Environmental and Social Impact Assessment | 1

Public Disclosure Authorized

Environmental and Social Impact Assessment Request for a preliminary assessment of the environmental impact

Public Disclosure Authorized Public Disclosure Authorized

Project of construction of the protective embankment on left bank of the river, from upstream to

Glavičica Public Disclosure Authorized

Banja Luka, January 2014 Environmental and Social Impact Assessment | 2

Environmental Management Plan and Social Impact Assessment for SUBJECT Project of construction of the protective embankment on left bank of the Drina river, from Balatun upstream to Glavičica

Ministry of Agriculture, Forestry and Water Management Republic of CLIENT Srpska,

CONSULTANT Civil Engineering Institute “IG” L.L.C.

REF. No. IZ-IGBL-IN- EK - 00134/14

Nebojša Knežević, M.Sc.Technology Saša Dunović, B.Sc.Technology Nevenko Samouković, B.Sc. in Civil Engineering – hydro engineer CONSULTING TEAM Ranka Pušić, B.Sc. Biology Dušan Lajšić, Bachelor of Laws PhD Branislav Đorđević Đorđe Stefanović, Bachelor of Laws

Manager Director

______Slobodan Stanarević, M.Sc. in Civil engineering

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TABLE OF CONTENTS:

1. INTRODUCTION ...... 5

1.1. HISTORICAL DATA ABOUT FLOODS ON THE RIVER ...... 6 1.2. BRIEF DESCRIPTION OF BOSNIA AND HERZEGOVINA FLOOD PROTECTION PROJECT (BAFPP) ...... 7 1.3. AIM OF ASSESSMENT OF ENVIRONMENTAL AND SOCIAL IMPACTS ...... 8 2. PROJECT DESCRIPTION, LOCATIONS, PURPOSE AND SIZES ...... 9

2.1. DESCRIPTION OF THE EXISTING SITUATION AND DISCUSSED SOLUTIONS OF FLOOD MANAGEMENT ...... 9 2.1.1. Overview of designs for the area of ...... 10 2.2. LOCATION OF CONSTRUCTION OF PLANNED EMBANKMENTS ...... 11 3. DESCRIPTION OF POSSIBLE ENVIRONMENTAL IMPACT OF PROJECT ...... 19

3.1. OVERVIEW OF THE WORLD BANK ENVIRONMENTAL REQUIREMENTS ...... 19 3.2. THE DIFFERENCES BETWEEN THE LEGISLATION OF WB AND LEGISLATION OF BIH ...... 21 3.3. DESCRIPTION OF THE ENVIRONMENT IN WHICH THE PROJECT MAY HAVE AN IMPACT ...... 22 3.3.1. Physical factors ...... 22 3.3.2. Biological characteristics ...... 28 3.3.3. Allocation of land ...... 31 3.3.4. Socio-cultural characteristics ...... 31 3.4. DESCRIPTION OF POTENTIAL IMPACTS OF THE PROJECT ...... 32 3.4.1. Impacts during the project preparation ...... 32 3.4.2. Impacts during construction ...... 33 3.4.3. Impacts during the use stage ...... 35 3.4.4. Environmental positive impacts of the Project ...... 35 3.5. RESETTLEMENT POLICY FRAMEWORK ...... 37 3.5.1. Introduction ...... 37 3.5.2. Legal and policy framework ...... 37 3.5.2.1. OP 4.12 World Bank requirements - Operational Policies OP 4.12 ...... 37 3.5.2.2. National framework ...... 39 3.5.2.2.2. Property regulations relevant to the Project...... 39 3.5.2.3. Combined requirements of National legislation and the World Bank to be applied to the project ...... 44 3.5.2.4. Procedure of acquisition / expropriation and resettlement ...... 45 3.5.2.4.2. Compensation for Expropriated Real Property ...... 46 3.5.2.4.3. Property Easements ...... 47 3.5.2.4.4. Compensation for Easement ...... 47 3.5.2.4.5. Expropriation Process ...... 48 3.5.2.4.6. Taking Possession of Expropriated Real Property ...... 48 3.5.2.4.7. De-expropriation ...... 48 3.5.2.4.8. Expropriation Process Costs ...... 49 3.5.2.4.9. Process for Determining Compensation for Expropriated Real Property ...... 49 3.5.2.5. Appeal procedure ...... 49 3.5.2.5.1. Right to Build ...... 50 3.5.3. Process of acquisition/ expropriation and resettlement (table 10) ...... 52 3.5.4. Compensation matrix (table 11) ...... 54 3.5.5. Gender impact and mitigation measures ...... 57 3.5.6. Institutional framework...... 57 3.5.7. Monitoring and evaluation...... 58 4. DESCRIPTION OF ENVISAGED MEASURES FOR PREVENTION, DECREASE AND REMOVAL OF NEGATIVE IMPACTS ...... 60

4.1. PLAN OF MEASURES FOR PREVENTION/MITIGATION OF ENVIRONMENTAL ENVIRONMENTAL IMPACTS ...... 60 4.2. ENVIRONMENT MONITORING PLAN ...... 67 5. A SHORT OVERVIEW OF ALERNATIVES THAT HAVE BEEN CONSIDERED BY THE PROJECT HOLDER AND STATEMENT OF REASONS FOR THE SELECTED SOLUTION, GIVEN THE IMPACTS ON ENVIRONMENT...... 70 6. PLANNING ACT EXTRACT ...... 71 Environmental and Social Impact Assessment | 4

7. INFORMATION ON POSSIBLE DIFFICULTIES FACED BY THE PROJECT HOLDER WHEN COLLECTING THE DATA 72 8. NON-TECHNICAL RESUME ...... 72 9. WASTE MANAGEMENT PLAN ...... 76 10. OVERVIEW OF NEEDS FOR PERMITS ...... 77 11. ANALYSIS OF OPTIONS FOR READINESS IN CASE OF FLOODS ...... 77 12. PUBLIC CONSULTATIONS AND DISCLOSURE ...... 79 13. ANNEXES ...... 83

ANNEX NO. 1: WASTE MANAGEMENT PLAN ...... 1 ANNEX NO. 2: GOOD CONSTRUCTION PRACTICES ...... 1 ANNEX NO. 3: SOCIAL ASSESSMENT DETAILED ANALYSIS ...... 5 ANNEX NO. 4: THE IMPACT ON LAND ACQUISITION AND RESETTLEMENT ...... 1

Abbreviations and Acronyms

BAFPP - Bosnia and Herzegovina Flood Protection Project BiH - Bosnia and Herzegovina DRBMP - Drina River Basin Management Plan EA - Environmental Assessment EIA - Environmental Impact Assessment EK - European Commision EP - Environmental Permit ESIA Environmental and Social Impact Assessment ESMP Environmental and Social Management Plan EU - European Union FBiH - Federation of Bosnia and Herzegovina FPP - Flood Protection Project HPP - Hydro Power Plant IPA - Instrument for Pre-Accession assistance NGO - Non-governmental Organization PUO - Environmental Management Plan RBM - River Basin Management RBMP - River Basin Management Plan RS - Republic of Srpska ST – Chainage

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1. INTRODUCTION

The aim of this Environmental and Social Impact Assessment of Flood Protection Project in Bosnia and Hercegovina is: (i) analyze the policy, legal and administrative framework relevant to rehabilitation, modernization and construction of flood protection infrastructure, ii) analyze available baseline data on the environmental issues and their trends, (iii) identify possible negative and positive environmental impacts of the project and propose mitigating measures if required, (iv) provide key criteria for environmental quality monitoring in the project implementation areas, (v) develop guidelines for environmentally sound construction practices and (vi) assist in the inter-agency coordination and the public/NGO consultation process.

Project “Control and Regulation of Sava river in Yugoslavia” included solution for resolving of problem of Flood Protection with combined strategies as follows: linear systems of protection, construction of cofferdam, construction of retention and regulation of water regime with construction of accumulations.

Under natural conditions, 1896 the whole valley of the Drina River was flooded. It was an extreme hydrological event and shows all adverse coincidence of hydrological and meteorological phenomena which may occur and cause catastrophic flooding (1896, high water levels of Danube river spilled over bridge in Višegrad). Due to intensive settlement and urbanization of river valley as well as occupation with significant industrial and infrastructure facilities and systems, possibly repeating some similar hydrometeorological situation would cause flooding that would have catastrophic consequences. The situation with the Drina river is more favorable in regard to its natural state. Reason for that are builded hydropower systems at upstream of Drina river (Montenegro, and Bosnia and Herzegovina): HPP „Uvac“, HPP „Kokin Brod“, HPP „Bistrica“, HPP „Potpeć“, HPP „Piva“, HPP „Višegrad“, HPP „Bajina Bašta“ and HPP „” with total installed capacity of a 1932 MW. HPP “Višegrad“, HPP „Bajina Bašta“ and HPP „Zvornik” are on Drina river.

Listed HPPs with favorable plan of operation can effectively influence on the reduction of large (flood) waters of the Drina river. Accumulation " Bajina Bašta " may have less favorable impact on the regime of flood waters on the lower course of the river Drina and a quite small accumulation “Bajina Bašta”.

In addition to the accumulation in the basin of the Drina river, which have an impact on reducing the flood wave through the provision of reserve accumulation in their areas, in the lower reaches of the Drina river were constructed and linear protection systems (embankments). These protection systems protect large expanses of Semberije and Mačva with the range of protection of centennial high water. In the lower course of the Drina river were built the following line protection systems:

Right Bank of Drina river: - Protective embankment around Crna Bara, length of embankment 7,14 km, width of the embankment crown b= 5,00 m, side slope towards the river 1:2, side slope towards protected area 1:2, elevation of embankment crown 83, 30 – 85,50 m above sea level; - Protective embankment Crna Bara-, length of embankment 7,96 km, width of the embankment crown b=6,0 m, side slope towards the river 1:2, side slope towards protected area 1:2,50, elevation of embankment crown 86,00 – 92,74 m above sea level; - Protective embankment - bypass road around , length of embankment 10,30 km, width of the embankment crown b=3,0 m, side slope towards the river 1:2, side slope towards protected area 1:2,50, elevation of embankment crown 122,40 – 127,40 m above sea level.

All listed, existing linear protection systems have range of protection of centennial high water and protective embankment hight of 0,80 – 1,00 m. Left Bank of Drina river:

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- Left embankment of Drina river along Balatun, length of embankment 8,00 km, width of the embankment crown b= 5,00 m, side slope towards the river 1:3, side slope towards protected area 1:2,50, elevation of embankment crown 83, 50 – 85,70 m above sea level.

1.1. Historical data about floods on the river

Drina river has been known per major floods before construction of several accumulations. Most remembering flooding is flooding which occurred on the march 27, 1896 when the major rainfall, combined with melting of snow, in the middle course of the Drina river flow occurred from about 9500 m³/s (for comparison: average flow of the river Danube in Belgrade is 5600 m³/s) which led to the destruction of several villages. Among others, the city of was destroyed. Historical Mehmed Paša Sokolović Bridge was completely under water. High water mark of 16 m is really unusual value for rivers in these geographic areas.

In the past decade, particularly wet conditions leading to severe inundation along the Drina were observed in 2004, 2005 and lately in December 2010. Prolonged dry periods, leading to drought alerts, were observed in 2001, 2007, 2008 and 2011.

In Bosnia and Herzegovina, the flood events are most pronounced in the tracts downstream of Zvornik (or about up to 40 km upstream from the confluence with the Sava) affecting notably the municipalities of Bijeljina and in the lower part of the basin in RS, and the area around Gorazde, in the FBiH.

Information about the floods that have occurred in the past and which have had a significant negative impact on the environment are based on the available data from existing and available documentation and other data collected in the field through the "Questionnaire on the flood event", which were collected during the 2011 and 2012. Through the "Questionnaire on the flood event" are obtained basic data on floods from the relevant structures of the City of Bijeljina.

In early December (December 7, 2010), dramatic floods in Sembrija and high waters of the Drina river flooded approximately 83.60 km2 of agricultural and urbanized land. In the immediate Drina river basin, which belongs to the city of Bijeljina, with collecting data on the filed through the "Questionnaire on the flood event," the following data are recorded:

- Number of flooded residential buildings...... 869 - Number of flooded apartment buildings ………………...... 0 - Number of flooded individual houses …………………...... 869 - Number of flooded auxiliary facilities...... 1.386 - Number of residents in flooded areas ……...... 9.761 - Number of evacuated households from flooded areas ...... 653 - Number of evacuated residents from flooded areas …...... 2.612 - Number of flood victims ……………………...... 0 - Estimated direct flood damage ...... 19.790.000,00 BAM - Estimated indirect flood damage …………...... 13.355,000,00 BAM - Total estimated flood damage …………...... 33.145.000,00 BAM

It is estimated that the one hundred year flood waters (Q1/100 = 5350 m3/s) of the Drina river flooded about 9,200 hectares of agricultural and urbanized land. Proportionally, increasing flood areas would increase direct and indirect damages of defended areas. Environmental and Social Impact Assessment | 7

Figure 1 Flooded area on the way to Bijeljina (2010)

The zone along the left side of the lower course of the Drina river in length of several hundred meters to 1 km Drina blue almost every year and during this period water levels are quite high (flows are higher, from 1600 to 1700 m³ / s, which is the maximum flow of return period of one or two years).

This zone includes parts of the villages Janja and . Particularly, near the village Amajlije is a weekend settlement (which are not obtained the necessary permits) and therefore these houses are under the influence of flooding as well as some households in the vicinity of the Janje in which people reside permanently.

Except these flood zones with completed facilities, there are also other inundación zones along the entire length of the lower course that blue almost every year. In these zones is very little built facilities (mainly for agricultural or forest land).

1.2. Brief description of Bosnia and Herzegovina Flood Protection Project (BAFPP)

The purpose of this Task is the development of the Feasibility Study and the Environmental and Social Impact Assessment documents for Bosnia and Herzegovina Flood Protection Project.

In June 2012, the competent institutions of BiH formally requested the World Bank to consider the provision of financing for the Bosnia and Herzegovina Flood Protection Project (BAFPP). The World Bank has approved the support as a request made by BiH to establish urgently needed measures to mitigate and manage floods in the areas of Goražde (FBiH) and Bijeljina (RS).

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It is anticipated that the aim of this project protection of 1 – to -100 flood protection to agricultural, residential and commercial resources in municipalities of Goražde, Foča - Ustikolina, Pale – Prača (FBiH), Bijeljina and Janja (RS). This aim would be achieved through (a) construction, rehabilitation and modernization of the flood protection infrastructure, (b) institutional development through strengthening the flood forecasting and early-warning facilities.

Study “Framework for Emergency Flood Protection on the Drina River, Bosnia-Herzegovina” was made 2012. The Study is identified and evaluated feasible options for short-term flood protection in the project areas, considering the national water policies and legislative considerations, as well as move towards meeting the requirements of the EU Flood and Water Framework Directives, taking into account that the short-term measures do not preclude or hinder the introduction of more comprehensive and longer - term measures that would be based on the Drina River Basin Management Plan (DRBMP).

The Flood Protection Project (FPP) refers to the eastern part of Bosnia and Herzegovina. The area is located in the basin of the Drina river.

Flood Protection Project (BAFPP) includes investments in the rehabilitation, modernization and construction activities of flood protection infrastructure. It has been classified as a Category B project and therefore requires an Environmental Assessment (EA). The EA required to evaluate the project's potential environmental risks and impacts in its area of influence. It aims to identify the way in which projects selection, planning, design and implementation can be improved

The process includes site-specific examination of the project's potential negative and positive environmental impacts and recommends any measures needed to prevent, minimize, mitigate, or compensate for adverse impacts and improve environmental performance.

The aim of the impact assessment is to: (i) analyze the policy, legal and administrative framework relevant to rehabilitation, modernization and construction of flood protection infrastructure; (ii) analyze available baseline data on the environmental issues and their trends; (iii) identify possible negative and positive environmental impacts of the project and propose mitigating measures if required; (iv) provide key criteria for environmental quality monitoring in the project implementation areas; (v) develop guidelines for environmentally sound construction practices and (vi) assist in the inter-agency coordination and the public/NGO consultation process if necessary.

1.3. Aim of assessment of environmental and social impacts

Preparation of this Study is in accordance with the requirements of the WB safeguard policies and in accordance with the procedures of preparing projects financed by the WB.

The aim of preparation of this document is to:

- Analyze currently valid legal framework relevant to Flood Protection Projects - Analyze available data on the initial state of the physical and biological environment and social conditions that are present in the field; - Identify potential negative and positive environmental and social impacts of the project and proposed mitigation measures; - Suggest a monitoring program of environmental and social developments.

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2. PROJECT DESCRIPTION, LOCATIONS, PURPOSE AND SIZES

2.1. Description of the existing situation and discussed solutions of flood management

The current situation shows that the majority of BiH implemented technical measures for flood protection while non-investment measures implemented in a much smaller proportion. From the group of non-investment measures only measures concerning the preparation of protection plans are implemented, while long-term measures are missing (for example: urbanization which takes into account the hydrotechnical requirements or implementation compliance with the technical rules for building in affected areas, increasing awareness of the floods, the level of preparedness and education). Many problems have become more complicated in recent years due to uncontrolled population in the river valley and the area near the banks of the river that require extensive and very expensive protection that must be provided in some areas.

Water Act of the Republic of Srpska (Article 25) involves the preparation of Integral water management strategies - as a basic document for the development of the water sector in the Republic of Srpska.

Framework for preparation of water management plan for the RS (hereinafter "Frames Plan") is one of the most important documents of the Strategy. Publication of this document was done at the right time, i.e. after the preparation of the draft and the beginning of the adoption of the Law on Water of the Republic of Srpska. This framework plan should serve as a transition document until the publication of key policy documents on water, and should be used as the basis for the strategic development of the Republic of Srpska.

Ministry of Agriculture, Forestry and Water Management RS has prepared this Action Plan for the period from 2010 to 2021 for the Sava river basin in the RS.

This Plan for the Drina river basin in RS plans to build a new system of flood protection (length 40 km). According to available data, about 200,000 hectares of agricultural and urbanized land in the Sava river basin in the RS should be protected from flooding.

The current situation and project ideas for the region Bijeljina:

- On left bank (BiH) of Drina river is embankment about 5 km long and begins at the confluence of the Sava river; - On right bank (BiH) of Drina river is embankment about 20 km long and begins at the confluence of the Sava river; - Map that include actual riverbed Drina river bed of 100 years ago were available (when the Drina River was the border between the Austro-Hungarian and Serbian); - With regard to the definition of the border 100 years ago ("middle river Drina is the border") there are problems with a clear definition of the border today; - According to the received information the state boundary problems are serious, especially downstream of the new bridge - Serbia's approval is required and it seems that it is difficult to obtain; - New road and bridge were built („Pavlovića most“) around 1991/1992, the road formed embankment. During flooding in December 2010 in road-embankment was made a hole to prevent flooding in Bijeljina, but it has caused flooding in the Dvorovi, Dazdarevu etc. (it is said that it is better to make a hole closer to the Drina (this is the area where the three variants of the embankment cross the road); - One consequence of the embankment on the right bank is probably to direct the water to the Bosnian side; - No dam downstream of Zvornik; Environmental and Social Impact Assessment | 10

- There are ideas of hydropower plants on the Drina in this area, but nothing to today has not been implemented; - Channel ("CHANNEL DRINA GLOGOVAC") is located at a relatively high elevation (between the embankments); - Embankment on Sava river was built HQ100 + 80 cm (embankment is lower on a short section on the Bosnian side); - Area of about 8000 hectares are flooded during the flood in December 2010, the flow of the Drina was around 4000 m³ / s, which is considered as rank occurrences of 1/60 years. (while the Sava flow was approximately equal to the return period of 1/20 years (approximately 5950 m³ / s at the water station Sremska Mitrovica); - During the flood in December 2010 water did not exceeded embankment on the right bank of the Drina river (Serbia); - Settlements Jana and Talisman are flooded almost every year; - Hydrometeorological station near the new bridge exist since 2007 (Pavlovića bridge); - Near Raca there is an automatic station for measuring the quality and level of water (for Sava river, but the level is almost the same as at the confluence of the Drina river); - Station in Serbia exists since 1976: Radalj; - From 1926 to 1982 was a station at the confluence of the Drina (where it is now automatic station) that was the basis for Q100, flow rate of 4075 m³ / s acc. Project Institute Jaroslav Čarni; - According to the project "Energoprojekt 1998," three versions of embankments have been proposed (see Appendix), the height of the embankment: 2-3 m (max. 4 m).

2.1.1. Overview of designs for the area of Bijeljina

Table 1 Designs Municipality Zvornik – Bijeljina Bijeljina Design Preliminary design for Drina river General design of flood protection and regulation on section from the regulation of river bed in upper stream confluence to the Zvornik of Drina river Designer Institute for Water Resources „Energoprojekt“ Belgrade "Jaroslav Cherni" Belgrade Note: Project: Preliminary design for Drina river regulation on section from the confluence to the Zvornik was made 27 years ago and has been used as the basis for the Study of Energoprojekt from 1998

Table 2 Overview of works on the regulation of the Drina river Municipality Bijeljina Design General Design of flood protection and regulation of lower stream of Drina river Planned structures for Earthen embankment with slope protection of rockfill on the river side flood control of embankment (about 11 km long, 1-4 m height, average 2.5 m).

Emergency measures for flood protection. Due to the specific situation caused by the war and the difficult economic situation, emergency protective measures against flooding primarily consist of emergency repair and renovation works. According to the urgent needs for the construction of slope protection (rock fill), in order to avoid erosion of the banks of the river (the downstream section, with a length of 20 km). At this point the only emergency repairs of existing slope protections or construction of new slope protections on the sharp bends of the river can be funded from limited funds.

Medium-term measures for flood protection. When implementing short-term measures for flood protection, there will still be approximately the same length under the threat of flooding, zone downstream from the bridge Pavlovic, as well as zone of about 15 km upstream from the channel Glogovac.

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In these areas would also urgently needed to build the embankment, especially on the section about 10 km from Pavlovića bridge downstream from the existing embankment (embankment ending about 5 km upstream from the confluence of the Sava river) and on section from app. 15 km upstream from channel Glogovac. Because of limited financial resources, project and limitations in the capacity to build, section downstream from Pavlovića bridge, ie. upstream of the Glogovac channels in length of 11 km is categorized as medium-term measures. This section will has most impact on the protection of Bijeljina.

2.2. Location of construction of planned embankments

Preliminary technical solution includes the construction of a protective embankment on the left bank to protect against flood waters of the Drina river for areas of Semberija and Janja in the city of Bijeljina.

Protective embankment should be positioned from Balatun, where he adds on the existing Left Drina`s embankment and to upstream to Glavičica (Figure 2). Embankment should provide flood protection for settlements: Balatun, Međaši, Dvorovi, Popova, Amajlija, Janja and new settlement Nova Janja, and significant agricultural areas (app. 8350 ha) with high prudential class for agricultural production. It is estimated that the total length of the dike will exceed app. 33,36 km. On the right bank of the Drina River, the embankment will be connected to the existing embankment near Badovinaca, and stretch upstream to the Banja Koviljača.

The works should include bulkhead structures in the backwaters to exclude parallel flows in the effluents of the Drina river, and to concentrate only on the main riverbed. Their aim is to direct water into the main stream, enhance the deposition of material and eventually completely excluding the effluent from the flow, and to prevent meandering of river Drina towards the protective embankment and endangerment of supporting embankments.

The current situation has resulted in collapsed river banks, the removal of the most fertile land and flooding of large areas of agricultural and urbanized land, coastal settlements and other. Such situation with Environmentalviewpoint adversely affecting the protection of the environment: people, flora and fauna, soil, water, air, climate, landscape, material assets and cultural heritage. Environmental and Social Impact Assessment | 12

Figure 2 The planned route of the embankment along the left bank of the Drina river

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Figure 3 Start of the route of embankment, (agricultural land)

Figure 3 shows the location where is predicted that the route of the embankment connects with existing channel in Johovac. Most of the area is arable agricultural land (cultivated areas) while the water belt covered with dense vegetation, shrubs and tall trees. near the site no residential units as well as economic entities. In this area was identified gravel plant near the Drina riverbed.

Agricultural areas, according to their most important characteristics (location, relief, ability to secure the necessary amount of water for irrigation, the possibility of protection from water, etc.), are areas where we can develop appropriate intensive agricultural production, using all means and methods used in modern agriculture.

On the part of the planned route through the settlement of Janja (Figure 4) embankment would pass through the settlement, between the residential buildings. There is enough space to build a route out of existing facilities, so there is no need for the displacement of the local population. In this part of the route there are residential buildings that will be flooded during a major flood. In this part of the route is predominantly agricultural land with vegetation scrublands and tall trees along the Drina river. In this area is the location of public beach on Drina river bank as well as two larger forest areas. Environmental and Social Impact Assessment | 14

Figure 4 The route in settlement Janja, north direction

Figure 5 Connection of channel Dašnica with the Drina river, view to the north (at this point the channel Dašnica supplied with water from the Drina riverbed)

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Residential buildings are not identified on the part of the route from the Janja to the Amajlija (in the zone of Project) . This zone is dominated with cultivated agricultural lands with major forest area near bank of Drina river in entire length from Janja to Amajlija. In this area there is a water level regulation plant for the Dašnica canal as well as the Drina river, that is the confluence of the Dasnice canal and Drina river. displacement of embankment is planned on the part of the route (Figure 6 and Figure 7). Reason for that is the existing embankment near Slobomir and also the elevation of the terrain on section from Pavlovića bridge to University of Slobomir which already serves the purpose of flood control of the Municipality of Bijeljina, in length of 1 600m.

Displacement is predicted in a length of app. 2 200 m, in the direction of Slobomir to intersection to Popov. Embankment would still be locatedin the direction of a Međaši further north to Balatun, more precisely to the point of joining with the existing embankment for protection of the Municipality of Bijeljina and related settlements from flooding of rivers Sava and Drina (Figure 7). The existing embankment on the left Drina bankalong Balatun is 8.00 km long with a width in the embankment crown of b = 5.00 m, the slope of the embankment towards the river side is 1:3, the slope of the embankment towards the protected area 1:2,50, elevation of embankment crown 83.50 - 85.70 m above sea level. This is the location where it is planned to merge the existing left embankment and new designed embankment.

Figure 6 Location of displacement of embankment in

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Slobomir is built on the embankment that will be used in the system of flood protection. Construction of the embankment in direction of Amajlija will continue from the existing embankment.

Figure 7 Displacement of embankment near Slobomir, view to the south (Popovi and Amajlije)

Figure 8 Connection of future embankment with existing embankment (existing embankment is at this section) Environmental and Social Impact Assessment | 17

Project of construction of protective embankment of City of Bijeljina from floods of Drina river, i.e. the planned construction of the Drina left embankment will be carried outexclusively in the territory of Bosnia and Herzegovina. However, with implementation of planned activities some buildings and areas (Figure 9) located on the territory of the Republic of Serbia, but at the same time on the left bank of the Drina river will be then located between the two embankments. This fact may to lead to the interest of the public and the institutions of the Republic of Serbia for the project and the impact of the project on the neighbouring country.

Figure 9 Objects on the left bank of the Drina river, but on the administrative territory of the Republic of Serbia

The management of water resources so as to enhance, preserve and protect the water comes from the international obligations of Bosnia and Herzegovina as well as Republic of Srpska and the Federation BiH. These obligations arise from adoptinginternational conventions and protocols on the use and protection of water. '' On the basis of the Convention on the Protection and Use of Transboundary Watercourses and International Lakes'', Bosnia and Herzegovina and neighboring countries have agreed to take all necessary measures to monitor, prevent and reduce of transboundary impact.

The Convention set out principles which will adhere to the party in the application of water use:

• ensure that transboundary waters are used for the purpose of environmentally sound and rational water management, protection of water resources and the environment, • ensure that transboundary waters are used rationally and fairly, taking into account their international character, in respect of the activities which cause or are likely to cause transboundary consequences, • ensure the protection and where necessary ecosystems restoration.

During implementation of measures regarding water usage parties must abide by the following principles: Environmental and Social Impact Assessment | 18

„Water resources should be managed in a way to meet the needs of the present generation so that it does not prejudice the ability of future generations to meet their own needs“.

The Convention further states, that prevention, control and reduction of transboundary impact shall be developed, adopted and implemented by the Parties, to the extent possible, in order to harmonize the applicable laws, administrative, economic, financial and technical measures to achieve, among the other things, the following:

• environmental impact assessment, • promotion of sustainable management of water resources, taking into account the ecosystem.

According to the “Convention on the assessment of environmental impact across national borders'', Espoo, Finland 1991 (Bosnia and Herzegovina is a signatory of that Convention), there is a requirement to analyzethe cross-border impact of the planned project.

This obligation is incorporated in the Law on Environmental Protection of RS (Official Gazette of RS, no. 71/12), the Articles 75. to 79. According to the terms defined in these Articles, unless the competent Ministry in the proceedings of the previous assessment determines that it is a project with the potential impact on the environment of another state is obliged to submit to the competent authority of another State that the notice that contains of:

a) project description with the available information on the possible impact on the environment of another state, b) information that Ministry proceedings prior impact assessment of the project and will issue a decision on the obligation of conducting impact assessments as well as the scope of the assessment, if its enforcement is necessarily, and c) a period in which other countries can declare whether they need additional information for submitting opinions of the proceedings of the previous estimates, and in the eventual process of issuing environmental permits.

