Project Number: 44019-013 June 2020

Social Monitoring Report

Semestral Report Project Number: 44019-013 June 2020

PRC: Hubei Huangshi Urban Pollution Control and Environmental Management Project

Prepared by National Research Center for Resettlement, Hohai University, Nanjing for the Huangshi Municipal Government and the Asian Development Bank

This social monitoring report is a document of the borrower. The views expressed herein do not necessarily represent those of ADB’s Board of Director, Management or staff, and may be preliminary in nature.

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

ADB-financed Hubei Huangshi Urban Pollution Control and Environmental Management Project

ADB-financed Hubei Huangshi Urban Pollution Control and Environmental Management Project Resettlement and Social Development Post-evaluation Report

National Research Center for Resettlement, Hohai University, Nanjing,

Jiangsu, China

June 2020

Project leader : Chen Shaojun, Dong Ming

M&E staff : Chen Shaojun, Dong Ming, Sun Jie, Yang Xue, Wang Xin

Prepared by : Chen Shaojun, Dong Ming, Yang Xue, Wang Xin

National Research Center for Resettlement, Hohai M&E agency : University (NRCR)

Address : NRCR, Nanjing, Jiangsu

Postcode : 210098

Tel : 025-83786503

Fax : 025-83718914

[email protected] Email : [email protected]

Contents 1. Summary ...... 8 1.1 Introduction ...... Error! Bookmark not defined. 1.2 Components and Resettlement Impacts ...... Error! Bookmark not defined. 1.3 Socioeconomic Profile of the Project Area ...... 11 1.4 M&E ...... Error! Bookmark not defined. 1.4.1 Procedure ...... Error! Bookmark not defined. 1.4.2 Scope ...... Error! Bookmark not defined. 1.4.3 Methods ...... Error! Bookmark not defined. 1.4.4 Reporting ...... Error! Bookmark not defined. 2. Resettlement IAs ...... 15 2.1 Organizational Setup...... Error! Bookmark not defined. 2.2 Supervision and Inspection Mechanism ...... 15 2.3 Capacity ...... 16 2.4 Evaluation ...... Error! Bookmark not defined. 2.5 Suggestions for Capacity Building ...... Error! Bookmark not defined. 3. Changes of Resettlement Impacts ...... 18 3.1 Before the Mid-term Adjustment ...... Error! Bookmark not defined. 3.1.1 Wastewater Collection and Treatment ...... Error! Bookmark not defined. 3.1.2 Inland Lake Ecological Rehabilitation and River-lake ConnectionError! Bookmark not defined. 3.1.3 Sludge Treatment and Disposal ...... Error! Bookmark not defined. 3.1.4 Solid Waste Management ...... Error! Bookmark not defined. 3.2 After the Mid-term Adjustment ...... Error! Bookmark not defined. 3.2.1 Sewer Network Construction ...... Error! Bookmark not defined. 3.2.2 Downstream Wetland Construction ...... Error! Bookmark not defined. 3.2.3 Cihu Lake South Ecology Rehabilitation ...... Error! Bookmark not defined. 3.2.4 Qinggang Lake Ecology Rehabilitation (Phase 2) ...... Error! Bookmark not defined. 4. Project and Resettlement Progress ...... Error! Bookmark not defined. 4.1 Before the Mid-term Adjustment ...... Error! Bookmark not defined. 4.1.1 Wastewater Collection and Treatment ...... Error! Bookmark not defined. 4.1.2 Inland Lake Ecological Rehabilitation and River-lake ConnectionError! Bookmark not defined. 4.1.3 Sludge Treatment and Disposal ...... Error! Bookmark not defined. 4.1.4 Solid Waste Management ...... Error! Bookmark not defined. 4.2 After the Mid-term Adjustment ...... 25 4.2.1 Sewer Network Construction ...... Error! Bookmark not defined. 4.2.2 Downstream Wetland Construction ...... Error! Bookmark not defined. 4.2.3 Cihu Lake South Ecology Rehabilitation ...... Error! Bookmark not defined. 4.2.4 Qinggang Lake Ecology Rehabilitation (Phase 2) ...... Error! Bookmark not defined. 5. Compensation Rates and Fund Disbursement ...... 27 5.1 RPF ...... Error! Bookmark not defined. 5.2 LA Procedure ...... Error! Bookmark not defined. 5.3 Compensation Rates...... Error! Bookmark not defined. 5.3.1 Compensation Rates before the Mid-term Adjustment .. Error! Bookmark not defined. 5.3.2 Compensation Rates after the Mid-term Adjustment ..... Error! Bookmark not defined. 5.4 Fund Disbursement ...... Error! Bookmark not defined. 6. HD Compensation and Resettlement ...... 34 6.1 Brief Review of the RP ...... Error! Bookmark not defined. 6.2 HD Compensation and Resettlement ...... Error! Bookmark not defined. 6.3 Affected Entities ...... Error! Bookmark not defined. 6.4 Compensation and Resettlement for Affected Entities ...... Error! Bookmark not defined. 6.5 Evaluation ...... Error! Bookmark not defined. 7. Resettlement and Livelihood Restoration...... 39 7.1 Resettlement and Livelihood Restoration ...... Error! Bookmark not defined. 7.1.1 Wastewater Collection and Treatment ...... 39 7.1.2 Inland Lake Ecological Rehabilitation and River-lake Connection ...... 39 7.1.3 Sludge Treatment and Disposal ...... 41 7.1.4 Solid Waste Management ...... 41 7.2 Women’s Development ...... Error! Bookmark not defined. 7.3 Vulnerable Population ...... Error! Bookmark not defined. 8. Follow-up Livelihood Survey on AHs ...... 42 8.1 Hekou Town ...... 42

8.1.1 Family Population ...... Error! Bookmark not defined. 8.1.2 Housing Conditions ...... Error! Bookmark not defined. 8.1.3 Land Contracting ...... Error! Bookmark not defined. 8.1.4 Annual Household Income and Expenditure ...... Error! Bookmark not defined. 8.2 Xisaishan District ...... 44 8.2.1 Family Population ...... Error! Bookmark not defined. 8.2.2 Housing Conditions ...... Error! Bookmark not defined. 8.2.3 Land Contracting ...... Error! Bookmark not defined. 8.2.4 Annual Household Income and Expenditure ...... Error! Bookmark not defined. 8.3 Xialu District ...... 45 8.3.1 Family Population ...... Error! Bookmark not defined. 8.3.2 Housing Conditions ...... Error! Bookmark not defined. 8.3.3 Land Contracting ...... Error! Bookmark not defined. 8.3.4 Annual Household Income and Expenditure ...... Error! Bookmark not defined. 8.4 Tieshan District ...... 47 8.4.1 Family Population ...... Error! Bookmark not defined. 8.4.2 Housing Conditions ...... Error! Bookmark not defined. 8.4.3 Land Contracting ...... Error! Bookmark not defined. 8.4.4 Annual Household Income and Expenditure ...... Error! Bookmark not defined. 9. Public Participation, Information Disclosure and Grievance Redress ...... 49 9.1 Public Participation...... Error! Bookmark not defined. 9.2 Information Disclosure ...... 49 9.3 Handling of Outstanding Issues ...... 50 9.4 Grievance Redress ...... Error! Bookmark not defined. 10. Conclusions, Inspirations and Suggestions ...... 53 10.1 Conclusions ...... Error! Bookmark not defined. 10.2 Inspirations and Suggestions ...... Error! Bookmark not defined. 10.2.1 Experience ...... Error! Bookmark not defined. 10.2.2 Suggestions for Subsequent Work ...... Error! Bookmark not defined. Appendixes ...... Error! Bookmark not defined. Appendix 1: Fieldwork Photos (Part) ...... 55 Appendix 2: Letter of Commitment on HD for Downstream Wetland Construction ...... 55 Appendix 3: Disclosure of LA and HD Compensation for Cihu Lake ...... 56 Appendix 4: Young Crop and Attachment Compensation Agreements (Part)...... 56 Appendix 5: LA Compensation Agreements (Part) ...... 57 Appendix 6: HD Compensation Agreements (Part) ...... 58 Appendix 7: Letter of Acceptance for Cihu Lake South Ecology Rehabilitation ...... 59 Appendix 8: HD Contract for Cihu Lake Wetland Park ...... 60 Appendix 9: HD Compensation and Resettlement Program for Cihu Lake South Ecology Rehabilitation ...... 60 Appendix 10: HD Payment Vouchers in Xialu District ...... 61 Appendix 11 Letter on HD Compensation for Cihu Lake South Ecology Rehabilitation ...... 61 Appendix 12 Compensation Budget and Payment Voucher of Cihu Lake South Ecology Rehabilitation ...... 62 Appendix 13 Summary of LA and HD Impacts ...... 62 Appendix 14: Appeal Reception Office ...... 63 Appendix 15: Tender Documents for Cihu Lake Wetland Park ...... 63 Appendix 16: Note on LA and HD Funds for Downstream Wetland Construction in Xialu District64 Appendix 17: Letter of the Xisaishan District on Clarifying Compensation Rates for Fries and Ponds in Downstream Wetland Construction ...... 64 Appendix 18 Letter of Xisaishan District on Using HD Compensation Rationally ...... 64 Appendix 19: Resettlement Community...... 65 Appendix 20: Details of HD Compensation for the Wetland Park Plot in Xialu District (Part) ...... 65 Appendix 21: Delimitation Map of Cihu Lake South Ecology Rehabilitation ...... 66

List of Tables Table 1-1 Components...... Error! Bookmark not defined. Table 1-2 Summary of Adjusted Components ...... 8 Table 1-3 Summary of Resettlement Impacts ...... 10 Table 1-4 Comparison of Socioeconomic Profile in 2014 vs. 2019 Error! Bookmark not defined. Table 1-5 Schedule for Submission of M&E Reports ...... Error! Bookmark not defined. Table 2-1 Equipment of Resettlement IAs ...... Error! Bookmark not defined. Table 2-2 Operational Training Implementation of Resettlement IAsError! Bookmark not defined.

Table 3-1 Changes to Resettlement Impacts...... 22 Table 3-2 Changes to Affected Population ...... Error! Bookmark not defined. Table 4-1 Construction and Resettlement Progress of Components Involving Resettlement before the Mid-term Adjustment ...... Error! Bookmark not defined. Table 4-2 Construction and Resettlement Progress of Components Involving Resettlement after the Mid-term Adjustment ...... Error! Bookmark not defined. Table 5-1 Comparison of Location-based Composite Land Prices of Hubei Province before and after the Adjustment ...... Error! Bookmark not defined. Table 5-2 LA Compensation Rates ...... 30 Table 5-3 Attachment Compensation Rates ...... Error! Bookmark not defined. Table 5-4 Tree Compensation Rates ...... Error! Bookmark not defined. Table 5-5 Compensation and Disbursement by Component ...... 58 Table 6-1 Summary of HD Impacts ...... 34 Table 6-2 Summary of Demolished Non-residential Properties...... 36 Table 6-3 Resettlement Program for Demolished Non-residential Properties ...... 37 Table 8-1 Sampling Rate of Follow-up Survey ...... 42 Table 8-2 Housing Statistics ...... 42 Table 8-3 Income of AHs in Hekou Town ...... 43 Table 8-4 Income and Expenditure of AHs in Xisaishan District ...... 44 Table 8-5 Income and Expenditure of AHs in Xialu District ...... 46 Table 8-6 Income and Expenditure of AHs in Tieshan District ...... 47 Table 9-1 Registration Form of Grievances and Appeals ...... 51 Table 9-2 Contact Information for Grievances and Appeals ...... 51

List of Figures Figure 2-1 Organizational Chart ...... Error! Bookmark not defined. Figure 2-2 Internal Monitoring Flowchart ...... Error! Bookmark not defined. Figure 8-1 Comparison of Income of Hekou Town in 2019 vs. Base YearError! Bookmark not defined. Figure 8-2 Comparison of Expenditure of Hekou Town in 2019 vs. Base YearError! Bookmark not defined. Figure 8-3 Comparison of Income of Xisaishan District in 2019 vs. Base YearError! Bookmark not defined. Figure 8-4 Comparison of Expenditure of Xisaishan District in 2019 vs. Base YearError! Bookmark not defined. Figure 8-5 Comparison of Income of Xialu District in 2019 vs. Base YearError! Bookmark not defined. Figure 8-6 Comparison of Expenditure of Xialu District in 2019 vs. Base YearError! Bookmark not defined. Figure 8-7 Pie Chart of Per Capita Income of Tieshan District in 2019Error! Bookmark not defined. Figure 8-8 Pie Chart of Per Capita Expenditure of Tieshan District in 2019Error! Bookmark not defined. Figure 9-1 LA Discussion Meeting ...... 49

Abbreviations

ADB - Asian Development Bank AH - Affected Household AP - Affected Person FGD - Focus Group Discussion HD - House Demolition LA - Land Acquisition M&E - Monitoring and evaluation NRCR - National Research Center for Resettlement PMO - Project Management Office RP - Resettlement Plan WWTP - Wastewater Treatment Plant

Units

Currency unit = Yuan (CNY) USD1.00 = CNY6.9 1 hectare = 15 mu

1 Summary 1.1 Introduction Huangshi City’s urban development is faced with many challenges, including the deterioration of the ecological environment around Cihu, Qingshan and Qinggang Lakes due to industrial wastewater discharge, water pollution of the Yangtze River, and disorderly land use. The Project will help improve the living and ecological environment, and promote economic development. According to the Master Urban Development Plan of Huangshi City, 10 wastewater control measures will be taken for the Yangtze River watershed, and the above 3 lakes in the next 3 years to meet the national Class III water quality standard, and realize flow regulating, climate regulating, sightseeing, tourism and other functions; wetlands and a sound urban sewer network will be established, and the efficiency of solid waste disposal improved in the next 5 years. The Project is both an urban infrastructure construction project and an environmental one. It will generate significant environmental, social and economic benefits, including: 1) improving the tourism environment and urban image; 2) promoting economic and social development; and 3) improving the living environment. After the adjustment, the Project consists of: 1) Downstream Wetland Construction; 2) Sewer Network Construction; 3) Lake Ecology Rehabilitation (Phase 2); 4) Waste Transfer Station Equipment Upgrading and Vehicle Purchase; and 5) Emergency Drainage Equipment, in which Components 1, 2 and 3 involve LA and/or HD. See Table 1-1.

Table 1-1 Components No. Component Content 1 Wastewater Collection and Treatment Component 1.1 Survey of sewage & drainage network and pollution sources Survey of sewage & Conduct a comprehensive survey of existing facilities including sewage drainage network & drainage system, pumping stations, and river gates, and develop an 1.1.1 GIS system integrated Geographic Information System (GIS) database. construction Survey of pollution Conduct comprehensive survey of water quality, volume, and effluent of 9 1.1.2 sources planned systems; research and analyze the Cihu Lake and Qingshan Lake sludge and treatment plant Drainage monitoring Monitor 5 WWTPs, 6 wastewater pumping stations, 10 drainage pumping 1.1.3 system construction stations,3 enterprise wastewater processing plants and 10 main infiltration flow outlets of the “Three-lake”. 1.2 Wastewater interception and treatment project 1.2.1 Sewage & drainage network 1.2.1.1 Drainage pipeline 60 kilometers Pumping station 3 wastewater pumping stations, Yegang pumping station with an flow of25000 m3 / d,Longanglu pumping station with an flow of 65000 m3 / d,and 1.2.1.2 Fengbogang pumping station with an low of 45000 m3 / d, Add Longganglu pumping station with 1,612 m2 farmland acquired 1.2.2 WWTPs 1.2.2.1 Hexi WWTP Phase I with 30,000 m³/ d capacity, Phase II with 30,000 m³/ d capacity 2 Inland lake ecological Restoration and Hydraulic Circulation Restoration Component 2.1 Lake sludge dredging and lake sludge treatment project 2.1.1 Cihu Lake area Dredging area of 1.135 million m2, dredging volume of 541,500m³ 2.1.2 Qingshan Lake area dredging area of 247,100 m2, dredging amount of 262,700 m³ 2.1.3 Qinggang Lake area Dredging area of 672,100 m2, dredging amount of 300,000 m³ Lake Sludge Lake sludge amount of 1.5487 million m³ 2.1.4 treatment 2.2 Ecological Restoration project 2.2.1 Lake-surrounding ecological restoration project Cihu Lake area Total area of 77.5 hectares; 2.2.1.1 Construct lake bank of 10.8 km, abolish the temporary stacking in Yaertang Qingshan Lake area Total area of 6.9 hectares; 2.2.1.2 Construct lake bank of 1.3 km Qinggang Lake area Total area of 2.1 hectares; 2.2.1.3 Construct lake bank of 0.5 km 2.2.2 Engineered wetland project

Man-made wetland Total area of 4.4 hectares; 2.2.2.1 construct lake bank of 6.6km 2.3 Hydraulic Circulation Restoration Hydraulic Circulation Construct Qingshan Lake pumping station, water conveying culverts with Restoration length of 2.1km; construct Qingshan Lake dam, Panlong Mountain tunnel with length of 770m; Wangjiaqiao ecological canal with length of 930m; Qinggang 2.3.1 Lake pumping station, Daquan Road water conveying culvert with length of 2.74km,;north and south Cihu Lake ecological canal with length of 550m;Qinggang Lake ecological canal with length of 235m. 3 Sludge Treatment and Disposal Component Sludge treatment With a total capacity of 300 tons per day, land acquisition (20.2 mu land is 3.1 and disposal included in the acquired land of Hexi WWTP)and construction in accordance with long term scale, Daily capacity of 150 tons (dewatered sludge in WWTP) 4 Solid Waste Control Project Solid waste control Newly build 12 new garbage transfer stations, rebuild 4 existing ones, and 4.1 component construct 9 garbage collection stations, with a total capacity of 1959 tons per day. Capability Development and Institutional Reinforcement (including: staff training and 5 equipment procurement, etc)

The mid-term adjustment in May 2017 is as follows: 1. Wastewater Collection and Treatment 1) Reduction of sewer lines by 25% or 23km (12km in the Cihu lake area, 3km in the Qingshan and Qinggang Lake areas, and 8km in the Hexi area) as compared to the former FSR due to changes in administrative division and design; 2) Addition of sewer lines by 49.07km (24.31km in Tieshan District, 10.26km in Laoxialu District and 14.5km in Tuanchengshan District); 3) Emergency Drainage Equipment: purchase of specialized drainage equipment to improve productivity and avoid secondary pollution 2. Inland Lake Ecological Rehabilitation and River-lake Connection 1) Cancellation of River-lake Connection: In November 2016, HMG agreed to cancel River-lake Connection, which was approved by a special ADB mission in January 2017. 2) Expansion of the artificial wetland The treatment capacity of the Tuanchengshan WWTP for the artificial wetland has been expanded from 40,000 t/d in the former FSR to 80,000 t/d for 2020. 3. Lake Ecology Rehabilitation (Phase 2) According to the ADB Memorandum in January 2017, the Qinggang Lake part of Lake Ecology Rehabilitation (Phase 2) would be fully cancelled. Based on prices in May 2017, the resettlement budget of the Project is 233.8053 million yuan, including land compensation, resettlement subsidy, HD compensation, ground attachment compensation, compensation for losses from production suspension, etc. The planned construction period of the Project is 26 months (from October 2017 to December 2019), in which Downstream Wetland Construction, Sewer Network Construction and Lake Ecology Rehabilitation (Phase 2) will be constructed from October 2017 to December 2019, and Waste Transfer Station Equipment Upgrading and Vehicle Purchase, and Emergency Drainage Equipment from October 2017 to December 2018. Correspondingly, resettlement will begin in July 2017 and be completed in December 2020.

