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Resettlement Planning Document IND: Clean Energy Finance Investment Program

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Resettlement Planning Document IND: Clean Energy Finance Investment Program Resettlement Planning Document Project Number: 46268-002 December 2017 IND: Clean Energy Finance Investment Program - Tranche 1 Subproject: 70 MW Solar Photovoltaic Power Project at Bhadla Solar Park (Plot-1), (RBPL 1) 70 MW Solar Photovoltaic Power Project at Bhadla Solar Park (Plot-2), (RBPL 2) Submitted by Indian Renewable Energy Development Agency, New Delhi This resettlement due diligence report has been prepared by the Indian Renewable Energy Development Agency, New Delhi for the Asian Development Bank and is made publicly available in accordance with ADB’s Public Communications Policy (2011). It does not necessarily reflect the views of ADB. This resettlement due diligence report is a document of the borrower. The views expressed herein do not necessarily represent those of ADB's Board of Directors, Management, or staff, and may be preliminary in nature. 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. DUE DILIGENCE REPORT ON SOCIAL SAFEGUARDS (LOAN 3186 IND: CLEAN ENERGY INVESTMENT PROGRAM) Subproject: 70 MW Solar Photovoltaic Power Project at Bhadla Solar Park (Plot-1), Rajasthan by M/S Rising Bhadla 1 Private Limited (RBPL 1) And 70 MW Solar Photovoltaic Power Project at Bhadla Solar Park (Plot-2), Rajasthan by M/S Rising Bhadla 2 Private Limited (RBPL 2) Subproject Developer: M/S Rising Sun Energy Private Limited (RSEPL) M K MOHANTY, ADB TA, Prepared by Social Safeguard Specialist RUCHIKA DRALL, Review by Environmental & Social Officer, ESSU, IREDA KHEKIHO YEPTHO,Head Approved by ESSU & Compliance Officer, IREDA Table of Content NO. DESCRIPTION PAGE NO. 1 Introduction 3 2 Subproject Description 3 3 Status of the Subproject 4 4 Scope of Review and Methodology 4 5 Social Safeguard Issues under the Subproject 5 6 Social Safeguard Categorization and Rationale 5 7 Social Safeguard Requirement for the Subproject 6 8 Other Subproject Specific Issues 7 9 Summary Due Diligence Findings 8 10 Conclusion and Recommendations 8 NO. Annexure 1 Land Allotment Letter (Bhadla-1) 2 Land Allotment Letter (Bhadla-2) 3 Social Safeguard Screening Checklist & Categorization 1 ABRIVIATIONS ADB Asian Development Bank COD Commercial Operation Date CSR Corporate Social Responsibility EPC Engineering and Procurement Contractor ESIA Environmental and Social Impact Assessment ESMS Environment and Social Management System GRC Grievance Redressal Committee IREDA Indian Renewable Energy Development Agency Limited O&M Operation and Maintenance PIAL Prohibited Investment Activities List RBPL-1 Rising Bhadla 1 Private Limited RBPL-2 Rising Bhadla 2 Private Limited RPEPL Rays Power Experts Private Limited RSDCL Rajasthan Solar Park Development Company Limited RSEPL Rising Sun Energy Private Limited SPS Safeguard Policy Statement (SPS) 2009 2 SOCIAL DUE DILIGENCE REPORT Subproject: 70 MW Solar Photovoltaic Power Project at Bhadla Solar Park (Plot-1), Rajasthan by M/S Rising Bhadla 1 Private Limited (RBPL 1) And 70 MW Solar Photovoltaic Power Project at Bhadla Solar Park (Plot-2), Rajasthan by M/S Rising Bhadla 2 Private Limited (RBPL 2) Developer: M/S Rising Sun Energy Private Limited (RSEPL) 1. Introduction Indian Renewable Energy Development Agency Limited (IREDA) is the single largest renewable energy financier in India and applied for ADB loan to fund as a part of its overall lending portfolio, to private sector renewable energy and energy efficiency subprojects in India, including small scale wind, biomass, small hydro, solar, cogeneration, and energy efficiency. IREDA’s mandate is to minimize the energy sector’s negative environmental impact by promoting cleaner and more environmentally friendly technologies, and thus is committed to avoid and mitigate adverse environmental impacts, if any, resulting from the projects it finances. In order to identify and effectively address potential impacts from projects funded with the ADB line of credit, IREDA has formulated and adopted an Environment and Social Management System (ESMS), which is in compliance with Indian national laws and Asian Development Bank (ADB) Safeguard Policy Statement (SPS) 2009. The objective of the ESMS is to guide IREDA’s actions to safeguard against adverse environmental and social impacts for sub-projects using ADB’s funds. Keeping in view the main objective of the ESMS, ADB social safeguard requirements and in confirmation with the national and local policy and legal framework, a social due diligence study has been carried out for two subprojects of 70 MW solar photovoltaic power plants in Rajasthan being promoted by M/S Rising Sun Energy Private Limited. 