Resettlement Planning Document

Document Stage: Final Project Number: 40683 August 2010

PRC: Risk Mitigation and Strengthening of Endangered Reservoirs in Shandong Province Project

Final Resettlement Plan for Yangzhuang Reservoir Subproject in Pingyi County (English)

Prepared by the Shandong Provincial Government.

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.

Pingyi county Yangzhuang Reservoir Risk Mitigation Project

Under

Risk Mitigation of Endangered Reservoir Project

in Shandong Province

Of

The People’s Republic of China

Resettlement Plan

Water Resources Design and Research Institute of Shandong Province

December 2009

Letter of Endorsement

Pingyi county Water Resources Department (PCWRD) received the approval of constructing the Risk Mitigation of Yangzhuang Reservoir Project in Pingyi county from the related departments. This Project is proposed to be started in Jan. 2010, and completed by November 2010. Pingyi county Government, through Ministry of Finance, has requested a loan from the Asian Development Bank (ADB) to finance part of the Project. Accordingly, the Project will be implemented in compliance with ADB social safeguard policies. This Resettlement Plan (RP) represents a key requirement of ADB and will constitute the basis for land acquisition and resettlement. The RP fully complies with requirements of the relevant laws, regulations and policies of the People’s Republic of China (PRC), Shandong Province and Pingyi county Government as well as complies with ADB’s policy on involuntary resettlement.

Pingyi county Government and PCWRD hereby affirm the contents of this Resettlement Plan prepared dated in October 2009 and ensures that the resettlement will be made available as stipulated in the budget. PCWRD has discussed the draft resettlement Plan with relevant local officials and has obtained their concurrence. Pingyi county Yangzhuang Reservoir Project Management Bureau under Pingyi county Government was authorized as the responsible agency to manage the implementation of the Project and related resettlement activities.

Governor, Pingyi county Government

______(signature)

______(date)

Abbreviation

ADB Asian Development Bank AHs Affected Households APs Affected Persons EA Executing Agency EIA Environmental Impact Assessment FSR Feasibility Study Report IA Implementing Agency IMA Independent Monitoring Agency PLAB Pingyi Land Administration Bureau LAR Land Acquisition and Resettlement PCG Pingyi county Government PCWRD Pingyi county Water Resources Department M&E Monitoring and Evaluation YRPMB Yangzhuang Reservoir Project Management Bureau PMO Project Management Office PPTA Project Preparatory Technical Assistance PRC People’s Republic of China RP Resettlement Plan SPMO Shandong Project Management Office SES Socioeconomic Survey TA Technical assistance TOR Terms of reference

Table of Contents

EXECUTIVE SUMMARY ...... 1 I. INTRODUCTION ...... 2 1.1 PROJECT BACKGROUND ...... 2 1.2 PROJECT DESCRIPTION ...... 3 II. IMPACTS OF LAND ACQUISITION AND RESETTLEMENT ...... 5 2.1 MEASURES TAKEN TO AVOID OR MINIMIZE LAR IMPACTS ...... 5 2.2 PHYSICAL INDICES SURVEY ...... 5 2.3 SCOPE OF LAND ACQUISITION AND RESETTLEMENT ...... 5 III. SOCIO-ECONOMIC PROFILE IN AFFECTED AREAS ...... 8 3.1 SOCIO-ECONOMIC PROFILE OF PINGYI ...... 8 3.2 SOCIO-ECONOMIC PROFILE OF AFFECTED TOWNSHIP...... 8 3.3 SOCIO-ECONOMIC PROFILE OF AFFECTED VILLAGE ...... 8 3.4 SOCIO-ECONOMIC SITUATION OF AFFECTED HOUSEHOLDS ...... 8 3.4.1 Population Distribution by Age ...... 9 3.4.2 Population Distribution by Education ...... 9 3.4.3 Productive Resources ...... 9 3.4.4 Household Annual Income and Expenditure ...... 9 IV. POLICY FRAMEWORK, ENTITLEMENT AND COMPENSATION ...... 13 4.1 APPLICABLE LAWS, REGULATIONS & POLICIES FOR RESETTLEMENT ...... 13 4.2 OBJECTIVES AND PRINCIPLES OF RESETTLEMENT ...... 13 4.3 ELIGIBILITY OF COMPENSATION ...... 14 4.4 COMPENSATION STANDARDS ...... 14 4.4.1 Compensation Standards for Permanent Land Acquisition ...... 14 4.4.2 Compensation Standard for temporary Land use ...... 14 4.4.3 Compensation Standards for Attachments ...... 15 4.5 ENTITLEMENT ...... 15 V. REHABILITATION MEASURES ...... 16 5.1 OBJECTIVES OF RESETTLEMENT ...... 16 5.2 REHABILITATION PLAN FOR PERMANENT LAND ACQUISITION ...... 16 5.2.1 Rehabilitation Plan for Affected Households ...... 16 5.3 RESTORATION MEASURES FOR TEMPORARY LAND OCCUPATION...... 17 5.4 RESTORATION MEASURES FOR GROUND-ATTACHMENTS ...... 17 5.5 TRAINING FOR THE AFFECTED PERSONS ...... 17 5.6 JOB OPPORTUNITIES FROM THE PROJECT ...... 18 5.7 INCOME RESTORATION PLAN OF WOMEN ...... 18 VI. COST ESTIMATE AND IMPLEMENTATION SCHEDULE ...... 19 6.1 RESETTLEMENT COST ...... 19 6.2 MANAGEMENT AND DISBURSEMENT OF RESETTLEMENT FUNDS ...... 19 VII. POST-RESETTLEMENT PROGRAM FOR ORIGINAL RESETTLERS ...... 23 7.1 POST-RESETTLEMENT PROGRAM FOR RESETTLERS IN RESERVOIR AREA ...... 21 7.1.1 Background and Remaining Issues ...... 2Error! Bookmark not defined. 7.1.2 Post-resettlement Support Approaches ...... 2Error! Bookmark not defined. 7.2 POST-RESETTLEMENT SUPPORT IN RESERVOIR AREA ...... 222 VIII. IMPLEMENTATION SCHEDULE ...... 23 IX. PUBLIC PARTICIPATION AND GRIEVANCE REDRESS ...... 24

9.1 PUBLIC PARTICIPATION ...... 24 9.2 GRIEVANCE PROCEDURE ...... 24 X. INSTITUTIONAL ARRANGEMENT ...... 26 10.1 RESPONSIBLE INSTITUTIONS FOR RESETTLEMENT IMPLEMENTATION ...... 26 10.2 TRAINING PLAN FOR RESETTLEMENT MANAGEMENT STAFF ...... 27 X. MONITORING AND EVALUATION ...... 28 APPENDIX 1 APPLICABLE LAWS AND REGULATIONS ...... 29 APPENDIX 2 TERMS OF REFERENCE FOR EXTERNAL MONITORING ...... 35

Executive Summary

Yangzhuang Reservoir was constructed in November 7th, 1959. In June, 1960, the main engineering works were finished and started to store water and produced benefit. Since Yangzhuang Reservoir was built, there are many serious safety problems of the dam, spillway, and diversion tunnel. Therefore, it is urgent to carry on the risk mitigation and strengthening and reinforcement of Yangzhuang Dam and Reservoir, eliminate all kinds of dangers in the project in order to make it operate normally, and perform its proper economic benefits and social benefits of flood prevention, irrigation, aquiculture, and so on.

Based on the field survey for Construction Map Design (CMD), no inundation impacts are caused by the Project. However, the land requisition of the spillway construction will acquire 4.8 mu irrigable land, involving Yangzhuang village of Ziqiu town. 4 households with 56 persons will be affected by permanent land acquisition. All land are farmer contracted land. Land acquisition of temporary road, facilities for construction will acquire 28.42 mu arable land, involving Yangzhuang village of Ziqiu town. 30 households with 93 persons will be affected by temporary land acquisition. The other engineering construction organization activities are all within the scope of reservoir management and only affect the ground attachment of some trees. The total cost for land acquisition and resettlement is CNY 343672.

According to the “Notice on the Adjustment of Land occupying Annual Production And Compensation Standard, which is forwarded by General Office of Shandong Provincial People’s Government, and issued by Shandong Province People's government Office” Luzhengbanfa [2004] No.51, project influenced area, Pingyi, belongs to the forth-class areas. The Annual Average Output Value (AAOV) of the forth-class area is 1,200 Yuan per mu. Land compensation for arable land is 8 times of AAOV, and resettlement subsidy for farmland is 8 times of AAOV. So the total arable land compensation standard is 19,200 Yuan/Mu. For the temporary occupied land, the compensation fee per year calculated by per mu output of arable land is 1200 yuan.

According to the field interview, all affected households prefer cash payment and most of them plan to use the compensation in 3 ways as follows: i) Purchasing irrigation facilities including pumping and water transferring tubes, to increase the output of crops and orchards through improvement the irrigation conditions; ii) Livestock breeding to increase the income; iii) Improving living environment by concreting the house yard or decorate house.

The APs have participated in the planning process and their concerns have been integrated into the RP. The draft RP will be distributed to the affected village in Jan. 2010. In accordance with ADB’s public communications policy, the draft RP will be posted on the ADB website prior to loan appraisal. An effective and transparent channel for lodging complaints and grievances has been established, and relevant institutions shall accept the complaints and grievances lodged by the APs free of charge. The reasonable costs incurred shall be covered by the contingency of the project.

In order to implement RP successfully and achieve the goals of resettlement, the implementation of RP will be subject to internal and external monitoring according to ADB resettlement policies. The external monitoring and evaluation will be done by an independent monitoring agency (IMA). The external monitoring and evaluation institution shall undertake regular monitoring and evaluation of the resettlement implementation activities and provide necessary consultative proposals.