The Ministry should be the competent authority of another State forward:

a) request for a preliminary assessment of the impact and the attached document in the proceedings of the previous impact assessment or b) request for issuance of approval studies and impact studies, and notice of the time and place of the public discussion in the process of issuing a decision on approval of the Study.

Ministry should consider in a process of approving impact studies and issuing a decision on approval of the study opinions on the application for the issuance of a decision on approval of the study and the study of influence given by the competent authority of other State.

In the process of issuing a decision on approval of the study, the Ministry shall allow participation in public discussion of representatives from the other State in which the project may have an impact, as well as representatives of the competent authority of other State.

After a detailed insight into the proposed technical solutions it has been concluded that the planned construction and exploitation of the flood protective embankment of the Drina river from Balatun to Glavičica settlements on the territory of the City of Bijeljina will have no influence on other State.

The route of the new embankment is established to go as close to the cadastral boundary of Municipality of Bogatić, but on the way that embankment entirely built on the territory of Bosnia and Herzegovina. In this way the retention area is enlarged (the area between the two Environmental and Social Impact Assessment | 19 embankments on the left and right bank, several kilometers wide). Large retention area provides enough space in case of large, flood waters that would ensure the level of water does not rise high enough to cause flooding of buildings that are located on the left bank of the Drina river, but on the administrative territory of the Republic of Serbia.

With such positioning of the embankment the impacts of embankment construction are minimized in the downstream area of the right bank of the Drina River from flooding water and thus the effects of this Project on the Republic of Serbia are avoided.

3. DESCRIPTION OF POSSIBLE ENVIRONMENTAL IMPACT OF PROJECT

3.1. Overview of the World Bank environmental requirements

All projects funded by WB are subject to safeguard policies and procedures of WB, particularly OP / BP / GP 4.01 EA including public consultation and public disclosure requirements. These procedures describe the tools and procedures to mitigate or avoid the negative economic, social and environmental issues that may arise. EA of the proposed project is a process whose width, depth and type of analysis depend on the nature, size and potential impacts on the environment. It evaluates the potential environmental risks and impacts of the project; studying alternatives to the project, identifies ways of improving project selection, vision, planning, design and implementation by preventing, minimizing, mitigating or compensating for adverse environmental impacts, and enhancing positive impacts.

World Bank policies on environmental and social safeguards are the basis of its support to sustainable poverty reduction. The aim of these safeguards is to prevent and mitigate the negative impacts onto the population and their environment in the process of project development. These measures provide guidance to the Bank and the borrower in the identification, preparation and implementation of programs and projects.

OP/BP 4.01 Environmental Assessment Aim of this rule is to ensure that the investment projects are environmentally and socially sound and sustainable, and thus to improve the integration of environment and social aspects of the Project in decision making process.

Environmental Assessment (EA) evaluates potential environmental impacts and risks related to the project, examines project alternatives, identifies ways of improving the selection of project alternatives, sitting, planning, designing, and implementation by prevention, minimization, mitigation, or compensation of adverse environmental impacts.

The proposed project are classified into one of three categories (A, B, C), depending on the environmental selection as follows:

- Category A – adverse impacts on the environment are broad, variedaffect areas beyond project footprint, involve major resettlement or alteration / degradation of natural habitats; hazardous materials. - Category B – potential adverse impacts are more limited and particularly only on the project site, fewer in number and scope; largely reversible, readily mitigated through use of known methods - Category C – The project is likely to have minimal or no adverse environmental impacts

The Flood Protection Project is categorized as Category B.

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OP/BP 4.04 O Natural Habitats

Natural habitats are land and water areas where (i) the ecosystems' biological communities are formed largely by native plant and animal species, and (ii) human activity has not essentially modified the area's primary Environmentalfunctions. All natural habitats have biological, social, and economical value of existence. The important habitats may occur in tropical humid, dry, and the cloud forest; temperate zone forest and boreal forests; Mediterranean shrub land; naturally dry and semi-arid lands, mangrove swamps, coastal marshes, and other wet areas, estuaries, seagrass sediments, coral reefs, freshwater lakes and rivers, alpine and sub alpine environments, including vegetable fields, meadows, paramo ecosystems and temperate and tropical grasslands.

The Bank does not support projects that, in the Bank's opinion, involve the significant conversion or degradation of critical natural habitats.

Appropriate conservation and reduction measures of consequences must be determined for the project in the case of an impact on natural habitats. Due to this environmental experts will be involved throughout the whole process.

The rule in certain cases may be driven by the subproject activities given the works proposed in this project may have some impacts on the Drina river, and eventually the forests located along the Drina river that contribute to the sustainability of critical ecosystems can be influenced. Natural ecosystems of rivers and forests usually support various degrees of complexity of flora and fauna. This rule can also be driven to indicate that the project will create a positive environmental impact on natural habitats.

This rule will be applied to the ESIA and ESMP because interventions concerning the project, including dredging, rehabilitation of river banks, and possible land clearing are located in / near the protected areas including Ramsar sites, for which the provisions of proper preservation and reduction of consequences will be necessary during the works execution.

The Bank does not support projects involving significant conversion of natural habitats. If Environmental assessment process identifies that any natural habitat will be significantly changed, the proposed project will not be possibly to finance.

OP 4.07 – Water Resources Management Bank involvement in water resources management entails support for providing potable water, water supply and sewerage projects, flood control, and water for productive activities in manner that is economically viable, environmentally sustainable, and socially equitable.

The Bank supports projects for avoiding water logging and salinity problems associated with Irrigation investments by (i) monitoring water tables and implementing drainage network ere necessary, and (ii) adopting best management practices to control water pollution.

It also supports projects establishing strong legal and regulatory frameworks to ensure that social concerns are met, environmental resources are protected, and monopoly pricing is prevented. The Bank requires legislation or other appropriate arrangements to establish effective coordination and allocation procedures for interstate water resources.

OP 7.50 – Projects on International Waterways This policy applies to the following types of international waterways:

- any river, lake, canal, or similar water body that forms a boundary between, or any river or surface water body that flows through, two or more states; - any tributary or other surface water body that is a component of any waterway described in (a) above; and Environmental and Social Impact Assessment | 21

- any bay, gulf, strait, or channel bounded by two or more states or, if within one state, recognized as a necessary channel of communication between the open sea and other states‐and any river flowing into such waters.

The International Commission for Sava River Basin has been used for communication with all riparian countries that can be affected by the project (Serbia and Croatia). Therefore, the State- level project team informed the representatives of these countries, in accordance with the Operational Policy OP 7.50 on project implementation. Informing on the works was performed independently of preparing ESMP.

This policy applies to the following types of projects: a) hydroelectric, irrigation, flood control, navigation, drainage, b) water supply and sewerage,industrial, and similar projects that involve the use or potential pollution of international waterways, and c) detailed design and engineering studies of projects under a) above.

The Bank requires that the international aspect of a project on an international waterway is dealt with at the earliest possible opportunity. If such a project is proposed, the Bank requires the beneficiary state, if it has not already done so, to formally notify the other riparian states of the proposed project and its project details. If the prospective borrower indicates to the Bank that it does not wish to give such notification, the Bank normally does it itself. If the borrower objects to such Bank's action, the Bank discontinues the processing of the project proposal.

Table 3 Overview of World Bank environmental requirements The Bank Safeguard Description Policies related to the environment protection The Bank requires environmental assessment for projects proposed for Bank financing to ensure that the projects are environmentally OP/BP 4.01 sound and sustainable, and thus to improve the decision making Environmental Assessment process. The Project of construction of the protective embankment of the Drina river is considered EIA - category B, EIA is required in accordance with national legislation. Promoting the conservation of natural habitats, protection, maintenance, and rehabilitation of natural habitats and their OP/BP 4.04 functions. The Bank supports and expects the borrower to apply a Natural Habitats precautionary approach to natural resource management to ensure opportunities for environmentally sustainable development. Ensuring support for providing potable water, water supply and OP 4.07 sewerage projects, flood control, and water for productive activities Water Resources in a manner that is economically viable, environmentally Management sustainable, and socially equitable. Promoting the conservation of natural habitats, protection, maintenance, and rehabilitation of natural habitats and their functions. The Bank supports and expects the borrower to apply a OP 7.50 precautionary approach to natural resource management to ensure Projects on International opportunities for environmentally sustainable development. Actions Waterways in the scope of the Project of construction of the protective embankment of the Drina river are located in or near protected areas, for which the protection and reduction measurers will be ensured.

3.2. The differences between the legislation of WB and legislation of BiH

Environmental Laws in FBiH and RS provide an adequate framework to implement environmental activities and these will generally be possible to harmonize with the requirements of the WB: Environmental and Social Impact Assessment | 22

a) Preparation of investment: Procedures screening project, Content EA Disclosure documentation, consultation procedures and permits, Institutional EA review, approval and issuance of permits, and effluent standards / guidelines;

b) Implementation of investment: Mitigation Plan, Monitoring Plan, Institutional responsibilities and arrangements for environmental management (data collection, data analysis, report preparation and submission of the same, making decisions on environmental management), Permits and Licensing.

The BiH EIA process is based on the environmental permit (EP), which is in turn demand for other necessary permits (such as urban planning consent in the FBiH or a building permit in the RS). The steps required to obtain the EP are contained in the categorization and screening. Some of the investments that will be identified after the start of implementation BAFPP (I) may be small projects and national legislation would only require an application (Request) to permit (EP, Urban, Building permits, etc.), which can be obtained with or without EIA.

3.3. Description of the environment in which the project may have an impact

3.3.1. Physical factors

Climate

Climatography of wider area of project scope is determined by the specific position relative to the mountain ranges in surroundings. The area is between Dinarski vijenac in central Bosnia in the west, Herzegovinian and high mountains of Montenegro to the south and southeast, and the lower mountains to the north and northeast. The openness of the Drina River valley to the north conditions the area’s exposure areas to cold, polar air that comes from the northeast of Europe. Also, due to the mountain ranges to the west and south, the influence of the Adriatic Sea on climatography of this area is limited.

The climate in the Drina is conditioned, above all, by the Meridional propagation. Therefore, the basin is under the influence of different climate regimes. The source and the highest area of the basin is under the influence of the Mediterranean climate. The Mediterranean influence, although quite debilitated, is felt more in the upper part of the basin, to Srbinje - Foca, from where the moderate continental climate is prevalent. In the lower basin of Drina, downstream from Zvornik, Bijeljina the predominant is the continental climate.

Key features of these three climatic areas are as follows:

(a) Moderate climatic zone of Northern Bosnia and Posavina characterized by a temperate continental climate, with cold winters and hot summers. The hottest zone is Posavina (the average temperatures at July is from 21.3 ° C to 21.7 ° C), but with quite modest rainfall (average annual rainfall 700-800 mm). In the northern valleys of the Drina, Bosna and Vrbas (key tributaries of the Sava River), which belong to this climatic region, the average annual and monthly temperature drops by 2-3 ° C (compared to those from Posavina) and precipitation increases to around 800-1000 mm. Rainfalls in Posavina has the highest value in June and October, i.e. in April and October in the mountains, colder climate zones of the area.

(b) Continental mountainous belt of Central Bosnia is characterized by a continental mountain climate, with much harsher winters (coldest January, with average temperatures of -3.5 to -6.8 ° C, with extreme minima descend below -30 ° C), and Environmental and Social Impact Assessment | 23

moderately warm summers (average temperature in July from 14.8 to 18.7 ° C, with max. temperature up to 36 ° C). Average annual rainfalls are higher (1000-1200 mm), with a more distinct variations and the highest monthly values in autumn and early springtime (the maximum rainfall in November, more than 90 mm).

(c) Maritime zone of Herzegovina, in which prevails a modified Mediterranean climate, with mild winters, hot summers and plentiful rainfall in the colder part of the year. The lowest average temperature in January is from 3.4 to 4.8 ° C, while average July temperatures exceed 24 ° C, with max. temp. of 40 ° C. Rainfalls is in the range of 1000 mm to over 1800 mm ( -1837 mm), whereby at least in the summer months (in July and August and descend to about 30 mm), with max. during late autumn and winter months, when it climbed to 150-230 mm / month. (maximum in December, for example, maximum average rainfall in in December is 236 mm). Typical of this climatic zone: warm, summer low flows, water periods during the and winte, with large rainfall intensity that lead to flooding, which requires the implementation of structures for water; regime, primarily tunnel arrester to evacuate excess water from karst fields, complex land reclamation of karst fields; redistribution of water by space and time, the realization of the accumulation of various degrees of regulation of flow.

All of the above climate zones are ruled by the "inversion of rainfalls" as related to the needs – space and time. Rainfall is the least in zones where the best land resources are (Semberija, Posavina, where they average about 700-750 mm), and there is a substantial dry period in the summer months. This phenomenon is expressed in all climates, and indicates the necessity of regulating the water through the use of reservoirs. Analysis of intensity of 60-minute rainfalls indicates high intensities of rainfall (over 60 l / sha for a one-year return period, i.e.more than 100 l / sha for a five-year return period). The phenomenon of the unevenness of rainfall over time, as well as a large rainfall intensities indicate the necessity of building a complex system of drainage of water, especially in the valley areas and karst fields, as well as the need for adequate solution of layout and dimensioning sewage for precipitation runoff.

In all climates zones real evaporation is in the range of about 390 mm (Čemerno), up to about 600 mm in some zones in Herzegovina (Trebinje - about 590 mm). Potential evapotranspiration is about 25% higher than the real, and the evaporation of water from the surface is higher for app. 25% than the potential evapotranspiration (Trebinje 860 mm).

Bijeljina is located in the zone of moderate continental climate as the entire region. The climate indicators lead to a conclusion that the value of the annual insolation is 1800-1900 hours. Moderate cloudiness is the largest in the winter season in November, January and February, and the lowest in the summer months in June, July and September.

Table 4 The values of mean monthly temperature, as well as the mean maximum and minimum temperatures for the meteorological station of Bijeljina Mean Monthly Mean Maximum Mean Minimum Month o o o Temperature C Temperature C Temperature C January -1.0 3.5 -3.8 February 2.5 6.8 -1.8 March 6.8 12.3 1.5 April 11.8 17.5 5.9 May 17.0 22.6 10.5 June 20.3 25.3 13.5 July 21.7 27.4 14.7 August 21.2 27.3 14.2 September 16.7 23.8 11.1 October 11.9 18.2 6.3 November 6.3 10.7 1.8 Environmental and Social Impact Assessment | 24

December 1.5 5.3 -1.9 Average annual temperature 11.4 16.7 6.0 Thermal conditions of the area are characterized by temperature fluctuations that can be verified by the amplitude of 23 degrees C. The mean temperature in July is 22 ° C, while the avearage temperature in January is -1 ° C. As such, the mean annual temperature is around 11 ° C. Relative humidity of air is from 70 to 80%. In Drina basin rainfall decreases along the river Drina, but not linearly. High mountain catchment areas over 2,000 meters above sea level receive 2000-3000 mm atmospheric residue. Middle Mountain i.e. to Srbinje - Foca about 1,400 mm, in Ljubovija 890 mm, while around the confluence of the Drina river in Sava river 700mm.

Specifically, based on the available data in Foca total precipitation of 60% occurred during the colder part of the year, which is characteristic of Mediterranean precipitation regime. The lower areas in this region are characterized by a moderate continental climate, which borders with the subalpine climate and alpine climate. Therefore, only in the course of six months (May-October) the average temperature in this area is higher than 10 ° C.

Table 5 Mean monthly rainfalls (mm) Station I II III IV V VI VII VIII IX X XI XII Gоd 57,7 49,2 49,3 58,1 76,1 81,4 79,9 63,4 70,3 72,7 74,2 75,4 807,7 Osječani 71,6 62,2 66,3 80,9 90,8 102,6 88,8 80,0 90,9 87,0 97,8 94,2 1012,8 Ustiprača 59,7 50,3 53,4 70,3 78,4 84,4 83,0 70,6 70,9 68,7 81,5 79,1 850,4 Goražde 55,3 55,0 46,5 64,3 70,8 73,1 64,5 63,6 68,7 70,4 80,4 73,3 785,8 Vranići 57,5 53,8 54,7 68,0 71,8 78,5 68,9 66,6 70,9 70,1 86,1 80,0 826,9 Ustikolina 65,8 61,8 54,2 61,3 71,7 71,6 66,2 64,8 70,1 81,2 90,1 86,4 845,1 Ifsar 81,1 71,4 70,4 89,8 96,1 100,9 95,4 71,3 89,7 84,7 106,4 106,8 1063,9 Foča 70,7 73,7 65,9 80,6 78,6 79,5 76,2 63,5 74,3 86,1 98,0 100,9 948,1 Vikoč 70,5 72,7 64,4 70,6 75,9 74,6 66,1 63,0 71,5 83,8 91,5 89,8 894,3 87,5 79,7 82,2 98,2 97,5 101,8 72,5 74,6 95,0 127,6 152,3 141,3 1210

Maximum values of mean monthly rainfall in most parts of the observed area occur exactly in the autumn and winter months (November - Gorazde 80.4 mm, Ustikolina - 90.1 mm, Vikoč - 91.5 mm, Kalinovnik - 152.3 mm; December - Ifsar 106.8 mm, 100.9 mm Foca) - which is the characteristic of the maritime regime. At stations north of Gorazde (Ustiprača, Osječani, Rogatica) maximum rainfall occurs in June - characteristic of continental climate. It can be concluded that the maritime characteristics decline towards north from the Adriatic and the Black Sea basin (mountain chains Lelija, Zelengore and Lebršnika south from the river Bistrica). Area of Foča, included in this project, has a total annual amount of rainfall of 948 mm.

Table 6 The sum of annual rainfalls and characteristic of mean monthly rainfalls Sum of Treatment Minimum Maximum Mean Station Altitude annual period Mean Monthly Monthly rainfalls m above sea level year mm mm month mm month KS Modriča 115 61-90 871 52 Feb. 100 June KS Orašje 87 61-90 720 47 Jan. 84 June KS Brčko 96 53-88 799 53 Oct. 96 June KS 110 61-90 906 60 Feb. 103 June KS 146 61-90 870 56 Feb. 102 June KS Bijeljina 90 - 744 38 Oct. 87 June KS Šamac 90 - 790 43 March 85 June

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Number of days in the year when there is rainfall (water layer is higher than 0.1 mm) is app. 115 days. Maximum daily quantities of rainfall are in the range from 51 mm to 110 mm. In the area of Bijeljina rainfall is directly proportional to the cloudiness, so that the average rainfalls is 850 mm per square meter. Most rain falls in May and June, and the lowest in March and September.

Geological characteristics of the location

Since the Drina with its tributaries cuts through almost the entire Dinaric mountain system, the geological structure of the basin of this river is very complex and significantly influenced at the form of relief. The largest part of the basin lies in the central part of the Dinaric Alps which are formed of Paleozoic and Mesozoic rocks. Only mountains Cer and Majevica belong to the inner Dinarides where Paleozoic rocks largely covered by Neogene and Quaternary sediments.

The basin is represented typical block of tectonic structure composed of three large and many smaller blocks, separated by fault fissures. From rocks in the Drina basin largest distribution have Paleozoic-Triassic and Permian sandstones with intrusions of igneous rocks (granite, andesite, gabbro). Over 30% of the basin is afflicting with Mesozoic limestones. Moving from north to south, in the basin are Triassic, Jurassic and Cretaceous limestones and dolomites, which is probably related to the tectonic evolution of this area, in which are represented blocks of continental crust. Downstream from Loznica dominated Neogene and Quaternary lake’s and river’s sediments in which the educated huge plavinska fan of the Drina River at the confluence in the Sava river.

Today's appearance of the lowland is the result of erosion during the ice ages (glacial and interglacial periods) and especially river deposits - fluvial erosion. The Sava River and its right tributary Drina in this sector of its course bring large quantities of suspended particles and eroded material which precipitates. These tiny fractions of materials have resulted in the creation of fertile land. Fluvial erosion dominated over other forms of erosion. In Sembrija which is flat silt of river Drina prevails fertile black soil and leached chernozem, and partly humogley and river deposits.

The mere geological setting layers, fluvial erosion, glaciation in the ancient period, eolian erosion and deflation have had a decisive influence on the formation of this kind of relief, and later creating fertile soil.

The lowest hypsometric positions expressed relief composite valley of Bosnia, Drina, Lim marked shift valley extension with constrictions. The deepest valleys are: canyon of Drina downstream and upstream of the Visegrad (depth over 700 m), Lima, Sutjeska valley “Prosječenica'' (depth over 1,200 m), canyons: Hrčavka, Prače, Bistrica, etc.

Fluvial forms of relief expressed riverbeds streams, alluvial terraces and low river terraces. These forms are concentrated in the lowest hypsometrically positions in ravines and valleys. On alluvial planes and low river terraces are populated places. These are the most densely populated areas of economic macro-regions and on them were created and developed all the major centers of the observed area.

The terrain of Goražde has relief partly of the moderately expressed, and partly to the extremely high prominent forms. The entire area is dominated by numerous stream valleys and ravines cut into the classic rock of the lower Paleozoic and Triassic. On the territory of Bosnia-Podrinje Canton in forming of relief and the creation of different genetic types of terrain involved various forms of erosion effects. The most prominent are: fluvial erosion form (mechanical work of a large number of rivers and streams), karst form of erosion (chemical dissolution of limestone rocks) and erosion processes on slopes (physical-mechanical dissolution under the influence of gravity). Consequently, the resulting appropriate relief types: type fluvial relief, slope type of relief and karst type of relief. Fluvial or river erosion is characteristic of the Drina river flows. From the accumulation of fluvial forms occur in alluvial plain, inundación flat, river terraces along Environmental and Social Impact Assessment | 26 the river Drina River and other. At uncovered terrace profiles reveals partial stratification, but the bulk of heterogeneous both in terms of composition and granulation. The terraces are almost ideal leveled indicating a large energy flow in the final stages of creation. Parts of terraces departments are often over 2 m in height. The terraces are especially pronounced in the valley of the Drina River near Ustikolina.

Hydrogeological characteristics

The basin represents typical blocks of tectonic structure composed of three large and many smaller blocks, separated by fault fissures. From rocks in the Drina basin largest distribution have Paleozoic-Triassic and Permian sandstones with intrusions of igneous rocks (granite, andesite, gabbro). Over 30% of the basin is afflicting with Mesozoic limestones. Moving from north to south, in the basin are Triassic, Jurassic and Cretaceous limestones and dolomites, which is probably related to the tectonic evolution of this area, in which blocks of continental crust are represented. Downstream from Loznica Neogene and Quaternary lake’s and river’s sediments dominate along with a huge sediment fan of the Drina River at the confluence in the Sava river.

Hydropower potential

The hydropower potential of the Drina River and its tributaries has long been noted. The reason for that is huge water resources, standardized annual and perennial flow, significant drop in the longitudinal river’s profile and forms of some river valleys suitable for building powerful concrete dams, and the artificial lakes that are formed as a result. In addition to those already built, there are projects for new construction. Drina is unparalleled in the area according to the hydro power potential, but at the same time it has the absolute primacy of unused resources at its hydroenergy.

On the territory of Bosnia and Herzegovina the average annual precipitation is about 1250 mm, which is approximately 64x109 m3 which is equivalent to an average flow of about 2030 m3/s. Since the average runoff is approximately1155 m3/s, it follows that the annual average runoff coefficient is 0.57. At the direction of the Black Sea basin over a tributary basin drains approximately 722 m3/s (62.5%), while about 433 m3/s (37.5%) flows into the Adriatic Sea. Key indicators in primary runoff basins of BiH are given in Table 7.

Table 7 Indicators of runoff on the basis basins in BiH River Surface Average flow Specific flow Flow of small water Basin (km2) Qsr (m3/s) Q (L/s*km2) Qmin 95% Sava 5 506 63 11,40 1,5 Drina 7 240 124 17,10 24,10

For the purposes of general review of the water resources of RS the average values of annual flow are reviewed in the most important water-level profiles that are relevant to planning in RS (key streams and karst fields in RS), i.e. on the profile near the territory of RS, if given information about the input / output flows relevant to the area of RS. Data are approximate.

Drina Basin: Bastasi: 164 m3/s, Foča: 212 m3/s, Višegrad: 335 m3/s, Zvornik: 387 m3/s, Ušće: 401 m3/s. Sutjeska, Igoče: 14,9 m3/s, Čehotina, Foča: 16,0 m3/s, Prača, Rakitnica: 2,4 m3/s, Lim, : 113,6 m3/s, Drinjača: 6,5 m3/s.

It is not possible nor methodologically correct to separate flow data for each of the two entities, as the borders cut across watershed areas in a manner that makes such separation of flow rates impossible.

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Attempt of such separation of flow on the principle of formation of the administrative parts of the territory would not be methodologically appropriate, especially given the fact that there are no observations of rainfalls and flows that would allow such a sufficiently accurate procedure.

Water quality

Quality of Drina sector according to the monitoring station Foca and Gorazde can be described as satisfactory. However, as the sector recorded hydromorphological modification, Environmentalstatus is characterized as moderate. Chemical status is assessed as satisfactory, i.e. exceeding of the value of priority and hazardous substances are not recorded.

According to the report on the monitoring of surface water quality in the Republic of Srpska, Republic Directorate for Water RS – Bijeljina, in period from 2001 to 2009, it can be concluded from the presented class quality on profile Drina – Paunci (prescribed with Regulation on water classification and categorization of watercourses (Official Gazette of the Republic of Serbian no. 42/01)), that the quality of water mentioned location in noted period was satisfactory and that most of the parameters satisfy the conditions prescribed for the water of first class. According to data from the period 2007- 2010, it can be concluded that some chemical parameters do not meet the values prescribed class.

The values of total solids of the river Drina occasionally do not meet the prescribed requirements for first class. The values for total hardness values satisfy the third class. The values of the concentration of chemical oxygen demand (COD dihromatna) meet the prescribed values for the second class. BOD5 value, which is a measure of the concentration of the five- day biochemical oxygen demand, meets prescribed for second class. Concentrations of total nitrogen meet the prescribed values for the second class. The values of ammonia nitrogen meet the specified value to another class. The highest concentrations of total phosphorus were within the third category. The values of concentration of chloride within the scope of second class. The percentage of oxygen saturation out of the scope of the first class, and included within the scope of another class. The values of heavy metals whose concentrations measured during the analysis period, iron, manganese, arsenic, mercury and zinc meet the requirements of first-class water. The concentration of cadmium and nickel fulfill the conditions of the second class water.

The list of potential sources of pollution in the basin of the Drina river

Most industrial wastewater in the Republic of Srpska contain toxic materials, mostly heavy metals, cyanides, phenols, mineral oils and emulsions, organic solvents (of metal processing industries) and various other toxic materials (basic chemistry industry, textile and leather processing). Nine industrial locations have been identified and classified as potential sources of pollution on the list of activities that threaten water quality.

The biggest potential industrial sources of pollution are coal mine and power plant which are located 20 kilometers from the river Drina, and bauxite mine in Zvornik at a distance of about 30 kilometers upstream of Glavičice and beginning of future construction of the embankment. The most important locations are surface open-cast bauxite mine in Milići (away from the river 25 km) and , as well as lead and zinc mines in Srebrenica (away from the river Drina less than 5 km). For mine in Srebrenica, it is important to note that they were not available official data on the quantities produced hazardous substances. There are also a certain number of illegal municipal / locations for disposal. Mines in Milići and Sase are located upstream of the location of the construction of the dam more than 60 kilometers.

The collected data of 17 sources of waste, for five outlets exist data on the parameters of quality of wastewater, and the rest is used for estimation using a population equivalent.

The final results show that the greatest pollution comes from larger municipalities, mostlyfrom Bijeljina, Zvornik and Višegrad. Environmental and Social Impact Assessment | 28

The activities that are potentially harmful to water quality have been analysed in detail in the area of Goražde, FBiH. There have been considered industries "Pobjeda Rudet" Inc. in Gorazde, for which an estimated water risk index was 3.09, "UNIS Ginex" and "Pobjeda", sports industry; they belong to the same group according to water risk index height.

As far as waste disposal locations that threaten water quality, the greatest threat is the municipal landfill in Gorazde which has a capacity of around 10,000 m² and a threat to the Drina river and groundwater. Risk index m = 42. In the part of the Drina river basin in RS were identified industrial facilities that during of process work produce different types of waste. A large part of the hazardous substances generated in the mines, then in the metallurgical industry, power plants, chemical industry, and in all these types of heavy industry occurs hazardous waste. Almost all heavy industry facilities have a specially constructed waste disposal site.

3.3.2. Biological characteristics

The area of the Drina river (eastern part of BiH) is dominated by forest ecosystems. Biocenoses frainetto and oak (Quercetum confertae - cerris) recorded in the lower regions. In some higher areas, concluding forests of oak (Quercetum petraeae - cerris), and Cornish oak (Quercetum petraeae montanum) on warmer exposures, while forests of European beech (Fagetum montanum) represented in colder habitats. At higher altitudes, concluding and fragments communities of European beech, silver fir and spruce (Picea - Abieti - Fagetum). Thermophilic forest communities of hornbeam and beech (Orno - Ostryietum) and hornbeam (Ostryo - Fagetum) recorded on the slopes with a higher elevation, mainly along the tributaries of the Drina river.

