41924-014: Nam Ngiep 1 Hydropower Project

Environmental and Social Monitoring Report

Project Number: 41924-014 Independent Advisory Panel (Report No. 14, 8–14 December 2019) March 2020

Lao PDR: Nam Ngiep 1 Hydropower Project

Prepared by Nam Ngiep 1 Power Company Limited for Asian Development Bank.

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

In preparing any country program or strategy, financing any project, or by making any designation of or reference to a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area. March 2020

Report Number 14 of the Independent Advisory Panel on the Nam Ngiep 1 Hydropower Project Lao PDR 14th site visit, 8-14 December 2019

Draft submitted: 10 January 2020

Final submitted: 31 March 2020

March 2020

Table of Contents Page no. List of acronyms and abbreviations 3 Introduction and Summary 4 Part 1: Independent Advisory Panel Actions 5 Part 2: Summary of IAP issues and recommendations 8 • Summary of Resettlement Issues 8 • Summary of Indigenous Peoples’ Issues 14

List of Annexes Annex 1: Resettlement Issues 25 Annex 2: Indigenous Peoples’ Issues 28

List of Photos Resettlement and Indigenous Peoples’ Photos 29

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List of acronyms and abbreviations ADB Asian Development Bank MAF Ministry of Agriculture and Forestry AIP Annual implementation plan m.a.s.l. meters above sea level MEM Ministry of Energy and Mines BAC Biodiversity Offset Advisory Committee MONRE Ministry of Natural Resources & Environment BIMOF Biodiversity Impact Mitigation and Offset MRC Mekong River Commission Framework msl mean sea level BKX Bolikhamxay Province NAFRI National Agriculture & Forestry Research Institute BOMP Biodiversity Offset Management Plan NBCA National biodiversity conservation area/conservation forest BOMU Biodiversity Offset Management Unit NC/NX Nam Chouane-Nam Xang biodiversity offset area BRP Biomass removal plan NNL No net loss BSP Biodiversity Service Provider NNP Nam Ngiep river CA Concession agreement NNP1 Nam Ngiep 1 hydropower project CDP Community development plan NNP2 Nam Ngiep 2 hydropower project CIA Cumulative impact assessment NNP1PC Nam Ngiep 1 Power Company COD Commercial operating date NPA National protected area CUZ controlled use zone NRM Natural resources management DCC District coordinating committee NTFPs Non-timber forest products DEB Department of Energy Business OP Operational phase DEQP Department of Environmental Quality PA Protected area Promotion DFO District forestry office PAP Project affected people DFRM Department of Forest Resources Management PAH Project affected household DG Director-general PFA National protection forest area DoF Department of Forestry PHXRA Phouhomxay Resettlement Area (formerly Houay Soup Resettlement Area) DONRE District office of natural resources & PLUP Participatory land use planning environment E&S Environment and social PMO/PO Prime Minister’s Office eflow Environmental flow PONRE Provincial office of natural resources and environment EGATi Electric Generating Authority of Thailand PPA Provincial protected area International Company EIA EMP Environmental impacts assessment PRMLCRC or Provincial Resettlement Management and Living Environmental management plan PRLRC Condition Restoration Committee ESMMP-CP Environmental and social management and PSOD Private Sector Operations Department, ADB monitoring plan-construction period EMO Environmental Management Office RCC Roller Compacted Concrete EMU Environmental Management Unit REMDP/REDP Resettlement and Ethnic Minority Development Plan EPF Environmental Protection Fund RIP Reservoir Impoundment Plan ESD Environment and Social Division RPM Reservoir Management Plan ESIA Environmental and social impacts assessment RMU Resettlement Management Unit FA Facility Agreement ROW Right-of-way FCZ Fish conservation zone SEA Strategic environmental assessment FMP Fisheries Management Plan SMO Social Management Office GOL Government of Lao PDR SPS Safeguard Policy Statement GRM Grievance Redress Mechanism TD Technical Division Ha hectare TPZ totally protected zone HCCEMMP Head Construction Contractor's Environmental UR Upper reservoir Management and Monitoring Plan Hh household US$ United States dollar HSK Hatsaykham hamlet UXO Unexploded ordinance IAP Independent Advisory Panel VDC Village development committee IAS Invasive alien species WCS Wildlife Conservation Society ICDP Integrated conservation and development WMO Watershed Management Office project IEE Initial environmental examination WMP Watershed management plan IFC International Finance Corporation WRPC Water Resources Protection Committee IP Indigenous people WRPO Water Resources Protection Office ISP Integrated spatial planning/Invasive species WWTP Wastewater treatment plant program IUCN International Union for Conservation of Nature XSB Xaysomboun Province IWMP Integrated watershed management plan LR Lower reservoir LTA Lenders’ technical advisors

March 2020

Report Number 14 of the Independent Advisory Panel on the Nam Ngiep 1 Hydropower Project Lao PDR 14th site visit, 8-14 December 2019

Introduction and Summary

1. The 14th field visit of the Independent Advisory Panel (IAP) to the Nam Ngiep 1 (NNP1) hydropower project was comprised of Mr. Anthony M. Zola, Resettlement Specialist, Chairman, and Mr. Songwit Chuamsakul, Indigenous Peoples (IP) Specialist. The IAP was pleased to work with representatives of the Asian Development Bank (ADB) during the field visit, including Mr. Karan Raj Gulshan, Investment Specialist; Ms. Jocelyn Erlinda Munsayac, Principal Safeguards Specialist (Social); Ms. Kristy L. Harrison, Senior Safeguards Specialist (Environment), PSOD; Ms. Aida Khalil Gomez, Safeguards Specialist (Environment) PSOD;Ms. Elizabeth Mann, senior social safeguards expert (ADB staff consultant); and, Mr. Raoul Cola, Lenders’ Technical Advisor (LTA), Social Expert.

2. The IAP noted progress in several areas during the site visit: • IAP recommendations continue to be implemented mostly effectively. • The Nam Ngiep 1 Power Company (NNP1PC) continues to have good relations with key agencies of the Government of Lao PDR (GOL). Bolikhamxay (BKX) and Xaysomboun (XSB) provincial officials are satisfied with the cooperation and coordination with NNP1PC. • The lives of resettler and self-resettler families interviewed by the IAP appear to be stable, with a return to normal living and livelihood patterns. Project affected people (PAP) are generally satisfied with NNP1PC livelihood restoration and social development activities. • Most land issues have been settled at the Phouhomxay Resettlement Area (PHXRA) as a result of completion of participatory land use planning (PLUP) and granting of land titles by Bolikhamxay provincial and Bolikhan district officials. • An operational Emergency Preparedness and Response Plan/Emergency Action Plan (EAP) is in place. Training has been provided to local authorities and district officials related to potential Project-related emergencies in all downstream villages. • NN1PC states that the Department of Energy Business (DEB) of the Ministry of Energy and Mines (MEM) already issued CDF guidelines for all independent power producers (IPP) on 22 August 2019. NNP1PC is still drafting its own project- specific guidelines. • Phong indigenous people (IP) in the area covered by the Biodiversity Offset Management Plan (BOMP) were informed and consulted in identifying the boundaries of the total protection zones. NNP1PC started the procurement process for preparing the Community Development Plan (CDP)

3. The IAP is concerned about the following challenges that NNP1PC is facing: • Continuing delays in repairing or improving agricultural infrastructure at PHXRA and Zone 2UR; reflecting on the professionalism of the technical division (TD), the image of NNP1PC, and the confidence of PAP at PHXRA in their ability to have livelihood restored.

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• Continuing reports of self-resettler encroachment in the Nam Ngiep watershed and on grazing lands at PHXRA. • Continuing dissatisfaction of PAP in Ban Hat Gniun host village (Zone 5) with the resolution of grievances related to compensation for land and allocation of land to resettlers. • The IAP is seriously concerned about the results of NNP1PC’s analysis of socio- economic and income data indicating that only host villagers are satisfactorily increasing their income. The PAP in Category 1 (PHXRA and self-resettlers) and Category 2 (PAP in Zone 2UR) remain significantly below the target of 200% increase in income within two years of resettlement. • Actual emergency evacuation drills, alarm systems with village-wide reach, improvement of roads going to designated safety zones, and validation of the risk level of each safety zone are needed in downstream villages against potential dangers and as a follow up to EAP training. • Continuing delays in adopting regulations for managing reservoir fisheries. • Continuing delays in providing funds to the district for watershed management. • Concern about food security at the PHXRA because of (i) the lack of sufficient irrigation water for wet and dry season cropping promised to resettlers by NNP1PC; and, (ii) continuing confrontation and tension between PHXRA resettlers holding land titles and former occupants of land in PHXRA from Hat Gniun and Hatsaykham villagers who have already been compensated. • Self-resettlers report that NNP1PC livelihood restoration staff lack dedication and commitment to livelihood restoration. • A Community Development Plan due for submission on December 2019 is yet to be developed for the six villages located either adjacent to or within the Biodiversity Offset Area, where the inhabitatns belong to the Phong indigenous people (IP) group.