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I. INTRODUCTION

1.1 Project Background

1. Yangzhuang Reservoir is in the northeast mountain area of Pingyi County, and is located at the course of Ziqiu River, a tributary of Jun River of Qi river system. With a control catchment area of 36km2, it’s a mid-sized reservoir incorporating multiple functions of flood control, irrigation and aquaculture.15km downstream of the reservoir dam are the local town and the state highway 327, 16.5km downstream is the Yanshi Railway, 4km downstream are the Ziqiu village and Wensi Road, and 5km downstream is the newly-completed Ridong expressway. As a result, the geographical location of the reservoir is very important. Yangzhuang Reservoir was started to be built on November 7th, 1959; basically built in June, 1960, with the completion of main constructions such as the dam, spillway and drainage tunnel.

2. The original construction of Yangzhuang Reservoir inundated a village. Based on the “Shandong Rural Resettlers Registration and Ratification Method of Large and Medium-sized Reservoirs”, totally 194 households or 597 persons were involved in resettlement. They were resettled at 7 villages with 2 townships including Ziqiu town and Bianqiao town. There were 149 households with 456 people moved to Gaojiazhai resettlement village and 45 households with 141 people were scattered resettlement at 6 villages.

3. Since Yangzhuang Reservoir operation, the Reservoir Bureau has been short of funds for maintenance and reinforcement, resulting in the engineering works ageing and degradation. Many serious hidden troubles exist, influencing the safety of flood control. Particularly, the current flood control capacity of the reservoir cannot meet the Recent Standards issued by Ministry of Water Resources; the upstream reservoir’s dry stone pitching is broken; the dam has the potential safety hazard of seepage and drainage facilities are not complete; the drainage tunnel gate’s upstream apron is badly broken and the absorption basin and apron cannot meet the requirements of resisting impact; the outlet channel influences flood discharge safety; the drainage tunnel body has cracks and leaks water and the gate and hoist equipment are seriously aging; observation facilities of the dam are lacking; engineering administrative conditions are backward and the facilities are old-fashioned. In 2006, according to the Ministry of Water Conservancy Reservoir Dam Safety Evaluation Method, the Department of Water Conservancy of Shandong, safety evaluation on Yangzhuang Reservoir was performed. The reservoir is judged as grade-Ⅲ dilapidated reservoir, and this result was checked by Dam Safety Management Center under Ministry of Water Conservancy. Figure 1-1 is the sketch map of Yangzhuang Reservoir.

4. Yangzhuang Reservoir is located in northeast mountain area of Pingyi County. It is a medium-sized reservoir that is on Ziqiu River—tributary of Junhe River of the Yihe River water system. The dam site lies at 600m to the east of Yangzhuang village, in Ziqiu town. Ziqiu River is a tributary of Junhe River (upstream the Benghe River) of the Yihe River water system. It enters Junhe River from the east of Donggu village in a local town. The control catchment area upstream of the dam site of Yangcun Reservoir is 36km2. The average gradient of the river way main stream is 0.0241m/m. There are two small dams in the drainage area, whose control catchment area is 8.15km2 and whose total reservoir capacity is 40,000 m3.The reservoir area is located to the southeast of the mountain ranges of Mengshan Mountain. The geographical position of the reservoir is vital. In order to guarantee the safety of towns, communications, industrial and mining enterprises and the masses in the downstream reservoir, it is quite necessary to carry out the danger removal and reinforcement engineering of the reservoir, remove hidden dangers, meet design standards, guarantee safe operation of the reservoir, give full play to its economic benefits and social benefits in flood control, irrigation and aquaculture, ease supply and demand conflict of the local water

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resources, promote rapid development of economy, and improve the standard of living of the local urban and rural people. The local government and people also press for this.

1.2 Project Description

5. The task of this danger removal and reinforcement engineering is to reinforce constructions such as the dam, spillway and drainage tunnel. The project works include: to reinforce the dam; reinforce the spillways; reinforce the drainage tunnel; Metal structure and electrical engineering; to improve the management facilities and add observation facilities. The time limit of the project is two and a half years, from July 2008 to December 2010.

6. The overall risk mitigation works was divided into 2 phases. The first phase started in July. 2008, including reinforces the main dam and reconstructs the drainage facility. The above-mentioned engineering works and corresponding construction activities were implemented on unused land within the existing reservoir management scope, so no land acquisition or temporary land use impacts were involved. The other parts of the engineering works were followed into the 2nd phase, referred as the Project.

7. Based on the field survey for Construction Map Design (CMD), the engineering risk mitigation and strengthening does not raise the storage reservoir nor the elevation of dam crest. Therefore, it does not increase the inundation-affected area of upstream reservoir area. According to the hydrological data computation, the one-in-20-year flood level of upstream reservoir is 168m. And according to the reconnaissance to the upstream reservoir there are no inundation impacts caused by the Project. The other engineering construction organization activities are all within the scope of reservoir management and only affect the ground attachment of some trees. The total cost for land acquisition and resettlement is CNY 343672.

8. The Project is planned to start in Jan. 2010 and be completed in December 2010; project construction period is 12 months. The Project construction will necessitate permanent land acquisition and temporary land occupation. To mitigate the impacts, the short resettlement plan (RP) has been prepared by Shandong Water Resources Surveying and Design Institute on behalf of Yangzhuang Reservoir Management Bureau in line with the Asian Development Bank’s (ADB) Involuntary Resettlement Policy (1995) and the relevant laws, regulations and guidelines issued by the governments of People’s Republic of China (PRC) and Shandong Province.

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Figure 2.1 shows the Yangzhuang Reservoir and the project area.

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II. IMPACTS OF LAND ACQUISITION AND RESETTLEMENT

2.1 Measures Taken to Avoid or Minimize LAR Impacts

9. In order to avoid or reduce LAR impacts to the minimum, engineering alternatives have been carefully reviewed and the optimal option has been adopted during the Project design phase. All engineering works except broaden spillway will be implemented within the reservoir management property and has no negative impacts on people’s lives. At the same time, various compensation measures are prepared for affected persons who are unavoidably affected by land acquisition for the project. During the construction phase, a reasonable construction plan has been formed before the start of construction, and the construction sites should be strictly controlled within the scope of red line and awareness of responsibilities for construction workers should be raised to minimize the land acquisition and resettlement.

2.2 Physical Indices Survey

10. The physical indices survey was conducted based on Specifications on Land Requisition and Resettlement Design for Construction of Water Resources and Hydropower Engineering (SL290-2003) in July 2009. As per the engineering CDM and the scope of land acquisition and occupation, the detailed investigation of each physical index in engineering construction land acquisition scope was measured and recorded on July 24-25, 2009. The participants in survey include staff of Yangzhuang Reservoir Management Bureau, the Design Institute, the affected town government and involved Villages.

2.3 Scope of Land Acquisition and Resettlement

11. The land requisition of broaden spillways will acquire 4.8 mu irrigable land permanently, involving Yangzhuang village of Ziqiu town. 4 households with 56 persons will be affected by permanent land acquisition. All land is farmer contracted land. Table 2-1 and Table 2-2 provide the details of impact of permanent land acquisition. Although the land loss per household ranges from 13% to 16%, the income loss only ranges from 0.3% to 7.5% because these farmers have substantial non-farm income sources. Consequently, the impact of land loss is not significant and compensation can be used to increase other income sources. No vulnerable people will be affected.

Table 2-1 Summary of Permanent Land Acquisition of Flood Control Road

Land loss Affected land Current land rate per town village No. of household Number of people household (mu) Irrigable land (%)

1 12 7.2 1.1 16

2 14 8.4 1.2 15 Ziqiu Yangzhuang 3 17 10.2 1.3 13

4 13 7.8 1.2 16 total 5 56 33.6 4.8 14

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Table 2-2 Impact Analysis of Permanent Land Acquisition

Yangzhuang Village Range of Land Loss Ratio Range of income Loss Ratio AHs (No.) Percentage (%) 1% - 10% Not applicable 0 0% 11% - 20% 0.3%-7.5% 4 100% TOTAL 4 100%

12. Figure 2-1 shows the land for spillways to be affected.

Figure 2-1 land to be affected by spillways

13. Temporary land acquisition means the land temporarily used during the project construction period, including earth and rock material area, construction plant, construction warehouse, temporary living areas during the construction period and temporary road area. The project temporarily occupies 28.42 mu land, involving Yangzhuang village of Ziqiu town. 30 households with 93 persons will be affected by temporary land acquisition. It is shown in Table 2-3.

Table 2-3 Temporary land acquisition of Yangzhuang Reservoir Project unit: mu

County Township Village Total Arable land（mu）

Pingyi Ziqiu Yangzhuang 28.42 28.42

14. This project influences some ground attachments including 3000 poplars.

15. Land acquisition for permanent use reaches 4.8 mu of the project, all land are farmer contracted land of Yangzhuang village. 4 households with 56 persons are affected by permanent land acquisition and 30 households with 93 persons are affected by temporary land use of the project (see Table 2-4). The farmers average lost land 0.086 mu per capita.

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Table 2-4 Summary of Survey of the Impact of Land Acquisition of Pingyi Yangzhuang Reservoir Danger Removal and Reinforcement Project

Item Unit Total Ziqiu Town Ⅰ Administrative region 1. Township (office) number 1 1 2. Administrative village (residential number 1 1 committee） Ⅱ Population affected by the project 1. Affected by permanent land

acquisition Household number 4 4 Population number 56 56 Include: Population to be number 36 36 resettled for production 2. Affected by temporary land

acquisition Household number 30 30 Population number 93 93 3. Total population affected by the 149 149 project Ⅲ Attachments 1. poplar number 3000 3000 Ⅳ Permanent land acquisition mu Collective land mu 4.8 4.8 1. irrigable land mu 4.8 4.8 Ⅴ. Temporary land occupation mu Arable land mu 28.42 28.42

16. Yangzhuang Reservoir is located in mountainous area surrounded by waste hills with deep slopes, which is not suitable for farming. Based on the “Yangzhuang Reservoir Management and Protection Method” issued by Pingyi county Government, it is prohibited to farm land and graze within reservoir management scope in order to protect water quality. The reservoir management scope include: i) reservoir below utilization benefit level; ii) dam protection area including 200m beyond the foot of dam slope ; iii) channel protection area including 40m beyond the foot of the main canal slope; iv)water conservancy structures protection area including 50m beyond the side line of the main structures. Consequently, there are no crops being grown within the drawdown zone, so there will be no impact when the reservoir is filled to its originally designed full storage level.