In the area of the upper Drina, in principle, the following types of trees and shrubs dominated: beech (Fagus silvatica), sessile oak (Quercus petraea), sladun oak (Quercus frainetto) and Turkey oak (Quercus cerris).

In the valley of the Drina on the surface are found small stands of black alder (Alnus glutinosa). The peripheral vegetation along the Drina River is characterized by the dominance of willow (Salix Alba), leaved ash (Fraxinus angustifolija) is recorded sporadically. In the shrub layer are found the following: Cornel (Cornus sanguinea), hazel (Corylus avellana), hawthorn (Crataegus monogyna), juniper (Juniperus communis), and Viburnum lantana, Sambucus recemosa, S. nigra and Acer tataricum.

Ground vegetation is characterized by the dominance of species that belong to the floral elements of wide-spread: Galium silvaticum (Central European element), Veronica chamaedrys, Pulmonaria officinalis (sub-Central European), G. vernum (pontijsko-sub-Mediterranean), Primula vulgaris (subatlansko-sub-Mediterranean), Stellaria holostea (subevroazijski), etc. In addition, recorded and Illyrian floral elements: Helleborus atrorubens, Epimedium alpinum etc.

As a result of forest exploitation, in the wider region are also found areas under the white birch (Betula pendula) and evergreen oak (Populus tremula).

In a wide strip along the Drina River in the framework of the area are recorded: Pyrus pyraster, Carpinus orientalis, Acer campestre, Quercus petraea, Rosa canina, Fraxinus angustifolia, Clematis vitalba, Malus sylvestris, Salix alba, Picea abies, Pinus sp. (sađena kultura), Robinia pseudoacacia, Corylus avellana, Rubus caesius, Urtica dioica, Galium mollugo, Lamium purpureum, Taraxacum officinale, Glechoma hederacea i dr. Potvrđeno je prisustvo i sljedećih vrsta: Rumex obtusifolius, Plantago lanceolata, Potentilla reptans, Hypericum perforatum, Festuca pratensis, Scrophularia nodosa, Medicago lupulina, Silene vulgaris, Verbascum sp., Clematis vitalba, Calystegia sepium, Anagalis arvensis, Veronica persica, Chenopodium hybrodum, Fontinalis sp. (in water) and Symphytum officinale.

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Endemic group of plant genes tertiary biological populations representing many types; of these the most important ones are: Daphne malyana Blečić, Saxifraga rocheliana Sternb. Ex. Host, Centaurea incompta Vis., Dianthus kitaibelii Janka ex. Beck, Cerastium lanatum Lam., Centaurea derventana Vis et Panč., Aquilegia grata Zimm., Amphoricarpus autariatus Blečić et May., Valeriana braun-blanquetii Lak., Campanula balcanica Hruby, Adenophora liliifolia (L.) Besser, Cirsium wettsteinii Petr., Cicerbita pancicii (Vis.) Beauverd., Melampyrum hoermanianum Maly., Opoponax chironium Koch., Achillea abrotanoides (Vis.) Vis., Teucrium arduini L., Corydalis leiosperma Conrath, Acer intermedium Panč., Iris bosniaca Beck etc . Endangered plant species are not identified in the narrow scope of the planned construction work of protective embankment for flood protection.

Grasslands are located in the middle and upper reaches of rivers and meadows in the valleys and on gentle slopes. Grass cover is poor quality. Meadows are under good grass cover. Forests are widespread throughout the basin, in the form of small stands, the ban and bush.

The main part of the forest is located in the source regions of tributaries. Forests in the source regions are better preserved and grouped into something larger complexes, while other trees and shrubs partially diluted and stunted, and do not provide almost no protection of land.

The presence of huchen (Hucho Hucho (Linnaeus, 1758)) and crayfish (Astacus astacus (Linnaeus, 1758)) in the Drina River is of paramount importance. Huchen is on the Red List of the International Union for Conservation of Nature (IUCN) endangered species and protected by the Berne Convention. It has a limited presence in the Danube basin. Huchen is in the basin of the river Drina considered endemic species as well as species with the "healthiest" gene in the region. This species reproduce in the spring when the leaves into smaller streams (e.g. contribute of Kosovska and Prača). Reproduction depends on the meteorological conditions and takes place in a clean sand, gravel or stone rocky ground in the slower parts of the watercourse of the river bed, with the rapid flow of oxygen-rich water. The young are fed with fauna and fish from the bottom while the adults most other food fish, sometimes frogs and other aquatic vertebrates. Krayfish freshwater is on the IUCN list of vulnerable species. This species lives at the bottom of the river in muddy water. It is very sensitive to water pollution.

Ornitofauna of the Drina River is extremely rich. In addition to local bird species and species that are associated with water, temporary presence of species that live on the sea has been observed in recent years. Endangered species of eagles Aquila sp. can be found in parts of the canyon of the Drina as other predators to aquatic organisms and ducks Anas sp., Kingfisher Alcedo atthis (Linnaeus, 1758), common tern Sterna hirundo Linnaeus, 1758, some species of gulls (Fam. Laridae Vigors, 1825) and many other.

The bird world is certainly the most diverse and distinguish the species Passer domestics (Linnaeus, 1758) - Sparrow, Columba livia Gmelin, 1789 - an ordinary pigeon, Streptopelia decaocto (Frivaldszky, 1838) - dove, Corvus corax Linnaeus, 1758 - Raven, Corvus cornix Linnaeus , 1758 - crow, Pica pica (Linnaeus, 1758) - magpie, Corvus monedula (Linnaeus, 1758) - Daw, Falco tinnunculus Linnaeus, 1758-Kestrel, Accipiter nisus (Linnaeus, 1758) - hawk Birdman, Strix aluco Linnaeus, 1758 - little owl.

The natural characteristics of the area provide the conditions for the emergence of a large number of species of mammals. The area is under-examined, especially in terms of small mammals and species that are important for hunting tourism. In the wild forests of the upper basin of the river Drina could be seen animals that are either endangered or no longer in many parts of Europe bear (Ursus arcotos), wolf (Canis lupus), chamois, wild cat (Felix catus), fox, marten, badger (Meles meles), wild boar, roe deer, otters, rabbits) and birds (golden eagle, short-toed eagle, peregrine falcon, black grouse, woodcock, partridge and the griffon vulture (Gyps fulvus).

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In the narrow scope of the planned construction work on a protective embankment for flood protection on the left bank of the Drina River from Balatun upstream to Glavičica are not identified endangered species of birds and mammals.

Batrahofauna areas

Amphibians are a group of vertebrates that includes more than 6,000 recent species spread throughout the world, except the coldest and driest regions and some very isolated ocean islands (Cox and sar., 2006). Due to synergism between the complexity of their own life cycle, the intensity of anthropogenic modification of indigenous dishes and environmental fluctuations amphibians are one of the most threatened group of vertebrates today. International Union for Conservation of Nature-IUCN has declared many amphibian species globally threatened. Most of the species that inhabited Europe has the status of endangered (Anthony and sar., 2006), mainly due to the large area which inhabit. However, at the local level, i.e. within existing states, many of the population are classified as endangered due to a variety of threats to the conservation of biodiversity.

List of species that has been made on the basis of the few data in the literature, estimates of expected species on the basis of general characteristics of natural areas, or by analogy with similar areas in the region (the cliffs of Lima with Mileševka and Uvcem, for example), represented habitats, as well as on the basis of personal observations. All bird species are covered by some measures of protection although always stand out red kind of Europe: Hieraaetus pennatus - Booted eagle, Crex crex - Crake, Eremophila alpestris - dumbo lark, Ficedula parva - small flycatcher. Glacial relicts: Used lark, boreal species: Strix uralensis - dugorepa owl, Picoides tridactylus - tropical Detlic, Pyrrhula pyrrhula - ordinary Bullfinch, oromediteranske types: Monticola saxatilis - thrush rocky, Regulus ignicapillus - fire crests and relict species communities: Poecile lugubris - Mediterranean gazebo, Emberiza cia - mountain Bunting. Species from eastern Mediterranean can be seen in this area as well as species from west Mediterranean area.

The area of eastern Bosnia is little studied. It is estimated that shown about 50% of potential species from this region, so the inventory of bird fauna represents a reasonable basis for the evaluation of the quality and importance of the possibility of monitoring.

The area of Municipality of Bijeljina belongs to the Euro Siberian – boreoamerican region, which in this area represented with Province hygrophile broadleaved - deciduous forest, the forest sector with common oak (Quercetalia roboris), which extends most of the plain of northeastern Bosnia and Herzegovina.

The vegetation of the area is extremely poor in species. The prevailing cultureis uniform silage corn (Zea mays L.).

As to the area dominated species Abutilon theophrasti Medik., It can be concluded that the site is dominated by species of invasive weeds, led by Ambrosia artemiisifolia L. Near the subject location, at places that are neither regularly mowed, nor herbicides are used, dominates class Secalinetea Br . - Bl. Order No. 51 Secalinetalia - Bl. 31st where numerous species of Hordeum secalinum Schreb.

In untreated areas can also be separated some individual species Atropa belladonna L., Crataegus nigra Waldst. & Kit. and Rubus idaeus L. They not exceeding certain individual weed species (ragweed, abutilion) , although these species can be considered as bushy species. Clearly visible wicker floor up to two meters in height can not be observed. In the past in this area were dominated lowland deciduous forests of class Querco - Fagetea No. - Bl. Et vlieg 37, Order No. Populetalia albae - Bl. 31, the alliance Alno - Quercion roboris Ht. (37) 38, the association Genisto elathae-Quercum roboris Horvat, 38, and with cutting converted into agricultural plots. Environmental and Social Impact Assessment | 31

On some (eastern) part, due to the proximity of the river Drina, there are single individuals of species Populus sp. It is evident that once in this part of the location inhabited forests of class Querco - Fagetea No. - Bl. Et vlieg 37, Order No. Populetalia albae - Bl. 31, the alliance Salicion albae Tx. 55, the association Populetum Nigro - Alba Slavnić 52. In this area were planted and species Abies alba Mill. and Pinus sylvestris L. spruce, which have an aesthetic function.

3.3.3. Allocation of land

Table 8 represents the surface area (11.618 km2) of the City of Bijeljina belonging to the immediate catchment area of the river Drina. Classes of land are defined by the database of Corine Land Cover [CLC].

Table 8 Allocation of land of the city of Bijeljina which belong river basin area Surface No. Code Code description 2 % (km ) 1 112 Urban areas 477 4,11 2 211 Non Irrigated arable land 7.296 62,80 7 222 Orchards and plantations 2 0,02 9 242 Complex of cultivated parcels 2.087 17,96 Mostly agricultural areas with large areas of natural 10 243 341 2,94 vegetation 11 311 Deciduous forests 1.076 9,26 16 324 Transitional forest belt-overgrown forest 54 0,46 17 331 Beaches, dunes, bare sandy areas 16 0,14 20 411 Inland wetlands 49 0,42 21 511 Watercourses 214 1,84 22 512 Water bodies-water areas 6 0,05 TOTAL: 11.618 100

3.3.4. Socio-cultural characteristics

Comparing the data of the population from the 1991 and 2010, it can be concluded that there was a negative trend in the development of the population, except in the municipality of Bijeljina, where positive development was recorded. A significant interruption of the normal population development has taken place in the period from 1991 to 1995 due to the war. A large part of the population went to other countries. The largest relocation happened within the country, mainly in relation to ethnic lines, which caused a large part of the population went to the areas where they feel less threatened. The return of displaced persons to their former residence also takes place mainly in relation to ethnic lines. That leads to a low level of return and significant changes in the structure of the state's population. Migration, especially the younger working age population, continued after the war. Postwar migration was caused by poverty, difficult living conditions, poor opportunities for employment and low standard of living.

Table 9 Number of population for the period 1991 - 2010 Natural Number of Ppulation Municipality increase employees Density Settlements 1991 2010 (2010.) (2010) Bijeljina 96.988 108.814 148,3 -172 - 21.130 Foča-Ustikolina 4.968 1.740 10,3 -12 26 194 Goražde 33.073 30.123 121,1 -25 145 4.822 Pale-Prača 2.063 1.068 12,4 3 15 92

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Population mostly inhabits central parts of municipalities whreas other smaller places are less populated. Municipality of Bijeljina has a much higher population density compared with the average of the RS (57.6 inhabitants / km ²) and is one of the most densely populated municipalities in the RS.

Municipality of Bijeljina has a degree of urbanization around 46%, taking into account the total population of the municipality and the population in the city. It is estimated that in the city of Bijeljina has about 50,000 people. According to preliminary information of the census, households and institutions in BiH in 2013, the territory of the RS in areas that include local community Bijeljina, in which the planned construction of the embankment has 6104 households and over 22,000 inhabitants.

Bijeljina has the largest number of jobs in relation to the population. Lowest proportion of jobs in relation to the population has the municipality of Pale-Prača. Also, the absolute values Municipality of Bijeljina has the largest number of employees, which implies that the Municipality of Bijeljina is the most developed municipality in the group of municipalities that are analyzed.

The age structure of the population shows a very small number of young people, on average, about 14% of the population and about 19% of the population over 64 years. It can be concluded that the demographic profile of these three municipalities are characterized by the average age of the population of about 41 years of age. The smallest average household size in the current assessment is in the Municipality of Pale-Prača and the largest average household size in the Municipality of Foca-Ustikolina.

Conclusion of demographic analysis is:

- Negative population growth is a characteristic of most municipalities in the project area; - A significant number of displaced persons due to the war and afterwards lived in poor conditions; - Significantly smaller population compared with the 1991 is in the municipalities of Bosnia-Podrinje Canton; - Most of the population is concentrated in the settlements along the Drina River; - The high rate of unemployment.

The overall demographic result is unfavorable. Most municipalities, this is especially true in the municipality of Bosnia-Podrinje, can not provide basic living conditions to maintain the population in the area and encourage further development of demography.

In this area there are a large number of cultural and historical monuments. The oldest religious center, i.e. the oldest building in the Municipality of Bijeljina is Monastery Tavna with the Church of the Holy Trinity, built probably in the early 14th century.

3.4. Description of potential impacts of the project

3.4.1. Impacts during the project preparation

Significant negative impacts on the natural environment are not expected in the operating phase. Moreover, the impacts on the operational phase is considered to be very positive because the objective of the project activity is to prevent risks to the environment, people and property (objects made by man).

However, as the project of left protective embankment of the City of Bijeljina construction is implemented only in the territory of Bosnia and Herzegovina, the execution of the planned activities will place some structures in the territory of the Republic of Serbia and at the same time the left bank of the Drina river will be between two embankments; in case of a higher water level of the Drina river these areas will be inevitably flooded, which has not happened so far. Environmental and Social Impact Assessment | 33

As the above described execution fo the planned activities will have an impact on environment, humans and material technical goods of other country, it is undisputable that this is a project with a possible impact on environment of that other country.

After a detailed insight into the proposed technical solutions we have come to the conclusion that the planned construction and exploitation of the flood protective embankment by the Drina river from settlement Balatun to settlement Glavičica on the territory of the city of Bijeljina will have no influence on other state. Consequently, and according to the'' Convention on the assessment of environmental impact across national borders'', Espoo, Finland 1991 (Bosnia and Herzegovina is a signatory of that Convention), there is no obligation for other analyzes and cross-border impact of the planned project.

3.4.2. Impacts during construction

Flood control measures on the Drina river and its tributaries include the enhancement of the river corridor with construction of bank protection, concrete sleepers, walls, earth embankment and cutting of meanders. During the planning stage / preparation of the project a technique to avoid or mitigate environmental impacts should be applied wherever on the river habitat and landscape. Therefore, the use of plant species (bioengineering techniques) and rocky material available on the bottom of streams should be the basis if possible. This contributes to the reduction of pollutants in flood water while creating or maintaining natural corridors, which assists in the dissemination and preservation of living species within the riparian ecosystem. The Environmentalrole of riparian vegetation must therefore take into account the interventions in river systems.

The potential negative impacts of the project include:

- The damage caused by the construction work by the contractor including disposal of excavated soil and other material from the excavation; - Long-term risk of contamination of surface and groundwater; - Soil erosion associated with the current practices of agricultural production.

For the construction of the system, it is necessary the presence of construction equipment of smaller dimensions (excavators, bulldozers) and workers in the site as well as the establishment of the site.

The main impacts of construction will include management of excavated soil and construction waste, waste water and fuel on site and can also include:

- Disruption of access and movement; - Disruption in conduct agricultural activities arising out of access restrictions, soil compaction and digging of canals; - Waste, noise, dirt and dust on the location and the access roads; - Damage to trees or other vegetation on the site; - Harassment of wildlife, on and near of area.

Soil and water pollution

There is possibility of soil contamination during construction activities with use of machinery - oil / petroleum and chemicals. Contamination of water due to waste from construction areas and leakage of medium size are also possible, in the event of an accident. The sub-projects will need to take into account the likelihood of this and to develop some systems, which are to Environmental and Social Impact Assessment | 34 mitigate these incidents, including the final removal of contaminated soil and retention of contaminants in the land and surface water. facilities for flood protection in the mainland area of Bijeljina will be constructed, mostly on land in private ownership that is currently used for agricultural purposes. Special attention must be piad in order to preserve a very valuable agricultural land and prevent any contamination of the soil that could affect the earnings of farmers. The issue of purchasing the land should also be considered for the construction of the embankment in Bijeljina. Effects on water quality of Drina are not expected.

Soil erosion and the spread of dust

Construction activities will include the removal of vegetation, soil excavation, mining, tearing and filling etc. All these activities must be carried out carefully to avoid soil erosion. Ground can move due to the activities and can increase the rate of loss of soil from the area, i.e. area in the natural conditions. This move of the soil can lead to the spread of dust. Therefore it will be necessary to introduce special intensive reduction measures in order to make a balance with soil erosion and spreading of dust.

Air

As a result of the construction works increases in the concentration of pollutants, primarily dust and exhaust gases from motor vehicles is to be expected. Activities that will result in the emission of pollutants are: construction of temporary access roads, transportation uncovered building materials, machinery and vehicle movements on the site, as well as works to build embankments and dikes defense.

Dust, as a result of transport and works (excavation, loading and unloading of materials), exhaust fumes from construction machinery and motor vehicles can decrease the air quality in the area during construction works. The impact on air quality is expected to be felt a few hundred meters away from where the works will be carried out. However, a significant impact on the local population is not expected, nor exceeding the legally allowable concentration of emissions into the air. All impacts related to the site of the works are of a temporary nature with a clause to return to its original state upon completion of the works.

Noise levels

Using equipment on construction sites such as excavators, bulldozers, trucks to transport materials, soil compactors, breaking stones and rocks produce noise that is far above the level of ambient noise in rural areas. It is important to introduce measures to control noise mitigation measures as part of the construction phase. The levels of background ambient noise will have to be measured and then compared with the typical values for noise caused by equipment for construction.

Flora and fauna

Construction works will cause temporary changes in water quality in the Drina riverbed - this exclusively refers to the borrow pit building material because embankment will be built on land. This is especially important for avoiding impact on thethreatened and endangered species that live in the aquatic ecosystem of the river Drina. Construction in sensitive periods of the year should be avoided (breeding season from February to May) as well as during the summer, when minimum flows reduce the dilution effect. Great impact on ornithofauna is not expected. The river is a source of food and drinking water for bird species. Only in the case of high pollution, which will certainly not be the case, the survival of these species may be threatened. The indentified ancient species do not normally inhabit urban areas and the areas that are under human activities impact. Therefore, they are not expected to be under impact. Works in the area Environmental and Social Impact Assessment | 35 of Bijeljina will not affect the ecosystem of the river Drina, because the embankment will be made within mainland, in some areas up to 1 km from the river bank.

The impact on flora and fauna begins with preparatory construction works for the Project. The impact at this stage is reflected through removal of vegetation cover in the area of works, as well as the loss of habitat in the area of construction. It is expected that part of the fauna of the affected zone will move quickly and adapt to living conditions on slightly higher elevations. However, the part of aquatic flora and fauna in the project area will be permanently affected even after construction. On some parts of the watercourse the aquatic habitat will be permanently changed.

The construction of structures on the water, or any objects that are slowing down the natural water flow, have an impact on changing ambient conditions (temperature, oxygen). Due to this, it is essential that the party who performed the work that undoubtedly have positive economic impacts acts in order to minimize or compensate negative environment impacts.

During site visit for future construction of facilities, we noticed that the daily fluctuations in the water level in the river Drina are significant, which certainly has a negative impact on biological processes in the existing fish species. The fluctuations of the Drina river water level are consequence of upstream hydropower facilities.

Generally, the negative impacts of the construction phase are temporary and can be mitigated by applying good practices of civil engineering.

Flood management aims to reduce the above-mentioned potential risks using various techniques. Any structures for flood management have a positive impact on people, property and the environment. But various structural measures, which include different types of works and interventions for flood control, can have negative impacts of natural hydrological and consequent Environmentalprocesses in the ecosystem of the river.

This project in the area of Municipality of Bijeljina, will have no impact on the ichthyofauna regard to complete the project will be carried out on land.

3.4.3. Impacts during the use stage

The number of external positive impacts appears during the use stage. Among the major external impacts the following should be mentioned:

- Avoided damages to agricultural land and buildings (private houses, residental buildings, industrial / commercial buildings, schools, kindergartens, public buildings) due to improved flood protection; - Avoided losses in business due to continuous production / services; - Health effects due to the reduction of pollution in the water; - Avoided traffic interruptions; - Recreational benefits; - Tourism development; - Environment protection (replacement costs avoided); - Avoided cost of private care; - Economic development effects; - Avoided risk of human life loss.

3.4.4. Environmental positive impacts of the Project

The construction of the protective embankment will ensure the economic, social and environmental benefits to land users and local community. Based on experience of similar Environmental and Social Impact Assessment | 36 projects, the project will have many positive impacts on the environment through the promotion of good land use practices, methods of cultivation and pest management.

Subproject should help strengthen local capacities in the environmentally sustainable approaches to agricultural development.

Additional employment

In the case of unemployment and poverty in the project area, the sources of the workforce will not be reduced. If new employees needed for the project are from a group of unemployed i.e. if the project has positive effect on unemployment, then the project creates social benefits due to reduction in welfare and helping in unemployment. This is the case with the flood protection project. The following social benefits from additional employment will appear:

- Increase the number of jobs during the implementation of the investment (temporary effect); - Increase the number of employees due to maintenance needs; - Appearance of new positions as a result of economic development and implementation of the investment.

Reduction of development differences between regions

Project impact on the reduction of development differences between regions arises mostly from the expansion of access to technical infrastructure. Activities completed in the scope of the project have a positive impact on increasing investment in the region. Two aspects are crucial for reducing the level of development differences between regions:

- Expansion of infrastructure is an essential region development element and the residents consider it as are satisfied condition. Lack of infrastructure leads to degradation in the region and displacement in more developed areas; - The second element in reducing development differences between regions is referred to close connection between the expansion of infrastructure and adequate flood protection. The project provides business development in the field of trade and services. The threatening floods are great obstacle to the development of these areas. This discourages potential investors from development activities in areas where lack basic infrastructure.

Other social effects

Other social effects have not been evaluated, for example avoiding the traffic interruptions, recreational benefits, tourism development, environment protection (avoiding replacement costs), the risk of loss of human lives as well as avoiding the private security costs and the effects of economic development. The potential scale of these effects could be equal to value of avoided damages.

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3.5. RESETTLEMENT POLICY FRAMEWORK

3.5.1. Introduction

Significant and demanding construction or soil cultivation projects, that the Project of construction of the protective embankment on the left bank of the Drina river from Balatun upstream to Glavičica in any case is, may consequentially require limited or full acquisition of real property from their owners, or creation of right of ways for the pertaining real property. The extent of a full property acquisition in certain circumstances may be such to disable continuation of the existence in the related area, as well as result in the need of the resettlement of land owners from their former residence to some other areas.

The process of the afore mentioned resettlement of acquired property owners is normally related to numerous distinctive social, legal, socio-economic and cultural circumstances, and is regulated by many different rules and regulations issued by several authorities and institutions. Besides, in terms of the nature of the property right, it is indicated that it refers to one of basic human rights normally protected both by local legislation (the Constitution and Laws), as well as international conventions and standards for protection of human rights. Furthermore, aimed at better protection of ownership rights as well as protection of the owner and the user themselves, certain rules of special authorities and institutions have been defined and exist today. Such special and specific resettlement rules include World Bank directives, standards, and requirements. It is also the fact that in situations of a common (public) interest, whereby the statutory requirements have been fulfilled, the right to ownership, or the property may be restricted or fully acquired through the prescribed process. However, in that case, there is the obligation both of the state and the acquisition beneficiary to provide appropriate compensation for the pertaining property, and, in addition, to protect the person whose property is subject to acquisition in another proper way, or preserve its accomplished living standard and, generally, its living, social, socio-economic, cultural, and similar circumstances.

3.5.2. Legal and policy framework

3.5.2.1. OP 4.12 World Bank requirements - Operational Policies OP 4.12

Specific World Bank resettlement requirements referred to force resettlement are given in the Operational Policies OP 4.12.

For the essence of resettlement policy the most important issues are those relating to insurance and addressing fees for exempt property, protection of the person whose property is subject to acquisition and resettlement, measures in the process of acquisition, during and after the resettlement. Therefore, a special place and attention are devoted to vulnerable population groups.

Summarizing the basis of afore mentioned Operational Policies, it can be concluded that their target is to ensure the following:

 Resettlement shall be avoided whenever possible. If the resettlement is unavoidable, it shall be reduced to the most minimum required extent.  When the resettlement is required, it shall be treated as a development programme, which will provide the person subject to resettlement with an efficient resource for new investment.  Persons affected by resettlement must be provided with full information as well as the possibility of participating in the processes, all aimed at the protection and achievement of their rights.  It is the obligation to support the displaced persons in their efforts to increase their income and living standard, or at least to renew and retain them at the former level. Environmental and Social Impact Assessment | 38

 It is the obligation to support the displaced persons and provide them with appropriate protection, regardless of the way of property and land acquisition, or their legality (thus also in the case when they do not have a legal basis but are considered illegal users).  Displaced persons shall be provided with resettlement costs in full amount, as well as the compensation for the acquired property in the amount allowing compensation or replacement of the acquired property with new property.

Assistance in the compensation and resettlement process includes:

Assistance during the census (inventory),  Organisation of meetings to explain compensation entitlements and other rights,  Assistance in the compensation payment process (making sure that the compensation documents are well understood, as well as that vulnerable individuals will be able to cash in cheques, and similar), and  Assistance to secure the compensation money following the payment (e.g. bank account deposit) to prevent robbery or misuse.

Assistance in resettlement includes:  Assistance in removal of personal belongings,  Salvaging, transport and/or sale of materials in the old dwelling,  Transportation of household occupants with medical assistance, if required, and  Assistance in taking the possession of new tenement.

Above listed rules include also the obligation to support and assist, if required, after the resettlement process has been completed. Such support and assistance shall be provided through land preparation, provision of loans, corresponding trainings, and employment. Furthermore, this assistance implies:

Counselling in matters such as family, health, money management and livelihood restoration, Checking whether there are any solidarity and support networks vulnerable persons relied on and whether they have been re-established or not, and if not, taking measures for their reestablishment for food, medical control and similar support, and Pursuant to the needs, providing health and medical care at critical periods or enrolling vulnerable individuals into the health insurance scheme.

Obligation to assist in resettlement caused by real property acquisition is particularly emphasised by the above quoted World Bank Operational Policies. Thereby, special attention is paid to vulnerable population groups. In sense of the rules above, vulnerable population refers to population groups affected by the project, who by virtue of gender, ethnicity, age, physical or mental disability or social status may be more endangered by the Project-caused resettlement than other population groups, or may be limited in their ability to access and take advantage of the resettlement assistance.

Vulnerable population groups, among others, include:

 Socially endangered persons, persons in possession of no land, the elderly, women and children,native population, ethnic minorities, disabled persons, refugees and displaced persons, andother displaced persons whose right to compensation has not been anticipated, or protected by national legislation.

Assistance to vulnerable population groups, depending on a case-by-case screening to be carried out with the support of authorities and institutions, includes adequate compensation (in terms of other real property or cash compensation), provision of employment or self- employment possibility, and settlement of approximately same standards in terms of infrastructure, education opportunities, medical protection, social protection, and cultural facilities. Environmental and Social Impact Assessment | 39

3.5.2.2. National framework

3.5.2.2.1. Constitution guaranteed right to property

Right to property, including the right to real property, are generally protected by the international conventions, the Constitution and laws, and protection of the public property, apart from the right to life and the right to freedom, is one of main postulates of numerous international conventions that follow the afore mentioned principles protecting, among other things, the right to property . With this regard, it is very important to consider the fact that the relevant rights in Bosnia and Herzegovina have often remained unprotected, or were subject to the state's force acquisition from their titulars.