4. This report consists of two parts: Part 1 presents the activities and actions of the two participating members of the IAP; and, Part 2 presents a summary of the resettlement and social issues related to construction and operation of the Nam Ngiep 1 hydropower project in matrix format. Two annexes present additional comments of individual members of the participating IAP.

5. A separate report will be submitted by the IAP Biodiversity Specialist, Mr. Will Duckworth, following his visit in early 2020.

6. This report was edited by Mr. Anthony M. Zola, the Resettlement Specialist and Chairman of the IAP. The annexes were written by individual members of the IAP.

Part 1: Independent Advisory Panel Actions

7. The Independent Advisory Panel (IAP) for the Nam Ngiep 1 hydropower project (NNP1) in Lao PDR undertook a 14th visit to NNP1 on 8-14 December 2019. The IAP members participating in the 14th visit included the following: • Mr. Anthony M. Zola, Resettlement Specialist, Chairman • Mr. Songwit Chuamsakul, Indigenous Peoples (IP) Specialist

8. Mr. Will Duckworth, the IAP Biodiversity Specialist, did not participate in the 14th site visit. He is planning to undertake a separate visit in early 2020, after which he will submit an independent report on his findings and recommendations.

March 2020

9. The work of the IAP has been extended until December 2021. Mr. Will Duckworth has replaced Ms. Kathy MacKinnon as the biodiversity specialist. Mr. Richard Frankel passed away in later 2019.

10. The IAP proposed to NNP1PC that the 15th IAP site visit would be on 17-24 May 2020. This visit is timely for the resettlement and social specialists as PAP (both resettlers and self-resettlers) will be preparing to cultivate the 2020 wet season rice crop. However these dates will be reconsidered in light of the recent novel coronavirus outbreak.

11. This IAP report to NNP1PC and the ADB covers the following topics: (i) issues of concern to the IAP; and, (ii) IAP recommendations for actions to NNP1PC based on the Concession Agreement, official / legal documents of the Government of Lao PDR (GOL), ADB Safeguard Policy Statement (2009), Equator Principles, and international best practices. Actions recommended by the IAP are time-based; meaning that NNP1PC is either legally obligated to or should undertake and/or complete these actions within a specific period.

12. The IAP categories of concern are as follows: • High/Very High/Urgent category of concern: The Project should act immediately; • Medium category of concern: The Project should act within 1-2 months; and, • Low category of concern: action should be taken before the next IAP visit.

The categories of concern are consistent with those applied at other international standard hydropower projects in Lao PDR.

13. Copies of this IAP report will be submitted to the following individuals: (i) Mr. Toshihiro Takano, Managing Director, NNP1PC (ii) Mr. Nanthaphol Chidsin, Manager, Social Management Office (SMO) (iii) Ms. Khamlar Phonsavat, Manager, Environmental Management Office (EMO) (iv) Mr. Karan Raj Gulshan, ADB, Private Sector Operations (v) Ms. Jocelyn Erlinda S. Munsayac, ADB, Principal Safeguards Specialist (vi) Ms. Kristy L. Harrison, ADB, Senior Safeguards Specialist

14. The 14th IAP site visit was undertaken over a seven-day period; from Sunday, 8 December to Saturday, 14 December 2019. The IAP itinerary was as follows:

Date Activity Saturday, • Arrival in Vientiane: Mr. Songwit. 7 December • Overnight in Vientiane 2019 Sunday, • Arrival in Vientiane: Mr. Zola 8 December • IAP kick-off meeting at Hotel Khamvongsa, Vientiane 2019 • Overnight in Vientiane Monday, • Briefing by NNP1PC managers and staff for IAP at the Nam Ngiep 1 Hydropower 9 December Project office in Vientiane on (i) measures taken related to actions recommended 2019 by the IAP during the 13th IAP site visit in June 2019; and, (ii) overall progress on NNP1 project implementation and issues of concern • Afternoon: IAP Resettlement and ADB Senior Social Safeguards specialists travel to Pakxan • Afternoon: IAP Resettlement and ADB Senior Social Safeguards specialists met with village cluster officials, local authorities, and villagers in two downstream (Zone 4) villages: Nam Ngiep and Kuay Oudom, Pakxan District; overnight in Pakxan • Afternoon: IAP IP specialist traveled to biodiversity offset site in Viengthong District, Bolikhamxay Province; overnight in Viengthong

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Date Activity Tuesday, • Morning: IAP IP Specialist and ADB Social Team: Meetings with Phong ethnic 10 December groups in Mouangcham & Sopkhom villages, Viengthong District, BKX 2019 • Morning: IAP Resettlement and ADB Senior Social Safeguards specialists met Phouhomxay village authorities and village development committee at PHXRA • Morning: IAP Resettlement Specialist visited the Houay Soup irrigation dam and PAP irrigated agriculture activities • Afternoon: IAP Resettlement and ADB Senior Social Safeguards specialists met with local authorities and PAP in Zone 5: Ban Hat Gniun and Ban Thaheua, Bolikhan District; overnight in Pakxan Wednesday, • Morning: IAP Resettlement and ADB Senior Social Safeguards specialists travel 11 December from Pakxan to Zone 2UR, Thathom District, Xaysomboun Province 2019 • Morning: IAP IP Specialist and ADB Social Team travel from Viengthong District to Zone 2UR • Afternoon: IAP and ADB Social Team meet with Thathom District Governor and a representative of the Xaysomboun Resettlement Management Unit (RMU) • Afternoon: IAP Resettlement and ADB Social Team specialists visit livelihood restoration and rural infrastructure facilities in Zone 2UR; overnight in Thathom • Afternoon: IAP IP Specialist met with PAP IP Hmong (7 households with 8 families) who moved from Houay Pamom Village, Zone 2LR, in Thaviengxay Village, Zone 2UR, Thathom District, XSB Thursday, • Morning: IAP Resettlement and ADB Senior Social Safeguards specialists travel 12 December from Thathom District to visit self-resettlers in Ban Vanghai, XSB 2019 • Afternoon: IAP Resettlement and ADB Senior Social Safeguards specialists meet with self-resettlers in Ban Nonsomboun, Bolikhan District, BKX; travel to Pakxan; overnight in Pakxan • Morning: IAP IP Specialist travels to PHXRA for meetings with village authorities and PAP IP Hmong resettlers Friday, • Morning: IAP Resettlement and IP specialists and ADB Social Team met with 13 December Bolikhan District Governor and Bolikhamxay Province RMU representative in 2019 Bolikhan District • Afternoon: IAP and ADB social teams meet to debrief NNP1PC staff at Pakxan office, about findings from the site visit • Afternoon: IAP Resettlement Specialist and ADB Social Team met with village cluster officials, local authorities, and villagers from three downstream (Zone 4) villages: Thongyai, Thongnoy, & Songkhone, Pakxan District, BKX • IAP and ADB social teams travel to Vientiane; overnight in Vientiane Saturday, • Morning: IAP meeting to discuss priority issues from the site visit 8 June 2019 • Morning: IAP prepared PowerPoint presentations to debrief NNP1PC and ADB • Afternoon: IAP debriefing and presentations to NNP1PC management, ADB, LTA Social Specialist • Overnight in Vientiane Sunday, • Morning: IAP wrap-up meeting to discuss priority issues and report preparation 9 June 2019 • Afternoon: Zola and Songwit travel to home bases

15. The 15th IAP site visit is proposed for 17-24 May 2020.

16. The remainder of this report consists of the following: (i) Part 2: Summary of resettlement and indigenous peoples’ issues, including the IAP’s level of concern and recommendations; and, (ii) Additional comments of the IAP presented in individual technical annexes, namely: • Annex 1: Resettlement issues • Annex 2: Indigenous Peoples’ issues

Part 2: Summary of IAP issues, requirements, and recommendations Summary of Resettlement Issues

Level of No. Reference / Document Issue Status IAP comments and recommendations concern*