17. According to the field investigation, all the affected persons are Han (i.e., no ethnic minority people) and there are no vulnerable persons affected by this project.

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III. SOCIO-ECONOMIC PROFILE IN AFFECTED AREAS

18. From July, 2009, Yangzhuang Reservoir Project Management Bureau and the Design Institute organized an investigating group to investigate the impacts of land acquisition by the Project. At the same time, socio-economic information of the APs was also collected. This survey on socio-economic conditions of the affected households is carried out by one by one interview.

3.1 Socio-economic Profile of Pingyi

19. Pingyi county governs 16 townships, 1056 administrative villages, with a total population of 991.1 thousand people. Its economy grew rapidly in 2008, and its GDP has reached 10.8 billion, 26% more than that in 2007. The output value of primary industry is 1.808 billion Yuan, an increase of 9.1%; the secondary industry 5.5 billion Yuan, an increase of 31%; the tertiary industry 3.492 billion Yuan, an increase of 27.2%. The annual per capita net income of farmers is 7,384 Yuan, 15% more than that in 2007.

3.2 Socio-economic Profile of Affected Township

20. One township (Ziqiu) is affected by land acquisition, details are as follows: Ziqiu Township is situated in the southeast 26 kilometers of Pingyi County, with an area of 61square kilometers, total population 36,000 including 3,500 urban population and 32,500 rural populations. There is 42,300 mu farmland. The annual per capita net income of farmers is 7108 Yuan, which is relatively high.

3.3 Socio-economic Profile of Affected Village

21. One village (Yangzhuang Village) is affected by land acquisition. The basic socio-economic condition of the Yangzhuang Village is shown in Table 3-1. The socio-economic survey indicates that Yangzhuang Village is situated 27km south-east of Pingyi county. The total farmland of the village is 730 mu in 2008.

Table 3-1 Socio-economic Survey of Yangzhuang Village

Present arable Total Average per person net county town village land area Population income（RMB） (mu) (people) agriculture other total Pingyi Ziqiu Yangzhuang 730 1250 1500 4680 6180

3.4 Socio-economic Situation of Affected Households

22. In July 2009, Yangzhuang Reservoir Management Bureau carried out a questionnaire investigation in Yangzhuang village on the 5 affected households. The characteristics of the surveyed population can be seen in

23.

24. Table 3-2.The survey indicates that most of the affected laborers go out for migrate work. Their agricultural income accounts for 30% of their total income. The per capita farmland is 0.6 mu. The average per capita loss of land is 0.086 mu (20% of their farmland).

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Table 3-2 Statistical Characteristic of People Affected by Land Acquisition

Item Quantity %

agricultural population 51 93 non-agricultural population 5 7 gender woman 26 46 Labor force 30 53 student 1 2 others 6 10 Age ≤6 years old 3 6 6-16 years old 7 12 16-60 years old 40 72 ≥60 years old 6 10 Education illiterate and almost illiterate 3 6 primary schooling 12 22 middle school schooling 35 62 high school schooling 3 6 college schooling and above 2 4

3.4.1 Population Distribution by Age

25. Among 56 surveyed persons in 4 households, 3 persons are under 6 years old, accounting for 6% of total population; 7 persons are ranging from 6 to 16 years old, accounting for 12% of total population; 40 persons are ranging from 16 to 60 years old, accounting for 72% of total population; 6 persons are above 60 years old, accounting for10% of total population.

3.4.2 Population Distribution by Education

26. Among 56 surveyed persons in 4 households, 3 persons are illiterate and almost illiterate, accounting for 6% of total population; 12 persons are primary schooling, accounting for 22%; 35 persons are ranging middle school schooling, accounting for 62% of total population; 3 persons are high school schooling, accounting for 6% of total population; 2 persons are college schooling and above, accounting for 4% of total population.

3.4.3 Productive Resources

27. Among 56 surveyed persons in 4 households, the total farmland is 33.6 mu, with 0.6 mu per capita.

3.4.4 Household Annual Income and Expenditure

28. According to the 4 households’ statistical data, the total annual gross family income is 6950 yuan in 2008. Among them: the crop production income is 1925 yuan accounting for 28%; the animal husbandry income is 700 yuan accounting for 10%; going out and hiring out

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for working income is 3875 yuan accounting for 56%; and other incomes are 450 accounting for 6%.According to the 5 households’ statistical data, the total annual family expenditure was 4385 yuan in 2008. Among them: buying the seed, agricultural chemicals and the chemical fertilizer expenditure is 950 accounting for 22%; the water, the electricity and fuel fee is 110 yuan accounting for 3%; the mechanical work expense is 225 yuan accounting for 5%; the education and the medical expense is 1100 yuan accounting for 25%; the daily life fee is 2000 yuan accounting for the total family expense of 46%. According to the analysis of the survey result, the average per capita gross income is 6950 yuan, among them 28% from the agriculture which show that the farmers have much dependence on the land. Income and Expenditure structure is shown in Table 3-3.

Table 3-3 Annual Income and Expenditure Structure of Affected Households

Per household) Per capita item Income Income Proportion (%) (Yuan) (Yuan/person) Crop production 26950 1925 28 animal husbandry 9800 700 10 Gross Annual Work outside 54250 3875 56 family Income other 6300 450 6 Total 97300 6950 100 Seed, pesticide and 13300 950 22 chemical fertilizer Water, electricity and fuel 1540 110 3 Annual family mechanical work 3150 225 5

expenditure Education and medicine 15400 1100 25 Daily life 28000 2000 46 total 61390 4385 100 Net income 79310 5665 (Gross income – Production expense) Net savings 35910 2565

Public Opinion Survey

29. In Aug 2009, the project management office organized public survey opinion and suggestions by the Office of the Pingyi Water Conservancy Bureau and the relevant township government. The scope of the survey involves the village which was affected by the project, and investigated 30 households. The results of the survey show that of the 30 households in the investigation: - 95% of the surveyed households knew about the construction of this project, 5% of the surveyed households are vague about the construction of this project; - 95% of the surveyed households are in favor of the construction of this project, 5% does not matter; - 100% of the households’ surveyed think this project is beneficial to the country, 100% said that the collective benefits from it, 100% of that of personal benefit; - Users also have a deep understanding of the possible impact of flood disasters and hazards that the floods would cause affecting 80% of agricultural production, destruction of infrastructure accounted for 30%, affecting the health of residents accounted for 50%, would affect the investment environment accounted for 10%; - 70% of the surveyed households think flooding may cause serious harm, 20% of the surveyed households consider flooding may cause serious harm; 10% of the surveyed households that flooding may cause harm but not serious;

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- 90% of the households surveyed think this project will protect life and property safety, 95% think it will improve the level of agricultural production, 90% think it will improve the living environment, 80% think it will increase employment opportunities; - For the adverse effects the project may result in, 10% of the respondents believe that land acquisition may reduce the economic income, 10% said that the relocation may cause the implementation of economy, 20% said that the construction will affect production and living, 70% said that no adverse effects; - 70% of the respondents understand the land requisition compensation and resettlement policy, and 20% of the land requisition compensation and resettlement policy has some understanding of relocation, 10% do not know the land requisition compensation and resettlement policy of demolition; - In the process of land acquisition demolition, if the legitimate rights and interests have been violated, 95% of the respondents are aware of the procedure for complaints. The findings of public opinion and recommendations are shown in Table 3-3.

Table 3-3 Questionnaire for the Yangzhuang Reservoir reinforcement project in Pingyi County

results（%） No. Problems Responses 1 2 3 4 5 Do you know the construction of (1) clear (2) vague 1 Yangzhuang Reservoir 95 5 (3)unclear reinforcement is going to put into practice? Do you agree with (1)agree (2)disagree 2 95 5 constructing this project? (3)nothing Who do you think this a)state (1)yes (2)no 100 100 construction project b)collection (1)yes (2)no 100 100 3 benefit?(multiple choices c)individuality (1)yes (2)no 100 proved) 100 (1)housing treasure loss The possible harm you (2)agricultural yield know that the flood may influences (3)basic facilities 4 0 80 30 50 10 cause(multiple choices demolishment (4)affect proved) citizens’ health (5)affect investment environment To what extent doest flood (1)nothing (2)not serious 5 do to your living and 10 20 70 (3)serious (4)very serious manufacturing? (1) protect life and property safety (2)improve the level of Benefits you consider this agricultural production (3) 6 90 95 90 80 project will bring you improve the living environment (4) increase employment opportunities (1)no bad effect (2)construction will affect Disadvantages you think living and manufacturing 7 70 20 10 10 this project will do on you (3)moving house may cause economic losses (4)requisition of the land

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would low down economic income Do you know about the (1)know (2)know some 8 requisition and relocating 70 20 10 (3)unknown policies? In the process of requisition, will you (1)know 9 appeal to court when you 95 5 (2)unknown proper rights are encroached?

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IV. POLICY FRAMEWORK, ENTITLEMENT AND COMPENSATION

4.1 Applicable Laws, Regulations & Policies for Resettlement

30. The resettlement policy for this project is established mainly in accordance with the relevant laws of China and the relevant policies of ADB, including:

ADB Policies

¾ Safeguard Policy Statement, July 2009 (effective from 20 January 2010) ¾ Handbook on resettlement A Guide to Good Practice (effective from 1998) ¾ Gender and Resettlement Analysis, February 2003.

