Village affords the expenditure of drinking water for all villagers, there is no water expenditure included in the expenditure structure. Summary of the expenditure structure is shown as Table 2-9.

Table 2-9: Summary of Expenditure Structure of the APs (unit: RMB) List of Affected Production Commun Food education Energy Electricity Other Total Households Cost ication Li Guoping 4995 2000 3360 15000 2000 240 0 27595 Li Peiying 3500 2000 1800 0 1400 420 0 9120 Liu Pingfa 6480 4000 1800 0 1400 480 0 14160 Li Huanduo 5400 3000 1200 20000 2500 240 0 32340 Liu Qingzhi 4870 4000 0 0 1000 50 0 9920

List of Affected Production Commun Food education Energy Electricity Other Total Households Cost ication Jiang Shengq 5469 5000 1200 320 1800 300 1000 15089 Li Ruishe 19350 14400 3600 0 1020 480 4000 42850 Su Zhenjiang 7740 8000 1560 6000 480 720 3000 27500 Liu Junfa 15480 6000 800 800 960 600 500 25140 Total 73284 48400 15320 42120 12560 3530 8500 203714 Average 8143 5378 1702 4680 1396 392 944 22635 Rate 36.0% 23.8% 7.5% 20.7% 6.2% 1.7% 4.2% 100.0%

It is acknowledged from Table 2-9 that the major expenditure is irrigation, schooling and food, of which the food takes the largest proportion. The expenditure is coherence with socioeconomic conditions of the village. Land acquisition is unavoidable to induce the decreasing of the expenditure for production, esp. the one of irrigation, while it will not affect the APs’ living in a short term. Therefore, it can be concluded that the expenditure structure of the APs will not be much changed in the following years.

9）Comparative Analysis for Family Income and Family Expenditure

Based on the analysis of family income and family expenditure, it can be seen that the annual net income per capita is RMB 5,558 (equal to annual gross income per capita minus annual gross expenditure for production per capita), which is higher than the average level of Zhaozhou Village.

10）Opinion Survey of the APs for the Project Implementation

Since there is little possibility of providing replacement farmland by the village committee through land readjustment due to unavailable of village collective reserved farmland, the affected households all hope they can receive reasonable and sufficient compensation according to relevant laws and policies. After land acquisition, they plan to purchase social security insurance and engage in other income generation activities to restore and increase their income and livelihood. And young labor forces of them incline to get more proper technical training and employment information and employment opportunities.

B. The Survey for the APs of SWWTS

There are totally 17 HHs with 84 persons of Beibaishang Village affected by permanent acquisition of collective-owned land, the agency entrusted for making the RP implemented

socioeconomic survey to them. The brief data is shown as the following, whereas the detailed data is shown in Appendix 2.

1) Family Population

Among the affected 17 households with 84 persons, the population of men is 47, accounting for 55.95% of the total population; the population of labor forces is 60, accounting for 71.43%, details of which are shown as Table 2-10.

Table 2-10: Population Structure of the APs Residence Persons Sex Labor Forces Marriage Registered Being Item Total Female Rural Non-rural Male Female Labor Labor Married Un-married Supported Forces Forces Population 83 1 47 37 60 29 55 16 24 Rate 99% 1% 56% 44% 71% 35% 65% 35% 28%

2) Education Level

Among the affected 17 households with 84 persons, the ones with the education level less than junior high school is 27, accounting for 32%, while the ones with the education level equal to or higher than junior high school is 41, accounting for 49%. It can be concluded that education of the APs can make them receive relevant technical training.

3) Labor Forces Type of the APs

Among the affected 17 households with 60 labor forces, the population of the labor forces just engaged in agricultural production accounts for 48.33% of the total labor forces; the population of the labor forces just engaged in going outside for working accounts for 35.00%; the population of the labor forces engaged in agricultural production and going outside for working accounts for 15%; the population of the labor forces engaged in individual business accounting for 1.67%.

4）Contracted Farmland

According to the survey, the acquired land is irrigation land with the major agricultural production of wheat and corn. Summary of the contracted farmland condition of the APs is shown as Table 2-11.

Table 2-11: Summary of the Contracted Farmland Condition of the APs Existing To be acquired Rate of Output gross net Householder (kg, agricultural agricultural Farmland Farmland Farmland Loss corn) income income

Wen Xianjun 1.60 1.00 62.50% 1780 3186.2 2889 Zhang Fengshan 3.00 2.00 66.67% 3600 6444 5314 Fang Rongkui 4.30 4.00 93.02% 5260 9415 8495 Shi Xinfa 8.20 6.00 73.17% 10010 17918 16780 Shi Xinzhu 4.00 3.50 87.50% 4390 7858 7338 Hao Jucun 7.88 6.00 76.14% 10020 17936 15336 Chang Xuezhen 6.00 5.00 83.33% 7200 12888 12408 Chang Yingzhen 5.00 4.00 80.00% 5890 10543 10023 Zhang Guangming 1.00 0.80 80.00% 1201 2149 2019 Hao Jubo 3.00 2.00 66.67% 2930 5245 4935 Chang Baoju 3.50 3.00 85.71% 4410 7894 6344 Chang Yingbo 3.60 3.00 83.33% 4300 7697 7407 Hao Jushan 8.31 6.00 72.18% 10620 19010 16447 Wen Xianhui 4.50 3.00 66.67% 4668 8356 5786 Wen Xiansuo 1.80 1.50 83.33% 2110 3777 3128 Fang Rongfa 3.80 2.30 60.53% 4920 8807 6587 Zhang Xiuling 3.50 2.50 71.43% 4120 7375 6795 Total 72.99 55.6 76.2% 87429 156497 138030 average 4.3 3.3 76.8% 5143 9206 8119

4) Analysis for Family Income

According to the statistic for the 17 HHs, annual gross income per household is RMB 24,500; annual gross income per capita is RMB 5,071; annual net income per household is RMB 23,413; annual net income per capita is RMB 4,853, which is higher than the average level in Zhaozhou Town with RMB 4,642. The main sources of income include agricultural production, working outside, wage and individual business. The income of agricultural production is RMB 9,206, accounting for 37.57% of annual gross income per household; the income of working outside is RMB 13,329, accounting for 54.41%; the income of wage is RMB 1,412, accounting for 5.76%;the income of individual business is RMB 553, accounting for 2.26% (Table 2-12).

Annual net income per household evenly is distributed from RMB 10,000 to RMB 40,000, with the most or 23.53% of total households having the annual household net income from RMB 15,000 to RMB 20,000. Details of annual net income per household of APs are shown as Table 2-13.

Table 2-12: Summary of Income Structure of the APs (unit: RMB) Percent of Agricultural Working Individual Householder Wage Net Income Agricultural production Outside Business Income Wen Xianjun 2889 0 5000 0 7903 36.7% Zhang Fengshan 5314 0 13000 0 18350 29.2% Fang Rongkui 8495 0 5000 0 13540 63.1% Shi Xinfa 16780 0 10000 0 27230 63.3% Shi Xinzhu 7338 0 22000 0 31080 29.2% Hao Jucun 15336 0 10000 0 27400 63.5% Chang Xuezhen 12408 0 25000 0 38920 35.8% Chang Yingzhen 10023 0 12000 0 20280 40.8% Zhang Guangming 2019 0 10000 0 12270 18.5% Hao Jubo 4935 0 12000 0 16970 29.3% Chang Baoju 6344 0 20000 0 24610 18.7% Chang Yingbo 7407 0 10000 0 17990 44.4% Hao Jushan 16447 0 20000 0 36557 45.3% Wen Xianhui 5786 24000 9600 9400 48731 11.8% Wen Xiansuo 3128 0 8000 0 11151 28.3% Fang Rongfa 6587 0 15000 0 19468 23.0% Zhang Xiuling 6795 0 20000 0 25580 21.8% Total 138030 24000 226600 9400 398029 34.7% Average 8119 1412 13329 553 23413 34.7% Percent 34.7% 6.0% 56.9% 2.4% 100.0%

Table 2-13: Annual Net Income per Household of APs in Dashiqiao Village Income Range (RMB) Amount of Households Rate (%) Accumulative Rate（%）＜10000 1 5.88 5.88 ≥10000,＜15000 3 17.65 23.53 ≥15000,＜20000 4 23.53 47.06 ≥20000, ＜25000 2 11.76 58.82 ≥25000, ＜30000 3 17.65 76.47 ≥30000, ＜35000 1 5.88 82.35 ≥35000,＜40000 2 11.76 94.12 ≥40000 1 5.88 100.00 Total 17 100.00

5) Analysis for Family Expenditure

5.02%; an expenditure of schooling is RMB 3,076, accounting for 23.93%; an expenditure of medical care is RMB 783, accounting for 6.09%; an expenditure of fuel is RMB 1,519, accounting for 11.82%; an expenditure of food (including staple food and non-staple food) is RMB 5,212, accounting for 40.55%; and an expenditure for others is RMB 171, accounting for 1.33%. The structure of annual gross expenditures per household of APs is shown as Table 2-14.

About 47.06% of total households with annual expenditures range from RMB 5000 to RMB 10,000; and 94.12% of households with average per household annual gross expenditures are less than RMB 25,000. Only one household has annual gross expenditures more than RMB25,000, accounting for 5.88%. Details of annual gross expenditures per household of APs are shown as Table 2-15.

Table 2-14: Expenditure of Afected Households of Dashiqiao Village (RMB)

Householder S PF Ir PR E Co Sc MC F Fo O Total

Zhang 240 500 150 240 200 400 1000 500 2000 8000 0 13230 Fengshan Fan Rongkui 200 200 120 400 180 0 0 500 1000 6000 0 8600 Shi Xinfa 246 246 246 400 360 1200 3000 1500 2000 5000 0 14198 Shi Xinzhu 120 120 80 200 720 0 0 500 1000 5000 0 7740 Hao Jucun 400 1000 200 1000 0 3000 2500 2000 4000 6000 0 20100 Chang Xuezhen 180 180 120 0 360 0 15000 400 2000 8000 0 26240 Chang Yingzhen 120 120 80 200 250 0 0 500 1000 5000 0 7270 Zhang 30 30 20 50 30 1000 15000 500 1000 5000 0 22660 Guangmin Hao Jubo 110 120 20 60 250 600 8000 2000 2000 6000 0 19160 Chang Baoju 300 700 200 350 450 600 6000 1400 1600 5000 0 16600 Chang Yingbo 105 105 20 60 240 400 1000 200 1000 2500 0 5630 Hao Jushan 540 1663 360 0 480 0 0 400 2000 3000 0 8443 Wen Xianhui 252 1170 473 675 840 1440 0 1200 1200 14400 2900 24550 Wen Xiansuo 81 54 234 280 280 320 300 350 920 3000 0 5819 Fan Rongfa 300 840 480 600 350 300 500 500 1000 3000 0 7870 Zhang Xiulin 0 130 350 100 360 500 0 500 800 1300 0 4040 Wen Xianjun 72 45 80 100 800 1200 0 360 1300 2400 0 6357 Total 3296 7223 3233 4715 6150 10960 52300 13310 25820 88600 2900 218506 Average 194 425 190 277 362 645 3076 783 1519 5212 171 12853 Rate (%) 1.51 3.31 1.48 2.16 2.81 5.02 23.94 6.09 11.82 40.55 1.33 100.00 Note: S=seed; PF=pesticide and fertilizer; Ir=irrigation; PR=planting and reaping; E=electricity; Co=communication; Sc=schooling; MC=medical care; F=fuel; Fo (including staple food and non-staple food)=food; O=others.

Table 2-15 Annual Expenditure per Household of APs in Dashiqiao Village

Expenditure (RMB) Amount of Households Rate (%) Accumulative Rate（%）

＜5000 1 5.88 5.88 ≥5000，＜10000 8 47.06 52.94 ≥10000,＜15000 2 11.76 64.71 ≥15000,＜20000 2 11.76 76.47 ≥20000,＜25000 3 17.65 94.12 ≥25000 1 5.88 100.00 Total 20 100.00

6）Comparative Analysis for Family Income and Family Expenditure

Based on the analysis of family income and family expenditure, it can be seen that the annual net income per capita is RMB 4,853 (equal to annual gross income per capita minus annual gross expenditure for production per capita), which is also higher than the average level of Zhaozhou Town.

7) Result of Public Opinion Survey

According to the survey, the APs also believe that the project is advantage for strengthening the capacity of Zhao County for waste water treatment and improving the environment of Zhao County. They all support the project. However, they are also worried about their income will be lowered and their living and production will be affected to some extent during the project construction as agricultural production still plays an important role for their living.

Further more, as farmland of the village is so limited that they have no possibility to obtain the replacement land through land readjustment at present, they all hope they can receive reasonable and sufficient compensation according to relevant laws and policies. After land acquisition, they plan to purchase social assurances and they expect to be offered more employment opportunities. And young labor forces of them incline to get more proper technical training and employment information and employment opportunities.

3 Policy Framework

3.1 Major Law and Policy

3.1.1 Policies of ADB

Policy of Asian Development Bank on Involuntary Resettlement, November 1995 Summary of the Handbook on Resettlement: A Guide to Good Practice, 1998 Operations Manual – Involuntary Resettlement (OM/F2), October 2003

3.1.2 Relevant Laws and Policies of PRC

Real Property Law of the PRC (effected from Oct.1, 2007) Land Administration Law of the PRC (effected from January 1 of 1999, revised on August 28, 2004) Comments of the PRC for Further Strengthening the Work of Basic Farmland Protection (effected from Sep. 2005) Guidelines for Strengthening Land Acquisition Compensation and Relocation System (effected from November 3, 2004) Regulation for Public Hearing of National Land Resource (effected from May 1, 2004) Regulation for National Land Assignment with the Agreement (effected from Aug.1, 2008, and the order of No.21 made by National Land Resource Department) A Bulletin of the Comments for Land Acquisition (effected from Jan.1, 2002 and the order of No.10 made by National Land Resource Department)

3.2 Local Regulations and Policies

Hebei Provincial Implementation Regulation of Land Administration Law (revised in 2002) The Compensation Rates of Shijiazhuang City for the Acquisition of Crop Standing and Attachment of Ground (effected from Mar.2007) Notification of the People’s Government of Shijiazhuang City for further Implementing Social Assurance of the Land-lost Farmers (effected from Aug. 2007) Comment of the People’s Government of Zhao County for the Normalization of Land Acquisition within the Planned Area (effected from Jun. 2007)

3.3 Policies of ADB

The three important elements of involuntary resettlement are: (i) compensation for lost assets and loss of livelihood and income: (ii) assistance for relocation, including provision of relocation

33 sites with appropriate facilities and services: and (iii) assistance for rehabilitation to achieve at least the same level of well-being with the project as without it. Some or all of these elements may be present in projects involving involuntary resettlement. For any project that requires relocating people, resettlement should be an integral part of project design and should be dealt with from the earliest stages of the project cycle, taking into account the following basic principles:

(1) Involuntary resettlement should be avoided where feasible.

(2) Where population displacement is unavoidable, it should be minimized by exploring all viable project options.

(3) Replacing what is lost. If individuals or a community must lose all or part of their land, means of livelihood, or social support systems, so that a project might proceed, they will be compensated and assisted through replacement of land, housing, infrastructure, resources, income sources, and services, in cash or kind, so that their economic and social circumstances will be at least restored to the pre-project level. All compensation is based on the principle of replacement cost.

(4) Each involuntary resettlement is conceived and executed as part of a development project or program. ADB and executing agencies or project sponsors, during project preparation, assess opportunities for rehabilitation measures, the affected people need to be provided with sufficient resources and opportunities to reestablish their livelihoods and homes as soon as possible, with time-bound action in coordination with the civil works.

(5) The affected people are to be fully informed and closely consulted. Affected people are to be consulted on compensation and/or resettlement options, including relocation sites, and socioeconomic rehabilitation. Pertinent resettlement information is to be disclosed to the affected people at key points, and specific opportunities provided for them to participate in choosing, planning, and implementation options. Grievance redress mechanisms for affected people are to be established. Where adversely affected people are particularly vulnerable groups, resettlement planning decisions will be preceded by a social preparation phase to enhance their participation in negotiation, planning, and implementation.

(6) Social and cultural institutions. Institutions of the affected people, and, where relevant, of their hosts, are to be protected and supported. Affected people are to be assisted to integrate economically and socially into host communities so that adverse impacts on the host communities are minimized and social harmony is promoted.

(7) No formal title. Indigenous groups, ethnic minorities, pastoralists, people who claim for such land without formal legal rights, and others, who may have usufruct or customary rights to affected land or other resources, often have no formal legal title to their lands. The absence of a formal legal title to land is not a bar to ADB policy entitlements.

(8) Confirmation of eligibility. Affected people are to be identified and recorded as early as possible in order to establish their eligibility through a population record or census that serves as an eligibility cutoff date, preferably at the project identification stage, to prevent a subsequent influx of encroachers or others who wish to take advantage of such benefits.

(9) The Poorest. Particular attention must be paid to the needs of the poorest affected people, and vulnerable groups that may be at high risk of impoverishment. This may include those without legal title to land or other assets, households headed by females, the elderly or disabled and, other vulnerable groups, particularly indigenous peoples. Appropriate assistance must be provided to help them improve their socio-economic status.

(10) The full resettlement costs are to be included in the presentation of project costs and benefits. This includes costs of compensation, relocation and rehabilitation, social preparation and livelihood programs as well as the incremental benefits over the without-project situations (which are included in the presentation of project costs and benefits). The budget also includes costs for planning, management, supervision, monitoring and evaluation, land taxes, land fees, and physical and price contingencies. Where loans include subprojects, components or investments prepared only after project approval and loans through financial intermediaries that are likely to cause involuntary resettlement, sufficient contingency allowance must be allocated for resettlement prior to approval of the loan. Similarly, the RP should also reflect the timeframe for resettlement planning and implementation.

(11) Eligible costs of compensation. Relocation and rehabilitation may be considered for inclusion in ADB loan financing for the project, if requested, to assure timely availability of the required resources and to ensure compliance with involuntary resettlement procedures during implementation.

3.4 Relevant Laws and Policies of China

Relevant national laws and local provincial and municipal regulations and policies adopted by the project implementation are shown as Table 3-1. For the detail, please see the appendix 5.

Table 3-1 Relevant Regulations and the Project Adoption Comment of the Land People’s Land Administration Government of Administration Law of the No.238 Zhao County for Implementation of No. Item No. 28 GF(2004) Ordinance of People’s GTZF(2004) the Normalization the Project Hebei Republic of of Land Province China Acquisition within the Planned Area Resettlement Resettlement 1 scheme for land / / / / Make RP Plan (RP) acquisition (1) Land (1)Land (1)The RP should requisitioned will compensation, abide by relevant be compensated resettlement policies of the PRC, on the basis of its subsidies and the Hebei Province and original purpose of compensation for Shijiazhuang City；(2) use. (2) land-attached (1) To Annual production Compensation for facilities and formulate the value of the acquired requisitioned standing crops general AAOV; land is referred to farmland will must be paid in a (2) To identify relevant regulations of include land full and timely the multiples of Shijiazhuang City；(3) Compensation compensation, manner. uniform annual The Compensation Land Rates is no less resettlement The additional production Similar to Land Rates (including land Acquisition than 16 times of 2 subsidies, and subsidies will be value; (3) to Administration compensation and compensation annual production compensation for given, after the formulate the Law of PRC resettlement subsidy) methods value among the attachments and approval of local consolidated is no less than 16 latest three years. young crops. (3) government, to regional land times of annual The the affected price; (4) The production value Compensation people who are distribution of among the latest three Ratess for unable to recover land years； the requisition of land to the pre-project compensation. Compensation Rates to build large or living standards. should be 30 times in medium-sized (2) To formulate case of basic water the general AAOV farmland；(4) All the conservancy or standard or the resettlement fees are hydroelectric consolidated included in the total

Comment of the Land People’s Land Administration Government of Administration Law of the No.238 Zhao County for Implementation of No. Item No. 28 GF(2004) Ordinance of People’s GTZF(2004) the Normalization the Project Hebei Republic of of Land Province China Acquisition within the Planned Area projects and the regional land project investment. resettlement price. The measures will be compensation prescribed price for land separately by the acquisition will be State Council. uniformed for the land of same category. (3) the land acquisition cost will be fully included in the project budget. (1) The (1) According to the construction expectations of the project which has APs, the means of stable income will (1) Agricultural resettlement is to allow the farmers production adopt monetary Support the to use their resettlement; compensation, displaced rural approved (2) readjust the planting collective construction land Reemployment structure, improve the Similar to Land Means for economic as the equity to resettlement; Similar to No.28 conditions of the 3 Administration resettlement organizations and the project; (2) (3) Sharing GF(2004) low-leveled or Law of PRC farmers to engage Within the dividends middle-leveled land in business boundary of urban resettlement; and develop stocking development. planning, and (4) breeding；(2) During employment Migratory the project system and social resettlement. implementation, the security system APs are preferential will be for non-technical established; (3) employment

Comment of the Land People’s Land Administration Government of Administration Law of the No.238 Zhao County for Implementation of No. Item No. 28 GF(2004) Ordinance of People’s GTZF(2004) the Normalization the Project Hebei Republic of of Land Province China Acquisition within the Planned Area Outside the opportunities；(3) boundary of urban Implement technical planning, training for the APs. arrangement of land, jobs and resettlement will be made for the affected people; (4) Occupational training will be offered to the affected people (1) Where land is (1) The affected to be requisitioned people will be by the State, the informed of land requisition will, acquisition, after approval is Compensation (1) To inform obtained through Ratess and (1)Prepare the plan of land legal procedure, means of land acquisition；(2) Procedures of acquisition; (2) be announced by resettlement etc; Hold public hearing land to identify Similar to Land people's (2) Survey results Similar to No.28 and congress for 4 acquisition & survey results Administration governments at or of land acquisition GF(2004) consulting relevant information of land Law of PRC above the county will be identified. policies；(3) Distribute disclosure acquisition; (3) level, which will (3) Hearing, if the RP or resettlement to organize help execute the necessary, will be information handbook. hearing. requisition. (2) organized. (4) The Once a plan for coordination and compensation and arbitration resettlement mechanism for subsidies for resettlement

Comment of the Land People’s Land Administration Government of Administration Law of the No.238 Zhao County for Implementation of No. Item No. 28 GF(2004) Ordinance of People’s GTZF(2004) the Normalization the Project Hebei Republic of of Land Province China Acquisition within the Planned Area requisitioned land issues will be is decided on, the established local people’s government concerned will make it known to the general public and solicit comments and suggestions from the collective economic organizations, the land of which is requisitioned, and the peasants The rural (1) No land (1) Disclose (1) Implement internal collective acquisition will be the land and external economic made if without approving monitoring and organization, the ensuring issues; (2) Pay evaluation; (2) land of which is compensation and the land Compensation fees requisitioned, will resettlement; (2) acquisition are directly paid to the Monitoring for Similar to Land accept supervision The methods for compensation Similar to No.28 affected villages and 5 Land Administration by making known distribution of land and GF(2004) related villagers; (3) Acquisition Law of PRC to its members the compensation resettlement the PMO of Zhao income and funds will be subsidies; and County and National expenses of the formulated (3) Post Land Resource compensation according to the monitoring and Bureau of Zhao received for land principle of “The inspection County are acquisition. land after land responsible for

3.5 Resettlement Policies

3.5.1 Compensation Principle

The principle for compensation and entitlement of this project is based on the existing laws and policies of PRC and ADB with the objective of ensuring APs be provided with sufficient compensation and assisting measures to enable them at least to restore the living standards to the pre-project levels. Details are shown in Table 3-2.

Table 3-2 Resettlement Principles of the Project Principles 1 Avoid or minimize resettlement, wherever feasible. compensation and titles gained by the affected people will at least enable them to maintain the same 2 living standards as “without project” or even better. All affected people regardless of the legal titles will be entitled to get compensation and demolition 3 assistance. 4 The affected people will directly benefit from the Subproject. 5 The resettlement compensation will ensure all APs to at least maintain the living standards as before. If the remainder land after land acquisition fails to safeguard the livelihood of the APs, compensation 6 in forms of cash or land replacement, plus other necessary profit-earning activities will be provided for the APs. The APs will have good understanding of the qualification, means and standards of compensation, 7 livelihood and restoration plan as well as project construction arrangement etc., and participate in the implementation of the RP. No land acquisition will be proceeded with before the APs are satisfied with the schemes for 8 compensation and resettlement. The compensation and resettlement operations will be monitored by the EA and an independent / 9 third party. Vulnerable groups will receive special assistance and treatment so that they can live better, and all 10 APs will have the chances to be benefited from the project construction. The resettlement budget will be enough to cover all aspects that are caused by the project 11 construction. whatever be the quantum of loss, the affected people have to be compensated at replacement 12 cost for their losses

3.5.2 Eligibility for Compensation and Benefited People

The cut-off date for compensation of this project will be the date when the local government issues the order for stopping building activities. After this date, any growing and building on rush in the project area will not be eligible for compensation and relocation. Before the cut-off date for compensation of this project, the affected people will be compensated and relocated. Details are shown in Table 3-3.