R4 Site visits: PHXRA • District, law enforcement, and The IAP is disappointed with the quality of rural High 7-14 December 2014 • Households resettled social welfare officials have made infrastructure at PHXRA: 3-10 May 2015 at PHXRA require significant progress in promoting • The CA requires that the agricultural livelihood 6-13 December 2015 more intensive support social cohesion restoration program includes intensive 11-18 December 2016 agricultural development, including irrigated 4-11 June 2017 for livelihood • NNP1PC has not repaired land allocation and irrigation to ensure that that 12-19 November 2017 restoration to achieve important agricultural infrastructure replacement land reaches production targets. 20-27 May 2018 minimum livelihood before the 2019-2020 dry season, • The CA requires a functioning irrigation system 9-16 December 2018 restoration income namely: agriculture land access including pumps, gates, gauges, and 2-9 June 2019 thresholds roads and irrigation infrastructure; distribution systems for all replacement paddy 8-14 December 2019 • Livelihoods of all and every deadline to complete agricultural lands according with MAF displaced persons of has been missed standards. Facility Agreement (FA) Hatsaykham will be • The irrigation system to support dry • The REDP calls for the re-regulation reservoir Schedule 14, Social to supply water for irrigation for about 8 months Milestones, Item 2 enhanced on net and wet season rice cultivation has during the dry season. The irrigation system for income test of CA, i.e., not been completed 2 years after the paddy rice fields was to have been installed Concession Agreement 120% of average resettlement. Pumps used to by the end of 2016 – more than three years • Annex C, Appendix 3, Table baseline net income provide irrigation water for dry ago. 1-1, b within two (2) years season rice production are • The Livestock Master Plan commits NNP1PC • Annex C, Appendix 7, after commencement inadequate; insufficient water is to provide irrigation for dry season crops Entitlement Matrix, p. C-15, of physical relocation provided to cultivate dry season including watermelon. item 4, Entitlement Policy • Agricultural crops Recommendations • IAP recommends that NNP1PC gives high REDP infrastructure requires • Access roads to agriculture lands priority to completing and repairing all • Chapter 14, Section 14.4.5.1 urgent completion or are poor quality and uncompleted. agricultural infrastructure at PHXRA. • Chapter 14, Section 14.4.6 repair • EAP for Houay Soup irrigation dam • IAP recommends the highest priority be given has not been prepared to completing construction of and Livelihood Master Plan demonstrating effectiveness of the irrigation • Section 4.3, para. 3 system at PHXRA to ensure of PAPs achieve • Section 4.6.5, para. 1 income restoration and rehabilitation. • IAP recommends that NNP1PC prepare an EAP for the Houay Soup irrigation dam.

Level of No. Reference / Document Issue Status IAP comments and recommendations concern*

R5 Site visits: PHXRA • PAP house certificates and land • The irrigation system is not usable as High 7-12 January 2013 • Some resettler titles for home plots have been expected by resettlers causing confrontation 17-24 November 2013 households report handed over between resettlers and former occupants of 4-11 May 2014 7-14 December 2014 confrontation with • PLUP completed and most paddy land at PHXRA. This factor contributes to 3-10 May 2015 previous land land conflicts resolved the inability to achieve income targets. 6-13 December 2015 occupants at PHXRA • Some resettlers continue to report • Hat Gniun local authorities are weak; host 15-22 May 2016 • Outsiders (self- being threatened by previous villagers refuse to accept decisions of the 11-18 December 2016 resettlers) continue to occupants of grazing land and by GRM and continue to confront and threaten 4-11 June 2017 graze large livestock host villagers from Hat Gniun resettlers at PHXRA 12-19 November 2017 at PHXRA • Recommendations 20-28 May 2018 Host villagers threaten to “occupy” 9-16 December 2018 • Enforcement of PLUP their former lands at PHXRA when • IAP recommends that the RMU and district 2-9 June 2019 at PHXRA NNP1 activities are completed and and law enforcement officials continue to 8-14 December 2019 project personnel withdraw from the work with village authorities in PHXRA and Concession Agreement, Annex area. Hat Gniun to resolve resettlers’ complaints C, Appendix 7 about threats from previous land occupants. *Level of concern • Low - action recommended within 6 months • Medium - action recommended within 1-2 months • High - immediate action recommended.

Summary of Resettlement Issues

Reference / Level of No. Issue Status IAP comments and recommendations Document concern*

R7 Site visits: Zone 2UR • Agricultural land access tracks The IAP is disappointed with the quality of rural High 7-12 January 2013 • Livelihood restoration of remain unfinished infrastructure in Zone 2UR and the poor 17-24 November 2013 PAP in three villages in • Failed suspension bridge not technical response to resolve issues: 4-11 May 2014 Zone 2UR requires replaced since April 2018 • Suspension bridge not functioning since April 3-10 May 2015 continued support • Hom District authorities have pre- 2018 Agriculture land access tracks are unfinished 6-13 December 2015 • Management of the Nam empted NNP1PC and XSB RMU by • • Reservoir FSL markers are inaccurate 15-22 May 2016 Ngiep 1 reservoir and granting a fish purchase Recommendations 11-18 December 2016 fisheries remains unclear concession to one individual at 2LR • IAP recommends NNP1PC should 4-11 June 2017 • Agriculture infrastructure fish landing; creates monopsony intensify follow up of reservoir & fisheries 12-19 November 2017 remains unfinished • XSB provincial and Thathom district management regulations. 20-27 May 2018 officials are concerned about 9-16 December 2018 • IAP recommends that NNP1PC give high reservoir & fisheries management priority urgent attention to: completing 8-14 December 2019 rules agriculture land access tracks; replacing • Agriculture land in 2UR is failed suspension bridge; and, definitively intermittently flooded by NNP1 demarcating FSL of the NNP1 reservoir in Reservoir at FSL 2UR. R8 Site visits: Zone 2LR self-resettlers • 7 hold-out households originally The IAP did not visit relocated households in Low 7-12 January 2013 • Some self-resettlers from Namyouak 2LR self- Hom District during the December 2019 site 17-24 November 2013 without agriculture land resettled in June 2018 visit. 4-11 May 2014 and require more Recommendation 7-14 December 2014 • NNP1PC has assisted the 7 3-10 May 2015 intensive follow-up for Namyouak households to legalize • NNP1PC should work with Hom District 6-13 December 2015 sustainable livelihood house registrations officials to assist 4 families from Namyouak 15-22 May 2016 restoration • Some self-resettlers are short of who relocated to at Ban Hom Thad to be 11-18 December 2016 • Many self-resettlers in money and work as day-laborers legalized and to pursue preferred 4-11 June 2017 Hom District returning to • NNP1PC assists with and occupations. 12-19 November 2017 use former lands in monitors self-resettler livelihood • NNP1PC should consider hiring a Hmong 20-27 May 2018 NNP1 watershed, woman consultant to train Hmong women 9-16 December 2018 restoration in the Project Area 2-9 June 2019 including to graze in home economics* aiming to improve 8-14 December 2019 livestock management of household funds.

Concession Agreement, Annex C, Appendix 7 * Level of Concern: • Low - action recommended within 6 months • Medium - action recommended within 1-2 months • High - immediate action recommended

Summary of Resettlement Issues

Reference / Level of No. Issue Status IAP comments and recommendations Document concern*

R11 Site visits: Community Development • The Department of Energy Business Recommendations Low 20-27 May 2018 Fund (CDF) (DEB) of the Ministry of Energy and • The IAP recommends NNP1PC work 9-16 December 2018 Regulations for Mines (MEM) already issued CDF closely with authorities of XSB and BKX to 2-9 June 2019 administering the guidelines for all independent power clarify and finalize guidelines/regulations 8-14 December 2019 Community Development producers (IPP) on 22 August 2019. for the CDF. Fund have not been NNP1PC is still drafting its own • The IAP recommends that funds from the CA, Annex C, endorsed by all project-specific guidelines CDF be allocated to district and village Environmental and Social stakeholders • BKX RMU reports that guidelines for authorities based on village development Obligations, Clause 97 allocation of the CDF have been plans approved by district authorities; to issued to provincial officials support community development activities with ownership by PAP in the Project Area and ensuring alignment to district development plans. * Level of Concern: • Low - action recommended within 6 months • Medium - action recommended within 1-2 months • High - immediate action recommended.