Laws and Regulations of the PRC

¾ Land Administration Law of the People’s Republic of China (effective from January 1, 1999, latest version on August 28, 2004) ¾ The State Council's Decision on Deepening Reform and Managing Land Strictly (Guo Fa [2004] No.28) (effective from October 21, 2004) ¾ Guidelines on Improving the System of Land Acquisition Compensation and Resettlement (Guo Tu Zi Fa [2004] No.238) (effective from November 3, 2004) ¾ Regulations on Land Requisition Compensation and Resettlement for Construction of Large and Medium-sized Water Conservancy and Hydropower Projects (effective in 2006) ¾ Specifications on land requisition and resettlement design for construction of water resources and hydropower project (SL 290—2003).

Relevant Policies of Shandong Province

¾ The Implementation Regulations of Shandong Province for the PRC Land Administration Law ¾ Circular of Shandong Provincial Government Concerning the Adjustment of the Annual Output Value and Compensation Standard of Acquired Land (Lu Zheng Ban Fa [2004] No. 51) ¾ Circular of Shandong Provincial Government Concerning the Approval of the Associated Attachments Compensation Standard of Acquired Land (Lu Jia Fei Fa [1999] No.314).

4.2 Objectives and Principles of Resettlement

31. The primary objective of the LAR program is to ensure that the APs will improve their standards of living, or at least will not be made worse off because of the Project. The principles of the compensation and entitlements established for the Project are as follows: (i) Compensation and entitlements provided must be adequate to allow APs to at least maintain their pre project standard of living, with the prospect of improvement; (ii) Compensation and entitlements provided are based on market value or replacement value and must be adequate; (iii) Compensation should not be paid to those people who occupy land or construct structures and auxiliaries in the project area after cut-off date determined by the local government; (iv) Adequate compensation should be provided to the APs timely; (vi) All the APs will be adequately informed about eligibility, compensation rates and standards, livelihood and income restoration plans and project timing; and (vii) Close monitoring and timely actions will be carried out to identify and resolve any problems.

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4.3 Eligibility of Compensation

32. The Project APs who are entitled to receive compensation from the Project refer to the persons affected by the involuntary taking of land resulting in: (i) permanent or temporary loss of land or access to land; (ii) loss of income sources or means of livelihood, whether or not the affected persons must move to another location; and (iii) loss of ground attachments and standing crops.

33. All landowners and users in the Project areas affected by land acquisition and resettlement as a consequence of the Project will be eligible for fair compensation and rehabilitation according to the type of loss and quantities as well as the cut-off date determined by the government within the completion date of the construction map and investigation. The newly cultivated land and newly built houses shall not be compensated after the cut-off date. The cut-off date is Nov,30 2009.

4.4 Compensation Standards

4.4.1 Compensation Standards for Permanent Land Acquisition

34. According to the Land Administration Law of the People’s Republic of China, the Implementation Regulations of Shandong Province for the PRC Land Administration Law, the compensation standard for land acquisition is determined in coordination with villages whose land is to be acquired. According to the “Notice on the Adjustment of Land occupying Annual Production and Compensation Standard, which is forwarded by General Office of Shandong Provincial People’s Government, and issued by Shandong Province People's government Office” Luzhengbanfa [2004] No.51, project influenced area, Pingyi, belongs to the forth-class areas. The Annual Average Output Value (AAOV) of the forth-class area is 1,200 Yuan per mu.

35. Land compensation for arable land is 8 times of AAOV, and resettlement subsidy for farmland is 8 times of AAOV. So the total arable land compensation standard is 19,200 Yuan/Mu. For details see Table 4-1.

36. According to regulations in regarding Compensation Standard in Rizhao city and other 8 Cities for Ground Attachments and Young Crops fee, Young crops compensation of permanent land acquisition is calculated as output value of the affected crop, which is 600 yuan per mu.

Table 4-1 Compensation Rate of Permanent Land Acquisition

Resettlement Subsidy Land Compensation (Yuan/mu) (Yuan/mu) Total Type of Land Cost Cost (Yuan/mu) AAOV Multiple AAOV Multiple (Yuan/mu) (Yuan/mu) Arable land 1,200 8 9,600 1,200 8 9,600 19,200

4.4.2 Compensation Standard for temporary Land use

37. When the land is occupied, the standing crops will be compensated. During the occupation, given the compensation for the output value, the compensation fee per year calculated by per mu output of arable land is 1200 yuan.

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38. After finishing main project, temporary land acquisition needs reclamation. The land rehabilitation fee will be calculated as 500 yuan per mu in reference to the neighbouring project.

4.4.3 Compensation Standards for Attachments

39. Compensation standards for the ground attachments are according to regulations in regarding Compensation Standard in Rizhao city and other 8 Cities for Ground Attachments and Young Crops fee, which will be compensated according to intermediate standard of this regulation. Poplar is 40 yuan per plant. For details see Table 4-2.

Table 4-2 Compensation Standards for Attachments

Item Unit Compensation Rate (CNY) poplar No. 40

4.5 Entitlement

40. The entitlements to be applied to this sub-project are summarized in Table 4-3.

Table 4-3 Entitlement Matrix Affected Affected Entitlement Compensation standard type object 1. All affected households prefer cash payment and most of them plan to use the compensation in 3 ways as follows: i) Purchasing irrigation facilities including pumping and water transferring tubes, to increase the output of crops and orchards through improvement the 4 households irrigation conditions; ii) Livestock breeding to increase Compensation fee per mu for Permanent with 56 the income; iii) Improving living environment by arable land is 19,200 yuan. land persons concreting the house yard or decorate house. Young crops fee per mu is 600 acquisition affected; 2. Production skill training for APs mainly includes the yuan. training of cultural knowledge and practical skills training. 3. About 95 temporary job opportunities (55% are unskilled) will be created for AHs during the project construction stage. 30 households with 93 During the occupation, given the compensation for the The compensation fee per year Temporary persons output value. is 1200 yuan land use affected Yangzhuang The land rehabilitation fee will pay for affected village, The land rehabilitation fee is village and the village is responsible for the land reclamation. 500 yuan per mu Ground In the project compensation fee or replanting cost for the Owner of title Poplar:40 yuan per tree attachments scattered trees shall be paid.

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V. REHABILITATION MEASURES

5.1 Objectives of Resettlement

41. The objective of resettlement is to compile a resettlement and rehabilitation action plan for APs to ensure their living standard can be improved or at least recovered to the former level after project construction.

5.2 Rehabilitation Plan for Permanent Land Acquisition

5.2.1 Rehabilitation Plan for Affected Households

42. In Yangzhuang Village, 4 households will be affected by land acquisition of 4.8 mu farmland due to the construction of spillways. Based on the compensation policy and standards, the land compensation will be 95040 Yuan for the affected households. The details compensation to affected persons is shown in table 5-1. According to the field interview, all affected households prefer cash payment and most of them plan to use the compensation in 3 ways as follows: i) Purchasing irrigation facilities including pumping and water transferring tubes, to increase the output of crops and orchards through improvement the irrigation conditions; 4 households will purchase pumps with the total investment of 10,800 Yuan. 4 households will invest 19,200 Yuan to buy irrigation tubes and fittings. ii) Livestock breeding. 4 households will buy pigs to development the livestock breeding. It is estimated the total budget will be 24,000 Yuan. iii) Improving living environment by concreting the house yard or decorate house. 4 households will decorate house. It is estimated the cost will be 33,600 Yuan.

43. The detailed arrangement of the compensation for rehabilitation measures is presented in Table 5-2. Since the compensation to each household will vary according to the actual land acquisition area and the detailed plan will be carried out based on the actual situation.

Table 5-1 Compensation for the affected persons

Including: Land Arable Compensation town village Land owner household people (mu) land (yuan) (mu) Farmer Ziqiu Yangzhuang 4.8 4.8 95,040 4 56 contracted

Table 5-2 Rehabilitation Measures and Budget

Programs Unit Price Quantity AHs (No.) Investments (CNY) Young crops 600 yuan per mu 4.8mu 4 2,800 Purchasing irrigation facilities 2,700 yuan each 4 4 10,800 Irrigation Tube 6 yuan/m 800m 4 19,200 Buy pigs 400 yuan each 15 4 24,000 decorate house 30 yuan/m2 280 m3 4 33,600 total 4 90,400

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5.3 Restoration Measures for Temporary Land Occupation

44. 28.42 mu of land will be used for construction arrangement, including construction camps, temporary road, stockyard and temporary road. Before construction activities, the surface fertile soil of 30 cm will be collected. During the construction period, the land may be hardened. After the completion, the land will be plowed and loosened and the top soil will be recovered. The reclamation rate is CNY 500/mu. All land will be restored to its original purpose by contractor and be inspected and accepted by both of Pingyi County LAB and affected people.

5.4 Restoration Measures for Ground-attachments

45. The compensation for the ground attachments will be compensated to the property holders by project unit; and the affected units will take the responsibility to reconstruct the lost ones.

5.5 Training for the Affected Persons

46. Production skill training for APs mainly includes the training of cultural knowledge and practical skills training, which mainly uses long-term training, short-term training and key technical training. Young people with a certain cultural qualities are selected to study in Shandong Agricultural University and Shandong Academy of Agricultural Sciences to provide a number of technical staff to the project area; taking the provincial and county resettlement training center as the carrier to hold all kinds of practical skill training so that a certain number of APs will master 1-2 practical skills, and promote the prosperity of other APs by using science and technology. Production skill training for APs mainly includes:

47. 1) Resettlement cadres training: it is planned to send a number of children of resettlers with higher educational background or enthusiasm or resettlement cadres to study in Shandong Agricultural University to receive medium or long-term training and education, to become leaders in the production and development.