Table 3-3 Eligibility for Compensation

Component Object

Persons who are losing houses and land within the scope of land SSWTES acquisition. SWWTS Persons who are losing land within the scope of land acquisition. Persons who are losing houses and land within the scope of land HPNRNS acquisition. Persons whose production is affected by the project Others implementation.

3.6 Compensation Rates of the Project

3.6.1 The Compensation Rates for the Land Owned Collectively

The land acquired is the irrigation land, the annual production value of which is achieved based on the annually agricultural production value among 2004, 2005 and 2006 of Zhaozhou Township that is offered by Statistics Bureau of Zhao County. Details are shown as Table 3-4.

Table 3-4 Annual Agricultural Output Value in Zhaozhou Town ( RMB per mu)

ZhaoZhou Town Type of Land 2004 2005 2006

AAOV Irrigation Land 1862 2065 2102

According to Comment of the People’s Government of Zhao County for the Normalization of Land Acquisition within the Planned Area, the Compensation Rates adopted for land compensation and resettlement subsidy is no less than 16 times of the annually agricultural production value, however, with regarding to the land of the basic land, the Compensation Rates is the highest level, which is 30 times of the annually agricultural production value, in terms of relevant regulation of the PRC. Therefore, the Compensation Rates adopted is ultimately is RMB 62310 per mu, the details of which are shown as Table 3-5.

Table 3-5 The Compensation Rates for Land Acquisition Adopted by the Project Times of Compensation Compensation Rates (unit: RMB per mu) AAOV Land Compensation Land Compensation Type of Land (RMB per Standing Standing and Resettlement and Resettlement Total mu) Crops Crops Subsidy2 Subsidy Irrigation 2010 30 1 60,300 2,010 62,310 Land

3.6.2 The Compensation Rates for Attachment of Ground

The Compensation Rates adopted for attachment of ground is based on Comment of the People’s Government of Zhao County for the Normalization of Land Acquisition within the Planned Area and The Compensation Rates of Shijiazhuang City for the Acquisition of Crop Standing and Attachment of Ground, the details of which are shown as Table 3-6.

Table 3-6 Compensation Rates for Attachment of Ground of the Project

No. Item Unit Standard (unit: RMB per unit) Support of the Compensation

Comment of the People’s Government of Zhao County 1 Tomb piece 500 for the Normalization of Land Acquisition within the Planned Area 238 of the height of 7.5m Cement 331 of the height of 8m 2 Telegraph piece The Compensation Rates of 397 of the height of 9m Pole Shijiazhuang City for the 456 of the height of 10m Acquisition of Crop Standing RMB 2 per cm of the diameter below and Attachment of Ground 3 Tree piece 15cm; and RMB 5 per cm of the diameter over 15cm.

3.6.3 Other Related Fees

The details of other related fees are shown as Table 3-7.

Table 3-7 Standard Adopted for Other Related Fees No. Item General Standard Legal Support RMB 150 per m2 of cement road surface RMB 120 per m2 of bitumen Recovery Fees for Broken road surface 1 No. 6 JZ(1994) Road RMB 70 per m2 of brick road surface RMB 150 per m2 of colored brick road surface

2 According to No. 43 SZF (2007), the payment of resettlement subsidy is determined by the people’s congress of village or the congress of representatives of villagers.

No. Item General Standard Legal Support 2 Tax for Road Occupation RMB 0.6—0.9 per day No. 6 JZ(1994) No. 162 Ordinance of the 3 Tax for Farmland Occupation RMB 5 per m2 State Council Fees for Irrigation Land Administration 4 Farmland RMB 15 per m2 Land Ordinance of Hebei Province Declamation Administration Fees for Land 4% of total land compensation No. 597 JFZ(92) and No.32 5 Acquisition and resettlement subsidy. JJJFZ(2001) 6 Land Measurement Fees RMB 300 per mu Charging by progression, each No. 93 GT[J](1990) and 7 Land Registering Fees of which is RMB 100 to 700. No.24 JT(1992) According to No.48 CZ, Zhao Fees for using the added 8 RMB 16 per m2 County is the thirteenth construction land Grade. Exploratory Survey and 3% of total land compensation 9 Designing Fees and resettlement subsidy. Administration Fees for Project 3% of total land compensation 10 Implementation and resettlement subsidy. Calculation according to )Referring to the Regulation Official Fees Paid to the 11 standard of RMB 50 per capita for Land Requisition Implementation Agency of the APs Compensation and 0.5% of the total compensation Resettlement of Large and 12 Technical Training Fees fees paid to APs. Medium Water Conservancy 1.5% of total land and Hydropower Projects Fees of Monitoring and 13 compensation and (SL 290—2003) Evaluation resettlement subsidy. 10% of total land 14 Un-predicated Fees compensation and resettlement subsidy.

3.6.4 Assistance for Vulnerable Groups

The vulnerable groups affected by the project can also obtain relevant assistances in addition to the normal compensation mentioned above.

• They can get technical training and various employment information and employment opportunity. • During project construction, the labor forces of them are preferential for non-technical employment opportunities.

4 Resettlement and Rehabilitation Measures

4.1 Resettlement Objective

In the project, the APs will be compensated and resettled in a reasonable way so that they can restore or exceed the previous levels of production, income and livelihood before the project implementation. Based on the actual living standards of the APs of the project area in 2007, considering the “Tenth Five-year Plan” for socio-economic development of Zhao County and long-term plan for 2015, the resettlement objectives are shown as the following.

(i) To ensure grain self-supply. In the places with less resources of farmland, the land output level will be increased through agricultural adjustment and fully developing the land potentials using the land compensation funds.

(ii) Adopt measures to ensure that the production and living standards of the APs can be restored to the previous levels before resettlement.

(iii) The conditions of infrastructure, schooling, medical treatment, social welfare, natural environment, traffic, etc. should be improved or upgraded remarkably if compared with the situation before resettlement.

4.2 Principles for Resettlement and Rehabilitation

Based on the objectives of the RP, a series of principles have been formulated for resettlement and rehabilitation.

(i) The RP should be dependent on the socioeconomic survey and impact indicator of the project area and in accordance with relevant laws and policies of the PRC and the project area and the policies of ADB.

(ii) Optimize the project design and protect farmland so that the impact of land acquisition and house demolition can be lowered. Try any best to avoid invulnerable resettlement happen in the area with density population or the area with density architectures. The project construction plan should pay much attention to avoid interruption.

(iii) The APs should be offered sufficient compensation and benefited from the project implementation.

(iv) Assure all APs of obtaining compensation before relocation and getting the appropriate resettlement and rehabilitation and necessary assistances.

(v) Guarantee all APs restore or exceed the previous levels of production, income and livelihood before the project implementation.

(vi) After land lost, the APs can obtain proper employment opportunities that can offer them enough restoration potential.

(vii) The project will compensation all the affected buildings. Being lack of relevant procedures will not be the reason of refusing to pay the compensation.

(viii) Project will concern for vulnerable groups (elderly people living alone, widows, single-parent families, disabled people, people with chronic diseases and poor families). During their relocation, they will be given preferential policies, such as the reasonable assistances of housing and employment opportunities. After relocation, they will be followed-up and given support for their special difficulties before they are registered to the local administrative departments. .

(ix) The units who have the property right for the affected infrastructures should be compensated. The compensation fund should be used for the relocation and re-build of the infrastructures.

(x) The resettlement implementation should coincidence with local plan for economic development, city development, nature resource exploitation and environmental protection, which can make the restoration and development of the APs be more effective.

(xi) All the affected labor force should be provided with the employment resettlement so as to guarantee the living and production level of them. Make any effort to support the APs to develop secondary and tertiary industry through proper resettlement. If the APs expect to be transferred urban registered permanent residences, the village committee should assist them to pay various assurances.

(xii) Public participation is actively encouraged during the stage of the RP compiling and resettlement implementation. The Compensation Rates and related policies should be opened and promulgated timely. Views of the APs on the resettlement should be wildly achieved and reflected in relevant report.

(xiii) The project owner should take the appeal and grievance of the APs much into account and assist them timely in a appropriate way. The consultation should be first adopted for the appeal and grievance treatment. If the consultation fails, the APs can apply for the treatment through adjudication or even suing at the law. Any enforced actions taken by the unit of house demolition should be in light of relevant laws.

(xiv) The project owner will entrust relevant agency qualified to be in charge of external monitoring and evaluation (M&E) for the implementation of the RP, and the latter will summit external M&E report to ADB at fixed times. The post evaluation for the RP will be implemented after all the work finished.

(xv) Maximum resettlement benefits are pursued through improving the capability of

resettlement agency, regulating the resettlement work, and establishing internal control mechanism for preventing the funds from being wasted, retention, fraud and corruption, with the faith of utilizing the resettlement fund as much as possible and get the best achievements of resettlement, or in other words, minimizing the resettlement cost under the existing resettlement indicators.

4.3 Rehabilitation Plan for Permanent Land Acquisition

4.3.1 SSWTES

SSWTES will permanently require 38.21mu of collective-owned land of Beibaishang Village, all of which are irrigation land. There are 9 HHs with 55 persons affected.

Average farmland per capita is 1.36mu in Beibaishang Village. According to socioeconomic survey for the village, there are 30.1% of villagers only engaged in agricultural production and 59.7% engaged in both working outside and agricultural production, which shows villagers of the village have not depended on agricultural production. In addition, the annual average income of agricultural production of the APs is RMB 12,585, which is accounting for 39.2% of family income, and the one of working outside is RMB 16,444, which is accounting for 51.3%. That is, the APs' livelihood is not supported by agricultural production at present. With further analysis, this village is close to the urban area of Zhao County, and most of villagers are accustomed to temporary or permanent jobs in the urban area and engaged in building, spinning and catering trade. Although some villagers will lose land induced by SSWTES implementation, their livelihood will not be seriously affected.

The agency responsible for the RP implemented baseline survey on Beibaishang Village in Jan. of 2008. At the same time, the agency invited the project owner, relevant staffs of National Land Resource Bureau of Zhao County, persons responsible of Beibaishang Village and all the APs to hold public discussion to talk about the plan for the APs resettlement and rehabilitation.

In order to minimize the negative impacts, the agency responsible for the RP ultimately prepared the RP for the APs as the following through fully consulting with the village committee and asking for the views and suggestions of the APs and regarding to the socioeconomic conditions of Zhao County. This plan is in accordance with relevant laws and policies of the PRC, Hebei Province, Shijiazhuang City and Zhao County and relevant policies of ADB.

(1) Monetary Compensation.

Beibaishang Village is acquired the farmland of 38.21mu that is accounting for only 1.11% of the total farmland owned by the village, which means land acquisition brings little impact on the economy of the village. Nevertheless, the rate of land lose of the APs is up to 43.07%, the impact of which is certainly much.

In order to minimize the negative impact on the livelihood and economic income of the APs, the

47 agency responsible for the RP fully consulted with the village committee of Beibaishang Village for the utilization of resettlement fund and production restoration for several times. The final RP, which is in accordance with relevant policies, is determined through the collective discussion of the village committee and fully asking for the views of the APs.

The land compensation and resettlement subsidy for the permanent land acquisition is directly paid to the village committee, while the compensation for the standing crops is directly paid to the APs. In light of the existing Compensation Rates, and after the discussion of villager representatives, it is decided to pay 70% land compensation and all resettlement subsidy to the APs who do not willing to be resettled by the village, the left 30% land compensation will given to the village so as to develop the collective projects. To the APs who want to be resettled by the village, pay no lower than 30% resettlement subsidy to them and the left 70% resettlement subsidy and total land compensation will be given to the village so as to develop agriculture, and second and tertiary industries and resolve the production and livelihood issues of APs. For the land acquisition of this Project, following consultation with affected households all affected households prefer cash compensation.

(1) With the level of underground water being low and the weather of being dry, the irrigation condition of Beibaishang Village is bad. Particularly in summer this problem is becoming more and more serious. In addition, villagers still use the water from well. As a result of that, the village committee plans to use the compensation fees firstly to improve the water using condition. The detailed measures taken are to construct 2 or 3 well and improve the pipeline networks for water supply.

(2) The communication condition of Beibaishang Village is also bad. At present, the road surface of the village is covered earth but no cement or bitumen. The village committee expressed that it will use the compensation fees to reconstruct the village road connecting to Guowang Highway with cement covered so that the villagers have more convenience to transport starch.

(3) Strengthen the development of tertiary industry. As Beibaishang Village is close to the urban area of Zhao County, it has much convenience to obtain more business opportunities. According to the baseline survey, there are over a half of them planning to do small-scale business in the urban area of Zhao County, such the business of restaurant, shop, or food machining.

(4) Organize the labor forces engaged in off-farm work. As Zhao County has many enterprises involved in textiles, starch machining and paper box production, which require low-leveled skill and are easy to be entry. After fully consultation with the project owner, it has promised to contract with relevant enterprises (such as Dongsheng Starch Machining Plant of Zhao County and Wanlong Clothing Co.Ltd. of Zhao County, both of which are close to Beibaishang Village) for the APs employment. It is estimated that labor forces of the APs can stably earn RMB 800 to RMB 1500 one month once they are employed by these enterprises.

(2) Non-agricultural employment.

As the village is close to the urban area of Zhao County, the communication condition is relatively good at present. Most of villagers are accustomed to be engaged in non-agricultural production in light of the county development, and they are being organized and developed in scale. As a result of that, village committee of Beibaishang Village plans to support those villagers to be further engaged in their original non-agricultural production, esp. for those who are affected by land acquisition.

(1) Set up a company engaged in starch transportation. As farmland of the village is comparatively limited, it is impossible to readjust farmland for the land-lost villagers. However, the village committee will make serious efforts to encourage the land-lost villages to be engaged in the secondary or tertiary industry. There are over 20 large-scaled or middle-scaled starch production plants in the county, particularly Dongsheng Starch Factory located only 1 kilometer from the affected village. In addition, there are many small-scaled starch production plants located in the region. These starch factories will depend on local villages to provide raw materials. In consequence of such conditions, the village committee plans to set up a transportation company for starch transportation, which need employ 40 labor forces.

(2) Organize the labor forces engaged in off-farm work. As Zhao County has many enterprises involved in textiles, starch processing and paper box production, they require many low- skill labors, which is easy to for the affected people to get involved. After fully consultation with the project owner, it has promised to contract with relevant enterprises (such as Dongsheng Starch Machining Plant of Zhao County and Wanlong Textile Co.Ltd. of Zhao County, both of which are close to Beibaishang Village) for the APs employment. It is estimated that labor forces of the APs can earn RMB 800 to RMB 1500 one month once they are employed by these enterprises.

(3) Temporary employment opportunities during the project implementation. The project construction will bring some employment opportunities of being temporary and un-stable, which includes raw transportation and earthwork. The APs can effectively earn wages and restore income to some extent if they are employed. Therefore, the project owner committed that it would require the project construction unit to employ labor forces of the APs to do such work. It can be predicted that there will be 30 labor forces to be employed to share 2700 working days and totally paid RMB 100,000.

(3) Technical Training

Technical training will be provided for the affected labor force (including female labors) and ensure its quality. The project owner will coordinate with People’s Government of Zhao County and Beibaishang Village to implement technical training for the labor forces of the village in relevant fields, such as agricultural production, electric welding, computer repairing, agricultural machineries repairing and housing decoration, etc., and Labor Force Administration Bureau, Communication Administration Bureau and Women’s Federation of Zhao County are

49 responsible for the concrete implementation. The APs are preferential to such technical training. Since most of them are live close to the county town, no accommodation will be provided.

(4) Attaching Importance on Gender Equality.

The proportion of men and women of the project is respectively 53% and 47%. Women have the same legal right with men in the fields of agricultural production, sharing education opportunities, family planning and public participation. And they also have freedom to choose the means of work and living. Of course, the division of work between men and women exist on certain differences. Women are inclined to be engaged in agricultural production and doing small-scaled business, such as sell agricultural products and handicrafts, in the surround area, while men are mostly inclined to go outside for working except for planting and doing small-scaled business.

The project construction and related land acquisition bring no special negative impacts on the women. During the project implementation, the project owner will organize women to hold public hearing once a year for asking their suggestions and views on the project. As for the appeal of them, women’s federation of the village will report it to the project owner within one week and the latter will take relevant measures and appoint special staffs to solve it within the following week.

(5) Analysis for Income Restoration.

Among the 9 affected households, the average rate of farmland loss is 43.07%, in which there is 6 households’ rate exceeding 40% and 5 households’ rate exceeding the average level. Li Huanduo’s rate is the highest, which is 63.63%. It can be concluded from Table 5-1 that there are 2 HHs with the rate of farmland loss over 50%, 5 HHs with the one from 30% to 50% and 2 HHs below 30%. Detailed impact analysis and income rehabilitation measures are included in Table 4-1. According to the table, the cash compensation with 70% of land compensation, and 100% of resettlement and standing crop would generate higher annual income from bank interest than the loss of agricultural income due to farmland loss. Most of affected people expressed desire to purchase social security, engage in existing non-farm activities, and obtain more trainings.

Table 4-1 Analysis for Income Restoration of SSWTES (1) Annual Total Acquired % of Lost % of Compensation Interest Net Desire Farm Farmland farm Income Households income Received Gain of Land (mu) land RMB loss RMB Income RMB Training (mu) Loss RMB Li Guoping 9 4.13 45.9% 5637 19.2% 207,533 8,592 1,440 Yes Li Peiying 5 1.28 25.6% 1562 5.5% 64,320 2,663 461 Yes Liu Pingfa 12 4.38 36.5% 6044 26.1% 220,095 9,112 1,754 Yes Li Huanduo 8 5.09 63.6% 6337 43.5% 255,773 10,589 2,724 Yes Liu Qingzhi 9 4.28 47.6% 5902 24.0% 215,070 8,904 1,492 Yes

Annual Total Acquired % of Lost % of Compensation Interest Net Desire Farm Farmland farm Income Households income Received Gain of Land (mu) land RMB loss RMB Income RMB Training (mu) Loss RMB Jiang Shengq 8 4.38 54.8% 3042 11.7% 220,095 9,112 6,070 Yes Li Ruishe 15 4.16 27.7% 4368 16.1% 209,040 8,654 4,287 Yes Su Zhenjiang 6 2.58 43.0% 2709 20.0% 129,645 5,367 2,658 Yes Liu Junfa 12 5.93 49.4% 6227 18.2% 297,983 12,336 6,110 Yes Total 84 36.21 43.1% 41828 18.9% 1,819,554 75,330 26,833 Yes Note: The compensation paid to affected individuals is based on 70% of land compensation, 100% resettlement subsidy and green crop compensation with 25 times of AAOV.

Table 4-2 Analysis for Income Restoration of SSWTES (2) Annual Lost Remaining % of Compensation Interest Net Income Proposed Rehabilitation Initial Households Farmland income Received Income RMB Activity Investment (mu) loss RMB Income a year

RMB Li Guoping 4.87 5637 19.2% 207,533 8,592 Working in starch factory 0 12000 Li Peiying 3.72 1562 5.5% 64,320 2,663 Working in starch factory 0 12000 Liu Pingfa 7.62 6044 26.1% 220,095 9,112 Working in starch factory 0 12000 Li Huanduo 2.91 6337 43.5% 255,773 10,589 Open small restaurant 50000 15000 Liu Qingzhi 4.72 5902 24.0% 215,070 8,904 Working in textile factory 0 12000 Jiang Shengq 3.62 3042 11.7% 220,095 9,112 Open small shop 70000 18000 Li Ruishe 10.84 4368 16.1% 209,040 8,654 Working in textile factory 0 12000 Su Zhenjiang 3.42 2709 20.0% 129,645 5,367 Working in starch factory 0 12000 Liu Junfa 6.07 6227 18.2% 297,983 12,336 Working in boxing factory 0 14000 Total 47.79 41828 18.9% 1,819,554 75,330 120000 119000 Note: Due to existing of many enterprises in nearby locations, most of affected people choose to work there with monthly wages being CNY1000-1250.

4.3.2 SWWTS

There are 55.6mu of land, which is irrigation land, to be acquired by SWWTS. And there are 17 households and 84 persons to be affected, of which there are 53 labor forces.

Dashiqiao Village is in the south of Zhaozhou Township, in which the famous Zhaozhou Bridge locates. The farmland owned per capita is only 1.06mu and the proportion of the labor forces engaged in agricultural production is 33.96%, which means family living and production is not dependent on the agricultural production compared with the traditions. What’s more, from the view of domestic income structure, the income from agricultural production is annually RMB 9206, accounting for 37.57%, whereas the income from off-farm work is annually RMB 13329, accounting for 54.41%, which also indicates that the support from agricultural production for the family living and project is not so powerful. As this village is close to the urban area of Zhao County, many a villager has sufficient employment opportunities to be engaged in construction, spinning and restaurant, etc. Although the rate of land lose of the APs is 100%, it still can be predicted that land acquisition will not bring much negative impact on the family living and production of the APs.

The agency responsible for the RP implemented baseline survey on Dashiqiao Village two times, which is respectively Dec. of 2007 and Jan. of 2008. At the same time, the agency invited the project owner, relevant staffs of National Land Resource Bureau of Zhao County, persons responsible of Dashiqiao Village and all the APs to hold public discussion to talk about the plan for the APs resettlement and rehabilitation.

With the faith of minimizing the negative impacts, the agency responsible for the RP ultimately made the RP for the APs as the following through fully consulting with the village committee and asking for the views and suggestions of the APs and regarding to the socioeconomic conditions of Zhao County. This plan is in accordance with relevant laws and policies of the PRC, Hebei Province, Shijiazhuang City and Zhao County and relevant policies of ADB.

(1) Monetary Compensation

The land compensation and resettlement subsidy for the permanent land acquisition is directly paid to the village committee, while the compensation for the standing crops is directly paid to the APs. In light of the existing Compensation Rates, and after the discussion of villager representatives, it is decided to pay 70% land compensation and all resettlement subsidy to the APs who do not willing to be resettled by the village, the left 30% land compensation will given to the village so as to develop the collective projects. To the APs who want to be resettled by the village, pay no lower than 30% resettlement subsidy to them and the left 70% resettlement subsidy and total land compensation will be given to the village so as to develop public agriculture, the tertiary and secondary industries and resolve the production and livelihood issues of APs. The details are shown as the following.

Agricultural production: the village committee will use the compensation fees for the improvement of the environment of agricultural production and the improvement of the farmland with low-leveled or middle-leveled production value (concentrating on the improvement of irrigation facilities). The village committee will continue to strengthen technical training to develop modern agricultural production.

Development of secondary and tertiary industry: at present, there are totally 6 large-scaled stockbreeding plants and bag machining plants and 1 flour machining plant in this village. Although the secondary and tertiary industry of the village has won certain development, the circumstances of such development is not so satisfying. The village committee planned to use the compensation fees to win more opportunities for the development of the secondary and tertiary industry. In addition, the village committee will support the APs to go the urban area of Zhao County to be engaged in individual business.

Public affairs: the village committee also promised to use the compensation fees for the improvement of roads, sanitation condition, the facility of school, environment and village administration, etc. In addition, the village committee planned to improve the conditions of water and electric using among all villagers.

(2) Non-agricultural Employment

According to the baseline survey for the APs, there are over 50% of labor forces of them going outside for working or doing the non-agricultural work part-time. Most of them go to the urban area of Zhao County or Shijiazhuang City for working, and some of them go to other provinces for working. They are mainly engaged in construction, spinning and restaurant, etc. and there are still a few of them doing small-scaled business, such as shop, food machining and repairing in those areas. After obtaining compensation fees, they can improve their business conditions.

This village is close to the urban area of Zhao County, and there are many private enterprises around the village, which make the APs search for jobs comparatively much easier. In addition, as Zhaozhou Bridge locates in the village, the APs can be engaged in the work relating to tourism. Esp., the Tourism Administration Bureau of Zhao County plans to further develop the tourism of Zhaozhou Bridge and increase 80 to 90 booths of selling handicraft and offer 40 to 50 employment opportunities of afforest and cleaning and 7 to 8 employment opportunities of taxi. With fully consultation with the project owner and relevant department, the APs (especially female APs) are preferential to obtain those employment opportunities.

