Social Monitoring Report

Semiannual Monitoring Report Loan/Grant: 3139/0397

(January- June) 2017

NEP: South Asia Sub Regional Economic Cooperation (SASEC) Power System Expansion Project (On Grid Component)

Prepared by the Government of Nepal for the Asian Development Bank. This 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. Your attention is directed to the “terms of use” section of this website.

In preparing any country program or strategy, financing any project, or by making any designation of or reference to a 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.

Semi-Annual Social Monitoring Report

1st Semi-annual Report Jan-June, 2017

NEP: South Asia Sub-regional Economic Cooperation (SASEC) Power System Expansion Project (Loan No. 3139/ Grant No. 0397)

1st Semiannual Social Monitoring Report Jan-June, 2017 ACRONYMS AND ABBREVIATIONS ADB : Asian Development Bank AP : Angle Point APs : Affected Peoples CDC : Compensation Determination Committee CDO : Chief District Officer CGI : Corrugated Galvanized Iron DKTLP : Dana-Kushma220kV Transmission Line Project EIA : Environmental Impact Assessment ESMU : Environmental and Social Management Unit ESSD : Environment and Social Studies Department GoN : Government of Nepal HH : Household IEE : Initial Environmental Examination IP : Indigenous People IPP : Indigenous People’s Plan LAA : Land Acquisition Act LCF : Local Consultative Forum MKTLP : Marsyangdi-Kathmandu 220kV Transmission Line Project MoEn : Ministry of Energy NEA : Nepal Electricity Authority PAF : Project Affected Family PAP : Project Affected People PCC : Portland cement Concrete PCP : Public Communication Policy, 2011 PMD : Project Management Directorate RCC : Rod Cement Concrete RF : Resettlement Framework RP : Resettlement Plan SPS : Safeguard Policy Statement, 2009 S/S : Sub-station TL : Transmission Line VDC : Village Development Committee

SASEC-PSEP i NEA-ESSD 1st Semi-annual Social Monitoring Report Jan-June 2017 TABLE OF CONTENT ACRONYMS AND ABBREVIATIONS ...... I TABLE OF CONTENT ...... II LIST OF TABLE ...... III 1 THE PROJECT DETAILS ...... 1-1 1.1 Background of the Project ...... 1-1 1.2 Sub Projects and Physical Progress of the Project Activities ...... 1-2 1.3 Resettlement Impacts and Impacts on Indigenous Peoples ...... 1-7 1.4 Consultation, Participation and Disclosure ...... 1-8 1.5 Changes in Project Scope and Adjusted Safeguard Measures ...... 1-9 2 OBJECTIVE AND SCOPE OF MONITORING...... 2-1 2.1 Objective of Semi Annual Monitoring ...... 2-1 2.2 Scope and Monitoring Requirements ...... 2-1 3 METHODOLOGY OF MONITORING ...... 3-1 3.1 Methodological Approach ...... 3-1 3.2 Qualitative and Quantitative Monitoring Data ...... 3-3 4 MONITORING INDICATORS AND PARAMETER ...... 4-1 5 MONITORING RESULTS ...... 5-1 5.1 Findings of Monitoring ...... 5-1 5.2 Compliance Status in terms of IR and IPs Safeguards ...... 5-7 5.3 Compliance Status in terms of Health and Safety ...... 5-11 6 CORRECTIVE ACTIONS FOR NON-COMPLIANCE AND MAJOR GAPS ...... 6-1 7 RECOMMENDATION FOR MONITORING ADJUSTMENT ...... 7-1 8 ADJUSTMENT OF INSTITUTIONAL ARRANGEMENT FOR MONITORING ...... 8-1 8.1 Central Level Arrangement ...... 8-1 8.2 Project Level Arrangement ...... 8-1 8.3 Donor Agency...... 8-2