BIH CONSTITUTION

The Constitution of BiH1 protects afore mentioned rights by prescribing in Article II 2. that "Rights and freedoms anticipated in the European Convention for Protection of Human Rights and Fundamental Freedoms and in its protocols shall be directly applied in Bosnia and Herzegovina, and shall have the priority over all other laws".

CONSTITUTION OF THE

The Constitution of the Republika Srpska2 prescribes in Article 49 that «Freedoms and rights are accomplished, and obligations fulfilled directly and pursuant to the Constitution, except when the Constitution anticipates that requirements for the accomplishment of certain rights and freedoms are defined by law. The law can prescribe a method for accomplishment of certain freedoms and rights only if necessary for their accomplishment*, and „in case of a discrepancy in the provisions on rights and freedoms between the Constitution of the Republika Srpska and the Constitution of Bosnia and Herzegovina, the provisions in higher favour of the individual shall be applied".

3.5.2.2.2. Property regulations relevant to the Project

Bellow are listed legal acts of the Republic of Srpske and Bosnia and Herzegovina relevant to the Project and their essentially abstract:

1. Law on Expropriation of the Republic of Srpska (Official Gazette of the Republic of Srpska No.112/06, 37/07 and 110/08), 2. Law on Property Rights of the Republic of Srpska (Official Gazette of the Republic of Srpska No.124/08 and 58/09, 95/11), 3. Law on Waters of the Republic of Srpska (Official Gazette of the Republic of Srpska No. 50/06, 92/09,121/12) 4. Laws on Non-Contentious Proceedings of the Republic of Srpska (Official Gazette of the Republic of Srpska No. 74/05 i 36/09), 5. Law on Spatial Development and Construction of the Republic of Srpska (Official Gazette of the Republic of Srpska No. 40/13) 6. Law on Construction Land of the Republic of Srpska (Official Gazette of the Republic of Srpska No. 112/06) – Article 44 7. Law on Agricultural Land of the Republic of Srpska (Official Gazette of the Republic of Srpska No.93/06, 86/07, 14/10 i 5/12)

1 Ustav Bosne i Hercegovine (Aneks IV Općeg mirovnog sporazuma za Bosnu i Hercegovinu, parafiran 21. 11. 1995. u Daytonu i potpisan 14. 12. 1995. u Parizu, kada je i stupio na snagu).

2The Constitution of the Republika Srpska («Official Gazette of the Republic of Srpska No. 3/92, 6/92, 8/92, 15/92 and 19/92). Environmental and Social Impact Assessment | 40

8. Law on Forests of the Republic of Srpska (Official Gazette of the Republic of Srpska No: 75/08, 60/13) 9. The Law on Administrative Procedure of the Republic of Srpska (Official Gazette of the Republic of Srpska No: 13/02, 87/07, 50/10) 10. Law on Administrative Disputes of the Republic of Srpska (Official Gazette of the Republic of Srpska No: 109/05, 63/11) 11. Law on establishing and transfer of the property rights to local government units of the Republic of Srpska (Official Gazette of the Republic of Srpska No: 70/06) 12. Law on Survey and Cadastre of the Republic of Srpska (Official Gazette of the Republic of Srpska No: 6/12). 13. Law on Land Registries of the Republic of Srpska (Official Gazette of the Republic of Srpska No: 67/03, 46/04, 109/05 i 119/08) 14. Law on Concessions of the Republic of Srpska (Official Gazette of the Republic of Srpska No: 59/13) 15. Law on Notaries of the Republic of Srpska (Official Gazette of the Republic of Srpska No: 86/04, 2/05, 74/05, 76/05, 91/06, 37/07 i 50/10, 78/11) 16. Book of Rules on calculating the fees on urban construction land development of the Republic of Srpska (Official Gazette of the Republic of Srpska No: 95/13) 17. Regulation on conditions, method of calculation and payment of the object legalization fees of the Republic of Srpska (Official Gazette of the Republic of Srpska No: 97/13).

 Law on Expropriation of the Republic of Srpska

This Law regulates the conditions, manner and procedure for the expropriation of immovable property for construction of public interest, or works of public interest, and emphasis is placed on respect the principle of fair compensation that cannot be lower than the market value in case of expropriation or confiscation or restriction rights of ownership of real property.

 Law on Property Rights of the Republic of Srpska

RS Law on Property Rights is applicable law that regulates the issues relevant to acquisition, use, disposal, termination and protection of the ownership rights as well as other property and possetion rights.

The Law on Property Rights represents certain form of codification of the property right regulation3, and it creates modern civil law regime, typical for continental European civil law system, or creates appropriate legislative resolutions for the transition from the current system of property rights, governed by numerous regulations related to property rights, to a new system of property rights governed by that single law.

New legal system and the defined framework for property rights are based on the fundamental principles defined by the quoted Laws on Property Rights, such as the principle of the unity of property, unimodality of ownership, equal position of the state, or of public legal entities with other owners, and the principle of obligatory ownership.

After the entry into force of the RS Law on Property Rights, the Law on usurpation ceased to exist (Official Gazette of the Republic of Srpska No. 70/06).

 Law on Waters of the Republic of Srpska

Law on Waters of the Republic of Srpska regulates the water management, use and protection of water, as well as financing of administrative bodies, public services and institutions in the water sector. Provisions of the RS Law on Waters that regulate the issues related to a flood prevention are significant for the Project of construction of the protective embankment from

3 It uniquely regulates issues related to property rights, and abolishes special regulations that governed property rights over certain forms of property. Environmental and Social Impact Assessment | 41

Balatun upstream to Glavičica.

According to this Law the works and activities of public interest are as follows: preparation and implementation of flood protection, regulation of riverbeds and banks, management of water facilities and systems of interest for the Republic of Srpska, flood risk assessment and management, as well as other duties as prescribed by the Law. Direct activities of implementation of the jobs and activities with public interest as such are defined by this law, as well as activities of flood protection, regulation of riverbeds and banks, management of water facilities and systems of interest for the Republic of Srpska, and the performance of other similar activities in the concerned area as defined by this law carries Public Institution “Vode Srpske".

 Laws on Non-Contentious Proceedings of the Republic of Srpska

This Law provides the rules for a non-contentious procedure by which Courts or other Authorities proceeds and makes the decisions on personal, family, property and other rights and legal interests that are to be resolved through non-contentious procedure by the Law.

In case of the failure to conclude the agreement on compensation for the expropriated property before the administrative authority within two months from the issue of the final expropriation decisions, the authority is obliged to submit the concerned decision with all documents to thecompetent court, which, ex officio, shall decide on the amount of compensation through non- contentious proceedings in accordance with the Law on Non-Contentious Proceedings.

Proceedings for determination of the compensation for expropriated real property are carried out by the court ex officio and must be completed in the shortest possible period and latest within 30 days from the date of initiating the proceedings before the court. The court thereby defines the hearing for the parties to express their attitudes in the form and scope, or amount, of the compensation, as well as on the property value evidence. The costs of the procedure above are borne by the expropriation beneficiary, except the costs caused by unjustified actions of the previous owner. If the parties conclude the agreement to determine the compensation for the expropriated building or an apartment in form of a replacement building or apartment, the deadline for execution of mutual obligations is defined by amicable agreement. In case of the failure to define the deadline above, the court shall decide on the deadline for eviction from the expropriated building, or apartment as a separate part of the building, in compliance with the Expropriation Law. These provisions are applicable to an agrarian whereby the compensation for expropriated agricultural land is determined in form of a replacement property by amicable agreement with the expropriation beneficiary or per his request.

Following the proceedings and identification of major facts, the court issues the decision to define the form and the scope, or amount of the compensation for expropriated real property. If the parties conclude the agreement on form and scope, or amount of the compensation, the court bases its decision on such agreement, provided it determines that the agreement is not in opposition to the regulations governing the property relations on real estates.

 Law on Agricultural Land of the Republic of Srpska

In terms of this Law the Agricultural land includes the following: fields, gardens, orchards, vineyards, meadows, pastures, ponds, reeds and marshes, as well as other land that can be the most rational use for agricultural production based on its natural and economic characteristics.

According to Article 27 of this Law, a permanent or temporary change of use of arable agricultural land which bellongs to I, II, III, IV and V cadastral or capability class into non- agricultural purposes can be made only in accordance with the law when there is adopted appropriate planning document which prescribes construction of objects of public interest in the field of: health, education, social welfare, culture, water management, sports, transport, energy Environmental and Social Impact Assessment | 42 and municipal infrastructure, facilities for the state authorities and local community facilities for the defense of the country, ensuring environmental protection and protection of natural disasters, for exploitation of mineral resources, as well as for the construction of objects, if there is regulation plan or other planning document according to which the construction is considered as construction of public interest (fee for change of use in accordance with this law is not payable in case of construction of facilities that are used for flood protection - Article 36).

Public interest for construction determines the Governemnt of the Republic of Srpska.

 Regulations for Legalisation of Illegal Constructions

The facts of elementary importance include facts that a legal construction requires provision of the location permit, construction approval and use permit in accordance with the Law on Spatial Development and Construction, to pursue registration of the pertaining structure into the land registry thereafter in compliance with the Land/Real Property Surveying and Registry Law and registration into the land registry in compliance with the Land Registry Law. However, in field of physical planning, organising and construction, to enable rational space use, the construction in accordance with the planning documentation, and fulfilment and harmonisation of individual population demands on one side and wider demands of a social community on the other side, specific and widespread problems are observed in the Republic of Srpska and Bosnia and Herzegovina in urban areas, areas to be urbanised and areas not planned for construction. It is the phenomenon of an illegal construction, nonexistent and verydifficult to apprehend by the west Some of the reasons of illegal construction include: legal system non-functioning, difficult economic situation of a large number of population (frequent construction of structures without adequate location-technical and construction documentation, required permits and licences due to excessive funds required for payment of different fees to obtain them), as well as construction of numerous settlements during and after the war without required documentation.

The process of Legalisation of Illegal Constructions is regulated with the provisions of Law on Spatial Development and Construction of the Republic of Srpska, while the Regulation on conditions, method of calculation and payment of the object legalization closely defines conditions, method of calculation and payment of the object legalization.

Legalisation implies enactment of decisions on subsequent location permit, construction permit and use permit for the objects, i.e. parts of the objects constructed, reconstructed or started without a building permit, as well as for the objects constructed on the basis of building permit which construction has deviated from the final design, and which are constructed or the construction of which began before the entry into force of this law. According to provisions of the Law on Spatial Development and Construction the Request for Legalisation of Illegal Constructions can be submitted within two years from the date of entry into force of this Law.

Concerning the regulations above, it can be concluded that they are important for the Project of construction of the protective embankment from Balatun upstream to Glavičica, provided they enable determination of ownership rights for structures, under the prescribed conditions in favour of owners or beneficiaries, as well as registration into the cadastre and land registry also offering the possibility of being provided the required protection in sense of the World Bank Operational Policies.

 Law on Construction Land of the Republic of Srpska

According to Law on Construction Land of the Republic of Srpska from 2006 (Official Gazette of the Republic of Srpska No: 112/06) land may be in the state and private ownership (private ownership was first mentioned in Law on Construction Land from 2003, unlike former statutory resolutions based on which the construction land became exclusively state/society owned upon its determination, and after that there were no legal grounds for changing the ownership character). Environmental and Social Impact Assessment | 43

Afore mentioned Law was normally the first step in transformation of the right of use and disposal into the ownership right for construction land, and the RS Law from 2006 made the next step and reprivatised and nationalised the construction land, as well as the land proclaimed construction land by special laws. The process was finally concluded by the RS Law on Property Rights, whose transition and final provisions anticipate definitive transformation of the right of disposal and right to use the construction land into the ownership right, and the provisions of the Law on Construction Land regulating property rights are thereby abolished.

With the entry into force of the new Law on Spatial Development and Construction ("Official Gazette of the Republic of Serbian" no. 40/13) ceased to exist above mentioned Law on Construction Land of the Republic of Srpska (112/06), except the Article 44.

The aforementioned Article 44 includes the following:

(1) With the entry into force of this law, by force of law the state ownership on construction land which has not been used in accordance with defined purpose by regulatory plan, and in public i.e. state ownership is passed on the basis of: a) Law on Nationalization of leased constructions and construction lands (“Official Gazette of FNRJ", No 52 58), b) Law on determination of construction land in certain urban settlements ("Official Gazette of SRBiH", No 24.68), referred to municipalities Banja Luka, Doboj, Rudo, Visegrad and Zvornik. (2) Termination of property under paragraphs 1 and 2 of this article, as well as the establishment of former ownership legal rights, determined by the decision of the competent administrative authority for property and legal affairs (3) The decision referred to paragraph 2 of this Article may be challenged by an appeal in front of the Republic Administration for Geodetic and Property Affairs (4) A final decision under paragraph 2 of this Article shall be delivered ex officio to the authority responsible for registration of property rights for implementation.

 Law on Forests of the Republic of Srpska

Law on Forests regulates the issues related to the status, ownership, usage, disposal and acquisition, as well as protection of this natural resource.

Deforestation and permanent change of use of forest land can be made, inter alia, if it complies with the law governing spatial planning, with delivery of investment and technical documentation based on which is necessary deforestation or changes in land use for specific soil, then on the basis of Act of relevant Authority on determining the public interest, as well as for the construction of facilities for the protection of people and property from natural disasters and defense of the country as well as in the process of consolidation of agricultural land and forests.

Proposal for deforestation and permanent change of use of forest land due to existence of public interest may be submitted by legal entities beneficiaries of the expropriation for the activities the expropriation regulations allowed the determination of public interest.

 The Law on Administrative Procedure of the Republic of Srpska

Civil authorities are obliged to act according to this Law when in administrative matters, direct enforcement of legislation, dealing with the rights, obligations or legal interests of individuals, legal entities or other parties, as well as perform other tasks specified in this law. Also the city and municipality administrative organs are obliged to act according to this law when carrying out tasks of the state administration. Besides, enterprises, institutions and other organizations are obliged to follow the Law in proceeding of public authorities entrusted to them by law, i.e. when performing the above mentioned activities.

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Decisions of administrative bodies, cities and municipalities shall be made in the form of a decision after carrying out the procedure prescribed by this Law. Against the Decision adopted in the first instance may be appealed. Only the Law may provide that in certain administrative matters may not be appealed, provided that the protection of rights, legal interests of the parties and legality protection is ensured otherwise.

The law by Article 43 gives the possibility for setting up a temporary representative if incompetent party has no legal representative, or if any action should be taken against the person whose residence or temporary residence are unknown, and who has no legal representative, the Authority will set up a temporary representative for such a party in the case of urgency i.e. if the procedure must be conducted.

If a legal entity, an organization, a settlement, a group of persons and others who have not capacity of legal entity, legal representative or authorized representative, the Authority of this party will set up a temporary representative to the party and inform it immediately about the same. As a rule, the temporary representative for the legal entity sets from among the officials of the legal entity.

Likewise, the temporary representative will be appointed if a prompt action has to be performed and there is no possibility for timely invitation of the party or its legal representative or authorized representative or attorney. The party or legal representative or authorized representative or attorney will be immediately notified about this.

A person who is appointed as a temporary representative is obliged to accept the representation unless special regulations provided differently. Temporary representative participates only in the procedure for which is explicitly appointed, and until the legal representative or authorized representative, or a party or its attorney.

3.5.2.3. Combined requirements of National legislation and the World Bank to be applied to the project

The World Bank Operational Policies OP 4.12, as well as the internationally recognized standards, concurrently contain certain elements to pursue property rights (for example, ownership right - protection, compensation, and similar), as well as some other, or additional socio - economic rights of vulnerable population groups. Therefore, based on the scope of the protection subject, and providing societal, social and cultural elements, World Bank Operational Policies go substantially beyond the content of the protection of property rights in the immovable acquisition process.

Thereby, it is necessary to bear in mind the fact that the issues of ownership, definition, protection and transfer of this right in Bosnia and Herzegovina and the Republic of Srpska are regulated by the Constitution, and a set of numerous property regulations. The issue of a special status of certain (vulnerable) population group, and the assistance to it, are regulated by another set of status and social regulations.

To provide protection and implementation of the right in certain cases, prior implementation of procedures for settlement of ownership issues, or determination of this right, would be required. Afore mentioned is facilitated by, for example, the procedure for legalisation of illegally constructed buildings, as well as the procedure for settlement of state owned land usurpations. Legalisation and usurpation settlement procedures above are regulated by current regulations and may result in determination of the ownership right of a property owner (user) providing the prescribed requirements have been fulfilled. It is advisable to use these possibilities, as well as the possibilities of a contractual settlement of issues related to property acquisition, as much as possible as it would enable protection of rights required by above quoted World Bank Operational Policies.

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In this case, settlement of compensation, resettlement and assistance issues within the Project of construction of the protective embankment on the left bank of the Drina river from Balatun upstream to Glavičica, through expropriation processes and in compliance with afore mentioned regulations, policies and standards, would require provision and consolidation of the property right, status and social components. Aimed at implementation of the afore mentioned activities, it would be necessary to provide inclusion of more entities authorized for status issues, social aid and protection (Ministry of Health and Social Welfare of the Republic of Srpska, Municipal agency, as well as Social Aid Centre of the Municipality of Bijeljina), and pursue the transfer of certain obligations and responsibilities to them.

Providing the above indicated circumstances, it shall be considered that, apart from the regulations that generally regulate property rights and pertaining procedures, there is the possibility of amicable settlement of expropriation and corresponding compensation issues, as well as adoption of special decisions to regulate certain issues or provide an additional right. The obligation for settlement of significant issues in such a way can be determined by a special Protocol and Contract with the government of the Republic of Srpska, and the issues above shall be anticipated and included in the Resettlement Action Plan, with indication of special decisions and institutions/authorities responsible for their adoption (government, authorised ministries, and similar).

3.5.2.4. Procedure of acquisition / expropriation and resettlement

Property acquisition is mostly carried out in the process of expropriation, in accordance with the Law on Expropriation. In the process of limited expropriation can be established easement. Besides, the easement can be established by agreement or by a court decision, in accordance with the provisions of the Law on Property Rights of the Republic of Srpska.

For the essence of resettlement policy the most important issues are those related to insurance and addressing the fees for property acquisition, as well as help to those whose assets are exempt and which are relocated through the measures during the acquisition and after the relocation. Regarding to this, special attention is devoted to vulnerable population groups.

3.5.2.4.1. Expropriation

Current Law on Expropriation of the Republic of Srpska prescribes that expropriation means requisition or restriction of ownership rights over real property with certain compensation (Article 1). It defines expropriation as full (real property acquisition) or limited (restriction of ownership rights - for example by means of creating an easement). The Law defines compensations in the case of expropriation as an equitable compensation that may be below the market value.

Pursuant to the Law, a real property can be expropriated for construction of business, residential, communal, medical, educational and cultural structures, civil defence structures and other structures of public interest, with exhaustive listing of specific cases (Article 2).

The expropriation target includes real property owned by individuals and legal entities (Article 4), which is generally an important novelty when compared to former arrangements when expropriation included real property owned exclusively by citizens and civil entities (association of citizens, religious communities, religious institutions and endowments).

Presence of the previously determined public interest is an expropriation assumption, while the construction of structures and execution of works must be in compliance with the planning documents (Article 5). Expropriation can be pursued for needs of the Republika Srpska and local self-government (these beneficiaries are further authorised to transfer the expropriated real property to investors for construction purposes). Through the process of expropriation, a real property becomes the ownership of the expropriation beneficiary, allowing also the creation of Environmental and Social Impact Assessment | 46 an easement over land and structure, aswell as land lease, and anticipating the possibility of implementing preparatory works on the real property for expropriation purposes (Articles 7 - 9).

Expropriation beneficiary is entitled to use the real property exclusively for the purpose the expropriation has been pursued for (Article 10.).

Based on the owner's request, the remainder of the real property can be expropriated as well, providing it has been determined that the owner holds no business interest in using it, or if previous livelihood was blocked or seriously deteriorated on the referred part of the property, or if its normal usage has been disabled (Article 11).

The owner is entitled a compensation for the expropriated property in form of a replacement property, and if the expropriation beneficiary is unable to provide a replacement property, the compensation (equitable or based on market value) is defined in cash. If the owner lives in an expropriated residential structure or an apartment as a special part of the residential structure, the expropriation beneficiary is obliged to provide use another corresponding apartment prior to demolition. The same policies are applied also to expropriation of commercial premises in which the owner performed his business activities (Article 12).

3.5.2.4.2. Compensation for Expropriated Real Property

The Law on expropriation of the Republic of Srpska defines expropriation as an equitable compensation that cannot be below the market value.

Concerning the compensation for expropriated real property, it is prescribed that upon determination of compensations for agricultural and construction land, it is necessary to evaluate the benefit a land can offer through its regular usage, the benefit the owner achieved from the land in the past, especially taking the account of the market price, with the definition of compensation for expropriated orchard land, compensation for fruit trees and vines, forest land, wood mass, young plants, older trees, wastelands and rocky lands, and civil structures. Personal and family circumstances of a former owner are taken into account as a corrective to increase the compensation if essentially important for his existence. The Laws define also the compensation rules concerning expropriation of a residential structure or an apartment as a special part of the structure. The amount of the compensation in the proceedings before the administrative authority is determined in accordance with the circumstances at the time of signing the compensation contract, and in court procedure at the time of signing settlement, or at the time of issuing the first-instance decision on compensation. The compensation, in principle, is provided by replacement, full or limited, with another corresponding property, and if not feasible, in cash, leaving the parties the possibility of amicable agreement on another form of compensation as well.

Pursuant to the relevant Laws of the Republic of Srpska, particularly important for the Project of construction of the protective embankment on the left bank of the Drina river from Balatun upstream to Glavičica is that the constructor is entitled compensation in the amount of implemented investments, provided the requirements for legalisation of the construction were fulfilled during the time of construction. Therefore, there is an apparent discrepancy between these provisions and the World Bank Operational Policies, requiring protection of user rights, regardless of legal justification of their property grounds (including illegal constructors as well).

It is also anticipated that a former owner is entitled compensation for lost gaining. In case of a lease set-up, the compensation is determined in the amount of the rent market value, as a one- time payment or as periodical payments starting from the day of taking the possession of the land. The compensation for temporary occupation of the land is regulated alike. In case of an easement set-up, the compensation is determined in the amount of the reduction of a real property market value caused by the easement set-up, as well as for the damage occurred on the referred real property (Articles 53 - 67 of the RS Law). Environmental and Social Impact Assessment | 47

It can be concluded that the provisions prescribing equitable compensation, benefits from land, personal and family circumstances of a former owner, compensation in the amount of paid investments, damages, and compensation for the lost gaining provide, in principle, accomplishment of the protections standards prescribed by the World Bank Operational Policies.

3.5.2.4.3. Property Easements

Issues related to property easements as property rights are regulated by Articles 186 - 263 of the Law on Property Rights of the Republic of Srpska.

In sense of the laws above, property easement is the right of the owner of a real property (dominant estate) to perform for needs of that property certain actions on the real property of a different owner (servient estate) or to request from the owner of the servient estate to refrain from execution of certain activities that he is usually entitled to execute on his real property. Normally, property easement can be created on the definite time basis or for certain season. Provisions above recognise and prescribe usucaption (acquisitive prescription) as the possibility of acquiring easement, thus the property easement is achieved based on adverse possession when the owner of the dominant estate has actually pursued easement during the period of twenty years, and the owner of the servient estate never objected to it. The attention herein is drawn to the fact that the property easement cannot be entitled based on usucaption if it was pursued with misuse of trust of the servient estate owner or occupant, by means of force, fraud or if easement is consigned until revocation. Usucaption is normally a method of acquiring entitlement by force of law (ex lege), provided the entitlement shall be define by court decision, whereby such court decision is not of constitutive but a declarative character (it declaratively states the existence of certain entitlement).

Pursuant to the law, property easement is terminated: if the owner of the servient estate objects to it, and the owner of the dominant estate has not pursued his right for three years consecutively, if the easement is not pursued during the period required for its acquisition by usucaption, if the same person becomes the owner of both servient and dominant estate, and if dominant or servient estate are destructed. If the dominant estate is divided, property easement remains in favour of all its parts.

Property easement may be constituted also in the process of limited expropriation under the responsibility of an administration authority, or a municipal department for property affairs, in accordance with the Law on Expropriation.

Property easements can be created by court decision, legal affair between the parties and administrative authority decision when it comes to construction land. The decisions or legal affair concluded in written between the owners of dominant and servient estate above represent documents suitable for registration of easement rights into the land registries in compliance with the Law on Land Registries, or the Law on Cadastre of the Republic of Srpska.

3.5.2.4.4. Compensation for Easement

If the property easement is created by a legal affair, the parties-owners of dominant and servient estates shall settle issues related to the easement to be created by amicable agreement, thus including the compensation issue as well. In case of the other two ways of easement creation, the will of the parties is not crucial, provided the easement is created based on the competent authority decision following the authority's affirmation of the fulfilment of requirements prescribed for it, or pursuant to and by force of law upon expiration of the statutory deadline of twenty years during which the easement has been actually exercised and the servient estate owner did not object to it. In any case, pursuant to the law and based on the request of the servient estate owner, the competent authority is obliged to determine the compensation the dominant estate owner owes to the servient estate owner. Also, the servient estate owner Environmental and Social Impact Assessment | 48 cannot refuse the creation of easement provided the existence of statutory requirements, and concerning the creation of easement, the servient estate owner is entitled compensation.

3.5.2.4.5. Expropriation Process

The laws prescribe public interests defining procedure to the Government of the Republic of Srpska and legal assumption that in case there is a regulation plan, preliminary design or town- planning scheme with land subdivision, there is also a public interest, as well as the procedure related to the expropriation preparatory works (Articles 14 - 22 of Law on Expropriation).

The process is carried out by the department for property affairs, on the proposal of the expropriation beneficiary with precise indication of the beneficiary, real property and its owner, structure, or works due to which the expropriation is proposed, decision on construction of an investment structure, corresponding document as a proof that the expropriation beneficiary is in possession of funds for compensation secured and allocated on a separate bank account, and evidence of the affirmed public interest. Special accent is put on the prescribed requirement based on which the expropriation proposer, in addition to the proposal, must submit an evidence of his prior attempt to settle the property acquisition issue for the related real estate by amicable agreement. If there is a discrepancy between the land registry and the actual situation of the real property, the first instance administrative authority is authorised to resolve the property issue as a preliminary issue, thus representing a significant opportunity for the Project, or provision of the protection standards in sense of the World Bank Operational Policies. The decision on expropriation is issued in accordance with the Law on Administrative Procedure of the Republic of Srpska and the appeal to it can be submitted to Republic Administration for Geodetic and Property Affairs (Articles 23 - 31 of the Law on Expropriation).

3.5.2.4.6. Taking Possession of Expropriated Real Property

Entitlement to an expropriated real property is acquired on the date of enforcement of the expropriation decision, with a new requirement anticipated by the laws - that the beneficiary had already paid the compensation to the former owner by then, or handed over the possession of a corresponding real property. Otherwise, this entitlement is acquired on the date of the compensation payment, or hand over of the possession of another real property. Exceptionally, based on the request of the expropriation beneficiary, the Government can decide to hand over the real property prior to the enforcement, or the decision finality if required for emergency reasons or elimination of a substantial damage. This option is excluded in case of a residential or a commercial structure, for which the expropriation beneficiary has not provided another corresponding real property. Law on Expropriation of RS Entity gives possibility to conduct an administrative dispute against the referred government decision. If the expropriation beneficiary has taken the possession of the real property prior to the decision enforcement, provided the expropriation proposal is rejected, he is obliged to compensate the owner the damage caused thereby (Articles 33 and 34 of the Law).

3.5.2.4.7. De-expropriation

Expropriation beneficiary is entitled to fully or partially abandon the expropriation proposal before the issue of the final expropriation decision, provided no violation of the owner's rights.

Final decision will be cancelled or amended if jointly required by the expropriation beneficiary and the former owner, and based on the former owner's request if the beneficiary, within three years from the final decision issue, implemented no significant works on the structure depending on its nature (in this case, both full and limited expropriation are possible).

If the expropriated real property was co-owned, deexpropriation requires provision of the request of the major co-owner, possible to be submitted upon expiration of the time limit of three Environmental and Social Impact Assessment | 49 years from the entry into force of the decision, and until the implementation of significant works by the expropriation beneficiary. The authority responsible for the expropriation proposal decides on this request, and in case of a dispute over the property rights between the expropriation beneficiary and the former owner, it shall be resolved by the competent court. The above indicated time limit of three years shall not include the period during natural disasters (Articles 35 - 37 of the Law).

3.5.2.4.8. Expropriation Process Costs

The costs of the expropriation process are borne by the beneficiary. The process is defined as urgent (Articles 39 and 40 of the Law).

3.5.2.4.9. Process for Determining Compensation for Expropriated Real Property

Compensation determining process is carried out by the department for property affairs after the issue of the final expropriation decision, aimed at achieving agreement between the beneficiary and the former owner. The agreement is concluded upon signing by both parties, and as such it has the power of an executive decision that, in case of non-monetary obligations, is executed by the afore mentioned authority responsible for the property affairs. If the agreement is not reached within two months from the issue of the final expropriation decision, the department for property affairs is obliged to submit all relevant documents to the competent court to, ex officio, decide on the amount of the compensation through a non-contentious procedure. The costs of the process for determining compensation by amicable agreement are borne by the expropriation beneficiary, while the court defines the costs of the court procedure in proportion to success of the parties (Articles 68 - 71 of the Law).