1.2 Components and Resettlement Impacts After the adjustment, the Project consists of: 1) Downstream Wetland Construction; 2) Sewer Network Construction; 3) Cihu Lake South Ecology Rehabilitation; 4) Lake Ecology Rehabilitation (Phase 2); 5) Waste Transfer Station Equipment Upgrading and Vehicle Purchase; 6) Emergency Drainage Equipment, in which Components 1, 2, 3 and 4 involve LA and/or HD. See Table 1-2.

Table 1-2 Summary of Adjusted Components Resettlement No. Component Composition impacts 1 Downstream 1. Downstream Wetland Construction: 1) Phase 2: surface and LA and HD

Wetland sub-surface flow wetlands, tail water reflux and lifting, water outlet pump, Construction flood control; 2) Phase 3: sub-surface flow wetland, tail water reflux, water outlet pump, well 2. Buildings 3. Landscape: roads, square, wood platform, temporary and permanent car parks, bridges, landscaping, gallery, arts, toilets, urban furniture, indication system 1. Sewer system of Tieshan District: 1) Zone A: covering Tieshan main Temporary urban area, Xiushan Road area and Tieshan east area, totaling land 851.05ha; 2) Zone B: South Logistics Park and Mulan Industrial Park, occupation, totaling 528.78ha; 3) Zone C: Sancha Road Community, totaling and permanent 376.54ha; 4) Zone D: Dongfang Mountain Scenic Zone and Huangshi occupation of National Mine Park, totaling 1059.89ha state-owned Sewer Network 2 2. Sewer system of Laoxialu District: covering Fenglieshan, Jiangyang, land Construction Wangshou, Datang, Tuanjie, Kangning, Shengli, Shenniu and Laoxialu Communities, totaling 11,261m 3. Sewer system of Tuanchengshan District: covering Qinglongshan, Chenbaizhen, Hangzhou East Road, Huangguling, Jianlouxia, Ke’ershan, Ma’anshan, Shiliuyuan, Xiaojiapu and Yuanjiafan Communities, totaling 14,541m Rehabilitation of a total area of 77.5 hectares, including 6.8 hectares Use of for Cihu Lake south-east area and island, 61.8 hectares for Cihu Lake state-owned Cihu Lake south-west area, and 8.9 hectares for Cihu Lake Hangzhou West farmland and 3 South Ecology Road area. The overall length of lake shoreline restoration is 10.8 km, land Rehabilitation which is consisted of 2.4 km in Cihu Lake south-east area, 6.5 km in Cihu Lake south-west area and 1.94 km in Cihu Lake Hangzhou West Road area Daquan Road entrance of Qinggang Lake Permanent Experience and leisure area occupation of Lake Ecology Lakefront viewing area state-owned 4 Rehabilitation ecological area land (Phase 2) Suoqian Port reconstruction work Qingshan Lake Bridge Waste Transfer 1. Purchase of equipment for waste transfer stations, including old None Station equipment replacement, vehicle upgrading and purchase of leachate Equipment 5 treatment equipment Upgrading and 2. Purchase of cleaning vehicles Vehicle 3. Purchase of gardening vehicles Purchase 4. Purchase of water surface waste collection equipment for Cihu Lake Emergency Purchase of specialized drainage equipment None 6 Drainage Equipment

4 out of the 6 components involve resettlement. Under the direction of the ADB TA mission, the Huangshi PMO completed the first draft of the RP in May 2012, which was updated and revised in November 2013. The RP for the mid-term adjustment was completed in May 2017. According to the RP, the Project will affect 29 villages (communities) in 11 townships / sub-districts in 5 districts (Huangshigang, Tieshan, Xialu and Xisaishan Districts, and Economic Development Zone) in Huangshi City. 680.76 mu of land will be acquired permanently, including 310.21 mu of collective land and 370.55 mu of state-owned land, and 1,624.46 mu of land will be occupied temporarily. 194 households and 767 persons will be affected by LA, and 219 households and 782 persons by HD. 4 entities with 36 workers will be be affected by HD. The total HD area is 57,618.65 m2. The Project will affect 986 persons in total.

Table 1-3 Summary of Resettlement Impacts Estimated Temporarily HD area of Affected Affected by Affected resettlement LA area (mu) occupied land APs Affected by LA HD area (m2) affected entities districts HD entities budget (0,000 area (mu) (m2) yuan) adjustment adjustment adjustment adjustment adjustment adjustment adjustment adjustmen adjustment adjustment RP (2012) RP (2014) RP (2012) RP (2014) RP (2012) RP (2014) RP (2012) RP (2014) RP (2012) RP (2014) RP (2012) RP (2014) RP (2012) RP (2014) RP (2012) RP (2014) RP (2012) RP (2014) RP (2012) RP (2014) RP Mid Mi Mid Mid Mid Mid Mid Mid Mid Mid d ------term term term term term term term term term term term term t

233 897. 680. 1590 144 1624 347.2 100 150 76 129 85 78 522 5761 7751 820 936 1252 1308 1225 5 5 3 986 766 363 3 4 12 80.5 86 76 .29 9.6 .46 6 1 0 7 1 3 2 58 8.65 .46 8 8 5.83 3.99 8.78 3

According to the RP of the mid-term adjustment, the Project will involve LA, HD and temporary land occupation mainly, and affect Xialu, Xisaishan and Huangshigang Districts. 1,590.29 mu of collective land will be acquired for the Project, including 868.58 mu of lake surface (76.3%), 363.66 mu of urban and industrial land (22.87%), and 355.60 mu of water facility land (0.19%), affecting 302 households with 1,291 persons. 25.45 mu of state-owned land will be occupied permanently, and state-owned roads of 347.26 mu will be occupied temporarily. Residential houses of 7,751.46 m2 will be demolished for the Project, including 3,652.54 m2 in masonry concrete structure, 4,036.62 m2 in masonry timber structure, and 62.3 m2 in other structure; non-residential properties in residential areas of 11,823.55 m2 will be affected, including 644.09 m2 in masonry concrete structure, 10,909.03 m2 in masonry timber structure and 270.43 m2 in other structure, affecting 81 households with 363 persons; 12 entities will be affected by HD, with a total demolition area of 12,525.83 m2, including 1,065.92 m2 in masonry concrete structure (8.51%), 10,534.64 m2 (84.10%) in masonry timber structure and 925.27 m2 in steel structure (7.39%), affecting 42 persons. The Project will also affect some ground attachments. The resettlement budget of the Project is 233.8053 million yuan, accounting for 22.44% of the gross investment in the Project of 1.0421194 billion yuan.

1.3 Socioeconomic Profile of the Project Area1 Hubei Province: Hubei is a province of central China, with a land area of 185,900 km2, accounting for 1.94% of China’s territory. In 2019, Hubei’s GDP was 4.582831 trillion yuan, up 7.5% year on year, in which the added value of primary industries was 380.909 billion yuan, up 3.2%, that of secondary industries 1.909862 trillion yuan, up 8.0%, and that of tertiary industries 2.29206 trillion yuan, up 7.8%, with a ratio of 8.3:41.7:50.0. At the end of 2019, Hubei had a resident population of 59.27 million (36.1547 million urban and 23.1153 rural), and an urbanization rate of 61%. In 2019, Hubei’s per capita disposable income of urban residents 37,601 yuan, up 9.1%; and per capita disposable income of rural residents 16,391 yuan, up 9.4%. Huangshi City is located in southeastern Hubei Province, being the sub-center of the Wuhan metropolitan area. In 2019, the city’s GDP was 176.719 billion yuan, up 8.2% year on year, in which the added value of primary industries was 10.382 billion yuan, up 3.4%, that of secondary industries 90.038 billion yuan, up 8.9%, and that of tertiary industries 76.299 billion yuan, up 8.1%, with a ratio of 5.9:51.0:43.1. At the end of 2019, the city’s resident population was 2.4717 million, including an urban population of 1.5819 million, with an urbanization rate of 64%. In 2019, the per capita disposable income of urban residents was 38,725 yuan, up 9.6%, and that of rural residents 16,516 yuan, up 9.2%. Xisaishan District is one of the central districts of Huangshi City, located south of the central Yangtze River and eastern Huangshi, boasting rich mineral resources and a long history of smelting, with over 30 state-, province- and city-level major enterprises and over 500 private enterprises, and 6 pillar industries (medicine, chemicals, machinery, smelting, light industry and building materials), with an annual gross industrial output value of nearly 5 billion yuan, accounting for about one third of that of the city. Xialu District is located in the urban center of Huangshi City, being the traffic hub and an important industrial base of the city, governing 4 sub-districts (Xinxialu, Xialu, Dongfangshan and Tuanchengshan) and 38 communities, with a land area of 68 km2 and a population of about 200,000. There are several large state-owned enterprises in the district.

Table 1-4 Comparison of Socioeconomic Profile in 2014 vs. 2019 Hubei Province Huangshi City Gross 5816 244.92 Population Rural 2578.2 95.81 (0,000) Urban 3237.8 149.11 2014 GDP (00 million yuan) 27367.04 1218.56 Per capita disposable income of urban residents 24852 25208 Per capita disposable income of rural residents 10849 10957 Gross 5927 247.17 Population 2019 Rural 2311.53 88.98 (0,000) Urban 3615.47 158.19

1 The following information is abstracted from the latest local socioeconomic development bulletins.

GDP (00 million yuan) 45828.31 1767.19 Per capita disposable income of urban residents 37601 38725 Per capita disposable income of rural residents 16391 16516 Growth of gross population 1.91% 0.92% Growth of rural population -10.34% -7.13% Growth Growth of urban population 11.66% 6.09% (%) Growth of GDP 67.46% 45.02% Growth of per capita disposable income of urban residents 51.30% 53.62% Growth of per capita disposable income of rural residents 51.08% 50.73%

1.4 M&E In order to supervise the implementation of the RP, and protect the rights and interests of the APs, the Huangshi PM entrusted the National Research Center for Resettlement at Hohai University to conduct external M&E to point out existing and potential issues in resettlement, and propose suggestions accordingly. 1.4.1 Procedure  Preparing the terms of reference of M&E  Learning construction and resettlement progress  Designing a sampling plan  Baseline survey  Collecting resettlement policies, verifying DMS results and compensation rates, and monitoring the disbursement of compensation fees  Establishing an M&E information system  Compiling and analyzing information  Preparing M&E reports 1.4.2 Scope External M&E will be scheduled based on construction and resettlement progress. A baseline survey will be conducted before resettlement, and external M&E conducted semiannually during resettlement and annually after resettlement. A post-evaluation will be conducted after the completion of the whole project. This round of M&E covers the following: (1) LA compensation a) If compensation rates comply with the applicable state laws; b) If land compensation is so distributed that the affected villages and groups receive due compensation; c) If and how LA quantity, and compensation rates and amounts are disclosed in villages; d) If a specific, feasible program has been developed for the collective use of land compensation; e) If land compensation is used in consultation with the APs; f) How proceeds on land compensation are distributed, and how the economic benefits of the affected population are protected (2) Resettlement for HD a) If the compensation rates for houses and other ground attachments are fixed on the basis of full replacement cost; b) If compensation is paid fully and timely; c) Construction and allocation of resettlement housing; d) If the reconstruction schedule is rational; e) If transition and moving subsidies have been paid; f) If property losses are fully paid; g) If the infrastructure of the resettlement site is sound and of acceptable quality; h) If there is convenient access to hospitals and schools (3) Resettlement of affected enterprises a) If the LA and resettlement schedule is rational; b) If the affected enterprises receive full compensation for losses; c) If the affected workers are reemployed; d) If production is restored timely; (4) Operation and capacity of resettlement agencies a) If the resettlement agencies are staffed sufficiently for resettlement;

b) if the resettlement agencies have necessary working conditions; c) If the capacity of the resettlement agencies is sufficient for resettlement; d) Training of the resettlement staff; e) Internal management information system of the resettlement agencies (5) Resettlement of vulnerable groups a) If vulnerable groups are entitled to preferential policies during resettlement; b) If the poor urban AHs can afford to buy a new house and if their living standard can be improved; c) If special needs of affected women are fully considered during the development of resettlement programs; d) Can vulnerable groups, especially women, receive job opportunities under the Project, and vulnerable population employed under the Project; e) If the resettlement agencies have female members to handle women’s affairs (6) Baseline survey of the AHs Before the beginning of resettlement, the external M&E agency should collect basic information of the AHs through a sampling baseline survey using a structured questionnaire, with a sampling rate of 10-20%, covering family population, production and traffic conditions, housing size, annual income and expenditure, employment, living environment, etc. (7) Effectiveness of resettlement After the completion of resettlement, the external M&E agency will continue to track the effectiveness of resettlement by means of sampling survey. The sample households covered by the baseline survey should be tracked where possible; if any sample household is no longer reachable, it should be replaced with a similar household in the same community. A follow-up survey should be consistent with the baseline survey for the purpose of comparison of living and production conditions. in addition, subjective comments should be collected from the APs as a reference for evaluating the effectiveness of resettlement. (8) Disbursement and use of resettlement funds The resettlement agencies should strengthen fund management and supervision to ensure that resettlement funds are disbursed on schedule and used for designated purposes in strict conformity with the established rates. (9) Policy guidance and consultation The resettlement agencies should conduct policy consultation properly so that resettlement policies and programs are more scientific and feasible. In addition, they should assist the owner in resettlement publicity. (10) Coordination The resettlement agencies should coordinate their work properly to promote resettlement implementation orderly. (11) File management Data and file management should be conducted properly during resettlement M&E. 1.4.3 Methods M&E began in June 2014. NRCR established a task force to conduct a field survey in the affected area with the assistance of the Huangshi PMO, and owners. The following methods were used: Literature review—learning the socioeconomic profile of the project area by collecting relevant documents, local policies and statistics FGD—holding FGDs with IAs, township governments, village committees and affected enterprises Interview—interviewing with heads of township governments and village committees, and residents, with focus on the current situation of resettlement Field visit—visiting project sites to identify potential impacts during construction, and resettlement sites to see if sound infrastructure is available, and if there are potential construction impacts on local residents, and learn project progress 1.4.4 Reporting The external M&E task of the Project is undertaken by NRCR. NRCR will submit an external M&E report semiannually during resettlement, and annually within two years after resettlement to ADB and the Huangshi PMO. The reporting schedule is as follows:

Table 1-5 Schedule for Submission of M&E Reports No. Time Report No.1 semiannual report (including baseline 1 2014.06 survey report) 2 2014.09 No.2 semiannual report 3 2015.03 No.3 semiannual report 4 2015.08 No.4 semiannual report 5 2016.11 No.5 semiannual report 6 2017.07 No.6 semiannual report 7 2017.12 No.7 semiannual report 8 2018.08 No.8 semiannual report 9 2019.04 No.9 semiannual report 10 2020.06 Final report

2 Resettlement IAs 2.1 Organizational Setup In order to strengthen the supervision over and coordination of resettlement, and conduct resettlement properly, the Huangshi PMO was established, which is responsible for leading and coordinating the resettlement work of the components. In 2016, the leading project management agency changed. Huangshi Urban Construction Investment Company transferred the the project construction function and the PMO to the Huangshi Municipal Urban and Rural Construction Commission, where the PMO is responsible for directing resettlement, supervising and inspecting the implementation of the RP, contacting ADB, etc. See Figure 2-1.

Figure 2-1 Organizational Chart

Tasks related to resettlement are undertaken specifically by the component PMOs (at the municipal utilities bureau, municipal water resources bureau, Zhongcheng Company and municipal administration bureau) together with the local administrative departments for land and/or properties. The component PMOs are responsible for: 1) preparing, updating and managing the RPs; 2) implementing the RPs; 3) disbursing and managing resettlement funds; 4) conducting internal supervision and organizational coordination; 5) preparing internal monitoring reports regularly; and 6) evaluating and summing up resettlement work. The municipal utilities bureau has appointed the LA and HD work of the Wastewater Collection and Treatment component to the LA and HD Office of Xisaishan District No.2 Industrial Park. Huangshi Zhongcheng Company (under Huangshi Urban Construction Investment Company) has entrusted the LA and HD work of the upstream artificial wetland to the Xialu District Government and the Management Committee of Huangshi Economic and Technological Development Zone. 45 staff members have participated in the resettlement work of the Project. See Table 2-1.

Table 2-1 Equipment of Resettlement IAs Staff Female staff Computers Cameras Vehicles Office Agency members members / / / (m2) / / Huangshi Project Leading Group 5 3 1 100 2 0 Huangshi PMO 5 8 1 100 2 1 Huangshi Urban Construction 3 2 1 120 4 1 Investment Company Municipal land and resources bureau 3 5 1 70 4 2 Resettlement IAs 6 6 6 350 25 11 Town government 5 1 1 50 3 1

Staff Female staff Computers Cameras Vehicles Office Agency members members / / / (m2) / / Village committees 3 0 0 40 5 2 Total 30 25 11 830 45 18

2.2 Supervision and Inspection Mechanism The Huangshi PMO implements an internal supervision mechanism to supervise resettlement activities. During resettlement, the Huangshi PMO and owners have specially appointed persons who conduct supervision and inspection on resettlement progress, fund use, house reconstruction, and income restoration, and solve issues in consultation with the APs timely. The resettlement IAs should report resettlement progress to the component PMOs quarterly, which should report resettlement progress to ADB and the external M&E agency semiannually. In addition, the Huangshi PMO has appointed NRCR to conduct external M&E on resettlement progress, resettlement policies and their implementation, livelihood impacts and restoration, support for vulnerable groups, information disclosure, public participation, grievance redress, etc. to see if ADB’s safeguard policies are complied with.

Figure 2-2 Internal Monitoring Flowchart

2.3 Capacity The Huangshi PMO is well equipped and staffed. In addition, all resettlement IAs have fixed offices, and sufficient office equipment and resettlement funds. It can be seen that the Huangshi PMO has strong capacity and is familiar with the ADB policies. The PMO has 5 female staff members, and pays attention to gender development and vulnerable group support issues. The component PMOs generally have rich experience in domestic projects, and most of them are aware of ADB’s policies to some extent, and they support external M&E very well.

2.4 Evaluation The task force conducted a survey on the operation of the IAs for resettlement. The survey shows that the IAs for resettlement have established external monitoring and internal supervision mechanisms, and are able to perform their duties carefully. In practice, though some resettlement staff participated in the preparatory work, and had some understanding of ADB’s safeguard policies, there are still some deficiencies in policy understanding and resettlement practice. It’s hope to meet relevant requirements through continuous learning and training. The staff of such agencies should be further trained on resettlement policies and their

implementation in such forms as theoretical learning, visit and exchange in order to further improve institutional efficiency and capacity.