The project construction will bring some employment opportunities of being temporary and un-stable, which includes raw transportation and earthwork. Women can also be employed to take some work with less body forces, such as offering food. This item is not only advantage for income restoration of the APs, but also for their further employment.

After completion of the subproject, the project owner will give priority to employ the APs. According to the consultation between the village committee and the project implementation

53 agency, there will be some labor force to be employed to enter the waste water treatment to take some work with less technique requirement, such as environmental cleaning and maintenance.

(3) Technical Training

The project unit will associate with relevant departments responsible for the administration of agriculture and employment and social assurance to implement technical training for the APs in the field of non-agricultural employment. It can be acknowledged that there are 30 to 50 persons participating in the technical training for agricultural production and 30 to 40 persons participating in the technical training for stockbreeding every year. Each one can receive a subsidy of RMB 10 one day. After land acquisition, the APs are preferential to obtain such technical training opportunities so that they can restore their living and production as soon as possible.

(4) Analysis for Income Restoration

To sum up, according to Table 4-2, among total 17 affected households, all of them will lose more than 50% of land holdings. Based on consultation with affected people, all of them prefer cash compensation. Therefore, a combination of cash compensation and non-farm employment will be important way to provide economic rehabilitation for the affected households so that their income and livelihood will be lowered. The detailed rehabilitation measures and analysis is presented in Table 4-2.

Table 4-2: Analysis for Income Restoration of SWWTS (1) Total Acquired % of Lost Annual % of Compensation Net Farm Farmland farm Income Interest Households income Received Gain Land (mu) land RMB Income loss RMB RMB (mu) Loss RMB Wen Xianjun 1.6 1 62.5% 1806 22.8% 50,250 2,080 275 Zhang Fengshan 3 2 66.7% 3543 19.3% 100,500 4,161 618 Fan Rongkui 4.3 4 93.0% 7903 58.4% 201,000 8,321 419 Shi Xinfa 8.2 6 73.2% 12278 45.1% 301,500 12,482 204 Shi Xinzhu 4 3.5 87.5% 6421 20.7% 175,875 7,281 860 Hao Jucun 7.88 6 76.1% 11677 42.6% 301,500 12,482 805 Chang Xuezhen 6 5 83.3% 10340 26.6% 251,250 10,402 62 Chang Yingzhen 5 4 80.0% 8018 39.5% 201,000 8,321 303 Zhang Guangming 1 0.8 80.0% 1615 13.2% 40,200 1,664 49 Hao Jubo 3 2 66.7% 3290 19.4% 100,500 4,161 871 Chang Baoju 3.5 3 85.7% 5438 22.1% 150,750 6,241 803 Chang Yingbo 3.6 3 83.3% 6173 34.3% 150,750 6,241 69 Hao Jushan 8.31 6 72.2% 11875 32.5% 301,500 12,482 607 Wen Xianhui 4.5 3 66.7% 3857 7.9% 150,750 6,241 2384 Wen Xiansuo 1.8 1.5 83.3% 2607 23.4% 75,375 3,121 514 Fang Rongfa 3.8 2.3 60.5% 3987 20.5% 115,575 4,785 798

Total Acquired % of Lost Annual % of Compensation Net Farm Farmland farm Income Interest Households income Received Gain Land (mu) land RMB Income loss RMB RMB (mu) Loss RMB Zhang Xiuling 3.5 2.5 71.4% 4853 19.0% 125,625 5,201 347 Total 72.99 55.6 76.2% 105144 26.4% 2,793,900 115,667 10523 Note: The compensation paid to affected individuals is based on 70% of land compensation, 100% resettlement subsidy and green crop compensation with 25 times of AAOV.

According to the table, the cash compensation, including 70% of land compensation, 100% of resettlement subsidy, and green crop compensation, would amount to CNY2.79 million, averaging CNY164,347 per household, which will generate higher annual income from bank interest (CNY115,667) than the loss of agricultural income (CNY105,144) due to farmland loss for all affected households. Most of affected people expressed desire to purchase social security, engage in existing non-farm activities (2/3 of their current income came from these activities), doing more migrant works and obtain appropriate trainings to enhance their employment and increase incomes.

Table 4-2: Analysis for Income Restoration of SWWTS (2) Remaining Lost Annual Compensation Farm Income Interest Initial Net Households Received Rehabilitation Option Land RMB Income Investment Income RMB (mu) RMB Wen Xianjun 0.60 1806 50,250 2,080 plan to be a cook 0 16000 Zhang Fengshan 1.00 3543 100,500 4,161 To open shop outside Park 15000 8000 Fan Rongkui 0.30 7903 201,000 8,321 To open shop outside park 12000 15000 Shi Xinfa 2.20 12278 301,500 12,482 Set up transportation 40000 20000 Shi Xinzhu 0.50 6421 175,875 7,281 As construction worker 0 15000 Hao Jucun 1.88 11677 301,500 12,482 Passenger transport 50000 20000 Chang Xuezhen 1.00 10340 251,250 10,402 Work in textile factory 0 14000 Chang Yingzhen 1.00 8018 201,000 8,321 cleaner for Zhaozhou Park 0 9000 Zhang Guangming 0.20 1615 40,200 1,664 Work in nearby restaurant 0 9000 Hao Jubo 1.00 3290 100,500 4,161 Work in food factory 0 8000 Chang Baoju 0.50 5438 150,750 6,241 Work as a cook 0 16000 Chang Yingbo 0.60 6173 150,750 6,241 Cargo transport business 50000 20000 Hao Jushan 2.31 11875 301,500 12,482 Passenger Transport 50000 20000 Wen Xianhui 1.50 3857 150,750 6,241 cleaner for Zhaozhou Park 0 9000 Wen Xiansuo 0.30 2607 75,375 3,121 Work in textile factory 0 14000 Fang Rongfa 1.50 3987 115,575 4,785 Work in food factory 10000 12000 Zhang Xiuling 1.00 4853 125,625 5,201 As construction worker 0 15000 Total 17.39 105144 2,793,900 115,667 227000 240000 Note: Due to existing of many enterprises in nearby locations, most of affected people choose to work there with monthly wages being CNY1000-1250. In addition, set up shops outside Zhaozhou Park, purchase vehicles for transport business, and work in the Zhaozhou park are also part of rehabilitation options.

4.4 Restoration for Temporary Land Occupation

Temporary land occupation will be involved in SWWTS and HPNRNS, the total area of the temporarily occupied land is 150.57mu (equaling to 100379.1m2). Details are shown as the following. The pipeline networks of SWWTS are constructed by digging. The length of such pipeline networks is 1680m and the area of temporarily occupied land is 10.95mu (equaling to 7299.9 m2), which is the state-owned land. The pipeline networks of HPNRNS are mainly constructed by digging and a few of them are constructed by tunneling and top pipe. The length of such pipeline networks is 20087m and the area of temporarily occupied land is 139.62mu (equaling to 93079.2 m2), which is the state-owned land. There is no person involved in the temporary land occupation. The project owner will pay relevant fees to the department responsible, and the bodies that have the property right are in charge of restoration after they get relevant fees. After pipeline networks construction is finished, the road will be restored. However, the two sub-projects construction should be implemented at night so as to minimize the negative impact on people’s communication, and at same time it is still essential to reduce the impact of noise induced by the construction.

4.5 Restoration for Attachment of Ground

For the affected ground attachments, full compensations will be paid based on replacement value to the affected owners. The owners or agencies in charge of affected attachments will be responsible for their restoration.

4.6 Resettlement for Vulnerable Groups

There is only one vulnerable group, who are affected by land acquisition of SWWTS, in the project area. In this family, there are 5 persons and 3 labor forces, of which the first son is of mental disability and the other son is of apoplexy. Livelihood of the family depends on the support of agricultural production and temporary working outside. After land acquisition, the family income will be reduced and the living conditions will become more serious. To mitigate such impact, after consultation between the PMO and village committee, it is agreed that besides of compensations to be paid to the affected household with CNY201100 with annual interest income being CNY8,321, one of his son will be provided a job of delivering newspaper in the village with annual wage being CNY600-700 per month. In addition, the village committee will adopt the following measures to assistance the household for their rehabilitation. First, following the local customs, the village committee will continue paying the family the living allowance each year at RMB 300 to 500 per household to supplement their daily expenses. In addition, the labors of this family are to obtain employment opportunities during the development of Zhaozhou Bridge Park, which include leasing small shops, or having landscaping or maintenance positions. During the project implementation, this family will be monitored regularly by both Project IAs and local village so that it can get relevant assistances timely or even benefit from the project.

5 Institutional Organizations and Responsibilities

5.1 Management Institutions for Resettlement Implementation

5.1.1 Institutional Establishment

In order to achieve the expected results of land acquisition and resettlement implementation, People’s Government of Zhao County has established the Project Leading Group to be responsible for project preparation and implementation, of which, An Zhongqi, as mayor of the county, is the director. The project leading group consists of the members who are the heads from Water Resources Bureau, Land Administration Bureau, Finance Bureau and Construction Bureau. They have rich experiences in land acquisition, house demolition and resettlement. Under this Steering Group, the PMO is established. The PMO’s office is located in the Construction Bureau, which is responsible for the preparation, coordination, implementation and management of the project. The PMO will establish a 3-person special unit, the Social, Environment & Resettlement Management Division, to be responsible for land acquisition and resettlement activities.

Table 5-1: The Project Leading Group Name Institution Post Education Phone Number Government of Zhao Director An Zhongqi County Mayor Bachelor 13333211616 County Government of Zhao Executive Vice Zhang Junmin Bachelor 13653318666 County County Mayor Government of Zhao Vice County Mayor Zhang Qinghua Bachelor 13803216867 Vice County Director Government of Zhao Vice County Mayor Kang Jianlin Bachelor 13803213782 County The Head of the Feng Suwei ZBZC Bachelor 13603212955 bureau Government of Zhao Director of Office of Shi Lifeng Bachelor 13903211328 County the government County Development The Head of the Zhi Lijun Bachelor 13933170311 and Reform Bureau bureau County Financial The Head of the Li Chunke Bachelor 13903210771 Bureau bureau County Land Resource The Head of the Bai Baohua Bachelor 13932130909 Bureau bureau Staff County Environment The Head of the Zhang Junbo Bachelor 13903212651 Protection Bureau bureau Water Resources The Head of the Liu Fengchang Bachelor 13903210492 Bureau bureau Price Administration The Head of the Zhu Guanghui Bachelor 13803216898 Bureau bureau Government of The Head of the Wujianzhang Bachelor 13933082358 Zhaozhou Township bureau

Table 5-2: The PMO for the Project No. Institution Name Post Education Phone Number Duty The Head of the Head of the 1 Feng Suwei Bachelor 13603212955 bureau PMO Director, Finance Senior High 2 ZBZC Mei Libo 13833474043 Dept. of PMO School director the office of Junior 3 Xing Xiaoli 13513319636 PMO College

4 Li Ruilin Manager Bachelor 13582369269 UCTC Junior 5 Wei Jinshui Vice Manager 13700310438 Resettlement College Solid Waste Senior High 6 Bu Hongbo Manager 13931138285 Resettlement Plant School Waste Water 7 Treatment Zhang Guowe Manager Bachelor 13933152645 Resettlement Plant Junior 8 Cheng Jingqi Manager 13831187654 Heat Supply College Management Junior 9 Department Liu Suting Vice Manager 13673235265 College

The Project Steering Group

The PMO of Zhao County

Department Responsible for Resettlement （3 staffs）

Agency Entrusted for Agency Entrusted for External M&E Resettlement Designing

The PMO of Zhaozhou Township

The Affected Villages and the APs

Chart 5-1 Institutional Organization for Resettlement Management

5.1.2 Responsibilities of Institutions

(1) The Project Leading Group

To be responsible for organizing the resettlement activities of this Subproject, formulating relevant policies and coordinating all resettlement institutions.

(2) The PMO of Zhao County

To be responsible for handling the daily issues relating to the resettlement planning and implementation. As the project management institution, the major responsibilities are to execute the functions of management, planning, implementation, coordination, supervision and monitoring as the follows: (1) Formulate resettlement policies for land acquisition and house demolition; (2) Entrust design institute to define the project affected area, investigate the in-kind indices relating to land acquisition and house demolition and keep records of the data; (3) Apply for Land Use Certificate and Land Use Construction Permit for the Subproject; (4) Provide occupational training for the staff of the resettlement offices who are responsible for land acquisition and house demolition; (5) Organize and coordinate the preparation and implementation of RP; (6) Be responsible for management, allocation and monitoring of the use of resettlement funds; (7) Guide, coordinate and monitor the activities of RP and progress; (8) Organize and inspect internal monitoring activities, prepare progress reports, liaise with ADB and prepare a resettlement completion report on land acquisition and house demolition; and (9) Determine the external monitoring institution and coordinate the external monitoring activities.

(3) The resettlement working group for Zhaozhou Town

This institution must be headed by the responsible leader and consist of the key cadres from land administration, public security and civil administration offices as well as villages. The major responsibilities are: Participate in project survey and assist the preparation of RP; Organize public participation and propagate the resettlement policies; Implement, inspect, monitor and record all resettlement activities within respective towns; Handle with all necessary approving formalities relating to transferring and house construction; Be responsible for the payment and management of the land compensation funds; Supervise the land acquisition, house and attachment demolition, house reconstruction and house moving; Report the situation of land acquisition, house demolition and relocation to the county land administration bureau and county resettlement offices; and Coordinate and document the resolution of any disputes and problems arising from project implementation.

(4) Villagers’ Committees and Villagers’ Groups

The resettlement working group of the villagers’ committee and villagers’ group will mainly consist of the cadres of the village and villagers’ groups. Major responsibilities are: Participate in the social and economic survey; Organize the public discussion and stress the awareness campaign for land acquisition policies; Select the relocation sites and arrange house sites for affected people; Organize the resettlement activities for agricultural and non-agricultural production; Take responsibility for the management and allocation of the compensation funds; Report to the higher authorities the comments and proposals of the affected people; Report the progress of resettlement; Provide with necessary assistance to the vulnerable households; and Coordinate the resolution of any disputes and problems arising from project implementation.

(5) Responsibilities of Design Institute

In the stages of planning and design, correctly investigate the in-kind indices of land acquisition and house demolition, environmental capacity, utilizable resources, etc. and assist the local governments of the project area in preparing the resettlement scheme, cost estimates, detailed relocating plan and relevant maps and drawings; and In the stage of implementation, promptly provide the design documents, technical specifications, drawings and notices to the IAs, hand over and disclose the design to the PMO at all levels, assist all resettlement offices in managing all moving and production restoration activities, as well as optimize the resettlement scheme according to the actual situation.

(6) Resettlement External Monitoring and Evaluation Institutions

The Kunming PMO will engage NRCR of Hohai University as the external monitoring agency. The major responsibilities are: As the independent monitoring and appraisal institution, observe all aspects relating to the resettlement and implementation, monitor and assess the works and results of resettlement and social adaptability of the relocated people, as well as submit RP external monitoring reports to the PMO and ADB; and Provide with necessary technical assistance and consultation for Kunming PMO in the aspects of data survey and investigation.

5.2 Staffing of Resettlement Management Institutions and Facilities

5.2.1 Staffing

In order to ensure the smooth implementation of the RP, all resettlement organizations will be equipped with special working staff to form an efficient information exchange network. The resettlement agencies at all levels will consist of managerial and technical staffs, with 1~8 persons who have good professional quality and rich management experiences in land

60 acquisition, house demolition and resettlement. The staffing establishment in this connection of this Subproject is shown in Table 5-3.

Table 5-3 Staffing Establishment for Resettlement Management Institutions Institution Name Persons Staff Structure The PMO of Zhao County 3 staffs (1 female) Governmental employees The PMO of Zhaozhou 4 staffs (2 female) Governmental employees Township Affected Villagers’ Village / group cadres and representatives of 6 staffs (2 female) Committees APs Agency Entrusted for 4 staffs (1 female) Resettlement specialists, doctor and master External M&E

5.2.2 Provision of Equipment Facilities

All the resettlement management organizations of this Subproject at all levels of city and county (district) will make use of the existing available equipment resources, including office, transport and communication equipments, as well as other office supplies such as desks and chairs, computer, printer, telephone, facsimile machine, etc.

5.3 Schedule of Training

In order for smooth implementation of the RP, all working staff engaging in resettlement activities must receive necessary training. For this, The PMO of Zhao County will prepare the training plan and organize the training activities, ADB resources and resettlement specialist will be required to assist the training program.

5.3.1 Training Plan for Resettlement Management Staff

In this regard, a system for staff training and human resources development will be established at all levels of resettlement management institutions. The contents of training will include specialist lectures, technical training seminars, inspection of other similar projects and site training etc. The training plan is shown in Table 5-4, while the training contents will include: • Resettlement principles and policies; • Planning and management of projects with resettlement; • Resettlement planning and design; • Resettlement financial management; • Management information system; • Resettlement monitoring assessment; and • Resettlement project management. • census and assets inventory • socio-economic survey • consultation and participation • ADB’s social safeguard policies.

Table 5-4 Schedule for Resettlement Implementation Training Expenses Means of Time Location Recipients Contents Budget (unit: Training RMB 10,000) Zhao Resettlement working Professional training for Apr. 2008 workshop 1 County City staff resettlement works Key personnel of the Visit similar ADB-financed May 2008 Domestic field visit 3 resettlement office projects

Seminar on experiences Zhao Resettlement working Jul 2008 workshop and pending problems 1 County staff relating to resettlement

5.3.2 Measures for Strengthening Resettlement Offices

(1) Clearly define and responsibilities of the resettlement management institutions at all levels and strengthen monitoring and management; (2) Gradually enhance the strength of the resettlement institutions at all levels, especially in the aspects of technical strength and management quality, provision of necessary equipments such as computer, monitoring devices and transport tools etc.; (3) Strictly select the working staff, enhance the occupational and technical training for the managerial and technical staff for the purpose of upgrading their working capacity and management level; (4) Properly assign women cadres and exert women’s functions in resettlement implementation; (5) Establish the computer database, enhance the information feedback and thus ensure the effective information exchanges for all levels, where, the key resettlement issues will be resolved by the resettlement steering committee; (6) Enhance the reporting system, strengthen the internal monitoring and promptly solve the problems; and (7) Strengthen the assessment mechanism for external monitoring through establishing the early-warning system.

6 Public Participation and Grievance Redress

6.1 Public Participation

According to the laws, regulations and policies of PRC, Hebei Province and ADB for land acquisition and resettlement, in order to safeguard the legal entitlements of APs and displaced units, as well as minimize any complaints and disputes, it is required to further develop the relevant policies and implementation provisions for resettlement, listen to the public opinions, prepare the RP and practically attend to the implementation, thus to achieve the target of resettlement. Public participation in the phases of preparation and implementation is of great necessity. In the process of formulating policies and the RP, and subsequent implementation, great emphasis is put on public participation and consultation. Opinions and suggestions from various social groups, government departments, villages and affected households are extensively solicited. Participation by all parties into the resettlement and reconstruction activities is encouraged. In the preparatory stage of the project when feasibility studies were carried out, the PMO of Zhao County and design institutes have consulted extensively with relevant local department, People’s congress, Political Consultative Conference, NGOs, Township Government and representatives for the affected households on issues such as site selection, construction scheme, access road, ways and methods for resettlement and relocation, etc. During the preparation for resettlement and relocation, Resettlement and Relocation Office for the project has extensively solicited opinions and suggestions on resettlement and compensation policies from local government and a large number of representatives for affected households, and completed the formulation of RP with the assistance from local government. During the implementation stage of the project, public participation into resettlement, restoration and reconstruction activities will be further encouraged by resettlement and relocation agencies at all levels.

6.1.1 Public Participation during the Stage of Project Preparation

6.1.1.1 Process of Public Participation

From Dec. 2007, under the direction of the agency entrusted for making the RP, the PMO of Zhao County implemented a system of socioeconomic survey and public view consultation, details of which are shown as the following. 1) From Dec. 2007, a preliminary survey of household social economic conditions within the areas for land acquisition & resettlement and socioeconomic conditions was organized. Representatives for affected households took part in this survey and presented their opinions on project scheme and compensation for land acquisition and resettlement so that their opinions could have been given due consideration in project designing and formulating resettlement & relocation plan. 2) The project owner and the PMO of Zhao County successively organized meetings participated by local cadres at all levels and different categories of affected persons to publicize extensively current resettlement policies at the municipal, provincial and national level and various policies and requirements from ADB; at the same time, their opinions and suggestion on how to minimize project impact, on how to resettle the affected households, on Compensation Rates for different categories of affected persons, etc. were solicited and extensive consultations were conducted during the meetings. 3) From Jan. 2008 to Feb. 2008, the Land Acquisition Office under The project owner organized

63 an investigation team of more than 10 people to carry out the survey of affected physical index by land acquisition and resettlement, into which relevant representatives for affected households had participated. At the same time, the Land Acquisition Office collected opinions on site selection, construction scale, construction scheme, land acquisition, compensation rates and distribution scheme from villager representatives, conducted extensive consultation and paid due respect to the reasonable demands and opinions from affected households. In addition, the Land Acquisition Office (LAO) has conducted socioeconomic survey and survey of public opinion & psychology. Through household by household investigation, the LAO investigated the affected households’ willingness for land acquisition and their attitudes towards the project in the process of conducting socioeconomic survey. The comprehensive survey laid a solid foundation for resettlement and rehabilitation plan. Furthermore, staff from the LAO went into villages and villagers groups in the process of resettlement planning; through holding meetings with village cadres and representatives for affected households or random interviews, the LAO further solicited their opinions and suggestions on resettlement and relocation, including their demands of and suggestions on the selection of rehabilitation schemes (readjustment of land or just monetary compensation), employment for the resettled and compensation policies for land acquisition. And then, the second survey was implemented from Jan. 19 to 26 of Mar. 2008 to further realize the views and wills of the affected households, villagers not involved in land acquisition and the village committees; and meanwhile the construction plan, project signification, construction process and the scope of land acquisition are further publicized.

6.1.1.2 Achievements of the Public Participation

1) In the process of carrying out socioeconomic survey of project impact, generous support and cooperation from local governments, villages and villagers’ groups affected by the project and affected households have been appreciated. It is obvious that they definitely have taken part in the preparatory work for the RP. 2) From the survey result, the majority of villagers to be affected by the project know it will be carried out and are fully prepared for land acquisition and resettlement with the expression of willingness to comply with the arrangements. In addition, all the affected villagers request cash compensation in terms of rehabilitation options. Through extensive publicizing, the majority of affected households for permanent land acquisition are aware that when their rights are infringed upon, they may appeal through legal procedures. Some photographs of public participation during project preparation are shown as the following pictures

Table 6-1 Major Public Participation during the Stage of Project Preparation Sponsoring Amount of Date Site Participator Objective Brief Content Institution Participators Introduce background and Staffs of People’s Government Field study and objective of the project and The PMO of Dec. 16, of Zhao County, Staffs of the primary survey relevant policies of ADB, Project Site 20 Zhao County 2007 Agency Entrusted for Making for the project optimize project design so as to the RP and the APs impact minimize land acquisition.

The agency entrusted for Introduce brief condition of the making FSR, the agency The PMO of Dec. 17, Council Chamber project and the phone number of entrusted for making EAR and 10 Communication Zhao County 2007 of ZBZC all entrusted agencies and the the agency entrusted for list of needed data. making the RP. Staffs from Construction Bureau, Urban Construction People’s Council Chamber Introduce brief condition of the Investment Co. Ltd., Statistic Coordination for Government Dec. 19, of People’s project and appoint the Bureau, Bureau of Land 20 the project of Zhao 2007 Government of institutions involved in Administration and People’s resettlement County Zhao County resettlement. Government of Zhaozhou Township. Staffs from the PMO, People’s Government of Zhaozhou Survey for Introduce brief condition of the Township and Village resettlement project, implement The PMO of Dec. 20 to Changjiazhuang Committee of Changjiazhuang 50 impact and socioeconomic survey for the Zhao County 21, 2007 Village Village, Representatives of primarily consult project area and primarily Villagers, and the agency for the RP consult for resettlement. entrusted for making the RP. Staffs from the PMO, People’s Government of Zhaozhou Survey for Introduce brief condition of the Township and Village resettlement project, implement The PMO of Dec. 22 to Dashiqiao Village Committee of Dashiqiao 50 impact and socioeconomic survey for the Zhao County 24, 2007 Village, Representatives of primarily consult project area and primarily Villagers, and the agency for the RP consult for resettlement. entrusted for making the RP. Staffs from the PMO, People’s Survey for Introduce brief condition of the The PMO of Jan. 18 to Beibaishang Government of Zhaozhou 50 resettlement project, implement Zhao County 23, 2008 Village Township and Village impact and socioeconomic survey for the

Sponsoring Amount of Date Site Participator Objective Brief Content Institution Participators Committee of Beibaishang primarily consult project area and primarily Village, Representatives of for the RP consult for resettlement. Villagers, and the agency entrusted for making the RP. Open the RP in Staffs from the PMO, People’s People’s a limited scope Government of Zhaozhou The PMO of Feb. 5, Government of and further Consult for compensation plan Township and Village 35 Zhao County 2008 Zhaozhou discuss income and income restoration plan. Committee of Changjiazhuang Township restoration plan Village, and the APs for the APs.