SASEC-PSEP ii NEA-ESSD 1st Semi-annual Social Monitoring Report Jan-June 2017 LIST OF TABLE Table 1-1: Implementation of Community/Social Awareness Programs in the Project Area .... 1-4 Table 1-2: Location of Hoarding Boards Installation ...... 1-4 Table 1-3: Details of IPs Land Acquisition and Compensation Status of DKTLP ...... 1-7 Table 1-4: Details of IPs Land Acquisition and Compensation Status of MKTLP ...... 1-8 Table1-5: Public Consultation Matrix ...... 1-8 Table1-6: Comparative Assessment of Land Used Change in Substations (DKTLP) ...... 1-10 Table1-7: Comparative Assessment of Land Used and Changed in Substation (MKTLP) ..... 1-11 Table 5-1: Use of Cash Compensation by PAFs ...... 5-2 Table 5-2: Use of Cash Compensation by PAFs ...... 5-2 Table 5-3: Major Issues of Consultations and Action Taken ...... 5-3 Table 5-4: Storage of Construction Materials at Khurkot Substation ...... 5-5 Table 5-5: Storage of Construction Materials at Dana Substation ...... 5-5 Table 5-6: Compliance Monitoring Results in terms of Involuntary Resettlement Safeguards . 5-8 Table 5-7: Monitoring Results in terms of Indigenous Peoples Safeguards ...... 5-10 Table 5-8: Compliance Monitoring Status in terms of Safety Facilities Available to Labor ..... 5-11 Table 5-9: Compliance Status in Terms of Contract Clauses ...... 5-12

SASEC-PSEP iii NEA-ESSD 1st Semi-annual Social Monitoring Report Jan-June 2017 1 THE PROJECT DETAILS 1.1 Background of the Project Asian Development Bank (ADB) approved the South Asia Sub-regional Economic Cooperation (SASEC) Power System Expansion Project on July 4, 2011 and signed the loan/grant/project agreement with the Government of Nepal (GoN) on July 11, 2014. Nepal Electricity Authority (NEA) has received financial assistance from the ADB with co-financing from Norway and loan from European Investment Bank (EIB) toward the cost of Safeguards Implementation and Monitoring work of the following transmission line projects under SASEC-PSEP.  Kali Gandaki Corridor (Dana-Kushma 220kV, Kushma-New Butwal 220kV, and New Butwal-Bardaghat220kV transmission lines and associated substations);  Marsyangdi Corridor (Manang-Udipur 220kV and Udipur-Markichowk-Bharatpur 220kV transmission lines and associated substations);  Marsyangdi-Kathmandu 220kV transmission line and associated substations.

Initial Environmental Examination (IEE) of Kali Gandaki Corridor (Dana-Kushma) 220kV transmission line (TL) Project and Marsyangdi-Kathmandu 220kV TL Project are approved by the Ministry of Energy (MoEn). IEE of Kali Gandaki Corridor (Kushma-New Butwal) 220kV TL Project, EIA of Marsyangdi Corridor (Manang-Udipur) 220kV TL Project and IEE of Marsyangdi Corridor (Udipur-Marchichowk-Bharatpur) 220kV TL Project are being carried out. A combined resettlement plan (RP) and indigenous people’s plan has been prepared during project approval with indicative information on likely impact on land and assets. Currently, the contractor has mobilized for the construction of Kali Gandaki corridor (Dana-Kushma) 220kV TL Project and Marsyangdi-Kathmandu 220 kV TL Project.

To comply with requirements laid down in the approved documents; both Marsyangdi-Kathmandu 220kV TL Project (MKTLP) and Dana-Kushma220kV TL Project (DKTLP) have signed an agreement with Environment and Social Studies Department (ESSD) of NEA for the implementation of environmental/social mitigation and monitoring work. This quarterly environment monitoring report has been prepared to cover and evaluate the environmental activities conducted by the Environmental and Social Management Unit (ESMU) during the period. This report also presents the findings of environmental/social monitoring status of mitigation measures, public concerns and issues. This quarterly monitoring report covers the following under construction projects for the period of March to June, 2017.

(a) Dana-Kushma 220kV TL Project (DKTLP) (b) Marsyangdi-Kathmandu 220kV TL Project (MKTLP)

The ADB Public Communication Policy (PCP 2011) refers the Safeguards Policy Statement (SPS 2009) with respect to information disclosure related to project safeguard documentation states that ADB shall post on its website the safeguard document submitted by the borrower and or/ client. This safeguard documents include Resettlement and Indigenous People Plan (RP & IPP), and the social and safeguard monitoring reports. To comply with the PCP of ADB, ESSD as an implementing agency shall submit monitoring report periodically over the total implementation period of the project, covering Environment, Resettlement and safeguard issues. This also has been spelled out in the project document and loan covenant of NEA that the borrower/client shall submit the aforesaid reports to ADB. Hence, this environment and Social Monitoring report has been prepared covering the major activities conducted by the (ESMU) at the site.