48. 2) Farming technology training: mainly through lecturing and on-site demonstrations by agricultural experts to guide the greenhouse vegetable production technology, high-quality hybrid rice and double-low rape technology promotion.

49. 3) Breeding technology training: lecturing and on-site demonstrations by agricultural experts to guide poultry feeding technology and animal breeding.

50. It is planned that 3 training courses will be held for the APs. 45 resettlers and cadres will be trained, among which 37 resettlers will be trained in two courses and 8 resettlement cadres will be trained in one course. The planned investment in livelihood production training for APs is shown in Table 5-3. The investment will be included in the Basic Contingencies.

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Table 5-3 Schedule of Training for APs

Number Number Time of Fund Location Mode Trainer Trainee of Contents of training (10000 trainee courses (day) Yuan) 1. Production technology management; 2. Teachers from Shandong Resettlement Agricultural Advanced Shandong 6 Agricultural and 12 technology 1 1.2 study Agricultural cadres months University management; University children of APs 3. Mixed farming in agricultural production. Management personnel and 1. Farming agricultural AP technology Town Project Learning technical representatives training; Resettlement 25 1 7 0.1 course experts from from towns and 2. Breeding Office municipal villages technology resettlement training. office Total 37 2 1.3

5.6 Job Opportunities from the Project

51. About 95 temporary job opportunities (55% are unskilled) will be created during the project construction stage. In the project construction stage, the main unskilled job opportunities include manual laborers for excavation, material handling, greening, etc.

52. According to the survey, since the affected villages are located far from urban area and 20 affected laborers from 4 AHs work in their own farmland normally, they hope to join the project construction while working time has no conflict with their fruit planting activities. PCG and YRPMB will arrange the jobs and training for them as a priority.

5.7 Income Restoration Plan of Women

53. In the stage of RP preparation, the affected women were organized to actively participate in the survey of project impacts so as to understand their ideas on income restoration. As a result, women hold a positive attitude toward project construction by thinking that the project will help improve the environment and improve the flood control road; and land acquisition has little impacts on their lives.

54. Women will fully participate in the compensation and resettlement activities through the information disclosure and village meetings; they have equal entitlement with men in receiving compensation, employment and training. In addition, the following measures will be taken to improve women’s income:

(1) During the project construction, YRPMB has ensured that the affected women will be given priority in unskilled jobs, including food and cleaning service. As per labor laws, women will get equal pay to men for the same work.

(2) Technical training program including farming technology training, etc. will be provided for the affected female laborers (at least 50% will be women) to ensure their income would not be reduced.

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VI. COST ESTIMATE AND IMPLEMENTATION SCHEDULE

6.1 Resettlement Cost

55. The estimated cost of land acquisition is CNY 343,672 in 2009 prices, including contingency. In terms of the categories of resettlement impacts, compensation of rural resettlement is CNY 263354, accounting for 77%. According to Shandong Province Implementation methods of Law of Land Administration of PRC, the land reclamation fee is 6,720 Yuan per mu according to” Notification on Relevant Issues of Building-purposed Land-use for Water Conservancy and Hydropower Engineering” promulgated by National Land Resources Department [2001] No.355.Table 6-1 provides the cost estimation of LAR.

Table 6-1 Budget of Land Acquisition and Resettlement price total No. item unit amount (million (yuan) yuan) Part 1 Compensation fees for rural resettlement 263354 1 Permanent land acquisition 95040 （1） land compensation fees, resettlement subsidies Cultivated land mu 4.8 19200 92160 （2） Young crops fee mu 4.8 600 2880 2 Temporary land use 48314 （1） Compensation for the occupation of land Cultivated land mu 28.42 1200 34104 （2） Land reclamation fees mu 28.42 500 14210 3 Compensation for scattered fruit trees （1） poplar 3000 40 120000 Part 2 1、survey and design fees 263200 0.03 7900.62 2、facilities management fees 263200 0.03 7900.62 3、technical training fees 263200 0.005 1316.77 5、assessment of supervision and monitoring fees 263200 0.01 2633.54 Part 3 Contingency 1. physical contingency 282940 10% 28310.56 2. price contingency Part 4 Relative taxes and government fees 1、Land reclamation fees mu 4.8 6720 32256 Total 343672

6.2 Management and Disbursement of Resettlement Funds

56. Pingyi county Water Resources Bureau will provide the entire fund for resettlement activities and ensure that land acquisition and resettlement budgets are delivered on time for timely implementation of the RP. All LAR cost will be paid in Jan. 2010, before the construction of the Project. Land compensation and resettlement subsidy will be disbursed in full to the APs. Compensation for attachments will be paid to the affected unit or individuals directly.

57. In order to ensure the funds for land acquisition is paid to the APs in full and in a timely manner in line with the compensation policies and standards of the resettlement plan, a strict fund appropriation plan has been established, the principles of which are as follows:

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z All the costs related to resettlement are covered in the general budget of this project. z The land compensation and resettlement subsidy must be paid up before the land acquisition. z To ensure the land compensation is implemented successfully, financial and supervisory agencies will be set up to make all funds appropriate in a timely manner. z The budget is based on the resettlement cost estimate. The resettlement costs may increase due to changes in the actual resettlement impacts and other factors such as inflation. Meanwhile, the resettlement budget includes a contingency cost and will be modified based on the actual needs.

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VII. POST-RESETTLEMENT PROGRAM FOR ORIGINAL RESETTLERS

7.1 Post-resettlement Program for Resettlers in Reservoir Area

7.1.1 Background and Remaining Issues

58. Since the founding of new China, a number of large and medium-sized reservoirs have been constructed and brought into huge benefits in flood control, irrigation and ecological aspects. A large number of resettlers of large and medium-sized reservoirs made major contributions to effectively promote the national economy and social development. In order to help them to improve production and living conditions, the country has established the reservoir area fund of the large and medium-sized reservoirs and tries to solve the remaining resettlement issues in reservoir area. But due to the low support level and insufficient direct benefit to resettlers, at present their production and living conditions are still generally poorer. To help the resettlers in reservoir shaking off the poverty and promote the economic and social development in the new period, the central government of PRC issued the “Suggestions on Perfecting Post-resettlement Support Policies for Large and Medium-sized Reservoirs Resettlers” in 2006 (Guofa [2006]No.17).

59. The central government has distributed special fund of CNY 2.27 million since the construction of the Reservoir to 2005 to help improve the living condition of resettlers in Yangzhuang Reservoir Area. Due to the out-dated infrastructure and limited income sources some villages still have some troubles in aspect of drinking water, transportation, medical service and education. In addition, the employment difficulties stayed with resettlement villagers. The remaining issues include:

60. Economic income. Since most of the resettlement villages have not any industrial and sideline production programs, they relied on agricultural activities for living. Income of resettlement villagers lagged greatly behind other people outside the reservoir area.

61. Land Resources. The reservoir area is located in mountainous area where poor land quality and limited farmland resources lead to the limited output value. Although the resettlers were allocated some farmland in host area, the farmland available is very poor and output is low as well. The per capita farmland is much less than they have before relocation.

62. Infrastructure Situation. The poor infrastructure condition includes the poor road, limited and poor quality of domestic water supply, no access to electricity, health care service and education facilities. 87% of the households have the cable TV and 82% of households have telephone. 96% of children at compulsory education age entered school. 80% of resettlers join the rural medical insurance programs. The above-mentioned percentages are much lower than the average level in Pingyi county.

7.1.2 Post-resettlement Support Approaches

63. Based on the “Suggestions of State Council on Perfecting the Post-resettlement Support Policies of Large and Medium-sized Reservoir Resettlement” and the corresponding Implementation Method issued by Shandong provincial government, Pingyi county government led the preparation of the post-resettlement program for Yangzhuang Reservoir. The goals of the programs include :i) the per capita farmland will be at least 1 mu; ii) the drinking water quality will be secured; iii) road access between administrative villages; iv) power supply is available in each resettlement village; v) each administrative village has clinic; vi) 100% children at education age join the compulsory education program; vii) at least 2 labor from each household, including one female labor can join the technical skill training program; viii) cable and telephone are accessible in each village.

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64. Based on the “ Management Method of Post-resettlement Support Fund of Large and Medium-sized Reservoirs in Shandong Province”, the support fund can be paid directly to resettlers or be used in actual development programs. In Pingyi county, after full consultation with affected people, all support fund has been paid to resettlers directly at the annual rate of CNY 600/person. The total resettlers are 597 persons in one township of Pingyi county that were identified as the support target of Yangzhuang Reservoir. The term of the fund subsidy is 20 years. The total cash payment will be CNY 7.164 million for resettlers of Yangzhuang reservoir area. The cash subsidy was paid quarterly. In addition to the cash payment, some other development programs has been planned and implemented since 2006. The details of such programs and implementation status of Yangzhuang Reservoir Area is presented in Table 7-1. The support will last for 4 and a half year in the duration of 2006-2010. It is planned that 7 development programs have been or will be implemented in reservoir area villages from 2006 to 2010, including water farmland improvement, and transportation works. The implementation of the programs will be monitored during the Project period. It is expected through the improvement of infrastructures the living condition of people in Yangzhuang Reservoir Area will be better-off.

Table 7-1 Post-resettlement Support Program of Yangzhuang Reservoir

Beneficiaries of Investment Programs Contents Resettlers (No.) (CNY 104) Well drilling, pipeline installation, irrigation low-yielding farmland equipment, water storage pond, terrace plowing, 238 38.37 Improvement etc. Transportation Village-village road 379 60.82 （Road） Total 617 99.55

7.2 Post-resettlement Support in Reservoir Area

65. In Pingyi county, The total investment of Post-resettlement Support is CNY 96.79 million, including fund support and development programs. After full consultation with affected people, all support fund has been paid to resettlers quarterly at the annual rate of CNY 600/person. the term of the subsidy is 20 years. The total cash payment will be CNY 7.164 million for resettlers of Yangzhuang reservoir area. In addition to the cash payment, some other development programs has been planned and implemented since 2006. The project support will last for 4 and a half year in the duration of 2006-2010. The total budget of the programs is CNY 0.996 million. The progress varies in different programs. All support funds will be allocated by central government. Table 7-2 presents the details of the budget of the programs. All the funds will be disbursed by 2010 and the activities will be completed by 2011. The implementation of the programs will be monitored during the Project period.