Interview with the Head of Village Interview with the APs

Field Study The APs of the Second-phased Solid Waste Treatment and Exploitation Sub-project of Zhao County

6.1.2 Scheme of Public Participation

With further project preparation and implementation, the PMO of Zhao County will further strengthen public participation. 1) Publicizing resettlement information In order to make sure that the affected households and local governments would have a thorough understanding of the detailed RP and the compensation method of the project, LAO has publicized the relevant resettlement information, which were reviewed by ADB and distributed by LAO, through putting up public bulletin or broadcasting in the affected area, and make it into resettlement information brochure, which was distributed to every household for permanent land acquisition. The main content of resettlement information brochure included: project survey, areas covered by the planned land acquisition, property damage caused by land acquisition, Compensation Rates, compensation amount and resettlement policy, the rights of affected households for permanent land acquisition and relocation, opinion feedback, grievance channels, monitoring & evaluation, and etc. 2) Meetings Several months before land acquisition, meetings would be held for the affected households for permanent land acquisition, village committee, women representatives, and vulnerable persons, to give them relevant information and further solicit their opinions and suggestions. Three months before the implementation of land acquisition and relocation, further meetings would be held to give the affected persons information on relevant policies, regulations and Compensation Rates in order that they may get prior notice early enough and make enough preparation thereof. 3) Publicizing construction planning, construction schedule and resettlement policy via TV, radio and newspaper. a. Participation in livelihood and production development. The reallocation and adjustment in farm land as well as the initiation of other agricultural development programs would include the participation of all villagers within the village. b. Participation in the management and use of land compensation fund. Compensation fund from farmland belongs to the village collectively. No department or individual may withhold or misuse that premium. After the premium is distributed to the village as a collective, it is up to the collective to be in charge of the fund in order to guarantee its appropriate usage. The use of that premium must get the approval by the meeting participated by all villagers and receive the monitoring of villager representatives. c. Public Participation into the Construction The project construction will have certain impact on the local community, more or less. In order to make sure that the affected persons get benefit from project construction, their participation into construction is encouraged. Preference will be given to the locals in term of labors and material. Further public consultation with all stakeholders will be carried out during implementation, including meetings to address specific problems if such work has been suggested through internal and external monitoring. Detailed arrangement of public participation is shown as Table 7-2.

Table 6-2 Public Participation Objective Means Date Institution Involved Participator Subject the APs and other Disclose the RP or The PMO, villagers of Open Compensation Rates and Resettlement affected villages Sept. 2008 The PMO of Zhao County the same Appeal Channel. Information Booklet and library, etc. villagers’ group

Upload to ADB Disclose the RP October of 2008 The PMO of Zhao County All the APs web

The PMO of Zhao County, bureau Call-board and Disclose area of acquired land, Bulletin of Land of National Land Resource Bureau, Villagers’ March, 2009 All the APs related compensation rates and acquisition People’s Government of Zhaozhou Congress resettlement means. Township and relevant villages. The PMO of Zhao County, bureau Bulletin of Land Call-board and of National Land Resource Bureau, Disclose compensation fund and Compensation and Villagers’ April 2009 All the APs People’s Government of Zhaozhou means of payment. Resettlement Means Congress Township and relevant villages. The PMO of Zhao County, bureau Do complementary work and Re-examine Impact of National Land Resource Bureau, Field Study March, 2009 All the APs determine the final impact Indicators People’s Government of Zhaozhou indicators. Township and relevant villages. Confirm the plan of The PMO of Zhao County, bureau Villagers’ Discuss the final plan of income income restoration of National Land Resource Bureau, Congress (for Pre-implementation restoration and the one of utility of and its People’s Government of Zhaozhou several times) compensation fund. implementation Township and relevant villages.

6.2 Channels for Appeal and Grievance

During the preparation of the RP, the public participation was encouraged, and thus there will not be any big issues. However, there would be some unforeseen issues happening during such process. In order to effectively settle the issues and ensure the smooth implementation of the project construction and land acquisition, an effective and transparent channel for lodging complaints and grievance has been established. The basic stages for grievance are: Stage 1: Any APs, who encounter any infringement on their entitlements during land acquisition, house demolition and resettlement, may report to the villagers’ committee. The villagers’ committee or the APs may directly appeal to the resettlement offices of town or district (county) for resolution. The resettlement offices must record the complaints and resolve the problems within 2 weeks after the receipt of such complaints through discussion and consultation with the local villagers’ committee and the APs. Persons Responsible for Grievance Dashiqiao Village：Zhou Guangqian (secretary of the village) Phone Number：13930487768 Beibaishang Village：Li Zhenping (secretary of the village) Phone Number： 0311－4908222 Stage 2: If the APs who lodge the complaints are not satisfied with the results of stage 1, they may lodge grievance to the PMO of Zhao County after receiving the decision. The latter will make resolution within two weeks.

Persons Responsible for Grievance Wei Jinshui Unit：The PMO of Zhao County Site：No.8 Yongtong Road, Zhao County, Shijiazhuang City. Phone Number：13700310438 Stage 3: If the persons who lodge the complaints are still not satisfied with the decision of the PMO of Zhao County, they may, after receiving the decision, lodge complaints to the administrative organs for arbitration level by level according to Administrative Procedure Law of the People's Republic of China. Stage 4: If the persons are still dissatisfied with the above decision, they may, after receiving the arbitration decision, appeal to the People’s Court in accordance with Civil Procedure Law of the People’s Republic of China. Relevant institutions will accept the complaints and grievance lodged by APs from of charge. The reasonable charges as incurred will be covered by the contingency of the project. During the whole process of project construction, these grievance procedures remain valid so that the APs may deal with relevant issues. The above means of grievance redress will be announced in the public meetings and in the resettlement information booklet. The APs will be informed of their rights for grievance and appeal. At the same time, the procedure for appeal and grievance will be published through media among the affected people.

Stage 1: Any APs, who encounter any infringement on their entitlements during land acquisition, house demolition and resettlement, may report to the villagers’ committee. The villagers’ committee or the APs may directly appeal to the resettlement offices of town or district (county) for resolution. The resettlement offices must record the complaints and resolve the problems within 2 weeks after the receipt of such complaints through discussion and consultation with the local villagers’ committee and the APs.

Stage 2: If the APs who lodge the complaints are not satisfied with the results of stage 1, they may lodge grievance to the PMO of Zhao County after receiving the decision. The latter will make resolution within two weeks

Stage 3: If the persons who lodge the complaints are still not satisfied with the decision of the PMO of Zhao County, they may, after receiving the decision, lodge complaints to the administrative organs for arbitration level by level according to Administrative Procedure Law of the People's Republic of China

Stage 4: If the persons are still dissatisfied with the above decision, they may, after receiving the arbitration decision, appeal to the People’s Court in accordance with Civil Procedure Law of the People’s Republic of China.

Chart 6-1 Appeal Channel for the APs

7 Resettlement Budget

7.1 Resettlement Budget

All the expenses arising from land acquisition and resettlement will be covered by the total budget of the project. Basic resettlement fund include three parts, which are compensation for permanent land acquisition, compensation for temporary land occupation and compensation for attachments of ground. Except for such three items, there are other 6 items, which mainly are land measurement fees (accounting for 3% of basic resettlement fund), fees of monitoring and evaluation (accounting for 1.5％of basic resettlement fund), administration fees for project implementation (accounting for 3% of basic resettlement fund), technical training fees (calculating by the population of the APs), and un-predicated fees (accounting for 10% of basic resettlement fund). The total resettlement budget is RMB 24.44 million, accounting for 11% of the total investment budget, which includes compensation for permanent land acquisition of RMB 8.35 million, accounting for 34.18% of total resettlement budget, and compensation for temporary land occupation of RMB 12.12 million, accounting for 49.6% of total resettlement budget. The detailed condition of resettlement budget is shown as Table 7-1.

Table 7-1 Resettlement Cost budget (unit: RMB 10,000)

Compensation SSWTES SWWTS HPNRNS Item Unit Total Rates Amount Expense Amount Expense Amount Expense 1. Compensation Fund for 340.194 495.003 0.000 0.000 835.197 Land Acquisition 1.1 Land Compensation and Resettlement Subsidy mu 6.030 38.210 230.406 55.600 335.268 0.000 565.674 (adopting for irrigation land) 1.2 Compensation Fund for mu 0.201 38.210 7.680 55.600 11.176 0.000 18.856 Standing Crops

1.3Other Fees and Tax 102.107 148.559 0.000 0.000 250.666

Farmland Reclamation mu 1.000 38.210 38.210 55.600 55.600 0.000 93.810 Fund Fees for using the added mu 1.067 38.210 40.758 55.600 59.307 0.000 100.065 construction land Administration Fees for Land mu 0.241 38.210 9.216 55.600 13.411 0.000 22.627 Acquisition

Land Measurement Fees mu 0.030 38.210 1.146 55.600 1.668 0.000 2.814

Land Registering Fees each 0.040 1.000 0.040 1.000 0.040 0.000 0.080

Tax for Farmland Occupation mu 0.333 38.210 12.737 55.600 18.533 0.000 31.270

2. Fund of Temporary Land 0.000 91.199 1120.550 1211.749 Occupation 2.1 Recovery Fees for mu 8.000 0.000 10.950 87.599 139.618 1116.950 1204.549 Broken Road

2.2 Tax for Road Occupation Day per mu 0.060 0.000 60.000 3.600 60.000 3.600 7.200

3 Attachment of Ground 0.550 94.000 2.690 93.000 0.465 3.705

3.1Tomb each 0.050 10.000 0.500 46.000 2.300 0.000 0.000 2.800

Compensation SSWTES SWWTS HPNRNS Item Unit Total Rates Amount Expense Amount Expense Amount Expense

3.2 Telegraph Pole each 0.024 0.000 0.000 8.000 0.190 0.000 0.000 0.190

3.3Tree each 0.005 10.000 0.050 40.000 0.200 93.000 0.465 0.715

Sub-total of the 3 items 340.744 94.000 588.892 93.000 1121.015 2050.651 above 4. Exploratory Survey and 3% 10.222 17.667 33.630 61.520 Designing Fees RMB 5. Official Expense 1% 81.000 0.405 84.000 0.420 0.000 0.825 per capita 6. Fees of Technical 5%*4.02 81.000 16.281 84.000 16.884 0.000 33.165 Training

7. Fees of M&E 1.5% 5.111 8.833 16.815 30.760

8. Fees of Administration 3% 10.222 17.667 33.630 61.520 Implementation

9. Un-predicated Fees 10% 34.074 58.889 112.102 205.065

10. Total 417.060 709.252 1317.193 2443.505

7.2 Source of Fund and Annual Resettlement Investment Plan

The resettlement fund is all sourced from local counterpart fund. The annual resettlement investment plan is compiled by the steps of land acquisition and resettlement and rehabilitation implementation. The annual resettlement investment plan is shown as Table 7-2. Table 7-2 Annual Resettlement Investment Plan Fund (unit: Implementation Ones who obtain the No. Item Time RMB Agency payment 10,000) Disburse affected villages and March of 2008 to the PMO of Zhao 1 Compensation Fund 584.53 villagers’ group and the March of 2010 County for Land Acquisition APs Disburse the APs and the bodies Compensation for March of 2009 to the PMO of Zhao 2 1211 who are responsible for Temporary Land March of 2011 County farmland reclamation. Occupation Disburse Compensation for the PMO of Zhao Project construction 3 March of 2009 3.70 Attachments of County unit Ground March of 2009 to Disburse Other Fees the PMO of Zhao 4 December of 438.46 Relevant departments and Relevant Taxes County 2009 Treatment of March of 2009 to the PMO of Zhao 5 Un-predicated December of 112.102 County Affairs 2010

7.3 Management of Resettlement Funds and Related Disbursement

In order to ensure that the compensation funds for land acquisition and resettlement will be made and fully paid to the APs according to the standards and policies as stipulated in the RP, this project has established strict funds disbursement plan by following the following principles. 1) All costs related to resettlement will be covered by the total budget of the project; 2) Land compensation fees and resettlement subsidies will be fully paid before land acquisition to ensure that all APs be properly resettled; and 3) In order to smooth implementation of the land acquisition and resettlement, the financing and supervising institutions will be established at all levels to ensure the prompt appropriation of all funds. Based on the above principles, the procedures for disbursement of resettlement funds are: (i) the PMO of Zhao County will pay the relevant taxes and fees relating to land acquisition directly to National Land Resource Bureau of Zhao County and relevant resettlement offices, at the same time, the land compensation and resettlement subsidies will be deposited into bank or credit cooperative according to the agreement of land acquisition. (ii) The bank or credit cooperative will then, according to the payment notice issued by the PMO of Zhao County, disburse such amount directly to the eligible village, group, unit or individual. (iii) The compensation for basic facilities and attachments will be directly paid to the relevant units or individuals. The utilization of land compensation and resettlement subsidies will be determined upon full consultation with the villagers. The scheme for funds utilization must be submitted to the PMO of Zhao County. In case the land compensation and resettlement subsidies are distributed in cash,

75 the bank or credit cooperative will disburse such payment to the concerned village, group or individual according to the payment notice issued by the PMO of Zhao County. If such funds are to be used in project development, the means of public bidding must be adopted if the estimated costs of such project exceed CNY 500,000. In this case, the bank or the credit cooperative will directly disburse the funds to the awarded bidder according to the payment notice issued by the PMO of Zhao County. The source of resettlement fund and the process of its appropriation are shown as Chart 7-1.

Land Financial Urban Construction Village Compensation Department of → → Investment Co.Ltd. of → Committee and Resettlement Hebei Zhao County and the APs Subsidy Province

Compensation for Financial Urban Construction Standing Crops Department of → → Investment Co.Ltd. of → The APs and Attachments Hebei Zhao County of Ground Province

Financial Urban Construction Compensation for Department of → → Investment Co.Ltd. of → The APs Scattered Trees Hebei Process of Zhao County Province Compensation

Fund Financial Appropriation Urban Construction Department Compensation for Department of → → Investment Co.Ltd. of s Special Facilities Hebei Zhao County Responsible Province

Financial Urban Construction Project Department of Designing Fees → → Investment Co.Ltd. of Designing Hebei Zhao County Unit Province

Financial Department of Fees of M&E → → M&E Agency Hebei Province

Chart 7-1 The Process of Compensation Fund Appropriation

8 Resettlement Implementation Schedule

8.1 Principles for Resettlement Implementation

Based on the project construction progress, the project will be completed in different phases from March 2009 to December 2010. The major works of demolition and relocation will be started from March 2009 and completed by January 2011. The principles for progress arrangement are shown as the following. (i) The project construction will leave adequate time for land acquisition, house demolition and resettlement before commencement. (ii) Land acquisition and house demolition must be completed three months prior to the commencement of construction. The starting time for land acquisition will be determined according to the actual work of land acquisition and resettlement. (iii) During resettlement, the APs will have the chances to participate in the project. Prior to construction commencement, the range of land acquisition must be announced, resettlement information handbook must be distributed and public participation must be properly arranged. (iv) All kinds of compensation must be paid to the property owners in full amount within three months after the date of signing the land acquisition agreement. No entities or individuals will be allowed to utilize such compensation on behalf. No interception or misappropriation of such funds in any causes will be allowed.

8.2 Implementation Schedule for Resettlement

The overall progress plan for land acquisition, demolition and resettlement will be developed based on the progress of land acquisition, demolition and resettlement. However, this schedule will be adjusted accordingly if the overall progress deviates. Details are shown as Table 8-1. Table 8-1 Resettlement Implementation Schedule No. Tasks of Resettlement Scheme of Table Implementation 1 RP Preparation 1.1 Establish resettlement office Nov. 2007 Completed 1.2 Entrust RP compiler Dec. 2007 Completed 1.3 Entrust RP compiler Dec. 2007 Completed Being 1.4 Jan. to Sept. 2008 Entrust RP compiler Implemented Information Disclosure and Public 2 Participation Consultation with relevant Being 2.1 Mar. to Aug. 2008 departments and APs Implemented 2.2 Disclosure draft RP to APs Sept. 2008 Pending Disclosure of revised RP and 2.3 Oct. 2008 Pending RIB to APs, if necessary 2.4 Uploading RP on ADB website Oct. 2008 Pending 3 FS and RP Approval Pending 3.1 RP approval by Zhao County Sept. 2008 Pending 3.2 RP approval by ADB Oct. 2008 Pending 4 Procedures for Construction Land Pending 4.1 Land preliminary examination Sept. 2008 Pending

No. Tasks of Resettlement Scheme of Table Implementation 4.2 Approval of land use Feb. 2009 Pending 5 Implementation Stage 5.1 SSWTES Signing land acquisition, resettlement agreements, and Mar. 2009 to Jun. 2009 Pending payment of funds Project construction Jul. 2009 Pending commencement Income restoration measures Jul. to Dec. 2009 Pending Technical training for APs Jul. to Aug. 2009 Pending 5.2 SWWTS Pending Signing land acquisition, resettlement agreements, and Feb. to May 2009 Pending payment of funds Project construction July 2009 Pending commencement Income restoration measures May to Dec. 2009 Pending Technical training for APs Apr. to Jun. 2009 Pending 5.3 HPNRNS Pending Signing land acquisition, resettlement agreements, and Feb. to May 2009 Pending payment of funds Project construction May 2009 Pending commencement Income restoration measures May to Dec. 2009 Pending Technical training for APs Apr. to Jun. 2009 Pending 6 M&E Pending 6.1 Baseline investigation Feb. 2009 Pending 6.2 Internal M&E Mar. 2009 to Jan. 2011 Pending 6.3 External M&E Mar. 2009 to May 2011 Pending

9 Monitoring and Evaluation

For the effective implementation of the RP and realize the target of proper resettlement, based on the resettlement policies of ADB, this project will undertake regular monitoring and evaluation for the land acquisition, demolition and resettlement activities. The monitoring consists of two parts, respectively internal monitoring conducted by resettlement institution and external monitoring.

9.1 Internal Monitoring

9.1.1 Objective

The objective of internal monitoring is to ensure that the resettlement institutions be with sound function during the implementation, including conducting the internal monitoring of the whole resettlement process from preparation to implementation. Such will promptly acquire the knowledge of the latest situation of resettlement so that the RP can be implemented in a proper manner and the project construction can be proceeded with smoothly.

9.1.2 Institution and staffing

9.1.3 Contents of Internal Monitoring

The PMO of Zhao County will prepare a detailed internal monitoring plan for issues relating to land acquisition and resettlement, including: (1) Situation of the house moving, relocating sites and reconstruction etc.; (2) The situation of payment, utilization and availability of the land acquisition (occupation) compensation funds; (3) Investigation, coordination and suggestion for the major issues of the IA and resettlement during resettlement implementation; (4) Situation of income restoration of the affected households after relocation; (5) Situation of rehabilitation of the vulnerable groups; (6) Progress and quality of the development projects; (7) Degree of participation and discussion participated by APs during land acquisition, house demolition and resettlement implementation; (8) Technical training and the effectiveness; (9) Working institutions, training, working time and working efficiency of the local resettlement offices; and

9.1.4 Internal Monitoring Reporting

The PMO of Zhao County will submit semi-annual report to ADB for internal monitoring. Such report will adopt the present statistical data for the past six months in tabulated format, through comparison of the planned and the actual progress, the progresses of land acquisition, resettlement and utilization of compensation. Reporting formats are shown in Table 9-1 and Table 9-2. Table 9-1 Progress Report on Land Acquisition and Resettlement County ______Town ______Date: ____/____/______(d/m/y) Planned Completed Accumulated % of Items Unit Qty. Qty. Qty. Completion Permanent land mu acquisition Temporary land mu occupation Land Compensation RMB10000 APs receiving training Persons Job Provision Persons Land readjustment mu Prepared by: Signature (In-charge): Seal:

Table 9-2 Execution Progress on Funds Utilization County ______Town ______Cut-off date: ____/____/______(d/m/y) Date: ____/____/______(d/m/y) Investment Compensation Affected Compensation Ratio of Description 3 Unit/Qty. Required Received Institution Adjusted Compensation (RMB) (RMB) Village 1 Village 2 Collective Relocated households Unit Prepared by: Signature (In-charge): Seal:

9.2 External Monitoring

According to ADB’s policies, the PMO of Zhao County will employ the independent and qualified institution which has rich experiences in ADB-financed project as the independent monitoring agent for resettlement. Presently, NRCR of Hohai University is preliminarily entrusted. The external monitoring and evaluation institution will undertake regular trace-up monitoring and evaluation of the resettlement implementation activities and provide with necessary consultative proposals, including the aspects of resettlement progress, quality and funds. In addition, the production and living standards of the APs will be also monitored. Monitoring reports will be submitted to the PMO of Zhao County and ADB.

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

9.2.1 Contents and Methods for External Monitoring

(1) Baseline investigation

The external monitoring agency will conduct the required baseline investigation of village groups, from which, the baseline information of the production and livelihoods levels of the displaced people will be acquired, including the levels of livelihoods, production and income. The investigation of production and living levels will be conducted on semi-annual basis to follow up the changes of the displaced people in this connection. This is to adopt the methods of typical sample follow-up survey (random samplings: 100% for households affected by land acquisition and house demolition; 20% for affected village groups), casual interviewing and site visit, etc. to acquire necessary relevant information. Accordingly, the statistical analysis will be made on this basis, and thus the evaluation will be made.

(2) Regular monitoring evaluation

The external monitoring agency will, during the implementation of the RP, conduct regular follow-up monitoring of the resettlement twice a year. Such will be done through site observation, sample follow-up investigation and casual interviewing of displaced persons. The following activities will be monitored: Payment and amount of compensation funds; • Preparation and adequacy of sites for relocation; • House reconstruction; • Recovery and reconstruction of infrastructure and special facilities; • Production resettlement and rehabilitation; • Production assistance for APs • House moving of APs; • Technical training for APs; • Support to the vulnerable groups; • Schedule of the above activities (applicable at all times); • Network institutional organizations for resettlement; • Using of compensation fees for collective land acquisition and occupation, and the income conditions of displaced persons; • Situation of income growth for labor employment; • Impacts on neighboring residents caused by protection of water sources; and • Whether APs are benefited from the project construction.

(3) Public consultation

The external monitoring agency will participate in the public consultation meetings during the implementation of RP, through which, it can evaluate the effects of the public participation.

(4) Complaints

The external monitoring agency will pay site visits regularly, inquire about the results of resolution from the PMO of Zhao County and the IAs that accept the complaints. Occasionally, the agency may interview the displaced people who have complaints and, aiming at the existing problems, propose measures and suggestions for improvement. Such will help the resettlement implementation be more effective.

9.2.2 External Monitoring Reporting

The external monitoring and evaluation agency will submit semi-annual report to the PMO of Zhao County and ADB as detailed in Table 9-3. Table 9-3 Reporting Schedule for Resettlement Monitoring and Evaluation Reports Date 1 Socio-economic baseline survey Feb. 2009 2 1st monitoring and evaluation report May 2009 3 2nd monitoring and evaluation report Oct. 2009 4 3rd monitoring and evaluation report May 2010 5 4th monitoring and evaluation report Oct. 2010 6 The final monitoring and evaluation report May 2011

9.3 Post Assessment for Resettlement

Upon completion of the project, on the basis of the monitoring evaluation, the theory and method of post assessment will be used to review the resettlement activities of this project. In this regard, such post assessment will cover the successful experiences and lessons in the aspects of land acquisition and house demolition that can be referred to by the future resettlement projects. The institution entrusted to conduct the post assessment for this project must prepare the TOR for post assessment, build up the assessment index system, undertake necessary social and economic analysis and survey and prepare Resettlement Post Assessment Report for ZTIIC that will be submitted to the PMO of Zhao County and ADB.