3.5.2.5. Appeal procedure

Protecting the rights of the owners or users of properties that are subject of expropriation is provided through two steps regulated administrative and judicial procedure, along with guaranteed right to appeal.

The following principles will be respected:

- The Decision of expropriation may be challenged by an appeal in front of the Republic Administration for Geodetic and Property Affairs. - The appeal can be submitted to first-instance authority that issued Decision on Expropriation (Municipality); the Appeal can be submitted within 15 days. - All appeals will be answered and preceded within the statutory period of 30 days. - Against the decision of the second-instance authority may be initiated administrative proceedings before the competent court within 30 days of receipt of this decision; - An integral part of any solution is legal remedy; - If agreement on compensation is not achieved within two months from the date of final decision on expropriation, the Municipal administration department shall provide, without delay, a final decision on expropriation with all documents to the competent court to which area the expropriated property belongs to. - If the Municipal administration department does not act in accordance with the above, the previous owner and beneficiary of the expropriation can directly contact the competent court in order to determine fees; - In relation to the Law on expropriation the Appeal procedure is carried out according to the Law on Administrative Procedure; - In the case that disputes cannot be resolved directly by the parties, the mediation as voluntary way of-court resolution of disputes will be applied. The third party - impartial mediator will be engaged who will be notified of any disputed case; - The competent court ex officio in non-administrative proceedings will decide on the amount of compensation for expropriated property; Environmental and Social Impact Assessment | 50

- The procedure for determination compensation for expropriated property is urgent. The process must be completed as soon as possible, and no later than 30 days from the date of initiation of proceedings before the court, - Against the court decision on determination of fees the special appeal is allowed.

3.5.2.5.1. Right to Build

As the right to build enables usage of a real property owned by another individual, it may bear certain importance for the Project of construction of the protective embankment on the left bank of the Drina river from Balatun upstream to Glavičica. Provided it refers to a new institute of property right, currently applied in the Republika Srpska only, a slightly detail review is given below. The right to build is the traditional institute of the property right, with its origin in the Roman law (superficies), and is regulated by the Law on Property Rights. The referred law is based on the authorisation to build a structure on someone else's land or beneath it, as well as on the obligation of the land owner to tolerate it.

The land can be encumbered in a way that the encumberment beneficiary is entitled to own a structure on or beneath the land, whereby the entitlement can be alienated or inherited. The individual in whose favour the encumberment is pursued acquires certain rights both on the structure and on the land; right to build can be constituted on the already existing structure. The holder of the relevant right can build on or beneath the surface of someone else's land a permanent or physically attached structure and acquire the right to own it. The individual above acquires rights and obligations of a usufructuary on the land owned by another individual.

It arises from the agreement and registration in the land registries. The parties agree to create, or acquire, the right to build. A notary processing is required for the validity of the agreement above, in compliance with the Article 68 of the RS Notary Law.

Unless otherwise regulated by the agreement, the right to build is a permanent right. The duration of the right to build can be limited to a definite period of time, with the obligation to respect the legal nature of this institute and its long-term intentions.

Apart from the duration restrictions, the agreement may contain a clause pursuant to which the owner of the land becomes also the owner of the structure (return to the owner) upon expiration of the agreed period of time. However, even if not containing such clause, the owner of the land becomes the owner of the structure upon expiration of the right to build. In that case, the land owner can agree to a lower rent or perhaps renounce it.

The meaning of the right to build is the allow the real property owner to use the benefits of a land on a long-term basis, thereby without losing the ownership over the property, and concurrently allow another individual, not in possession of resources to purchase a real property, to build certain structure.

The right to build terminates upon deletion from the land registry. The basis for the deletion can be the expiration of the agreed period of time or occurrence of other circumstances regulated by the agreement and may result in the deletion of the right to build, such as for example destruction and renouncement by holder of the right to build.

The right to build grants its holder the possibility to use the land in accordance with his needs. Thus his right to usage cannot be restricted in a way of disabling management over a construction or secondary structures. The right to build refers neither to the land beneath the structure or installations nor the surface required for regular usage of the relevant structure.

A structure or an installation constructed pursuant to the right to build are the constituent part of such right (ownership over a structure, or ownership over an installation), and separate it from Environmental and Social Impact Assessment | 51 the land. A structure or an installation as a constituent part of the right to build shares its fate. By transfer of the right to build, the acquirer acquires also the ownership over the structure (already existing or newly built).

The holder of the right to build is the owner of the structure, and is allowed to encumber the structure and dispose of it as every other owner in accordance with the regulations and possibilities pursuant to the construction agreement. As only a whole plot and not part of it is subject to encumberment, material validity of the agreement targeted at encumberment of the right to build requires precise definition of the agreement subject, to enable registration into the land registry.

The right to build is an encumbrance to the land it is created for, and is recorded as such in the encumbrance sheet of the encumbered land. Concurrently, a separate land registry file is created ex officio for the structure or the right to build, whereby the holder of the right and all encumbrances related to the right to build are being recorded.

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3.5.3. Process of acquisition/ expropriation and resettlement (table 10)

Below is shown review of activities per phases in the process of aquisition/ expropriation and resettlement in accordance with National legislation requirements and requirements of World Bank Operational OP 4.12.

Table 10 Expropriation process PROCESS PHASE LEGAL FRAMEWORK ACTION/ ACTIVITIES REMARK Prior to initiation of the Law on Expropriation Public interest determination Requirement for initiation of the expropriation process expropriation process Prior to initiation of the Informing and public discussions Requirement in sense of the World Bank Operational Policies 4.12 expropriation process Prior to initiation of the official Law on Expropriation Settlement of the transfer of Suitable also for settlement of certain disputable or problematic cases expropriation process ownership right by agreement (for example construction of a structure without obtained permits and licences) Prior to Law on Expropriation Proposal submission Precise in the proposal: beneficiary, real property and its owner. expropriation Enclose to the proposal: decision on construction of an investment structure, proof that the expropriation beneficiary has secured and process allocated funds for compensation payment on a separate bank account, proof of defined public interest, and proof of the proposer's attempt to resolve the ownership acquisition issue with the property owner in prior. Expropriation process initiated Law on Expropriation Determination of ownership rights If there is a discrepancy between the land registry and actual situation Law on Administrative Procedure of the real property, municipal department for property affairs shall settle the ownership right as a preliminary issue, in compliance with Article 27, Para 3 of the Law. This prescribed option is of special significance as it authorizes the department above to preliminary settle, or determine the ownership right, which is a far more efficient way if compared to special procedures carried out before other authorities. Expropriation decision making Law on Expropriation Expropriation of the real property Expropriation of the remainder of the real property can also be process remainder expropriated on the owner's request, provided the owner holds no business interest in using the related part, or if the former existence has been disabled or substantially deteriorated on the remainder property or if normal usage of it has been disabled. Expropriation decision making Law on Expropriation Taking Rule: the property shall be taken into possession after the process possession of the expropriated real expropriation decision enters into force. Exception: based on the property request of the expropriation beneficiary, the Government can decide to hand over the real property prior to the final decision issue or prior to the decision finality, when it is necessary due to urgency or elimination of major damage. This option is excluded in case of a residential or business structure for which the expropriation beneficiary has not provided a corresponding real property. Environmental and Social Impact Assessment | 53

Expropriation decision making Law on Expropriation Abandonment of the expropriation Process suspension process Law on Administrative Procedure proposal Second-instance administrative Law on Expropriation Settlement of appeals to the Settled by the Republic Administration for Geodetic and Property procedure per appeal Law on Administrative Procedure expropriation decisions Administrative dispute Law on Expropriation Decision making on appeal against Decision is issued by the District Court in Bijeljina Law on Administrative Procedure the expropriation decision Law on Administrative Disputes Expropriation process is completed Law on Expropriation Registration of ownership and other Registration of ownership and other property rights on expropriated real Law on Land Registry property rights estate, as well as the real estate granted to a former owner on behalf of the compensation, is carried out according to the final expropriation decision and proof of compensation paid, or proof of the acquisition of ownership right over another corresponding estate by the former owner. Expropriation process is completed Law on Expropriation Determining the amount of the By amicable agreement before the municipal department for property Law on Administrative Procedure compensation in administrative affairs procedure Court (non-contentious) procedure Law on Expropriation Determining the amount of the Municipal court decision on the compensation amount Law on Non-Contentious compensation in court procedure Proceedings Expropriation process is completed Law on Expropriation Request for real property Cancellation of the final expropriation decision due to the failure to Law on Administrative Procedure deexpropriation accomplish intended usage of the acquired real property or failure to use the property for purposes it has been acquired for.

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3.5.4. Compensation matrix (table 11)

Below is a tabulation of the compensation rights in accordance with the applicable laws of the Republic of Srpska or specific World Bank requirements depending on the type of rights or assets which can optionally be found under the influence of the Project of construction of the protective embankment on the left bank of the Drina river from Balatun upstream to Glavičica:

Table 11 Compensation matrix TYPE OF PROJECT AFFECTED RIGHT LEGAL FRAMEWORK COMPENSATION ENTITLEMENTS PROCESS AND SPECIFIC REQUIREMENTS OR PROPERTY Registered plot of land with registered Law on Expropriation OPTION 1: RESETTLEMENT WITH Transfer of property right through amicable residential structure Law on Construction Land REPLACEMENT PROPERTY agreement or expropriation

Replacement property including residential plot of Requirements from the World Bank Operational similar size and characteristics, and residential Policies 4.12 structure of similar size and characteristics,

OR

OPTION 2: CASH COMPENSATION - Cash compensation for plot and structure at market, or full value, and - Moving allowance Registered non-residential structure, on Law on Expropriation Cash compensation to the structure owner at market, Transfer of property right through amicable registered plot of land Law on Construction Land or full values, agreement or expropriation and Cash compensation for the plot at market value Requirements from the World Bank Operational Policies 4.12 Registered agricultural land plot Law on Expropriation Provision of a replacement agricultural plot of similar Transfer of property right through amicable size and characteristics, agreement or expropriation. or If the Project affected part of the relevant plot Cash compensation at replacement value accounts 10% for an irrelevant part of its total surface, the replacement plot option will not be available, but only the cash compensation option. If the plot remainder after the expropriation of the affected part is unusable, the owner will be entitled to expropriation of the remainder (whole) plot. Requirements from the World Bank Operational Policies 4.12 Annual crops [yield) Law on Expropriation Cash compensation at market value to the owner of Cash compensation for the crop will be available Law on Agricultural Land the crop if he has evidence of lease of land plot from only if the annual yield cannot be harvested within the landowner the period of notice Cash compensation to the landowner at market Requirements from the World Bank Operational value Policies 4.12 Environmental and Social Impact Assessment | 55

Perennial crops Law on Expropriation Cash compensation at market value to the owner of Requirements from the World Bank Operational Law on Agricultural Land the crop if he has evidence of lease of land plot from Policies 4.12 the landowner Cash compensation to the landowner at market value Business Law on Expropriation Replacement property will be given as compensation Requirements from the World Bank Operational to the previous owner of the expropriated premises Policies 4.12 used for business purposes by the expropriation beneficiary before demolition of the business premises. Privately owned forest land Law on Expropriation Cash compensation at market value of the plot to the Transfer of property right through amicable Low on Forests landowner and agreement or expropriation Cash compensation at market value of the lost Requirements from the World Bank Operational timber to the timber owner Policies 4.12 COMPENSATION ENTITLEMENTS NOT COVERED BY LEGISLATION OR DOUBTFUL Agricultural land plot registered in the Law on Expropriation Cash compensation at replacement value of the plot Determination of the ownership right for the name of the individual distinct from the Law on Property Rights of the Republic of Srpska to land owner or his/her successors beneficiary, (for example in usurpation settlement user Law on Agricultural Land and process, and transfer of property right through Law on Land Registries Cash compensation for any developments amicable agreement or full expropriation (development activities) to the owner of these developments (applicable to irrigation or drainage Requirements from the World Bank Operational structures, perennial plantations, structures, etc.) Policies 4.12 Registered plot of land with residential Expropriation Law Legalization Regulations Only if subject to successful legalization: Expropriation and corresponding compensation structure without construction permit, built can be implemented when the legalization was by the owner of the plot OPTION 1: RESETTLEMENT WITH completed successfully before the expropriation REPLACEMENT PROPERTY decision was brought

- Replacement property including the plot Requirements from the World Bank Operational and residential structure of similar size and Policies 4.12 characteristics (replacement property) and plot attached to the property, and - Moving allowance,

OR

OPTION 2: CASH COMPENSATION - Cash compensation both for the plot and the residential structure at market, or full value, and - Moving allowance Residential structure illegally built on the Law on Expropriation Only if subject to successful legalization: Expropriation can be implemented when the plot owned by another individual Legalisation Regulations - Cash compensation at market value to the legalization was completed successfully before Law on Property Rights structure owner, and the expropriation decision was brought - Moving allowance to the structure owner, and - Cash compensation at market value of the plot to Requirements from the World Bank Operational the plot owner and/or his successors Policies 4.12 Environmental and Social Impact Assessment | 56

Residential structure illegally built on the Law on Expropriation Only if subject to successful legalization: Expropriation can be implemented when the plot under public ownership Legalisation Regulations - Cash compensation at market value of the determination of the ownership right for Law on Construction land structure to the structure owner, and construction on someone else's land and the - Moving allowance to the structure owner legalization were completed successfully before the expropriation decision was brought

Requirements from the World Bank Operational Policies 4.12 Illegally built nonresidential structures on Law on Expropriation Only if subject to successful legalization: Expropriation can be implemented when the the registered land Legalisation Regulations - Cash compensation at market value of the legalization was completed successfully before Law on Construction land structure - to the structure owner, the expropriation decision was brought Law on Property Rights and - Cash compensation at market value of the plot to Requirements from the World Bank Operational the plot owner and/or his successors Policies 4.12 Illegally built non-residential structure on Law on Expropriation Only if subject to successful legalisation: Expropriation can be implemented when the the plot owned by another individual Legalisation Regulations - Cash compensation at market value of the determination of the ownership right for Law on Construction land structure to the structure owner, construction on someone else's land Law on Property Rights and And - Cash compensation at market value of the plot to the legalization were completed successfully the plot owner and/or his successors before the expropriation decision was brought

Requirements from the World Bank Operational Policies 4.12 Illegally built non-residential structures on Law on Expropriation Only if subject to successful legalization: Expropriation can be implemented when the the plot under public ownership Legalisation Regulations - Cash compensation at market value of the legalization was completed successfully before Law on Construction land structure and pertaining land to the owner the expropriation decision was brought And - Cash compensation at market value for the Requirements from the World Bank Operational land plot Policies 4.12 Environmental Management Plan and Social Impact Assessment | 57

3.5.5. Gender impact and mitigation measures

Establishing gender equality is one of the key objectives and priorities for development of any modern society. Gender equality means an equal visibility, empowerment and participation of both genders in all spheres of public and private life as well as aims to promote the full participation of women and men in society.

The term Gender represents socially conditioned roles of women and men, their responsibilities and capabilities, and their mutual relations. Gender indicates the sociological and cultural differences between women and men. This term applies to all those roles and features that are not conditioned or determined solely by natural or biological factors, but primarily the product of norms, conventions and traditions, and they are variable categories over time.

In the project coverage area women have important economic roles in project areas and engage in a very wide range of income making activities in the agricultural and marketing sector.

During the realization of the Project of construction of the protective embankment on the left bank of the Drina river from Balatun upstream to Glavičica, special attention will be paid to ensuring that women who are potential recipients of compensation for land expropriation as well as women who are de facto "head of the family" are clearly listed as recipients of benefits in order to achieve the mentioned compensation.

In order to ensure the above the following actions will be considered:

• Include women in the impact enumerators • Impact assessment of AH/AP indicating the total number of families and people must be gender-disaggregated to pinpoint how many women are likely to be affected by the Project and establish their pre-Project conditions. • Women will be major participants in the consultation processes to determine and negotiate for compensation entitlements and implement the Resettlement Plan. • Special attention will be given to the impact of resettlement on women and other vulnerable groups during monitoring and evaluation of the Resettlement Plan.

3.5.6. Institutional framework

Institutional framework is the system of state institutions, authorities and organisations which, in accordance with the law and other regulations, are given certain authorities, or obligations to undertake appropriate measures, and implement activities and specific procedures for deciding on issues relevant to the Project of construction of the protective embankment on the left bank of the Drina river from Balatun upstream to Glavičica.

First of all, significant role in this regard belongs to the Government of the Republic of Srpska and Ministry for Agriculture, Forestry and Water Management of the Republic of Srpska.

Jurisdiction for the expropriation process and settlement of compensations for expropriated property belongs to the Bijeljina municipal office for property affairs. The department for geodetic and property affairs of the Republic of Srpska is the second-instance authority responsible for deciding on appeals to the decisions adopted by the municipal office for property affairs. The assessment of the legality of decisions adopted by the second-instance authority can be pursued through an administrative dispute, after the appeal submission, and the competence thereby is given to the District court in Bijeljina.

The parties are entitled to resolve the expropriated property compensation issue by amicable agreement before the Bijeljina municipal office for property affairs, or otherwise the amount of the compensation shall be determined by the Bijeljina municipal court. Appeals to the decisions Environmental Management Plan and Social Impact Assessment | 58 of these courts can be submitted to the district court in Bijeljina. Second-instance court decisions can be examined based on audit requests, whereby the competence for decision making is given to Supreme Court of the Republic of Srpska.

Apart from the afore mentioned institutions and authorities, providing specific requirements of the World Bank Operational Policies 4.12, the Ministry of Health and Social Welfare of the Republic of Srpska and Municipal Social Aid Offices and Centre emerge as competent for their settlement.

The competence for settlement in the process of legalisation of illegally constructed structures is given to Municipal Planning Department and Ministry of Physical Planning, Civil Engineering and Ecology of Republic of Srpska.

Major competences belong also to the Public Institution “Vode Srpske" Bijeljina.

Concerning forests, apart from Ministry for Agriculture, Forestry and Water Management of the Republic of Srpska, major authorisations for management and usage are statutorily allocated to the Public Enterprise “Šume Republike Srpske”, J.S.C .

Therefore, the institutional framework related and important for the Project of construction of the protective embankment on the left bank of the Drina river from Balatun upstream to Glavičica, with above mentioned institutions, authorities and their statutory competences, offers the possibility to conduct processes, undertake appropriate measures and thus resolve problems and task, as well as to implement the Project goals.

3.5.7. Monitoring and evaluation

Land acquisition and resettlement tasks under the Project of construction of the protective embankment on left bank of the Drina river, from Balatun upstream to Glavičica will be subjected to both: monitoring by the Project Implementation Unit at the Ministry of Agriculture, Forestry and Water Management of the Republic of Srpska, as well as monitoring by the Republic Administration for Geodetic and Property Affairs.

Monitoring conducted by the Project Implementation Unit will be carried out routinely by either directly or through the services of a consultant. The results will be communicated to WB through the quarterly project implementation reports.

Specific monitoring benchmarks will be:

(i) Report on all consultation conducted with APs; (ii) Status of land acquisition and payments on land compensation; (iii) Compensation for affected structures and other assets; (iv) Payments for loss of income;

According to the Law on the Republic Administration (Official Gazette of the Republic of Srpska No. 118/08 i 74/10), The Republic administration for geodetic and property affairs performs administrative and other proffesional tasks related to: • survey and the establishment of the real estate cadastre, • renewal of the survey and real estate cadastre, • maintenance of the survey, real estate cadastre, cadastre of communal services, except for works that are legally transfered to the jurisdiction of local governments, • cadastral classification and land quality evaluation, • mapping the territory of the Republic, • keeping an technical archive of original plans and maps, • primary surveying work, Environmental Management Plan and Social Impact Assessment | 59

• supervision of survey work and work on real estate, land and communal services cadastres, • land consolidation and surveying for special purposes, • property and other affairs related to publicly owned real estate, • property affairs on land, buildings, expropriation, land acquisition, agrarian relations, termination of state ownership, • establishment of earlier property rights on state owned land-denationalization, • records of properties and property rights, • property affairs related to real estate to which the Republic has the right of use, • supervisory, normative, legal and analytical activities and other activities in accordance with the law.

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4. DESCRIPTION OF ENVISAGED MEASURES FOR PREVENTION, DECREASE AND REMOVAL OF NEGATIVE IMPACTS

4.1. Plan of measures for prevention/mitigation of Environmental environmental impacts

Environment Management Plan has been prepared based on the results of Environment impact assessment and includes the measures to decrease possible negative impacts that will be applied during the project implementation, including cost assessment and responsibility for their implementation. Mitigation measures are categorised as:

- Mitigation measures in the phase of planning prior to construction; - Mitigation measures in the phase of construction; - Mitigation measures in the phase of exploitation.

Mitigation measures in the phase prior to construction relate to acquiring all relevant permits and planning relating to selection of the most favourable route of embankment and method of works execution.

Mitigation measures in the phase of construction mainly refer to implementation of good construction practices in order to avoid negative impacts on stability of soil, quality of water and soil, and on noise level, air quality. Their implementation is the responsibility of the Contractor and they must be, together with the Environment Monitoring Plan included into the Contract for works.

The costs of monitoring of these measures must be included into construction costs and supervision contracts, although they mainly involve measures of good management and usually do not require substantial financial resources. The client and the appointed supervising engineer will monitor the implementation of mitigation measures and Monitoring Plan. A list of good construction practices and Waste Management Plan that must be included into the contract with the Contractor are given in AnnexAnnex of this document.

Mitigation measures in the phase of exploitation relate to mitigation of negative impacts that can occur as a consequence of inadequate usage and maintenance of constructed facilities.

The regulation of rivers, apart from functional demands (hydraulic and morphological stability of bed, safety – degree of protection from high waters, cost-effectiveness), must also satisfy very significant social, Environmentalenvironmental and urban functions. Such functions are not exercised by radical regulations, which convey, by means of complete covering into stone and concrete, the watercourse into an open collector, the simplest river biocenosis forms cannot reside therein. Such radical functional approach, which has devastated a large number of watercourses in the Republika Srpska, which as a result stopped existing water ecosystems, is no longer possible or permissible.

There is necessary an approach from positions of so-called natural regulation; recently it has become only appropriate as an approach to regulation and development of small- and middle-scale watercourses. This concept reconciles the achievement of functional hydro- technical requirements with Environmental requirements to preserve Environmental functions of watercourses and to create new conditions, not only for preservation but also for enrichment of biodiversity in the river and its riverbank. Some basic principles of natural watercourses regulation can be singled out:

- Regulation must not jeopardise water and riverbank ecosystems; Plan upravljanja životnom sredinom i procjena uticaja na društvo | 61

- The route of the regulated watercourse must be managed as naturally as possible, adjusting to requirements of biotope preservation in the river and its surroundings; - Maintain parts of abandoned watercourses and river branches in order to provide convenient conditions for biocenoses of stagnant waters; - Cross section of the regulated riverbed must be kept in the form that corresponds to stabilised morphological characteristics of the section; - natural materials must be used for the regulation , without radical interventions in the riverbed by coating the slopes and riverbed bottom; - The space along the river must be adjusted to multipurpose usage, harmonising functional, Environmentalenvironmental and social requirements (the riverbed should be capacitated for recreational activities); - Longitudinal finish grade, with brinks of natural materials in form of continual cascade rapids, should provide conditions for migrations of all species of water fauna; - If the riverbank is protected with embankments, the entire river area between the embankments must be treated as unique ecosystem, with aim of enrichment of water and riverbank biocenoses; - Along the river, in the belt of riverbank, autochthonous vegetation should be kept in form of phytosanation protective belt; - In bigger rivers, where possibilities of neutral regulation are limited but less necessary, because the applied methods of riverbed development (groyne, parallel structures, bank protection) do not jeopardise Environmentalfunctions of the river, the space between the embankment and riverbank zone should be treated as a unique Environmentalspace, dedicated to preservation of full biological diversity.

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Table 12 Plan for prevention and mitigation of Environmental impacts on Prevention from flood project Costs Institutional responsibilities Phase Problem Mitigation measures Comment Planning Implementation Planning Implementation Insure harmonization with relevant legislation Planning/ in the field of Acquire constructional permit, Project Project proposer designing construction, waters, Acquire ecological permit, Water proposer environment and guidelines, concessions Precisely locate the position of infrastructural structures and underground installations in Potential damages to cooperation with relevant the existing institutions at all levels of authority. Project proposer in infrastructure and Change the route or design solution cooperation with structures, in order to decrease or avoid Planning/ Designers and especially aboveground possible damages. Arrange Designer Designing representatives of installations (water cooperation with providers of relevant institutions supply and sewerage communal and other services in of local authority. pipeline etc.) which order for the common steps to be causes disturbances in taken and avoid disruption of provision of services to service delivery or timely notify the beneficiaries. public of temporary interruption of service provision Unauthorised provision Supply construction material from Project of raw materials and legal entities registered for the proposer Problems are to Planning/ construction material subject activity with valid necessary Contractor be regulated Designing represents a pressure licences (environmental, water through tender on natural resources. etc.). documentation. Increased possibility of Project Problems are to

Planning/ employment and proposer be regulated Give priority to qualified local Contractor Designing achieving income for through tender population in employment. local community. documentation.

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Costs Institutional responsibilities Phase Problem Mitigation measures Comment Planning Implementation Planning Implementation Insure protection of slopes (compaction of banks, stabilisation by grassing, slope facing). Determine the location of earth Erosion of soil as a Problems are to material disposing spot, and humus consequence of be regulated Construction with grass cover dispose of Contractor Contractor reclamation, clearing, through tender separately so that it could be used excavation documentation. again. Implement substitute planting or replanting of vegetation. Implement the Waste Management Plan. Problems are to Implement substitute planting or be regulated Disturbance of replanting of vegetation. Apply Construction Contractor Contractor through works vegetation cover measures of good construction execution practice contract. Compact the disposed earth material. Sprinkle with water the Emissions of dust from sources of dust in order to decrease earth material disposing the impacts of dust on surrounding Problems are to spot, du to movement population and vegetation. be regulated Construction of vehicles on Control the velocity of vehicles in Contractor Contractor through Contract macadam roads and order to decrease the dust lifting. on works execution of Prepare and implement the execution. construction works. Construction Site Development Plan that includes the measures of good construction practice. Regular maintenance of equipment. The contractor is obliged to provide evidence of validity of vehicles in Problems are to Emission of gases and line with regulations on hazardous be regulated particles from vehicles, Construction gases emission. Contractor Contractor through Contract mechanisation and Prepare and implement the on works generators. Construction Site Development execution. Plan that includes the measures of good construction practice.

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Costs Institutional responsibilities Phase Problem Mitigation measures Comment Planning Implementation Planning Implementation Abide by law-defined working hours at the construction site. Soundproof the housing of generators if located near Problems are to Noise in heavy residential facilities. be regulated Construction mechanisation and Insure sound silencer for heavy Contractor Contractor through Contract generators activities. machines. on works Prepare and implement the execution. Construction Site Development Plan that includes the measures of good construction practice. The same measures as for erosion Problems are to Increased turbidity of control and slope stabilisation. be regulated waters as a Works are to be done in dry Construction Contractor Contractor through Contract consequence of works weather. on works execution. Prepare and implement the Plan or execution. organisation Avoid servicing and fuelling in the field. In possible fuelling and maintenance of vehicles at the construction site, use protective Pollution of foils. groundwater and Insure absorbing material in case of Problems are to surface waters with oils fuel spilling. be regulated and greases due to Used oils materials and means are Construction Contractor Contractor through Contract poor maintenance and to be treated in lien with the Waste on works reparation of Management Plan. execution. equipment, and fuelling Prepare and implement the at the construction site. Construction Site Development Plan that includes the measures of good construction practice, measures from water acts and measures from the Waste Management Plan. Avoid construction in sensitive year Jeopardising the periods (season of breeding is from species living in the Construction February to May) and during the Contractor Contractor Drina water ecosystem summer when minimal flows with works. decrease thinning effect.

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Costs Institutional responsibilities Phase Problem Mitigation measures Comment Planning Implementation Planning Implementation Plan relocation of equipment at times when traffic is not jammed

during the day.

Insure alternative passage for

Decreased possibility pedestrians and vehicles in

through the areas cooperation with local authorities or Construction Contractor Contractor Problems are to where the works are insure a safe passage through the be regulated executed. construction site. through Contract Prepare and implement the on works Construction Site Development execution. Plan that includes the measures of good construction practice. Insure adequate warning signs, lighting, protective fences etc. Abide by traffic rules. Clean the construction site from construction waste both in the

phase of construction and after the Increased risks for Problems are to completion of works, when closing population from traffic be regulated Construction the construction site. Contractor Contractor accidents and through Contract Through institutional and construction works. on works administrative agreement with execution. municipal hospitals, provide sanitary material and medical aid at the construction site Implement the Construction Site Development Plan. Demand from all workers to abide by the Measures of protection at work Along the route of system Problems are to construction install warning signs be regulated Danger from injuries at Construction Provide workers with sanitary and Contractor Contractor through Contract work. hygienic facilities on works Prepare and implement the execution. Construction Site Development Plan and Plan of measures of protection at work.