Table 7-2 Investment and Implementation of Post-resettlement Support

Number of Budget Beneficiaries of Implementation in Progress Programs the projects (CNY104) Resettlers (No.) Cost(CNY 104) （%） low-yielding farmland 3 38.37 238 10.45 27 Improvement Transportation 5 60.82 379 12.38 20 （Road） Total 8 99.55 617 22.83 23

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VIII. IMPLEMENTATION SCHEDULE

66. The resettlement is scheduled to begin in Jan. 2010 and complete in November 2010, with reflecting the linkage and consistency between the time schedule of LAR and civil works construction tasks. Civil works will not begin before compensation for the APs are paid in full, which is in accordance with the recently promulgated State Council Decree #31. All compensation for residential structures and ground attachments will be paid before construction. Table 8-1 provides the resettlement activities and supervision milestone. Based on these surveys, the short RP will be updated and submitted to ADB for concurrence.

Table 8-1 Resettlement Activities Milestone

Responsibilities Progress No. Compensation Task Targets Deadline Status Agencies 1. Information Disclosure 1.1 -Resettlement Plan disclose 92 households YRPMB 2010.1 Planned with 324 persons in five Villages 1.2 -Publish Resettlement Plan on ADB 2010.1 Planned ADB website 2. Approval of RP & Budget PCG 2010.1 Planned 3 Compensation Agreement 3.1 -Compensation rates Yangzhuang PCG, YRPMB,PLAB, VC 2010.1 Planned village 3.2 -Household agreements 11 AHs PCG, MRPMB,PLAB, VC 2010.1 Planned 3.3 -Approval of land use certificate YRPMB,PLAB 2010.1 Planned 4. Monitoring and Evaluation 4.1 -Baseline Survey (additional) one village YRPMB 2010.1 Planned 4.2 -Establish Internal M&E As per RP YWRMD, YRPMB 2009.09 Completed mechanism 4.3 -Sign contract with External M&E PCG, YRPMB 2010.1 Planned agency 4.4 - Internal M&E Report Quarterly YWRMD, YRPMB 2010.03 Planned Report 4.5 - External M&E Report Semi-annually YRPMB,,IMA 2010.03 Planned Report 2010.09 4.6 - Evaluation report 2 Report YRPMB,,IMA Dec. 2010, Planned Dec. 2011 4.7 -Resettlement Completion Report 1 Report YRPMB,,IMA As work is Planned

completed 5 Consultation documentation YRPMB/VC Ongoing 6 Grievance and appeal files YRPMB /VC Ongoing 8 Capital/compensation payment 8.1 - Paid to affected village 2010.1 Planned 8.2 - Paid to affected Households 2010.1 Planned 9 Commencement of civil works Flood control YRPMB 2010.1 Planned road

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IX. PUBLIC PARTICIPATION AND GRIEVANCE REDRESS

9.1 Public Participation

67. The RP was prepared with full public participation and full information sharing with APs. The Yangzhuang Reservoir Project Management Bureau (YRPMB) has informed the resettlement policies to all the APs via socio-economic survey, social impact survey and other communication and consultation channels. YRPMB also has consulted with various affected persons through consultation meetings. Through wide consultation, coordination and communication, related local government, affected villages and APs can fully understand the resettlement impacts, resettlement policies and formulate feasible income restoration measures.

68. YRPMB contacted the affected village committee in July 2009, and discussed the Project and compensation costs, compensation policies, entitlement, and impacts of the Project on the village and APs. YRPMB will disclose the draft RP to affected people and then sign the land agreement with APs and the affected village in Jan. 2010. The RP approved by PCG will be redistributed to village committee in Jan. 2010 to any one wishing to consult the document at the affected village. Copies of the short RP will be kept in the Project office and the affected VC. At the same time this short RP will be posted on the ADB’s website in Jan. 2010. The public consultation activities and schedule is presented in Table 9-1.

Table 9-1 Public Consultation Activities and Schedule

Organizations Objectives Task Date Participant Involved 1. Inform and discuss Release of location and February PCWRD, YRPMB Representatives of issues related with LA; area of LA, compensation and VC each organization standards, and 2009 Obtain suggestion or resettlement, etc. advices 2. Survey on affected Field survey of affected, July YRPMB, Pingyi Representatives of physical index, and physical index, and LAB, and VC each organization preparation of RP socioeconomic status of 2009 affected households 3. Land acquisition Agreement of Jan. 2010 QRPMB, Pingyi Representatives of agreement signed with complementation LAB, and VC each organization Yangzhuang Village standards, and grievance appeal procedures 4. RP disclosure on ADB Release of draft RP Jan. 2010 ADB website 6. Implementation of Final Verification and Jan. 2010 YRPMB, Pingyi Representatives of RP implementation of Final RP LAB, and VC each organization 7. Monitoring & Evaluation Survey on the rehabilitation Jan. 2010 YRPMB, Pingyi Socioeconomic sample of RP of APs after resettlement LAB, VC, and IMA survey implementation

9.2 Grievance Procedure

69. During the preparation and implementation of the RP, public participation is encouraged, and thus there should not be any major issues or grievances. However, some unforeseen issues may occur during such process. In order to settle such issues effectively and make the construction and land acquisition implement successfully, an effective and transparent channel for lodging complaints and grievances has been established. The basic stages for grievance redress are:

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Stage 1: The APs submit an oral or written petition/complaint to the village committee. For an oral complaint, the village committee must make written records properly and give a clear reply within 2 weeks.

Stage 2: If the complainant is not satisfied with the reply in Stage 1, he can appeal to the township government/sub-district office after receiving the reply in Stage 1 and the township government/sub-district office will deal with the complaint within 2 weeks.

Stage 3: If the affected person is still not satisfied with the reply of township government/sub-district office, he can appeal to Pingyi Land Resources Bureau and Pingyi Land Resources Bureau must give a reply within 30 days.

Stage 4: If the affected person is still not satisfied with the reply of Pingyi Land Resources Bureau, he can appeal to SPMO after receiving the reply of Stage 3. They also have the right to appeal to the civil court within 3 months of receiving the reply.

70. Besides the established channel above, the external monitor can also receive grievances from APs and the APs can even submit directly to ADB1. The appeal process, institutions, sites, leaders, and telephone numbers for redress of grievances will be publicized to APs via meetings, notices and the information handbook. In this way, the APs will fully realize their rights of appeal. Meanwhile, the system of information dissemination will be strengthened through use of the media, and all APs feedback will be compiled and distributed to all involved organizations.

71. Relevant institutions shall accept the complaints and grievances lodged by the APs free of charge. The reasonable costs incurred shall 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.

1 ADB has an Accountability Mechanism to ensure policy compliance. APs are required to seek grievance resolution using the above procedures, but if they still believe that their concerns have not been resolved in accordance with this RP or ADB's Involuntary Resettlement Policy (1995), they may submit a complaint to ADB. The procedures are provided on ADB's website: http://www.adb.org/Accountability-Mechanism/default.asp

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X. INSTITUTIONAL ARRANGEMENT

10.1 Responsible Institutions for Resettlement Implementation

72. The departments responsible for planning, implementation, management, and monitoring of the resettlement activities of the Pingyi Yangzhuang Reservoir ADB Loan project are: z Pingyi Water Resources Department z Yangzhuang Reservoir Project Management Bureau z Pingyi Land Resources Bureau z Ziqiu Township Government z Affected Village committees z Design Institute.

73. Pingyi Water Resources Department is in charge of resettlement investigation, development of the RP and implementation of land acquisition.

74. Yangzhuang Reservoir Project Management Bureau is the specific implementing agency, which is responsible for the socio-economic investigation, coordinating with Pingyi Land Resources Bureau, governments and the affected village committees, and implementing the work of land acquisition and resettlement.

75. Pingyi Land and Resources Bureau is responsible for collective land acquisition, directing the implementation of resettlement, organizing and coordinating.

76. Ziqiu Township government is responsible for coordinate with City Project Office about relative work on the land requisition and demolition, organizing villagers to relocate and developing production.

77. Affected village committees are responsible for providing the land contract, assisting or participating in the various surveys and the work of land acquisition, community mobilization activities for publicity, and undertaking the verification of the measurement, valuation and finalization of demolition agreements after APs negotiations together with the relevant technical personnel.

78. Design institute is responsible for the design of the project and defining the scope of affected land and assets.

79. The staffing of institutional arrangement for LAR is presented in Table 10-1

Table 10-1 Staffing of Institutional Arrangement for LAR

Staff (No.) Name of Institution Personnel Composition Male Female Pingyi Water Resources Department 1 Official Pingyi county Yangzhuang Reservoir 3 Officials Project Management Bureau Pingyi county LAB 1 Officials Ziqiu Township Government(1) 6 5 Officials Affected village committees (1) 15 8 Cadres and representatives of APs TOTAL 26 13

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10.2 Training Plan for Resettlement Management Staff

80. A system for staff training and human resource development will be established at all levels of resettlement management institutions. The training plan is organized by ZWRD, and the form 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 10-2, while the training contents will include: resettlement principles and policies, planning and management of projects with resettlement, resettlement planning and design, resettlement progress management, resettlement financial management, resettlement quality control and resettlement monitoring assessment.