APPENDIX 1: SUMMARY OF LAND OCCUPATION OF HPNRNS

Category Area of Area of Means Nation of Area of Occupy Acquired or Adopted to No. Site the used Demolished Land (unit: Occupied Acquire Land House ㎡) Land Land 1 re-build traffic police brigade station 250 State-owned None 2 re-build party schoold 200 State-owned None 3 re-build inspect station 250 State-owned None 4 re-build Wuzhuangbu station 200 State-owned None 5 re-build Yinji garden station 250 State-owned None Family planning committee 6 re-build 250 State-owned None station 7 re-build staff education center 250 State-owned None 8 re-build post office 150 State-owned None 9 re-build agricultural bank 250 State-owned None 10 re-build Jinhuijiayuan station 200 State-owned None 11 re-build Tianyi garden station 150 State-owned None 12 re-build Zhaozhou hotel 250 State-owned None 13 re-build Power administration bureau 250 State-owned None 14 re-build Herbalist hospital 200 State-owned None 15 re-build national tax station 150 State-owned None 16 re-build Bishui Garden 200 State-owned None 17 re-build Beiyuan district 200 State-owned None 18 re-build county government 250 State-owned None 19 re-build agricultural bureau 250 State-owned None 20 re-build land administration bureau 250 State-owned None 21 re-build Zhaozhou town 150 State-owned None employment administration 22 re-build 250 State-owned None bureau 23 re-build local tax bureau 200 State-owned None 24 re-build apple city 200 State-owned None

Category Area of Area of Means Nation of Area of Occupy Acquired or Adopted to No. Site the used Demolished Land (unit: Occupied Acquire Land House ㎡) Land Land 25 re-build public security bureau 150 State-owned None 26 re-build Zhaoxian high school 250 State-owned None 27 re-build east jianshe road 250 State-owned None Dongmeng elementary 28 re-build 200 State-owned None school 29 re-build bolin temple 250 State-owned None 30 re-build dongyuan district 250 State-owned None foodstuff management 31 re-build 250 State-owned None bureau 32 re-build limen village 400 State-owned None 33 newly-building anji village 200 200 State-owned Assignment None 34 newly-building power administration bureau 250 250 State-owned Assignment None 35 newly-building jinyuyouqi station 150 150 State-owned Assignment None 36 newly-building china mobil 150 150 State-owned Assignment None 37 newly-building yizhanlijing station 250 250 State-owned Assignment None deaf-and-dumb children 38 newly-building 150 150 State-owned Assignment None education school 39 newly-building baiyuan district 250 250 State-owned Assignment None 40 newly-building environment protect bureau 150 150 State-owned Assignment None new site of county 41 newly-building 200 200 State-owned Assignment None government agricutural development 42 newly-building 250 250 State-owned Assignment None bank 43 newly-building Zhaozhou town hospital 250 250 State-owned Assignment None 44 newly-building south Donyantou 250 250 State-owned Assignment None 45 newly-building north Dongyantou 150 150 State-owned Assignment None 46 newly-building runfeng garden 200 200 State-owned Assignment None 47 newly-building maoyijiaohuang station 150 150 State-owned Assignment None 48 newly-building yili street 150 150 State-owned Assignment None

Category Area of Area of Means Nation of Area of Occupy Acquired or Adopted to No. Site the used Demolished Land (unit: Occupied Acquire Land House ㎡) Land Land 49 newly-building titong streent 250 250 State-owned Assignment None 50 newly-building longfeng district 150 150 State-owned Assignment None old cadre management 51 newly-building 200 200 State-owned Assignment None bureau 52 newly-building electrical wire factory 200 200 State-owned Assignment None 53 newly-building food company 250 250 State-owned Assignment None 54 newly-building cotton factory 250 250 State-owned Assignment None 55 newly-building civil police station 150 150 State-owned Assignment None 56 newly-building autochthonism company 250 250 State-owned Assignment None 57 newly-building xunlinyayuan district 250 250 State-owned Assignment None 58 newly-building bolin district 250 250 State-owned Assignment None 59 newly-building liujia village 250 250 State-owned Assignment None 60 newly-building nail making factory 200 200 State-owned Assignment None 61 newly-building education district 250 250 State-owned Assignment None 62 newly-building contton factory district 200 200 State-owned Assignment None 63 newly-building linjiaomen station 200 200 State-owned Assignment None 64 newly-building old city site station 250 250 State-owned Assignment None 65 newly-building zhaozhou heating company 365 365 State-owned Assignment None total 14315 7065

APPENDIX 2: RESULTS OF SOCIOECONOMIC SURVEY

1 Socioeconomic Background of Zhao County

Zhao County, with the distance of 42km from Shijiangzhuang City and as a administrative county of Shijiazhuang City, is in the south of Hebei Province. Its accurate location is East Longitude from 114°36 to 115°6 and North Latitude from 37°43 from 37°54 . Gaocheng City and Luancheng City are to the north, Yuanshi County is to the west, Gaoyi County and Boxiang County are to the south, Ningjin County and Jinzhou County are to the east. Xiao River goes through the county from northwest to southeast and No. 308 National Highway goes through the county from north to south. Zhao County, with the regional area of 675km2, has a total population of 556,124 and 148,774 households. It owns 11 towns (or townships), 252 natural villages and 281 village committees. Zhao County, as the agricultural production supporting county, is famous for its wheat, pear and asparagus. As for its tourism, it has the famous Zhaozhou Bridge and Tuoluonijing Pillar.

During the stage of “Tenth Five-year Plan”, with the center of socioeconomic development, Zhao County are strengthening to increase the income of villagers and heighten the comprehensive capability for socioeconomic development and insisting the strategy of project stimulation, technology promotion and opening acceleration, which is based on the economic structure readjustment, reform and opening and paying much attention to heighten the living and production level of people. The spiritual civilization, urbanization and modernization of the county have won great achievements. Up to the end of 2005, the GDP of Zhao County has achieved to RMB 12,984.38 million, the increased rate of which is 15.7% compared with the one of 2004, and the government receipts has achieved to RMB 190.01 million. Annual net income per capita of villagers is RMB 5,453 and annual expense per capita of villagers is RMB 3,316. As for the sanitation condition of Zhao County, there are totally 3 hospitals, 4 large-scaled clinics, 7 middle-scaled clinics, 546 small-scaled clinics and one epidemic prevention station. The gross industrial output value of 2005 is RMB 10,136.33 million, the increased rate of which is 18.9% compared with the one of 2004; the increased rate of the gross output value of industrial enterprises at or above a set scale reaches to 27.5, while the one of industrial enterprises below a set scale is 3.9. The proportion of primary industry, secondary industry and tertiary industry is respectively 26.8%、4.9% and 26.3%. Zhao County’s fixed assets investment rose to RMB 2,929.74 million, including RMB 2,092.1 million of urban ones, RMB 4,853.3 million of non-agricultural ones, RMB 78.75 million of individual architecture ones and RMB 3,422.1 million of rural individual investment ones.

2 Summary of Socioeconomic Condition of the Affected Villages

2.1 Beibaishang Village.

Sketch Map of Beibaishang Village

This village is 4km away from the urban area of Zhao County. Guowang Highway, as a province-leveled highway, is through the village. Nanjiejiatong Village is to the north, Nanhejiazhuang Village is to the west and Nanbaishang Village is to the south. The site of Beibaishang Village is shown as the map mentioned above.

During the survey for socioeconomic conditions of the village, the agency entrusted for making the RP randomly sampled 120 households with 541 persons (not containing the persons directly affected by the project), of which the sampling rate is 21.6% of the population of the village. Details are shown as the following.

1) Summary of the Village

Up to the end of 2007, the village has a population of 2508 and 620 households registered. The population of men is 1326 and the population of labor forces is 1807. The total area of farmland is 3,450mu, which is all irrigation land, and there is only 50mu left and used by village committee. The major agricultural products are wheat and corn. In that year, the gross product value of primary industry is RMB 3,881,200 and the one of tertiary industry is RMB 1,750,000.

At present, in the village, there are 5 pig keeping farms with the average scale of 50 heads, and 2 chicken keeping farms with the average scale of 2000 chicken, all of which are owned by individuals. In addition, there are 5 economic bodies engaged in construction with the average scale of 120 persons. As for starch transportation, there are totally 130 households engaged in such business in part times. Generally, they transport starch to the starch machining plants of the county with agricultural three-wheel transporters, and each of them can averagely do the work for 50 to 60 times in a year with the wage of RMB 100 once.

Over 80% of labor forces are engaged in the concurrent production of agricultural production and off-farmed work. Most of the labor forces that are going outside for working are inclined to go to the urban area of Zhao County, Shijiazhuang and Beijing and they are engaged in the work of construction, clothes selling, spinning, starch machining and individual business. According the statistics, up to the end of 2006, in Zhao County, there are totally 32 spinning machining plants registered and 20 starch machining plants registered and there are more plants un-registered. It is estimated that there are over 50% of labor forces of the village employed by these enterprises. However, there is no enterprise run by the village committee. In the village, there are only about 10 small-scaled businesses, such as shops and restaurants.

2) Analysis for Family Population

According to the analysis for the sampled 120 households (541 persons), the family population is averagely 4.51. Among the sampled 541 persons, the population of agricultural residence registered is 504, accounting for 93.2% of the total population; the population of men is 242, accounting for 44.7%; the population of labor forces 4 is 356, accounting for 65.8%; the population of female labor forces is 172, accounting for 31.8%; and the population of the persons being supported is 185, accounting for 34.2%. Summary of that is shown as Table 1.

Table 1 Summary of the Analysis for Family Population the The The The population The population the population Total of population of the Item of agricultural populatio population Population non-agricultural of female persons residence registered n of labor residence labor forces being of men forces registered supported Total 541 504 35 242 356 172 185 Population The Average Family 4.51 4.20 0.29 2.02 2.97 1.43 1.54 Population Rate 93.2% 6.5% 44.7% 65.8% 31.8% 34.2%

4 According to socioeconomic conditions of the village, the definition of labor forces is assured by the person with the age from 18 to 60 and having stable income but no sex distinguishing.

3) Analysis for Education

According to the analysis for the sampled 120 households (541 persons), the population of illiteracy is 34, accounting for 6.33% of the total population; the population of children pre-schooling is 77, accounting for 14.23%; the population of the schooling is 61, accounting for 11.31%; the population of persons with the education of primary education is 57, accounting for 10.62%; the population of persons with the education of junior high school is 147, accounting for 27.25%; the population of persons with the education of senior high school is 134, accounting for 24.82% and; the population with the education of university is 29, accounting for 5.44%. It can be concluded that education of the survey persons can make them receive relevant technical training. Detailed condition of the education of the surveyed persons is shown as Table 2.

Table 2 Summary of the Education of the Survey Persons

No. Item Population Rate

1 Illiteracy 34 6.33% 2 Pre-schooling 77 14.23% 3 Schooling 61 11.31% 4 Primary School 57 10.62% 5 Junior High School 147 27.25% 6 Senior High School 134 24.82% 7 University 29 5.44%

4) Analysis for Employment

According to the analysis for the sampled 120 households (541 persons), the population of the persons just engaged in agricultural production is 107, accounting for 30.1% of the total labor forces, and including 76 of women (accounting for 21.3%); the population of the persons just engaged in going outside for working is 63, accounting for 15%, and including 42 of men (accounting for 11.8%); the population of the persons engaged in agricultural production and going outside for working is 159, accounting for 44.7%; the population of the persons engaged in stockbreeding and agricultural production is 3, accounting for 0.8%; the population of the persons engaged in individual business is 9, accounting for 2.5%, all of which are all engaged in starch transportation and; the population of the persons engaged in other work is 15, accounting for 4.2%.

It can be concluded that most of labor forces are engaged in working outside, and the proportion of persons contemporarily engaged in agricultural production still accounts for a large part, from which it shows that it is much essential to implement relevant project to stimulate local agriculture development.

Detailed condition of the employment of the surveyed persons is shown as Table 3.

Table 3 Summary of the Employment of the Survey Persons The population The population The population The population of the persons The The of the persons of the persons of the persons engaged in population of population engaged in just engaged in just engaged in agricultural the persons of the Sub-total Sub-total Sub-total stockbreeding Sub-total agricultural Working production and engaged in persons and agricultural production Outside going outside individual engaged in production for working business other work Men Women Men Women Men Women Men Women 31 76 107 42 21 63 85 74 159 2 1 3 9 15 8.7% 21.3% 30.1% 11.8% 5.9% 17.7% 23.9% 20.8% 44.7% 0.6% 0.3% 0.8% 2.5% 4.2%

5) Summary of Farmland

According to the analysis for the sampled 120 households (541 persons), the amount of contracted farmland is 735mu with 6.13mu of the farmland owned per household and 1.36mu of the farmland owned per capita, which shows that the farmland owned per capita is little and it is necessary to develop tertiary industry to effectively raise the villagers’ income. Detailed condition of the contracted farmland is shown as Table 4.

Table 4 Summary of the Contracted Farmland

Item Area (unit: mu)

Total Contracted Farmland 735.44 Farmland Owned Per Household 6.13 Farmland Owned Per Capita 1.36

6）Summary of Housing

According to the analysis for the sampled 120 households (541 persons), the sampled persons mainly own the houses with the structure of brick-concrete, brick-wood and timber. The total area of houses with brick-concrete structure is 15360 ㎡ with 128 ㎡ owned per household; The total area of houses with brick-wood structure is 8930 ㎡ with 74 ㎡ owned per household; The total area of houses with timber structure is 500 ㎡ with 4㎡ owned per household. It can be concluded that housing condition of the sampled ones is OK. Detailed housing condition is shown as Table 5.

Table 5 Summary of Housing Condition of the Sampled Persons Total Area Area Owned Per Household The Housing Structure （unit: ㎡）（unit: ㎡） Brick-concrete 15360 128 Brick-wood 8930 74 Timber 500 4

7）Analysis for Family Income

According to the analysis for the sampled 120 households (541 persons), income of the surveyed persons are sourced from agricultural production, stockbreeding, wage, working outside, individual business and others. Annual gross income per household is RMB 32,067 and annual gross income per capita is RMB 7,113. Among the annual gross income per household, the income of agricultural production is RMB 12,585, accounting for 39.2%; the income of stockbreeding is RMB 204, accounting for 0.6%; the income of wage is RMB 978, accounting for 3.1%; the income of working outside is RMB 16,444, accounting for 51.3%; the income of individual business is RMB 1,533, accounting for 4.8%; the income of others is RMB 323, accounting for 1.0%. Details of the income structure are shown as Table 6 and Chart 1.

To sum up, income of the survey persons is mainly from the income of working outside and agricultural production, while the income of individual business accounts for a little proportion. So it is much essential to strengthen technical training for the villagers so as to promote more villagers to be engaged in tertiary industry and effectively achieve socioeconomic development of the village.

Table 6 Summary of Income Structure of the Sampled Persons Annual Gross Income Item Annual Gross Income Rate per Household income of agricultural 1510207 12585 39.2% production income of stockbreeding 24500 204 0.6% income of wage 117400 978 3.1% income of working 1973280 16444 51.3% outside income of individual 183900 1533 4.8% business income of others 38780 323 1.0% Total 3848067 32067 100.0%

Agricultural 0.6% 3.1% Stockbreeding

39.2% Wage

51.3% Working outside

Individual business 1.0% 4.8% Others

Chart 1 Summary of Income Structure of the Sampled Persons

8）Analysis for Family Expenditures

According to the analysis for the sampled 120 households (541 persons), annually gross expenditures per household is RMB 15,494.

As for the expenditures for production, annual expenditures per household per household is RMB 5,375, accounting for 37% of the total. An expenditure for seed is RMB 911, accounting for 5.9%; an expenditure of pesticide and fertilizer is RMB 1,188, accounting for 7.7%; an expenditure of irrigation is RMB 2.864, accounting for 18.5% and; an expenditure of planting and reaping with machine is RMB 772, accounting for 5.0%.

As for the expenditures for living, annual expenditures per household is RMB 9,760, accounting for 63% of the total. An expenditure of electricity is RMB 193, accounting for 1.2%; an expenditure of communication is RMB 405, accounting for 2.6%; an expenditure of schooling is RMB 1,659, accounting for 10.7%; an expenditure of medical care is RMB 763, accounting for 4.9%; an expenditure of fuel is RMB 1,155, accounting for 7.5%; an expenditure of food (including staple food and non-staple food) is RMB 4,768, accounting for 30.8% and; an expenditure for others is RMB 817, accounting for 5.3%.

As the village committee of Beibaishang Village affords the expenditure of water for all villagers, there is no water expenditure included in the expenditure structure.

It can be concluded that an expenditure of irrigation takes a large proportion among the expenditures for production and an expenditure of food takes a large proportion among the expenditures for living, which corresponds with socioeconomic conditions of the village. And it can also be predicted that the expenditure structure will not be changed in the following years.

Summary of the expenditure structure is shown as Table 7 and Chart 2.

Table 7 Summary of the Expenditure Structure of the Survey Perons

Annual Expenditures Total Expenditure Item per Household (unit: Rate (unit: RMB) RMB)

Seed 109283 911 5.9% Pesticide and Fertilizer 142618 1188 7.7% Irrigation 343644 2864 18.5% Planting and Reaping 92651 772 5.0% Electricity 23106 193 1.2% Communication 48550 405 2.6% Schooling 199060 1659 10.7% Medical Care 91550 763 4.9% Fuel 138650 1155 7.5% Food (including staple food 572100 4768 30.8% and non-staple food) Others 98050 817 5.3% Total 1859263 15494 100.0%

Seed 1.2% Pesticide and Fertilizer 5.0% 2.6% 10.7% Irrigation 18.5% 4.9% Planting and Reaping 7.5% Electricity Communication 7.7% Schooling Medical Care 5.9% Fuel 5.3% 30.8% Food others

Chart 2 Summary of the Expenditure Structure of the Survey Perons

With the analysis for the family income and family expenditure, the annual net income per capita of the surveyed persons is RMB 5839, which is higher than average level (RMB 4,642) of Zhaozhou Township. It shows that the income condition of Beibaishang Village keeps a high level.

As for family income, the income of working outside takes the largest proportion and the income of agricultural production takes the second largest proportion; and as for family expenditures, the expenditure of food and irrigation take the largest proportion. As these surveyed persons are not directly affected by the project, it can be predicted that the income structure and expenditure structure will not be changed in the following years.

2.2 Dashiqiao Village

SWWTS is planned to acquire the farmland for 55.6mu that are owned by Dashiqiao Village collectively, of which there will be 17 households with 84 persons of the 12th villagers’ group to be affected. The sketch map of Dashiqiao Village is shown as the following.

Chart 3 The Sketch Map of Dashiqiao Village

Dashiqiao Village leaves 1km from the urban area of Zhao County in the south and is closed to No. 308 National Highway. At present, it has totally 780 households. The agency entrusted for making the RP randomly samples 147 households (not including the persons directly affected by the project) to further realize the socioeconomic condition of this village, the sampling rate of which is 18.85%. Detailed analysis is shown as the following.

1）Summary for Population and Labor Forces

According to the investigation and the interview with the village committee, at present, the village has a total population of 3125 and 780 households, including 1600 of the population of men (accounting for 51.2%) and 1525 of the population of women (accounting for 48.8%). The population of labor forces is 2083. According to the survey, among the surveyed 147 households, the population of the persons just engaged in agricultural production is accounting for 33.96%; the population of the persons just engaged in agricultural production is accounting for 26.23%; the population of the persons engaged in agricultural production and going outside for working is accounting for 37%; The population of the persons engaged in individual business is accounting for 0.7% and; the population of the persons engaged in other work is accounting for 2.11%. Details are shown as Chart 4.

0.70% 2.11%

33.96% Agricultural Production 37.00% Working Outside Agricultural Production and Working Outside Individual Business Others

26.23%

Chart 4 Employment Structure of Dashiqiao Village

2）Summary of Farmland and Its Output

At present, the village has a total land of 3395mu, including 3320mu of farmland (all is irrigation land) and 75mu of housing site land. The farmland owned per capita is 1.06mu. The major agricultural products are wheat and corn with the output of wheat and corn are respectively 500kg one mu and 550kg one mu.

3）Summary of the Education

According to the analysis for the sampled 147 households (559 persons), the population of illiteracy is 21, accounting for 3.76% of the total population; the population of children pre-schooling is 17, accounting for 3.04%; the population of the schooling is 103, accounting for 18.43%; the population of persons with the education of primary education is 105, accounting for 18.78%; the population of persons with the education of junior high school is 196, accounting for 35.06%; the population of persons with the education of senior high school is 115, accounting for 20.57% and; the population with the education of university is 2, accounting for 0.36%. It can be conclude that the persons with the education with junior high school and senior high school

95 take the largest proportion, the basic condition of which is similar to the one of Beibaishang Village. Summary of the education structure of the survey persons is shown as Chart 5.

0.36% 3.04%

20.57% 18.43% Pre-schooling Schooling 3.76% Illiteracy Primary School Junior High School Senior High School University 35.06% 18.78%

Chart 5 Summary of the Education Structure of the Survey Persons

4）Analysis for Family Income and Expenditure

According to the interview with the village committee, in 2007, the GDP of Dashiqiao Village is RMB 13,112,000, including RMB 5,000,000 of agricultural production, RMB 12,000 of forestry production, RMB 650,000 of stockbreeding production, RMB 2,850,000 of industry production, RMB 2,550,000 of architecture production, RMB 1,300,000 of transportation production, RMB 350,000 of business production and RMB 400,000 of service production. The gross cost of the village is RMB 2,150,000, including RMB 1,800,000 used for production and RMB 350,000 used for management.

According to the analysis for the sampled 147 households (559 persons), the annually gross income per household is RMB 20,959 with RMB 5,579 of the annually gross income per capita, and the annual net income per household is RMB 19,247 with RMB 5,088 of the annual net income per capita, which is higher than the average level (RMB 4,642) of Zhouzhou Village. The income of the surveyed persons is sourced from agricultural production, stockbreeding, wage, working outside, individual business and others. Among the annually gross income per household, the income of agricultural production is RMB 6,409, accounting for 30.58%; the income of stockbreeding is RMB 391, accounting for 1.87%; the income of wage is RMB 414, accounting for 1.98%; the income of working outside is RMB 13,164, accounting for 62.81%; the income of individual business is RMB 390, accounting for 1.86%; the income of others is RMB 190, accounting for 0.90%. Details of the income structure are shown as Chart 6.

1.86% 0.90%

30.58%

1.87% 62.81% 1.98%

Agriculture Stockbreeding Wage Working Outside Individual Business Others

Chart 6 Family Income Structure of the Surveyed Persons

According to the analysis for the sampled 147 households (559 persons), annually gross expenditures per household is RMB 10,398. As for the expenditures for production, an expenditure for seed is RMB 191, accounting for 1.84%; an expenditure of pesticide and fertilizer is RMB 695, accounting for 6.68%; an expenditure of irrigation is RMB 298, accounting for 2.87% and; an expenditure of planting and reaping with machine is RMB 528, accounting for 5.07%. As for the expenditures for living, an expenditure of electricity is RMB 294, accounting for 2.83%; an expenditure of communication is RMB 712, accounting for 6.84%; an expenditure of schooling is RMB 1,739 accounting for 16.73%; an expenditure of medical care is RMB 636, accounting for 6.12%; an expenditure of fuel is RMB 1,124, accounting for 10.81%; an expenditure of food (including staple food and non-staple food) is RMB 3,497, accounting for 33.63% and; an expenditure for others is RMB 684, accounting for 6.58%. Details of the expenditure structure are shown as Chart 7.

2.87% 6.58% 1.84% 6.68% 5.07% 2.83% 33.63% 6.84%

16.73% 10.81% 6.12% Seed Pesticide and Fertilizer Irrigation Planting and Reaping Electricity Communication Schooling Medical Care Fuel Food Others

Chart 7 Family Expenditure Structure of the Surveyed Persons

3 Socioeconomic Survey for the APs

3.1 The Survey for the APs of SSWTES

1）Summary of the Population of the APs

1. Among the affected 9 households with 55 persons, the population of men is 29, accounting for 53% of the total population; the population of women is 26, accounting for 47%; the population of labor forces is 39, accounting for 71%, including 19 of the population of women (accounting for 35%); the population of the persons being supported is 16, accounting for 29%; the population of married persons is 39, accounting for 71% and; the population of the persons with rural residence registered is 51, accounting for 94%. Summary of the population condition of the APs is shown as Table 8 and Table 7.

