Environmental Monitoring Report

# Annual Report January - December 2019 October 2020

Indonesia: Neighborhood Upgrading and Shelter Project - Phase 2

Prepared by the Directorate General of Human Settlements, Ministry of Public Works and Housing for the Republic of Indonesia and the Asian Development Bank.

CURRENCY EQUIVALENTS (as of 26 October 2020) Currency unit – rupiah (Rp) Rp1.00 = $0.0000680874 $1.00 = Rp14,687

NOTE (i) In this report, "$" refers to United States dollars unless otherwise stated

This environmental monitoring 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.

Table of Contents

Table of Contents ...... List of Figures ...... i List of Tables ...... i List of Appendices ...... i Abbreviations ...... ii Chapter 1. Introduction ...... 1 Chapter 2. Key Project Activities and Progress ...... 2 Chapter 3. Environmental Mitigation and Monitoring Status ...... 4 3.1 Requirements of Environmental Safeguards ...... 4 3.2 Key Roles and Responsibilities ...... 4 3.3 Community Contracts ...... 7 3.4 Complex Civil Work Contract ...... 7 3.5 New Site Development Contracts ...... 8 Chapter 4. Public Consultation and Information Disclosure ...... 8 Chapter 5. Information Disclosure ...... 8 Chapter 6. Grievance Redress Mechanism ...... 9 Chapter 7. Project Staffing and Capacity Building ...... 10 Chapter 8. Key Issues and Corrective Actions ...... 10 Chapter 9. Conclusions and Recommendations ...... 11 APPENDICES ...... 13

List of Figures

Figure 1. NUSP-2 Project Location ...... 1 Figure 2. Paving Road and Drainage Channel Contract, Tambak Rejo - Semarang ...... 3 Figure 3. Monthly Reports Prepared by the City Coordinators ...... 7 Figure 4. Grievance Redress Mechanism ...... 9

List of Tables

Table 1. Institutional Roles and Responsibilities ...... 4 Table 2. Key Issues and Corrective Actions ...... 11

List of Appendices

Appendix 1. Environmental Screeening and Assessment for Sawah Lebar Baru Community Contract, Bengkulu ...... 14 Appendix 2. Monitoring Progress of Construction Work in Tambak Rejo, Semarang ...... 17 Appendix 3. CAP Drafting Process for Kota Karang, Bandar Lampung ...... 20 Appendix 4. Technical Coordination Meeting, January 2019 ...... 25

i Abbreviations

ADB Asian Development Bank AP affected people Bappenas Badan Perencanaan Pembangunan Nasional (National Planning Bureau) CA Community Advisor CAP Community Action Plan CC City Coordinator CIO Community Implementing Organization (or BKM Badan Keswadayaan Masyarakat) CPMU Central Project Management Unit DGHS Directorate General of Housing Settlements DLH Dinas Lingkungan Hidup (Environmental Agency) EA Executing Agency EARF Environmental Review and Assessment Framework EIA Environmental Impact Assessment EMP Environmental Management Plan EMS Environmental Management System FY Fiscal Year GRC Grievance Redress Committee GRM Grievance Redress Mechanism IEE Initial Environmental Examination IPAL Instalasi Pengolahan Air Limbah (Communal Wastewater Treatment Plant) KPP Kelompok Pemanfaat dan Pemelihara (Operation and Maintenance Group) KSM Kelompok Swadaya Masyarakat (Community Self-Help Group) LCO Local Coordinating Office MDG Millennium Development Goals MPWH Ministry of Public Work and Housing Muskel Musyawarah Kelurahan (neighborhood assembly meeting) NMC National Management Consultant NSD New Site Development NUSP-2 Neighborhood Upgrading and Shelter Project Phase 2 O&M Operation and Maintenance PIU Project Implementing Unit (Satker or Satuan Kerja) PMU Project Management Unit PPK Pejabat Pembuat Komitmen (Commitment Officer) Satker Satuan Kerja (Project Implementing Unit) SPPL Surat Pernyataan Kesanggupan Pengelolaan dan Pemantauan Lingkungan (Statement Letter for Environmental Management and Monitoring) UKL-UPL Upaya Pengelolaan Lingkungan dan Upaya Pemantauan Lingkungan (Environmental Management Effort - Environmental Monitoring Effort) UPTD document Unit Pelaksana Teknis Daerah (Local Technical Implementing Unit)