Table 10-2 Schedule for Resettlement Implementation Training

Training Time Location Recipients Training content methods Centralized Resettlement Feb. 2010 Jinan City Resettlement business training course work staff Learn from Key personnel of The implementation site visit of the Jun. 2010 Domestic demonstration the office ADB project Resettlement Discuss the resettlement experience Oct. 2010 Jinan City Seminars work staff and the problems

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XI. MONITORING AND EVALUATION

81. In order to ensure the successful implementation of the RP and accomplish the objectives to achieve appropriate resettlement, monitoring and evaluation should be carried out for the implementation of resettlement in accordance with the requirement of the ADB resettlement policies. The monitoring include both internal and external. The reporting schedules were shown in Table 8-1.

82. The external monitoring and evaluation is done by an independent monitoring agency (IMA). The IMA will carry out semi-annual monitoring and evaluation of the resettlement activities.

83. The IMA, approved by ADB and PCG, will undertake the independent monitoring of the Project in respects of: (i) extent of consultation undertaken with APs; (ii) compensation disbursement to the APs and affected village or group; (iii) production and livelihood rehabilitation measures for the APs; (iv) schedule of above LAR activities; (v) compliance with the policies and regulations of the resettlement plan; (vi) participation and consultation during the project implementation; (vii) grievances, problem resolution and follow-up; (viii) staffing, training, schedule and work efficiency of the resettlement officers. The IMA, being independent of the project, will inspect the whole implementation from an overall and long-term point of view. The IMA will put forward recommendations to SPMO, PCG and YRPMB in time so that the problems taking place in the implementation of the resettlement can be solved as soon as possible. The terms of reference for external monitoring and evaluation is presented in Appendix 2.

84. The major external monitoring and evaluation indicators are as follows:

(1) M&E on Progress of Land Acquisition Implementation: i) progress of land acquisition; ii) progress of temporary land occupation; and iii) progress of project impacts;

(2) M&E on Fund Disbursement and Usage: i) Fund disbursement; and ii) Fund usage (planning and actual fund usage).

(3) M&E on Rehabilitation of APs’ Production and Livelihood: i) Production and living conditions of the APs before land acquisition; ii) Production and living conditions of the APs after land acquisition; iii) Analysis and evaluation of employment and living condition before and after the resettlement; and iv) Grievance mechanism and problem resolution.

(4) M&E on capabilities of resettlement institution, public participation, grievance and appeal procedures.

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Appendix 1 Applicable Laws and Regulations

The Applicable Provisions in Land Administration Law of the People’s Republic of China

Article 43 All entities and individuals that need land for construction purposes shall, in accordance with law, apply for the use of state-owned land, with the exception of the collective economic organizations and farmers of such entities that have lawfully obtained approval of using the land owned by farmer collectives of these organizations to build township or town enterprises or to build houses for villagers and the entities and individuals that have lawfully obtained approval of using the land owned by farmer collectives to build infrastructure or public welfare undertakings of a township (town) or village.

“State-owned land” referred to in the preceding paragraph includes land owned by the state and land originally owned by farmer collectives but expropriated by the state.

Article 44 Where farmland is to be used for construction purposes, the formalities of examination and approval shall be gone through for the conversion of use.

Where farmland is to be converted to land for the construction of road, pipeline or large infrastructure projects, for which approval has been obtained from people’s governments of provinces, autonomous regions and municipalities directly under the Central Government, or for the construction of projects for which approval has been obtained from the State Council, the conversion shall be subject to approval by the State Council.

Where farmland is to be converted to land for construction of projects in order to carry out the overall plan for land utilization within the limits of the area of land fixed in the plan for construction projects of cities, villages or towns, the conversion of use of land shall, in accordance with the annual plan for land utilization, be subject to approval in batches by the organ that originally approved the overall plan for land utilization. Land for construction of specific projects within the limits of the area of farmland, conversion of the use of which has been approved, may be subject to approval by people’s governments of cities or counties.

Where farmland is to be converted to land for construction projects other than what is provided for in the second and third paragraphs of this Article the conversion shall be subject to approval by people’s governments of provinces, autonomous regions and municipalities directly under the Central Government.

Article 46 Where land is to be expropriated by the State, the expropriation shall, after approval is obtained through legal procedure, be announced by people’s governments at or above the county level, which shall help execute the acquisition.

Entities and individuals that own or have the right to the use of the land under expropriation shall, within the time limit fixed in the announcement, register for compensation with the land administration department of the local people’s government by presenting their certificates of land ownership or land-use right.

Article 47 Land expropriated shall be compensated for on the basis of its original purpose of use.

Compensation for expropriated farmland shall include compensation for land, resettlement

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subsidy and compensation for attachments and young crops on the acquisitioned land. Compensation for expropriated of farmland shall be six to ten times the average annual output value of the expropriated land, calculated on the basis of three years preceding such acquisition. Resettlement subsidy for expropriated farmland shall be calculated according to the agricultural population needing to be resettled. The agricultural population needing to be resettled shall be calculated by dividing the area of expropriated farmland by the average area of the original farmland per person of the entity the land of which is expropriated. The standard resettlement subsidy to be divided among members of the agricultural population needing resettlement shall be four to six times the average annual output value of the expropriate farmland calculated on the basis of three years preceding such expropriation. However, the maximum resettlement subsidy for each hectare of the expropriated farmland shall not exceed fifteen times its average annual output value calculated on the basis of three years preceding such expropriation.

Rates of land compensation and resettlement subsidy for expropriation of other types of land shall be prescribed by provinces, autonomous regions and municipalities directly under the Central Government with reference to the rates of compensation and resettlement subsidy for expropriation of farmland.

Rates of land compensation and resettlement subsidy for expropriation of other types of land shall be prescribed by provinces, autonomous regions and municipalities directly under the Central Government with reference to the rates of compensation and resettlement subsidy for expropriation of farmland.

For expropriation of vegetable plots in city suburbs, the land users shall pay towards a development and construction fund for new vegetable plots in accordance with the relevant regulations of the State.

If land compensation and resettlement subsidy paid in accordance with the provisions of the second paragraph in this Article are still insufficient to enable the farmers needing resettlement to maintain their original living standards, the resettlement subsidy may be increased upon approval by people’s governments of provinces, autonomous regions and municipalities directly under the Central Government. However, the total land compensation and resettlement subsidy shall not exceed 30 times the average annual output value of the expropriated land calculated on the basis of three years preceding such expropriation.

The State Council may, in light of the level of socio-economic development and under special circumstances, raise the rates of land compensation and resettlement subsidy for expropriation of farmland.

Article 48 Once a plan for compensation and resettlement subsidy for acquisitioned land is decided on, the local people’s government concerned shall make it known to the general public and solicit comments and suggestions from the collective economic organizations, the land of which is acquisitioned, and the farmers.

Article 49 The rural collective economic organization, the land of which is expropriated, shall accept supervision by making known to its members the income and expenses of the compensation received for land expropriation.

The compensation and other charges paid to the entity for its land expropriated is forbidden to be embezzled or misappropriated.

Article 50 Local people’s governments at all levels shall support the rural collective economic organizations, the land of which is acquisitioned, and the farmers in their efforts to engage in

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development or business operation or to start enterprises.

Article 51 The rate of compensation for expropriation of land to build large or medium-sized water conservancy or hydroelectric projects and the measures for resettling the migrants shall be prescribed separately by the State Council.

Article 52 During the feasibility study of a construction project, land administration department may, in accordance with the overall plan for land utilization, the annual plan for land utilization and the standard area of land for the use of construction, examine the matters related to land for construction and offer its comments and suggestions.

Article 53 Where a construction entity needs to use state-owned land for construction of an approved project, it shall apply to the land administration department of the people’s government at or above the county level that has the approval authority by presenting the relevant documents as required by laws and regulations. The said department shall examine the application before submitting it to the said people’s government for approval.

Article 54 A construction entity that wishes to use state-owned land shall get it by such means of compensation as assignment. However, land for the following purposes may be allocated with the lawful approval of a people’s government at or above the county level:

(1) for state organs or military purposes;

(2) for urban infrastructure projects or public welfare undertakings;

(3) for major energy, communications, water conservancy and other infrastructure projects supported by the state; and

(4) other purposes as provided for by laws or administrative regulations.

Article 55 A construction entity that obtains right to the use of state-owned land by such means of compensation as assignment shall, in accordance with the rates and measures prescribed by the State Council, pay, among other charges, compensation for use of land such as charges for the assignment of land-use right, before it can use the land.

Beginning from the date of implementation of this Law, 30 percent of the compensation paid for the use of additional land for construction shall go to the Central Government and 70 percent to the local people’s governments concerned, both of which shall exclusively be used for developing farmland.

Article 56 A construction entity that uses state-owned land shall do so in agreement with the stipulations of the contract governing compensation for the use of land such as the assignment of the land-use right or with the provisions in the documents of approval for allocation of the land-use right. Where it is definitely necessary to change the purposes of construction on this land, the matter shall be subject to agreement by the land administration department of the people’s government that originally approved the use of land. Where the land the purposes of use of which need to be changed is located in the area under city planning, the matter shall be subject to agreement by the city planning administration department concerned before it is submitted for approval.

Article 57 Where land owned by the State or by farmer collectives needs to be used temporarily for construction of projects or for geologic prospecting, the matter shall be subject to approval by the land administration department of a people’s government at or above the county level. However, if the land to be temporarily used is located in the area covered by city

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planning, the matter shall be subject to agreement by the city planning administration department concerned before it is submitted for approval. The land user shall, depending on who owns the land and who has the land-use right, enter into a contract for the temporary use of the land with the land administration department concerned, or the rural collective economic organization, or the villagers committee, and pay compensation for it in accordance with the provisions of the contract.

The temporary land user shall use the land for purposes stipulated in the contract for temporary use of the land and may not build permanent structures on it.

Generally, the period for temporary use of land shall not exceed two years.

