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Environmental Assessment 1 SFG2055 LAO PEOPLE’S DEMOCRATIC REPUBLIC PEACE INDEPENDENCE DEMOCRACY UNITY PROSPERITY Public Disclosure Authorized Ministry of Public Works and Transport (MPWT) The Department of Road (DoR) and The Public Works and Transport Institute (PTI) Public Disclosure Authorized Draft Environmental and Social Management Framework (ESMF) Second Lao Road Sector Project (LRSP-II) Project No. (P158504) Public Disclosure Authorized Public Disclosure Authorized Vientiane, 10 April 2016 2 Preface This document is the Environmental and Social Management Framework (ESMF) for the second Lao Road Sector Project (LRSP2 or the Project) which is being prepared by the Ministry of Public Works and Transport (MPWT) through its Department of Planning and Cooperation (DPC), the Public Works and Transport Institute (PTI), the Department of Road (DoR), and other departments for possible financing by the World Bank (WB). The ESMF has been prepared to meet the World Bank’s safeguard policies on Environmental Assessment (OP/BP 4.01), Natural Habitats (OP/BP 4.04), Forests (OP/BP 4.36), Physical Cultural Resources (OP/BP 4.11), Indigenous Peoples (OP/BP 4.10), and Involuntary Resettlement (OP/BP 4.12) which have been triggered for the Project. The ESMF is designed to describe the process that will address possible environmental and social impacts of all investments and activities to be financed under the Project once specific locations and technical details of the selected investments can be identified during Project implementation. The ESMF describes the safeguard screening and review process as well as safeguard actions to be carried out to mitigate the potential negative impacts while the annexes provide background information and technical guidelines for the preparation of site- specific Environmental and Social Management Plan (ESMP) for a subproject as well as other requirements. The ESMF also includes an Ethnic Groups Development Framework (EGDF)1 and a Resettlement Policy Framework (RPF) to be applied for the subproject that involves ethnic groups and/or land acquisition and resettlement to be implemented under the Project. The Project aims to improve climate resilient road connectivity in selected provinces in Lao PDR. The Project will be implemented by MPWT agencies responsible for the Project and the Project provinces. The Project area will cover six provinces including Phongsaly, Oudomxay, Houaphan, Xiengkhouang in the northern mountainous region and Xayabouly, and Bolikhamxay located in the central area. The Project activities will be limited to road maintenance at provincial and district levels and technical assistance to enhance capacity of MPWT on road asset management systems including mainstreaming of climate resilient and safeguard and implementation of the Public-Private- Partnership (PPP) arrangement for part of the national road 13. The ESMF was consulted 2 times with local authorities and communities in the two first year province (Bolikhamxay and Xayabouly) as well as in Vientiane Capital. The first consultation was made in Vientiane capital on 25 February 2016 focusing on the project scope and draft TORs for the ESMF, EGDF, and RPF to announce the preparation and scope of the Project. The first consultation in Bolikhamxay and Xayabouly was conducted in March 2016 and the results were considered during the drafting of the ESMF of the Project and preparation of the ESMPs of the first year subprojects. The English version of the ESMF (this draft) including RPF and EGDF will be disclosed in country at the MPWT websites on 11 April 2016. The second consultation was made on the first drafts (English and Lao) in the two provinces and in Vientiane in late April 2016 and the drafts will be finalized. The final draft ESMF (both in English and Lao) will be disclosed again in MPWT website as well as in the six Project provinces and they will be sent to WB for clearance. After the WB clearance the final ESMF and annexes (both in English and Lao) will be disclosed again in MPWT website and the Project provinces. 1 This is equivalent to the Indigenous Peoples Policy Framework (IPPF) as required by OP/BP4.10. 