ii Chapter 1. Introduction

1. Project Background. The Neighborhood Upgrading and Shelter Project – Phase 2 (NUSP-2) is aimed to upgrade basic public infrastructure in slum settlements, and contribute to meeting the Millennium Development Goal (MDG) targets for achieving significant improvement in the lives of slum dwellers (MDG target 7D) and halving the proportion of urban households without sustainable access to safe drinking water and basic sanitation (MDG target 7C).1 The NUSP-2 also contributes to the implementation of the Cities without Slums Program launched by the Indonesian Government.2

2. The NUSP-2 is an ADB-funded project, particularly upgrading and/or developing basic infrastructure and facilities for selected slum areas at 99 neighborhoods (kelurahan). These neighborhoods are distributed in 20 districts (kabupaten) and municipalities (kota) located across Sumatra, Java, Kalimantan, Sulawesi, Nusa Tenggara, and Maluku Islands as shown in Figure 1. The executing agency of the NUSP-2 is the Directorate General of Human Settlements (DGHS) of the Ministry of Public Works and Housing (MPWH).

Kapuas Tanjung Palangkaraya Jabung Barat

Batam

Palembang

Bandar Lampung Kendari

Banjarmasin Makassar Palopo Bone

Bengkulu Ambon

Semarang Tanjung Serang Bima Balai Pekalongan

Sukabumi Pasuruan

Figure 1. NUSP-2 Project Location

3. The NUSP-2 assists the local governments in upgrading and/or developing basic infrastructure and facilities at selected neighborhoods in order to achieve the following:

1 The 2015 MDG target for the proportion of the urban population living in slums is 6%; in 2011, 12.6% of the urban population lived in slums. The 2015 MDG target for the proportion of households with sustainable access to an improved water source is 75.5%; in 2011, 40.5% of urban households had access to an improved water source, 72.5% had access to basic sanitation. The proportion of households with access to safe water and basic sanitation in slum areas is assumed to be much lower. 2 The Cities without Slums Program is incorporated in the National Long-Term Development Plan, 2005–2025. It aims to reduce slum areas in cities by 2025 by promoting concerted initiatives by the central and local governments, private sector, and civil society.

Output 1: Institutional capacities for managing pro-poor urban development strengthened; Output 2: Infrastructure in slum neighborhoods upgraded; and Output 3: New settlements for poor families established.

4. There are seven types of infrastructures and facilities built under the NUSP-2, among others, construction of road, bridge, basic sanitation facilities, and communal wastewater treatment plant; installation of clean water supply and street lighting; and provision of municipal solid waste handling facility and transportation as well as basic fire-fighting equipment.

5. Objective and Scope of the Monitoring Report. This 2019 annual environmental monitoring report (AEMR) summarizes the NUSP-2 activities and describes its environmental safeguards implementation and compliance against the EARF requirements in 2019. This is the final monitoring report submitted to ADB following the loan closing date for NUSP-2 in December 2019. This monitoring report covers the following aspects: • Chapter 2 Key project activities and progress • Chapter 3 Implementation of environmental mitigation and monitoring status • Chapter 4 Public consultation and disclosure • Chapter 5 Information disclosure • Chapter 6 Grievance redress mechanism • Chapter 7 Capacity building • Chapter 8 Key issues and corrective actions • Chapter 9 Conclusions and recommendations.