2.5 Suggestions for Capacity Building The Huangshi PMO will take the following measures to strengthen institutional capacity: 1) Leadership responsibility system: establishing a leading team headed by the leader in charge of the district government and composed of leaders from departments concerned 2) Well-trained staff: All resettlement agencies are provided with staff experienced and proficient in policies and operations. 3) Definition of responsibilities: The responsibilities of all resettlement agencies have been defined in accordance with ADB’s requirements, and the applicable state laws and regulations. 4) Staff training: The resettlement staff will be trained on resettlement policies and file management. 5) Public supervision: All resettlement information should be disclosed to the public for supervision. 6) Resettlement disclosure meetings are held irregularly and relevant information is disclosed as briefs. 7) The resettlement IAs will be provided with necessary vehicles and office facilities. See Table 2-2.

Table 2-2 Operational Training Implementation of Resettlement IAs Agency responsible Scope Trainees Duration Status No. A B C D 1 External M&E agency ADB’s resettlement policy Staff of component PMOs Mar. 2014 Completed Updates of domestic LA and HD 2 External M&E agency Staff of component PMOs Mar. 2014 Completed policies Non-local experience and lessons Feb. – Dec. 3 Huangshi PMO Staff of component PMOs Completed from resettlement 2014 Computer operation and data Feb. – Dec. 4 Huangshi PMO Staff of component PMOs Completed processing 2014 ADB resettlement procedures and Township and village Feb. – Jun. 5 Resettlement IAs Completed policy resettlement teams 2014 Township and village Feb. – Jun. 6 Resettlement IAs Resettlement policies and practice Completed resettlement teams 2014 7 Huangshi PMO First financial training session Owner accountants, staff of May 2016 Completed financial software supplier, 8 Huangshi PMO Second financial training session Jul. 2016 Completed PMO financial staff Drawing on international 5 senior managers from the 9 Huangshi PMO Oct. 2016 Completed experience in resettlement Leading Group and IAs Drawing on resettlement 10 Huangshi PMO experience from ADB projects in Staff of component PMOs Dec. 2016 Completed other provinces Training for equipment Production management 11 Huangshi PMO manufacturers, and training on Jun. 2017 Completed staff and operators similar artificial wetlands and sites Accountants, financial First financial training session in 12 Huangshi PMO software developer staff, Jun. 2017 Completed 2017 PMO financial staff Accountants, financial Second financial training session 13 Huangshi PMO software developer staff, Nov. 2017 Completed in 2017 PMO financial staff High-level seminar on project 14 ADB Huangshi PMO Apr. 2018 Completed management Learning of international 15 ADB (East Asia Office) Huangshi PMO Jul. 2018 Completed resettlement experience ADB Independent Resettlement and environmental 16 Huangshi PMO Apr. 2019 Completed Evaluation Dept. protection visit

3 Changes of Resettlement Impacts According to the former RP, the Project consists of 5 components, which are: 1) Wastewater Collection and Treatment; 2) Inland Lake Ecological Rehabilitation and River-lake Connection; 3) Sludge Treatment and Disposal; 4) Solid Waste Management; 5) Capability Development and Institutional Reinforcement. After the mid-term adjustment in May 2017, the Project consists of: 1) Downstream Wetland Construction; 2) Sewer Network Construction; 3) Cihu Lake South Ecology Rehabilitation; 4) Lake Ecology Rehabilitation (Phase 2); 5) Waste Transfer Station Equipment Upgrading and Vehicle Purchase; 6) Emergency Drainage Equipment. Since the components are independent and discontinuous in resettlement impacts before and after the adjustment, their resettlement impacts are described separately below. 3.1 Before the Mid-term Adjustment 3.1.1 Wastewater Collection and Treatment 1) Brief review of the RP According to the RP of 2012, 309 mu of collective land will be acquired for the Project, including 206.3 mu of cultivated land, 58.76 mu of construction land, 42.8 mu of unused land and 1.16 mu of woodland, affecting 193 households with 766 persons. 286.3 mu of land will be acquired for this component, affecting 156 households with 634 persons. 588.9 mu of state-owned land will be occupied for the Project, including 1.5 mu for this component. 1,449.6 mu of land will be occupied temporarily for Wastewater Collection and Treatment, and Inland Lake Ecological Rehabilitation and River-lake Connection, including 1,350.83 mu of state-owned land and 98.73 mu of collective land, including 675.4 mu of road land for this component, where pavement restoration costs are included in the construction budget. Wastewater Collection and Treatment, Inland Lake Ecological Rehabilitation and River-lake Connection, and Solid Waste Management involve the demolition of rural residential houses of 44,050 m2, affecting 228 households with 853 persons, including 35,495 m2 for this component. According to the RP of 2014, 310.21 mu of collective land will be acquired for the Project, including 205.15 mu of cultivated land, 58.76 mu of construction land, 45.14 mu of unused land and 1.16 mu of woodland, affecting 194 households with 767 persons. 289.47 mu of land will be acquired for this component, affecting 157 households with 635 persons. 370.55 mu of state-owned land will be occupied for the Project, including 1.23 mu for this component. 1,642.46 mu of land will be occupied temporarily for Wastewater Collection and Treatment, and Inland Lake Ecological Rehabilitation and River-lake Connection, including 1,525.73 mu of state-owned land and 98.73 mu of collective land, including 675.4 mu of road land for this component, where pavement restoration costs are included in the construction budget. 2) LA and HD progress and impacts 287.36 mu of land has been acquired for this component, including 280.17 mu in Guniuzhou Village, 4.77 mu in Daoshifu Village and 2.42 mu in Ergang Village. 1.23 mu of state-owned land has been occupied for the Yegang pump station. 3.1.2 Inland Lake Ecological Rehabilitation and River-lake Connection 1) Brief review of the RP According to the RP of 2012, 309 mu of collective land will be acquired for the Project, including 206.3 mu of cultivated land, 58.76 mu of construction land, 42.8 mu of unused land and 1.16 mu of woodland, affecting 193 households with 766 persons. 15.98 mu of land will be acquired for this component, affecting 37 households with 132 persons. 588.9 mu of state-owned land will be occupied for the Project, including 287.73 mu for this component. 1,449.6 mu of land will be occupied temporarily for Wastewater Collection and Treatment, and Inland Lake Ecological Rehabilitation and River-lake Connection, including 1,350.83 mu of state-owned land and 98.73 mu of collective land, including 8.73 mu of collective shrub forest and 90.00 mu of unused land for this component. Wastewater Collection and Treatment, Inland Lake Ecological Rehabilitation and River-lake Connection, and Solid Waste Management involve the demolition of rural residential houses of 44,050 m2, affecting 228 households with 853 persons, including 6,600 m2 for this component. This component affects 3 entities with 26 workers, with a total HD area of 8,208 m2, in which one is closed, and the other two operate normally. According to the RP of 2014, 310.21 mu of collective land will be acquired for the Project, including 205.15 mu of cultivated land, 58.76 mu of construction land, 45.14 mu of unused land and 1.16 mu of woodland, affecting 194 households with 767 persons. 15.98 mu of land will be acquired for this component, affecting 37 households with 132 persons. 370.55 mu of state-owned land will

be occupied for the Project, including 287.73 mu for this component. 1,642.46 mu of land will be occupied temporarily for Wastewater Collection and Treatment, and Inland Lake Ecological Rehabilitation and River-lake Connection, including 1,525.73 mu of state-owned land and 98.73 mu of collective land, including 949.06 mu for this component, including some water surface, on which no one deals with production. Wastewater Collection and Treatment, Inland Lake Ecological Rehabilitation and River-lake Connection, and Solid Waste Management involve the demolition of rural residential houses of 48,250.65 m2, affecting 219 households with 782 persons, including 6,600 m2 for this component. This component affects 4 entities with 36 workers, with a total HD area of 9,368 m2, in which one is closed, and the other 3 operate normally. 2) LA and HD progress and impacts 103.11 mu of state-owned land and 306.54 mu of collective land has been acquired for this component, including 89 mu in Laoxialu Group 1 and 73 mu in Laoxialu Group 2 in Xialu District, and 131.3 mu in Baitayan Village and 13.24 mu in Chenbaizhen Community in Xisaishan District. By the end of June 2017, 210.4 mu of land had been acquired for this component, including 107.29 mu of collective land (94.05 mu in Laoxialu Groups 1 and 2, and 13.24 mu in Chenbaizhen Community), and 103.11 mu of state-owned land in Chenbaizhen Community 103.11 mu of state-owned land, affecting 283 households with 857 persons, and the compensation had been paid to the AHs. 3.1.3 Sludge Treatment and Disposal 1) Brief review of the RP According to the RP of 2012, 309 mu of collective land will be acquired for the Project, including 206.3 mu of cultivated land, 58.76 mu of construction land, 42.8 mu of unused land and 1.16 mu of woodland, affecting 193 households with 766 persons. 30 mu of land will be acquired for this component, within the WWTP. This component does not involve the permanent occupation of state-owned land, temporary land occupation, and HD. According to the RP of 2014, 310.21 mu of collective land will be acquired for the Project, including 205.15 mu of cultivated land, 58.76 mu of construction land, 45.14 mu of unused land and 1.16 mu of woodland, affecting 194 households with 767 persons. 20.2 mu of land will be acquired for this component, and is included in the WWTP. This component does not involve the permanent occupation of state-owned land, temporary land occupation, and HD. 2) LA and HD progress and impacts 18.983 mu of state-owned land and 42.8783 mu of collective land has been acquired for this component. 3.1.4 Solid Waste Management 1) Brief review of the RP According to the RP of 2012, 309 mu of collective land will be acquired for the Project, including 206.3 mu of cultivated land, 58.76 mu of construction land, 42.8 mu of unused land and 1.16 mu of woodland, affecting 193 households with 766 persons. 6.71 mu of land will be acquired for this component, all being non-cultivated land. 588.9 mu of state-owned land will be occupied for the Project, including 299.74 mu for this component. This component does not involve temporary land occupation. Wastewater Collection and Treatment, Inland Lake Ecological Rehabilitation and River-lake Connection, and Solid Waste Management involve the demolition of rural residential houses of 48,250.65 m2, affecting 219 households with 782 persons, including 1,955 m2 for this component. According to the RP of 2014, 310.21 mu of collective land will be acquired for the Project, including 205.15 mu of cultivated land, 58.76 mu of construction land, 45.14 mu of unused land and 1.16 mu of woodland, affecting 194 households with 767 persons. 4.76 mu of land will be acquired for this component, all being non-cultivated land. 370.55 mu of state-owned land will be occupied for the Project, including 81.59 mu for this component. This component does not involve temporary land occupation. Wastewater Collection and Treatment, Inland Lake Ecological Rehabilitation and River-lake Connection, and Solid Waste Management involve the demolition of rural residential houses of 48,250.65 m2, affecting 219 households with 782 persons, including 3,800 m2 for this component. 2) LA and HD progress and impacts 18.983 mu of state-owned land and 42.8783 mu of collective land has been acquired for this component.

3.2 After the Mid-term Adjustment 3.2.1 Sewer Network Construction 1) Brief review of the RP In the mid-term adjustment in May 2017, the total length of sewer lines in the former Wastewater Collection and Treatment component was reduced by 25% or 23km (12km in the Cihu lake area, 3km in the Qingshan and Qinggang Lake areas, and 8km in the Hexi area) as compared to the former FSR due to changes in administrative division and design. According to the Mid-term Adjustment RAP, Wastewater Collection and Treatment is adjusted to Sewer Network Construction, covering Tieshan, Xialu and Tuanchengshan Districts. The total length of sewer lines is increased by 49.07km (24.31km in Tieshan District, 10.26km in Xialu District and 14.5km in Tuanchengshan District). In addition, specialized drainage equipment will be purchased to improve productivity and avoid secondary pollution. The adjusted budget is 109.2782 million yuan. A 10,000 m³/d wastewater pumping station will be built in the southwest of Tieshan District, occupying 0.22 mu of state-owned land permanently. Sewer Network Construction will involve the temporary occupation of 347.26 mu of state-owned road land for 15-30 days. Since construction will be conducted in stages, nearby stores and residents will be affected slightly during occupation. 2) LA and HD progress and impacts Sewer Network Construction began in October 2017 and ended in December 2019. Correspondingly, resettlement began in July 2017 and ended in December 2020. A 10,000 m³/d wastewater pumping station was built in the southwest of Tieshan District, occupying 0.22 mu of state-owned land permanently. Sewer Network Construction involved the temporary occupation of 347.26 mu of state-owned road land for 15-30 days. Since construction was conducted in stages, nearby stores and residents were affected slightly during occupation. The occupied land will be restored by the contractor. 3.2.2 Downstream Wetland Construction 1) Brief review of the RP According to the Mid-term Adjustment RP, river-lake connection in the former Inland Lake Ecological Rehabilitation and River-lake Connection component, and the Qinggang Lake part of Lake Ecology Rehabilitation have been cancelled. The treatment capacity of the Tuanchengshan WWTP for the artificial wetland has been expanded to 80,000 t/d, with a floor area of 98.2ha. The former Inland Lake Ecological Rehabilitation and River-lake Connection component has been adjusted to 3 components – Downstream Wetland Construction, Cihu Lake South Ecology Rehabilitation, and Qinggang Lake Ecology Rehabilitation (Phase 2), with an adjusted budget of 439.8485 million yuan. Among the new components, only Downstream Wetland Construction involves the permanent acquisition of collective land. 1,590.29 mu of collective land will be acquired, including 2.45 mu of woodland (0.15%), 868.58 mu of lake surface (76.3%), 363.66 mu of urban and industrial land (22.87%), and 355.60 mu of water facility land (0.19%). 81 residential houses will be demolished for this component, affecting 81 households with 363 persons, including 16 households with 86 persons in Baitayan Village, 33 households with 144 persons in Ke’ershan Community, 15 households with 65 persons in Jianlouxia Community and 17 households with 68 persons in Chenbaizhen Community, with a total demolition area of 19,575.01 m2, including 3,652.54 m2 in masonry concrete structure, 4,036.54 m2 masonry timber structure, 62.3 m2 in other structures, and non-residential properties of 644.09 m2 in masonry concrete structure, 10,909.03 m2 in masonry timber structure and 270.43 m2 in other structures. 2) LA and HD progress and impacts 1,590.29 mu of collective land has been acquired, including 2.45 mu of woodland (0.15%), 868.58 mu of lake surface (76.3%), 363.66 mu of urban and industrial land (22.87%), and 355.60 mu of water facility land (0.19%). In Xisaishan District, 1,095 mu of land has been acquired, with LA compensation of 53.655 million yuan, attachment compensation of 4.8137 million yuan and vegetable land compensation of 39,200 yuan. By the end of August 2018, LA had been completed, and the LA compensation paid in Xisaishan District. 495.29 mu of collective land in Xialu District has been acquired, including 38.74 mu in Ke’ershan Community, 103.52 mu in Jianlouxia Community and 353.03 mu in Chenbaizhen Community, with LA compensation of 24.2692 million yuan. LA was completed in July 2018, with 331.7 mu of land acquired, and the LA compensation has been paid in Xialu District. 3.2.3 Cihu Lake South Ecology Rehabilitation 1) Brief review of the RP

According to the RP in 2014, this component consists of ecological revetment construction, lakeside ecology rehabilitation, solar landscape lighting, etc., and involves the rehabilitation of a total area of 77.5 hectares and a shoreline of 10.8km, including 6.8 hectares and 2.4km on the southeast bank, 61.8 hectares and 6.5km on the southwest bank, and 8.9 hectares and 1.94km on the Hangzhou East Road south bank. This component involves the occupation of 87.822 mu of state-owned land. 2) LA and HD progress and impacts The LA compensation agreement for Xisaishan District was signed in February 2018. As of April 2019, 87.822 mu of land in Xisaishan District had been acquired, with compensation of 4,303,278 yuan; 4 houses of 1,810.84 m2 demolished, with compensation of 5,040,231 yuan; and the compensation of young crops of 82 AHs was 1,266,499 yuan, totaling 10,610,008 yuan, in which 10,097,353 yuan had been paid. 3.2.4 Qinggang Lake Ecology Rehabilitation (Phase 2) 1) Brief review of the RP According to the ADB Memorandum in January 2017, the Qinggang Lake part of Lake Ecology Rehabilitation would be fully cancelled, and included in Qinggang Lake Ecology Rehabilitation (Phase 2) after adjustment. This component consists of 6 subcomponents, which are the Daquan Road entrance of Qinggang Lake, experience and leisure area, lakeside viewing area, ecological area, Suoqian Port reconstruction and Qingshan Lake Bridge. 25.23 mu of state-owned land will be occupied permanently for Qinggang Lake Ecology Rehabilitation (Phase 2), including 4.46 mu for the Daquan Road entrance of Qinggang Lake, 13.05 mu for the experience and leisure area, 1.05 mu for the lakeside viewing area, 6.42 mu for the ecological area and 0.25 mu for the Qingshan Lake Bridge. 2) LA and HD progress and impacts The state-owned land occupied for this component has been approved, and no HD compensation is involved.

Table 3-1 Changes to Resettlement Impacts Sludge Treatment and Wastewater Collection and Treatment Ecology Rehabilitation Disposal RP 2012 RP 2014 Adjusted RP RP 2012 RP 2014 Adjusted RP RP 2012 RP 2014 P Planned Planned Planned Planned Planned Planned Planned Percent Percent Percent Percent Percent Percent Percent Percent Actual Actual Actual Actual Actual Actual Actual Actual lanned No.

