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Ministry of Public Works and Housing Regional Infrastructure Development Agency Indonesia Tourism Development Program MINISTRY OF PUBLIC WORKS AND HOUSING REGIONAL INFRASTRUCTURE DEVELOPMENT AGENCY INDONESIA TOURISM DEVELOPMENT PROGRAM ENVIRONMENTAL AND SOCIAL MANAGEMENT FRAMEWORK FINAL January 19, 2018 ENVIRONMENTAL AND SOCIAL MANAGEMENT FRAMEWORK – January 19, 2018 TABLE OF CONTENTS TABLE OF CONTENTS ....................................................................................2 LIST OF TABLES .............................................................................................4 LIST OF FIGURES ............................................................................................4 LIST OF ACRONYMS .......................................................................................5 EXECUTIVE SUMMARY...................................................................................7 1.0 PROJECT DESCRIPTION ................................................................... 20 1.1 BACKGROUND........................................................................................... 20 1.2 PROJECT OBJECTIVE ............................................................................... 21 1.3 PROJECT BENEFICIARIES ....................................................................... 21 1.4 PROJECT COMPONENTS ......................................................................... 22 1.5 INSTITUTIONAL ARRANGEMENTS .......................................................... 28 1.6 PURPOSE AND SCOPE OF THE ESMF .................................................... 30 1.6.1 Scope and Purpose ....................................................................... 30 1.6.2 Methodology .................................................................................. 32 2.0 ENVIRONMENTAL, SOCIAL AND CULTURAL CHARACTERISTIC OF THREE DESTINATIONS ................................................................ 33 3.0 IMPACTS AND MITIGATION MEASURES ......................................... 36 3.1 POTENTIAL ENVIRONMENTAL BENEFITS, IMPACTS, AND MITIGATION MEASURES ........................................................................... 36 3.2 POTENTIAL SOCIAL BENEFITS, IMPACTS, AND MITIGATION MEASURES ................................................................................................ 42 4.0 POLICIES,LEGISLATIVE AND REGULATORY FRAMEWORK AND GAP ANALYSIS ................................................................................... 51 4.1 APPLICABLE WORLD BANK ENVIRONMENTAL AND SOCIAL SAFEGUARDS AND SOCIAL POLICIES ................................................... 51 4.2 INDONESIAN LAWS AND REGULATIONS ................................................ 52 4.3 GAP ASSESSMENT AND MEASURES TO ADDRESS IDENTIFIED GAPS .......................................................................................................... 59 5.0 ENVIRONMENTAL AND SOCIAL MANAGEMENT PROCEDURES AND INSTRUMENTS ........................................................................... 76 5.1 FRAMEWORK FOR ENVIRONMENTAL AND SOCIAL MANAGEMENT ... 76 5.1.1 Screening of potential impacts ....................................................... 76 5.1.2 Defining Instruments for Addressing Impacts ................................. 82 5.1.3 Preparation of Instruments ............................................................ 84 5.1.4 Physical Cultural Resources Management Framework .................. 85 5.1.5 Implementation of Safeguards Instruments ................................... 86 5.1.6 Monitoring of Instrument Implementation ....................................... 87 5.2 LAND ACQUISITION AND RESETTLEMENT POLICY FRAMEWORK (LARPF) ...................................................................................................... 87 5.3 INDIGENOUS PEOPLES PLANNING FRAMEWORK (IPPF) ................... 106 2 ENVIRONMENTAL AND SOCIAL MANAGEMENT FRAMEWORK – January 19, 2018 5.4 SAFEGUARDS IN INTEGRATED TOURISM MASTER PLANS ............... 116 5.4.1 Baseline Data Collection.............................................................. 116 5.4.2 Determination of Development Opportunities and Constraints ..... 117 5.4.3 Formulation of Alternatives .......................................................... 118 5.4.4 Impact Assessment ..................................................................... 118 5.4.5 Awareness and Capacity for Implementation ............................... 118 5.4.6 Detailed Development Plans ....................................................... 119 5.4.7 Frameworks for Development of Social Safeguards Documents . 120 6.0 IMPLEMENTATION ARRANGEMENTS, FINANCING AND CAPACITY STRENGTHENING TO IMPLEMENT ESMF .................. 120 6.1 INSTITUTIONAL ORGANIZATION ........................................................... 