Chapter 2. Key Project Activities and Progress 6. Community contract. In 2019, the NUSP-2 planned to commission 31 community contract works in 6 cities/district (i.e., Tanjung Jabung Barat, Bengkulu, Bandar Lampung, Semarang, Kapuas, and Makassar). However, these community contract works were cancelled due to partial loan cancelation recommended by the National Planning Bureau (Bappenas).

7. Complex civil work. Only 1 (one) complex civil work was continued and completed in Tambak Rejo neighborhood, Semarang City. The types of infrastructure constructed under this contract in are road paving and associated drainage channel. This construction work has been completed in March 2019. The progress and the result of this construction works are shown in Figure 1.

8. New site development (NSD). The activities of four NSDs in Kendari, Palopo, Bima and Kapuas are reported separately under the obligation of the initial environmental examination (IEE) report. In 2019, the construction of infrastructure and facilities at the two NSD sites in Kendari and Palopo have been completed, whereas those of Bima and Kapuas just commenced in late 2019. Nevertheless, the occupation of houses at these NSD has commenced since 2019.

2

Construction Phase

After Construction Figure 2. Paving Road and Drainage Channel Contract, Tambak Rejo - Semarang

3 Chapter 3. Environmental Mitigation and Monitoring Status 3.1 Requirements of Environmental Safeguards

9. According to the ADB’s Safeguard Policy Statement (2009), the NUSP-2 is classified as Category B project, i.e., the project could have some adverse environmental impacts, but of lesser degree or significance than those in category A project. The impacts are site specific and can be readily addressed through common mitigation measures. The NUSP-2 creates positive impacts on the environment and improves the wellbeing of the community through alleviation of slum areas in emerging cities in Indonesia.

10. The Environmental Assessment and Review Framework (EARF) document for NUSP- 2 was prepared in 2014, providing screening procedure and checklist to review environmental implications of the infrastructure and facility to be constructed. The EARF requires that: • An initial environmental examination (IEE) report is prepared by DGHS as part of the new site development (NSD) proposal and then cleared by ADB for disclosure; and • Environmental Mitigation and Monitoring Effort (UKL-UPL) or Statement Letter to Conduct Environmental Mitigation and Monitoring (SPPL) is prepared by DGHS according to the Ministry of Environment Regulations No. 5/2012 on Types of Activities and/or Projects Requiring Environmental Impact Assessment (AMDAL) and No. 16/2012 on the Guidance for the Preparation of Environmental Documents; and Ministry of Public Work Regulation No. 10/PRT/M/2008 on Types of Activities and/or Projects in the Public Work Sector Subject to be Completed with UKL-UPL.

3.2 Key Roles and Responsibilities 11. The key roles and responsibilities of the executing and implementing agencies involved in the implementation of NUSP-2 including their respective environmental responsibilities, are summarized in Table 1.

Table 1 Institutional Roles and Responsibilities

Institutions and Activities and Status Status Responsibilities Directorate General of Housing Settlement (Executing Agency) • Overall coordination, The coordination, supervision and monitoring by the Compliant supervision, PMU/EA were mostly done through coordinating and monitoring. review meetings, in which safeguard issues were

discussed, including collecting evidences. Some supervision meetings were conducted on ad hoc basis and on the sites. • Preparation and In 2019 the PMU submitted four quarterly progress and Compliant submission of quarterly evaluation reports to ADB (QPR 1 January – March; QPR progress and 2 April – June; QPR 3 July - September; QPR 4 October – evaluation reports. December). • Prepare guidelines for The DGHS had published a Technical Guideline on Social Compliant the environmental due and Environmental Management in September 2016, that diligence and has been used along the implementation of NUSP-2 monitoring of project. This guideline was a sort of manual and reference environmental to implement and monitor the environmental and social management plan. safeguard components using screening checklist forms and templates provided.