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Costs Institutional responsibilities Phase Problem Mitigation measures Comment Planning Implementation Planning Implementation Notify relevant bodies and Republic Institution for Protection of Cultural- Problems are to "Chance findings" of Historic Heritage of the Republika be regulated cultural-historic Construction Srpska and take all measures in Contractor Contractor through Contract heritage, UXO and order to prevent the found objects on works similar from damaging until the arrival of an execution. authorised person. Build adequate Instruments of relocation in lien with Operative Assessment of policy 4.12 Involuntary relocation. Impact on business costs will be Law on Expropriation of the RS. Project Construction activities and rights of available through Project proposer Timely consultations and proposer land usage. Expropriation cooperation with vulnerable groups elaborate report. in order to decrease the threats in everyday activities. Short-term storage at certain locations. Taking over the waste and disposing of by authorised institutions. Problems are to Pollution of waters and Soil and other inert material are to be regulated Construction soil due to inadequate be used for insurance of slopes. Contractor Contractor through Contract waste disposal. Re-usage and recycling of waste on works wherever possible. execution. It is prohibited to incinerate waste in the open and at the location. Acting in line with the waste management plan. Negative impacts on environment due to Disposing of the waste in line with inadequate disposal of the Waste Management Plan at System Construction Contractor waste generated in authorised landfills: Recycle the user embankment waste that can be recycled. construction

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4.2. Environment Monitoring Plan

Table 13 Environment Monitoring Plan for the protection from floods project How the When the monitoring Costs Responsibility Which parameter Where the monitoring will will be done Why monitoring is Phase should be monitoring be done - /type of necessary monitored will be done frequency or monitoring Planning Implemen. Planning Implemen. permanently equipment In order to establish Comprised Occurrence of In direct the occurrence of soil in eroded areas and vicinity of the Visual Construction Daily erosion and landslides supervision Supervisor Supervisor landslides near the construction supervision caused by construction execution construction site site works costs Visual After the Number and species At the supervision and Comprised implementation of planted plants. construction comparison Due to a need of in of the degraded Construction Area that was works with the restoring the land in supervision Supervisor Supervisor areas subject to execution degraded areas original condition execution rehabilitation rehabilitation. place rehabilitation costs plan plan. At the Visual Comprised Locations where the Because of protection construction supervision and During the in works are executed of species that live in Construction works comparison execution of supervision Supervisor Supervisor and time of their the river Drina water execution with detailed works execution execution. ecosystem. place design. costs In order to establish Standard the level of air pollution At the works equipment for Upon receiving and noise and Occurrence of noise Construction execution measurement complaints from comparison with legal Supervisor Supervisor and air pollution place of air quality citizens limit values. In case of and noise level. deviation additional mitigation measures. Visually and In order to establish comparison the abiding by working At the works with the Upon receiving Working hours hours and limitation of Construction execution construction complaints from Supervisor Supervisor control. emission of noise place site citizens during daily working development hours. plan.

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How the When the monitoring Costs Responsibility Which parameter Where the monitoring will will be done Why monitoring is Phase should be monitoring be done - /type of necessary monitored will be done frequency or monitoring Planning Implemen. Planning Implemen. permanently equipment Implementation of the construction site development plan, Visually and In order to establish received citizen's comparison Comprised conformity with the complaints about At the with the in Construction Site Construction decreased construction construction Permanently supervision Contractor Supervisor Development Plan and passability, site site execution avoiding negative increased traffic and development costs impacts on population disorder at the plan. construction site and similar. In order to establish Visually and Comprised conformity with the At the comparison in Waste Management Construction Waste management construction with the waste Permanently supervision Contractor Supervisor Plan and avoiding site management execution negative impacts on plan. costs environment Number of registered accidents Comprised Permanently In order to establish Existence of At the Visually and by in during the works the implementation of Construction hygienic conditions construction insight into the supervision Contractor Supervisor execution protection at work for workers, site register execution measures. Usage of protective costs equipment Comprised Impact on population After received in due to limitation of In local By insight into complaints from In order to timely Project Project Construction supervision business activity and community the register citizens prevent the impact proposer proposer execution right to soil usage costs

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How the When the monitoring Costs Responsibility Which parameter Where the monitoring will will be done Why monitoring is Phase should be monitoring be done - /type of necessary monitored will be done frequency or monitoring Planning Implemen. Planning Implemen. permanently equipment Poor supervision and assessment of quality of works execution can cause damages to Permanently Quality of executed Visual environment, non- At the during the works works observation quality structures and Construction construction execution and Quality of materials and through the usage of non-quality site construction site that are installed register materials, which can removal lead to damages to the structure and expose the population to risks and possible accidents Visual In order to establish a At the Occurrence of weed identification need for application of System System Exploitation project Daily plants and pests and counting phyto-farmaceutical user user location the units. agents

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5. A SHORT OVERVIEW OF ALERNATIVES THAT HAVE BEEN CONSIDERED BY THE PROJECT HOLDER AND STATEMENT OF REASONS FOR THE SELECTED SOLUTION, GIVEN THE IMPACTS ON ENVIRONMENT

When the preliminary solution was elaborated, there have been considered several alternatives from aspect of the position of newly designed embankment in relation to "probable position of state border" as this was required by the investment and achieved measures of protection from floods; such disposition of the embankment made possible the achievement thereof. In this consideration of alternative positions of the embankment a lot of consideration has been given to seeking a solution with as low impact on environment as possible primarily on population by avoiding embankment positioning through settlements. Scrutinised alternative solutions are described in the continuation.

One of the prerequisites during the selection of the optimal solution (direction) of the three options was "probable position of state border". Official agreement between BiH and the Republic of Serbia relating to the border position does not exist. When this agreement will be signed is difficult to say.

First was eliminated a course taking into account the embankment closest to the Drina. In this part the Drina significantly meanders and state border is defined according to the direction of the Drina from about 100 years ago. Thus, it is difficult to know today where exactly is the state border between Bosnia and Herzegovina and the Republic of Serbia; it seems that this course is mostly situated in the territory of the Republic of Serbia.

The remotest option although almost without disputable parts relating to the position of "probable state border", would leave significant parts of agricultural land without protection. Positive impact of embankment would be significantly lower.

An option between these two previously described options is a direction that is most appropriate from various viewpoints ("direction 2"). However, during the main project, this direction should be more optimised at some spots.

Based on the conceptual project and based on the main decision on "direction 2", a discussion was conducted and the most urgent part has been recommended for implementation (considering that most probably it will not be possible to fund "also urgent" sections of the entire length of "direction 2", i.e. section of about 10 km downstream from Pavlovića most to the existing embankment (which ends about 5 km upstream from the confluence with the river Sava), and section of about 15 km upstream from the Glogovac canal).

Vertical in relation to the Drina, an embankment was constructed (which is also the main road) which lies from Bijeljina to Pavlović Most. This embankment is designed at the adequate elevation when it comes to maximal 100-year flow, but during the floods of 2010, local population dug holes through it and the water flooded the downstream part.

This is a reason why in 2010 the areas downstream from the mentioned embankment/road were flooded. The assessed flow in 2010 was of return period 1/60 years. For the selection of the most favourable variant in principle are selected criteria that relate to financial, technical-technological and Environmentalindicators.

The project envisages the protection the municipality of Bijeljina from floods, in total area of 6400 ha.

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Within the "EC IPA 2007 Programme for BiH" the project was implemented "Supporting water policy in BiHP". Main document is "Document on water policy“ in which main problems relating to floods in the state were identified.

Their solutions were prepared in the document titled "Technical basis for preparation of sub-strategy for the implementation of EU Directive on floods." Two principal directions were emphasised: - Necessary activities for the implementation of the Directive on floods and - Urgent measures for protection of citizens and infrastructure.

Since the present structures of flood protection (embankments, pump stations, water retaining pools) are insufficiently maintained and some of them are damaged, there will be a lot of job to achieve the level of protection from 1992. It has been assessed that for the reconstruction of the existing flood protection systems in BiH would be necessary about 134 mil. KM (68.5 mil €). Operational costs are assessed at 10%, 6.7 mil KM/per year (3.4 mil €/per year).

The region of Semberija (that is situated "between" the river Sava and the river Drina with capital Bijeljina, as well as with the largest agricultural potential in BiH) that encompasses the area of 41,000 ha, out of which 7,000 ha are in danger from floods.

Within financial criteria there have been considered:

- Investments; - Operative costs – current investments and investments and employed workers' salaries; - Operating costs of work and embankment maintenance.

With regard to technical-technological indicators safety and technical efficiency of the planned embankment was also deemed and with regard to Environmental indicators, there has been performed Environmental assessment of considered possibilities.

The analysis of technical efficiency emphasises technical aspects relating to feasibility of implementation (technical risks), status of technical documentation preparation etc. The Consultant has examined all available documentation.

Since the project brings no profit, financial analysis is simplified and more attention has been paid to economic analysis.

Operative costs include permanent maintenance (grass mowing twice a year and maintenance of crest embankments and river training and access roads as well), periodic and partial reparations of constructed structures.

6. PLANNING ACT EXTRACT

The project holder must submit an extract from the planning act for the area delivered by when submitting a request for issuance of construction and environmental permits.

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7. INFORMATION ON POSSIBLE DIFFICULTIES FACED BY THE PROJECT HOLDER WHEN COLLECTING THE DATA

During the collection of necessary information for the development of the Environment and Social Impact Assessment, for the project of protection from floods of the area of Bijeljina, a series of problems have been faced due to inexistence of technical documentation relating to the mentioned project, therewith the impossibility of precise defining of the spatial coverage and land data relating to expropriation, which refer to the number of affected lots, quality of soil, total land owned by physical or legal entities, total comprised area, number of affected legal entities etc.

8. NON-TECHNICAL RESUME

Project coverage

Preliminary technical solution comprises the construction of a defensive embankment on the left bank for protection from flooding waters of the river Drina of the area of Semberija and Janja in the Town of Bijeljina.

The defensive embankment should be positioned from Balatun, where it is linked to the existing Lijevi Drinski nasip (Left Drina embankment) upstream to Glavičica (Picture 2). The embankment should provide protection from flooding of settlements: Balatun, Međaš, Dvorovi, Popovo, Amajlija, Janja and the new settlement of Nova Janja, and significant agricultural areas (8 350 ha are flooded) of high fertility classes for agricultural production. It is estimated that the entire length of embankment will amount to about 33.36 km. On the left riverbank of the Drina (in the Republic of Serbia), the right embankment is linked to the existing one near Badovinci, and lies upstream all the way to Banja Koviljača (Koviljača Spa).

In order to exclude parallel courses in branches and abandoned watercourses of the river Drina, and in order to focus only on the main riverbed dividing structures must be envisaged in river armlets. Their objective is to direct waters in the main watercourse, to increase material settlement and in time to completely disconnect the branch from the course, and to prevent the river Drina from meandering towards defensive embankments and from jeopardising the related embankments.

The project envisages the protection the municipality of Bijeljina from floods, in total area of 6400 ha.

Existing flood protection systems

Apart from accumulations in the watershed of the river Drina, which influence the decrease of flooding wave through provision of a reserve in its accumulation areas, linear systems (embankments) for protection were built in the lower watercourse of the Drina. These systems of protection protect large areas of Semberija and Mačva with a rank of protection of 100-year high waters. In the lower course of the Drina, the following linear protective systems have been constructed, right bank of the Drina:

- Protective embankment around Crna Bara, embankment length 7,14 km, embankment crest width b = 5.00 m, embankment slope inclination toward the river 1:2, and embankment slope inclination toward the protected area 1:2 and embankment crest elevation 83.30 – 85.50 masl,

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- Protective embankment Crna Bara-Badovinci, embankment length 7.96 km, embankment crest width b = 6.0 m, embankment slope inclination from the river side 1:2, and from the protected side 1:2.50 and embankment crest elevation 86.00 – 92.74 masl, - Protective embankment – detour around Loznica, embankment length 10.30 km, embankment crest width b = 3.00 m, embankment slope inclination from the river side 1:2, and from the protected side 1:2.50 and embankment crest elevation 122.40 – 127.40 masl

All the mentioned constructed linear protective systems have rang of protection from 100- year high waters and protective embankment height of 0.80 – 1.00 m.

Left bank of the Drina:

- Left Drina embankment along Balatun, embankment length 8,00 km, embankment crest width b = 5.00 m, embankment slope inclination toward the river side 1:3, and toward the protected side 1:2.50 and embankment crest elevation 83.50 – 85.70 masl

There have been considered three solutions to protection from floods in the area of Semberija and Janja:

First was eliminated the direction taking into account the embankment closest to the Drina. In this part the Drina significantly meanders and state border is defined according to the position of the Drina some 100 years ago. Thus, it is difficult to know today where exactly the state border between Bosnia and Herzegovina and the Republic of Serbia is; it seems that this direction is mostly in the territory of the Republic of Serbia.

The remotest option although almost without disputable parts relating to the position of "probable state border", would leave significant parts of agricultural land without protection. Positive impact of embankment would be significantly lower.

An option between these two previously described options is a direction that is most appropriate from various viewpoints ("direction 2"). However, during the main project, this direction should be more optimised at some spots.

Based on the conceptual project and based on the main decision on "direction 2", there has been discussed and the most urgent part has been recommended for implementation (considering that most probably it will not be possible to fund "also urgent" sections of the entire length of "direction 2", i.e. section of about 10 km downstream from Pavlovića most to the existing embankment (which ends about 5 km upstream from the confluence with the river Sava), and section of about 15 km upstream from the Glogovac canal)

For the selection of the most favourable variant in principle are selected criteria that relate to financial, technical-technological and Environmentalindicators.

Necessary measures for the area of Bijeljina relating to the defence from floods

Urgent measures of protection from floods. Due to a specific situation cased by the war and difficult economic situation, urgent measures of protection from floods primarily consist of urgent reparations and works of reconstruction. According to urgent needs for construction of river training (enrockment), in order to avoid erosion on river banks (in the most downstream part, in length of about 20 km). At this moment, only urgent reparations

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of the existing river training or construction of new ones at sharp meanders of the river can be financed from the limited funds.

Middle-term measures of protection from floods. When short-term measures of protection from floods are implemented, still approximately the same length downstream from Pavlović most will remain under danger of floods, as well as about 15 km downstream from the Glogovac canal. In these areas would also be urgent a need for construction of an embankment, especially in the section of about 10 km from Pavlovića most downstream to the existing embankment (that ends about 5 km upstream from confluence with the Sava), and section of about 15 km upstream from the Glogovac canal. Bearing in mind that 11 km between Pavlovića most and Glogovac canal is more urgent, because this section will have the most of impact on the protection of Bijeljina, and for a reason of limited funds, project and limitations in construction capacities, sections downstream from Pavlovića most, i.e. upstream from the Glogovac canal, are the only ones categorised in the middle-term measures.

Description of possible impacts of the Project

Impacts in the phase of construction:

- Potential negative impact of the project includes: Damages caused by works on construction by the contractor including disposal of excavated soil and other materials from excavation; - Long-term risk of contamination of surface waters and groundwater; - Erosion of soil related to the existing practices of agricultural production.

For needs of embankment construction presence of construction mechanisation is necessary (trenchers, bulldozers) of smaller dimensions and workers in the field, and establishment of the construction site zone. Main impacts of construction will include management of excavated soil and construction waste, and waste waters and fuels and lubricants at the construction site, but also they can involve: - Disturbance of access and movement; - Disturbance in execution of agricultural activities that ensue from access limitation, soil compaction and canal digging; - Waste, noise, mud and dust at the location and on access roads; - Damages to trees or other plants at the works execution place; - Disturbing animal works in and close to the area.

Impacts in the phase of exploitation

No negative impacts are identified in the phase of exploitation, except for maintenance of the embankment and destruction of poisonous and invasive plants in the period from April to October.

A certain number of external positive impacts occur in this project with regard to implementation. Among the main external impacts the following should be mentioned:

- Avoided damages to agricultural land and structures (Private houses; housing buildings; industrial/business buildings; schools, kindergartens, public buildings) due to improved protection from floods; - Averted losses in business activities due to uninterrupted production/services; - Medical effects due to water pollution decrease, - Averted traffic interruptions; - Recreational benefits;

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- Tourism development; - Environment protection (averted costs of replacement); - Avoided costs of private protection; - Economic development effects; - Averted risk of human lives loss.

Possible social impacts

According to the so-far available data at the planned location of embankment construction for purpose of flood protection, there will not be temporary or permanent relocation of population, only expropriation is envisaged, which will be done in line with valid directives, regulations and standards.

Description of envisaged measures for prevention, decrease or mitigation of negative impacts of the Project

Mitigation measures are characterised as follow:

- Mitigation measures in the phase of planning prior to construction; - Mitigation measures in the phase of construction; - Mitigation measures in the phase of exploitation.

Mitigation measures in the phase of construction mainly refer to implementation of good construction practice in order to avoid negative impacts on soil and water pollution, erosion of land, dust spreading, water, noise level, flora and fauna.

Mitigation measures in the phase of exploitation relate to mitigation of negative impacts that can occur as a consequence of inadequate usage and maintenance of constructed facilities.

An approach from positions of so-called natural regulation is needed, which has recently become only appropriate as approach to regulation and development of smaller- and middle-scale watercourses. This concept reconciles the achievement of functional hydro-technical requirements with Environmental requirements to preserve Environmental functions of watercourses and to create conditions, not only for preservation but also for enrichment of biodiversity in the river and its riverbank.

Basic principles of watercourse natural regulation can be singled out:

- Regulation must not jeopardise water and riverbank ecosystems; - The route of the regulated watercourse must be managed as naturally as possible, adjusting to requirements of biotope preservation in the river and its surroundings; - Keep in order parts of abandoned watercourses and river branches to provide convenient conditions for biocenoses of stagnant waters; - Cross section of the regulated riverbed must be kept in the form that corresponds to stabilised morphological characteristics of the section; - Natural materials must be used for regulation, without radical interventions in the riverbed by facing the slopes and riverbed bottom; - The space along the river must be adjusted to multipurpose usage, harmonising functional, Environmental and social requests (the riverbed should be capacitated for recreational activities);

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- Longitudinal finished level, with brinks of natural materials in form of continual cascade rapids, should provide conditions for migrations of all species of water fauna; - If the riverbank is protected with embankments, the entire river area between the embankments must be treated as unique ecosystem, with aim of enrichment of water and riverbank biocenoses; - Along the river, in the belt of riverbank, should be kept autochthonous vegetation in form of phytosanation protective belt; - In some bigger rivers possibilities of natural regulation are limited but also less necessary, because the applied methods of riverbed development (groyne, parallel structures, bank protection) do not jeopardise Environmental functions of the river, the pace between the embankment and riverbank zone should be treated as a unique Environmental space, dedicated to preservation of full biological diversity

Positive impacts of the project on environment management

The embankment construction will bring economic, social and Environmental benefits, to land users and local community in this area. Experiences of similar projects show that the project will have many positive impacts on environment through promotion of good soil usage practices, growing methods and pest management. The subproject should aid strengthening of local capacities in ecologically sustainable approaches to agriculture development.

Additional employment

In case of unemployment and poverty in the project area, manpower sources will not decrease. If people from the group of unemployed are employed or employing influences unemployment, the project creates social benefits due to decreased social support or aid to the unemployed. This is a case in flood protection projects. There will occur the following social benefits from additional employing:

- Increase in number of work positions during the investment implementation (temporary effect); - Increase in number of work positions due to maintenance activities performance needs; - New work positions as a consequence of economic development that is enabled by investment implementation.

9. WASTE MANAGEMENT PLAN

Waste Management Plan is given in Annex 1.

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10. OVERVIEW OF NEEDS FOR PERMITS

A body in charge of environmental impact assessment Environmentalis the Ministry of Spatial Planning, Civil Engineering and Ecology of RS. Environmental impact assessments in RS are done within the Environmentalenvironmental permit issuance procedure.

With aim of acquiring an environmental Environmentalpermit for the project of protective embankment construction on the left Drina riverbank from Balatun upstream to Glavičica within the elaboration of technical documentation, it is necessary to approach the Republika Srpska Ministry of Spatial Planning, Civil Engineering and Ecology with documentation defined in the provisions of Article 64 of the Law on Environment Protection (RS Official Gazette, No.. 71/12). This is necessary because according to the provisions of the Rulebook of Projects for which environmental impact assessment is done and of the criteria for deciding on need for implementation and environmental impact assessment scope (RS Official Gazette, No.. 124/12) this project falls in category of projects for which the relevant Ministry in individual cases decides on a need to prepare environmental impact assessment. If the Ministry decides that it is necessary to prepare an environmental impact assessment, it issues a decision and order the project holder to submit a request with the authorised organisation for impact study elaboration within six months from decision issuance, with regard to the activities defined in Location conditions and that decision.

Public Institution "Vode Srpske" is in charge to issue water management approvals, whose conditions make integral part of the environmental permit.

Overview of environmental requirements of the World Bank

Protective policies and procedures of the Bank, relating to environment protection for the needs of this project are:

- OP/BP 4.01 Environment assessment - OP/BP 4.04 Natural habitats - OP 4.07 Water resources management - OP 7.50 Projects on international waterways

A project of defence against floods, which comprises reconstruction investments , modernisation and construction of infrastructure for flood protection is categorised as B category and thus requires environmental impact assessment.

11. ANALYSIS OF OPTIONS FOR READINESS IN CASE OF FLOODS

Except for debates of technical measures for urgent and short-lasting protection from floods, flood management must be observed more comprehensively. General awareness must exist that floods are a natural phenomenon that cannot be prevented. Thus, to a certain extent, readiness in case of floods should always be a component of flood management. As it is said in the EU Directive on floods 2007/60/EC "Flood risk management plans will deal with all flood risk management aspects, focusing on prevention, protection and preparedness, including forecasts of floods and early warning systems, taking into account properties of special river basins and sub-basins."

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The following text mentions certain approaches that relate to preparedness in case of flood. But first, it is mentioned that preparedness can optimally be determined only within regular comprehensive flood risk management. For this purpose, 3 steps pointed out in the EU Floods Directive should be implemented:

- Preliminary flood risk assessment; - Flood hazard maps and flood risk maps; - Flood risk management plans.

Flood protection measures are envisaged for some floods, generally for interval of 1/100 for settlements, there are always scenarios of lower probability that can affect the protected area. For example, demolition (penetration) of protective structures in case of non-existence or irregular maintenance or care, on for example earth embankments. Also, spilling over an embankment can lead to violation of the flood protection system. Thus, there should be identified areas that can potentially be flooded in case of occurrence of major floods in relation to the designed ones, or in case of penetration, demolition etc. of protective structures, (scenarios should be defined in accordance with Agencies). In these areas potential of the damage should not be increased if possible. Measures for insurance or cleaning of these areas can be determined in the plan of alerting in case of flood.

In case of floods above the designed level or in some cases for floods lower than the designed, spills can provide additional safety for the flood protection system.

Especially earth embankments can be destroyed if overflowed by water. Hence there must be installed parts that are specially insured at lower elevations (without a free super elevation).

Determination of the location of these spill structures must be designed in relation to the areas with high potential damage so that in case of high waters, negative impacts are minimised.

In the area of Bijeljina these structures should be identified when the embankment final route is defined; Decision on uplifting or relocation will have to be considered in dependence on achievability, consequences and costs of such measures.

In areas where floods are frequent crops that are resistant to floods should be used. This especially applies to agricultural land between the planned embankments and the river Drina in the area of Bijeljina. Besides, methods of management and soil erosion reduction structures should be assessed, where necessary.

In some cases individual settlement or structures cannot be considered in the flood protection scheme. Depending on a situation, technical protection can be implemented in order to avoid or reduce damage. But also, it is important for owners and responsible persons to decrease potential damage as much as possible and not to rely only on protective structures. For example, in the ground floor should be found as few objects that could be ruined in the flood as possible.

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12. PUBLIC CONSULTATIONS AND DISCLOSURE

Minutes of the public debate on the document Environment and Social Impact Assessment of the project of a protective embankment construction on the left bank of the Drina from Balatun upstream to Glavičica held on 13.01.2014 at premises of the Filip Višnjić National Library in Bijeljina.

The public debate was conducted by the representatives of the Republika Srpska Ministry of Agriculture, Forestry and Water Management, Mr Mihajlo Stevanović, assistant minister, and Mrs Jelena Đukić.

After the foreword and a short introduction of the present to the project, the representatives of the relevant Ministry invited the consultant's representatives to present the Environment Management Plan and Social Impact Assessment of the concerned project. The presentation of the subject document was done by My Saša Dunović on behalf of the Civil Engineering Institute "IG" Banja Luka, and after that presentation, the participants were further presented the technical solutions of the planned system for defence against floods of the river Drina by Mr Uroš Hrkalović on behalf of the Water Management Institute Bijeljina. These two presentations gave the participants sufficient information on the concerned project and its impacts so that participants could conduct a good debate in the continuation; Mr Stevanović launched the debate.

Representative of the Town of Bijeljina Mr Tomica Stojanović spoke first. He pointed out that the Town of Bijeljina received timely an invitation and material for the subject debate. Mr Stojanović also stressed that he noticed that in the document the name of settlement of Obrijež was used, and it was in fact the settlement of Nova Janja; the settlement of Obrijež is situated behind the settlement of Nova Janja and in geographic terms it could have no connection with this project; Consultants concurred with this and it was agreed that the noticed fault would be removed.

Then Mr Stojanović added that there should be done a control of the given data on the floods of 2010, on the tributaries of the river Drina which were registered at that time, on flooding of the settlements of Dvorovi and with an opinion that the settlement of Dazdarevo was flooded in the described way and that the settlement of Dvorovi and Bakračić was flooded with water that arrived down the embankment of the Bijeljina - Pavalovića most main road. Consultants replies to these allegations that they knew different claims relating to both causes of floods and size of flow of the Drina river and that diverse data acquired by application of different methodologies were used, which only increased the need to develop wider hydrological analyses of the Drina river, these water levels should be balanced and adequate flows determined. The Feasibility Study for this project would propose elaboration of this study before all. Consultants added also that the newly designed embankment dimensioned for natural condition of environment, not taking into account the existing hydro accumulations in the upstream part because these accumulations were not managed in a coordinated way in order for them to be used as active measure of protection against floods, because none of these accumulations had an elaborated Accumulation Management Plan, which would also be done in the oncoming period.

Mr Stojanović carried on with the questions whether there had been any thought to use the newly designed embankment and its route also for the construction of road infrastructure and the fourth bypass for the Town of Bijeljina, which had not been constructed precisely from that side. Consultants replied that the project envisaged the embankment width of 6 m, which was not usual but this width had been adopted because of the embankment safety; if a road was wanted on this embankment its width would have

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to enlarge which would additionally make its construction more expensive and new funds would have to be sought, but in technical terms it was possible. The following to discuss was Dragan Sarić the representative of the local community of Balatun. He pointed out the significance of the constructed embankment in this settlement. He asked whether it was correct that the spot of connection of the new embankment with the existing on was in this place, because there were several possible junction points. This question was replies by Mr Stevanović pointing out that the junction of the newly designed embankment with the existing one was in this settlement, where the Selište canal touches the existing embankment, i.e. place from which ferry was accessed earlier and the local "Bracinu" gravel pit.

The representative of this local community further inquired about the envisaged route of the new embankment, i.e. whether it was envisaged that the route went along the cadastral border of the municipality of the border of Bosnia and Herzegovina, to which Mr Stevanović replied that the route of the new embankment was placed in a way that it was as close to the cadastral border of the municipality of Bogatić, i.e. wherever it was possible the embankment was placed on the border of our cadastral boroughs (Balatun, Međaši, Popovi, Amajlije, etc.) so that the embankment would protect as large area as possible and that as little land as possible was left on the other side of the embankment, i.e. in unprohibited area, but the entire embankment is built in the territory of BiH. In this way, a slightly larger inundation area was acquired, therewith lesser impacts of the embankment construction on the downstream area and on the right bank of the Drina river of the water level rising and in this way impacts of this project on other country were avoided and no problems were expected with regard to harmonisation of grade level and embankment position with the Republic of Serbia. With the Republic of Serbia would be arranged the values of high waters for which the embankment would be dimensioned. Apart from this project with the Republic of Serbia and Montenegro the implementation of other project was planned relating to the Drina River, before all this was related to the development of the Drina River Integral Management Plan.

This representative asked whether there was any point building this embankment if it was known that Pavlovića Most was a "bottleneck situation" that could not accommodate high waters of the Drina River, which lead to floods in this area; Mr Stevanović replied that Pavlović Most had been built in the first phase and its construction was imminent in the second phase in which the complete inundation had to be bridged in order to overcome this problem.

After the representative of the local community of Balatun, the leader of this local community Mr Miodrag Arsenović spoke asking for a clarification one more time as to the precise position of joining the newly designed embankment with the existing one in this place, because the only fertile soil was situated in the southern part, toward the local community of Međaši and if the route was placed there, there would occur big problems with the population of this local community. On this inquiry Mr Stevanović repeated where the new embankment would be connected with the existing one and that route of the new embankment from this settlement would go southward following the cadastral border of the municipalities in the Town of Bijeljina wherever possible in order to avoid intersection of plots and in order to protect as large areas of arable land as possible.