289.4 287.3 306. 1590.2 1590.2 Collective land 286.3 15.98 100% 7 6 54 9 9 Cultivated land 193.8 192.7 12.45 12.45 Woodland 1.16 1.16 2.45 2.45 100%

Including Lake surface 868.58 868.58 100% 1 Water surface and 355.60 355.60 100% water facility land

Town, industrial and 363.66 363.66 100% mining land Unused land 36.5 40.77 2.37 2.37 Construction land 56.0 56 2 State-owned land 1.5 1.23 1.23 100% 0.22 0.22 100% 287.73 287.73 25.23 25.23 100% Temporary land occupation 675.4 675.4 17.23 774.11 774.11 0 0 347.26 347.26 100% State-owned road 675.4 675.4 17.35 17.35 0 0 347.26 347.26 100% State-owned water

Including 658.08 658.08 0 0 surface 3 Collective shrub 8.73 8.73 0 0 forest

Collective unused 90 90 0 0 land Collective farmland 17.23 37850 5393 142.5 7362.8 371 32100. 4 HD (m²) 35495 6600 49% .65 9.67 1% 7 1.48 84 Capability Development Solid Waste Management and Institutional Reinforcement RP 2012 RP 2014 Adjusted RP RP 2012 RP 2014 Planned Planned Percent Percent Actual Actual No. Planned Actual Percent Planned Actual Percent Planned Actual Percent

Collective land 6.7 4.76 42.88 900.8% Cultivated land Woodland

Including Garden land Grassland 1 Other farmland

Housing land Traffic land Unused land 3.9 2 Construction land 2.8 2.76 2 State-owned land 299.7 81.59 18.98 23.26% Temporary land occupation Cultivated land Woodland Including Garden land 3 Other farmland Traffic land Unused land Construction land State-owned land 4 HD (m²) 1955 3800 2379.98 115.26%

Table 3-2 Changes to Affected Population No. Component Affected villages AHs APs HHs affected by HD Affected entities Adjuste RP RP Adjusted RP RP RP RP Adjusted RP RP Adjusted / RP 2012 RP 2014 Adjusted RP d RP 2012 2014 RP 2012 2014 2012 2014 RP 2012 2014 RP Planned Planned Planned Planned Planned Planned Planned Planned Planned Planned Planned Planned Planned Planned Planned Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual

Wastewater Collection 1 2 3 3 0 0 156 157 0 0 634 635 0 0 170 157 208 0 0 0 0 0 0 0 and Treatment 2 Ecology Rehabilitation 3 3 3 4 4 37 37 283 302 302 132 132 857 1291 1291 16 16 42 81 100 3 4 1 12 12 Solid Waste 4 4 3 2 0 0 0 0 0 0 200 0 0 0 42 46 63 0 0 0 0 0 0 0 Management

4 Project and Resettlement Progress According to the former RP, the Project consists of 5 components, which are: 1) Wastewater Collection and Treatment; 2) Inland Lake Ecological Rehabilitation and River-lake Connection; 3) Sludge Treatment and Disposal; 4) Solid Waste Management; 5) Capability Development and Institutional Reinforcement. After the mid-term adjustment in May 2017, the Project consists of: 1) Downstream Wetland Construction; 2) Sewer Network Construction; 3) Cihu Lake South Ecology Rehabilitation; 4) Lake Ecology Rehabilitation (Phase 2); 5) Waste Transfer Station Equipment Upgrading and Vehicle Purchase; 6) Emergency Drainage Equipment. Since the components are independent and discontinuous in resettlement impacts before and after the adjustment, their resettlement implementation is described separately below. 4.1 Before the Mid-term Adjustment 4.1.1 Wastewater Collection and Treatment 1) Construction progress As of June 1, 2020, the Hexi WWTP, the Fengbogang, Longgang Road and Yegang pump stations, the Cihu Lake, Qingshan Lake and Hexi sewer networks had been completed. 2) Resettlement progress As of June 1, 2020, 287.36 mu of land had been acquired for this component, including 280.17 mu in Guniuzhou Village, 4.77 mu in Daoshifu Village and 2.42 mu in Ergang Village, and 1.23 mu of state-owned land occupied for the Yegang pump station. HD began in July 2012, with a planned HD area of 53,939.67 m2. The remaining household affected by the Hexi WWP has rejected HD, and its house will be bypassed. In addition, 17.23 mu of collective land in Guniuzhou Village has been occupied temporarily for the Hexi WWTP, and the affected young crops and attachments will be compensated for. 4.1.2 Inland Lake Ecological Rehabilitation and River-lake Connection 1) Construction progress As of June 1, 2020, Qingshan, Qinggang and Cihu Lake dredging in Inland Lake Ecological Rehabilitation and River-lake Connection had been completed; the ecology rehabilitation of Qingshan Lake had been completed, and the progress of the ecology rehabilitation of Cihu and Qinggang Lakes was reflected in Cihu Lake South Ecology Rehabilitation and Qinggang Lake Ecology Rehabilitation (Phase 2); upstream wetland construction had been completed; the progress of downstream wetland construction was included in adjusted Downstream Wetland Construction; river-lake connection had been cancelled due to a state policy adjustment. 2) Resettlement progress As of June 1, 2020, 103.11 mu of state-owned land and 306.54 mu of collective land had been acquired for this component, including 89 mu in Laoxialu Group 1 and 73 mu in Laoxialu Group 2 in Xialu District, and 131.3 mu in Baitayan Village and 13.24 mu in Chenbaizhen Community in Xisaishan District. 4.1.3 Sludge Treatment and Disposal The land acquired for this component is within the Hexi WWTP, so its LA and HD progress is the same as that of Wastewater Collection and Treatment. 4.1.4 Solid Waste Management 1) Construction progress As of June 1, 2020, Solid Waste Management had 6 contracts, including two equipment contracts, 3 civil works contracts and a waste separation contract. Bidding, supply and reimbursement for the two equipment contracts were completed in October 2015, and bidding for the waste separation contract was completed in 2015, and this contract had been completed by 59.24%. Among the 3 civil works contracts, Contract 1 opened in November 2014 and Contract 2 opened in September 2016 had been completed, and Contract 3 completed by 55%. 2) Resettlement progress As of June 1, 2020, 18.983 mu of state-owned land and 42.8783 mu of collective land had been acquired for this component. 18.8053 mu of collective land had been acquired for Civil Works Contract 1, including 11.01 mu in Dalu Village for the Sike sanitation base, 4.644 mu in Dalu Village for the Sike waste transfer station, and 3.1513 mu in Shenghongqing Community for the Tiehe Road sanitation base. LA had been completed, and the compensation paid to the AHs. The Hushi 1# waste collection station in Huangshigang District and the Shiwuye 2# station in Xisaishan District involve neither LA nor HD due to small sizes. 25.456 mu of land had been acquired for Civil Works Contract 2, including 1.383 mu of state-owned land and 24.073 mu of collective land, including 17.59

24 mu of collective land for the Jiangbei sanitation base, 3.999 mu of collective land for the Xisai waste transfer station, and 1.383 mu of state-owned land and 2.484 mu of collective land for the Hekou waste transfer station. Civil Works Contract 3 does not involve HD.

4.2 After the Mid-term Adjustment 4.2.1 Sewer Network Construction 1) Construction progress As of June 1, 2020, this component had been completed. 2) Resettlement progress A 10,000 m³/d wastewater pumping station was built in the southwest of Tieshan District, occupying 0.22 mu of state-owned land permanently. Sewer Network Construction involved the temporary occupation of 347.26 mu of state-owned road land for 15-30 days. Since construction was conducted in stages, nearby stores and residents were affected slightly during occupation. The occupied land has been restored. 4.2.2 Downstream Wetland Construction 1) Construction progress As of June 1, 2020, Contract 1 has been completed by 70%, Contract 2 by 95%, and Contract 3 by 100%. 2) Resettlement progress 1,590.29 mu of collective land has been acquired for this component. In Xisaishan District, 1,095 mu of land has been acquired, with LA compensation of 53.655 million yuan, attachment compensation of 4.8137 million yuan and vegetable land compensation of 39,200 yuan. By the end of August 2018, LA had been completed, and the LA compensation paid in Xisaishan District. 495.29 mu of collective land in Xialu District has been acquired, including 38.74 mu in Ke’ershan Community, 103.52 mu in Jianlouxia Community and 353.03 mu in Chenbaizhen Community, with LA compensation of 24.2692 million yuan. LA was completed in July 2018, with 331.7 mu of land acquired, and the LA compensation has been paid in Xialu District. 4.2.3 Cihu Lake South Ecology Rehabilitation 1) Construction progress As of June 1, 2020, Phase 1 had been completed, and Phase 2 completed by 65%. 2) Resettlement progress The LA compensation agreement for Xisaishan District was signed in February 2018. As of April 2019, 87.822 mu of land in Xisaishan District had been acquired, with compensation of 4,303,278 yuan. 4.2.4 Qinggang Lake Ecology Rehabilitation (Phase 2) 1) Construction progress As of June 1, 2020, this component had been completed by 50%. 2) Resettlement progress Qinggang Lake Ecology Rehabilitation (Phase 2) involves the occupation of 25.23 mu of state-owned land, which had been approved.

Table 4-1 Construction and Resettlement Progress of Components Involving Resettlement before the Mid-term Adjustment Wastewater Ecology Solid Waste Item Collection and Rehabilitation Management Treatment FSR approval 2012.6 2012.6 2012.6 Preliminary design approval 2015.1 2015.2 2015.2 Commencement of construction 2015.2 2016.4 2016.9 Final acceptance 2017.6 2017.6 2017.6 RP preparation 2012.3 2012.3 2012.3 DFS / / / RP updating 2014.3 2014.3 2014.3 LA approval by provincial or central government / / / LA starting 2012.7 2012.7 2012.7 LA completion 2017.6 2017.6 2017.6

Table 4-2 Construction and Resettlement Progress of Components Involving Resettlement after the Mid-term Adjustment Cihu Lake Qinggang Sewer Downstream South Lake Ecology Item Network Wetland Ecology Rehabilitation Construction Construction Rehabilitation (Phase 2) FSR approval / / / Preliminary design approval / / / Commencement of construction 2017.10 2017.10 2018.3 2018.8 Final acceptance / / / / RP preparation / / / / DFS 2017.1 2017.1 2017.1 2017.1 RP updating / / / / LA approval by provincial or central / / / / government LA starting 2017.7 2017.7 2018.2 / LA completion 2019.4 2019.4 2019.4 /

5 Compensation Rates and Fund Disbursement 5.1 RPF The resettlement policies of the subprojects have been developed in accordance with the applicable policies of the PRC, Hubei Province and ADB, including: Law of Land Administration of the PRC implemented in January 1999, and the revision implemented on Aug. 28, 2004 Rural Land Contracting Law of the PRC implemented since March 1, 2003 Law of the PRC on Urban Real Estate Administration taking effect on January 1, 1995 Guiding Opinions on Appraisal of Urban House Relocation taking effect on January 1, 2004 Law of the PRC on Urban Real Estate Administration taking effect on January 1, 1995 Decisions on Deepening the Reform and Intensifying Land Administration issued by the State Council on October 21 Circular of the State Council on Intensifying the Land Control issued by the State Council on August 31, 2006 Real Right Law of the PRC taking effect on October 1, 2007 Provisions of the PRC on the Disclosure of Government Information taking effect on May 1, 2008. Regulations on the Expropriation of Houses on State-owned Land and Compensation Therefor Land Management Implementation Measures of Hubei Province (March 22, 1999) Guiding Opinions on Perfecting the Land Acquisition Compensation and Resettlement System issued by Land Resource Bureau (November 3, 2004) Notice on Further Strengthening Land Acquisition Management, Effectively Protecting the Legal Rights and Interests of Farmers in Land Acquisition issued by the Hubei Provincial Government (February 27, 2005) Hubei Provincial Government Document: Uniform Annual Output Value Rates and Location-based Composite Land Prices for Land Acquisition of Hubei Province (No.46, 2009). Letter of the Hubei Provincial Land and Resources Department on LA Compensation Multiples, Correction Factors and Young Crop Compensation Rates for Huangshi City (No.1643, 2009) Safeguard Policy Statement (June 2019) Public Communications Policy, 2011 Accountability Mechanism Policy, 2012 According to the above laws and policies, the basic principles for resettlement are as follows: Adverse impacts should be minimized; If resettlement is unavoidable, the affected villages and residents should be consulted to fix replacement cost and compensation rates; Necessary compensation and assistance should be provided to the affected population to increase their income and living standard, or at least restore to the pre-project level; The APs should receive full information on compensation agreements, which should be developed through adequate consultation; Special attention should be paid to vulnerable groups.

5.2 LA Procedure According to the Measures for the Administration of the Examination and Submission for Approval of Construction Land (Decree [1999] No.3 of the Ministry of Land and Resources), the examination and submission for approval procedure of new construction land includes pre-examination, initiation, application, program drafting, review and submission for approval, implementation, and land registration, including:  The municipal (county) land and resources bureau or town government or sub-district office entrusted by it investigates the approved range of construction land, and freezes such land, which should not be used or developed without approval;  An LA agreement is entered into with the owner of the acquired land after review by the municipal (county) land and resources bureau;  The LA resettlement program, LA policy, handling procedure, compensation rate, LA range and land use are disclosed for public supervision. The affected village collective economic organization and its members, and other right holders are subject to compensation and resettlement, and the LA compensation should be paid timely and fully.

The land acquired for the Project will be compensated for based on its original use. The LA compensation includes land compensation, resettlement subsidy, and compensation for ground attachments and young crops, and will be distributed as resolved at a village congress.

5.3 Compensation Rates 5.3.1 Compensation Rates before the mid-term adjustment: In March 2014, the Hubei Provincial Government issued the Notice on Announcing Uniform Annual Output Value Rates and Location-based Composite Land Prices for Land Acquisition of Hubei Province, and the LA compensation rates of the Project changed accordingly. See Table 5-1.

Table 5-1 Comparison of Location-based Composite Land Prices of Hubei Province before and after the Adjustment (Unit: yuan/mu) New standard: Notice on Former standard: Letter of the Hubei Announcing Uniform Annual Provincial Land and Resources Department Output Value Rates and on LA Compensation Multiples, Correction Location-based Composite Land Area Factors and Young Crop Compensation Village Prices for Land Acquisition of Difference No. Rates for Huangshi City (2009.11.30) Hubei Province (2014.3.13)2 Land Resettlement Composite compensation, subsidy, Composite land price land price yuan/mu yuan/mu i Guihuawan 43400 15500 27900 53200 +9800 Damatou, ii 40040 14300 25740 49000 +8960 Laoxialu Fenglieshan, iii 38610 14300 24310 47250 +8640 Baitayan iv Daoshifu 37180 14300 22880 45500 +8320 v Ergang 36920 14200 22720 44980 +8060 vi Guniuzhou 35100 13000 22100 42930 +7830

5.3.1.1 Wastewater Collection and Treatment By the end of June 2017, 231.5295 mu of land had been acquired for this component, including 230.2995 mu of collective land and 1.23 mu state-owned land, and the compensation fully paid. According to the Letter of the Hubei Provincial Land and Resources Department on LA Compensation Multiples, Correction Factors and Young Crop Compensation Rates for Huangshi City (2009.11.30), the compensation rates for farmland are 35,100 yuan/mu in Guniuzhou Village, 37,180 yuan/mu in Daoshifu Village and 36,920 yuan/mu in Ergang Village. The LA compensation is 5.5377 million yuan. Houses of 53,939.67 m2 had been demolished. See Table 4-1 and Appendix 7 for the compensation rates. Due to a new HD resettlement policy in Xisaishan District in September 2013, the compensation rates are higher, property swap at 1:1 is applied, and decoration is compensated for based on appraisal. As a result, different HD resettlement policies apply to Wastewater Collection and Treatment, and some AHs that have signed agreements reject HD. In July 2014, the Xisaishan Industrial Park Management Committee issued the Disposition of the Outstanding Issue of HD for the Hexi WWTP (Appendix 6). By the end of November 2016, all APs had accepted the compensation rates in such document, and signed agreements, and the compensation had been fully paid. This document is summarized as follows: 1) For the 113 AHs subject to the old policy, structure adjusting compensation of 330 yuan/m2 for masonry concrete structure or 220 yuan/m2 for masonry timber structure will be added. 2) Additional newly built houses sizes will be swapped at 65% for masonry concrete structure, or 50% for masonry timber structure. Former newly built houses sizes have been compensated for at 240 yuan/m2. Attachments and trees were formerly appraised at varying rates, but have been demolished and cannot be reappraised. The provisions in this document will apply. 3,775,625 yuan has been paid to the 113 AHs additionally, and their total size of property swap is 25,355.29 m2.

2 The land compensation and resettlement subsidy rates are not specified in the new standard.

5.3.1.2 Inland Lake Ecological Rehabilitation and River-lake Connection This component consists of ecology rehabilitation, lake dredging and bottom sludge disposal, in which inland lake ecological rehabilitation is under construction, and river-lake connection has been cancelled due to a state policy adjustment. By the end of June 2017, 210.4 mu of land had been acquired for Inland Lake Ecological Rehabilitation and River-lake Connection, including 107.29 mu of collective land and 103.11 mu of state-owned land. 94.05 mu in Laoxialu Groups 1 and 2, and Chenbaizhen Community 13.24 mu of collective land, and 103.11 mu of state-owned land in Chenbaizhen Community in Xialu District had been acquired, and the compensation paid to the AHs, affecting 283 households with 857 persons. According to the Letter of the Hubei Provincial Land and Resources Department on LA Compensation Multiples, Correction Factors and Young Crop Compensation Rates for Huangshi City (2009.11.30), for the 94.05 mu of acquired land in Laoxialu Groups 1 and 2, the compensation is 4,330,062 yuan. The LA compensation rate for Chenbaizhen Community is the location-based composite land price for LA for Tier-2 areas of 49,000 yuan/mu based on the Uniform AAOV Rates and Location-based Composite Land Prices for Land Acquisition of Hubei Province (HPG [2014] No.12) (land compensation rate 17,500 yuan/mu, resettlement subsidy 31,500 yuan/mu), where the land compensation rate and resettlement subsidy is 648,760 yuan, the young crop compensation 660,541 yuan (398,875 yuan for formerly inundated land), and the ground attachment compensation 2,519,459 yuan, totaling 3,828,760 yuan. By the end of June 2017, houses of 9,876.46 m2 had been demolished for this component, including residential houses of 3,711.48 m2, with compensation of 21,526,067 yuan, and non-residential properties of 6,164.98 m2, with compensation of 3,427,654 yuan. The Qinggang Lake area involves the demolition of 26 houses and a waste transfer station in Tanjiaqiao, with a total size of 3,976.46 m2 and total compensation of 22,601,473 yuan. In addition, this component affects one entity (Dongfanghong Paper Packaging Factory) with 10 workers. The demolished houses are subject to cash compensation, and the compensation for Dongfanghong Paper Packaging Factory is 1,191,000 yuan (563 yuan/m2 for masonry concrete Grade 1). The compensation has been fully paid. 5.3.1.3 Sludge Treatment and Disposal The land acquired for Sludge Treatment and Disposal is within the Hexi WWTP, its affected population is included in that of Wastewater Collection and Treatment, and its LA and HD compensation rates are the same as those of the Hexi WWTP. 5.3.1.4 Solid Waste Management By the end of June 2017, 18.8053 mu of collective land had been acquired for Civil Works Contract 1, including 11.01 mu in Dalu Village for the Sike sanitation base, 4.644 mu in Dalu Village for the Sike waste transfer station, and 3.1513 mu in Shenghongqing Community for the Tiehe Road sanitation base. LA had been completed, and the compensation paid to the AHs. The Yujiashan and Tiehe Road sanitation bases involve an HD area of 3,754.44 m2. The Yujiashan sanitation parking lot in Tieshan District involves an HD area of 2,650 m2, affecting 57 households with 174 persons in the worker apartment building of Yujiashan Forest Farm in Tieshan District. The LA and HD work was completed in March 2012. HD for the Tiehe Road sanitation base in Tieshan District has been newly added. Two residential houses, and Tieshan District State-owned Asset Management Co., Ltd. at No.7 Tiehe Road with a total size of 1,104.44 m2 have been demolished. The LA compensation rate is 43,500/mu, and the LA compensation 988,162 yuan. HD for the worker apartment building of Yujiashan Forest Farm and the Tiehe Road sanitation base has been completed, and 9,623,556.07 yuan paid in HD compensation. 5.3.2 Compensation Rates after the mid-term adjustment: The LA compensation rates of the Project are based on the Uniform AAOV Rates and Location-based Composite Land Prices for Land Acquisition of Hubei Province (HPG [2014] No.12), and the Letter of the Hubei Provincial Land and Resources Department on LA Compensation Multiples, Correction Factors and Young Crop Compensation Rates for Huangshi City (HPLRD [2009] No.1643). For the project area, the location-based composite land price for LA is 49,000 yuan/mu, land compensation rate 17,500 yuan/mu, resettlement subsidy 31,500 yuan/mu, young crop compensation rate 1,750 yuan/mu for ordinary cultivated land or 2,100 yuan/mu for vegetable land, compensation rate for fishpond facilities 1,000 yuan/mu, and compensation rate for fries 1,573 yuan/mu. See Table 5-2.