Table 8 Summary of the Population of the APs Population Population Population Population of the Villagers’ Total Agricultural Population of Female Householder Sex of Labor of Married Persons Group Population population of Men Labor Forces Persons Being Forces Supported Li Guoping Male 7th 9 8 5 6 3 6 3 Li Peiying Male 2nd 5 5 2 4 2 4 1 Liu Pingfa Male 7th 8 8 5 6 3 6 2 Li Huanduo Male 2nd 6 4 3 4 2 4 2 Liu Qingzhi Female 7th 4 3 1 4 3 4 0 Jiang Female 7th 6 6 3 4 2 4 2 Shengqin Li Ruishe Male 7th 6 6 2 4 2 5 2 Su Male 7th 4 4 3 3 1 2 1 Zhenjiang Liu Junfa Male 7th 7 7 5 4 1 4 3 Total 55 51 29 39 19 39 16 Average 6.0 5.7 3.3 4.0 1.9 4.3 2.0 Rate 100% 93% 53% 71% 35% 71% 29%

Table 9 Population Structure of the APs Residence Sex Labor Forces Marriage Registered Persons Item Total Female Being Rural Non-rural Male Female Labor Labor Married Un-married Supported Forces Forces Population 51 4 29 26 39 19 39 16 16 Rate 93% 7% 53% 47% 71% 35% 71% 29% 29%

2）Summary of the Age Structure of the APs

Table 10 Summary of the Age Structure of the APs Age Population Rate 0～6 8 15% 7～16 3 5% 17～50 29 53% 51～60 14 25% >60 1 2%

It can be concluded that majority of the APs has the age from 17 to 60, and it is essential to strengthen technical training for the APs and supply them proper employment opportunities. In addition, as the persons with the age from 51 to 60 also take comparatively large proportion, the project owner should fully consult with local governments for offering them sufficient and appropriate social assurance.

3）Summary of the Education of the APs

Among the affected 9 households with 55 persons, the population of illiteracy is 4, accounting for 7% of the total population; the population of children pre-schooling is 8, accounting for 15%; the population of the schooling is 6, accounting for 11%; the population of persons with the education of primary education is 6, accounting for 11%; the population of persons with the education of junior high school is 15, accounting for 28%; the population of persons with the education of senior high school is 13, accounting for 24% and; the population with the education of university is 3, accounting for 6%. It can be concluded that education of the survey persons can make them receive relevant technical training. Detailed condition of the education of the APs is shown as Table 11 and Chart 8.

Table 11 Summary of the Education of the APs

No. Item Population Rate

1 Illiteracy 4 7% 2 Pre-schooling 8 15% 3 Schooling 6 11% 4 Primary School 6 11% 5 Junior High School 15 28% 6 Senior High School 13 24% 7 University 3 6%

100

Illiteracy

Pre-schooling 6% 7% 15% Schooling 24% Primary School 11% Junior High School 28% 11% Senior High School

University

Chart 8 Summary of the Education of the APs

4）Summary of Employment of the APs

Among the affected 9 households with 55 persons, the population of the persons just engaged in agricultural production is 11, accounting for 29% of the total labor forces, and including 8 of women (accounting for 21%); the population of the persons just engaged in going outside for working is 6, accounting for 15%, and including 4 of men (accounting for 10%); the population of the persons engaged in agricultural production and going outside for working is 19, accounting for 49%; the population of the persons engaged in individual business is 1, accounting for 3%, all of which are all engaged in starch transportation and; the population of the persons engaged in other work is 2, accounting for 5%, one has a job in a institution of Zhao County and another one has a job in an administrative department of Zhao County. Summary of the employment of the APs is shown as Table 12 and Chart 9.

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Table 12 Summary of the Employment of the APs The The population The population The Population of the of the persons The population population of the persons engaged in of the persons of the persons Householder just agricultural engaged in persons Sub-total just Sub-total Sub-total Sub-total Sub-total engaged in production and individual Engaged engaged in agricultural going outside for business in other Working production working work Outside Sex Male Female Male Female Male Female Male Female Male Female Li Guoping 1 2 3 2 1 3 0 0 0 0 0 0 0 0 0 Li Peiying 0 1 1 1 1 2 1 0 1 0 0 0 0 0 0 Liu Pingfa 1 1 2 0 0 0 2 2 4 0 0 0 0 0 0 Li Huanduo 1 1 2 0 0 0 1 1 2 0 0 0 0 0 0 Liu Qingzhi 0 1 1 0 0 0 0 2 2 0 0 0 1 0 1 Jiang Shengqin 0 1 1 0 0 0 1 2 3 0 0 0 0 0 0 Li Ruishe 0 0 0 0 0 0 1 2 3 0 0 0 1 0 1 Su Zhenjiang 0 0 0 1 0 1 1 1 2 0 0 0 0 0 0 Liu Junfa 0 1 1 0 0 0 2 0 2 1 0 1 0 0 0 Total 3 8 11 4 2 6 9 10 19 1 0 1 2 0 2 Average 0.3 0.9 1.2 0.4 0.2 0.7 1.0 0.9 1.9 0.1 0 0.1 0.1 0 0.1 Rate 8% 21% 29% 10% 5% 15% 23% 26% 49% 3% 0% 3% 5% 0% 5%

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30% 26% 25% 23% 21% 20%

15% 10% 10% 8% 5% 5% 5% 3% 0% 0% 0% male female male Female male Female Male Female Male Female Agricultural Production Others Agricultural Production Working Outside Individual Business & Working Outside）

Chart 9 Summary of the Employment of the APs

5）Summary of Family Property

It can be acknowledged from Table 13 that color television, refrigerator, mobile phone and motorcycle are widely-spread among all the APs. And simultaneously, there are 4 households owning agricultural three-wheal transporter, which means they can be engaged in transportation business in part times.

Table 13 Summary of Family Property of the APs

Agricultural Color Washing Air Mobile Householder Refrigerator Fan Telephone Motorcycle Tractor Three-wheal Television Machine Condition Phone Transporter Li Guoping 3 2 2 5 0 1 5 2 0 1 Li Peiying 2 1 1 2 1 0 4 2 1 0 Liu Pingfa 4 2 2 5 2 1 3 2 0 0 Li Huanduo 1 0 0 1 0 1 2 0 1 0 Liu Qingzhi 1 1 1 2 0 0 0 0 0 0 Jiang Shengqin 1 1 1 2 0 0 3 1 1 0 Li Ruishe 2 1 1 4 1 1 4 2 1 1 Su Zhenjiang 1 1 1 3 1 0 3 1 0 1 Liu Junfa 3 1 2 3 0 0 4 1 0 2 Total 18 10 11 27 5 4 28 11 4 5 Average 2.00 1.11 1.22 3.00 0.56 0.44 3.11 1.22 0.44 0.56

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6）Summary of the Contracted Farmland Condition

According to the survey, the acquired land is irrigation land with the major agricultural production of wheat and corn. Summary of the contracted farmland condition of the APs is shown as Table 14.

Table 14 Summary of the Contracted Farmland Condition of the APs Annually Annual Existing Acquired Rate of Agricultural Householder Production Farmland Farmland Farmland Loss Production Value (unit: kg) (unit : RMB)

Li Guoping 9 4.1 45.56% 9600 17280 Li Peiying 5 1.28 25.60% 5333 9600 Liu Pingfa 12 4.38 36.50% 12800 21080 Li Huanduo 8 5.09 63.63% 8533 15360 Liu Qingzhi 9 4.28 47.56% 9600 17280 Jiang Shengqin 8 4.38 54.75% 6125 11025 Li Ruishe 15 4.16 27.73% 19500 28600 Su Zhenjiang 6 2.58 43.00% 7800 14040 Liu Junfa 12 5.93 49.42% 15600 21080 Total 84 36.18 43.07% 94892 170805 Average 9.33 4.02 43.07% 10543.52 18978.33

It can be acknowledged from Table 2-19 that the total farmland of all the APs is 84mu with average production value of 1,129.66kg. This sub-project is planned to acquire their farmland for 36.18mu, which induces the rate of farmland loss is 43.07%. The rate of farmland loss of Li Huanduo is the highest, which is 63.63%, and the one of Li Peiying is the lowest, which is 25.60%. The rate of farmland loss still keeps a high level, so it is much essential to guarantee them to receive sufficient compensation. And the same time, as the APs have many labor forces, it is still necessary to supply them with appropriate and effective technical training.

7）Summary of Housing Condition

The structure of the houses owned by the APs is mainly brick-concrete and brick-wood, the detailed condition of which is shown as Table 15.

Table 15 Summary of Housing Condition of the APs (unit: m2)

Householder Brick-concrete Brick-wood Timber

Li Guoping 300 0 0 Li Peiying 200 0 0

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Householder Brick-concrete Brick-wood Timber

Liu Pingfa 280 0 0 Li Huanduo 0 150 0 Liu Qingzhi 0 200 0 Jiang Shengqin 0 170 15 Li Ruishe 280 0 0 Su Zhenjiang 120 0 0 Liu Junfa 0 180 12 Total 1180 700 27 Average 131 78 3

It is acknowledged from Table 2-20 that an area of the houses with brick-concrete structure owned per household is 131 ㎡; an area of the houses with brick-wood structure owned per household is 78 ㎡ and; an area of the houses with timber structure is 3 ㎡. With further interviewing with the APs, the agency realized that 8 households had reconstructed their houses in recent years, and the condition of the reconstructed houses is OK.

8）Analysis for Family Income

According to the analysis for the APs, income of them is sourced from agricultural production, wage, working outside and individual business but excluding stockbreeding and others. Annual gross income per household is RMB 32,696 and. Among the annual gross income per household, the income of agricultural production is RMB 9,119, accounting for 27.89%; the income of wage is RMB 2,933, accounting for 8.97%; the income of working outside is RMB 18,422, accounting for 56.34%; the income of individual business is RMB 2,222, accounting for 6.8%. Details of the income structure are shown as Table 16 and Chart 10.

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Table 16 Summary of Income Structure of the APs (unit: RMB) Annual Net Working Annual Gross Householder Wage Individual Business Agricultural Income Outside Income Li Guoping 12285 0 22000 0 34285 Li Peiying 6100 0 26000 0 32100 Liu Pingfa 14600 0 15000 0 29600 Li Huanduo 9960 0 10000 0 19960 Liu Qingzhi 12410 12000 5000 0 29410

Jiang Shengqin 5556 0 26000 0 31556

Li Ruishe 9250 14400 22800 0 46450

Su Zhenjiang 6300 0 15000 0 21300

Liu Junfa 5600 0 24000 20000 49600 Total 82061 26400 165800 20000 294261 Average 9119 2933 18422 2222 32696 Rate 27.89% 8.97% 56.34% 6.80% 100.00%

Annual Net 7% Agricultural Income 28% Wage

Working Outside 56% 9% Individual Business

Chart 10 Summary of Income Structure of the APs

It can be concluded from Chart 3-12 that the APs’ income is supported by working outside and agricultural production and permanent land acquisition will bring negative impacts on them, so it is much essential to guarantee them to receive sufficient compensation timely and offer them effective and appropriate technical training.

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9）Analysis for Family Expenditure

According to the analysis for the APs, annually gross expenditures per household is RMB 23,268.

As the village committee of Beibaishang Village affords the expenditure of water for all villagers, there is no water expenditure included in the expenditure structure.

Summary of the expenditure structure is shown as Table 17 and Chart 11.

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Table 17 Summary of Expenditure Structure of the APs (unit: RMB) Food (including Pesticide Planting Medical staple Householder Seed and Irrigation and Electricity Communication Schooling Fuel Others Total Care food and Fertilizer Reaping non-staple food) Li Guoping 1800 1500 1000 695 240 3360 15000 100 2000 2000 0 27695 Li Peiying 1000 1500 300 700 420 1800 0 1000 1400 2000 0 10120 Liu Pingfa 2400 1200 1200 1680 480 1800 0 400 1400 4000 0 14560 Li Huanduo 1600 800 1000 2000 240 1200 20000 300 2500 3000 0 32640 Liu Qingzhi 1800 1375 1000 695 50 0 0 500 1000 4000 0 10420 Jiang Shengqin 500 1000 3430 539 300 1200 320 500 1800 5000 1000 15589 Li Ruishe 1350 1950 14400 1650 480 3600 0 1000 1020 14400 4000 43850 Su Zhenjiang 540 780 5760 660 720 1560 6000 700 480 8000 3000 28200 Liu Junfa 1080 1560 11520 1320 600 800 800 1200 960 6000 500 26340 Total 12070 11665 39610 9939 3530 15320 42120 5700 12560 48400 8500 209414 Average 1341 1296 4401 1104 392 1702 4680 633 1396 5378 944 23268 Rate 5.80% 5.60% 18.90% 4.70% 1.70% 7.30% 20.10% 2.70% 6.00% 23.10% 4.10% 100.00%

108

Seed

Pesticide and Fertilizer

Irrigation

Planting and Reaping

4.10% 5.80% 5.60% Electricity 23.10% 18.90% Communication

Schooling 6.00% 4.70% 2.70% 1.70% 7.30% 20.10% Medical Care

Fuel

Food (including staple food and non-staple food) Others

Chart 11 Summary of Expenditure Structure of the APs

It is acknowledged from Chart 12 that the major expenditure is irrigation, schooling and food, of which the food takes the largest proportion. The expenditure is coherence with socioeconomic conditions of the village. Land acquisition is unavoidable to induce the decreasing of the expenditure for production, esp. the one of irrigation, while it will not affect the APs’ living in a short term. Therefore, it can be concluded that the expenditure structure of the APs will not be much changed in the following years. 10）Comparative Analysis for Family Income and Family Expenditure Detailed analysis is shown as the following. The annual net income per capita is RMB 5,558 (equal to annual gross income per capita minus annual gross expenditure for production per capita), which is higher than the average level of Zhaozhou Village. The income of agricultural production takes the second largest proportion. It can be concluded that the APs are still dependent on the agriculture. In addition, the rate of farmland loss is 43.07%. As a result of that, it is much essential to make proper and normative Compensation Rates and guarantee the APs to receive sufficient compensation fund timely; and it is still important to promote them to change the income structure through offering them appropriate and effective technical training and supplying them with sufficient employment information and relevant employment opportunities. After permanent land acquisition, the expenditure structure of the APs will be change to some extent. The proportion of the expenditure for production will be lowered and the proportion of the expenditure for living will be relatively raised. Nevertheless, it does not mean the living level of the APs will be heightened. Therefore, it is also much essential to guarantee their public participation in the stage of project construction and project operation.

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11) Impacts Further Analysis for the APs Among the 9 affected households, the average rate of farmland loss is 43.07%, there is 6 households’ rate exceeding 40% and 5 households’ rate exceeding the average level. Li Huanduo’s rate is the highest, which is 63.63%. Table 18 is made according to the calculation of the rate of farmland loss. With further making sure that the accurate impacts of land requisition of each affected person, we analyze five persons of them and expect to clarify whether their livelihood still depend on agricultural production at present and how they sustain their future family life after land requisition, detailed data of which are shown as the following.

Table 18 Correlativity between the Rate of Farmland Loss and the Rate of the Income of Agricultural Production Net Income of Loss of Agricultural Existing Acquired Agricultural Production Induced The Rate of Householder Farmland (unit: Farmland Production (unit: by Land Requisition Land Loss mu) (unit:mu) RMB) (unit: RMB) Li Huanduo 9960 8 6338 5.09 63.63% Jiang Shengqin 5556 8 3042 4.38 54.75% Liu Junfa 5600 12 2768 5.93 49.42% Liu Qingzhi 12410 9 5902 4.28 47.56% Li Guoping 12285 9 5597 4.1 45.56% Su Zhenjiang 6300 6 2709 2.58 43.00% Liu Pingfa 14600 12 5329 4.38 36.50% Li Ruishe 9250 15 2565 4.16 27.73% Li Peiying 6100 5 1562 1.28 25.60% Total 82061 84 35811 36.18 43.07% Average 9118 9 3979 4.02 43.07%

A householder of Li Huanduo, with the age of 53, has 6 family members registered, who are Li Huanduo and his wife, two sons, one daughter and one daughter in law. He and his wife are mainly engaged in agricultural production; the eldest son and his wife mainly are engaged in working respectively in a starch machining plant and a spinning plant of Zhao County; the youngest son and the daughter is still schooling. This family depends on agricultural production (the proportion of agricultural income of the family is accounting for 60.6%) and the income of working outside. Major expenditure is used for the youngest son and the daughter schooling. After land acquisition, there is 2.91mu of farmland to be cultivated, which means gross income of the family will be reduced. However, as the youngest son and the daughter will be graduated in recent times, income of the family will be source from them. Even though the family will have alternated income source, the impact of land acquisition still exists. Therefore, it is much essential for the family to obtain sufficient compensation timely. According to further interview with the family, Mr. Li planned to first spend the compensation fund on purchasing assurances of supporting and medical care and then do individual business under the condition of having relevant opportunities. A household of Jiang Shengqin, with the age of 55, has 6 family members registered, who are the householder, her two sons, one daughter and two grandsons. The householder is mainly engaged in agricultural production, the two sons and one daughter are engaged in working outside and agricultural production and the two grandsons are still schooling. Family expenditure is mainly used for the expenditure for production and the expenditure for food. Even though the

110 income of agricultural production does not take the largest proportion, the impact of permanent land acquisition is still obvious. Therefore, it is much essential for the family to obtain sufficient compensation timely. According to further interview with the family, Mr. Li planned to first spend the compensation fund on purchasing assurances of supporting and medical care and then do individual business under the condition of having relevant opportunities and simultaneously she hoped her sons and daughter could obtain proper technical training. A householder of Liu Junfa, with the age of 58, has 7 family members registered, who are the householder and his wife, two sons, one grand daughter and two grandsons. Liu Junfa and his wife are mainly engaged in agricultural production and also take part-time job in the urban area of Zhao County. Although his two daughters in-law are not registered in his family, their income is contained into the gross income of the family. The two sons and their wives are engaged in working in the individual enterprises of Zhao County. Mr. Liu’s grand daughter and grandsons are still schooling. Income of this family is source from the income of working outside. Family expenditure is mainly used for the expenditure for production and the expenditure for food. Even though the income of agricultural production does not take the largest proportion, the impact of permanent land acquisition is still obvious. Therefore, it is much essential for the family to obtain sufficient compensation timely. According to further interview with the family, Mr. Li planned to first spend the compensation fund on purchasing assurances of supporting and medical care and then do individual business under the condition of having relevant opportunities and simultaneously he hoped his sons and daughter could obtain proper technical training. A householder of Liu Pingfa, with the age of 58, has 9 family members registered, who are the householder and his wife, the eldest son and his wife, the youngest son and his wife, two grandsons and one grand daughter. Although this family has the rate of farmland loss for 36.5%, the proportion of agricultural income is accounting for 58.4% and land acquisition will bring some impacts on his family. At present, Mr. Liu and his wife are mainly engaged in agricultural production; the eldest son and his wife and the youngest son and his wife are employed by individual enterprises of Zhao County, the income of whom is not satisfied. The two grandsons and one grand daughter are still pre-schooling. As this family has 12mu of farmland, their income are dependent on the agricultural production. Therefore, it is much essential for the family to obtain sufficient compensation timely. According to further interview with the family, Mr. Li planned to first spend the compensation fund on purchasing assurances of supporting and medical care and then do individual business under the condition of having relevant opportunities and simultaneously he hoped his sons and daughter could obtain proper technical training. A householder of Li Ruishe, with the age of 54, has the rate of land loss of 27.73%, and the income of agricultural production is accounting for 43.5%. Permanent land acquisition will bring some impact on his family living. He has 6 family members, who are the householder and his wife, one son, one daughter, one daughter in-law and one grandson. Mr. Li is retired from a state-owned enterprise and has RMB 1200 per month of retirement pay. At present, he and his wife are mainly engaged in agricultural production, the other labor forces are employed by individual enterprises of Zhao County. His family has totally 15mu of contracted farmland, and the income of agricultural production is accounting for a large proportion of the family income. The expenditure of the family is mainly used for agricultural production. Therefore, it is much essential for the family to obtain sufficient compensation timely. According to further interview with the family, Mr. Li planned to first spend the compensation fund on purchasing assurances of supporting and medical care and then do individual business under the condition of having relevant opportunities and simultaneously he hoped his sons and daughter could obtain proper technical training. It can be concluded that the APs of Beibaishang Village have not depend their livelihood on agricultural production. As the village is close to the urban area of Zhao County, most of them

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have sufficient opportunities to be engaged in non-agricultural production, such as transportation and agricultural products machining, by which they have power sustain their family life. Additionally, with assistances offered by the project, such as technical training, more employment opportunities, they are powerful to improve or at least keep their existing living and production level.

12）Inclination Survey of the APs for the Project Implementation

According to the survey, the APs believe that the project is advantage for strengthening the capacity of Zhao County for solid waste treatment and improving the environment of Zhao County. They all support the project. However, they are also worried about their income will be lowered and their living and production will be affected to some extent during the project construction. As they have no possibility to obtain the equal land through land readjustment at present, they all hope they can receive reasonable and sufficient compensation according to relevant laws and policies. After land acquisition, they plan to purchase social assurances and they expect to get more employment opportunities. And young labor forces of them incline to get more proper technical training and employment information and employment opportunities.

3.2 The Survey for the APs of SWWTS

2. This project affects 17 households with 55persons of Dashiqiao Village, and sampled by 100%, whole 17 HHs are surveyed and the survey results are as follows.

(1) Household Population of the APs

3. Among the affected 17 households with 84 persons, the population of men is 47, accounting for 55.95% of the total population; the population of labor forces is 60, accounting for 71.43%, including 29 of the population of women (accounting for 34.52% of the total population and 48.33% of the total labor forces); the population of the persons being supported is 24, accounting for 28.57%; the population of married persons is 55, accounting for 65.48% and; the population of the persons with non-rural residence registered is only 1, accounting for 1.19%. Summary of the population condition of the APs is shown as Table 19.

Table 19 Summary of the Population of the APs Rural Non-rural Female Villagers Labor Person Person Householder Sex Population Residents Residents Men Labor Group Forces Married Supported Registered Registered Forces Zhang 12th Male 6 6 0 3 4 2 4 2 Fengshan Group 12th Fan Rongkui Male 5 5 0 3 5 2 4 0 Group 12th Shi Xinfa Male 5 5 0 3 4 2 4 1 Group 12th Shi Xinzhu Male 4 4 0 2 4 2 4 0 Group 12th Hao Jucun Male 5 5 0 3 3 2 2 2 Group 12th Chang Xuezhen Male 5 5 0 3 4 2 2 1 Group Chang 12th Male 6 6 0 3 3 2 4 3 Yingzhen Group

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Rural Non-rural Female Villagers Labor Person Person Householder Sex Population Residents Residents Men Labor Group Forces Married Supported Registered Registered Forces Zhang 12th Male 5 5 0 4 2 1 2 3 Guangmin Group 12th Hao Jubo Male 4 4 0 3 2 1 2 2 Group 12th Chang Baoju Male 6 6 0 2 4 2 4 2 Group 12th Chang Yingbo Male 3 3 0 2 2 1 2 1 Group 12th Hao Jushan Male 4 4 0 2 3 1 3 1 Group 12th Wen Xianhui Male 6 5 1 3 5 2 4 1 Group 12th Wen Xiansuo Male 5 5 0 3 3 2 4 2 Group 12th Fan Rongfa Male 5 5 0 3 4 2 4 1 Group 12th Zhang Xiulin Male 5 5 0 2 4 2 3 1 Group 12th Wen Xianjun Male 5 5 0 3 4 1 3 1 Group Total 84 83 1 47 60 29 55 24 Average 4.9 4.9 0.1 2.8 3.5 1.7 3.2 1.4 Rate (%) 100.00 98.81 1.19 55.95 71.43 34.52 65.48 28.57

(2) Education of the APs

Among the affected 17 households with 84 persons, the population of children pre-schooling is 3, accounting for 3.57% of the total population; the population of the schooling is 16, accounting for 19.05%; the population of illiteracy is 4, accounting for 4.76%; the population of persons with the education of primary education is 20, accounting for 23.81%; the population of persons with the education of junior high school is 33, accounting for 39.29%; the population of persons with the education of senior high school is 8, accounting for 9.52%; the population with the education of university is 0. Detailed condition of the education of the APs is shown as Chart 12.