3 ABBREVIATIONS AND ACRONYMS ADB Asian Development Bank MPI Ministry of Public Investment ARAP Abbreviated Resettlement Action Plan MPWT Ministry of Public Works and Transport BKX Bolikhamxay Province NBCA National Biodiversity Conservation Areas DDMCC Department of Disaster Management and NDF Nordic Development Fund Climate Change DESIA Department of Environmental and Social NGOs None Government Organizations Impact Assessment DFRM Department of Forest Resources Management NPA National Protected Areas DoR Department of Road NPFA National Protection Forest Area DONRE District Office of Natural Resources and NR National Road Environment DoT Department of Transport NSEDP National Socioeconomic Development Plan DRC District Resettlement Committee NTFP None Timber Forest Products DPI Department of Planning and Investment OP/BP Operation Policy/Bank Procedure DPWT Provincial Department of Public Works and OLFNC District Office of Lao Front for National Transport Construction EA Environmental Assessment OPWT District Office of Public Works and Transport ECC Environmental Compliance Certificate OUX Oudomxay Province ECoP Environmental Code of Practice PBC Performance-based contract EIA Environmental Impact Assessment PCR Physical Culture Resources EG Ethic Groups PONRE Provincial Office of Natural Resources and Environment EGDF Ethnic Groups Development Framework PRC Provincial Resettlement Committee EGDP Ethic Groups Development Plan PROMMS Provincial Road Asset Management Systems EHS Environmental Health and Safety PPP Public-Private-Participation EHSG Environmental Health and Safety Guideline PSL Phongsali Province ESD/PTI Environmental and Social Division of PTI PTI Public Works and Transport Institute ESMF Environmental and Social Management RMD Road Maintenace Division Framework ESIA Environment and Social Impact Assessment RAP Resettlement Action Plan ESMP Environmental and Social Management Plan RMF Road Maintenance Fund ESOM Environmental and Social Operations Manual RMS Road Management System ESU Environmental and Social Unit RoW Right of ways GRC Grievance Redress Committee RPF Resettlement Policy Framework GRM Grievance Redress Mechanism SA Social Assessment GRMS Grievance Redress Mechanism Services SCWG Safeguard Coordination Work Group IDA International Development Association (or the SMMP Social Management and Monitoring Plan WB) IEE Initial Environmental Examination SIA Social Impact Assessment IUCN International Union for Conservation of Nature SIDA Swedish International Development Agency and Natural Resources LRSP-II Second Lao Road Sector Project SOP Standard operating procedures LFNC Lao Front for National Construction TA Technical assistance LRSP Lao Road Sector Project ToR Terms of Reference LWU Lao Women Union UNCBD Unitated Nations Convention on Biological Diversity MAF Ministry of Agriculture and Forestry VRC Village Resettlement Committee MCIT Ministry of Cultural, Information and Tourism WB World Bank MEM Minsitry of Energy and Mine WBG World Bank Group MoH Ministry of Health XBL Xayabouly province MoF Ministry of Finance XK Xiengkhouang province MoNRE Ministry of Natural Resources and Environment 4 TABLE OF CONTENTS Section Page Preface 02 Abbreviations and Acronyms 03 Table of Contents 04 I INTRODUCTION 05 1.1 Project Background 05 1.2 Need for ESMF 05 1.3 Project Objective and Scope 06 1.4 Project Component and Description 07 1.5 Project Implementation Arrangement 08 II OBJECTIES AND KEY PRINCIPLES OF THE ESMF 09 2.1 Road Maintenance Subprojects under Component 1 09 2.2 Key Principles of the RPF and EGDF Measures 10 2.3 Technical Assistance (TAs) under Component 2 11 2.4 Emergency Road Works under Component 3 12 III POLICY, LEGAL, AND INSITUTIONAL SETTING 13 3.1 National Laws and Regulations 13 3.2 National Institutional Arrangements 18 3.3 National Policy and Plan on Gender 19 3.4 WB Safeguard Policies Triggered for the Project 20 IV POTENTIAL PROJECT IMPACTS 22 4.1Country Background and the Project Areas 22 4.2 Safeguard Risks and Project Potential Impacts 22 4.3Safeguard Implementation Experience and Capacity Building Needs 24 V PROPOSED MITIGATION MEASURES 27 5.1 Actions for Road Maintenance Subprojects 28 5.2 Action for TA Activities and Emergency Road Works 30 VI ESMF IMPLEMENTATION ARRANGEMENT 31 6.1 Responsible Entities 31 6.2 ESMF Monitoring and Reporting 33 6.3 Grievance Redress Mechanism (GRM) 34 6.4 Safeguard Training, Capacity Building, and Budget 36 6.5 ESMF Consultation and Information Disclosure 37 Annexes 1 Sector Background and Project Areas 39 2 Safeguard Screening and Forms 54 3 Preparation of ESMP for Road Maintenance 68 4 Generic Environmental Code of Practices (ECoP) 78 5 Resettlement Policy Framework (RPF) 86 6 Ethnic Groups Development Framework (EGDF) 120 7 Grievance and Monitoring and Evaluation Forms 141 8 Organization and Capacity Building 153 9 Summary of Consultation Meetings 159 5 6 I. INTRODUCTION 1.1 Project Background 1. In Lao PDR, the transport sector is dominated by road development and the World Bank (WB) has been provided technical and financing supports through the Department of Road (DoR) of the Ministry of Public Works and Transport (MPWT) for road maintenance during the past decade. In early 2000, the supports focussed on road maintenance and operations of road maintenance fund (RMF) and now the assistance has been gradually upgraded to include technical assistance (TA)
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