2. Subproject Description The proposed subprojects are consists of two 70 MW solar photovoltaic power plant at Bhadla Solar Park of Jodhpur District in the State of Rajasthan using Solar Polycrystalline PV Technology. These subprojects are being promoted by the M/S Rising Sun Energy Private Limited. The subproject Location Map is presented in Figure: 1. For the 1st solar power plant promoted by Rising Bhadla 1 Pvt. Ltd. is situated within Plot 1 of the Bhadla Solar Park and the 2nd solar power plant promoted by Rising Bhadla 2 Pvt. Ltd. is situated within Plot 2 of the Bhadla Solar Park. The land area allotted for these two solar power plants are 140.2 and 140 hectares each in the respective Plot 1 and Plot 2. Rays Power Experts Private Limited (RPEPL) is the EPC contractor as well as O&M contractor for these two solar power projects. 3 As per the Power Purchasing Agreement between the Vidyut Vyapar Nigam Limited and Rising Sun Energy Private Limited, the evacuated power from these two plants will be connected to 132/220 kV pooling station inside the Solar Park. The subproject location is presented in Figure: 1. Figure: 1 Subproject Location Map 3. Status of the Subproject The construction works of the subprojects were under progress during the safeguard due diligence site visit undertaken between 20-21 June 2017. As of third week of June 2017, about 75% of civil work and nearly 50% of installation of solar panels was completed. The commercial operation date (COD) of the subproject was 25th May 2017 but as informed by the Developer, delay in project completion was due to some disruption in supply chain of solar panels, which stands rectified now and the subproject is scheduled to be commissioned by 15th August 2017. 4. Scope of Review and Methodology This social due diligence report is prepared based on review of various subproject documents, consultation with developers, field staff and on site observation. The documents reviewed for the subproject includes two separate Environmental and Social Impact Assessment (ESIA) Reports 4 for Bhadla- and Bhadla-2 subproject, Pre Sanction Inception Report prepared by IREDA and Land Allotment Letters for two subprojects issued to the developer by Government of Rajasthan. A site visit was conducted during June-2017 and consulted with the field staff of Project Developer. 5. Social Safeguard Issues under the Subproject Being a green project established in the designated solar power land belongs to the Government, the subprojects have no such negative social safeguard issues. However, the social safeguard related issues identified through the social due diligence process are discussed in the following section. 5.1 Land Acquisition Requirement under the Subproject Both subprojects are proposed in Government land. The Government of Rajasthan has allotted the entire land of 797.45 hectares of land in Bhadla village to M/s. Rajasthan Solar Park Development Company Limited (RSDCL), a Government of Rajasthan Undertaking Company. Subsequently, Rajasthan Solarpark Development Company Limited has issued 30 years sub- lease to the Rising Sun Energy Private Limited (RSEPL) to set up these two solar power plants. The land allotment letters issued by RSDCL to the developer are attached in Appendix-1 and Appendix-2. 5.2 Involuntary Resettlement Issues under the Subproject Since there is no private land acquisition required for the subprojects, there does not arise any issue of involuntary resettlement. The allotted Government land for the subprojects are unhabituated unused barren/sandy land and there is hardly any tree on the land. 5.3 Indigenous Peoples Issues under the Subproject According to the Census of India 2011 statistics, Scheduled Tribe (ST) population of Jodhpur district is only 2.75%. No indigenous people are present in the subproject area and therefore no such issue has been identified for the subproject. 6. Social Safeguard Categorization and Rationale On the basis of the review of project information and site observation, the Social Safeguard Screening Checklist (refer Appendix-3) was completed as per the requirement set forth in the ESMS. Based on the social safeguard checklist, it was established that the subproject is categorized as “Category-C” from both Involuntary Resettlement and Indigenous Peoples safeguard point of view. The Involuntary Resettlement Categorization checklist and The Indigenous Peoples Categorization checklist are attached in Appendix-3. The rationale behind the social safeguard categorization as “C” i.e. the subproject does not require any further specific actions so far as the social safeguard point of view is because the subproject does not involve any private land acquisition and does not have any negative impacts on people including indigenous community. The proposed Government land is also free of any encumbrances and being unused barren land, it is not serving any interest of the local people or nobody is dependent on it. The photographs of the subproject sites are shown below in Figure- 2. 5 Figure-2: Photographs of the Subproject Site 7. Social Safeguard Requirement for the Subproject As per the Environmental and Social Management System (ESMS) adopted by IREDA, followings are the social safeguard requirements for a subproject to qualify for financing under ADB lines of credit: The subproject is not among the Prohibited Investment Activities List (PIAL) of the ADB Safeguard Policy Statement (SPS) 2009.
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