Reference / Level of No. Issue Status IAP comments and recommendations Document concern*

R12 Site visits: Downstream villagers • IAP no longer has access to the • IAP can no longer monitor discharge of water High 12-19 November 2017 (Zone 4) report: NNP1 website to enable monitoring from the Re-regulation Dam into the NNP 20-27 May 2018 • Periodic high & low of daily discharge from the Re- Recommendations 9-16 December 2018 water levels in Nam regulation Dam into the NNP river • IAP recommends that since NNP eflow in 2-9 June 2019 Ngiep river • Nam Ao earthen dam collapsed on ESIA is different from CA, NNP1PC should 8-14 December 2019 • No assessment of 11 September 2017, endangering develop a technical solution to meet potential impacts from downstream villages, fish habitats, approved eflow level of 27 m3/sec, Concession Agreement, release of sediment into and important NNP1PC assets fluctuation levels, and depth. The IAP Annex C, Appendix 7, the Nam Ngiep river was • NNP1PC and MONRE are requests regular updates on this matter. Entitlement Matrix, Item undertaken before collaborating to improve resource • IAP recommends that NNP1PC continues 5, Item 10 flushing sediment from management and development in social, economic, and livelihood NNP1 re-regulating dam Nam Ngiep basin development activities in villages in Zones 4 Concession Agreement, resulting in loss of • The NNP1 EAP has been updated & 5; to offset past or future impacts. Annex C, Environmental common resources by and downstream (Zone 4) village • IAP recommends additional flushing of and Social Obligations, Zone 4 & 5 villages authorities trained to respond to sediment from NNP1 re-regulating dam be Environmental • No IEE is planned if the potential hydropower emergencies preceded by an IEE to identify potential Management System remaining sediment is to • Water measurement gauges have negative impacts on Zones 3, 4, and 5. be released been installed in Zone 4 villages ADB, Social Safeguards • NNP1PC reports that EAP training Policy 2009, SR 1 of district officials and village requirement authorities has been conducted in 10 downstream villages ESMMP-OP Vol III • Additional needs include: alarm Section 7 system with village-wide reach, improvement of roads to designated EIA, Section 7.2.1.9, p. safety zones, and validation of risk 7-30 levels at each safety zone * Level of Concern: • Low - action recommended within 6 months • Medium - action recommended within 1-2 months • High - immediate action recommended

Reference / Level of No. Issue Status IAP comments and recommendations Document concern*

R13 Site visits: Zones 3 and 5 • PLUP is finalized in Zones 3 and 5 • NNP1PC staff has done exceptional work Medium 12-19 November 2017 • Grievances from but not accepted by some host in processing grievances. 20-27 May 2018 Hatsaykham (Zone 3) villagers and HSK resettlers at • Completion of PLUP process at Hat Gniun 9-16 December 2018 self-resettlers and Hat PHXRA and granting of replacement land for land 2-9 June 2019 Gniun (Zone 5) host • Detailed analysis of land use and expropriated at PHXRA are expected to 8-14 December 2019 villagers have been land needs of Hat Gniun host resolve outstanding host village land resolved but solutions villagers is being conducted by issues Concession Agreement, are not accepted by PAP Bolikhan District task force • District officials are aware of HSK self- Part II, Clause 53, item resulting in tension and • HSK self-resettlers who returned to resettlers and Hat Gniun host villagers who g., i, ii; and, items h-p conflict between PHXRA Hat Gniun have constructed houses are encroaching on PHXRA land resettlers and host along the main access road to the • IAP felt threatened by host villagers at Hat Concession Agreement, villagers Powerhouse. District Governor and Gniun during visit in December 2019 and Annex C, Appendix 7, • Some HSK self- working group planning to act will not visit village again without RMU Category 4 PAP, pp. resettlers who arrived in representative 130-131; and, HSK after the cut-off- Entitlement Matrix, Item date have moved to Hat Recommendations 10 Gniun to reclaim land • IAP recommends that NNP1P continues previously used, for to work with PRLRC to resolve all land REDP, Annex B, Section which others have been and compensation grievances at Hat 6.1, General Description compensated Gniun.

* Level of Concern: • Low - action recommended within 6 months • Medium - action recommended within 1-2 months • High - immediate action recommended.

Summary of Indigenous Peoples’ Issues

Reference / IAP comments and Level of No. Issue Status Document recommendations concern*

S1 Site visits: • PAP have operated several livelihood Recommendations 7-12 January 2013 PHXRA, Zone 2UR, activities for a few years, including raising • IAP recommends the Project continues Very High BOMP 17-24 November 2013 poultry, fish, cattle, goats, & frogs; to support livelihood restoration to 4-11 May 2014 • Livelihood programs cultivating vegetables and producing improve PAP quality of life. This 7-14 December 2014 handicrafts. includes providing more budget for 3-10 May 2015 • Agricultural products • PAP complain small budgets for each each livelihood activity to achieve the 6-13 December 2015 and markets activity; e.g., poultry raising: The Project Project’s goals (200% increase in 15-22 May 2016 provides only 20 chickens for each income). Livelihood activities are 11-18 December 2016 interested family; too small for a family. important to the Project’s image. 4-11 June 2016 PAP require about 100 chickens per Project staff should dedicate 12-19 November 2017 family. Another example: For PAP who join themselves and work hard for PAP. . 20-26 May 2018 goat raising: The Project provides only 2 • IAP recommends that the collapsed 9-16 December 2018 goats per hh instead of 10 goats. bridge in Zone 2UR be rebuilt as soon 2-9 June 2019 According to PAP, providing a small as possible because PAP agriculture 8-14 December 2019 number of livestock is a waste of time to lands at Ban Hatsamkhone are located manage. PAP said that since the number across the Nam Ngiep. About 60% of of livestock provided by the Project is PAP agriculture lands at Ban Phiengta small, some PAP prefer to consume rather are located across the Nam Ngiep. than raising them. • Re BOMP in Mouangcham and • Re allocated paddy lands: PAP complain Sopkhon villages, Xaychamphone that 13 hh cannot use paddy lands District, BKX: BOMP focuses on bio- because of a lack of irrigation water; for diversity conservation and value chain which they have waited since 2017. development. IAP recommends the • 30 hh cannot use upland garden lands Project support livelihood activities located at a higher level where water does requested by villagers under the not reach. Community Development Plan (CDP) • PAP requested the Project advise on cash currently being developed, that could crops suitable for garden lands without include: piped water supply for paddy water; or, replace garden lands with lower lands; village livestock fund; water level land with access to water. supply; meeting hall (for Mouangcham only); elderly fund. * Level of Concern: • Low - action recommended within 6 months • Medium - action recommended within 1-2 months • High/Very high - immediate action recommended

Summary of Indigenous Peoples’ Issues

Reference / IAP comments and Level of No. Issue Status Document recommendations concern*

S4 Site visits: PHXRA, Zone 2UR, • PHXRA: 5-6 PAP IP Hmong expressed Recommendations 7-12 January 2013 BOMP concern about rice security for family • IAP recommends that the Project Very High 17-24 November 2013 Food (rice) security is the consumption; paddy rice cannot be identify PAP IP Hmong in PHXRA 4-11 May 2014 most important issue for cultivated due to lack of water (total of 13 who do not have adequate rice for 7-14 December 2014 IP Hmong at all sites. households) family consumption (e.g., Mr. Blong 3-10 May 2015 Rice is the staple food for • IP Hmong have large families Xiong and Mr. Somjit). 6-13 December 2015 the IP Hmong and Phong • 30 households cannot use upland garden • IAP recommends the Project identify 15-22 May 2016 lands because they are located at a high IP Hmong (13 hh) in PHXRA who 11-18 December 2016 level with no water. They receive only 50% cannot grow rice on their paddy 4-11 June 2017 rice support from the Project. PAP have lands; and, to identify the 30 hh of 12-19 November 2017 requested an extension of rice support for PAP IP Hmong in PHXRA who 20-26 May 2018 another 3 years (particularly, the 13 hh cannot use garden lands for lack of 9-16 December 2018 who cannot grow rice on paddy lands). water; to discuss solutions for a 2-9 June 2019 • PAP mentioned that there are 2 hh with better rice support program. 8-14 December 2019 insufficient rice for consumption, namely: • For the Phong IP in Mouangcham Mr. Blong Xiong (13 children) and Mr. Village and Sopkhon Village, Somjit (originally from Hatsaykham). Xaychamphone District, the IAP • Zone 2UR: Ban Thaviengxay, Thathom recommends that the Project support District self-resettlers: 7 PAP IP Hmong hh a piped water system to bring water have adequate rice; 6 of 7 hh bought to paddy lands as part of the CDP. paddy, garden, & grazing lands. Rice yields are about 5 tons per ha, higher than yields in old village, Houay Pamom (3t/ha). • BOMP villages: In Mouangcham and Sopkhon Villages, Xaychamphone District, BKX, rice is the staple food for Phong IP, who grow upland and paddy rice. Insects sometimes destroy their crops, resulting in insufficient rice for consumption. Rice security is the most important issue. The Phong IP requested Project support for piped water for irrigating paddy land. * Level of Concern: • Low - action recommended within 6 months • Medium - action recommended within 1-2 months • High/Very high - immediate action recommended

Summary of Indigenous Peoples’ Issues

Reference / IAP comments and Level of No. Issue Status Document recommendations concern*