4 Institutions and Activities and Status Status Responsibilities Public Works (Local Coordinating Officer) at City or District Level • Provide overall In 2019, the LCO at the Local Planning Agencies of the Complied coordination, selected 6 cities oversaw the overall implementation of supervision, monitoring NUSP-2 intervention, including approval of the and approval of neighborhood proposals to continue the community neighborhood contract construction works. The supervision and proposals including monitoring by the LCO and City Satker conducted through environmental the finalization process of the Community Action Plan checklists. (CAP). For the 4 NSDs, the LCO also coordinated and supervised the proposal and the implementation of environmental safeguard mitigations and monitoring through various meetings. • Prepare quarterly The LCO provided inputs to the PMU on the quarterly Complied progress reports progress reports of the NUSP-2 intervention. Some reports including included monitoring on infrastructure progress on 50% and environmental. on 100%, which were also uploaded in Management Information System or MIS (www.nusp2.id). • Provide technical The technical support provided by LCO through Complied support to community consultation and coordination when the Badan advisors and Keswadayaan Masyarakat (BKM) presents their CAP. BKMs/CIOs. Along the process of construction works, the Local Public Work Agency provide technical support, coaching and empowerment. • Carry out • For the community contract, the environmental due • Complied environmental due diligence was carried out using the environmental diligence. screening checklist. Subsequently, this information is utilized to develop the SPPL for submission to the Local Environmental Agency. • For the complex civil work contract, the SPPL is • Complied prepared by City Satker and the contractor firm assisted by the CCs (City Coordinators). • For the NSD, the IEE and UKL-UPL documents are • Complied prepared for ADB/DGHS endorsement and local government respectively. Subsequently, in 2019, all mitigation and monitoring measures have been reported in the Semi-Annual Environmental Monitoring Report of each NSD. • Monitor the The LCO has been monitoring the implementation of Complied implementation of the environmental management plan in ad-hoc basis through environmental visiting the site for visual inspection. There was no management plan. documentation on this activity recorded as this is a common practice. Environmental Agency at City or District Level (Dinas Lingkungan Hidup/DLH) • Provide guidance on The Environmental Agencies used the checklists provided Complied environmental in the Technical Guidelines mentioned above as the checklists. reference for issuing the approval for SPPL document for each CAP. • Coordinate with The Environmental Agencies conducted site visits to Complied community advisors to validate the environmental screening results on 0% point conduct site visits to of infrastructure during the community meeting, and validate the screening validate monitoring results on 50% and 100% of results. infrastructure progress to verify the requirement of budget disbursement. There was no documentation on this activity recorded as this is a common practice.

5 Institutions and Activities and Status Status Responsibilities • Review the engineering There is no deep well constructed as part of the NUSP-2 in Not applicable design and 2019. environmental checklists and provide permit for construction of a deep well. • Conduct random Random checking was done by the Environmental Complied checking during Agencies during construction and after completion to also construction and after make sure of infrastructure quality and gave technical completion to inspect inputs for improvement where needed. There was no environmental documentation on this activity recorded as this is a common procedures and practice. impacts. Health Agency at City or District Level • Test collected water This water testing was not conducted, as most of the clean Not applicable quality samples to water source for the NSD sites were supplied from treated determine if collected water from the municipal water company (known as water sources meet the Perusahaan Daerah Air Minum or PDAM). drinking water standards. Community Implementation Organization (CIO) • Responsible for The CIO established the project implementing units in the Complied establishing project form of community self-help group (Kelompok Swadaya implementation units. Masyarakat or KSM) to implement the NUSP-2 activities.

• Responsible for The CIO, assisted by the CA and CC, conducted Complied conducting environmental screening by visual inspection and review environmental of the CAP using the checklist forms included in the checklists assisted by Technical Guideline for Social and Environmental community advisors/ Management (2016). safeguard specialist. • Formulate the The O&M mechanism was formulated during finalization of Complied Operation and the CAP. In 2019, since there was a loan cancelation, the Maintenance (O & M) CIOs only underwent the process up till formulating the mechanisms. CAP. • Responsible for This activity of responsibility was not performed since the Not applicable monitoring construction project did not proceed to the construction works for the activities and community contract due to loan cancelation. conducting inspection for completed interventions. • Disclose, on the The discussion to develop and finalize the neighborhood Partially complied neighborhood board, proposals was conducted through series of discussion at neighborhood the neighborhood assembly meetings (musyawarah proposals and kelurahan/Muskel II - III). However, the proposals, contracts including contracts, and checklists were not disclosed on the environmental neighborhood board due to uncertainty of the funds to checklists. continue of project. • Responsible for taking This activity was not performed since the project did not Not applicable any negative feedback proceed to the construction works due to partial loan related to site, cancelation in 2019. construction, and operation from other neighborhood members and