The compensation rates for main houses are 4,080 yuan/m2 for masonry timber structure, 4,180 yuan/m2 for masonry concrete structure, 4,280 yuan/m2 for semi-frame structure and 4,380 yuan/m2 for frame structure. Each AH holding a certificate of the right to use collective construction land will receive extra compensation of 10,000 yuan. Auxiliary houses will be compensated for at 900 yuan/m2 for masonry concrete structure, 700 yuan/m2 for masonry timber structure and 500 yuan/m2 for simple structure. Compensation for young crops and ground attachments, and resettlement subsidy will be paid to proprietors. See Tables 5-3 and 5-4.

Table 5-2 LA Compensation Rates Baitayan, Ke’ershan, Village / community Chenbaizhen, Jianlouxia Location-based composite land price yuan/mu 49000 Land compensation yuan/mu 17500 Resettlement subsidy yuan/mu 31500 Young crop Ordinary cultivated land yuan/mu 1750 compensation Vegetable land yuan/mu 2100 Fishpond Facilities yuan/mu 1000 compensation Fries yuan/mu 1573

Table 5-3Attachment Compensation Rates Item Unit Rate (yuan) Remarks Brick column Cement with sand m³ 385 Concrete m2 95 Ground Cement m2 50 10cm thick Cement m³ 380 Enclosing wall Brick m³ 600 Cement / red tile m³ 150 At least appraised at Parterre Tile m³ 220 1m³ Cement / red tile m³ 150 At least appraised at Pool Tile m³ 220 1m³ Open / 2200 Well With handle / 2700 With motor / 3150 Dry M 40 Ditch Cement with sand M 50 0.5 deep, 0.3 wide With cover M 70 Retaining wall Masonry m³ 200 Cement M 25 Slab Prefab M 60 b=0.5 Cast-in-place m2 300 Thickness, steel bar Slope step Brick with cement coating m2 65 Brick with cement coating m³ 390 Step With tile m³ 430 Septic tank / 500 Biogas tank m³ 150 >3m Steel m2 150 Simple shed Including ground Round timber, asbestos tile m2 110 Simple m2 50 Flower stand, Support shed Brick frame m2 80 vegetable shed, etc. Steel / concrete frame m2 100 Stairways Iron M 180 Birdhouse m2 60 Round bar M 70 Handrail Stainless steel M 140 Water tank / 450 PVC M 8 Downpipe Cast iron M 15

Concrete m³ 425 Concrete Reinforced m³ 500 Gatehouse m³ 600 Round bar m2 180 iron gate With wrought iron m2 300 White iron m2 60 Canopy Prefab slab m2 100 Culvert M 150 Single opening / 600 Cooking range Double opening / 1200 Rockery m2 150-500 At most two per HH Smoke-free range / 300 Roman column / 10 Stone table With stone benches Set 500

Table 5-4 Tree Compensation Rates Item Unit Rate (yuan) Small / 10 Miscellaneous Medium / 40 trees Big / 50 Small / 40 Alley trees Medium / 100 Big / 180 Small / 50 Fruit trees Medium / 120 Big / 220

The actual compensation rates have not varied from the planned ones. 5.3.2.1 Sewer Network Construction This component involves temporary land occupation and the occupation of a small amount of state-owned land only, where 347.26 mu of state-owned road land has been occupied temporarily, and will be restored by the contractor. 25.45 mu of state-owned land has been occupied, and has been allocated without compensation. 5.3.2.2 Downstream Wetland Construction 1,590.29 mu of collective land has been acquired. In Xisaishan District, LA compensation is 53.655 million yuan, attachment compensation 4.8137 million yuan and vegetable land compensation 39,200 yuan. In Xialu District, LA compensation is 9.58645 million yuan for Chenbaizhen Community, 14.19903 million yuan for Jianlouxia Community and 4.87233 million yuan for Ke’ershan Community. The LA compensation has been paid. Residential houses of 31,964.34 m2 have be demolished for this component, affecting 100 households with 447 persons. HD affects 75 households in Xialu District, with a total HD area of 14,298.32 m2, and 25 households in Xisaishan District, with a total HD area of 17,666.02m2. The LA compensation has been paid. The demolition of non-residential properties for the Project will affect 4 enterprises and 8 pig farms, which will be subject to cash compensation and relocation. The compensation for these enterprises and farms has been paid. 5.3.2.3 Cihu Lake South Ecology Rehabilitation Phase 1 has a land area of 127.45 mu, including 87.822 of state-owned farmland in Baitayan Village, Xisaishan District. The compensation rate is 49,000 yuan/mu, and the LA compensation 4.3033 million yuan. Ground attachments, young crops and ponds on 1.84 mu of non-irrigated land, 3.39 mu of pond surface and 0.4 mu of field paths will be compensated for through appraisal. Pond excavation costs will be compensated for at 3,000 yuan/mu, which will be increased by 1,000 yuan/mu for fishponds with oxygenation equipment. In addition, 26.19 mu of land of the Wuhan Railway Bureau, and 7.81 mu state-owned highway land will not be compensated for.

5.3.2.4Qinggang Lake Ecology Rehabilitation (Phase 2) As of April 2019, Qinggang Lake Ecology Rehabilitation (Phase 2) had involved no HD and affected an abandoned workshop only, and the compensation had been paid.

5.4 Fund Disbursement 1) Before the mid-term adjustment: By the end of June 2017, among the 4 components involving resettlement, 231.5295 mu of land had been acquired for Wastewater Collection and Treatment, including 230.2995 mu of collective land and 1.23 mu of state-owned land, and the compensation of 9,131,047 yuan fully paid; houses of 53,939.67 m2 had been demolished, and the compensation of 36,834,073 yuan fully paid. 107.29 mu of collective land had been acquired for Inland Lake Ecological Rehabilitation and River-lake Connection, and the compensation of 7,759,947 yuan full paid; houses of 9,876.46 m2 had been demolished, and the compensation of 24,953,721 yuan fully paid, where all AHs had chosen cash compensation; the LA impacts and compensation of Sludge Treatment and Disposal were included in those of Wastewater Collection and Treatment. 42.8783 mu of collective land had been acquired for Solid Waste Management, and the compensation fully paid; houses of 4,379.98 m2 had been demolished, and the compensation of 11,120,436 yuan fully paid. 2) After the mid-term adjustment: As of April 2019, among the 4 components involving resettlement, Sewer Network Construction and Qinggang Lake Ecology Rehabilitation (Phase 2) involved no compensation. Downstream Wetland Construction involves LA and HD. 1,590.29 mu of collective land has been acquired, residential houses of 31,964.34 m2 demolished, affecting 100 households, and non-residential properties of 12,525.83 m2 demolished, affecting 4 enterprises and 8 pig farms. The compensation in Xialu and Xisaishan Districts under Downstream Wetland Construction has been fully paid. Cihu Lake South Ecology Rehabilitation (Phase 1) involves the compensated use of 87.822 of state-owned farmland, 1.84 mu of state-owned non-irrigated land, 3.39 mu of state-owned pond surface and 0.4 mu of state-owned field paths. As of April 2009, 87.822 mu of land in Xisaishan District had been acquired, with compensation of 4.3033 million yuan; 4 houses of 1,810.84 m2 demolished, with compensation of 5,040,231 yuan; and the compensation of young crops of 82 AHs was 1,266,499 yuan, totaling 10,610,008 yuan, in which 10,097,353 yuan had been paid. Compensation fees under the Project will be disbursed by the IA. The cut-off date for the eligibility for compensation is June 2017, which will be disclosed in the project area. Any newly claimed land, newly built house or settlement in the project area by the APs after this date will not be entitled to compensation or subsidization. Any building constructed or tree planted purely for extra compensation will not be counted in. According to the applicable regulations, all LA compensation should be paid within 3 months from the date of approval of the resettlement program, and land compensation paid before LA.

Table 5-5 Compensation and Disbursement by Component Actual Planned Before After Percent Total adjustment adjustment Collective land 1155.95 1805.16 8231.28 10036.44 868.24% State-owned land 3482.28 39.88 430.33 470.21 13.50% Young crops 29.49 / 485.29 485.29 1645.61% Residential houses 2836.79 6822.63 4751.33 11573.56 407.98% Non-residential properties 505.55 119.1 99.33 218.43 43.21% Temporary land occupation 207.29 20.68 / 20.68 9.98% Management costs 166.29 / / 166.29 100.00% Compensation for special 97.21 / / 97.21 100.00% facility restoration Surveying, design and 1247.19 / / 1247.19 100.00% research costs Training costs 83.15 / / 83.15 100.00% Land reclamation costs 33.76 / / 33.76 100.00% M&E costs 1247.19 / / 1247.61 100.00%

Contingencies 1706.61 / / 1706.61 100.00% Labor costs for fishpond 9.23 / / 9.23 100.00% excavation Farmland occupation tax 468.13 / / 468.13 100.00% LA management costs 23.12 / / 23.12 100.00% Turned-up costs 1121.95 / / 1121.95 100.00% Compensation for additional 600.47 / / 600.47 100.00% construction land Water facility conservation 45.01 / / 45.01 100.00% fund Total 18083.99 / / 29654.34 163.89%

6 HD Compensation and Resettlement 319 residential houses have been demolished for the Project. Before the mid-term adjustment in 2017, HD for Wastewater Collection and Treatment, Inland Lake Ecological Rehabilitation and River-lake Connection, and Solid Waste Management had been completed, affecting 219 households. After the mid-term adjustment, 100 households have been affected by HD, all under Downstream Wetland Construction. The demolition of non-residential properties for the Project affects 4 enterprises and 8 pig farms. 6.1 Brief Review of the RP According to the RP of 2014, Wastewater Collection and Treatment, Inland Lake Ecological Rehabilitation and River-lake Connection, and Solid Waste Management involve the demolition of rural residential houses of 48,250.65 m2, affecting 219 households with 782 persons, including 37,850.65 m2 for Wastewater Collection and Treatment (78.4%), 6,600 m2 for Inland Lake Ecological Rehabilitation and River-lake Connection (13.7%), and 3,800 m2 for Solid Waste Management (7.9%). According to the RP of the mid-term adjustment, 81 residential houses will be demolished for the Project, all for the Downstream Wetland Construction component, affecting 81 households with 363 persons, including 16 households with 86 persons in Baitayan Village, 33 households with 144 persons in Ke’ershan Community, 15 households with 65 persons in Jianlouxia Community and 17 households with 68 persons in Chenbaizhen Community, with a total demolition area of 19,575.01 m2, including 3,652.54 m2 in masonry concrete structure, 4,036.54 m2 masonry timber structure, 62.3 m2 in other structures, and non-residential properties of 644.09 m2 in masonry concrete structure, 10,909.03 m2 in masonry timber structure and 270.43 m2 in other structures.

6.2 HD Compensation and Resettlement 319 households with 1,229 persons have been affected by HD for the Project. Before the mid-term adjustment in 2017, 219 households had been affected by HD for Wastewater Collection and Treatment, Inland Lake Ecological Rehabilitation and River-lake Connection, and Solid Waste Management, involving Hekou Town, Xisaishan District, Huangshi Economic Development Zone, Huangshigang District and Tieshan District. After the mid-term adjustment, 100 households will be affected by HD, including 25 households with 118 persons in Baitayan Village, 33 households with 144 persons in Ke’ershan Community, 21 households with 78 persons in Jianlouxia Community and 21 households with 104 persons in Chenbaizhen Community, with a total demolition area of 31,964.34 m2, including 9,741.41 m2 in masonry concrete structure, 5,008.87 m2 masonry timber structure, 62.3 m2 in other structures, and non-residential properties of 1,004.56 m2 in masonry concrete structure, 14,025.71 m2 in masonry timber structure and 1,245.71 m2 in other structures. See Table 6-1.

Table 6-1 Summary of HD Impacts Residential size (m2) Non-residential size (m2) Village / Masonry Masonry Masonry Masonry No. Head of household Total community concrete timber Other concrete timber Other structure structure structure structure 1 Wang Huali 85.05 23.77 108.82 2 Li Shengliu 620.13 557.97 21.09 1199.19 3 Li Shengkai 233.87 1110.51 1344.38 4 Li Shengbin 219.11 132.17 351.28 5 Zhang Jiaxiang 193.45 62.3 255.75 6 Huang Rui 109.69 109.69 219.38 Baitayan 7 Li Shengqi 227.26 227.26 Village 8 Li Shengwang 9.94 322.67 332.61 9 Li Shengqii 18.54 18.54 10 Zhou Xiuying 118.77 118.77 11 Li Shengqiang 222.72 222.72 12 Li Yong’er 492.68 492.68 13 Li Guoqiang 51.12 62.19 113.31

14 Zhang Haiyuan 241.54 241.54 15 Zhang Jiakun 87.03 87.03 16 Li Hengshan 271.9 271.9 17 Zhang Jiajia 181.57 181.57 363.14 18 Zhang Yong 501.84 1982.65 2484.49 19 Li Laifa 118.77 118.77 20 Yan Guirong 82.13 456.22 538.35 21 Li Yin 705.31 175.29 880.6 22 Li Shengxiang 319.66 319.66 23 Li Bingtuan 493.08 493.08 24 Li Nian 138.57 138.57 25 Li Chenglong 23.77 23.77 Subtotal 2202.17 2003.51 62.3 61.06 5938.94 747.48 10965.59 1 Chen Ruyi 49.62 49.62 2 Li Jinlu 68.23 68.23 136.46 3 Yin Tiangui 119.63 28.64 148.27 4 Liu Zhenqiang 185.1 185.1 Cao Dazhen 101.38 101.38 5 Peng Yiyan 50.67 50.67 6 Li Jingzhong 44.27 34.21 78.48 7 Li JIamen 76.69 76.69 8 Chen Bo 34.88 34.88 9 Wang Fuhua 194.62 194.62 10 Yin Chuanliu 69.33 69.33 400.91 539.57 11 Peng Xixiu 132.43 77.45 209.88 12 Li Ming 58.05 58.05 13 Peng Tianyu 36.33 36.33 173.84 246.5 14 Peng Fangneng 131.89 59.57 525.02 7.57 724.05 15 Zhang Yinghua 1314.82 1314.82 16 Zhang Qiuping 168.05 168.05 Ke’ershan 17 Li Jiakun 11.52 11.09 22.61 Community 18 Pump house 28.6 28.6 Peng Yibing, Peng 19 0 Yiguang 20 Peng Qingqing 38.7 38.7 21 Peng Biao 8.42 8.42 22 Bai Shou 21.13 21.13 23 Peng Hongying 97.71 97.71 24 Zhang Guojun 146.83 146.83 25 Zhang Shengyou 66.76 66.76 26 Huang Jing 204.11 141.6 345.71 Zhang Shengcai, Zhang 27 122.71 122.71 Jiaxiong 28 Dan Junyi 74.06 74.06 29 Zhang Sizhi 166.24 166.24 46 46 424.48 30 Zhang Siqing 127.43 127.43 31 Zhang Shuiqing 275.48 37.27 312.75 32 Zhang Shuiqing 82.91 71.34 154.25 33 Feng Xixiu 104.37 42.31 6.76 133.12 286.56 Subtotal 1201.63 1529.03 0 163 3694.57 7.57 6595.8 Chenbaizhen 1 Jiang Zufa 41.53 41.53 Community 2 Jiang Youzhuan 105.1 32.69 137.79

3 Shao Zhongyong 150.66 64.95 40.63 256.24 4 Peng Yixia 211.52 211.52 5 Peng Huanhuan 41.98 41.98 51.55 135.51 6 Peng Biao 64.2 52.7 116.9 7 Peng Peng 231 231 8 Wang Wei 394.26 247.45 93.72 735.43 9 Peng Zhineng 246.13 241.36 56.69 33.08 577.26 10 Wang Sheng 436.06 56.73 150.93 643.72 11 Yu Guoxing 96.18 32.06 128.24 12 Li Baozhen 163.3 133.09 222.01 518.4 Zhan Xiaofeng, Zhan 13 108.76 108.76 282.93 500.45 Xiaoli 14 Yu Chengpeng 112.51 112.51 15 Community 6.7 6.7 16 Wang Yiqun 36.2 73.98 110.18 17 Community 126.31 44.18 170.49 Liu Zhengiqang, Cao 18 286.48 286.48 Dazhen 19 Yin Tiangui 119.63 28.64 148.27 20 Yu Guoqing 128.24 128.24 Zhan Xiaofen, Zhan 21 296.39 222.01 518.4 Xiaoling, Li Baozhen Subtotal 6337.61 930.59 0 590.66 1915.1 40.63 5715.26 1 Wang Wei 124.55 124.55 2 Hu Hongqiao 157.11 157.11 3 Wang Yueying 99.63 99.63 4 Wang Fang 140.8 140.8 5 Xiang Weiguo 124.36 124.36 6 Zhang Guoxiang 69.55 69.55 7 Wang Wei 112.65 112.65 8 Zhang Fu’an 46.06 84.62 130.68 9 Hu Hongjiao 69.71 112.54 182.25 Jianlouxia 10 Li Huan 19.73 19.73 Community 11 Li Yuanlai, Lu Lanzhi 567.04 567.04 12 Community 17.44 12.1 29.54 Li Yuanliang, Li 13 13.1 824.06 837.16 Yuandong, Li Dongzhi 14 Zhan Shixue 18.52 18.52 15 Wang Daigang 126.61 126.61 16 Peng Biao 64.2 52.7 116.9 17 Zhang Fu’an 130.68 130.68 18 Tuanchengshan (farm) 337.49 337.49 Subtotal 0 545.74 0 189.84 2477.13 450.03 3662.74 Total 9741.41 5008.87 62.3 1004.56 14025.71 1245.71 27303.39

6.3 Affected Entities The demolition of non-residential properties for the Project will affect 4 enterprises and 8 pig farms, with a total demolition area of 12,525.83 m2, including 1,065.92 m2 in composite structure (8.51%), 10,534.64 m2 in masonry timber structure (84.10%), and 925.27 m2 in steel structure (7.39%), affecting 42 workers. See Table 6-2.