Prior to civil works implementation, all the sub-projects selected for construction development to be screened and classified using ADB's classification system. The SASEC TL Project is classified

SASEC-PSEP 1-1 NEA-ESSD 1st Semi-annual Social Monitoring Report Jan-June 2017 A for involuntary resettlement and category B for indigenous peoples during the project approval. The project, in terms of its impact has been categorized as in category A and B.

1.2 Sub Projects and Physical Progress of the Project Activities 1.2.1 Dana-Kushma 220kV TL Project (DKTLP)

Construction Activities The proposed project is located in Parbat and Myagdi district, western Nepal. The proposed Dana substation is located at ward no. 6 of Dana Village Development Committee (VDC) of Myagdi district. Similarly, the proposed Kushma substation is located at Bagaicha, ward no. 4 of Kushma Municipality (former ward no. 2 of Khurkot VDC) of Parbat district. The length of this TL is 40 km.

The TL crosses 4 VDCs (Nanglibang, Dhairing, MajhphantMallaj and Banskhark) and Kushma municipality of Parbat district and 8 VDCs (RakhuPiple, RakhuBhagwati, Begkhola, Histan, Dowa, Ghar, BhurungTatopani and Dana) of Myagdi district. The TL route starts from Dana substation and terminates at Kushma substation. The land acquisition and compensation of both the substations have been completed and construction is underway. The physical progress of DKTLP is as follows;

(a) Khurkot Substation and Access Road  RCC, PCC and shuttering of boundary wall, retaining wall is ongoing in a progressive way.  An office building within premises of substation is completed.  Cutting and leveling of access road from Armadi to Khurkot is still ongoing.

Picture 1-1: Shuttering for Retaining Wall Picture1-2:RCC activities at Khurkot

(b) Dana Substation  First stage PCC, RCC and wall shuttering of boundary wall and retaining wall is completed and second stage shuttering is started.  Backfilling of boundary wall, retaining wall is ongoing.  Foundation of control room is completed.

SASEC-PSEP 1-2 NEA-ESSD 1st Semi-annual Social Monitoring Report Jan-June 2017

Picture1-3 Progress of Control Room at Dana Picture 1-4 Progress of boundary Wall at Dana

C. Route Alignment (Angle Points)  Public notices for land acquisition of APs in Parbat and Myagdi districts have been published and compensation distribution is in process (Annex-iv).  Tower Foundation of AP-30, AP-36 and AP-41 in Myagdi District and AP-21, AP-18B and AP-18C in Parbat District have been completed.  Foundation Excavation for AP-2 and AP-5 in Parbat District is underway

Picture 1-5: Completed Tower Foundation of AP-41 Picture 1-6:Completed Tower Foundation of AP-36

Picture 1-7: Consultation with PAF at AP2 Picture 1-8: Work Progess at AP-2 after Consultation

SASEC-PSEP 1-3 NEA-ESSD 1st Semi-annual Social Monitoring Report Jan-June 2017 Implementation of Community/Social Awareness Program Under corporate social responsibility programs, community/social awareness program has been implemented during this period (Table 1-1).

Table 1-1: Implementation of Community/Social Awareness Programs in the Project Area S.N Date Venue/Location Target Group Number of Participants 1. 13 April, Dhairing, Dhairing Sec. School Local People Male-27, Female-2 2017 Salyan, Parbat 2. 14 April, Naglibang, Shree Janakalyan Sec. Local People Male-41, Female-19 2017 School, Parbat 3. 16 April, MallajMajhphant, VDC Hall, Parbat Local People Male-24, Female-14 2017 4. 17 April, RakhuPiple, VDC Hall Chawtara, Local People Male-34, Female-10 2017 Myagdi 5. 18 April, Begkhola, Kalika Lower Secondary Local People Male-40, Female-65 2017 School, Myagdi 6. 19 April, Histan, MahaBhir (Open Space), Local People Male-29, Female-12 2017 Myagdi 7. 20 April, Ghar, VDC Hall, PokhareBagar, Local People Male-14, Female-35 2017 Myagdi 8. 21 April, RakhuBhagawati, Red-Cross Local People Male-22, Female-3 2017 Building, Myagdi 9. 22 April, Baskharka, Open Space, Myagdi Local People Male-16, Female-9 2017 10. 16 May, Khurkot, Parbat Local People Male- 20, Female-8 2017

Community/Social Awareness programs have been conducted in ten different places of Dana- Kusma section under Kali Gandaki Corridor in Parbat and Myagdi districts from April 13 to May 16, 2017. A total of 444 local people were participated out of which 267 (60.14%) are male and 177 (39.86%) were female. This program was coordinated by South Asian Youth’s Nepal (SAY) as per the contract signed with ESSD, NEA.