The representative of the Town of Bijeljina Mr Predrag Jović in his statement pointed out severe material situation of the Town of Bijeljina and asked whether there was any possibility for the Town to be provided with a part of land expropriation resources through a credit of the World Bank; Mr Stevanović replied that this could be discussed with the World Bank and said that the Memorandum signed by the Mayor of the Town of Bijeljina with the relevant Ministry was not related to this project but to the project that is implemented on the river Sava, which was to end during this year.

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Land expropriation for this project would be later considered, when the amount of compensation, expropriation belt would be discussed and he pointed out a possibility to make a proposal to discuss it with the World Bank although it was not practice to finance these expenses from credit proceeds. For us it was important that the project was acceptable for the Town, for local communities, that there were no large impacts on agricultural land if we bring this embankment closer to cadastral border between the two cadastral boroughs.

Expert for environment protection at the Office of the World Bank for BiH Mrs Esma Kreso in writing drew attention that the study mentioned that there downstream flooding could occur in the areas that had not been flooded yet, and that an impact on the Republic of Serbia might occur. After this warning, viewpoints of the public debate and additional explanations of technical solutions of the newly designed embankments, consultants concluded that the implementation of this project would not lead to inundation of the areas that had not been flooded yet, and that there could not be expected a more significant impact on the Republic of Serbia. Namely, the route of the new embankment was placed in a way that it was as close to the cadastral border of the municipality of Bogatić as possible, but in a way that the embankment was to be built entirely in the territory of BiH. In this way, a large inundation area (area between the two embankments, on the left and right bank, has a width of several kilometres) is acquired. A large inundation area assures sufficient space to avoid rising of water so much that it would cause inundation of the surrounding area in case of occurrence of high inundation waters. Such embankment positioning minimised the impacts of the embankment construction on the downstream area and on the right bank of the river Drina from water level rising and in this way impacts of this project on the Republic of Serbia were avoided.

Operations Officer at the Office of the World Bank in Zagreb Mrs Vera Dugandžić sent several written remarks and suggestions for the developed Environment and Social Impact Assessment. First Mrs Dugandžić asked if consultants could state relevant laws and regulations of the RS and BiH according to which land expropriation would be done in case of a need for it in the project coverage area. After the performed analysis of legal regulation in chapter Property legal regulations significant for the project consultants provided an overview of legal documents in the Republika Srpska and BiH, which were relevant for the concerned project, and a short overview relating to every mentioned law in context of its application on implementation of the project of embankment construction on the left bank of the Drina from Balatun upstream to Glavičica. Mrs Dugandžić asked consultants to refer to World Bank OP. 4.12 in the Plan and to list all protective measures as stated in the terms of reference according to Bank's operative policy, and within legal and institutional framework provide more information relating to laws and regulations relating to agencies responsible for implementation of relocation activities, as well as to perform a parallel analysis and possible deviation between the World Bank policy and laws of the RS and BiH, which regulated this issue.

After this, in chapter Analysis of requests of the World Banka and BiH in process of relocation and Legal and institutional framework, consultants processed all specific requirements of the World Bank relating to relocation, which were supported in Operative rules OP 4.12 relating to involuntary (forcible) relocation. Also, policy and principles of the World Bank in case of involuntary relocation were addressed; then what did aid during the process of compensation, relocation and moving include. Parallel analysis of the World Bank requirements relating to relocation, which were contained in the Operative rules OP 4.12 and valid legal legislation in the territory of the RS and BiH, the method of resolving property-legal issues as well as the procedures relating thereto, possibility of agreeable resolution of issues of expropriation and related compensation were defined, as well as the issuance of special decisions that would regulate certain issue, i.e. provide some additional right.

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Further Mrs Dugandžić suggested that "rights to compensation" should be addressed in form of a table in order to avoid unnecessary long description, and that it was necessary to address equality of genders and possible mitigation measures not covered in the current version of the document. As a reply to this suggestion, chapter Rights to compensation addressed in form of tables the rights to compensation according to valid laws or specific requirements of the World Bank, depending on type of right or property, which could be optionally found under impact of the Project of construction of protective belt on the Drina left bank form Balatun upstream to Glavičica (table "Matrix of compensations"). Also, a new chapter Equality of genders and mitigation measures for impacts in which this issue was addressed was added.

Further Mrs Dugandžić noticed that the mentioned team composition had not been respected although the Terms of reference very explicitly stated which legal and social experts were necessary. By the analysis of this remark, it was noticed that it was a technical omission and a fact that the document had not been signed but sent by electronic mail, into the team composition were not listed all experts who had worked on this document; this omission was removed.

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13. ANNEXES

ANNEX NO.1 Off the Environmental and Social Impact Assessment| 1

ANNEX NO. 1: WASTE MANAGEMENT PLAN

ANNEX NO.1 Off the Environmental and Social Impact Assessment| 2

1. Introduction

Waste management is the implementation of prescribed measures for waste treatment within collection, transport, storing, re-usage and disposal of wastes, including supervision over the activities. In line with Article 26 of the Law on Waste Management (RS Official Gazette, No. 53/02, and RS Official Gazette, No. 65/08 - amendments), as well as the Law on Waste Management (FBiH Official Gazette, No. 33/03) and the Law on Amendments to the Law on Waste Management (FBiH Official Gazette, No. 72/09), the plant operator for which an Environmental permit is necessary develops a Waste Management Plan.

In line with Article 27 the plant operator, as a waste producer, must determine a person responsible for the waste management activities, i.e. a waste coordinator. During the elaboration of this Plan, into account have been taken the provisions of the Rulebook of Waste Categories with Catalogue (RS Official Gazette, No. 39/05) and the provisions of Article 2 of the Rulebook of conditions for transfer of waste management obligations from producers and sellers onto a waste collection system operator (RS Official Gazette, No. 118/05), as well as of the Rulebook of waste categories with lists ((FBiH Official Gazette, No. 9/05).

With aim to completely understand this Plan, in the continuation are given explanations of basic terms that are used, and that ensue from the Law on Waste Management:

- “waste” means all substances of objects that a holder disposes of, intends to dispose of or must dispose of in line with one of the categories mentioned in the by-laws issued by the minister in charge of environment protection, and are found in the Waste Catalogue adopted in a special by-law; (RS Official Gazette, No. 39/05); - "communal waste" – means domestic and other waste, which is similar to domestic waste by its nature or composition; - "hazardous waste" - means waste that is established in a special regulation and that has one or several properties given in the by-laws issued by the minister in charge of environment protection, which causes danger to human health and environment, by its origin, composition or concentration, as well as the waste listed in the waste catalogue as hazardous waste and regulated by special regulations; - "non-hazardous waste" - means waste that is not defined as "hazardous waste"; - "inert waste" - means waste that is not subject to significant physical, chemical or biological changes. Inert waste will not be generated, incinerated or in some other way physically or chemically processed, biologically degraded or unfavourably affect other substances with which it comes into contact in a way as to cause environment pollution or human health jeopardy; - "holder" means every physical or legal entity, which owns the waste; - "producer" je physical or legal entity whose activity produces waste or physical or legal entity who performs pre-treatment, sorting or other operations that lead to changes of physical properties or waste composition; - "physical or legal entity" is a physical or legal entity responsible for any type of waste management activity; - "waste management" – is a system of activities and actions, which imply the prevention of waste generation, waste quantity reduction and its hazardous properties, waste treatment. Planning and control of activity and process of waste management, waste transport, establishment, work, closing and maintaining waste treatment device after closing, monitoring, counselling and education relating to waste management activities.

ANNEX NO.1 Off the Environmental and Social Impact Assessment| 3

2. WASTE MANAGEMENT IN THE PHASE OF CONSTRUCTION

2.1. Classification of waste that occurs in the phase of construction and building removal

In the continuation is defined a classification list of all types of waste, which could be generated during the preparation, development and closing of the construction site during construction and in the phase of building closing. For every category are given guidelines for action, i.e. methods of collection, transport, processing and removal of waste.

Table 1 Classification of waste that occurs during generation No. Group Code Non-hazardous waste 1. MUNICIPAL WASTE 1.1. Mixed municipal waste 20 03 01 1.2. Paper and cardboard 20 01 01 1.3. Plastics 20 01 39 1.4. Wood 20 01 38 2. TYRES 2.1. Spent tyres 16 01 03 3. IRON 3.1. Scraping and processing of ferrous metals 12 01 01 3.2. Scraping and processing of coloured metals 12 01 03 3.3. Iron and steel 17 04 05 4. CONSTRUCTION WASTE AND DEMOLITION WASTE 4.1. Concrete 17 01 01 4.2. Bricks 17 01 02 4.3. Tiles and ceramics 17 01 03 Mixture of concrete, bricks and ceramic tiles not containing 17 01 07 hazardous substances 4.4. Wood, glass and plastics 17 02 01, 02 i 03 Earth and stones, excavated earth during excavator activity 17 05 04 i 06 4.5. Insulation materials 17 06 04 4.6. Mixed waste from building and demolition, other than specified in 17 09 01, 17 09 02 and 17 09 03 Hazardous waste 1.0. WASTE OILS, BITUMEN, OIL-CONTAINING SUBSTANCES 1.1. Mixtures of bitumen containing tar from coal 17 03 01* 1.2. Biodegradable hydraulic oils 13 01 12* 1.3. Mechanical oils 13 02 06* i 07* 1.4. Packaging containing remains of hazardous substances or 15 01 10* contaminated with harmful substances 1.5. Lead batteries 16 06 01* 1.6. Absorbents, material for filters, wiping cloths, protective 15 02 02* clothes, that are contaminated with hazardous substances 1.7. Inorganic agents for wood protection 03 02 04* Waste generated in the application and removal of paint and 08 01 11*, 13*, 1.8. varnish 15*,17*,19* i 21* 1.9. Mixture of oils and greases from oil/water separators 19 08 10* 1.10. Synthetic oils for heat transfer 13 03 08*

ANNEX NO.1 Off the Environmental and Social Impact Assessment| 4

2.2. Waste management plan in the phase of construction and removal of the building

Methods of waste collection, storing and handling

The objective of selective waste collection, storing and handling is to prevent jeopardising of human health and environment, and especially discharging harmful substances in water and soil. Waste collection and storing will be organised in the area of the construction site, and it is based on basic waste management principles:

- Principle of separate collection, - Prevention, - Recycling.

Waste generated in the construction site area will be collected selectively, i.e. in separate containers in accordance with the waste classification. Collected waste must not be incinerated on the spot in the open.

Basic principle is the separation of hazardous from non-hazardous waste, then separation of construction waste from other categories, and specially separation of waste that can be recycled.

Hazardous waste and its packaging must be marked in line with the regulations on hazardous substances marking. Hazardous waste should be collected and sorted by categories that are defined in the above table.

Waste oils should be collected and kept separately. It is prohibited to discharge waste oils into surface and underground rivers, sewerage or in the soil, which applies also to substances in which mineral or synthetic oils are found.

Storing or keeping separated waste is done at places specially envisaged therefore in adequate containers:

- Container for hazardous waste – mixed hazardous waste (15 01 10*, 16 06 01*, 15 02 02*, 08 01 11*, 13*, 15*, 17*, 19* and 21*, 03 02 04*), - Container for non-hazardous waste - Mixed municipal waste (20 03 01), - Container for non-hazardous waste – recyclable mixed packaging waste (20 01 01 , 38 and 39), - Container for non-hazardous waste – recyclable mixed metal waste (12 01 and 03 and 17 04 05).

Containers must be produced for the mentioned purposes, from which materials must not leak. Every container must be adequately marked.

Collected waste oils (13 02 06* and 07*) will be stored into barrels or other adequate dishes so that leaking cannot occur. Servicing of vehicles may be done only on the plateau that is at a distance from a watercourse and sensitive areas, where barrels for waste oil barrels will be positioned.

For disposal of construction waste categories, the Contractor should envisage temporary and permanent locations for disposal along the route, in the zone of construction and at a special location.

Temporary landfills are necessary for disposal of humus, excavated materials, as well as for smaller quantities of tampon material and stone fractions. The contractor is obliged to

ANNEX NO.1 Off the Environmental and Social Impact Assessment| 5 identify locations for permanent and temporary disposal and acquire all necessary approvals.

Waste removal

A waste producer will transfer all selectively collected waste to authorised companies for collection, transport and processing of waste in line with the Law on Waste (RS Official Gazette, No. 53/02).

In procedure of seeking the best offer for removal of (hazardous) waste, the producer will require from the offeror the evidence of registration for performance of waste management activities in line with relevant regulations. The contractor will sign a contract with the selected company.

Register keeping

A waste producer will keep a register of types and quantities of waste that he generates. The register implies the following data:

- Data on generated waste and causes of its generation; - Waste storing; - Waste removal.

For every shipment of waste, the producer will prepare a register sheet in two copies, of which one copy he gives to the Company for collection, transport and processing of waste and the other copy keeps in his own archives.

Register sheets of the transferred waste should be kept in permanent office of the Contractor and a copy at temporary locations for the sake of inspections.

Responsibility

The Contractor is obliged to appoint a person who will be responsible for the activities of supervision over waste management at the construction site (coordinator for waste).

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3. WASTE MANAGEMENT IN THE PHASE OF EXPLOITATION

3.1. Classification of waste that occurs in the phase of exploitation

In the phase of exploitation waste occurs during maintenance of stations and other structures of the system, e.g. in case of a need for replacement of a pipe because of malfunctions, fissures and similar.

Pump stations are envisaged as automatic without crew so that the only waste that can occur is the waste generated in the maintenance of electric equipment and water pumps.

In the continuation are shown types of waste generated at some locations during exploitation.

Table 2 Classification of waste that occurs during the system exploitation No. Group Code Non-hazardous waste 1. MUNICIPAL WASTE 1.1. Mixed municipal waste 20 03 01 2. CONSTRUCTION WASTE AND DEMOLITION WASTE 2.1. Plastics 17 02 03 2.2. Earth and stones, excavator-dug soil 17 05 04 i 06 Hazardous waste 1.0. WASTE OILS, BITUMEN, OIL-CONTAINING SUBSTANCES 1.1. Mechanical oils 13 02 06* i 07* 1.2. Packaging containing remains of hazardous substances or 15 01 10* contaminated with harmful substances 1.3. Absorbents, material for filters, wiping cloths, protective 15 02 02* clothes, that are contaminated with hazardous substances

3.2. Waste management in the phase of exploitation

Collection and storing of waste will be based on principles of prevention and separate collection, in this case as well. Waste management is presented as follows:

In the phase of work and maintenance of the system, it is possible that sediment will occur in drainage canals (sediment from washing and cleaning 02 01 01) that must be regularly cleaned and disposed of adequately. This waste mainly consisting of soil and waste plant tissue should be treated together with waste plant tissues.

During regular maintenance of electric equipment and water pump at pump stations is generated waste in form of greased and oiled patches, waste oils and other, marked as 15 02 02* in Table 1. This waste should be should be collected, selected and temporarily disposed of at a location of planned structures during maintenance. For storing of collected waste oils (13 02 06* and 07*), which fall under hazardous waste, barrels or other adequate containers will be provided, duly marked, so that environment cannot be contaminated. The waste collected in such way will be sent to companies who deal with disposing of this type of waste. In case of occurrence of oil and grease leaks at spots, they should be removed with a cloth, and oiled cloths temporarily disposed of in metal barrels. Grease that is removed from equipment at spots, because of occurrence of mechanical particles or because of replacement should be removed in the same way.

During execution of works on pipe replacement in case of malfunction, pipe fissures or similar soil layer (17 05 04 and 06) is to be separately deposited and after installation of

ANNEX NO.1 Off the Environmental and Social Impact Assessment| 7 pipes restored. Possible excess of material after the restoration should be deposited at in advance envisaged locations until removal to a landfill. Collected waste must not be incinerated on the spot in the open

Waste removal

For removal and disposal of all generated types of waste, it is necessary to enter into contracts with companies who have all necessary permits for waste management.

The waste producer will transfer (selectively) collected waste to the operator, i.e. authorised companies for collection, transport and processing of waste in line with the Decree of selective collection, packaging and marking of waste, which assumes the obligation to transport it to the final waste processing, i.e. final disposal. Final disposal of communal waste shall be done regularly at a municipal/regional landfill with trucks of a municipal utility company in line with a contract which is to be entered into with them.

Hazardous waste will be transferred to authorised operators for hazardous waste. During transport it must be marked and packed in line with special regulations. The transport of hazardous waste must be harmonised with general requests for hazardous goods transport. Transport of hazardous waste shall be followed by adequate documentation prescribed in line with the Rulebook of waste categories, properties that put it into hazardous waste, activities of component return and waste disposal.

Register keeping

The user of the system shall keep register of generation of all types of waste at the location. It is necessary to keep records of types and quantities of waste.

For every shipment of waste, the producer will prepare a register sheet in two copies, of which one copy he gives to the Company for collection, transport and processing of waste and the other copy keeps in his own archives.

Based on saved documents, it is easy to establish accurate quantity of transferred hazardous and non-hazardous waste.

ANNEX NO.2 Environmental and Social Impact Assessment | 1

ANNEX NO. 2: GOOD CONSTRUCTION PRACTICES

ANNEX NO.2 Environmental and Social Impact Assessment | 2

Requirements relating to good construction practices that shall be comprised in the contract on works execution are as follows:

General requirements: - Contractors will be obliged to abide by practice of good environmental construction in all construction activities, and reduce as much as possible damages to vegetation, soil, groundwater, surface waters, landscape, as well as disturbance of settlements and local communications. - Application of environment protection and mitigation measures, as well as monitoring, will be implemented parallel to construction activities. They will begin at the moment when workers, equipment and/or material are accommodated at the construction site, and end with termination of construction activities, when all workers, equipment and/or material leave the construction site and when environment is restored to its original state. - The contractor is obliged to appoint a coordinator for protection at work and protection of environment, who will be responsible for assurance of conformity with the laws and objectives of environment protection, safety at work and protection from fire. - The contractor is to assure order, discipline and professional responsibility of all employees at construction sites. Work and sojourn must be limited exclusively to the construction works zone; damages to private property, land and crops must be avoided. There should be insured regular contacts with representatives of local population (local communities) with purpose of information exchange or finding a solution to possible disputes (arisen by violation of right to property, damages during construction works etc.).

Provision and transport of material - During the purchase of material for construction of embankment for protection from floods, the Contractor will select a producer/supplier who works in line with a valid environmental permit, if he needs it in accordance with the RS Law on Environment Protection (RS Official Gazette, No. 28/07), or other environmental standards that are acknowledged in BiH and/or EU. - With aim of prevention of dust emission, the Contractor is obliged to transport asphalt, gravel, rock, earth and other material in trucks covered with tarpaulin. Transport of stone and gravel is done in moist condition. Vehicle velocity must not exceed 30 km/h. The contractor will avoid unnecessary drives.

Construction site development - Construction should begin (if possible) in a part of year when advantages of dry soil can be taken, i.e. when compaction and degradation through usage are minimal. - There will be used adequate machines and/or protective slabs that could prevent compaction during soil removal, e.g. usage of railway or low pressure tyres at spots that show a possibility of compaction. There will be used adequate procedures for separate removal, handling, storing and replacement of humus and subsoil. - The contractor will establish a temporary disposal point for construction material, area for concrete pumps and mixers washing, and area for car tire washing with adequate cleaning agents. Temporary disposal points for excavation material (soil) will be reduced to maximum of 2 m in height in order to prevent compaction by soil weight and time of storing will be reduced to minimum. - The contractor will insure that all construction equipment is licensed and approved in line with local regulations and if possible in line with the EU standards. - The Contractor is obliged to use modern machines and vehicles that meet environmental standards with regard to was gases (complete combustion). Also,

ANNEX NO.2 Environmental and Social Impact Assessment | 3

he will use filters for reduction of soot particles emission, and fuel with favourable chemical structure (low sulphur content) and efficient/safe decanting. - The Contractor is obliged to use modern machines and vehicles that represent a source of noise (engine, exhaust system). This mainly implies provision of new machines or implementation of measures for installation of additional sound insulation, as well as its constant maintenance. Besides, it is recommended that machines only should work in the period 07-17 hours on all sections of the route whose distance from the closest residential house is less than 60 m. - The Contractor is obliged to use biodegradable lubricants and oils for gear box. Maintenance, fuelling and cleaning of machines must be done outside the construction site and outside the area with surface water. - The Contractor will determine and follow control measures for dust that is generated during equipment handling and/or during the works on reconstruction. The Contractor must deliver a plan that proposes roads for material transport and also, he should provide statements on proposed method for dust control at spots where transport through settlements cannot be avoided. - Develop a project of construction site development with adequate solution to drainage and treatment of sanitary waste waters, as well as of storm water from the construction site zone. Drain used water from the construction site by adequate sewerage systems, upon need collect it in watertight containers in the prescribed way (either on the spot, or at a remote location), and before discharging into recipient or city sewerage system. - The Contractor will insure that parking spaces for machines and vehicles and workers' accommodation containers are not within forest areas, that they do not make an impact on watercourses and do not influence endangered flora and fauna. - The Contractor will insure the protection of the areas that are sensitive to erosion with stabilisation agents (temporary dams, fences, pits) and replanting after termination of construction works.

Execution of construction works - In order not to jeopardise soil stability, in unstable or conditionally stable fields, construction works will be done in shorter intervals. - During the earth works execution, humus layer will be disposed of in heaps that will not be higher than 2 m and will be protected from pollution in order to preserve its fertility. - With aim of reducing negative impacts on the river and riverbanks to minimum, the activities of construction, which are done on or near surface water bodies, should be done in a small waters season, which is most frequently in the period from July to September. It is recommended to take this into account during preparation of activity schedule. - All handling of petroleum and its derivatives in process of construction and provision of machines is done with maximal measure of protection in order to avoid spilling. All packaging for petroleum and other derivatives must be collected and removed to a controlled Contractor's landfill, whence it will be removed by an authorised utility company. In case of accidents, spilling of fuel or lubricants into environment, urgent interventions are necessary in line with procedures for discharge of fuel and lubricants. - Machines and vehicles will not be washed in the zone of works. - Waste waters from workers' lavatories will not be discharged into soil or watercourses. - Waste shall be managed in line with the Waste Management plan (details are given in the continuation). - Disposal of excavated material and any other solid waste into watercourses will be prohibited.

ANNEX NO.2 Environmental and Social Impact Assessment | 4

- Driving machines in rivers, brooks or on their banks should not be allowed, except in situations when this cannot be avoided due to construction of some special structure. - Bottoms of rivers will be protected and must not be completely blocked during excavation with goal of protection of existing water corridors for undisturbed communication between living species that live on the bottom and those that freely swim. Restoration of the existing banks should be insured by planting adequate vegetation on damaged fields. - The Contractor will implement adequate measures of traffic control in line with the law, during the contract and such measures must be primarily approved of by supervising engineer. Traffic safety management measures will include temporary lighting and adequate signalisation during excavation and works on rehabilitation. - The Contractor should appoint permanent staff that will be hired on traffic safety issues and will be responsible for implementation of traffic safety measures and implementation of traffic measures that are prescribed in state laws, which shall include: (I) review of condition and position of equipment for traffic control in usage, (II) review of drawings – a part that relates to equipment for traffic control, which is necessary for insurance of a safe and efficient traffic flow, (III) removal of all traffic lacks where applicable, (IV) control of work zones, equipment handling and storing, material handling and storing relating to safety in traffic. - The Contractor must not leave excavated trenches without supervision, and must fence off and mark all open trenches in order to prevent possible accidents.

Construction site development after the termination of works - The Contractor must remove all special objects and spots that are used as support to construction including temporary buildings and their foundations, temporary installations (electro, water and sewerage installations) and equipment (settlement basin), restoration of temporary roads into original state (especially in forest area and private property), and work areas, removal of fence, signs and notifications. - The Contractor will remove all construction waste. - All construction areas and other areas that were affected during construction will be restored into original state depending on future usage of soil. - The activities of restoration into original state will start immediately after pipes are covered. - Construction area must be planted with species preserved in peat and filled with adequate material if necessary. - Agricultural areas must be restored into condition that is appropriate for land owner so that he could plant his own crops anew.

ANNEX NO. 3 Environmental and Social Impact Assessment | 5

ANNEX NO. 3: SOCIAL ASSESSMENT DETAILED ANALYSIS

ANNEX NO. 3 Environmental and Social Impact Assessment | 6

1. THE RESULTS OF QUALITATIVE RESEARCH

1.1. Review of existing information

The plan is to build a protective dam on the left bank of the area Semberije and Janja from flooding river Drine, from Baltun upstream to Glavičice. Dam will be connected to the existing embankment on the river Drina. This will provide flood protection for the colony: Balatun, Medjasi, Dvorovi, Popovi, Amajlije, Janja and protection of important acriculturas areas.

It is estimated that the total length of the dam to be greater than 36 km. On the left side on the Drina river, dam will be conected to the existing in Badovinac, end will extend upstrem to the Banja Koviljača.

During the preparation of sociological research and the location of the planned activities were identified stakeholders:

1. Public institution „Vode Srpske“

2. Civil Protection Department of the city of Bijeljina

3. City of Bijeljina

For the purposes underlying the research consortium representatives were interviewed representatives identified key stakeholders and ask for their views, which are listed below, and refer to the cultural and sociological components of the planned project activities.

Given that the project location, there are settlements and land in private ownership, with a significant number of inhabitants, it was necessary to find out as much as possible about the inhabitants of the subject project site for which survey was conducted. The survey was conducted in all local communities covered by the project, i.e. households living near the project site. Near the area where the project will be realized, there are local communities Balatun, Međaši, Dvorovi, Popovi, Amajlije, Janja and Nova Janja. According to preliminary information, the census of population, households and institutions in BiH in 2013, the territory of the Republic of Srpska in areas that include the local community is the 6.104 households and there are over 22.000 inhabitants.

Table 1 Population in the scope of the project R.br. LOCAL TOTAL NUMBER OF TOTAL NUMBER OF TOTAL NUMBER COMMUNITY PERSON LISTED HOUSEHOLDS OF APARTMENTS 1 Balatun 1165 311 437 2 Međaši 917 305 495 3 Dvorovi 5178 1527 1903 4 Popovi 1314 412 551 5 Amajlije 1165 311 437 6 Janja 12233 3184 4272 7 Nova Janja 192 54 111 TOTAL 22164 6104 8206 Source: Census of population, households and institutions in BiH in 2013, the territory of the Republic of Srpska, Republic Institute for Statistics, Banja Luka 2013.

During the research of public attitudes is the test method used by the survey respondents. Before research is planned to be in order to form a test sample representativeness of the sample of local community size not less than 20 respondents to the established sample of 140 respondents.

The sample is necessarily included the presidents of the underlying local communities, because these are people who basically represent the people of the local community and protect their views and interests.

ANNEX NO. 3 Environmental and Social Impact Assessment | 7

The survey was conducted directly in the field examination passers in the respective local communities.

1.2. Interviews

Within qualitative research, in the city of Bijeljina were conducted individual interviews with three key stakeholders: representatives of the city of Bijeljina, representative institutions Vode Srpske and a representative of the Department of Civil Protection of the town of Bijeljina.

For ease of comparison and forming a clearer picture of the current state over the flooded area of Bijeljina, the opinions and knowledge of the planned project for flood protection, property and legal problems that make the project might face and possible solutions to them, in the next section, we present both representative of the above mentioned member.

Study participants agree that there has always been a good relationship municipal government to local communities, associations / cooperatives and farmers flooded the municipality of Bijeljina?

„They always been activ, because Bijeljina live whit it. As part of their financial possibilities always went out to meet him, as they are able to distinguish themselves from year to year. Never this area was negligible. (Vode Srpske)

„There, especially the floodplains along the river Drina, which is undefended part where Drina unfortunately, regularly flooded, which threatens agricultural land. Usually they Municipality help... because there is no area of the embankment. Mayor with the relevant heads of the Department of Commerce and Agriculture often assess the situation and in conversation with people, agricultural experts and make an assessment of certain fees“. (Civil Protection)

Attitudes research participants are no different when it comes to the greatest potential for development of the area and all the stress that this is a very good land who is eligible primarily for farming, and for what is currently the most benefit?

„Semberija has always been directed towards farming and was always the need to be as much a stable and secure. It was developed the project drainage of surface water to the system serving the purpose of irrigation, where would easily be able to provide“... (Vode Srpske)

„The greatest potential to have agriculture and farming and animal husbandry. They are the most represented“ (Civil Protection)

„Mostly agriculture, animal husbandry, farming“ (City of Bijeljina)

On the situation of agricultural production in flood-hit areas and the main problems that farmers face Vode Srpske representatives and Civil Protection have agreed that the biggest problems in the agricultural production of the subject areas of flooding and the consequences that remain after the spill Drina river in the fertile arable land, while a representative of the town of Bijeljina believes that the problems facing agricultural production in the area is no different from the problems that are normally encountered farming. Representative of Vode Srpske pointed out that never before solved the problem of water management of the river Drina, energy interests, lack of cooperation from key users of the Drina river water, not researched field Drina river basin and the not existence pooled data on rainfall in the basin.