S5 Site visits: Dust in the villages • The 14th site visit was undertaken in the dry Recommendation High 7-12 January 2013 season and dust was a serious problem at The IAP recommends that the Project and 17-24 November 2013 the sites, especially at PHXRA. GOL support paved roads at PHXRA. 4-11 May 2014 • PAP IP Hmong complained about dust and 7-14 December 2014 they have requested paved roads at 3-10 May 2015 PHXRA. 6-13 December 2015 • IAP observed that household gardens, 15-22 May 2016 village food shops, grocery stores, and 11-18 December 2016 students who commute to the village school 4-11 June 2017 are struggling with the dust problem at 12-19 November 2017 PHXRA. 20-26 May 2018 9-16 December 2018 2-9 June 2019 8-14 December 2019 S6 Site visits: Drug abuse, prostitution, 14th Site visit: these issues were not 7-12 January 2013 crime, and illegal discussed by the IAP IP Specialist at Zone 3. 17-24 November 2013 activities in Zone 3 4-11 May 2014 7-14 December 2014 3-10 May 2015 6-13 December 2015 15-22 May 2016 11-18 December 2016 4-11 June 2017 12-19 November 2017 20-26 May 2018 9-16 December 2018 2-9 June 2019 8-14 December 2019 * Level of Concern: • Low - action recommended within 6 months • Medium - action recommended within 1-2 months • High/Very high - immediate action recommended

Summary of Indigenous Peoples’ Issues

Reference / IAP comments and Level of No. Issue Status Document recommendations concern*

S8 Site visits: Phouhomxay IAP IP Specialist had a formal meeting with 20 Recommendations Very high 7-12 January 2013 Resettlement Area PAP IP Hmong at the village hall. The village • IAP strongly recommends that Lao 17-24 November 2013 headman, deputy headman, and PAP Laws and the CA be strictly enforced 4-11 May 2014 participated. The younger generation are regarding land disputes in PHXRA. 7-14 December 2014 pleased to resettle here; they believe they will • IAP recommends the Project 3-10 May 2015 have a better future. The Project supports continue to support livelihood 6-13 December 2015 good schooling, healthcare, and a village hall, restoration activities in PHXRA to 15-22 May 2016 market, and bus station, infrastructure, and improve PAP quality of life. 11-18 December 2016 livelihood programs. PHXRA is located near • IAP recommends that social unity 4-11 June 2017 the city, making lives better, easier, more (capital/ cohesion) should be 12-19 November 2017 comfortable, and modern. Social unity supported by NNP1PC and GOL. The 20-26 May 2018 (capital/cohesion) are improved. Youth Group of PHXRA (Mr. Dao 9-16 December 2018 Several issues remain, specifically; Yang is a leader group) requested 8-14 December 2019 i) Land disputes continue: 3 PAP (Mr. Xia the Project to support 6 tents and Mai Xiong, Mr. Leng Xiong, and Mr. Pa chairs for PHXRA. The tents and Lau) formerly from Hatsaykham, and Mr. chairs will be used to facilitate public Kongkham (his wife is Miss Pim) of Hat events in PHXRA (e.g., youth soccer Giun, still claim old lands in PHXRA. The games, the Hmong IP New Year new owners of allocated/titled lands are Festival, wedding ceremonies, etc.). Mr. Blia Sue Xiong, Mr. Sue Yang, Mr. La Yang, Mr. Wang Yeng Yang, and Mr. Dao Yang. They are threatened not to use the lands. This is a crucial concern of these PAP. Some of their crops are destroyed by the old owners of the lands. ii) PAP complained about access roads to their agriculture lands: roads are too small/narrow; roads and canals have encroached on PAP lands without compensation.

* Level of Concern: • Low - action recommended within 6 months • Medium - action recommended within 1-2 months • High/Very high - immediate action recommended

Summary of Indigenous Peoples’ Issues

Reference / IAP comments and Level of No. Issue Status Document recommendations concern*

S8 Phouhomxay (iii) PAP complained about contaminated water (continued) Resettlement Area supply: 95% drink contaminated water. The wealthy 5% buy drinking water. PAP are waiting for water supply from boreholes promised by the Project. (iv) Self-resttlers (originally from Hatsaykham, Zone 3, who moved to Ban Nonsomboun, Bolikhan District, BKX) continue to graze more than 100 head of cattle at PHXRA; particularly in the watershed. PAP state that the cattle cause problems: e.g., destroy crops, destroy watershed, pollute water sources, etc. (v) 30 PAP hh with garden lands cannot grow crops on the land since lands are located at a high level, without water, and with too many tree stumps. 8.1 Site visits: Self-resettlement • 7 PAP IP self-resettlers in Ban A good IP Hmong example in this village 7-12 January 2013 Thaviengxay, Zone 2UR, Thathom District, is Mr. Sia Sue Xiong who received 17-24 November 2013 XSB moved from Ban Houay Pamom, LAK900 mil. compensation; spending 4-11 May 2014 Zone 2LR indicated both satisfaction and LAK200 mil. to buy agriculture land and 7-14 December 2014 difficulty of many PAP in this village. build a house. He retains LAK700 mil. in 3-10 May 2015 • 6 bought paddy land, garden land, and his bank account. 6-13 December 2015 grazing land Recommendations 15-22 May 2016 • 1 hh did not buy any agriculture land yet; • IAP recommends the Project work 11-18 December 2016 he is still looking. He makes money from closely with Thathom District officials 4-11 June 2017 growing maize in Nonghat District, XSB. and PAP to obtain household 12-18 November 2017 • The 7 hh stated that they were satisfied to registration for self=resettlers. 20-26 May 2018 resettle in this village. • IAP recommends the Project intensify 10-16 December 2018 livelihood restoration activities for self- 2-8 June 2019 resettlers. 8-14 December 2019 * Level of Concern: • Low - action recommended within 6 months • Medium - action recommended within 1-2 months • High/Very high - immediate action recommended

Summary of Indigenous Peoples’ Issues

Reference / IAP comments and Level of No. Issue Status Document recommendations concern*

S9 Site visits: 7 hold-out hh of PAP The IAP Hmong IP specialist did not have a Recommendations: High 7-12 January 2013 originally from Ban chance to visit the 7 households. The IAP recommends that the Project 17-24 November 2013 Namyouak, Zone 2LR, IAP was informed that the 7 households had and GOL treat the PAP 7 hh who moved 4-11 May 2014 who refused to join the moved to these villages: dto Thathom and Hom, like other self- 7-14 December 2014 Project • 2 households moved to Ban Vanghai, resettling PAP, especially the IP Hmong 3-10 May 2015 Zone 2UR, Thathom District, XSB women who have least adaptive capacity 6-13 December 2015 • 4 households moved to Ban Homthat, and uneducated persons and the children 15-22 May 2016 Zone 2LR, Hom District, XSB who are more vulnerable. During the next 11-18 December 2016 • 1 household moved to Anuvong District, ISP site visit (the 15th), the IAP would 4-11 June 2017 XSB like to visit these 7 households in each 12-19 November 2017 village. 20-26 May 2018 9-16 December 2018 S10 11-18 December 2016 Collaboration with GOL • IAP IP Specialist had 2 formal meetings: a Recommendation Very High 4-11 June 2017 meeting with the Governor of Bolikhan IAP recommends that the Project 12-18 November 2017 District and the Head of RMU of continue to build collaboration and work 20-26 May 2018 Bolikhamxay Province, and a meeting with closely with officials of the 2 provinces. 9-16 December 2018 the Governor of Thathom District with 2-9 June 2019 Thathom District Authorities, Xaysomboun 8-14 December 2019 Province. • IAP Hmong IP Specialist had an informal meeting with Deputy Governor of Xaychamphone District and district officials, BKX. • IAP IP Specialist observed that collaboration between the NNP1PC and GOL in the 2 provinces are sufficient and satisfactory. According to the GOL of the 2 provinces, they are dedicated to work for the PAP and fully support the Project. * Level of Concern: • Low - action recommended within 6 months • Medium - action recommended within 1-2 months • High/Very high - immediate action recommended

Summary of Social Issues

Reference / Level of No. Issue Status IAP comments and recommendations Document concern*

S13 Site visits: Community • BOMP: Community participation has Recommendations Very high 6-14 Dec. 2015 participation improved as can be seen from the • IAP recommends that the Project continue to 15-22 May 2016 BOMP in Mouangcham Village and encourage villagers to participate in all activities 11-18 December 2016 4-11 June 2017 Sopkhon Village, Xaichamphone and aspects with the Project. 12-19 November 2017 District, BKX. IAP observed Phong in 2 • In Thaviengxay, Zone 2UR, Project staff should 20-26 May 2018 villages participated in every activity make more visits to PAP IP Hmong. Project staff 9-16 December 2018 provided by the Project and GOL, should work closely with Thathom District 2-9 June 2019 indicating their support for livelihood officials and IP Hmong 7 households (8 families) 8-14 December 2019 restoration activities. relocated from Namyouak to finalize household • PHXRA: During the 14th site visit there registration papers. PAP will then be able to was a training for trainers activity at access social services from the GOL, including PHXRA in which many PAP school fees for children, healthcare services, participated. livelihood programs and vocational training, etc. • Zone 2UR: In Thaviengxay, Thathom District, Project staff mentioned that this year he had visited the self-resettlers IP Hmong in Thaviengxay Village only 2 times. IP Hmong in the village cannot fully participate with the Project, especially in livelihood activities and legal household registration. S14 11-18 December 2016 Grievance issues Grievance issues are being resolved with Recommendation Very high 4-11 June 2017 good progress. The IAP recommends that grievances continue to 12-19 November 2017 be resolved as normal. 20-26 May 2018 9-16 December 2018 2-9 June 2019 8-14 December 2019 * Level of Concern: • Low - action recommended within 6 months • Medium - action recommended within 1-2 months • High/Very high - immediate action recommended