Placement of Informative and Warning Signs Altogether twenty eight informative and warning signs (Hoarding Boards) for general information and warning regarding the project, environment, health and sanitation, safety, social/community awareness have been prepared and installed at various places during this period (Table 1-2).

Table 1-2: Location of Hoarding Boards Installation S.N. Venue/Location Subject of Hording Board 1. Kushma-2, Armadi, Parbat About Project 2. Naglibang-1, Jaljala, Parbat About Project 3. Dhairing-7, Milanchowk, Parbat About Project 4. Dhairing-2 Listipul, Parbat Social Awareness 5. Mallaj-4 Pulchowk, Parbat Social Awareness 6. Mallaj, Near Kalipul, Parbat About Project 7. Kushma, near Substation, Parbat About Project 8. Kushma Substation, Parbat Safety first 9. Kushma Substaion, Parbat Social Awareness 10. Kushma-4, Bagancha, Parbat Social Awareness 11. Kushma, Pang Gaun, Parbat Environment 12. Kushma-4, BahunGaun, Parbat Social Awareness/ Health 13. RakhuPiple Tilkeni, Myagdi About Project 14. Rakhu Baisari, Myagdi Environment

SASEC-PSEP 1-4 NEA-ESSD 1st Semi-annual Social Monitoring Report Jan-June 2017 15. RakhuBhagawati, Myagdi About Project 16. RakhuBhagawati, forest area, Myagdi Environment 17. Begkhola, Tiplang , Myagdi Social Awareness 18. Histan-9, Dosaale Near Bridge, Myagdi About Project 19. BhurungTatopani, Market Area, Myagdi About Project 20. Ghar- PokhareBagar, Myagdi About Project 21. Begkhola- Forest area, Myagdi Environment 22. Dana-9 Jalthale, Myagdi Social Awareness 23. Dana-3 Sukebagar, Myagdi Environment 24. Dana-6, near Substation, Myagdi Safety First 25. Dana-6, near Substation, Myagdi About Project 26. Dana-6, near Substation, Myagdi Social Awareness 27. Dana-6, near VDC, Myagdi Environment 28. Dowa, near Belibridge, Myagdi About Project

The Hoarding Boards have been installed with effective slogans in Nepali Language at different places nearby market area, school area, construction areas and in front of rural municipality of Kali Gandaki Corridor alignment in Parbat and Myagdi districts.

Other proposed safeguard programs like training for cultivation of NTFP, awareness program on forest and wildlife conservation, capacity building training and assistance, agricultural intensification program, compensatory plantation program, skill development program, community support program, occupational safety training etc. are in process for implementation for the project affected families, local people and the project workers. These proposed programs shall implement after the rainy season.

Picture 5-9: Placement Hoarding Board At Tiplyang Picture 5-10: Placement of Hoarding Board at Dana Substation

1.2.2 Marsyangdi-Kathmandu 220kV TL Project The proposed TL starts from proposed substation at Markichowk of Aanbuhkhaireni Municipality of Tanahun district and encompassing through Gorkha, Chitwan and Dhading districts and it terminates at Chandragiri Municipality of Kathmandu district. The alignment will further be synchronized with the alignment of the proposed Upper Trishuli 3A-Matatirtha 220kV TL alignment from Baadbhanjyang VDC to Matatirtha substation. Baadbhanjyang to Matatirtha stretch will be transmitted as four circuits TL and part of which will be underground cabling.

SASEC-PSEP 1-5 NEA-ESSD 1st Semi-annual Social Monitoring Report Jan-June 2017 The TL alignment crosses through 15 VDCs and 2 municipalities (Aabhukhaireni Municipality of Tanahun, 1 VDC of Chitwan, Chandragiri Municipality of Kathmandu, 3 VDCs of Gorkha and 11 VDCs of Dhading). The proposed TL with the length of 81.54 km will be double circuit comprising of duplex overhead conductor

Construction Activities a. Mathatirtha Substation  Site leveling and soil investigation is ongoing. b. Aabukhaireni Substation  Site leveling is ongoing. c. Route Alignment Tower Foundation of AP-8A, AP-8B and AP-13A for route alignment is completed and construction activity of AP-13-0 and AP8-2 is ongoing.

Picture 1-11: Foundation Excavation for AP-8B Picture 1-12: Completed Foundation of AP-8A

Implementation of School Support Program Extra curriculum materials have been provided by NEA/ESSD for Shree Jana Kalyan Adharbhut Primary School, Thakre, Dhading under school support program, during this period.