Table 6-2 Summary of Demolished Non-residential Properties No. Enterprise Demolition area (m2) Work Proprietor Business status

Masonry Masonry force Steel concrete timber Total structure structure structure Baita Trading 1 Pig farm 310.33 1405.6 1715.93 0 Closed in 2013 Company Tianlong Door & Li Shengliu, Qi Founded in 2005, 2 198.36 1774.58 925.27 2898.21 25 Window Co., Ltd. Chunmei operating normally Chengxin Driving Founded in 1998, 3 82.13 82.13 3 Li Shengliu School operating normally 4 Pig farm 360.05 360.05 0 Li Shengliu Closed Lijiafang Storage & 5 1260.26 1260.26 4 Li Chunjin Sharing one place Logistics Company after closing 6 Pig farm 1606.94 1606.94 4 Li Chunjin Root Carving Zhang 7 501.84 1982.65 2484.49 6 Operating normally Factory Jiachuan 8 Pig farm 493.08 493.08 0 Li Bingtuan Closed 9 Pig farm 138.57 138.57 0 Li Jun Closed 10 Pig farm 648.68 648.68 0 Huang Rui Closed Jianlouxia 11 Tuanjieban Farm 55.39 282.1 337.49 0 Closed Community 12 Huahu Pig Farm 500 500 0 Huahu Farm Closed Total 1065.92 10534.64 925.27 12525.83 42

6.4 Compensation and Resettlement for Affected Entities The affected 4 enterprises and 8 pig farms will be subject to cash compensation or non-local reconstruction, as shown below:

Table 6-3 Resettlement Program for Demolished Non-residential Properties No. Enterprise Nature Proprietor Business status Resettlement measure Remarks Running on 2 mu of Offering cash compensation Run by Li Tianlong Li collective land rented based on market appraisal, an Shengliu Door & Shengliu, from Baita Trading equipment moving subsidy, and (partnership), 1 Private Window Qi Company, with 12 compensation for losses from founded in 2005, Co., Ltd. Chunmei workers, annual income production suspension; and profit shared at 300,000 yuan assisting in non-local restoration year end Running on 14 mu of Offering cash compensation Founded in 1998 collective land rented based on market appraisal, an Chengxin Li from Baita Trading equipment moving subsidy, and 2 Driving Private Shengliu Company compensation for losses from School production suspension; and assisting in non-local restoration Running on 4 mu of Offering cash compensation Closed Lijiafang collective land rented based on market appraisal, and Storage & 3 Private Li Chunjin from Baita Trading an equipment moving subsidy Logistics Company, annual Company income 600,000 yuan Running on 250 m2 of Offering cash compensation Private enterprise, collective land rented based on market appraisal, an not registered Root Zhang from Baita Trading equipment moving subsidy, and 4 Carving Private Jiachuan Company, with 8 workers compensation for losses from Factory production suspension; and assisting in non-local restoration Closed Offering cash compensation Closed Huahu 5 Public based on market appraisal, and Pig Farm an equipment moving subsidy Closed Offering cash compensation Closed Livestock 6 Private based on market appraisal, and farms (7) an equipment moving subsidy

Through consultation, the following resettlement measures will be taken for the 12 enterprises and farms affected by the demolition of non-residential properties in consultation with the Huangshi PMO, Baita Trading Company, Tuanchengshan Sub-district Office and affected community committees: 1) Compensation for closed enterprises Lijiafang Storage & Logistics Company, 7 livestock farms and Huahu Pig Farm that have been closed will be subject to one-time cash compensation, compensation for losses from production suspension, a transition subsidy, and a moving subsidy, where the moving subsidy is 15 yuan/m2, and compensation for losses from production suspension will be granted for any property registered as a commercial property at a rate of not more than 8.6% (5% + 0.6% × 6 months) of the appraised value at a time. 2) Compensation for normally operating enterprises Tianlong Door & Window Co., Ltd., Chengxin Driving School and Root Carving Factory that are operating normally in Xisaishan District will receive one-time cash compensation based on market appraisal, and their proprietors will be assisted in non-local reconstruction. It is learned that there are many idle workshops in nearby areas, which can be rented easily. The PMO will assist their proprietors in finding suitable workshops until they operate normally.

6.5 Evaluation All affected houses and properties have been compensated for at the specified rates, and rebuilt, with no outstanding issue.

7 Resettlement and Livelihood Restoration 7.1 Resettlement and Livelihood Restoration 7.1.1 Wastewater Collection and Treatment 7.1.1.1 Livelihood restoration 1) Before the mid-term adjustment: By the end of June 2017, HD had been completed, and the HD compensation fully paid. All AHs have chosen property swap, and the APs will be resettled centrally at the resettlement site in Hekou Town, where the main and supporting works (landscaping, roads, etc.) have been completed, and the houses were handed over at the end of 2016. This resettlement site has an area of 80,000 m2, and consists of 5 high-rise buildings and 3 multi-storied buildings. The AHs rented houses during the transition period, and received a subsidy from the government, being 3 yuan/m2 per month in Year 1, and 6 yuan/m2 per month from Year 2 to handover, paid quarterly. 2) After the mid-term adjustment: This component does not involve livelihood restoration after the adjustment. 7.1.1.2 Livelihood Restoration 1) Before the mid-term adjustment: The Hexi WWTP in this component has broken ground, offering some jobs to the APs. During construction, some men worked on the construction site, including 11 handlers, 9 carpenters, 14 bricklayers and 12 bar setters, and some women dealt with sanitation, and were paid 2,200 yuan per month. The Guniuzhou Village Committee would organize 2-3 training courses at the Hekou Town Government, with about 6 trainees per course, covering cultivation, pest control, harvesting, etc. The Hekou Town Government would assign 2-3 agricultural technicians to Ergang Village for one-day field training semiannually, covering cultivation, pest control, harvesting, etc. 2) This component does not involve livelihood restoration after the adjustment. 7.1.1.3 Social security for LEFs 1) Before the mid-term adjustment: According to the Opinions of the General Office of the Hubei Provincial Government on Doing Well in the Employment Training and Social Security of Land-expropriated Farmers (HPGO [2009] No.39), social security should be covered for LEFs with per capita cultivated area of less than 0.3 mu after LA. As of June 2017, endowment insurance for LEFs had been covered for all APs. Any insured will receive a benefit of 150 yuan/month under endowment insurance for LEFs and a benefit of 60 yuan/mu under new type rural endowment insurance when attaining 60 years for men or 55 years for women. 2) After the mid-term adjustment: This component does not involve social security for LEFs after the adjustment. 7.1.2 Inland Lake Ecological Rehabilitation and River-lake Connection 7.1.2.1 Livelihood restoration 1) Before the mid-term adjustment: By the end of June 2017, houses of 9,876.46 m2 had been demolished for this component, affecting 42 households and one entity. Among the 16 AHs in Xialu District, two have chosen property swap (1:1), and the others cash compensation. The AHs subject to property swap have been resettled at Longwanteng Community, and received a resettlement house of 120 m2 each, where any excess size is paid for at 1,929.43 yuan/m2; the AHs choosing cash compensation are subject to appraisal. The compensation for a house is: lawful size × replacement cost + appraised price of decoration + attachment compensation + other compensation. HD in Xisaishan District does not involve resettlement, where the demolished houses are appraised at replacement cost and compensated for in cash. The Qinggang Lake area involves the demolition of 26 houses, where all AHs choose cash compensation, and the compensation has been fully paid. In addition, this component affects one entity (Dongfanghong Paper Packaging Factory) with 10 workers. The demolished houses are subject to cash compensation, and the compensation for Dongfanghong Paper Packaging Factory is 1,191,000 yuan (563 yuan/m2 for masonry concrete Grade 1). The compensation has been fully paid. Dongfanghong Paper Packaging Factory had been relocated before 2013, and is operating elsewhere (see the RP). 2) After the mid-term adjustment: Almost all AHs support the Project and LA, and request cash compensation for LA. In the Mid-term Adjustment RP, different restoration programs have been developed through adequate

consultation. The slightly affected groups will be subject to cash compensation, where compensation fees will be paid fully and timely to the AHs in strict conformity with the applicable state and local policies. For the seriously affected groups, such restoration measures as free skills training, employment and social security will be taken in addition to cash compensation. The LA compensation rates of the Project are based on the Uniform AAOV Rates and Location-based Composite Land Prices for Land Acquisition of Hubei Province (HPG [2014] No.No.12). For LA in Xisaishan and Xialu Districts, location-based composite land price is 49,000 yuan/mu, and young crop compensation rate is 1,750 yuan/mu for cultivated land or 3.15 yuan/m2 for vegetable land. Land compensation will be paid to the affected communities / groups, and resettlement subsidy and young crop compensation paid to the AHs for livelihood restoration. 7.1.2.2 Livelihood Restoration 1) Before the mid-term adjustment: The LA compensation has been paid timely. The municipal and district employment bureaus would offer startup and employment training 1-3 times per month. By the end of June 2017, the Xialu District Employment Bureau had offered 13 startup training courses (lasting 12 days each), in which 11 had been closed, and 574 persons had been trained, covering startup, business, taxation, small-amount loan, subsidy application, etc. 2) After the mid-term adjustment: For the fishpond contractors (two in Xisaishan District and one in Chenbaizhen Community) affected by Downstream Wetland Construction, the PMO will compensate for affected fishery facilities, fry losses, etc. reasonably, where the compensation rate for fishery facilities is 1,000 yuan/mu and that for fries 1,573 yuan/mu. The following nonagricultural employment promotion measures will be taken for surplus labor resulting from LA, especially young labor:  Public welfare jobs The government will offer public welfare jobs, such as municipal construction, landscaping, cleaning and security, first to the APs. It is estimated that 200 public welfare jobs will be available per annum. Employees’ wages will be partly borne by the government and partly by employers. Employers will enter into contracts with them and cover insurance for them.  Social jobs With the development of the project area, numerous social jobs (about 1,500 per annum in the urban and nearby areas) will be generated for the APs.  Jobs generated by the Project The Project will generate some temporary, scattered jobs at the construction stage, and long-term, stable jobs at the operation stage. It is estimated that 1,500 jobs will be generated by the Project, with daily pays of 100-150 yuan. To meet employment demand, the labor and social security authority will collect employment information, and disclose it in the affected communities timely.  Small-amount loan for business startup In order to promote employment and business startup, a small-amount loan mechanism for business startup has been established in Hubei Province, where local governments offer lending support, tax exemption, business startup services, subsidies and other supporting measures. The APs will be entitled to such measures. The Xisaishan District Government would offer jobs to the AHs to promote their employment and livelihood restoration. 7.1.2.3 Endowment Insurance for LEFs 1) Before the mid-term adjustment: According to the Opinions of the General Office of the Hubei Provincial Government on Doing Well in the Employment Training and Social Security of Land-expropriated Farmers (HPGO [2009] No.39), social security should be covered for LEFs with per capita cultivated area of less than 0.3 mu after LA. By the end of June 2017, endowment insurance for LEFs was in progress. 2) After the mid-term adjustment: The district governments and community committees will cover endowment insurance for LEFs in a unified manner, namely 236 yuan/month from the district government and 100 yuan/month from the community, totaling 336 yuan/month.

7.1.3 Sludge Treatment and Disposal The land acquired for Sludge Treatment and Disposal is within the Hexi WWTP, and its affected population is included in that of Wastewater Collection and Treatment. 7.1.4 Solid Waste Management The worker apartment building of Yujiashan Forest Farm in Tieshan District was demolished in 2012, affecting 57 households with 174 persons (including 18 retirees), with a total HD area of 2,650 m2. All AHs have chosen cash compensation at 1,000 yuan/m2, with a transition subsidy of 360 yuan, a moving subsidy of 600 yuan, utility compensation of 2,486 yuan, toilet compensation of 600 yuan, etc. The demolished houses also include 13 stores, affecting 4 households, which have chosen property swap, and receive no transition subsidy, but have received compensation for operating losses for 36 months. The resettlement house have been allocated to the AHs. The Tiehe Road sanitation base in Tieshan District has a total HD area of 1,104.44 m2, and the compensation has been fully paid.

7.2 Women’s Development During the resettlement process, women’s rights and interests will be fully protected, and women will be allowed to play an important role in socioeconomic and resettlement activities. The measures to promote women's development under the Project include: 1) Small-amount loan for women In order to provide greater support to women’s business startup and employment, women will enjoy priority in applying for startup funds with the Huangshi Municipal Women’s Federation. 2) Women enjoy equal participation and decision-making rights in the development of resettlement programs. During the public consultation process, and at village or village group meetings at which resettlement programs are discussed, women should enjoy equal participation and decision-making rights, and not less than 30% of attendees should be women. In addition, the Resettlement Office should be represented by women. The affected women enjoy the same rights as men. Since young male laborers mostly work outside, women participate in family and public affairs at a high level.

7.3 Vulnerable Population During resettlement, the PMO, IAs and local government pay particular attention to vulnerable groups, and a supporting fund has been established for them under the resettlement budget. The Project will affect 4 vulnerable households with 6 persons, including old people living alone, MLS households and households affected by disability, mostly in Xialu District. In Huangshi City, the urban MLS rate is 620 yuan per capita per month, and the rural MLS rate 5,580 yuan per capita per annum; the support rate for urban destitute population is 1,240 yuan per capita per month, and that for rural destitute population is 11,400 yuan per capita per annum. Except that these vulnerable households will be resettled as planned, the PMO will also offer extra assistance measures to help them restore production and living conditions as soon as possible.

8 Follow-up Livelihood Survey on AHs Before the mid-term adjustment, Wastewater Collection and Treatment, Inland Lake Ecological Rehabilitation and River-lake Connection, and Solid Waste Management that involved resettlement had been completed, with 157 households affected by LA and 219 by HD. After the mid-term adjustment in 2017, 4 components involve resettlement, which are Downstream Wetland Construction, Sewer Network Construction, Cihu Lake South Ecology Rehabilitation, and Qinggang Lake Ecology Rehabilitation (Phase 2), in which Sewer Network Construction involves the occupation of state-owned land and affects no one, and Qinggang Lake Ecology Rehabilitation (Phase 2) affects an abandoned factory and affects no one, so these two components are excluded from this survey. In this round of M&E, a follow-up survey was conducted on 198 households with 734 persons in Hekou Town, Xisaishan District, Xialu District and Tieshan District, including 128 households affected by LA (sampling rate 28.89%), and 70 households affected by HD (sampling rate 21.94%), covering population, housing, annual household income and expenditure, etc. mainly.

Table 8-1 Sampling Rate of Follow-up Survey Sample information Sample information Division Village / community All HHs Sample HHs Percent (%) All HHs Sample HHs Percent (%) Daoshifu Village 2 1 50% 0 0 0 Hekou Town Ergang Village 4 1 25% 0 0 0 Guniuzhou Village 151 32 21.19% 157 41 26.11% Xisaishan District Baitayan Village 107 20 18.69% 25 4 16% Ke’ershan Community 0 0 0 33 5 15.15% Xialu District Jianlouxia Community 0 0 0 21 3 14.29% Chenbaizhen Community 195 74 37.95% 37 8 21.62% Tieshan District Yujiashan Forest Farm 0 0 0 46 9 19.57% Total 459 128 27.89% 319 70 21.94%

8.1 Hekou Town A questionnaire survey was conducted on 34 out of the 157 households affected by LA and 41 out of the 157 households affected by HD in Daoshifu, Ergang and Guniuzhou Villages, Hekou Town, covering population, housing, annual household income and expenditure, etc. mainly. The APs’ living standard is higher than the pre-LA level. The survey results are as follows: 8.1.1 Family Population The 75 sample households have 294 persons in total, including an agricultural population of 285, accounting for 96.94%; 163 females, accounting for 55.44%; 158 laborers, accounting for 53.74%, 68 female laborers, accounting for 23.13%; 72 supported / old people, accounting for 24.49%, and 64 schoolchildren, accounting for 21.77%. 8.1.2 Housing Conditions The 75 sample households have a total house size of 15,285m2 and an average house size per household of 203.8m2, including 7 in masonry timber structure and 68 in masonry concrete structure. Their houses are of medium decoration, and provided with basic home appliances and furniture. No HD is involved. See Table 8-1.

Table 8-2 Housing Statistics House structure HHs Size (m2) Average size per HH Reinforced concrete 0 0 0 Masonry concrete 68 13734.5 201.98 Masonry timber 7 1500.5 221.5 Simple 0 0 0 Total 75 15285 203.8

8.1.3 Land Contracting The 75 sample households had 147 mu of contracted land before LA, 0.5 mu per capita, and the main crops were vegetables and food crops; and 58.8 mu of contracted land before LA, 0.2 mu per capita, and the main crops were vegetables and food crops.

8.1.4 Annual Household Income and Expenditure In 2019, the per capita income of the sample households was 20,677.8 yuan, including agricultural income of 960.5 yuan, accounting for 4.65%; employment income of 9,216.4 yuan, accounting for 44.57%; wage income of 5,715.4 yuan, accounting for 27.64%; operating income of 3,865.7 yuan, accounting for 18.69%; and other income 919.8 yuan, accounting for 4.45%. In 2019, the per capita expenditure of the sample households was 11,065.7 yuan, including productive expenses of 432.4 yuan, accounting for 3.91%; nonproductive expenses of 8,146.3 yuan, accounting for 73.62%; and other expenses of 2,487 yuan, accounting for 22.47%. In 2019, the per capita net income of the sample households was 9,612.1 yuan, and per capita pure income 20,245.4 yuan. See Table 8-2, Figure 8-1 and 8-2.

Table 8-3 Income of AHs in Hekou Town Item Total (yuan) Per capita in 2019 (yuan) Percent (%) Gross household income 6058595.4 20677.8 100.00% Agricultural income 281426.5 960.5 4.65% Employment income 2700405.2 9216.4 44.57% Wage income 1674612.2 5715.4 27.64% Operating income 1132650.1 3865.7 18.69% Other income 269501.4 919.8 4.45% Gross household expenditure 3242250.1 11065.7 100.00% Productive expenses 126693.2 432.4 3.91% 1) Seed expenses 62203.9 212.3 2) Pesticide expenses 30296.2 103.4 3) Fertilizer expenses 19191.5 65.5 4) Irrigation expenses 0 0 5) Operating expenses 15001.6 51.2 Nonproductive expenses 2386865.9 8146.3 73.62% 1) Food expenses 1279150.1 4365.7 2) Clothing, traffic and housing 737422.4 2516.8 expenses 3) Entertaining expenses 370293.4 1263.8 Other expenses 728691 2487 22.47% Net income3 2816345.3 9612.1 Pure income4 5931902.2 20245.4

Figure 8-1Comparison of Income of Hekou Town in 2019 vs. Base Year

3 Net income = gross income—productive expenses—nonproductive expenses—other expenditure 4 Pure income = gross income—productive expenses

Figure 8-2Comparison of Expenditure of Hekou Town in 2019 vs. Base Year

8.2 Xisaishan District A questionnaire survey was conducted on 20 out of the 107 households affected by LA and 4 out of the 25 households affected by HD in Xisaishan District, covering population, housing, annual household income and expenditure, etc. mainly. The APs’ living standard is higher than the pre-LA level. The survey results are as follows: 8.2.1 Family Population The 24 sample households have 93 persons in total, including an agricultural population of 21, accounting for 22.58%; 46 females, accounting for 49.46%; 54 laborers, accounting for 58.06%; 23 female laborers, accounting for 24.73%; 21 supported / old people, accounting for 22.58%, and 18 schoolchildren, accounting for 19.35%. 8.2.2 Housing Conditions The 24 sample households have a total house size of 5,844 m2 and an average house size per household of 243.5m2, all in masonry concrete structure. Their houses are of medium decoration, and provided with basic home appliances and furniture. 8.2.3 Land Contracting Almost all cultivated land in the project area has been acquired, and the remaining land is mostly fishpond and water area. However, some residents grow seasonal crops on flood land in the low-flow period. 8.2.4 Annual Household Income and Expenditure In 2019, the per capita income of the sample households was 23,467.5 yuan, up 28.03% from the base year, including cultivation income of 160.5 yuan, down 23.85%, forestry income of 550 yuan, up 39.57%, operating income of 7,903.5 yuan, up 52.26%; stockbreeding income of 223 yuan, up 8.63%; employment income of 12,415.7 yuan, up 7.66%; and property income of 2,214.8 yuan, up 178.42%. In 2019, the per capita expenditure of the sample households was 10,674.9 yuan, composed mainly of productive and nonproductive expenses. In 2019, the per capita net income of the sample households was 12,792.6 yuan, up 86.67% from the base year. See Figure 8-4.