Summary of Social Issues

Reference / Level of No. Issue Status IAP comments and recommendations Document concern*

S17 11-18 December 2016 PAP petitions • Zone 2UR: Regarding 7 households (8 Recommendations Very high 4-11 June 2017 families) in Thaviengxay who moved • IAP IP Specialist recommends that Project staff 12-19 November 2017 from Houapamo Village, Zone 2LR: in Zone 2UR, Thaviengxay authorities, and IP 20-26 May 2018 They cannot access public social Hmong 7 households (8 families) relocated 9-16 December 2018 services, particularly school fees. from Namyouak concentrate and work closely 2-9 June 2019 These PAP pay LAK300,000 per child with Thathom District officials to finalize 8-14 December 2019 to enroll in the village school while household registration papers in the village for other villagers pay nothing. According the PAP as soon as possible. to PAP, this amount is too much and • PHXRA: Although IAP recognizes the Project is unjust. 44 PAP cannot access dedicated and has worked hard and many PAP livelihood programs from the Project have appreciated the Project, IAP recommends since they do not have household Project staff should work harder and closely registration in Thaviengxay. PAP with PAP, village authorizes, and GOL officials. mentioned that Project staff took them to the district office twice to apply for household registration in the village. However, IP Hmong 7 households (8 families) have not received household registration papers. • PHXRA: The village headman and 3-4 PAP complained that the Project staff are not dedicated and do not work hard to solve issues in the village. * Level of Concern: • Low - action recommended within 6 months • Medium - action recommended within 1-2 months • High/Very high - immediate action recommended

Summary of Social Issues

Reference / Level of No. Issue Status IAP comments and recommendations Document concern*

S18 Site visits: Fishing in the The IAP did not have a chance to visit the 7-12 January 2013 reservoir (Zone reservoir. 17-24 November 2013 2LR) 4-11 May 2014 7-14 December 2014 3-10 May 2015 6-13 December 2015 15-22 May 2016 11-18 December 2016 4-11 June 2017 12-18 November 2017 20-26 May 2018 S19 & S20 20-26 May 2018 Phong IP in Who are the Phong Indigenous People? The 2 villages are far from the district (the road Very high combined 9-16 December 2018 Mouangcham Phong IP have other names: Pong, from Pakxan to Viengthong to Mouangcham is 363 8-14 December 2019 Village and Poong, Phoong, KhaPhong, TayPhong, km. IAP IP Specialist spent 8.5 hours to reach the Sopkhone Village, Tai Phong, Faen, Lan, Hard, Puang, Tay villages); the road to the villages is bad (the bad Xaychampone Cham, Pai, Ok, and O Dou. Phong are road from Viengthong District to Mouangcham is District and the considered indigenous people in Laos and 113 km.). Since the IAP spent much time travelling BOMP Vietnam; they are ancient people in these to the villages, the IAP had only one hour to meet countries. They are scattered, inhabiting and discuss with the Phong IP in each village. the area for centuries. In Laos, Phong are classified into 3 sub-groups by their Recommendations distinct spoken languages. Linguists IAP recommends that the Project support livelihood classify Phong into Austro-Asiatic linguistic activities for Phong IP in Mouangcham and family (Mon-Khmer group and Vietic Sopkhone to improve their quality of life. Phong IP branch). In Laos, the Phong currently are in the 2 villages have requested these activities to in scattered villages over a vast, remote, be included in NNP1’s CD funding in the future: mountainous area, from Houa Phanh (1) Piped water into paddy lands Province in NE Laos, south through Xiang (2) Village Livestock Fund Khouang Province down to the southern (3) Village Water Supply part of Bolikhamxay Province of central (4) Village Hall (for Mouangcham only) Laos. Total population of Phong IP in Laos (5) Village Elderly Fund is 26,314 persons (13,143 females) (2005). * Level of Concern: • Low - action recommended within 6 months • Medium - action recommended within 1-2 months • High/Very high - immediate action recommended

Summary of Social Issues

Reference / Level of No. Issue Status IAP comments and recommendations Document concern*

S19 20-26 May 2018 Phong IP in • Phong in Mouangcham Village, (continued) 9-16 December 2018 Meuangcham Xaychamphone, District, BKX grouped 8-14 December 2019 Village and together as a village in 2009 (formerly- Sopkhone Village, the village name was called Sop Hia Xaychampone Village). Mouangcham is surrounded by District and the forest and mountains. There are 83 BOMP households (97 families) with 515 persons (252 Females). Phong in the village look like Lao People. They speak Lao fluently and wear Lao costumes. Phong in Mouangcham are animists and Buddhists. They are farmers with about 38 ha of paddy land and 9 ha of garden land. They grow rice, vegetables, & raise cattle and poultry. Glutinous rice is their staple food. • The Phong in Sopkhon Village, Xaychamphone, District, BKX grouped together as a village in 2010 (formerly – they inhabited an area 700 m away). Sopkhon is surrounded by forest and mountains and is comprised of 60 hh with 342 persons (154 Females). Phong in the village look like Lao People. They speak Lao fluently and wear Lao costumes. The Phong in Sopkhon Village are animists. * Level of Concern: • Low - action recommended within 6 months • Medium - action recommended within 1-2 months • High/Very high - immediate action recommended

Summary of Social Issues

Reference / Level of No. Issue Status IAP comments and recommendations Document concern*

S19 20-26 May 2018 Phong IP in • The BOMP (Biodiversity Offset Recommendation (continued) 9-16 December 2018 Meuangcham Management Plan) and the Phong IAP supports the LTA recommendations as follows: 8-14 December 2019 Village and IP in Mouangcham and Sopkhone • In preparing the Community Development Plan (CDP), Sopkhone Village, Villages: Phong IP in Mouangcham the following actions should be considered: i) Delineate and mark the sacred sites and Xaychampone and Sopkhon Villages are aware of the conservation areas; District and the BOMP. They understand the ii) Ensure consistency of resource use taboos with BOMP importance of wild animals, fish, forest, area regulations; trees, water, land, and forest products. iii) Ensure protection and continuous access to They recognize the disappearance of village food range; and, wild animals (deer, wild boar, squirrels, iv) Work for provision of irrigation and water supply birds, etc.). Phong IP often go hunting, and livestock production support. fishing and collecting wild vegetables v) Expansion of rice land should be considered eventually. and fruit. A decade ago, many bigger wild animals disappeared from the The CDP needs to be prioritized and completed as soon forest around the village: deer, bears, as possible. wild boars, monkeys, etc. They want these wild animals to come back again. Phong know about medicinal herbs from the forest around their villages. * Level of Concern: • Low - action recommended within 6 months • Medium - action recommended within 1-2 months • High/Very high - immediate action recommended

Background Annex 1: Resettlement Issues 1. The reservoir of the Nam Ngiep 1 hydropower project (NNP1) has inundated the houses and agricultural lands of five villages and impacted an additional three villages and one hamlet as follows: • Four villages in the Lower Section of the Reservoir (Zone 2LR), Xaysomboun Province; • Three villages in the Upper Section of the Reservoir (Zone 2UR) in Xaysomboun Province; and, • One hamlet (Hatsaykham) in the former Construction Area in Bolikhamxay Province (Zone 3).

2. From villages in Zone 2LR, 479 households were resettled; and, from Zone 3, 38 households were resettled; plus, eight split households from both zones. Seven hold-out households from Zone 2LR were successfully relocated in Anouvong, Hom, and Thathom districts in Xaysomboun Province.

3. The GOL and CA designated resettlement site is an area of approximately 2,393 ha called Ban Phouhomxay (formerly Houay Soup) Resettlement Area (PHXRA) (Zone 5), designated in the Concession Agreement (CA); along with some 3,715 ha in an adjacent protection forest area that will be managed through an integrated Watershed Management Plan. PHXRA is located on the right bank of the Nam Ngiep river and previously was under the administrative jurisdiction of Ban Hat Gniun host village, Bolikhan District, Bolikhamxay Province. Ban Phouhomxay is now a village independent from Ban Hat Gniun, with all legal local administrative units.