6 Institutions and Activities and Status Status Responsibilities organizing meetings to solve problems. • Responsible for This activity of responsibility was not performed since the Not applicable reporting environmental project did not proceed to the construction works for the monitoring to LCOs community contract due to partial loan cancelation.

3.3 Community Contracts 12. Environmental Mitigation and Monitoring. The community contracts for 31 neighborhoods in 6 cities (i.e., Bengkulu, Tanjung Jabung Barat, Bandar Lampung, Semarang, Kapuas, and Makassar) were cancelled for 2019 following the partial loan cancellation. However, prior to this, the CIO of each neighborhood has prepared the CAP, starting with the environmental and social screening process based on the NUSP-2 Technical Guidelines on Social and Environmental Management. A sample of this screening process using the checklist forms is provided in Appendix 1.

13. Assisted by the CA, the CIO conducted a neighborhood meeting (Musyawarah Kelurahan or Muskel III) to disseminate the screening result and discuss the CAP. However, due to the partial loan cancellation in 2019, the process beyond the CAP is discontinued. Nevertheless, the City Coordinators kept preparing the monthly project reports for these 31 community contracts until March 2019 (as shown in Figure 3).

Figure 3. Monthly Reports Prepared by the City Coordinators

3.4 Complex Civil Work Contract 14. Environmental Mitigation. In 2019, one remaining package of multi-year contract in Tambak Rejo neighborhood, Semarang City was progressed and completed in March 2019. The SPPL for this civil work contract was submitted to the Integrated Permitting Office (Dinas Penanaman Modal Pelayanan Terpadu Satu Pintu) of Semarang City in early January 2019.

15. Environmental Monitoring. For the complex civil work contract, the CCs in coordination with LCO are responsible for the day-to-day environmental monitoring during the

7 construction activities. The SG-5 form was used to conduct the monitoring for both social and environmental safeguard of the construction works conducted at Tambak Rejo neighborhood (see Appendix 2).

3.5 New Site Development Contracts 16. As of end 2019, the semi-annual monitoring reports (SAEMR) of Bima and Palopo NSDs have been completely submitted and cleared by ADB for disclosure. However, Kapuas and Kendari NSDs have only submitted the SAEMR of January to June 2019 to ADB, and therefore the July to December 2019 reports are still pending. In any case, the environmental mitigation and monitoring measures for each NSD were implemented by the respective contractors and monitored by each City/District Satker.

Chapter 4. Public Consultation and Information Disclosure 17. The NUSP-2 project conducted public consultation as an integral part of the identification, selection and implementation of neighborhood infrastructure interventions. For the community contract packages, neighborhood meetings (known as musyawarah kelurahan) were conducted to discuss the environmental and social safeguard, formulate the Community Action Plan (CAP), and select the kelompok swadaya masyarakat (KSM, or Community Implementing Organization or CIO) as the implementing unit. Through these meetings, all community members and concerned stakeholders would have such forum to raise their concerns on the project and subsequently seek resolution. So far, there is no report of any concerns or complaints addressed to the KSM.

18. In 2019, public consultation concerning the community-contract typed projects were conducted. An example of this public consultation in Kota Karang neighborhood of Bandar Lampung City is presented in Appendix 3. At this consultation, the community members discussed the activity plan formulated into the CAP and disseminated safeguard requirements for the project.