Table 8-4 Income and Expenditure of AHs in Xisaishan District Per capita in Per capita in base Item Total (yuan) Growth 2019 (yuan) year (yuan) Gross household income 2182477.5 23467.5 18329.00 28.03% Cultivation income 24226.5 160.5 210.78 -23.85% Forestry income 51150 550 394.07 39.57% Operating income 372325.5 7903.5 5190.77 52.26% Stockbreeding income 20739 223 205.28 8.63% Employment income 1154660.1 12415.7 11532.61 7.66%

Property income 559376.4 2214.8 795.48 178.42% Gross household expenditure 992765.7 10674.9 11476 -6.98% Productive expenses 39199.5 421.5 2990.65 -85.91% Nonproductive expenses 843928.5 9074.5 7171.35 26.54% Other expenses 109637.7 1178.9 1314.00 -10.28% Net income 2143278 12792.6 6853 86.67%

Figure 8-3 Comparison of Income of Xisaishan District in 2019 vs. Base Year

Figure 8-4 Comparison of Expenditure of Xisaishan District in 2019 vs. Base Year

8.3 Xialu District A questionnaire survey was conducted on 74 out of the 195 households affected by LA and 16 out of the 81 households affected by HD in Xialu District, covering population, housing, annual household income and expenditure, etc. mainly. The APs’ living standard is higher than the pre-LA level. The survey results are as follows: 8.3.1 Family Population The 90 sample households have 364 persons in total, including an agricultural population of 321; 195 females, accounting for 53.57%; 213 laborers, accounting for 58.52%; 97 female laborers, accounting for 26.65%; 74 supported / old people, accounting for 20.33%, and 77 schoolchildren, accounting for 21.15%. No minority resident is involved. 8.3.2 Housing Conditions The 90 sample households have a total house size of 14,683.5m2 and an average house size per household of 163.15m2, all in masonry concrete structure. Their houses are of medium decoration, and provided with basic home appliances and furniture. 8.3.3 Land Contracting Almost all cultivated land in the project area has been acquired, and the remaining land is mostly fishpond and water area. However, some residents grow seasonal crops on flood land in the low-flow period. 8.3.4 Annual Household Income and Expenditure In 2019, the per capita income of the sample households was 26,134.6 yuan, up 14.72% from

the base year, including cultivation income of 174.8 yuan, down 38.62%, forestry income of 208.7 yuan, down 20.34%, operating income of 8,324.5 yuan, up 35.38%; stockbreeding income of 209.7 yuan, down 30.27%; employment income of 15,555.8 yuan, up 8.81%; and property income of 1,661.1 yuan, up 11.49%. In 2019, the per capita expenditure of the sample households was 15,819.9 yuan, composed mainly of productive and nonproductive expenses. In 2019, the per capita net income of the sample households was 10,314.7 yuan, up 21.09% from the base year. See Figure 8-5.

Table 8-5 Income and Expenditure of AHs in Xialu District Per capita in Per capita in base Item Total (yuan) Growth 2019 (yuan) year (yuan) Gross household income 9512994.4 26134.6 22782 14.72% Cultivation income 63627.2 174.8 284.78 -38.62% Forestry income 75966.8 208.7 261.99 -20.34% Operating income 3030118 8324.5 6148.86 35.38% Stockbreeding income 76330.8 209.7 300.72 -30.27% Employment income 5662311.2 15555.8 14295.71 8.81% Property income 604640.4 1661.1 1489.94 11.49% Gross household expenditure 5758443.6 15819.9 14264 10.91% Productive expenses 1873799.2 5147.8 4002.48 28.62% Nonproductive expenses 3311854 9098.5 8919.28 2.01% Other expenses 572790.4 1573.6 1342.24 17.24% Net income 3754550.8 10314.7 8518 21.09%

Figure 8-5 Comparison of Income of Xialu District in 2019 vs. Base Year

Figure 8-6 Comparison of Expenditure of Xialu District in 2019 vs. Base Year

8.4 Tieshan District A follow-up questionnaire survey was conducted on 9 out of the 46 households affected by HD, covering population, housing, annual household income and expenditure, etc. mainly. The survey results are as follows: 8.4.1 Family Population The 9 sample households have 38 persons in total, including an agricultural population of 23; 16 females, accounting for 42%; 20 laborers, accounting for 52.63%; 5 supported / old people, accounting for 13.16%; and 13 schoolchildren, accounting for 34.21%. No minority resident is involved. 8.4.2 Housing Conditions The 9 sample households have a total house size of 1,382.4m2 and an average house size per household of 153.6m2, all in masonry concrete structure. Their houses are of medium decoration, and provided with basic home appliances and furniture. No HD is involved. 8.4.3 Land Contracting Almost all cultivated land in the project area has been acquired, and the remaining land is mostly fishpond and water area. However, some residents grow seasonal crops on flood land in the low-flow period. 8.4.4 Annual Household Income and Expenditure In 2019, the per capita income of the sample households was 21,748.9 yuan, including cultivation income of 384.2 yuan, forestry income of 549.8 yuan, operating income of 6,341.5 yuan, stockbreeding income of 218.6 yuan, employment income of 13,614.9 yuan, and property income of 639.9 yuan. In 2019, the per capita expenditure of the sample households was 10,874.6 yuan, composed mainly of productive and nonproductive expenses. In 2019, the per capita net income of the sample households was 10,874.3 yuan. See Figure 8-6.

Table 8-6 Income and Expenditure of AHs in Tieshan District Item Total (yuan) Per capita in 2019 (yuan) Gross household income 7916599.6 21748.9 Cultivation income 139848.8 384.2 Forestry income 200127.2 549.8 Operating income 2308306 6341.5 Stockbreeding income 79570.4 218.6 Employment income 4955823.6 13614.9 Property income 232923.6 639.9 Gross household expenditure 3958354.4 10874.6 Productive expenses 1450722 3985.5 Nonproductive expenses 2263861.6 6219.4 Other expenses 243770.8 669.7 Net income 3958245.2 10874.3

Figure 8-7 Pie Chart of Per Capita Income of Tieshan District in 2019

Figure 8-8 Pie Chart of Per Capita Expenditure of Tieshan District in 2019

9 Public Participation, Information Disclosure and Grievance Redress 9.1 Public Participation At the resettlement planning stage, great importance was paid to public participation and consultation to solicit comments from social organizations, government departments and APs. All stakeholders are encouraged to participate in resettlement and restoration. During the feasibility study, the design agency collected comments extensively on site selection, construction program, access road, resettlement modes, etc. At the implementation stage, the IAs held FGDs with heads of local governments and village committees regularly, and also supervised project progress. At the preparation stage, the Huangshi PMO, Huangshi Urban Construction Investment Company, IAs, township governments and the RP preparation agency conducted various public participation activities, such as community mobilization and publicity, social survey and planning, promoting local residents’ understanding of the Project, compensation and resettlement policies. Based on interviews, the APs are satisfied in this respect. In addition, the Huangshi PMO conducted extensive public participation and consultation in various ways during implementation, including information disclosure, FGD and RIB distribution. The LA and HD agencies also respected local customs well, and conducted effective consultation. In June 2018, the Huangshi PMO organized relevant staff to discuss LA work with officials and representatives of the affected villages, as shown below:

Figure 9-1 LA Discussion Meeting

9.2 Information Disclosure All APs (with 50% being women) have been informed of the key points of this RP by various means and involved in the Project, such as meeting, interview, FGD, public participation meeting and community consultation, and their opinions have been well incorporated into this RP. The RP will be published on ADB’s website after approval by ADB, and the Resettlement Information Booklet (RIB) will be distributed to the APs or groups along.

Figure 9- 1 Environmental Protection Bulletin Board during Construction of Downstream Wetland Construction (Contract 3)

Figure 9- 2 Announcement of the Compensation Program for Cihu Lake South Ecology Rehabilitation

9.3 Handling of Outstanding Issues There is no outstanding issue.

9.4 Grievance Redress Since public participation is encouraged during the preparation and implementation of the RP, no substantial dispute will arise. However, unforeseeable circumstances may arise during this process. In order to address issues effectively, and ensure the successful implementation of project construction and land acquisition, a transparent and effective grievance redress mechanism has been established. The basic grievance redress system is as follows: 1. Grievance redress procedure Stage 1: If any right of an AP is infringed on in respect of LA or resettlement, he/she may report to the community committee to solve the appeal within two weeks. Stage 2: If the grievant is dissatisfied with the reply of Stage 1, he/she may file an appeal with the sub-district office after receiving the above disposition, which shall make a disposition within two weeks. Stage 3: If the grievant is dissatisfied with the reply of Stage 2, he/she may file an appeal with the Huangshi PMO after receiving the above disposition, which shall make a disposition within two weeks. Stage 4: If the grievant is still dissatisfied with the disposition of Stage 3, he/she may file an appeal with the competent authorities level by level for arbitration in accordance with the Administrative Procedure Law of the PRC after receiving the above disposition.

At any stage, an AP may bring a suit in a civil court directly if he/she is dissatisfied with the grievance redress procedure or disposition. If any AP may also file an appeal with the Office of the Special Facilitator or Compliance Review Panel of ADB in accordance with ADB’s accountability mechanism. All agencies will accept grievances and appeals from the APs for free, and costs so reasonably incurred will be disbursed from the contingencies. At the whole construction stage, the above procedure will remain effective so that the APs can use it to solve relevant issues. The above appeal channel will be disclosed to the APs via the RIB and mass media. The Huangshi PMO has prepared a registration form for this purpose. See Tables 9-1 and 9-2, and Figure 9-1.

Table 9-1 Registration Form of Grievances and Appeals Accepting agency: Time: Location: Proposed Actual Appellant Appeal Expected solution solution handling

Recorder Appellant (signature) (signature) Notes: 1. The recorder should record the appeal and request of the appellant factually. 2. The appeal process should not be interfered with or hindered whatsoever. 3. The proposed solution should be notified to the appellant within the specified time.

Table 9-2 Contact Information for Grievances and Appeals Agency Name Address Tel PMO Shan Chao Guangzhou Road, Huangshi 18986601180 HUCIC Liu Chunchun No.28 Cihu East Road, Huangshi 0714-6261736 Huangshi Municipal Urban Meng Kai No.700 Huangshi Avenue 0714-6225898 Administration Bureau Xisaishan District Environmental No.533 Yiyang Road, Xisaishan Wu MInsheng 0714-6210393 Sanitation Bureau District Xialu District Environmental Wang Qiong No.4 Shenniu Road, Xialu District 0714-5317293 Sanitation Bureau Tieshan District Environmental No.19 Shenghongqing Road, Fan Jie 0714-5421368 Sanitation Bureau Tieshan District Urban construction and No.189 Jinshan Avenue, maintenance company of Liu Zijin 0714-6357619 development zone development zone Room 105, No.23 Hangzhou East Huangshi PMO Xiong Yongqin 15971541799 Road, Huangshigang District 100m south of the junction of Tuanshan Sub-district Office Cheng Zhiwu Hangzhou West Road and Dafan 0714-3184514 Road, Xialu District

2. Principles for grievance redress All resettlement agencies must conduct field investigation on grievances raised by APs, and address them through adequate consultation objectively and fairly in accordance with the principles herein. During resettlement, women may have their special grievances, so each resettlement agency will have at least one female member to handle women’s grievances. 3. Scope and modes of reply to grievances 1) Scope of reply to grievances a) Brief description of grievance; b) Investigation results; c) Applicable state provisions, and the principles and rates specified in this RP; d) Disposition and basis 2) Modes of reply

a) For any individual grievance, the reply will be delivered directly to the grievant in writing. b) For any common grievance, a village meeting will be held or a notice given to the village committee. c) In whichever mode of reply, the reply materials must be sent to the grievant and submitted to the competent resettlement agency. 3) Recording and feedback of grievances and appeals During the implementation of the RP, the resettlement agencies should register and manage appeal and handling information, and submit such information to the Huangshi PMO in writing on a monthly basis, which will inspect the registration of appeal and handling information regularly. In addition, grievance redress will be monitored by the internal and external M&E agencies. For the inconsistent HD compensation rates, the Xisaishan Industrial Park Management Committee issued the Disposition of the Outstanding Issue of HD for the Hexi WWTP, held an FGD, and posted an announcement in the village.

10 Conclusions, Inspirations and Suggestions 10.1 Conclusions 1) The LA and HD work of the Project has been completed. The LA areas of some components have varied. The temporarily occupied land area has increased due to practical needs. For the components before the mid-term adjustment, the actual impacts vary greatly from the planned impacts. 289.47 mu of collective land and 1.23 mu of state-owned land will be acquired for Wastewater Collection and Treatment, but 287.36 mu of collective land and 1.23 mu state-owned land has been actually acquired; 15.98 mu of collective land will be acquired for Inland Lake Ecological Rehabilitation and River-lake Connection, affecting 37 households with 132 persons, 287.73 mu of state-owned land occupied permanently, and 949.06 mu of land occupied temporarily, including 850.33 mu of state-owned land and 98.73 mu of collective land; 103.11 mu of state-owned land and 306.54 mu of collective land has been acquired for this component, affecting 283 households with 857 persons, and no temporary land occupation is involved; 4.76 mu of collective land will be acquired for Solid Waste Management, and 81.59 mu of state-owned land occupied permanently; 18.983 mu of state-owned land and 42.8783 mu of collective land has been acquired. Among the components after the mid-term adjustment, Sewer Network Construction will involve the temporary occupation of 347.26 mu of state-owned road, but 0.22 mu of state-owned land is actually occupied, and is allocated without compensation, and the temporarily occupied state-owned roads of 347.26 mu have been restored; 1,590.29 mu of collective land will be acquired for Downstream Wetland Construction, and 1,590.29 mu of collective land has been acquired; 87.822 mu of state-owned land will be occupied permanently Cihu Lake South Ecology Rehabilitation, and 87.822 mu of collective land has been acquired; 25.23 mu of state-owned land will be occupied for Qinggang Lake Ecology Rehabilitation (Phase 2), and 25.23 mu of state-owned land has been acquired, involving neither LA nor HD. 2) Although the project has a long implementation period, ADB’s resettlement policy and the RP have been well complied with, and all compensation rates are supported by laws and policies. Compensation has been paid timely and fully, houses and infrastructure rebuilt, the living environment improved greatly, and the APs resettled properly. Before the mid-term adjustment, 231.5295 mu of land had been acquired for Wastewater Collection and Treatment, including 230.2995 mu of collective land and 1.23 mu of state-owned land, and the compensation of 9,131,047 yuan fully paid; houses of 53,939.67 m2 had been demolished, and the compensation of 36,834,073 yuan fully paid. 107.29 mu of collective land had been acquired for Inland Lake Ecological Rehabilitation and River-lake Connection, and the compensation of 7,759,947 yuan full paid; houses of 9,876.46 m2 had been demolished, and the compensation of 24,953,721 yuan fully paid, where all AHs had chosen cash compensation; the LA impacts and compensation of Sludge Treatment and Disposal were included in those of Wastewater Collection and Treatment. 42.8783 mu of collective land had been acquired for Solid Waste Management, and the compensation fully paid; houses of 4,379.98 m2 had been demolished, and the compensation of 11,120,436 yuan fully paid. After the mid-term adjustment, among the 4 components involving resettlement, Sewer Network Construction and Qinggang Lake Ecology Rehabilitation (Phase 2) involve no compensation; 1,590.29 mu of collective land has been acquired for Downstream Wetland Construction; in Xisaishan District, 1,095 mu of land has been acquired, with LA compensation of 53.655 million yuan, attachment compensation of 4.8137 million yuan and vegetable land compensation of 39,200 yuan; LA has been completed, and the LA compensation paid in Xisaishan District; 495.29 mu of collective land in Xialu District has been acquired, with LA compensation of 24.2692 million yuan; Cihu Lake South Ecology Rehabilitation (Phase 1) involves the compensated use of 87.822 of state-owned farmland, 1.84 mu of state-owned non-irrigated land, 3.39 mu of state-owned pond surface and 0.4 mu of state-owned field paths. As of April 2009, 87.822 mu of land in Xisaishan District had been acquired, with compensation of 4,303,278 million yuan; 4 houses of 1,810.84 m2 demolished, with compensation of 5,040,231 yuan; and the compensation of young crops of 82 AHs was 1,266,499 yuan, totaling 10,610,008 yuan. 3) The livelihood and income level of the APs has been restored effectively. In 2019, the per capita net income of the sample households in Hekou Town was 9,612.1 yuan, and per capita pure income 20,245.4 yuan, higher than the base year; in 2019, the per capita net income of the sample households in Xisaishan District was 12,792.6 yuan, up 86.67% from the base year; in 2019, the per capita net income of the sample households in Xialu District was 10,314.7 yuan, up 21.09% from the base year; in 2019, the per capita net income of the sample households in Tieshan District was

10,874.3 yuan, higher than the base year. 4) 319 households and 12 enterprises are affected by HD. They have received compensation fully and timely, been resettled or rebuilt, and are living or operating normally. 5) The IAs disclosed information timely and adequately in compliance with the applicable laws and regulations, and paid attention to public participation at all stages. During LA and HD, the contractors respected the local customs. In addition, a grievance redress mechanism has been established and operates effectively. 6) The M&E mechanism operates smoothly and effectively. NRCR has been tracking the resettlement work of the Project as the external M&E agency, and submitted nearly 10 M&E reports. Some issues arising from implementation have been solved timely and properly. The resettlement work is successful overall.

10.2 Inspirations and Suggestions Since the resettlement work of the Project has been completed, and the APs’ production and livelihoods have been restored, it is advised to complete M&E. 10.2.1 Experience 1) The importance paid by local governments and leaders is an important guarantee of successful resettlement. Resettlement is an important prerequisite to the successful implementation of the Project. Resettlement experts were assigned to direct the preparation and review of the RP at the initiation stage, and county and district leaders often visited relevant sites for direction and problem solving. 2) The sound organizational structure is the solid foundation of successful resettlement. At the beginning, the IAs coordinated resettlement work with agencies concerned at the municipal level, a project leading group and a PMO were established, and resettlement teams were also established in the townships concerned, forming a sound organizational structure. In addition, sound resettlement management systems were established for project management, planning, fund disbursement, coordination, and supervision, realizing effective and efficient implementation. After years of operation, these agencies are operating smoothly. 3) Paying attention to public participation and consultation, and handling appeals and grievances timely is a perquisite to successful resettlement. During RP preparation, the owner, IAs and preparation agency collected public comments by various means, and disclosed the resettlement policies extensively. During project implementation, the APs were involved in FGDs, field visits, etc. An effective grievance redress mechanism has been established, so that appeals and grievances can be handled timely and effectively. 4) Adequate investment and timely disbursement is the economic foundation of successful resettlement. All resettlement funds are from counterpart funds, and the availability of funds ensures smooth LA and HD, promotes the planning and construction of the resettlement sites, and plays an essential role in realizing the goal of proper resettlement. 10.2.2 Suggestions for Subsequent Work The Project is successful, but has some practical issues and areas for improvement: 1) Pay attention to sustainable livelihood restoration in step with local economic and social development. The livelihood restoration and sustainable development of the APs is a long-term task. The local governments should offer policy and financial support based on the current situation of local economic and social development, including employment training. 2) Attention should still be paid to information disclosure and public participation in subsequent project implementation. In subsequent project implementation, the IAs should still disclose relevant information timely and effectively to the APs, and protect the local customs, thereby finally harmonizing the Project with local residents.