4. Resettlement was the responsibility of NNP1PC’s Environment and Social Division (ESD), specifically the Social Management Office (SMO). The succession of ESD directors generally have interacted well with the Provincial Resettlement Management and Living Condition Restoration Committee (PRLRC) (i.e., Resettlement Committee), as well as provincial level resettlement management units (RMUs) and District Coordinating Committees (DCCs) throughout the resettlement process. ESD and SMO personnel have collaborated with GOL officials in Xaysomboun and Bolikhamxay provinces to organize and facilitate resettlement and self-resettlement consistent with ADB safeguards and other international standards.

5. NNP1PC reported to the IAP that resettlement from Zone 2LR and relocation of eight households in Zone 2UR was undertaken in 2018 and completed in 2019: from 2LR, 51 + 7 split PAP households, 58 total; and, from Hatsaykham, Zone 3, 20 + 4 split households, 24 total; 82 households in total were resettled at PHXRA.

6. NNP1PC reported to the IAP that all resettlement infrastructure was completed at PHXRA and in Zone 2UR; except for completion of agriculture land access roads and a damaged suspension bridge in 2UR. The IAP has observed that the infrastructure is, however, of poor quality. As of December 2019, the following infrastructure items remain outstanding: • Zone 2UR: A failed suspension bridge at the upstream reaches of the Nam Ngiep 1 reservoir, over the former Nam Ngiep River; and, incomplete access roads to agriculture lands;

• Zone 3 / PHXRA: An irrigation water transfer conduit connecting the NNP1 Re- regulation Reservoir to the Houay Soup Irrigation Reservoir; and, on-farm water delivery canals for irrigating resettler rice fields.

7. NNP1PC earlier reported to the IAP that all grievances from zones 2LR, 2UR, 3, 4, and 5, had been resolved through the project grievance resolution mechanism (GRM). However: • PAP in Ban Hat Gniun remain generally unhappy with decisions of the grievance committees. Each time the IAP visits the village for a consultation, PAP bring up similar grievances and express dissatisfaction with official decisions. In most cases, PAP have been paid and have signed having received compensation. NNP1PC: (i) has paid compensation approved by officials participating in the GRM; (ii) is aware of the discontent; and, (iii) has indicated its readiness to further assist the RMU and district officials in any subsequent appeals of grievance decisions. • The situation in Ban Hat Gniun requires closer monitoring in light of (i) recent damage to NNP1PC assets at the Main Dam and Re-regulating Dam sites reported to the IAP, with Ban Hat Gniun host village being the closest village to both dams; and, (ii) threats expressed by Hat Gniun villagers to the IAP during consultations to harm PHXRA resettlers if dissatisfaction with grievance decisions are not addressed. • Additional grievances were filed in 2019, and 122 cases remain pending; resulting from the Nam Ngiep 1 Reservoir reaching full supply level (FSL), at 320 m above mean sea level (MSL) and PAP assets in Zone 2UR being flooded. Two additional grievances were filed from downstream PAP as a result of the high level of discharge from the Re- regulating Dam in January 2019.

8. Otherwise, social development and livelihood restoration programs generally are operating well. In addition, NNP1PC SMO is operating a livelihood restoration program and conducting socio-economic monitoring for self-resettlers in the Project Influence Area.

Supplementary Comments on Selected Resettlement Issues1

Supplementary comments related to Zone 2LR, Xaysomboun Province

9. Issue: The IAP continues to be concerned that Nam Ngiep 1 Reservoir fisheries will not be managed to maximize benefits for self-resettlers and host villagers. Fisheries management regulations remain under consideration, while one concessionaire authorized by Hom District officials continues to operate a monopsony fish market at the reservoir in Zone 2LR. As the IAP has pointed out previously, fisheries management is related to the bigger issue of management of the Nam Ngiep 1 Reservoir; specifically claiming and developing islands and drawdown zones. (Issue R7)

Recommendations • A Reservoir Fisheries Co-Management Plan should be completed in a participatory manner as soon as possible and submitted for approval by GOL authorities and disseminated to PAP.

1 The letters and numbers in parenthesis after each issue (e.g., R1) refer to the item number on the issues, requirements, and recommendations matrix in Part 2.

Supplementary comments related to Phouhomxay Resettlement Area, Bolikhan District, Bolikhamxay Province

10. Issue: Although PLUP has been completed at PHXRA, resettlers continue to report and self-resettlers confirm that cattle belonging to self-resettlers are grazed at PHXRA. Resettlers continue to be challenged by (i) previous land occupants from Hatsaykham who also have been resettled at PHXRA; (ii) Hatsaykham self-resettlers who continue to graze their cattle at PHXRA; and, (iii) PAP from Hat Gniun host village who have traditionally used the area for upland and paddy cultivation, and grazing cattle. The IAP reiterates that resettlers at PHXRA need to feel confident about being able to practice their livelihood peacefully, without feeling threatened, and with hope for better lives for their children. (Issue R5)

11. The IAP is disappointed that NNP1PC has not resolved infrastructure issues at PHXRA. Specifically, the following issues require urgent attention during the 2019-2020 dry season: flooding and erosion of agricultural land access tracks and the poor quality of some irrigation infrastructure; rock excavation in the irrigation water conduit between the Re- regulation Reservoir and the Houay Soup Irrigation Reservoir; construction of the main irrigation canal; extension of on-farm canals serving paddy fields; and, improvement of the water supply system. The IAP understands that the rehabilitation of agricultural infrastructure is underway. However, because of the observable poor quality of agriculture infrastructure, the IAP questions the quality and safety of the Houay Soup Dam at PHXRA. The dam therefore should be inspected for dam safety and an Emergency Action Plan (EAP) prepared for areas below the irrigation dam. (Issues R4 and R5)

Recommendations • IAP recommends that NNP1PC gives the highest priority to repairing all agricultural infrastructure at PHXRA. The IAP will consider any further delays as negligence and non- compliance to the Concession Agreement. • IAP recommends that an EAP for the PHXRA Irrigation Reservoir Dam be prepared and reviewed by the IAP. • IAP recommends that district and law enforcement officials work with village authorities to respond to resettlers’ complaints about being threatened by previous land occupants.

Supplementary comments on impacts on host villages (Zones 3 and 5)

12. Issues: The IAP understands that the PLUP process has been completed in Zones 3 and 5, including at Ban Hat Gniun. Land allocation, land titling, land accessibility, and other land related issues have been addressed, but in fact several land issues remain unresolved. Specific outstanding issues include the following: i) PAP claim they have not been paid sufficient compensation for land expropriated for construction of the dam, based on the unit compensation rate decreed by the Xaysomboun PRMLCRC (or PRLRC). The IAP has been informed that this issue has been resolved through the GRM. However, PAP in Hat Gniun host village are adamant that even though they have received and signed for compensation payments, they have been deceived. The IAP considers this a serious situation that requires attention by both NNP1PC, provincial and district officials, and if necessary, police or military forces. Ban Hat Gniun PAP have threatened violence against occupants at PHXRA. The IAP is uncomfortable attending meetings in Ban Hat Gniun because of the aggressive attitude of villagers and will visit the village during the next site visit only if accompanied by a representative of the RMU or the Bolikhan District Governor. ii) Some PAP claim recently to have lost access to their agriculture land adjacent to the Re-regulation Dam and adjacent powerhouse; wherein the GOL has established a safety buffer zone around both structures. PAP claim not to have been consulted or

compensated for expropriated land. The IAP understands that the RMU and district officials are resolving this issue through the PLUP process . (Issue R13)

Recommendations • IAP recommends that provincial and district officials consult with Ban Hat Gniun villagers to put an end to the outstanding dissatisfaction.

Resettlement and Social Photos

Phouhomxay Resettlement Area: Water provided by water pumps operated by Hat Gniun host village, Zone 5:The IAP has met NNP1PC for resettlers at PHXRA to cultivate irrigated dry season crops. More than two with villagers at Ban Hat Gniun host village during years following resettlement at PHXRA and the irrigation system promised to resttlers almost every site visit since 2013. Land issues is not operating. Resettlers hesitate to cultivate rice, fearing insufficient water. dominate usually tense PAP consultations. PAP refuse to accept decisions of the GRM.

Zone 2UR: PAP have plans to expand livelihood activities across the upstream reaches Self-resettlers at Vang Hai, Thathom District, of the Nam Ngiep 1 reservoir, the former Nam Ngiep river; but, are constrained by Xaysomboun Province: Self-resettlers who failure of the NNP1PC suspension bridge and lack of access roads to agriculture lands. requested and received livelihood restoration Left and middle photos: Farmer expressing displeasure about difficulties raising cattle assistance from NNP1PC. Left: Caged poultry and difficult access to his upland agriculture and grazing land across the Nam Ngiep project; Right: Mixed farming: fishpond, duck river. Right photo: Two women farmers explaining how their plans to expand pig raising raising, home vegetable garden, improved rice operations across the Nam Ngiep 1 Reservoir are impeded by the lack of access to varieties. upland areas due to failure of the suspension bridge and unfinished access roads to agriculture lands.