Picture 1-13: Distribution of school support Picture 1-14: Participation of students and materials by Project Manager teachers while Distribution

Other proposed safeguard programs like compensatory plantation, protection and management of plantation sites, placement of informative and warning signs, training for cultivation of NTFP under the RoW, awareness program on forest conservation, awareness program on wildlife conservation, occupational safety training, health and sanitation program, social awareness program, agricultural intensification program, seasonal and off-seasonal vegetable farming

SASEC-PSEP 1-6 NEA-ESSD 1st Semi-annual Social Monitoring Report Jan-June 2017 training program, skill development training and community support program are in process for implementation for the project affected families, local people and the project workers. These proposed programs shall implement after the rainy season.

1.3 Resettlement Impacts and Impacts on Indigenous Peoples Land acquisition is one of the major activities under the Loan 3139 for SASEC TL Project. Land acquisition for public purposes in Nepal is largely governed by the Land Acquisition Act (LAA) 2034 (1977AD). The LAA sets out compensation standards and benefits such as compensation for lost assets at market value, provision for alternative land and compensation for standing crops and trees. The Compensation Determination Committee (CDC) headed by Chief District Officer (CDO) is responsible for evaluation of property and its compensation. The RP emphasizes that compensation should enable project-affected people to maintain the existing to better standard of living. The major safeguard provision against the resettlement impact under this project includes:

 Loss of Land  Loss of Agriculture Crops and Fodder/Fruit and Timber Tree  Loss of Livelihood/Income

The details of land acquisition and compensation of these projects is given below.

1.3.1 Dana-Kushma 220kV TL Project Details of IPs Land Acquisition and Compensation Status of Sub-stations have been submitted in 1st quarterly monitoring report. The project has initiated to acquire additional privately owned land in Khurkot Sub-station. Detail of the land owners shall be recovered in the next report. For the TL during this monitoring period, public notices for land acquisition and compensation have been published for the APs in both districts and 23 IPs HHs (5 in Parbat and 18 in Myagdi) were noted. Of the total affected land (1.933ha), 0.571ha (29.54%) belongs to IPs (Table 1-3). Foundation excavation and construction activities of some APs are ongoing in both districts and no any compensation of land and standing crops was paid by the project. However, the project has made a consensus with land owner to continue the project’s construction activities of APs before compensation of land and standing crops.

Table 1-3: Details of IPs Land Acquisition and Compensation Status of DKTLP Project Affected IPs HHs Acquired Acquired Land Remarks Components HHs (%) Land (Ha) of IPs (%) APs (Parbat) 38 5 (13.15%) 0.766 0.085 (11.10%) 4 Newar and 1 Magar APs (Myagdi) 47 18 (38.30%) 1.117 0.486 (43.55%) 17 Magar and 1 Gurung Total 85 23 (27.06%) 1.933 0.571 (29.54%) 23 IPs in Total Source: Project Record, 2017

Rate fixing for some APs in Parbat District has been completed by land determination committee categorizing the acquired land as ‘Ka’ -s_, ‘Kha’ -v_ and ‘Ga’ -u_ based on the importance of land (Annex-v). The rate of the acquired land is varied according to the land quality.

1.3.2 Marsyangdi-Kathmandu 220kV TL Project A total of 9.218ha land has been already acquired and compensated by the project for MKTLP where about 116 affected HHs received a total amount of NRs. 95,980,187.31 as land compensation. Of the total affected HHs, 32 IPs HHs (15 HHs in Aabukhaireni Substation and 17 HHs in Matatirtha substation) were identified. Similarly, notices for land acquisition for APs in Dhading and Gorkha districts have been published in but compensation amount is yet to be

SASEC-PSEP 1-7 NEA-ESSD 1st Semi-annual Social Monitoring Report Jan-June 2017 received by affected HHs. About 155 HHs were identified where 48 HHs and 23 HHs were identified as IPs and female headed HHs respectively (Table 1-4).

Table 1-4: Details of IPs Land Acquisition and Compensation Status of MKTLP Compensated Project Affected Acquired Amount in NRs. Remarks Components HHs Land (Ha) (Land and structure) Aabukhaireni 18 3.024 60,768,621.02 15 HHs are IPs. Substation Matatirtha 98 6.194 35,211,566.29 17 HHs are IPs and 2 HHs are Dalit. Substation Dhading 21 HHs are IPs. 12 HHs are female 74 2.32 Yet to be received Alignment headed. 6 HHs are not identified. 27 HHs are IPs. 10 HHs are Dalit. 11 Gorkha 81 2.48 Yet to be received HHs are female headed. 10 HHs are Alignment not identified. Total 271 14.018 95,980,187.31 80 HHs are IPs and 2 HHs are Dalit.