19. Other public consultations were conducted at Kendari, Palopo, Bima, and Kapuas with potential beneficiaries whether they are interested in occupying the houses in the he NSD including associated rules and responsibilities. The local communities were consulted for job and business opportunities to be recruited as construction workers or suppliers. The more detailed description with evidences and documentations of these consultation and discussion are reported separately and provided in each Semi-Annual Environmental Monitoring Reports of each NSD.

Chapter 5. Information Disclosure 20. The information on the implementation, the progress, as well as on related public consultation, discussion, and neighborhood meetings of community contract and complex civil work packages are documented and uploaded into the NUSP-2’s website (www.nusp2.id).

8 Along the project, NUSP-2 had also published about six posters explaining the NUSP-2 project and one special poster on NSD. These posters dissemination is another strategy to reach out the potential beneficiaries. These posters have been distributed gradually in 2016 till 2018 and mentioning the email addresses and mobile contact numbers to redress grievance or complains from communities. Most of these posters had been presented in previous AEMR of 2017 and 2018.

Chapter 6. Grievance Redress Mechanism 21. The NUSP-2 has established its Grievance Redress Mechanism (GRM), which consists of three levels, i.e. at the neighborhood, at the city/district, and at the national levels as shown in Figure 4. This leveling system of the GRM is expected to timely address any complaints during project implementation. Affected people will have the right to file complaints and/or queries related to disturbance or environmental impacts due to the project activities.

Figure 4. Grievance Redress Mechanism

22. There was no major complaint about the NUSP-2 project reported in 2019. Some minor complaints concerning the maintenance of the NSD housing were recorded and resolved by respective Management Board and reported in related Semi-Annual Environmental Monitoring Report of the respective NSD.

9 Chapter 7. Project Staffing and Capacity Building 23. The consulting services are provided at the national, city/district and kelurahan level. At the national level, a team of consultants assist the Central Project Management Unit (CPMU) of the NUSP-2, namely the National Management Consultant (NMC) based in Jakarta. Part of this NMC, a safeguard specialist and the two safeguard assistants were recruited to prepare social and environmental management guidelines, checking supporting data and documents from the field in the project’s NUSP-2 website, incorporating environmental monitoring in the quarterly progress reports and environmental survey results in the monitoring and evaluation framework. The NMC’s safeguard team also prepared the reports on annual environmental monitoring, semi-annual social monitoring, and semi-annual environmental monitoring report of NSD.

24. In addition to each NSD, there are four sub-specialists responsible to assist in day-to- day monitoring and evaluation for the implementation of the NSD. This also includes assisting the city/district Satker and the LCO and collecting data for monitoring the implementation of mitigation measures set forth in the EMP of the IEE. They are based in the NSD sites of Kendari, Palopo, Bima, and Kapuas

25. At the city/district level there were City Coordinators (CCs) based in 6 cities/districts of the NUSP-2 project, responsible in assisting the city/district Satker, the Local Coordinating Offices (LCOs), and the Community Advisors (CAs). The CCs also responsible for conducting review and screening of the environmental and social safeguard checklists. Further, they reviewed the completion of necessary safeguard documents, and reviewed the quality of documentations uploaded by the CAs or the Community Implementing Organizations (CIOs) in the NUSP-2 website.

26. At the kelurahan level, there were CAs who may in-charge for 1 - 2 kelurahans, and responsible for assisting each CIO for day-to-day management of the community contract works, among others, facilitating the establishment of CIO and user groups; facilitating the preparation of Community Action Plans (CAPs); and providing the community with technical guidance in book-keeping, documentation and report preparation.

27. In January 2019, the Safeguard Team joined the Technical Coordination Meeting in Grand Tropic Hotel, Jakarta, for the CCs, CAs and Sub-Specialists NSD. The Safeguard Specialist joined the class of Sub-Specialist NSD to brief them the Environmental Management Plan (EMP) on each NSD site. Invitation letter and pictures of these events is shown in Appendix 4. In addition, the capacity building was also done by the Satker staff members and safeguard consultant team during the site visit to the NSDs in Kapuas (March 2019), Palopo (April 2019), Kendari (May 2019), and Bima (September 2019).