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9.52% 3.57% 19.05% Pre-schooling Schooling 4.76% Illiteracy Primary School 39.29% Junior High School Senior High School 23.81%

Chart 12 Summary of the Education of the APs

(3) Labor Forces Type of the APs

Among the affected 17 households with 60 labor forces, the population of the labor forces just engaged in agricultural production accounts for 48.33% of the total labor forces (man accounts for 16.67%, woman accounts for 31.67%); the population of the labor forces just engaged in going outside for working accounts for 35.00% (man accounts for 21.67%, woman accounts for 13.33%); the population of the labor forces engaged in agricultural production and going outside for working accounts for 15% (man accounts for 11.67%, woman accounts for 3.33%); the population of the labor forces engaged in individual business accounting for 1.67%. From the survey data, the population of the labor forces just engaged in agricultural production accounts for less than half proportion, and the population of man just engaged in agricultural production is less than that of woman, yet the population of man just engaged in going outside for working is more than that of woman. In the first instance it can be deduced that going outside for working have been their important production mode of this village, and agricultural production has not been the only chioce of production mode already. It also accounts for some proportion that coming back and engaging in agricultural production in the busy farming season and going outside for working in the spare time, especially male. In addition, different gender distribution of different production type reflects the traditional pattern of rural society that men go outside for working and women farm at home. Because Dashiqiao Village is close to the country seat, this traditional pattern have been weaken gradually and more and more women go outside for working such as clothing, spinning and weaving and dining. It is known through the interview that all of young people almost will go oustide for working and most of the elderly will engage in agricultural production, housework and taking care of children, which reflects different age distribution of different production type. Labor forces type of the APs is shown as Chart 13.

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1.67% 15.00% 48.33%

Agricultural production

Working Outside

Agricultural production 35.00% and Working Outside Individual Business

Chart 13 Summary of Employment of the APs

Table 20 Summary of the Employment of the APs The The population The population of Population of the the persons The population of of the persons engaged in the persons persons just agricultural engaged in Householder Sub-total just Sub-total Sub-total Sub-total engaged in production and individual engaged in agricultural going outside for business Working production working Outside Male Female Male Female Male Female Male Female Zhang Fengshan 1 1 2 1 1 2 0 0 0 0 0 0 Fan Rongkui 1 2 3 2 0 2 0 0 0 0 0 0 Shi Xinfa 1 2 3 1 0 1 0 0 0 0 0 0 Shi Xinzhu 0 1 1 1 1 2 1 0 1 0 0 0 Hao Jucun 0 2 2 1 0 1 0 0 0 0 0 0 Chang Xuezhen 1 1 2 1 1 2 0 0 0 0 0 0 Chang Yingzhen 1 1 2 0 1 1 0 0 0 0 0 0 Zhang Guangmin 0 0 0 0 0 0 1 1 2 0 0 0 Hao Jubo 0 1 1 0 0 0 1 0 1 0 0 0 Chang Baoju 1 1 2 1 1 2 0 0 0 0 0 0 Chang Yingbo 0 1 1 0 0 0 1 0 1 0 0 0 Hao Jushan 0 1 1 1 0 1 1 0 1 0 0 0 Wen Xianhui 1 1 2 1 1 2 0 0 0 1 0 1 Wen Xiansuo 0 1 1 0 0 0 1 1 2 0 0 0 Fan Rongfa 1 1 2 1 1 2 0 0 0 0 0 0 Zhang Xiulin 1 1 2 1 1 2 0 0 0 0 0 0 Wen Xianjun 1 1 2 1 0 1 1 0 1 0 0 0 Total 10 19 29 13 8 21 7 2 9 1 0 1 Average 0.6 1.1 1.7 0.8 0.5 1.2 0.4 0.1 0.5 0.1 0.0 0.1 Rate (%) 16.67 31.67 48.33 21.67 13.33 35.00 11.67 3.33 15.00 1.67 0.00 1.67

(4) Family Income and Expenditure of the APs

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Zhaozhou Town, which is RMB 4,642. income of them is sourced from agricultural production, working outside, wage and individual business. The income of agricultural production is RMB 9,206, accounting for 37.57% of annual gross income per household; the income of working outside is RMB 13,329, accounting for 54.41%; the income of wage is RMB 1,412, accounting for 5.76%;the income of individual business is RMB 553, accounting for 2.26%. Details of the structure of annual gross income per household of APs in Dashiqiao Village are shown as Chart 14. Annual net income per household basically ranges from RMB 10,000 to RMB 40,000, and the annual net income per household of 23.53% of APs ranges from RMB 15,000 to RMB 20,000, the population of which is most. Overall speaking, the distribution in each income range of APs is relatively average. Details of annual net income per household of APs are shown as Table 15. Chart 14 Summary of Income Structure of the APs

Table 21: Annual Income of the APs of Dashiqiao Village (Unit: RMB) Annual Annual Agricultural Working Individual Householder Wage Gross Income Per production Outside Business Income Capita

Zhang Fengshan 6480 13000 0 0 19480 3247 Fan Rongkui 9460 5000 0 0 14460 2892 Shi Xinfa 18368 10000 0 0 28368 5674 Shi Xinzhu 9600 22000 0 0 31600 7900 Hao Jucun 20000 10000 0 0 30000 6000 Chang Xuezhen 14400 25000 0 0 39400 7880 Chang Yingzhen 8800 12000 0 0 20800 3467 Zhang Guangmin 2400 10000 0 0 12400 2480 Hao Jubo 5280 12000 0 0 17280 4320 Chang Baoju 6160 20000 0 0 26160 4360 Chang Yingbo 8280 10000 0 0 18280 6093 Hao Jushan 19120 20000 0 0 39120 9780 Wen Xianhui 8300 9600 24000 9400 51300 8550 Wen Xiansuo 3800 8000 0 0 11800 2360 Fan Rongfa 6688 15000 0 0 21688 4338 Zhang Xiulin 6160 20000 0 0 26160 5232 Wen Xianjun 3200 5000 0 0 8200 1581 Total 156496 226600 24000 9400 416496 86153 Average 9206 13329 1412 553 24500 5068 Rate (%) 37.57 54.41 5.76 2.26 100.00

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Table 22 Annual Net Income per Household of APs in Dashiqiao Village Income Range (RMB) Amount of Households Rate (%) Accumulative Rate（%）

＜10000 1 5.88 5.88 ≥10000,＜15000 3 17.65 23.53 ≥15000,＜20000 4 23.53 47.06 ≥20000, ＜25000 2 11.76 58.82 ≥25000, ＜30000 3 17.65 76.47 ≥30000, ＜35000 1 5.88 82.35 ≥35000,＜40000 2 11.76 94.12 ≥40000 1 5.88 100.00 Total 17 100.00

Annual gross expenditures per household is RMB 12,854, An expenditure for seed is RMB 194, accounting for 1.51%; an expenditure of pesticide and fertilizer is RMB 425, accounting for 3.31%; an expenditure of irrigation is RMB 190, accounting for 1.48%; an expenditure of planting and reaping with machine is RMB 227, accounting for 2.15%; an expenditure of electricity is RMB 362, accounting for 2.28%; an expenditure of communication is RMB 645, accounting for 5.02%; an expenditure of schooling is RMB 3,076, accounting for 23.93%; an expenditure of medical care is RMB 783, accounting for 6.09%; an expenditure of fuel is RMB 1,519, accounting for 11.82%; an expenditure of food (including staple food and non-staple food) is RMB 5,212, accounting for 40.55%; and an expenditure for others is RMB 171, accounting for 1.33%. The structure of annual gross expenditures per household of APs is shown as 15. Annual gross expenditures per household of 47.06% households of 17 HHs range from RMB 5000 to RMB 10,000. Annural gross expenditures per household of 94.12% households of 17 HHs are less than RMB 25,000, and there is only one household, annural gross expenditures per household of which are more than 25,000, accounting for 5.88%.Details of annual gross expenditures per household of APs are shown as Table 23.

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2.16% 1.33% 1.51% 3.31% 1.48% 2.81% 5.02%

40.55%

23.94%

11.82% 6.09% Seed Pesticide and Fertilizer Irrigation Planting and Reaping Electricity Communication Schooling Medical Care Fuel Food Others

Chart 15 Summary of Expenditure Structure of the APs

Table 23 Annual Expenditure of the APs of Dashiqiao Village （Unit: RMB）

Householder S PF Ir PR E Co Sc MC F Fo O Total

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Table 24 Annual Gross Expenditure per Household of APs in Dashiqiao Village Expenditure (RMB) Amount of Households Rate (%) Accumulative Rate（%）

＜5000 1 5.88 5.88 ≥5000，＜10000 8 47.06 52.94 ≥10000,＜15000 2 11.76 64.71 ≥15000,＜20000 2 11.76 76.47 ≥20000,＜25000 3 17.65 94.12 ≥25000 1 5.88 100.00 Total 20 100.00

(5) Analysis on Family Income Source

The income of APs is sourced from agricultural production, working outside, wage and individual business. All of the 17 HHs have the income of agricultural production and working outside, so they are two kind of primary production mode. The income of agricultural production of all of the Aps account for less than 70% of annual gross income, and that of 82.35% of APs accounts for less than 50%. On the contrary, the income of working outside of 76.47% of the Aps account for more than 50% of annual gross income, and that of 41.18% of APs accounts for ranging from 60% to 70%. In addition, there is one household which has income of wage, and the income of wage accounts for ranging from 40% to 50% of annual gross income; there is one household which has income of individual business, and the income of individual business accounts for ranging from 10% to 20% of annual gross income. Although the income of agricultural production and working outside are both two important income source of APs, it is not difficult to found that the income of agricultural production accounts for low proportion of annual gross income, yet the income of working outside accounts for high proportion, which plays an important part in family income source. So land acquisition of this project will not impact the income of APs heavily. The analysis on family income source is shown as Table 25.

Table 25 Analysis on Family Income Source of APs in Dashiqiao Village Income of Income of Income of Working Agricultural Income of Wage Individual Outside ％ Production Business Amount of Amount of Amount of Amount of ％％％％ Households Households Households Households ＞0，≤10 0 0 0 0 0 0 0 0 ＞10，≤20 2 11.76 1 5.88 0 0 1 100 ＞20，≤30 2 11.76 0 0 0 0 0 0 ＞30，≤40 7 41.18 3 17.65 0 0 0 0 ＞40，≤50 3 17.65 0 0 1 100 0 0 ＞50，≤60 0 0 3 17.65 0 0 0 0 ＞60，≤70 3 17.65 7 41.18 0 0 0 0 ＞70，≤80 0 0 2 11.76 0 0 0 0 ＞80，≤90 0 0 1 5.88 0 0 0 0 ＞90，≤100 0 0 0 0 0 0 0 0 Total 17 100 17 100 1 100 1 100

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(6) Analysis on Land acquisition Impacts of APs

This project acquires land 55.6 mu of Dashiqiao Village Zhaozhou Town Zhao Country. The acquired land is all irrigation land, and 17 household are affected, land of who are acquired overall. In fact the loss of 17 HHs is the income of agricultural production from cultivated land, so the index that annual gross income divided by the income of agricultural production can measure the loss of 17 HHs owing to land acquisition. The sample survey data of 147 households that are mentioned and surveyed for describing socioeconomic conditions of Dashiqiao Village can be described the impacts on family income of the income of agricultural production. The annual net income per capita and the ratio of the income of agricultural production accounts for annual gross income of 147 APs are calculated and the scatter diagram about two indexes is plotted as the following figure. It can be found that these two variables have obvious negative correlation, and regression is as follow. I = 3099.16 − 965.53ln R t Value(11.099) (-3.822) in the formula, I is annual net income per capita, R is the ratio of the income of agricultural production accounts for annual gross income.

Annual net 18000 Income 16000 per Capita 14000 (unit: RMB) 12000 10000 8000 6000 4000 2000 0 0 0.2 0.4 0.6 0.8 1 The Rate of Agricultural Income

Chart 17 Relative between the Rate of Agricultural Income and Annual Net Income Per Capita

From the regression model, It is shown that the income of agricultural production has a “negative effect” in some extent. The ratio of the income of to be higher, annual net income per capita will be less, in other words, agricultural production give birth to some negative impacts on family income, so the income of agricultural production is no longer the most important or indispensable income of farmers. In addition, from above analysis on income source, it can be discovered that income of agricultural production is not the most primary income of farmers’ income structure in this village. And in most the loss of farmers owing to land acquisition are less than 40% of annual gross income, so the loss of agricultural production owing to land acquisition will not impact and affect the income and production and living standards of farmers heavily.

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Table 26 Rate of the Income of Agricultural Production of the APs Income of Annual the Rate Agricultural Gross of the Income Name Production Income of Agricultural (unit: RMB) (unit: RMB) Production

Zhang Fengshan 6480 19480 33.26 Fan Rongkui 9460 14460 65.42 Shi Xinfa 18368 28368 64.75 Shi Xinzhu 9600 31600 30.38 Hao Jucun 20000 30000 66.67 Chang Xuezhen 14400 39400 36.55 Chang Yingzhen 8800 20800 42.31 Zhang Guangmin 2400 12400 19.35 Hao Jubo 5280 17280 30.56 Chang Baoju 6160 26160 23.55 Chang Yingbo 8280 18280 45.30 Hao Jushan 19120 39120 48.88 Wen Xianhui 8300 51300 16.18 Wen Xiansuo 3800 11800 32.20 Fan Rongfa 6688 21688 30.84 Zhang Xiulin 6160 26160 23.55 Wen Xianjun 3200 8200 39.02 Total 156496 416496 37.57 Average 9206 24500 37.57

The analysis on land-lost impacts on Dashiqiao Village owing to collectivity land acquisition of second-phased sewage treatment project is shown as Table 27.

Table 27 Analysis on Impacts of Cultivated Land Acquisition in Dashiqiao Village Index Calculation Formula Dashiqiao Village (1) Total households - 780 (2) Total Population - 3125 (3) Total Cultivated Land（mu） - 3320 (4) Cultivated Land per capita before Land (3)÷(2) 1.06 Acquisition （unit: mu per capita） (5) Quantity of Cultivated Land Acquisition - 55.6 （mu） (6) Cultivated Land per capita after Land [(3)-(5)]/(2) 1.04 Acquisition （unit: mu per capita） (7) Affected Population owing to Land 84 Acquisition Forever (8) The Ratio of Land loss（%） (5)÷(3) 1.67% (9) The Proportion of the Agricultural Net Income Loss (induced by farmland loss) （8）×37.57% 0.63% Among Family Gross Income

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(7) Result of Public Opinion Survey

From December 2007 to January 2008, project office organized public opinion and advice survey of second-phased sewage treatment project. Survey objects include 17 HHs. Survey result indicates that among the 17 HHs surveyed households knowing project construction clearly accounts for 64.71%, 35.29% of surveyed households do not know project construction or not so clear, and 64.71% of surveyed households know project construction through neighbors. 64.71% of surveyed households agree on project construction; 25.29% of surveyed households do not agree on project construction or express Indifferent. 100% of surveyed households think this project is advantageous to the nation; 94.42% of surveyed households think this project is advantageous to the collectivity; 82.35% of surveyed households think this project is advantageous to the individual. 11.76% of surveyed households think this project can protect life and property; 29.71% of surveyed households think this project can improve the agricultural production condition; 11.76% of surveyed households think this project can increase economic income; 64.71% of surveyed households think this project can improve ecological environment. 23.53% of surveyed households think this project has no disadvantageous impact; 5.58% of surveyed households think this project will affect traffic condition; 82.35% of surveyed households think this project will reduce economic income owing to land acquisition; 5.58% of surveyed households think this project has other disadvantageous impacts. And in the process of demolition, 35.29% of surveyed households know land acquisition, demolition and resettlement policy, and 35.29% of surveyed households know to appeal when their rights and interests are infringed upon. 88.24% of surveyed households except cash compensation and 35.29% of surveyed households will adjust industrial structure or use the remaining land to develop the family economy by cash compensation. After land acquisition, 76.47% of surveyed households except that they can be provided employment information. Details of public opinion and advice survey result are shown as Table 28.

Table 28 Public Views of Second-phased Waste Water Treatment Project Result(%) No. Question Answer (1) (2) (3) (4) (5) Do you know this （1）Yes（2）Yes, but a little. 1 project will construct 64.71 23.53 11.76 0.00 0.00 （3）No clearly? Information of this （1）Newspaper（2）Meeting 2 project and land （3）Neighbor（4）Social 0.00 11.76 64.71 23.53 0.00 acquisition survey personnel Do you agree to project （1）agree（2）not agree（3） 3 64.71 29.71 5.58 0.00 0.00 construction? indifferent Nation（1）Yes（2）No 100.00 0.00 0.00 0.00 0.00 In your opinion, who will 4 be most welcome this Collectivity（1）Yes（2）No 94.42 5.58 0.00 0.00 0.00 project? (multi-choice) Individual（1）Yes（2）No 82.35 17.65 0.00 0.00 0.00 （1）Protect life and property （2）Improve agricultural In you opinion, what production condition（3） 5 advantage will be 11.76 29.71 11.76 64.71 0.00 Increase economic income（4） brought by this project? Improve ecological environment（5）Others

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Result(%) No. Question Answer (1) (2) (3) (4) (5) （1）No disadvantageous impact;（2）Project construction affects traffic what disadvantageous condition;（3）Economic loss 6 impact will be brought 23.53 5.58 0.00 82.35 5.58 owing to demolition;（4）Land by this projrct? acquisition reduces economic income（5）Other disadvantageous impact Do you know land acquisition, demolition （1）Know；（2）Know 7 35.29 17.65 47.06 0.00 0.00 and ressettlement somthing；（ 3）Know nothing policy? Do you know to appeal when your rights and 8 interests are infringed （1）Know；（2）Do not Know 35.29 64.71 0.00 0.00 0.00 upon in the process of demolition? （1）Cash compensation Choice of land without land adjustment（2） 9 acquisition Land adjustment, and cash 88.24 5.58 5.58 0.00 0.00 compensation opinion will be compensated to collectivity（3）Others （1）Engage in the secondary and tertiary industries（2）Work If you except only cash outside（3）Adjust industrial compensation but not 10 structure or use the remaining 29.41 11.76 35.29 11.76 11.76 adjust land, so after land to develop the family compensation,you will: economy（4）Buy insurance （5）Others After land acquisition, （1）Technology training（2） 11 what heip will you hope Prividing employment 17.65 76.47 5.88 0.00 0.00 to obtain? information（3）Others （1）House Demolition and Choice of demolition Rebuilding by Self （2）Buy 12 and resettlement 0.00 0.00 0.00 0.00 0.00 commercial housing （3） opinion Others

4 Impacts Analysis for The Persons not Directly Affected

There are some villages of Beibaishang Village whose farmland is not acquired but located in the scope of environmental buffer area, by which their agricultural production will be unavoidable to be affected. With fully interviewing with them, the agency entrusted for making the RP was acknowledged that most of them were anxious about the noise and smell induced by solid waste treatment would directly affect their agricultural production, and the seeping liquid from the solid waste would pollute the underground water and bring some negative impact on their crops. So they hoped the project owner could optimize the project design to minimize such negative impacts. In addition, they also worried that the noise and solid wasted produced by the project construction would take some impacts on their agricultural production temporarily and the

123 construction of the outlet road would hinder them from transportation in a short time. With fully regarding to their views and suggestion, the project owner will take related measures mentioned as the following. As for lowering the impacts of noise, the project owner will: (1) reasonably design the plane graph, center the facilities that produce noise and establish greenbelts around the plant; (2) adopt the facilities with low noise; (3) pay much attention to minimize the unavoidable noise by taking relevant measures; (4) lower the noise from transportation through enduring calls loudspeaker. As for lowering the impacts of smell, the project owner will adopt biotechnical means to treat the smell produced from solid waste treatment and use the induced draft fan to further minimize the smell and then eliminate collected smell through biotechnical clean. As for the seeping liquid prevention, the project owner will (1) collect the waste water and reuse it for the re-treatment for solid waste; (2) drain the un-used waste water through waste water drainage pipeline. As for greenbelts establishment, the project owner will select the trees that have powerful capacity to prevent noise and smell and plant arbors and establish greenbelts around the plant. As for the measures adopted for project construction, the project owner will (1) ask the project construction unit to implement project construction in the day-time and prohibit loudspeaker calling; (2) timely collect and transport the solid wasted produced during the project construction; (3) make the plan to construct the outlet road by section construction and formulate the construction period to minimize the negative impact of transportation.

5 Impacts Analysis for the Nearby Village

Nanbaishang Village is to the south of SSWTES, and there are two households’ contracted farmland is along the outlet road, agricultural production of which may be affected to some extent. The two householders are respectively Sun Yuge and Sun Guohua, both of which belong to the 6th villagers’ group of Nanbaishang Village. The detailed condition of the two households is shown as the following. Sun Yuge, as a woman-handed family and living alone, owns 4mu of contracted farmland that is close to the plant and is supported by agricultural production. Sun Guohua, with 4 family members registered, also owns 4mu of contracted farmland that is close to the plant, and his family is supporting by agricultural production and working outside. The noise and smell produced by solid waste treatment may bring negative impacts on their agricultural production. In addition, the vehicles transporting the treated solid waste may bring some negative impacts on their agricultural production in case of any negligence. However, if the project owner adopts reasonable design and takes effective prevention measures, their agricultural production will not be affected.

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APPENDIX 3: TESTIMONY OF ZHAO COUNTY FOR AGRICULTURAL PRODUCTION VALUE FROM 2004 TO 2006

Testimony: Agricultural production value of Zhaozhou County in 2004, 2005, 2006 is respectively RMB 166.73 million, RMB 183.15 million and RMB 186.36 million. The total area of farmland of the three year is respectively 89.538mu, 88.672mu and 88.672mu. Therefore, the agricultural production value per mu of the three years is respectively RMB 1,862, RMB 2,065 and RMB 2,102. Statistic Bureau of Zhao County Nov. 1, 2007

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APPENDIX 4: RESETTLEMENT INFORMATION HANDBOOK

1. Objective of the Resettlement Information Booklet

This objective of the RIB is to provide APs information about the project, especially information about compensation principles, compensation benefits and compensation standards and other regulations, as well as how and when the compensation fee will be paid to the affected people and villages. This is a part of the information publication in order to disclose the land acquisition, resettlement, compensation standards, compensation fee payment, appeals and redress procedures and policies. The Executive Agency will distribute the RIB to the affected people and villages before the detailed measure survey (DMS).

2. Project Description With fulfilling the requirements for promoting urbanization that is formulated by the Tenth Five-year Program of Hebei Province, Development and Reform Commission of Hebei Province and Financial Department of Hebei Province organized and submitted Hebei Small Cities and Towns Development Demonstration Project in the second half year of 2005. After fully discussion and revision, the two departments submitted the project to Development and Reform Commission of PRC for approval in Sep. 2006. In Feb. 2007, this project was listed to the ADB financed project of 2007 to 2009, which named as the Hebei Small Cities and Towns Development Demonstration Project. Zhaozhou Township Infrastructure Improvement Project is a sub-project of this project. Zhaozhou Township Infrastructure Improvement Project includes three sub-project, which are the Second-phased Solid Waste Treatment and Exploitation Sub-project of Zhao County and the Second-phased Waste Water Treatment Sub-project of Zhao County, and the Heating Pipeline Networks Rebuilding and Newly-building Sub-project of the Urban Area of Zhao County. SSWTES involves the construction for the plant and entrance road and outlet road. As Zhao County is supported by the development of agricultural production and organic manure is much needed, the treated solid wasted is major used for compost. The newly-built solid waste treatment plant is located to the north of Nanbaishang Village and close to Guowang Highway (a province-leveled road). With the measurement of environmental assessment agency, the environment impact zone is 350m around the plant and there is no residential housing within the scope, so house demolition is not involved in the project. According to the project designing, the capacity of solid waste treatment is 100 ton per day, and newly-built plant needs to acquire the farmland of 38.21mu and the occupation area of newly-built architectures is 10864.5m2. SWWTS involves the construction for the plant and pipeline networks for waste water drainage. The newly-built plant is located in the south of Zhao County and close to Boli Road and Xiao River. According to the project designing, the plant needs to acquire the farmland of 55.6mu (the farmland is owned by Dashiqiao Village), and the area of newly-built architectures is 15042m2. According to the report of environmental assessment, there is no residence housing within 200m. The length of main pipeline is 1680m with the diameter of DN1350 and DN1500. The capacity of waste water treatment is 50,000 ton per day after the sub-project construction. HPNRNS is planned to construct the pipe for heat supply of 20.087km and increase the area of heat supply for 7,040,000 m2. According to the project designing, there will be 41 heat re-transfer stations to be constructed, 44 heat re-transfer stations to be re-constructed, 2 primary heat transfer station to be re-constructed, 7 tunnel (crossing bridge) to be constructed and 5 top pipelines (crossing road) to be constructed.

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3. Project Resettlement Impacts The three sub-projects only involve resettlement impacts as permanent land requisition (including requisition of collective-owned land and state-owned land), temporary land occupation (including requisition of collective-owned land and state-owned land) and standing crops and ground attachments demolition but no houses demolition. As project sites, esp. SSWTES and SWWTS, have been altered and optimized for several times to minimize project resettlement impacts, the impact of houses demolition is eventually avoided.