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„Drina in the lower reaches watercourse. They work for hydropower plants upstream part of the Electric Power System and the ... in the first place was always electricity, the economic momentum has always been crucial, so that the coordination of the work of hydropower always go slow. They should regulate, however, a system of monitoring, reporting remained at some former time. Continue the way it is, because if we have reliable data on rainfall upstream, and the Drina river basin is to Albania has it there. This is a broad area that would now have the right information and that it is modeled basin, there could be presumed to how contact was. And in any case it is compatible with colleagues from Serbia. And the level of flood protection in the lower reaches where the most critical leveled out accordingly and it would have been for the benefit of the region“. (Vode Srpske).

„The biggest problem is flooding. Because when water the flood area is over half a meter in the fields and arable land and when to withdraw it is not an immediate damage, it dragged and various materials, gravel and to their real problems. Land does not receive the quality as it had. Resulting land degradation“. (Civil Protection)

„Same as everywhere“. (City of Bijeljina).

When asked about information pertaining to the proposed project for flood protection of the Drina River area Semberije and Janje, from Balatun upstream to Glavičice representatives Vode Srpske and Civil Protection emphasize that they are familiar or at least partially familiar, mainly because it is a problem that is in this area present for many years and had already been plans for a solution, believe that this problem should already be solved and this is now just again actualize previous attempts to solve this problem, as the representative of the town of Bijeljina had no precise information on the planned activities.

„I know that the World Bank in an earlier period nominated and it should be completed much more to this period and now it's actualized. Should have had start earlier in some activities that would be, but better late than never“ ... (Vode Srpske).

„We are familiar mainly from the media. This is the first phase of construction of the embankment of the Drina as undefended part of Janja, to Pavlovic bridge length of 11 km. This is the most critical of these areas. From Balatun, from the confluence of the river Drina into Sava rivers, to Glavičica, the most critical part of Janja, Pavlovic bridge length of 11 km. If you do 90% of the problems will be solved. (Civil Protection)

„No“. (City of Bijeljina)

The importance of the idea of the project, there are interesting differences among the respondents interviewed. Representative of Vode Srpske emphasizes that this project should have a broader aspect of the flood protection (power and road), because earlier in that way of thinking about it and proposes an extension of the key participants in the planned project on Electric Power and the Road Directorate. Representative of Civil Protection only points out the invaluable function and value of flood control embankments planned, as a representative of the town of Bijeljina points out that the implementation of the proposed project only on the territory of Bosnia and Herzegovina endanger settlements in Republic of Srpska, which have not been flooded and because of that planned solutions lose their significance.

... „For this project, which works in this stage ... about it, at least in this institution of thinking much earlier and that should unite more people who are interested, the Electric Power Industry, who worked some analysis for decorating the lower course of the river Drina, and there is an energy solution, but it involves some high embankments on both on sides, but it should be merged. On the other hand, if

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embankment will be worked in the future with a very small investment, it could be the road communication. There is some interest from the Directorate of Roads behind Drina river, where there is already a route to make a trip that would be of Zvornik, behind Drina, to Rača“.... (Vode Srpske)

„The enormous importance of. It is invaluable. Semberija is still a flat area and one of the most fertile parts of BiH and RS and will protect one very large area, ie. quality land "... (Civil Protection)

„We must protect both sides, that if you make a embankment on BiH, will again be a flood in Serbia, and what have we done“..... (City of Bijeljina)

When asked about the impact of the project on the population defended areas all agree that this is a big positive impact. A representative of the Civil Protection gave detailed analysis of the population subject areas from which arises the urgency of solving this problem for Janja.

„The biggest problem is the Janja, because he inhabited on the banks of the Drina. But from Janja to the Pavlovic bridge expropriation of land is 99%, but the country has no objects, no settlements. Since Balatun is denser population. From Pavlovic bridge to Balatun not so much but there is something ... Amajlije are almost 2 km away and Međaši and Balatun they have embankment 8 km long, and about Bogatic we don't not know, it's in Serbia "... (Civil Protection)

About shortcomings of the planned project for flood protection of the Drina river, from Balatun upstream to Glavičice interviewed representatives of the key participants in the project had different opinions. Representative of Vode Srpske emphasizes that it should be a multi-purpose object, a representative of the Civil Protection emphasizes that with regard to the situation and the constant threat of flooding any protection projects is welcome, while the representative of the town of Bijeljina believes that the biggest drawback of the project requirement to be implemented only in territory of BiH.

A possible property-legal problems that could lead to the implementation of the project and suggestions for overcoming them representatives of key project stakeholders also have different attitudes. Representative of Vode Srpske points out the need to take a united stance when it comes to expropriation and the problem tackled systematically through state institutions declaring the public interest in this area and thereby define the unique conditions for land acquisition. Representative of civil protection have opinion that due to the large spatial comprises of the project can expect some problems, but it can be reduced transparency of project and additional engagement to educate and inform residents of the area, while a representative of the town of Bijeljina believes that they should not expect major problems and that the money be the most appropriate solution for these problems, ie. vash reimbursement for land occupation and that it can not determine the price of redemption, ie. considers that it should be based on soil quality. „It is always open to question, but do not know the legislation, perhaps something can be declared in the public interest, safety, and the unifying value of purchase that does not happen any price escalation where the passage of such an infrastructure facility quality of life, and if roads , rising to a higher level. With done conceptual design should be done expropriation study. To deal with it offer a price, to try to agree, to offer something. Better agreement than court proceedings. " (Vode Srpske)

„Great is that area ... there will be problems with certain people. It is the large size and length .... Before the project start it must be talk whit those people to learn as much as importance, although they are aware of, to convince them that they will have far more benefits than taking the land, and with some adequate compensation, whether in cash or re-in a land that fits him so much“. (Civil Protection)

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„It will not be that bad. They will be able to achieve some kind of deal .... but just cache in most cases. The compensation depends on the soil quality. Depends on whether it's forests, fields, pastures and etc.“.... (City of Bijeljina)

Civil Protection and the town of Bijeljina have a positive attitude when it comes to the role and tasks of local communities, associations/cooperatives planned defended areas in the implementation of the planned project construction of the dike, and believe that their role can be great, while representative of Vode Srpske believes that they are not sufficiently organized to their role in the project would be important.

„Non-governmental organizations, they are very disorganized and I do not know if I can call them like that, because they all depend in some way, from the government. On the other hand, cooperatives are not at the level where they should be. It would have been much more organized ...... Only through better organization of cooperatives in these areas is possible their impact“... (Vode Srpske)

„The role of local communities is a great. And now when we have problems whit flood, we have cooperation with them. President of the local community council commanded his unit in local community. They also have a great impact on the population, as far as defended planned area, they could enough to affect. It would be easier to inform the population through them " (Civil Protection)

„They would have a big role, they know the best people as breathing and what it does, and they would everything about cost and who would like what. The best way of organization is through the local communities“. (City of Bijeljina)

When it comes to the social sphere in which the project will flood control positively reflect, representatives of civil protection and the city of Bijeljina have the same attitude that it is primarily agriculture, but also human health due to lower levels of stress and greater security, which will be the implementation of this project, while the representative of Voda Srpske believes that flood protection is the general interest.

„Once in the system, flood protection was a general benefit, however water management fees were abolished, I do not know for what reason. Today, in the water sector there is no penny for protection of the flood, on any basis“... (Vode Srpske)

„We had problems with the Sava embankment. There was a burst dam and was able to break down the embankment and to endanger 20-30 thousand people. People interested in how to perform the repairs of the embankment, because they live in fear that it will happen again. We have an undefended area nearly 30 km, and if we had a embankment people would have that one security, not only for health but also for the material investments, because they are investing heavily in the country and livestock and etc.“.... (Civil Protection)

„After the war, people were given land by the river Drina, in the flooded area to build houses. They are not the blame because of that“... (City of Bijeljina)

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2. QUANTITATIVE RESEARCH RESULTS

Detailed tables of the data collected are given in the Appendix of this report. In the following text some of the data are presented for illustrative purposes in tables.

2.1. Socio-demographic profile of respondents

In this study, 83% of respondents were male and 17% were female. The average age of respondents was 51 years. Respondent households on average have 3 members.

When it comes to education profile, the highest percentage of respondents graduated from high school / grammar school (46,4%), and then primary school (39.3%). Not negligible percentage of 6.4% of those without a primary school or have not completed primary school. 5.7% of respondents have higher education, 1.4% faculty education.

In more than half of the households farming is the main activity (56.4%). In 37.3% of households, same members are employed elsewhere, not in agricultural activities. The average number of household members who are employed somewhere else is a one member of the surveyed household.

Most of the surveyed households (78.6%) have other income except farming. Respondents who reported that their household has other sources of income, specify both the structure of the income: 52.7% of households have a staff member on the basis of income from salaries, 37.3% of households in some of the members receiving a pension.

35.7% of respondents said that agriculture is the main source of income for their households. The most common responses on average monthly household income are: the same percentage of respondents, 20% in the range of 301 to 500, 21.4% in the range of 501 to 700 KM. For 19.3% respondents of revenue in the range of 101 to 300, while 8.6% of respondents in the range of 701 to 900 KM. 10.7% of respondents stated that their income in the range of 901 to 1.500, and the lowest incomes up to 100 KM has 3.6% of the respondents.

96.4% of respondents stated that the landowners of the area. Of the total number of land owners, 21.9% of them buy the land, and 82.4% of the land they have inherited.

The average size of land owned or in possession of the respondents is 30 520 m2. And the average land area is used for agricultural production is 15370 m2.

Most of the respondents, 79.3%, for agricultural production uses land several different parcels. (Table 2) Average numbers of pitches are 4.

Table 2 How many separate pieces of land use for agricultural production?

P.5 How many separate pieces of land use for agricultural production

N % One parcels 29 20,7 More parcels 111 79,3 Total 140 100,0

When it comes to the value of land owned, very small number of respondents gave a concrete answer. Most of the respondents, 85.7% did not know or were not sure. (Table 3)

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Table 3 Can you estimate the current market value of the land in KM/m2 that is in your possession? P7 Can you estimate the current market value of the land in KM/m2 that is in your possession?

N % 0-10 KM 1 0,7 More than 20 3 2,1 Don't know/not sure 120 85,7 No answer 16 11,4 Total 140 100,0

A large majority of respondents to crops grown allegations onion (99.3%), potatoes (96.4%), lettuce (94.3%), carrots (89.3%), tomato (91.45%), pepper (85.7%), and cabbage (96.4%). The other cultures in which a considerable percentage of these growing cultures are: Corn (90.7%), wheat (78.6%), fruit (70%).

From Table 4 shows that 90% of respondents said that they have household members who are constantly engaged in agricultural production.

Table 4 Have all the adults who work permanently in the country a member of your family / household? P10. Have all the adults who work permanently in the country a member of your family / household?

N % Yes 126 90,0 No 3 2,1 No answer 11 7,9 Total 140 100,0

A large majority of respondents (66.5%) produced only for personal use, while 30.4% of agricultural products to the local market.

A small percentage of respondents owned greenhouses (3.4%). Traktor has a large majority of respondents (73.6%), 10.8% of tiller, etc..

According to the survey the most impact on reducing yields in the agricultural production of the area has a high cost of fertilizers (23%), drought (19.5%) and floods (17.4%), then there are the low purchase price (17.7%) and the lack of markets for (8%).

60.7% of respondents expected to be in the future, by example. 5 years, agricultural production is somewhat worse. 19.3% of respondents do not expect any changes, a partial improvement in agricultural production expected by 9.3% of respondents.

None of the participants do not expect the production of highly improved and 1.4% of respondents expected that production will be severely worst. 40.2% of respondents think that the biggest impact of agricultural production is the economic situation, 21.3% that it is the ratio of official institutions, and 14.2% of the respondents that it is a general lack of change.

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According to the results in Table 5 27.9% of respondents believe that the planned measures for flood protection in the municipality of Bijeljina in great extent affect on their agricultural production, while 40% believe that the activities planned for flood protection is somewhat affect, 15% of them believe that would be little impact, while 10% are not sure that the project will have any impact on their agricultural production.

Table 5 At what extent the planned measures for flood protection in the municipality of Bijeljina will affect on your farming? P16. At what extent the planned measures for flood protection in the municipality of Bijeljina will affect on your farming? N % To a large degree 39 27,9 A somewhat 56 40,0 Little 21 15,0 Not at all 10 7,1 Don't know/Not sure 14 10,0 Total 140 100,0

Respondents who said that planned to flood protection will affect is largely (27.9%), somewhat (40%) a little (15%) on their agricultural production, answered detailed questions about the impact. 57.8% of respondents believe that the project will have a positive impact on their agricultural production, 15.5% of them believe that the implementation of the project will have negatively affect on their agricultural production, 24.1% of respondents did not know or were not sure how the project will affect on their production.

72.9% of respondents are not willing to cede part of their land for the realization project. Of these respondents, 41.2% of the land would not ceded under any circumstances. 33.3% to of respondents would like ceded land whit compensation, 24.5% would like sell land.

Table 6 Would you be willing to give part of your land for the project? P18 Would you be willing to give part of your land for the project? N % Yes 32 22,9 No 102 72,9 Don't know/Not sure 5 3,6 No answer/ Rejection 1 0,7 Total 140 100,0

Table 7 Would you accept that part of your land to be subject to expropriation (exempted for a fee) if it were necessary for the implementation of the project? P21. Would you accept that part of your land to be subject to expropriation (exempted for a fee) if it were necessary for the implementation of the project?

N % Yes 74 5,0 No 63 87,0 Don't know/Not sure 2 4,5 No answer/Rejection 1 3,5

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87% of respondents would not accept that part of their land to be subject to expropriation if it were necessary for the construction of the flood protection system. Of these respondents, 22.7% would not agree under any circumstances, 33.3% to of respondents would like ceded land whit compensation, 36.4% would like sell land.

89.1% of respondents would not agree to temporary relocation if it were necessary for the construction of the flood protection system. Of these respondents, 54.9% would not agree under any circumstances, while 39.3% would nevertheless agree with the agreement / fee.

93.6% of respondents would accept permanent relocation if it were necessary for the construction of the flood protection system. Of these respondents, 16% would not agree under any circumstances, while 72.5% would nevertheless agree with the contract / compensation.

Local authorities are in a very small extent (85.7%) and a fairly small extent (7.9% of respondents) take into account the requirements of farmers in relation to their production. (Table 8) Almost all respondents (97.1%) reported that they can not influence decisions made at the local and higher levels of government regarding agriculture.

17.1% of respondents have used incentives or some type of assistance for agricultural production. This assistance usually received from the entity levels (66.7%), and the municipalities (16.7%), agricultural cooperatives (12.5%), and etc. 97.9% of respondents are not members of associations or cooperatives of farmers.

Table 8 At what extent local authorities consider your requests in relation to agricultural production? P31 At what extent local authorities consider your requests in relation to agricultural production? N % In quite large extent 1 0,7 In a rather small extent 11 7,9 In a very small extent 120 85,7 Don't know/Not sure 4 2,9 No answer/Rejection 4 2,9 Total 140 100,0

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2.2. Data collected through quantitative research Table D5. How many members does your Table D1. Gender of respondents household have? D01. Gender of respondents D05. How many members does your household have?

N % N M

Male 116 82,9 140 3

Female 24 17,1

Table D6. Is any member of your household is Total 140 100,0 employed elsewhere, not in agricultural activities?

D06. Is any member of your household is employed elsewhere, not in agricultural activities?

Table D2. How old are you? N % D02. How old are you? Yes 53 37,9 No 87 62,1 N M Total 140 100,0 140 51

Table D3. Which is your highest level of education Table D7. How many members of your D03. Which is your highest level of education? household are employed somewhere else? D07. How many members of your household are N % employed somewhere else? N M Uncompleted 9 6,4 primary school 87 1

Completed * Only respondents who stated that were members 55 39,3 primary school of the household employed elsewhere

Grammar school 65 46,4 Table D8. Besides agricultural production is your household has other sources of revenue? High school 8 5,7 D08. Besides agricultural production is your household has other sources of revenue?

Faculty 2 1,4 N % Yes 110 78,6 Don’t want to 1 0,7 ask No 29 20,7

Total 140 100,0 No answer 1 0,7

Total 140 100,0

Table D4. In your household, agriculture is the main or secondary activity? Table D9. Which sources of revenue is that? D04 In your household, agriculture is the main or D09. Which sources of revenue is that? secondary activity? N % Pay 58 52,7 N % Pension 41 37,3 Main 79 56,4 More revenues 9 8,2 Other 2 1,8 Secondary 34 24,3 Total 110 100,0 Don’t want to * Only respondents who stated that their household 27 19,3 ask has other sources of income

Total 140 100,0

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Table D10. Is agricultural production the main Table P.2.Have you inherited or buy land? source of revenue of your household? P2. Have you inherited or buy land?* D10. Is agricultural production the main source of revenue of your household? N %

N % Inherited 112 82,4 Yes 50 35,7 No 89 63,6 Buy 21 21,9 No answer 1 0,7 No answer 3 2,6 Total 140 100,0 Total 136 100,0

* Only respondents who own land, or did not answer Table D11. How would you describe the average monthly income of your household from all sources, so when you calculate all salaries, and all other Table P.3. Under which conditions you use the income of all household members? land as lessee, for how long, at what price per D11. How would you describe the average monthly year? income of your household from all sources, so when you calculate all salaries, and all other income P3. Under which conditions you use the land as of all household members? lessee, for how long, at what price per year?* N % N M To 100 KM 5 3,6 The period of From 101 to 300 0 . 27 19,3 the year KM From 301 to 500 Year’s price 2 1470 28 20,0 KM * Only respondents who have leased land From 501 to 30 21,4 700 KM From 701 to 900 Table P.4. The acreage of the land owned / leased? 12 8,6 KM What is the area of land used for agricultural From 901 to production? 9 6,4 1100 KM From 1101 to P4. The acreage of the land owned / leased? What is 6 4,3 the area of land used for agricultural production? (u 1500 KM 2 From 1501 to m ) 3 2,1 2000 KM From 2001 to N M 1 0,7 3000 KM Area of land owned / 80 30520 Not sure 17 12,1 possessed / lease No answer 2 1,4 Area of land used for agricultural 132 15370 Total 140 100,0 production

Table P1. Are you the owner, proprietor or lessee of the parcel of the area? Table P.5. How many plots use for agricultural production? P1. Are you the owner, proprietor or lessee of the parcel of the area? P5. . How many plots use for agricultural production? N % N % Owner 135 96,4 One plot 29 20,7

Proprietor 2 1,4 More plots 111 79,3

Lessee 2 1,4 Total 140 100,0

No answer 1 0,7

Total 140 100,0 Table P.6. Can you tell the number of plots?

P6. Can you tell the number of plots?*

N M

Average number 111 4 of plots

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Table 7. Can you estimate the current market value of the land in KM per m2 which is in your P10. Are all the adults who work permanently on the possession? land member of your family / household?

P7. Can you estimate the current market value of N % the land in KM per m2 which is in your possession? Yes 126 90,0

N % No 3 2,1

0-10 KM 1 0,7 No answer 11 7,9

More than 20 3 2,1 Total 140 100,0

Not sure 120 85,7 Table P.11. Which of the following agricultural No answer 16 11,4 equipment and machinery you own?

Total 140 100,0 P11. Which of the following agricultural equipment and machinery own?

N % Table P.8. What crops do you grow? Greenhouse 5 3,4

P8. What crops do you grow? Motokultivator 4 2,7

N % Combine 2 1,4

Corn 127 90,7 Tractor 109 73,6 Tiller 16 10,8 Wheat 110 78,6 Other 12 8,1 Carrot 125 89,3 No answer 54 36,5 Pepper 120 85,7

Grapevine 2 1,4 Table P12. Where are you selling your products?

P12. Where are you selling your products? Potato 135 96,4

N % Onion 139 99,3 Only for personal 129 66,5 Salad 132 94,3 use On the local market 59 30,4 Tomato 128 91,4 On the national 0 0,0 Cabbage 135 96,4 market of BiH On the Tobacco 5 3,6 international 0 0,0 market Berries 15 10,7 Not sure 0 0,0

Fruit 98 70,0 No answer 6 3,1

Flowers 102 72,9

Other 59 42,1 Table P13.Which of the following problems, or any other has the most impact on reducing Total 140 100,0 the yield of your farming? P13. Which of the following problems, or any other has the most impact on reducing the yield of your Table P.9. How many people work on the land? farming? P9. How many people work on the land? N % N Drought 110 19,5 Full time 98 Flood 98 17,4 Seasonally 140 Lack of manpower 8 1,4 Table P.10. Are all the adults who work Permanently on the land a member of your Expensive fertilizer 130 23,0 family / household?

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Table P16. To what extent will the planned flood Small market 45 8,0 control measures in the municipality of Bijeljina affect your farming Low purchase price 100 17,7 P16. To what extent will the planned flood control Unfair competition 19 3,4 measures in the municipality of Bijeljina affect your farming? Lack of quality 39 6,9 seeds N %

Other 15 2,7 Largery 39 27,9 No answer 0 0,0 Slightly 56 40,0

Some 21 15,0 Table P.14. What are your expectations of the agricultural production in the future, by example. Not at all 10 7,1 5 years? P14. What are your expectations of the agricultural Not sure 14 10,0 production in the future, by example. 5 years? Total 140 100,0 N %

Really will be 0 0,0 impuved Table P17. In what way do you think that the Will be iproved flood control measures in the municipality of 13 9,3 slightly Bijeljina affect your farming? Will remain P17. In what way do you think that the flood control approximately the 27 19,3 measures in the municipality of Bijeljina affect your same farming? * Will be slightly 85 60,7 worse N %

Will be really worse 2 1,4 Positively 67 57,8

Not sure 12 8,6 Negative 18 15,5

No answer 1 0,7 Not sure 28 24,1

Total 140 100,0 No answer 3 2,6

Total 116 100,0

Table P15. Why do you think like that? * Only respondents who expect the planned flood control measures in the municipality of Bijeljina influenced to a P15. Why do you think like that?* large extent, somewhat, or a little of their agricultural production N %

No changes in 18 14,2 Table P18. Would you be willing to give part general of your land for the project? The economic 51 40,2 situation P18. Would you be willing to give part of your land The lack of for the project? 3 2,4 interest of young N % The ratio of official 27 21,3 Yes 32 22,9 institutions No 102 72,9 Optimism 12 9,4 Not sure 5 3,6 Other 2 1,6 No answer 1 0,7 Not sure 11 8,7 Total 140 100,0 No answer 3 2,4

Total 127 100,0

* Only respondents who have certain expectations of agricultural production in the future

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Table P19.Under what conditions agreed to cede Table P22. Under what conditions would you a part of your land for this purpose? agree that your land be expropriated? What are you looking for in return? What are you looking for in return? P22. Under what conditions would you agree that

P19. Under what conditions agreed to cede a part of your land be expropriated? What are you looking your land for this purpose? What are you looking for for in return?* in return? N % N % Deal 31 41,9 With compensation 19 59,4 Financial 43 58,1 Negotiable compensation 10 31,3 Total 74 100,0 Not sure 3 9,4 * Only respondents who would agree that their land was expropriated No answer 0 0,0

Total 32 100,0 Table P23. Under what conditions would however agree that your land is expropriated? * Only respondents who stated that they would agree to cede part of their country, they do not know / not sure P23. Under what conditions would however agree that or did not answer. your land is expropriated? N %

Under no Table P20. And under what conditions you 15 22,7 circumstances agreed to cede a part of your land for the Project? Financial 22 33,3 compensation P20. And under what conditions you agreed to cede a part of your land for the Project? Salling the land 24 36,4

N % Not sure 2 3,0 Under no 42 41,2 circumstances No answer 3 4,5 With the 34 33,3 compensation Total 66 100,0 For sale 25 24,5 * Only respondents who would not agree that their land is expropriated, they do not know / not sure or did not No answer 1 1,0 answer.

Total 102 100,0 Table P24. Would you be willing to relocate temporarily, * Only respondents who indicate that they would be if it were necessary for the construction? willing to cede part of their country P24 Would you be willing to relocate temporarily, if it were necessary for the construction.? Table P21. Would you accept that part of your land to be expropriated (exempted for a fee) N % if it were necessary for the Project? Yes 1 0,7 P21.Would you accept that part of your land to be expropriated (exempted for a fee) if it were necessary No 122 89,1 for the Project? Not sure 4 2,9 N %

Yes 74 5,0 No answer 10 7,3

No 63 87,0 Total 137 100,0

Not sure 2 4,5 Table P25. Under what conditions agreed to No answer 1 3,5 temporarily relocate? What are you looking for in return? Total 140 100,0 P25. Under what conditions agreed to temporarily relocate? What are you looking for in return? N %

By agreement* 1 100,0

Total 1 100,0

* Only respondents who would be willing to relocate

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Table P26. Under what conditions would still agree to temporary relocation? Total 131 100,0 P26 Under what conditions would still agree to *Only respondents who would not accept permanent temporary relocation? relocation

N %

Under no 67 54,9 Table 30. The extent to which local governments circumstances consider your requests with regard to agricultural In agreement 48 39,3 production.

Financial P30. The extent to which local governments consider 5 4,1 compensation your requests with regard to agricultural production?

Salling the land 2 1,6 N % In quite 1 0,7 No answer 0 0,0 significantly In a rather small 11 7,9 Total 122 100,0 scale In a very small 120 85,7 * Only respondents who would not agree to relocation extent

Not sure 4 2,9 Table P27. Would you accept permanent relocation if it were necessary for the construction? No answer 4 2,9

P27. Would you accept permanent relocation if it were Total 140 100,0 necessary for the construction?

N % Table P31. Can you influence on decisions made Yes 4 2,9 at local and higher levels of government in relation to agriculture? No 131 93,6 P31. Can you influence on decisions made at local and higher levels of government in relation to agriculture Not sure 3 2,1 ? N % No answer 2 1,4 Yes 0 0,0 Total 140 100,0 No 136 97,1

No answer 4 2,9 Table P28. Under what conditions agreed to a permanent move? What are you looking for in return? Total 140 100,0 P28. Under what conditions agreed to a permanent move? What are you looking for in return? N % Table P32. Did you use some kind of incentives or subsidies for agricultural production? By agreement 3 75,0 P32. Did you use some kind of incentives or subsidies for agricultural production? Selling the lalnd 1 25,0 N % Total 4 100,0 Yes 24 17,1 * Only respondents who would accept permanent relocation No 115 82,1

Table P29. And under what conditions you would No answer 1 0,7 still agreed to permanently relocate? Total 140 100,0 P29. And under what conditions you would still agreed to permanently relocate?

N % Table P33. From whom did you get that boost Under no or help with any level of government or by an 21 16,0 circumstances association?

In agreement 95 72,5 P33 From whom did you get that boost or help with any level of government or by an association.? Financial 11 8,4 N % compensation Municipality 4 16,7 Salling the land 1 0,8 Entity 16 66,7 No answer 3 2,3

ANNEX NO. 3 Environmental and Social Impact Assessment | 21

P33 From whom did you get that boost or help with any level of government or by an association.? N % Agricultural 3 12,5 cooperatives Farmers' 1 4,2 Association Total 24 100,0

Table P33. Are you a member of an association of farmers or agricultural cooperatives? P34. Are you a member of an association of farmers or agricultural cooperatives? N % Yes 3 2,1

No 137 97,9

Total 140 100,0 * Only respondents who have used incentives or other assistance for agricultural production

ANNEX NO. 4 Environmental and Social Impact Assessment | 1

ANNEX NO. 4: THE IMPACT ON LAND ACQUISITION AND RESETTLEMENT

ANNEX NO. 4 Environmental and Social Impact Assessment | 2

Requested data from the table: Impact on Land Acquisition and Resettlementnije be correctly defined on the basis of currently available data stage preparatory work-a preliminary assessment of the Project, when we do not have adopted conceptual design of the track embankment and priorities - phase their preparation. The same can be seen after the preparation of conceptual design and feasibility studies of expropriation. The level design documents that are currently doing - Study the impact and feasibility only gives the possibility of perceiving the surface of expropriation and approximate values, and data relocation, which in our case no.

Information on expropriation and the estimated values of expropriation can be given, and for all other precise data can be obtained in subsequent design phases.

These data are not currently available, but will be when you do a study on expropriation, currently these data can be expressed in terms of the affected area and the area under the embankment.

Anticipated amount of land for expropriation of land in stages: Phase 1 of the St. 0 +000.00 - St. 9 +450.00, length 9.45 km

- Expropriation: 65.79 ha - Under the causeway: 10.98 ha

Phase 2: From St. 9 +450.00 - St. 25 +500.00 length of 16.05 km

- Expropriation: 117.44 ha - Under the causeway: 24.35 ha

Phase 3: From St. 25 +500.00 - St. 33 +360.00, length 7.86 km

- Expropriation: 55.17 ha - Under the causeway: 12.48 ha

TOTAL of St. 0 +000.00 - St. 33 +360.00 length of 33.36 km

- Expropriation: 238.40 ha - Under the causeway: 47.82 ha