Chapter 8. Key Issues and Corrective Actions 28. Some corrective actions for pending issues were completed, some are still partially achieved and some not achieved. The corrective actions on the gaps of EMP implementation identified in the 2018 AEMR have been followed up in 2019, and reported in Table 2 .

10 Table 2 Key Issues and Corrective Actions

Status/Progress No Key Issues / Gaps Corrective Actions PIC & Schedule up to Oct 2019 1 The Local The Local PIC: DLHs Completed – The DLH Environmental Environmental Agencies officer checked the Agencies (DLH) have needs to conduct completion of complex Schedule: During site not yet conducted random checking during civil works in Tambak visits and ad-hoc random checking and after completion of Rejo, Semarang. events in Q4 of 2018 during construction the construction works and Q1 of 2019. and after completion to in 2019. inspect environmental procedures and impacts.

2 The formulation and Monitoring the PIC: LCO at respective Partially achieved – establishment of the formulation of O&M local Public Work Palopo, Bima and O&M mechanism. mechanism for Kendari, offices. Kapuas NSDs already Bima and Kapuas NSD have the O&M in the Q1 2019. Schedule: Q1 2019 mechanism for NSD Management Board, while for Kendari NSD, the local government is now preparing the Mayor’s Decree for NSD Management Board

3 Environmental Monitoring the PIC: CA/CC Completed – the work continuation of multi- safeguard monitoring completed on March at Tambak Rejo years contract in 2019. Tambak Rejo Schedule: neighborhood, neighborhood, During site visits Semarang City Semarang City (to be reported in the next report).

Chapter 9. Conclusions 29. Conclusions. In 2019, there were only few NUSP-2 subprojects conducted: NSD construction activities in Bima City and Kapuas District; and a multi-year, complex civil work contract in Tambak Rejo, Semarang City. Thirty-one community-typed contracts were cancelled due to Bappenas’ recommendation to partially cancel the NUSP-2 loan.

30. The monitoring of environmental mitigation was conducted in a participatory and consultative manner, involving the related stakeholders particularly the community. Monitoring of environmental mitigation on the projects/sub-projects implemented has generally improved over the previous year with regards to the capacity building conducted, completeness and quality of supporting documents provided for this 2019 monitoring report.

31. As for the responsibility of the agencies and community organizations, only partially complied status is about the proposals, contracts, and checklists which were not disclosed on the neighborhood boards. The disclosure was not conducted due to uncertainty of the funds to continue of project. However, the process of preparing these checklists, proposals and contracts were conducted in a participatory and transparent manner through series of neighborhood meetings.

11

32. Corrective actions identified in the 2018 monitoring reports in relation to conducting safeguards monitoring have been completed in 2019. One corrective action remains partially achieved is related to the absence of major decree on the establishment of Kendari NSD board.

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APPENDICES

13 Appendix 1. Environmental Screeening and Assessment for Sawah Lebar Baru Community Contract, Bengkulu

1.a. Form SFG-1 to Screen Out Negative Investment List Activities for Community Contract Work Packages in Sawah Lebar Baru, Bengkulu City

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15 1.b. Form SFG-2 to Identify Social and Environment Impacts

16

Appendix 2. Monitoring Progress of Construction Work in Tambak Rejo, Semarang

17

18

19 Appendix 3. CAP Drafting Process for Kota Karang, Bandar Lampung 3.a. Minutes of Meeting MUSKEL III

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21

22 3.a. List Attendances of Meeting MUSKEL III

23 3.c. Notes of Meeting MUSKEL III

3.d. Photos of Meeting MUSKEL III

24 Appendix 4. Technical Coordination Meeting, January 2019 4a. The Invitation Letter to the Meeting

25 4b. Picture of Technical Coordination Meeting, January 2019

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