The Implementation Regulations of Shandong Province for the PRC Land Administration Law

Article 24 Within the scope of construction land defined in the overall land use plan, the use of state-owned construction land and state-owned unused land in detail construction project should transact the following procedure:

(1) Land occupation below 2 hectares should be approved by city/county Peoples’ Government and reported step by step to province Peoples’ Government for record;

(2) Land occupation between 2 hectares and 8 hectares should be approved by city (govern districts) Peoples’ Government or regional government, and then reported to province Peoples’ Government for record;

(3) Land occupation exceeding 8 hectares should be approved by province Peoples’ Government for record.

As for state important project construction, military establishment construction, multi-provincial project construction and other construction regulated by State Council, the use of state-owned unused land defined in the overall land use plan should be approved by State Council.

It should be approved by State Council or Peoples’ Government of province if the land used is out of the range of construction land in city, village and town, which is defined in the overall land use plan.

Article 25 Land acquisition compensation rate should be as follows:

(1)If farmland (including garden plot, pond and lotus root pool, the same below) within urban planning district is acquired, land compensation should be 8 to 10 times the AAOV of the three years preceding such acquisition;

(2)If farmland out of urban planning district is acquired, land compensation should be 6 to 8 times the AAOV of the three years preceding such acquisition;

(3)If farmland such as woodland, grassland, reed pool and water surface is acquired, land compensation should be 5 to 6 times the AAOV of preceding three years in nearest common farmland;

(4)If collective-owned land occupied by public establishment, commonweal industry,

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township business or rural residential house is acquired, land compensation should be 5 to 7 times the AAOV of preceding three years in nearest common farmland;

(5)If unused land is acquired, land compensation should be 3 times the AAOV of preceding three years in nearest common farmland.

Article 26 Compensation rate of movement subsidy should be as follows:

(1) Movement subsidy for farmland acquisition shall be calculated according to the agricultural population needing to be resettled. The agricultural population needing to be resettled shall be calculated by dividing the amount of acquisitioned farmland by the average amount of the original farmland per person of the entity the land of which is acquisitioned. The standard resettlement subsidy to be divided among members of the agricultural population needing resettlement shall be 4 to 6 times the average annual output value (AAOV) of the acquisitioned farmland for three years preceding such acquisition. However, the highest resettlement subsidy for each hectare of the acquisitioned farmland shall not exceed 15 times its average annual output value (AAOV) for the three years preceding such acquisition.

(2) If woodland, grassland, reed pool, water surface and village collective-owned construction land are acquired, the standard resettlement subsidy of agricultural population needing resettlement shall be 4 times the average annual output value (AAOV) of preceding three years in nearest common farmland. However, the highest resettlement subsidy for each hectare of acquired land shall not exceed 10 times the average annual output value (AAOV) of preceding three years in nearest common farmland.

Article 27 Ground attachments and young crop compensation rate for acquired land should be as follows:

(1) Young crop compensation is calculated at output value of one crop rotation;

(2) As for the tree on acquired land, transplant should be organized if possible; the labor cost for the transplanter and loss of sapling should be compensated for. If trees are impossible to transplant, compensation should be pay after evaluation.

(3) The attachments on acquired land shall be compensated for by converting into money according relevant regulation, or by reconstructing the same quality and same quantity as the former.

Trees and green seeding planted during land acquisition period will not be compensated for, so are the constructions building during land acquisition period. Constructions and other establishments built on illegal-occupied land will not be compensated for.

Article 38 If project implementation and geology perambulation need to occupy state-owned land or collective-owned land temporarily, the examination and approval on temporary land occupation should be conducted according to the Article 57 of Land Administration Law of the PRC. And compensation for temporary land occupation should be paid.

The time for temporary land occupation should be no more than two years. If exceeding two years, the examination and approval on temporary land occupation should be conducted again.

Article 39 Compensation rate for temporary land occupation should be as follows:

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(1) When construction land within urban planning district is occupied temporarily, compensation should be calculated at the price of land use right in corresponding period. When construction land out of urban planning district is occupied temporarily, compensation should be calculated according to local temporary occupation compensation rate for common farmland. Ground attachments destroyed should be compensated for appropriately according to the actual condition.

(2) Temporary farmland occupation should be compensated for according to AAOV for the three years preceding such acquisition; ground attachments destroyed should be compensated for appropriately according to the actual condition.

(3) Temporary unused land occupation should be compensated for at 30% of the compensation rate for common farmland.

The temporarily occupied farmland should revert by the construction entity within one year after expiry of temporary occupation.

Circular of Shandong Provincial Government Concerning the Adjustment of the Annual Output Value and Compensation Standard of Acquired Land (Lu Zheng Ban Fa [2004] No. 51)

1. Define the lowest standard of AAOV. According to the socio-economic condition of different places, the AAOV is divided into 4 types in Shandong Province in reference to the compensation for newly added construction land use. The detail standards are as follows: the first district is 1,800 Yuan/mu, the second district is 1,600 Yuan/mu, the third district is 1,400 Yuan/mu, and the fourth district is 1,200 Yuan/mu. The lowest AAOV is 1,000 Yuan/mu out of the urban planning area in the whole province. According to the socio-economic condition and difference of corps, municipal government can be compile specific, implementing standards on the basic of the lowest AAOV. And the modified standards should be submitted to Price-Fixing Bureau, Financial Bureau, and Land Recourses Bureau of Shandong Province.

2. Define the standard of land compensation. Land compensation includes land compensation, resettlement subsidy and young crop compensation. In reference to “The Implementation Regulations of Shandong Province for the PRC Land Administration Law”, the standard of land compensation and resettlement subsidy is defined on the basic of the AAOV. The multiple is not below the middle limit of the statutory multiple. The young crop compensation is defined by the municipal government, and is implemented after the approval of the Price-Fixing Bureau, Financial Bureau and Land Recourses Bureau of Shandong Province.

When land acquisition is happened in the urban planning area, compensation standard should be defined reasonably in different places.

3. Set up hearing system of land acquisition. When the compensation standard is defined, hearing should be set up to hear the party’s statement. After defining the compensation standard, the results should be noted to accept supervision.

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Appendix 2 Terms of Reference for External Monitoring

A Objectives of resettlement monitoring and evaluation

In accordance with the requirements of ADB’s resettlement policies, it is to undertake external monitoring and evaluation for resettlement of Risk Mitigation of Endangered Reservoir Project in Shandong Province. Through monitoring the progress, funds mobilization and management of land acquisition, demolition and resettlement, it is to analyze and compare the changes and restoration of the production and livelihoods of the affected people, and thus to provide with follow-up evaluation in this connection. In addition to the regular reports (twice a year in resettlement implementation period) respectively submitted to ADB, SPMO and relevant competent authorities. This process shall also provide information and suggestions to all departments for implementation. Through external monitoring and evaluation, ADB and the project administrative agencies can have full understanding of the conditions and existing problems of land acquisition, demolition and resettlement, such as timely implementation of the resettlement plan, full achievement of the expected targets as well as the suggestions for improvement, etc.

B Major contents of resettlement monitoring and evaluation

(1) Baseline Survey should include: (i) family information; (ii) household annual income and expenditure; (iii) affected land production and income loss; and (iv) affected informal land production and income loss.

(2) Monitoring and evaluation of the progress of land acquisition include: (i) progress of land acquisition; (ii) progress of temporary land occupation; and (iii) progress of house demolition and reconstruction.

(3) Monitoring and evaluation of funds mobilization and utilization include: (i) situation of in-place funds; and (ii) utilization of funds (planned and actual).

(4) Monitoring the implementation of agreed rehabilitation measures, training programns, and post-reservoir development investment.

(5) Monitoring and evaluation of living standards of relocated of people include: (i) production and living conditions before displacement; (ii) production and living conditions after displacement; and (iii) comparative analysis and evaluation of the employment and living conditions before and after displacement.

(6) Evaluation of the capacity of resettlement institutions and the situation of public participation and complaints handling.

C External Monitoring Agency

The external monitoring agency in this project will be undertaken by an external institution entrusted by SPMO and acceptable to ADB.

D Organization and work division for resettlement monitoring and evaluation

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z SPMO entrusts external institutions take charge of the investigation, date collection, computing and analysis about the monitoring and evaluation work, and review the research results; z The external monitoring institutes compose the Monitoring and Evaluation Group of the Risk Mitigation of Endangered Reservoir Project, the tasks of which conclude monitoring and evaluating the resettlement according to the Involuntary Resettlement Policy of ADB; designing an outline of the monitoring and evaluation work; setting the monitoring spot; monitoring field investigation and internal analysis; and preparing monitoring and evaluation reports in Chinese and English; z SPMO provides support in terms of staffing, contacting relevant officials, project documents and transport for the Independent Resettlement Monitoring and Evaluation Institution during on-the-spot monitoring and investigation.

E. Methods of resettlement monitoring and evaluation. z Monitoring and evaluation shall adopt the combined methods of site survey, computational analysis and expert review; z The method of point-area method shall be adopted in the survey. The progress, funds, organizations and management of resettlement implementation shall be fully explored; the progress, funds, organizations and management of the resettlement implementation shall be fully explored. Sample survey shall be conducted for the APs; z The random sampling method shall be adopted in the sampling survey, while the typical samples shall be followed up for survey. (Samples are taken and categorized among all the affected households involved in the socio-economic surveys at the project preparatory stages. It is primarily decided that all households affected by land acquisition are sampled. All of the vulnerable groups if any are surveyed as sample families). The methods of tabular format survey, interview discussion, archives consultation etc. shall be adopted in the full-coverage survey; z In addition to the written materials, other materials such as photos, recordings, videos and articles in-kind shall be also collected.

F M&E Report for resettlement external monitoring

According to the requirements of ADB and the project schedule, the external monitoring and evaluation agency would submit to ADB and SPMO the monitoring report twice a year during resettlement implementation, followed by two annual evaluation reports. The last report will be prepared as a resettlement completion report (i.e., summarizing the entire process and results).

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