Appendixes Appendix 1: Fieldwork Photos (Part)

WWTP

Upstream wetland

Appendix 2: Letter of Commitment on HD for Downstream Wetland Construction

Appendix 3: Disclosure of LA and HD Compensation for Cihu Lake

Appendix 4: Young Crop and Attachment Compensation Agreements (Part)

Young crop and attachment compensation agreement of Lijiafang Village, Xisaishan District

Summary of young crop and attachment compensation for Cihu Lake South Ecology Rehabilitation (part)

Appendix 5: LA Compensation Agreements (Part)

LA compensation agreement of Jianlouxia Community

Appendix 6: HD Compensation Agreements (Part)

HD compensation agreement of Chenbaizhen Community

HD compensation agreement of Jianlouxia Community

Appendix 7: Letter of Acceptance for Cihu Lake South Ecology Rehabilitation

Appendix 8: HD Contract for Cihu Lake Wetland Park

Appendix 9: HD Compensation and Resettlement Program for Cihu Lake South Ecology Rehabilitation

Appendix 10: HD Payment Vouchers in Xialu District

Appendix 11 Letter on HD Compensation for Cihu Lake South Ecology Rehabilitation

Appendix 12 Compensation Budget and Payment Voucher of Cihu Lake South Ecology Rehabilitation

LA and HD budget for Cihu Lake South Ecology Rehabilitation

Compensation payment voucher of Cihu Lake South Ecology Rehabilitation

Appendix 13 Summary of LA and HD Impacts

LA and HD impacts in Xisaishan District (left) LA and HD impacts of Downstream Wetland Construction

Appendix 14: Appeal Reception Office

Appendix 15: Tender Documents for Cihu Lake Wetland Park

Appendix 16: Note on LA and HD Funds for Downstream Wetland Construction in Xialu District

Appendix 17: Letter of the Xisaishan District on Clarifying Compensation Rates for Fries and Ponds in Downstream Wetland Construction

Appendix 18 Letter of Xisaishan District on Using HD Compensation Rationally

Appendix 19: Resettlement Community

Appendix 20: Details of HD Compensation for the Wetland Park Plot in Xialu District (Part)

Appendix 21: Delimitation Map of Cihu Lake South Ecology Rehabilitation

ADB-financed Hubei Huangshi Urban Pollution Control and Environmental Management Project

Labor Resettlement Monitoring Report

National Research Center for Resettlement, Hohai University, Nanjing, Jiangsu, China June 2020

Project leader : Chen Shaojun, Dong Ming

M&E staff : Chen Shaojun, Dong Ming

Prepared by : Chen Shaojun, Dong Ming

National Research Center for Resettlement, Hohai University M&E agency : (NRCR)

Address : NRCR, Nanjing, Jiangsu

Postcode : 210098

Tel : 025-83786503

Fax : 025-83718914

[email protected] Email : [email protected]

Contents 1. Project Overview ...... 1 2. Wishes and Resettlement Program ...... 1 2.1 Wishes for Resettlement ...... 1 2.1.1 Job transfer within the environmental sanitation system ...... 1 2.1.2 Employment in other industries ...... 1 2.1.3 Retirement for age and personal reasons ...... 1 2.2 Resettlement Program ...... 1 2.2.1 Job transfer within the environmental sanitation system ...... 1 2.2.2 Employment in other industries ...... 1 2.2.3 Retirement ...... 1 3. Resettlement Results ...... 2 3.1 Resettlement Results ...... 2 3.1.1 Transfer to other jobs ...... 2 3.1.2 Continuing to do current jobs ...... 2 3.1.3 Retirement ...... 2 3.2 Grievance Redress ...... 2 4. Conclusions and Experience ...... 6 4.1 Conclusions ...... 6 4.1.1 Optimum resettlement is realized based on wishes and practical conditions...... 6 4.1.2 Special attention is paid to women...... 6 4.2 Experience ...... 6 4.2.1 Information filing should be strengthened...... 6 4.2.2 Improving the public participation and information disclosure mechanisms helps evade grievances and appeals...... 6

1. Project Overview The Hubei Huangshi Urban Pollution Control and Environmental Management Project (hereinafter, the “Project”) consists of 5 components – Wastewater Collection and Treatment; Inland Lake Ecological Rehabilitation and Hydraulic Circulation Restoration (River-lake Connection and Lakeshore Rehabilitation); Sludge Treatment and Disposal; Solid Waste Management (urban solid waste collection and transport)); and Capacity Building and Support for Project Implementation. The Solid Waste Management component mainly includes the construction and reconstruction of domestic waste transfer stations, the procurement of sanitation vehicles and equipment, and the setup of public sanitation facilities, including sanitation vehicle parks, workplaces, slag disposal sites and worker resting sites. Since the procurement of sanitation vehicles and equipment may render existing sanitation workers unemployed, a labor resettlement plan has been prepared for this component in accordance with ADB’s policy to evade the unemployment risk for sanitation workers. According to the Feasibility Study Report for the Solid Waste Collection and Transfer System Project of the Huangshi “three-lake” area, the procurement of sanitation vehicles and equipment includes waste collection and transfer vehicles, and road cleaning vehicles, in which the procurement of waste collection and transfer vehicles will reduce the labor intensity of sanitation workers, but may also affect the employment of some workers, and expose them to the risk of unemployment or reemployment. According to the survey, a total of 118 sanitation workers handling handcarts may be affected, including 36 females. They are mostly 50-60 years, with the highest age being 75 years, have mostly received junior or senior high school education, , and mostly have a family population of 4. All the affected workers are Han people, and 8 of their families are covered by minimum living security. Their monthly wages and benefits are within the range of 900-1,500 yuan. All the affected workers have covered the 5 types of insurance stipulated by the state, namely basic endowment insurance, medical insurance, unemployment insurance, maternity and work-related injury insurance. The families covered by minimum living security receive a benefit of 330 yuan per capita monthly.

2. Wishes and Resettlement Program 2.1 Wishes for Resettlement 2.1.1 Job transfer within the environmental sanitation system 110 potentially affected workers can hardly find suitable jobs in other industries, or can hardly compete with young people due to old age (above 40), and the lack of necessary communication and labor skills. They mostly wish to continue with their current jobs, and are willing to work on other roads or serve as assistants to drivers of new waste collection and transfer vehicles. Some of them are willing to learn driving skills, and become drivers of new waste collection and transfer vehicles in the future. 2.1.2 Employment in other industries 5 affected workers (aged below 40 years) can also accept new jobs in other industries if possible, because there are many job opportunities in Huangshi City. 2.1.3 Retirement for age and personal reasons 3 affected workers (aged 70 years or above)

2.2 Resettlement Program 2.2.1 Job transfer within the environmental sanitation system The 110 sanitation workers who are still willing to work within the environmental sanitation system will be transferred to other jobs within the system. After project completion, the city’s demand for sanitation workers will be 2,000, while the current workforce is only 1,600, so there is a sufficient capacity for such arrangement. In addition, 109 drivers and 109 assistants will be needed for the new vehicles. Young workers will have priority in doing such jobs through the free driving training provided by the local labor and social security bureau. 2.2.2 Employment in other industries Free labor skills training and employment information will be provided to the affected sanitation workers who are willing to find jobs in other industries. 2.2.3 Retirement For the 3 retired affected workers (aged 70 years or above), their retirement benefits will be ensured.

3. Resettlement Results 3.1 Resettlement Results 3.1.1 Transfer to other jobs The survey shows that among the 118 affected workers, 5 have been transferred to other jobs. They are aged 30-51 years, with annual income of 8,400-19,200 yuan. 3.1.2 Continuing to do current jobs The survey shows that among the 118 affected workers, 55 (15 women) have continued to do current jobs, including waste collectors and cleaners. They are aged 32-69 years, with annual income of 5,000-35,000 yuan. 3.1.3 Retirement The survey shows that among the 118 affected workers, 58 (21 women) have retired. They are aged 51-75 years, with annual income of 3,600-31,200 yuan.

3.2 Changes in wage levels before and after placement The annual gross personal income of 58 sanitation workers who were placed in retirement was the retirement wage, while the wage level of 60 sanitation workers who chose to continue to work in cleaning and other occupations was significantly higher than before. See table 1. Table 1 Comparison of wages of 118 sanitation workers before and after placement

Income level (yuan) Serial Name Placement Time number Pre-project Post-project (2017)

1 Feng Jin-de 14160 Retirement wage Retirement 2015.08 Wong Continue 2015.12 1 9000 12200 Chaoshui sanitation work 2 Ms. Wang 6480 Retirement wage Retirement 2015.08 Yang Continue 2015.12 2 9600 11500 Changming sanitation work 3 Yuan Renqi 9680 Retirement wage Retirement 2015.08 Zhang Retirement wage 2015.08 4 5480 Retirement Kaiguang 5 Qiu Yu-yi 6400 Retirement wage Retirement 2015.08 Wang Retirement wage 2015.08 6 6500 Retirement Qiuying What about Retirement wage 2015.08 7 6200 Retirement beauty 8 Wang Jingui 18000 Retirement wage Retirement 2015.08 9 Sun Meihua 8400 Retirement wage Retirement 2015.08 10 Tu De Ping 12000 Retirement wage Retirement 2015.08 Wang Retirement wage 2015.08 11 12000 Retirement Liangdi Zheng Retirement wage 2015.08 12 15000 Retirement Hongxing 13 Duan Yuying 9900 Retirement wage Retirement 2015.08 Chen Retirement wage 2015.08 14 9000 Retirement Chunhua 15 Liu Weiming 11400 Retirement wage Retirement 2015.08 16 To the stars 7000 Retirement wage Retirement 2015.08 Zhang Retirement wage 2015.08 18 14000 Retirement Yunxia 19 May 10800 Retirement wage Retreat 2015.08 Wei Yang Retirement wage 2015.08 21 8400 Retirement Hua Continue 2015.12 22 Ming Ping Hi 7800 9800 sanitation work

2 Continue 2015.12 22 Liu Yue 6480 7480 sanitation work Liao Continue 2015.12 22 13200 15000 Weigang sanitation work Tang Other 2015.12 22 19200 21000 Daoguo occupations Other 2015.12 22 Tu Si Qing 13200 15500 occupations Wang Retirement wage 2015.08 23 6960 Retirement Shanben 25 Chapter 8 6600 Retirement wage Retirement 2015.08 Hua Cheng Retirement wage 2015.08 26 6600 Retirement Bao 27 Mei Ying 5000 Retirement wage Retirement 2015.08 28 Fetson 16800 Retirement wage Retirement 2015.08 Chen Retirement wage 2015.08 29 12000 Retirement Yuanyu 30 Pizooh 31200 Retirement wage Retirement 2015.08 Zhang Retirement wage 2015.08 32 3600 Retirement Longcai 33 Wu Fengyu 21600 Retirement wage Retirement 2015.08 Cao Retirement wage 2015.08 35 13200 Retirement Mao-sheng 36 Tu Yue Ming 13200 Retirement wage Retirement 2015.08 Continue 2015.12 38 Hu Jia Chan 21600 23000 sanitation work Continue 2015.12 39 Gong Yuqing 8400 11000 sanitation work Other 2015.12 40 Gong Heng 8400 11000 occupations Wang Continue 2015.12 41 11400 12500 Xiaogong sanitation work Continue 2015.12 42 Tang Lajun 11400 12500 sanitation work Happy Retirement wage 2015.08 43 21600 Retirement Spring 44 Zhang Liying 13320 Retirement wage Retirement 2015.08 Deng Hua Continue 2015.12 45 4080 7000 Lin sanitation work Continue 2015.12 46 Deng Hua 25080 27000 sanitation work 47 Yu Guohua 13320 Retirement wage Retirement 2015.08 Continue 2015.12 48 Rao Yue 6000 9000 sanitation work Continue 2015.12 49 Hu Caiying 13800 15000 sanitation work Zhou Li is Continue 2015.12 50 7800 9800 here sanitation work Continue 2015.12 51 Lok Po Lam 19920 22000 sanitation work Hong Continue 2015.12 52 12720 15000 Jianguo sanitation work Shen Continue 2015.12 53 7080 9000 Quanzhong sanitation work Yang 2015.08 54 10920 Retirement wage Retirement Yuxiang Continue 2015.12 55 Zhou Liping 19920 22000 sanitation work Other 2015.12 56 Yu Gui Yuan 12480 15000 occupations Continue 2015.12 57 Li Almighty 14520 16000 sanitation work

3 Shao 2015.08 58 12720 Retirement wage Retirement Lianglin Zhang Continue 2015.12 59 13920 15500 Chengsong sanitation work Yang Continue 2015.12 60 21960 23060 Yu-liang sanitation work Cheng Continue 2015.12 61 6600 9500 Shi-yan sanitation work Continue 2015.12 62 Liu Bai Ting 12720 14500 sanitation work Continue 2015.12 63 Wei National 6360 9000 sanitation work Zhang Retirement wage 2015.08 64 12240 Retirement Guiyuan 65 Wang Da Jin 12000 Retirement wage Retirement 2015.08 Zhao Continue 2015.12 66 8000 11000 Yingchun sanitation work Continue 2015.12 67 Xie Xianrong 18000 19600 sanitation work Huang Continue 2015.12 68 10000 12500 Wenzhao sanitation work Deng Continue 2015.12 69 18000 21500 Liangcai sanitation work Continue 2015.12 70 Dong Qiuyan 20400 24000 sanitation work Continue 2015.12 71 Zhu Bin 9000 11000 sanitation work 72 Painting 7000 Retirement wage Retirement 2015.08 73 Wang Yuqi 10800 Retirement wage Retirement 2015.08 Zhao Continue 2015.12 74 6000 8500 Shuiying sanitation work 75 Tuyu Fung 8000 Retirement wage Retirement 2015.08 Ancient La Continue 2015.12 76 7000 9500 Rong sanitation work Yang Continue 2015.12 77 12500 15000 Ze-sheng sanitation work Miu Continue 2015.12 78 30000 31000 Zhongyuan sanitation work Summer Continue 2015.12 79 18000 19500 again sanitation work Xiang 2015.08 80 20000 Retirement wage Retirement Shoupeng To keep your Continue 2015.12 81 25000 26000 money sanitation work King Leung Continue 2015.12 82 5000 7500 Yuan sanitation work 83 Gao Yu-shu 10200 Retirement wage Retirement 2015.08 Continue 2015.12 84 Miss Wu 7200 9000 sanitation work Continue 2015.12 85 Fu Yi 6000 8000 sanitation work 86 Zhou Yiheng 10000 Retirement wage Retirement 2015.08 Other 2015.12 87 Wu Lijun 15600 18000 occupations Zhang Retirement wage 2015.08 88 9000 Retirement Yueming 89 Treasurer 9000 Retirement wage Retirement 2015.08 Wang Retirement wage 2015.08 90 10800 Retirement Xiande Continue 2015.12 91 Wu Shunlian 8400 11500 sanitation work 92 Early silver 7200 Retirement wage Retirement 2015.08

4 Continue 2015.12 93 Heavy rain 10800 12000 sanitation work Continue 2015.12 94 Xie Junrong 9000 11000 sanitation work Golden 2015.08 95 10800 Retirement wage Retirement China Yuan Continue 2015.12 96 8400 12000 Guoqiang sanitation work Wei 2015.08 97 10200 Retirement wage Retirement Caiwang Continue 2015.12 98 Li Jianxiong 10800 12000 sanitation work Zhang Continue 2015.12 99 9000 11500 Guirong sanitation work 100 Liu Youhong 9600 Retirement wage Retirement 2015.08 Rao Continue 2015.12 101 10800 12000 Chunmei sanitation work Continue 2015.12 102 Shize Man 9600 12000 sanitation work 103 Liu Chunyan 8400 Retirement wage Retirement 2015.08 Wang Continue 2015.12 104 6000 8500 Chunrong sanitation work Zhou 2015.08 105 9600 Retirement wage Retirement Youxian Continue 2015.12 106 Yan Caixia 9600 12000 sanitation work Continue 2015.12 107 Liu Yuying 9600 12000 cleaning Continue 2015.12 108 Luo Hai Lan 9600 12000 cleaning 109 Xu Suzhen 9600 Retirement wage Retirement 2015.08 Continue 2015.12 110 Yang Shiqin 9600 12000 cleaning 111 Wang Jukai 9600 Retirement wage Retirement 2015.08 Hong Continue 2015.12 112 9600 12000 Shengyue cleaning Huang Mei Continue 2015.12 113 9600 12000 Lan cleaning 114 Wang Aizhi 9600 Retirement wage Retirement 2015.08 115 Huang Gui 9600 Retirement wage Retirement 2015.08 116 Wang Xia 9600 Retirement wage Retirement 2015.08 117 Qi Gui Yuan 9600 Retirement wage Retirement 2015.08 Share of Continue 2015.12 118 9600 12000 fragrance cleaning

3.3 Grievance Redress All grievances about employment, training and remuneration can be reflected to the Huangshi Municipal Urban Administration Bureau directly, which is responsible for handling such grievances until closure, and will record such grievances, and contact agencies or companies concerned as soon as possible to solve existing issues. If the Huangshi Municipal Urban Administration Bureau cannot address such grievances, the affected workers may report to the Huangshi PMO directly. If the Huangshi PMO still cannot address such grievances, or the affected workers are not dissatisfied with dispositions, they will have the right to file a suit in the court. See Table 1.

Table 1 Information on Grievance Redress Agency and Staff PMO Contact Address Tel

Huangshi Municipal Urban Xia Hui No.700 Huangshi Avenue, Huangshi 0714-6225898 Administration Bureau Meng Kai

4. Conclusions and Experience 4.1 Conclusions 4.1.1 Optimum resettlement is realized based on wishes and practical conditions. In the original labor resettlement plan, only 3 affected workers plan to retire, 5 plan to be transferred to other jobs, and 110 plan to continue to do current jobs. In practice, the affected workers’ wishes are respected, and their practical conditions considered. Finally, 58 affected workers have retired, 3 have been transferred to other jobs and 55 have continued to do current jobs. 4.1.2 On the basis of fully respecting the willingness of resettlement, the optimal resettlement was realized In the original plan for labor placement, only 3 people plan to retire, 5 people are engaged in other occupations, and 110 people continue to work in cleaning. In the resettlement process, on the basis of their willingness, 58 workers retired due to their age, 5 workers were engaged in other occupations, and 55 workers continued to engage in sanitation work. And based on the monitoring , their livelihood do not be affected and the salary, including their retirement salary is higher than that of before. 4.1.3 Special attention is paid to women In practice, special attention is paid to women to ensure that they benefit, such as continuing to do current jobs. In addition, some female workers having attained the retiring age have retired.

4.2 Experience 4.2.1 Information filing should be strengthened. The successful completion of labor resettlement monitoring is attributed to the basic information collected and kept by the agencies concerned, which can also provide a reference for future evaluation. 4.2.2 Improving the public participation and information disclosure mechanisms helps evade grievances and appeals. Thanks to the sound information disclosure, public participation and grievance redress mechanisms, and the effective consultation during the preparation of the labor resettlement plan, the affected workers can express their wishes smoothly. Finally, no grievance or appeal has occurred during the whole process.