(1) Permanent Land Requisition Permanent land acquisition is involved in the three sub-projects, the total area of which is 104.46mu, including 93.81mu of the collective-owned land and 10.65mu of state-owned land. There are 26 households with 139 persons affected by permanent land acquisition, including the population of production resettlement of 81. SSWTES is planned to acquire 38.21mu land, which is irrigation land and owned by the 2nd villagers’ group and the 7th villagers’ group. There are totally 9 households with 55 persons affected by this subproject, including the population of production resettlement of 28. SWWTS is planned to acquire 55.6mu of the land owned by collectively, which is irrigation land and owned by Dashiqiao Village. There are totally 17 households with 84 persons affected by the permanent land acquisition, including the population of production resettlement of 53. HPNRNS planned to acquire 10.6mu land, which is all the state-owned land and involve no person affected. The persons affected by such permanent land requisition are shown as the following table. Table 1 the List of the Persons Affected by Permanent Land Requisition No. Village Householder Rate of Farmland Loss 1 Li Huanduo 63.63% 2 Jiang Shengqin 54.75% 3 Liu Junfa 49.42% 4 Liu Qingzhi 47.56% Beibaishang 5 Li Guoping 45.56% Vilage 6 Su Zhenjiang 43.00% 7 Liu Pingfa 36.50% 8 Li Ruishe 27.73% 9 Li Peiying 25.60% 10 Dashiqiao Village Hao Jucun 66.67 11 Fan Rongkui 65.42 12 Shi Xinfa 64.75 13 Hao Jushan 48.88 14 Chang Yingbo 45.3 15 Chang Yingzhen 42.31 16 Wen Xianjun 39.02 17 Chang Xuezhen 36.55

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No. Village Householder Rate of Farmland Loss 18 Zhang Fengshan 33.26 19 Wen Xiansuo 32.2 20 Fan Rongfa 30.84 21 Hao Jubo 30.56 22 Shi Xinzhu 30.38 23 Chang Baoju 23.55 24 Zhang Xiulin 23.55 25 Zhang Guomin 19.35 26 Wen Xianhui 16.18

(2) Temporary Land Occupation Temporary land occupation will be involved in SWWTS and HPNRNS, the total area of the temporarily occupied land is 150.57mu (equaling to 100379.1m2). Details are shown as the following. The pipeline networks of SWWTS are constructed by digging. The length of such pipeline networks is 1680m and the area of temporarily occupied land is 10.95mu (equaling to 7299.9 m2), which is the state-owned land. The pipeline networks of HPNRNS are mainly constructed by digging and a few of them are constructed by tunneling and top pipe. The length of such pipeline networks is 20087m and the area of temporarily occupied land is 139.62mu (equaling to 93079.2 m2), which is the state-owned land. There is no person involved in the temporary land occupation.

(3) Ground Attachments Demolition According to the socioeconomic survey for the APs, there are three types (tomb, cement telegraph pole and tree) of ground attachments to be affected, details of which are shown as the following table.

Table 2 Summary of the Impacted Attachment of Ground Item Unit SSWTES SWWTS HPNRNS Total Tomb nos 10 46 56 Cement nos 8 8 Telegraph Pole Tree pcs 10 40 93 143

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4. Relevant Laws and Regulations of Resettlement

(1) Policies of ADB Policy of Asian Development Bank on Involuntary Resettlement, November 1995 Summary of the Handbook on Resettlement: A Guide to Good Practice, 1998 Operations Manual – Involuntary Resettlement (OM/F2), October 2003

(2) Relevant Laws and Policies of PRC Real Right Law of the PRC (effected from Oct.1, 2007) Land Administration Law of the PRC (effected from January 1 of 1999, revised on August 28, 2004) Comments of the PRC for Further Strengthening the Work of Basic Farmland Protection (effected from Sep. 2005) Guidelines for Strengthening Land Acquisition Compensation and Relocation System (effected from November 3, 2004) Regulation for Public Hearing of National Land Resource (effected from May 1, 2004) Regulation for National Land Assignment with the Agreement (effected from Aug.1, 2008, and the order of No.21 made by National Land Resource Department) A Bulletin of the Comments for Land Acquisition (effected from Jan.1, 2002 and the order of No.10 made by National Land Resource Department)

(3) Local Regulations and Policies Land Administration Ordinance of Hebei Province (revised in 2002) The Compensation Rates of Shijiazhuang City for the Acquisition of Crop Standing and Attachment of Ground (effected from Mar.2007) Notification of the People’s Government of Shijiazhuang City for further Implementing Social Assurance of the Land-lost Farmers (effected from Aug. 2007) Comment of the People’s Government of Zhao County for the Normalization of Land Acquisition within the Planned Area (effected from Jun. 2007)

5. Compensation Standards for Land Acquisition and Resettlement

(1)The Compensation Rates for the Land Owned Collectively The land acquired is the irrigation land, the annual production value of which is achieved based on the annually agricultural production value among 2004, 2005 and 2006 of Zhaozhou Township that is offered by Statistics Bureau of Zhao County. Details are shown as Table 3.

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Table 3 Annually Agricultural Production Value of Zhaozhou Township (unit: RMB per mu)

ZhaoZhou Township Type of Land 2004 2005 2006

Annually Agricultural Production Irrigation Land 1862 2065 2102 Value

Table 4 The Compensation Rates for Land Acquisition Adopted by the Project Times of Compensation Compensation Rates (unit: RMB per mu) Annual Land Production Compensation Type of Land Value Standing Land Compensation and Standing and Total (unit: RMB Crops Resettlement Subsidy Crops Resettlement per mu) Subsidy5 Irrigation 2010 30 1 60300 2010 62310 Land

(2) The Compensation Rates for Attachment of Ground The Compensation Rates adopted for attachment of ground is based on Comment of the People’s Government of Zhao County for the Normalization of Land Acquisition within the Planned Area and The Compensation Rates of Shijiazhuang City for the Acquisition of Crop Standing and Attachment of Ground, the details of which are shown as Table 5.

5 According to No. 43 SZF(2007), the payment of resettlement subsidy is determined by the people’s congress of village or the congress of representatives of villagers.

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Table 5 Compensation Rates for Attachment of Ground of the Project

Item Unit Standard (unit: RMB per Support of the unit) Compensation No. Comment of the People’s Government of Zhao County for the 1 Tomb nos 500 Normalization of Land Acquisition within the Planned Area 238 of the height of 7.5m The Compensation Cement Telegraph 331 of the height of 8m 2 nos Rates of 397 of the height of 9m Pole Shijiazhuang City 456 of the height of 10m for the Acquisition RMB 2 per cm of the of Crop Standing diameter below 15cm; and 3 Tree pcs and Attachment of RMB 5 per cm of the Ground diameter over 15cm.

(3) Other Related Fees The details of other related fees are shown as Table 6.

Table 6 Standard Adopted for Other Related Fees No. Item General Standard Legal Support RMB 150 per m2 of cement road surface RMB 120 per m2 of Recovery Fees for Broken bitumen road surface 1 No. 6 JZ(1994) Road RMB 70 per m2 of brick road surface RMB 150 per m2 of colored brick road surface 2 Tax for Road Occupation RMB 0.6—0.9 per day No. 6 JZ(1994) No. 162 Ordinance of the State 3 Tax for Farmland Occupation RMB 5 per m2 Council Fees for Farmland Irrigation Land Administration Ordinance 4 RMB 15 per m2 Declamation Land of Hebei Province 4% of total land Administration Fees for Land No. 597 JFZ(92) and No.32 5 compensation and Acquisition JJJFZ(2001) resettlement subsidy. 6 Land Measurement Fees RMB 300 per mu

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No. Item General Standard Legal Support Charging by progression, No. 93 GT[J](1990) and No.24 7 Land Registering Fees each of which is RMB 100 JT(1992) to 700. Fees for using the added According to No.48 CZ, Zhao 8 RMB 16 per m2 construction land County is the thirteenth Grade. 3% of total land Exploratory Survey and 9 compensation and Designing Fees resettlement subsidy. 3% of total land Administration Fees for Project 10 compensation and Implementation resettlement subsidy. Calculation according to )Referring to the Regulation for Official Fees Paid to the 11 standard of RMB 50 per Land Requisition Compensation Implementation Agency capita of the APs and Resettlement of Large and 0.5% of the total Medium Water Conservancy and 12 Technical Training Fees compensation fees paid to Hydropower Projects (SL APs. 290—2003) 1.5% of total land Fees of Monitoring and 13 compensation and Evaluation resettlement subsidy. 10% of total land 14 Un-predicated Fees compensation and resettlement subsidy.

(4) Payment of the Resettlement Fund the procedures for disbursement of resettlement funds are: (i) the PMO of Zhao County will pay the relevant taxes and fees relating to land acquisition directly to National Land Resource Bureau of Zhao County and relevant resettlement offices, at the same time, the land compensation and resettlement subsidies will be deposited into bank or credit cooperative according to the agreement of land acquisition. (ii) The bank or credit cooperative will then, according to the payment notice issued by the PMO of Zhao County, disburse such amount directly to the eligible village, group, unit or individual. (iii) The compensation for basic facilities and attachments will be directly paid to the relevant units or individuals.

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Table 7: Entitlement Matrix Type of Extent of Impact Property Owner Rights Compensation Rates Loss (1) Land compensation fund is paid to 26 households relevant village, villages’ group and the APs. Land compensation and resettlement subsidy: Permanent with 139 persons There are 93.81mu of farmland to be (2) Resettlement subsidy and compensation RMB 60300 per mu Land from 3 villagers’ acquired by SSWTES and SWWTS. fund for standing crops are paid to the APs. Compensation for standing crops：RMB 2010 per Acquisition groups of 2 The assignment rate is determined through mu villages representatives’ congress of the village. Restoration fees： Road surface covered by cement: RMB 150 per m2 Road surface covered by bitumen: RMB 120 per Temporary There are 150.57mu of state-owned Restoration fees for broken road and fees m2 Land land to be occupied by SWWTS and ZBZC for road occupation. Road surface covered by common brick: RMB 70 Occupation HPNRNS. per m2 Road surface covered by color brick: RMB 150 per m2 fees for road occupation：RMB 0.6－0.9 per day (1) The village plans to arrange one person of mental disability to be employed Vulnerable 1 household with and offer the other person special Groups 5 persons assistance and employment information.

Item Unit Standard (unit: RMB per unit) Tomb nos 500 238 of the height of 7.5m 56 tombs Cement Attachment 331 of the height of 8m 8 telegraph poles Proper Owners Compensation according to relocation. Telegraph nos of Ground 397 of the height of 9m trees Pole 456 of the height of 10m RMB 2 per cm of the diameter Tree pcs below 15cm; and RMB 5 per cm of the diameter over 15cm.

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6. Appeal During the preparation of the RP, the public participation was encouraged, and thus there will not be any big issues. However, there would be some unforeseen issues happening during such process. In order to effectively settle the issues and ensure the smooth implementation of the project construction and land acquisition, an effective and transparent channel for lodging complaints and grievance has been established. The basic stages for grievance are: Stage 1: Any APs, who encounter any infringement on their entitlements during land acquisition, house demolition and resettlement, may report to the villagers’ committee. The villagers’ committee or the APs may directly appeal to the resettlement offices of town or district (county) for resolution. The resettlement offices must record the complaints and resolve the problems within 2 weeks after the receipt of such complaints through discussion and consultation with the local villagers’ committee and the APs. Persons Responsible for Grievance Dashiqiao Village：Zhou Guangqian (secretary of the village) Phone Number：13930487768 Beibaishang Village：Li Zhenping (secretary of the village) Phone Number： 0311－4908222 Stage 2: If the APs who lodge the complaints are not satisfied with the results of stage 1, they may lodge grievance to the PMO of Zhao County after receiving the decision. The latter will make resolution within two weeks.

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APPENDIX 5: RELEVANT LAWS AND POLICIES OF THE PRC

1. Entitlement and Compensation of Land Acquisition z Relevant Articles of Real Right Law of PRC

Ownership Right

Chapter Ⅳ General Rules Article 42 In order to meet the demands of public interests, it is allowed to acquire lands owned collectively, premises owned by entities and individuals or other realties according to the statutory power limit and procedures. When acquiring land owned collectively, it is required to, in accordance with law and in full amount, pay land compensation fees, resettlement subsidies, compensations for the attachments of the ground and standing crops and other fees, arrange for social assurance fees for the farmers with land acquisition, guarantee their livelihood and protect their lawful rights and interests. When acquiring the premises owned by entities and individuals or other realties, it is required to compensate for demolishment and relocation in accordance with law and protect the lawful rights and interests of the owners of the requisitioned realties; when acquiring the individuals' residential houses, it is required to guarantee the housing conditions of the owners of the requisitioned houses. The compensation fees for requisition and other fees may not be embezzled, misappropriated, privately shared, detained or delayed in the payment of by any entity or individual. Article 43 Special protections are provided by the state for farm lands, the conversion of farm lands into construction lands is strictly restricted and the aggregate quantity of construction lands is under control. No one may acquire any land owned collectively with violation of the statutory power limit and procedures. z Relevant Articles of Land Administration Law of the PRC Any unit or individual that need land for construction purposes should apply for the use of land owned by the State. Article 58 In one of the following cases, the land administrative departments of related people’s governments shall recover the land use right of State-owned land with the approval of the people’s governments that originally gives the approval or the people’s governments with the power of approval: 1. Use land for the sake of public interests; 2. Use land for adjustment in re-building old city districts in order to implement urban construction plans; 3. When the term for the land use right expires according to what is agreed upon in the contract for compensated use of land, the land user has failed to apply for extension or failed to get approval for extension; 4. The use of land originally allocated has been stopped due to cancellation or removal of units; 5. Roads, railways, airports and mining sites that have been approved to be abandoned. Proper compensation should be given to land use right users whereas the use right of State-owned land is recovered according to the provisions of 1 and 2 of the preceding paragraph. Article 47 In expropriating land, compensation should be made according to the original purposes of the land expropriated. z Relevant Articles of the Law of the PRC on Urban Real Estate Administration Article 22 The allocation of the right to use land shall mean the hand over of a tract of land by the

135 people's governments above the county level for use by a land user in accordance with the law for compensation, settlement, etc. or gratis. The right of land use obtained through allocation in accordance with this law, except those prescribed otherwise by the laws and administrative rules, has no time limit. Article 23 The right of land use for construction of the following projects, may be allocated by the people's governments above the country level when necessary: (1) land used by State organs of for military purpose; (2) land used for construction of urban infrastructures and public utility; (3) land used for construction of the State-supported key energy, transport and water conservancy projects; and (4) land used for other purpose stipulated by the laws and administrative rules. z Relevant Regulations of Land Administration Ordinance of Hebei Province Article 36 As for the land used for construction but not agricultural production, according to relevant laws, it is essential to offer the prepared land (including the land of urban area and rural area) for construction that is assured by land use scheme. With lawful permitting, the land can be offered to the project construction of energy, communication, water power, mining and military affairs, etc. Article 37 As for transferring the land used for agricultural production to the land used for project construction, the land administration department of city or county should make the transference plan that is phased to be implemented, which is based on the yearly plan of land use. As a principle, it is essential to make the plan that re-creates the equal amount of land to offset against the acquired land. With the approval the people’s government of that city or county, the two plans mentioned above should be approved by the upper people’s government which have the approval authority. Article 38 As for the acquisition of the land owned collectively, the land administration department of city or county should make the land acquisition plan, and report it to the people’s government which has the approval authority with the agreement of the people’s government of that city or county.

2. Procedures Regulated by Relevant Laws and Policies z Relevant Articles of Land Administration Law of the PRC Article 46 For expropriation of land by the State the local people’s governments at and above the county level shall make an announcement and organize the implementation after the approval according to the legal procedures. Owners or users of the land expropriated should, within the time limit specified in the announcement, go through the compensation registration for expropriated land with the land administrative departments of the local people’s governments on the strength of the land certificate. z Relevant Articles of A Bulletin of the Comments for Land Acquisition Article 3 As for the acquisition of the land owned collectively, the land acquisition plan and RP should be bulletined in the related village and villagers’ group. Article 6 The economic organizations owned collectively, villagers or other property owners whose land will be acquired, should go to the fixed places with the ownership certificate of the acquired land for the registration of land compensation in the fixed times regulated in the bulletin of land acquisition. z Relevant Regulations of Comment of the People’s Government of Zhao County for the Normalization of Land Acquisition within the Planned Area

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A. Prepare the Plan of Land Acquisition The land administration department undertakes to make the plan of land acquisition, which includes the purpose and utilization of such land acquisition, the scope, type and area of the acquired land, the type and amount of the attachments of ground, the compensation for the acquired land and related standing crops. B. Promulgate Land Acquisition and Hold Public Hearing The People’s Government of Zhao County will promulgate the plan of land acquisition to the village that involved in land acquisition. If the village committee and related villagers has no dispute, National Land Resource Bureau of Zhao County will contract with the village committee for land acquisition. In case of any dispute occurs, the village committee and related villagers can apply for public hearing within 10 days. After the stage of promulgation, National Land Resource Bureau of Zhao County will hold the public hearing within 10 days and send relevant data to the representatives of the public hearing before 10 days. And then National Land Resource Bureau of Zhao County will make the final judgments according to the record of the public hearing within 7 working days. C. Approval and Land Acquisition National Land Resource Bureau of Zhao County takes responsibility of the compensation for land acquisition after getting the approval of the upper land administration department. People’s Government of Zhao County makes the plan of land supply according to the socio-economic conditions and the utilization of land, and then implements the procedures of land acquisition based on the process of land assignment or transference.

3. Relevant Regulations of Land Compensation and Resettlement z Relevant Articles of Land Administration Law of the PRC. Article 47 In expropriating land, compensation should be made according to the original purposes of the land expropriated. Compensation fees for land expropriated include land compensation fees, resettlement fees and compensation for attachments to or green crops on the land. The land compensation fees shall be 6-10 times the average output value of the three years preceding the expropriation of the cultivated land. The resettlement fee shall be calculated according to the number of agricultural population to be resettled. The number of agricultural population to be resettled shall be calculated by dividing the amount of cultivated land expropriated by the per capital land occupied of the unit whose land is expropriated. The resettlement fees for each agricultural person to be resettled shall be 4-6 times the average annual output value of the three years preceding the expropriation of the cultivated land. But the maximum resettlement fee per hectare of land expropriated shall not exceed 15 times of the average annual output value of the three years prior to the expropriation. The standards for land compensation and resettlement fees for land expropriated shall be determined by various provinces, autonomous regions and municipalities in reference to the land compensation fees and resettlement fees for cultivated land expropriated. The standards for compensating for ground attachments and green crops on the land expropriated shall be determined by various provinces, autonomous regions and municipalities. In expropriating vegetable fields in suburban areas, the units using the land should pay new vegetable field development and construction fund. Whereas the land compensation fees and resettlement fees paid according to the provisions of the second paragraph of this article are not enough to maintain the original level of living, the resettlement fees may be increased with the approval of the people’s governments of provinces,

137 autonomous regions and municipalities. But the combined total of land compensation fees and resettlement fees shall not exceed 30 times the average output value of the three years prior to the expropriation. In special circumstances, the State Council may raise the standards for land compensation and resettlement fees for land expropriated according to the social and economic development level. z Relevant Regulations of Guidelines for Strengthening Land Acquisition Compensation and Relocation System A. As for the Compensation Rates of Land Acquisition a. Formulation of unified annual production standard. Province level land resource department formulate minimum annual production standard of counties in the province with relevant departments and then report to province level people’s government for approval and publicize them and take it into force. b. Expense of land acquisition accounted according to legal unified annual production multiple, if can not make farmer’s lives whose land is expropriated keep original life level, is not enough for the landless peasants to pay for social security, the time should be increased after approval of provincial people’s government; where the land compensation and resettlement subsidy are calculated 30 times but still not enough for the peasants to keep original living standard, the local government should arrange to give certain subsidy form the benefit of state land transfer. Where the basic agricultural land approved to be occupied, the compensation should be carried out at the maximum rate publicized by the local people’s government. c. Formulation of integrated land price in the land acquisition area. As for the areas with conditions, the provincial state land resource department should formulate the integrated land price of every county (city) in the province with relevant departments to provoke for approval of provincial people’s government before publication into force of land compensation. While formulating integrated price the type, production, location, agricultural land level, average planting quantity, supply and demand of land, local socio-economic development and minimum social security of urban residents should be taken into account. d. Distribution of land compensation. In the principle of land compensation’s main use for peasants whose lands are occupied, the compensation should be properly distributed in the rural collective economic organizations. The specific distribution methods are formulated by the provincial people’s government. Where the lands are all occupied and the rural collective economic organizations are displaced, the land compensation should be all used for living and production resettlement of peasants. B. Resettlement Ways for the APs e. Agricultural production resettlement. The rural collective land beyond the urban planning areas should make use of rural collective mobile land, the contract land voluntarily returned by the contractors, new plus planting land in the contract land transfer and land exploitation and collection firstly for the peasants to have necessary planting land to take over agricultural production. f. Re-employment resettlement. The demolition institutions should actively create opportunity to provide free training on labour skills for the peasants whose lands are occupied, and to arrange corresponding positions. In the same conditions, the institutions who use the land should give priority to these peasants while recruitment. While occupying the collective land of peasants in the urban planning area, the landless peasants should be taken into the urban employment system with social security institutions for them.

138 g. Dividend resettlement. As for the project land with long-term and steady benefit, in the premise of peasants’ desire, the rural collective economic organizations should negotiated with the project institutions to take the compensation or the access of approved construction land as stock. The economic organizations should sign contract with peasants for the latter to get benefit as priority stocks. h. Displacement resettlement. In the local area if the landless peasants can not be provided with basic living and production conditions, the government should organize to carry out inter-location resettlement in the premise of fully collection of peasants’ and rural collective economic organizations’ opinions. z Relevant Regulations of Comments of the PRC for Further Strengthening the Work of Basic Farmland Protection Article 2 Adjusted plan granted or passed by legal procedure on expropriateing the basic farmland, carry out the compensation of land acquisition according to legal tallest standard, for complementing farmland by paying the farmland reclamation fee, carry out paying standard by local tallest standard. z Relevant Regulations of Comment of the People’s Government of Zhao County for the Normalization of Land Acquisition within the Planned Area

4. Land Compensation and Resettlement Subsidy

At present, land compensation and resettlement subsidy is corresponding to the report Zhao County for the calculation achievements of comprehensive land price of acquired land. Based on the socio-economic conditions of Zhao County, with the faith of guaranteeing the living quality of land-lost persons and with fully regarding to related elements, such as the type of land, the location of land, the grade of land and the area of land owned per capita, the standard of land compensation and resettlement subsidy adopted by Zhao County is no less than 16 times of the annual production value among the 3 years before land acquisition and no more than 30 times. As for the payment, first National Land Resource Bureau of Zhao County pay the fees to village committee and then the latter assigns such fees to land-lost persons after leaving sufficient fees used for social assurance of the land-lost persons and public affairs according to actual conditions of the village. People’s Government of Zhao County uses some benefits from the project for the development of public affairs and rural construction. B. Compensation for Attachments of Ground Referring to the Compensation Rates of Shijiazhang City for standing crops and attachment of ground of the acquired land owned collectively, and with fully regarding to socio-economic conditions of Zhao County, the Compensation Rates for attachments of ground adopted by Zhao County is that the tomb is RMB 500 per unit, the well is RMB 4000 (no pump) to 6000 (pump) per unit, the tree is RMB 2 per cm (the diameter of 15cm) and RMB 5 per cm (the diameter of over 15cm) and the temporary building should be demolished but not compensated. C. Compensation for Standing Crops The wheat and corn is calculated by 1000 kg. Commodity Price Administration of Zhao County takes charge of making Compensation Rates and calculating the compensation fees according to the factual price of the wheat and corn. The Compensation Rates for standing crops, which is determined by the stage of growth, is no less than 50% of the one of wheat and corn.

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4. Temporary Land Occupation

Relevant Regulations of Land Administration Law of the PRC. Article 57 In the case of temporary using state-owned land or land owned by peasant collectives by construction projects or geological survey teams, approval should be obtained from the land administrative departments of local people’s governments at and above the county level. Whereas the land to be temporarily used is within the urban planned areas, the consent of the urban planning departments should be obtained before being submitted for approval. Land users should sign contracts for temporary use of land with related land administrative departments or rural collective organizations or villagers committees depending on the ownership of the land and pay land compensation fees for the temporary use of the land according to the standard specified in the contracts. Users who use the land temporarily should use the land according to the purposes agreed upon in the contract for the temporary use of land and should not build permanent structures. The term for the temporary use of land shall not usually exceed two years.