Summary of Indigenous Peoples Specialist’s Inputs Annex 2: Indigenous People’s Issues 1. Introduction

1. This is a progress report based on the 14th Site visit of the IAP to the Nam Ngiep 1 Hydropower Project (NNP1PC). The site visit took place during 8-14 December 2019. As the IAP expert on Indigenous People (IP), I visited PAP as follows;

2. In Xaychamphone District Bolikhamxay Province: Regarding the BOMP (Biodiversity Offset Management Plan), the IAP visited the Phong indigenous people (IP) in Mouangcham Village and Sopkhon Village and the IAP had formal meetings with about 60 Phong IP at the headman’s house (Mouangcham Village) and in the village hall (Sopkhon Village).

3. In Zone 2UR: The IAP visited PAP self-resettlers (7 households with 8 families who moved from Ban Houay Pamom, Zone 2LR) in Thaviengxay Village, Thathom District, Xaysomboun Province. The IAP had an informal meeting with about 15 PAP (Hmong IP) regarding the Livelihood program and other relevant issues.

4. In Thathom District, Xaysomboun Province, the IAP had a formal meeting with District Governor (Mr. Pimpa Neelavong) and district officials at the Thathom District Office.

5. In Zone 3: Phouhomxay Resettlement Area (PHXRA), formerly Houay Soup Resettlement Area (HSRA), Bolikhan District, Bolikhamxay Province, the IAP had a formal meeting with about 20 PAP IP Hmong (both village authorities and villagers) both men and women in the village hall.

6. In Bolikhan District, Bolikhamxay Province, the IAP had a formal meeting with District Governor (Mr. Boon Sorn) and the Head of RMU of Bolikhamxay Province, (Mr. Khamsing Sayphouvong) at the Bolikhan District Office.

7. During the 14th site visit, approximately 130 PAPs were met by the IAP IP Specialist, in both formal and informal meetings. All relevant issues were discussed and exchanged to find the best solutions together with other participants, namely: GOL officials, the ADB Social Team, NNP1PC staff, village committees, village authorities and PAP.

2. Meetings

8. The IAP had ten (10) meetings with higher levels of the GOL, villages authorities, villagers, NNP1PC staff, as follows:

• 9 December 2019: NNP1PC Briefing meeting in NNP1PC Vientiane Office, Vientiane Capital. • 10 December 2019: A formal meeting with Mouangcham Village authorities and villagers, Xaychamphone District, Bolikhamxay Province. • 10 December 2019: A formal meeting with Sopkhon Village authorities, villagers, Xaychamphone District, Bolikhamxay Province.

• 11 December 2019: A formal meeting with the PAP (7 households with 8 families) who moved from Houay Pamom Village, Zone 2LR, in Thaviengxay Village, Zone 2UR, Thathom District, Xaysomboun Province. • 11 December 2019: A formal meeting with Thathom District Governor and Thathom District Authorities in Thathom District Office, Xaysomboun Province. • 12 December 2019: A formal meeting with the village authorities and the PAP IP Hmong of Phouhomxay Village (formerly – Houay Soup Resettlement Area - HSRA), in the village hall, Zone 3, Bolikhan District, Bolikhamxay Province. • 12 December 2019: A formal meeting with the village headmen and PAP of downstream villages (Thungnoi Village and Thungyai Village), Zone 5, in Thungnoi Village hall, Bolikhan District, Bolikhamxay Province. • 13 December 2019: A formal meeting with Bolikhan District Governor (Mr.BoonSorn) and head of RMU (Mr. Khamsing Sayphouvong) of Bolikhamxay Province in Bolikhan District Office, Bolikhamxay Province. • 13 December 2019: a formal wrap up meeting with ADB and NNP1PC staff at ESD PKS meeting room, Pakxan District, Bolikhamxay Province. • 14 December 2019: Debriefing presentation meeting in NNP1PC Vientiane Office, Vientiane Capital.

3. Schedules

9. During this 14th Site visit, the IAP had both formal meetings and informal meetings with the PAP, village authorities, GOL officials, and NNP1PC staff to discuss, exchange, interview, and observe many cultural and social aspects of the NNP1PC Project and Programs [particularly, the BOMP, the Phong IP’s cultural aspects (ways of life) and Livelihood programs]. The IAP IP Expert’s schedule was as follows:

• 7 December 2019 - Arrival Vientiane Capital, Lao PDR; reviewed related NNP1PC documents. • 8 December 2019 - Reviewed related NNP1PC documents and had a pre-meeting with the - IAP members for debriefing meeting and Site visit at Khamvongsa Hotel, Vientiane Capital. • 9 December 2019 - NNP1PC briefing for the IAP, ADB, and LTA by the Managing Director and staff at NNP1PC Head Office in Vientiane Capital. • 10 December 2019 - Visited and observed the Phong IP in Mouangcham Village and Sopkhon Village, Xaychamphone District, Bolikhamxay Province, and had 2 formal meetings with village authorities and villagers in the villages hall regarding BOMP (Biodiversity Offset Management Plan). • 11 December 2019 - A formal meeting with Thathom District Governor (Mr. Pimpa Neelavong) and Thathom District Authorities at Thathom District Office, Xaysomboun Province. - A formal meeting with the PAP IP Hmong (7 households with 8 families) who moved from Huoay Pamom Village, Zone 2LR, in Thaviengxay Village, Zone 2UR, Thathom District, Xaysomboun Province. • 12 December 2019 - A formal meeting with the village authorities and about 20 PAP IP Hmong resettlers of PHXRA, Bolikhan District, Bolikhamxay Province.

• 13 December 2019 - A formal meeting with Bolikhan District Governor (Mr. Boon Sorn) and the Head of RMU (Mr. Khamsing Sayphouvong) of Bolikhamxay Province in Bolikhan District Office, Bolikhamxay Province - Meeting with the NNP1PC staff, at NNP1PC Office, in Pakxan District, Bolikhamxay Province. • 14 December 2019 - Debriefing for the NNP1PC Managing Director and his staff to present the IAP fact findings for discussion at the NNP1PC Head Office, Vientiane Capital. - Report preparation and IAP meeting at Khamvongsa Hotel, Vientiane Capital. • 15 December2019 - Returning to Bangkok and Chiangmai Province, Thailand.

4. Summary of IP and social issues:

10. The main PAP IP (the Phong IP and the Hmong IP) issues and problems include the followings: • The BOMP and the Phong IP in Mouangcham and Sopkhon Villages, Xaychamphone District, Bolikhamxay Province. • Land use, land dispute, and infrastructure issues in Phouhomxay Village, Zone 3, Bolikhan District, Bolikhamxay Province and in Zone 2UR, Thathom District Xaysomboun Province. • The Progress of Livelihood programs. • Community participation. • Cooperation and collaboration between the NNP1PC and the GOL.

5. Requirements and recommendations

11. The IAP IP Expert has provided requirements and recommendations in the matrix presented in Part 2 that should be taken into consideration by NNP1PC, GOL, and ADB.

6. The next IAP Site visit:

12. The ADB has recommended that the IP Specialist join the next IAP site visit after the CDP for Phong villages in the BOMP area has been finalized and is being implemented. During that visit the IPA IP Specialist also will focus on livelihood activities, land use, and land disputes in PHXRA, infrastructure in Zone 2UR and PHXRA, adjustment of PAP IP Hmong to new locations, drug abuse, collaboration between the NNP1PC and GOL, and grievance issues. During the Site visit, I would like to request for meetings and visiting, as follows: • Meet the Governor of Xaysomboun Province, Head of RMU of Xaysomboun Province, Governor of Hom District, and Governor of Thathom District. • Meet the Governor of Bolikhamxay Province, Head of RMU of Bolikhamxay Province, and Governor of Bolikhan District. • Meet the Phong IP (the BOMP): in Vangphiang and Na Gnang villages, Viengthong District; and, Phonemeuang Village, Xaychamphone District, Bolikhamxay Province. • Meet the PAP in PHXRA in terms of land dispute, land use, the Livelihood programs, infrastructure, and grievance issues. • Meet the PAP of Zone 2UR, especially livelihood programs, land use, and grievance issues, Thathom District, Xaysomboun Province.

• Meet the last 7 households of Ban Namyouak, Zone 2LR, Hom District, who had refused the Project. Currently, they moved to 3 locations: 2 households moved to Vanghai Village, Zone 2UR, Thathom District; 4 households moved to Homthat Village, Zone 2LR, Hom District, and 1 household moved to Anouvong District, Xaysomboun Province.