120 6.2 INSTITUTIONAL CAPACITY REQUIREMENT ......................................... 122 6.3 CAPACITY BUILDING PROGRAM ........................................................... 124 6.4 BUDGET FOR IMPLEMENTING THE ESMF ............................................ 128 7.0 GRIEVANCE REDRESS MECHANISM (GRM) ................................. 130 8.0 PUBLIC CONSULTATION AND DISCLOSURE ................................ 138 9.0 MONITORING AND EVALUATION ................................................... 141 APPENDIX 1 TOR OF THE INTEGRATED TOURISM MASTER PLAN .... 145 APPENDIX 2 OUTLINE FOR UKL-UPL AND AMDAL STUDIES ............. 189 APPENDIX 3 PROCESS FRAMEWORK .................................................... 196 APPENDIX 4 CONTENTS OF A LAND ACQUISTION AND RESETTLEMENT ACTION PLAN (LARAP) ..................................... 203 APPENDIX 5 CHANCE FINDS PROCEDURE ............................................ 207 APPENDIX 6 INDIGENOUS PEOPLES CONSULTATIONS ...................... 208 APPENDIX 7 SOCIAL ASSESSMENTS FOR INDIGENOUS PEOPLES .... 211 APPENDIX 8 LIST OF PROVINCES AND DISTRICTS IN INDONESIA WHERE INDIGENOUS PEOPLES ARE POTENTIALLY PRESENCE ........................................................................................ 212 APPENDIX 9 CONTENT OF INDIGENOUS PEOPLES PLAN (IPP) .......... 214 APPENDIX 10 PROJECT CATEGORIZATION BASED ON WORLD BANK OPERATIONAL POLICIES .................................................... 216 APPENDIX 11 FORMAT FOR RECORDING THE RESULT OF SCREENING ...................................................................................... 218 APPENDIX 12 DOCUMENTATION FOR PUBLIC CONSULTATION FOR TOR AND DRAFT ESMF ................................................................... 219 3 ENVIRONMENTAL AND SOCIAL MANAGEMENT FRAMEWORK – January 19, 2018 LIST OF TABLES Table 1: Indonesia's Tourism Competitiveness ..................................... Error! Bookmark not defined. (Rank out of 141 countries in 2015 and 136 in 2017) ............................. Error! Bookmark not defined. Table 2: Investment/expenditures and need to await ITMP ............................................................ 24 Table 3: Project Cost and Financing ....................................................... Error! Bookmark not defined. Table 4: Overview of Locations as Described in ITMPs, With a Focus on Detailed Development Plan (DDP) .................................................................................................................................... 34 Table 5: IPF Component Activities and Potential Environment Impacts ...................................... 37 Table 6: IPF Component Activities, Potential Social Impacts and Possible Mitigation Measures ....................................................................................................................................................... 44 Table 7: World Bank Environmental and Social Safeguards and their Policy Objectives .......... 51 Table 8: Applicable Indonesian Legislation and Regulations on Environmental, Social, and Land Acquisition Issues ............................................................................................................. 52 Table 9 Gap Analysis for Environmental and Social Safeguards .................................................. 60 Table 10: AMDAL Thresholds for Component 1 Investments ....................................................... 77 Table 11: UKL-UPL Thresholds for Component 1 ........................................................................... 79 Table 12: Laws and Regulations on Land Acquisition for the Development for Public Interest 88 Table 13: Gaps Between Law 2/2012 and OP 4.12 on Involuntary Resettlement ......................... 91 Table 14: Valuation Methods............................................................................................................ 101 Table 15: Entitlements of Project Affected Persons ..................................................................... 102 Table 16: Instruments for the Land Acquisition and Resettlement Action Plan ........................ 104 Table 17: Functions of the Executing Agency and World Bank .................................................. 121 Table 18. Ministry of Public Works and Housing Capacity Building Training Activities ........... 125 Table 19. Tourism Ministry Capacity Building Training Activities ............................................... 126 Table 20. Ministry of Environment and Forestry (MOEF) Capacity Building Training Activities ..................................................................................................................................................... 127 LIST OF FIGURES Figure 1 Implementation Arrangement ................................................... Error! Bookmark not defined. Figure 2 Flow chart on Determining
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