1.4 Consultation, Participation and Disclosure While implementing the RP, an extensive consultation program with project affected people and land owner was carried out, in line with requirements pertaining to receive compensation and compensation determination procedure. The public, business owners, affected people and local level leader were informed about the possibility of disruption due to the project activities. The consultation also focused on entitlement matrix of the project and compensation receiving procedure. The tools used for consultations were meetings, interviews and structured questionnaires. These consultations provided inputs for identification of the needs of the communities and the relevant stakeholders. A detail of public consultation with major issues is given in Annex I.

Table1-5: Public Consultation Matrix No. of Type of Information Date Topics/ issue discussed Location Participant Participants disseminated a. ) DKTL Project March 18, Female Farmers, PAFs, Land acquisition and Dana-6, Loss assessment and 2017 only-17 Housewife, compensation issues, DandaGau, entitlements and use teacher and entitlements and project Myagdi of compensation health volunteer activities, March 21, Female-2, PAFs, Local Land acquisition and Dana-7, Loss assessment and 2017 Male-3 political leader, compensation issues and Myagdi entitlements and use housewife, entitlements and their of compensation hotel, business purposed demands man, worker March 26, Female-3, PAFs, Social Compensation, project Kushma-4, Loss assessment and 2017 Male-3 worker, House activities and Parbat entitlements and use wife, Farmers environmental and social of compensation issues March 29, Female-3, PAFs, Farmer, Land acquisition and Kushma-4, Loss assessment and 2017 Male-3 Housewife, compensation issues, Parbat entitlements and use Pension Holder entitlements and project of compensation activities, March 31, Female-4, PAFs, Mason, Land acquisition and Dana-6, Loss assessment and 2017 Male-5 Housewife, compensation issues, Parbat entitlements and use Farmer entitlements and project of compensation activities,

SASEC-PSEP 1-8 NEA-ESSD 1st Semi-annual Social Monitoring Report Jan-June 2017 Land acquisition and PAFs, Farmers, Dana-6, loss assessment and April 28, Female-3, compensation issues, Post Man and Substation entitlements and use 2017 Male-5 Environment and social Housewife Myagdi of compensation issues Female-5, PAFs, Farmers Land acquisition and April 29, Doba-7, (AP loss assessment Male-4 and Business compensation issues, and 2017 41) Myagdi and entitlements Man entitlements PAFs, Farmers, Teacher, Land acquisition and loss assessment and May 25, Male-5 Kushma-2, Business and compensation issues, entitlements and use 2017 Female-8 Parbat Foreign Impact mitigation of TLP of compensation employment b.) MKTL Project Farmers, Land acquisition and Thakre-9, Loss assessment and March 24, PAFs, compensation issues, Male only-8 Fogatpur, entitlements and use 2017 Teacher, entitlements and project Dhading of compensation Students activities, Land acquisition and Farmers, Loss assessment and April 17, compensation issues and Benighat, Male only-4 PAFs, Teacher, entitlements and use 2017 entitlements and their Dhading Student of compensation purposed demands

The consulted people were informed about different aspects of the projects and likely resettlement impacts and mitigation measures. They were also informed about the (i) process of assessing resettlement and confirming the scope of impacts and (ii) process of compensation determination in accordance to the Land Acquisition Act 1977 and provisions of compensation and other assistance made in the Entitlement Matrix of the subproject.

1.5 Changes in Project Scope and Adjusted Safeguard Measures The IEE of DKTLP and MKTLP have already approved before the implementation of Project. It is assumed that most of the environmental issues have been mentioned in IEE report. Due to the initial phase of the construction activities, no significance impacts are resulted by the construction activities in these projects. Efforts have been continued to minimize environmental and social impact by the ESSD team in during the project activities. The environmental parameters mentioned in IEE reports have been monitored in project construction activities.

1.5.1 Dana-Kushma 220kV TL Project Details the status of the project scope and adjusted safeguard measures has been presented in 1st quarterly monitoring report. However, minor change in the total number of HHs in Dana substation has been inspected during this monitoring period (Table 1-6).

There is no new displacement of people observed during this monitoring. However, during the construction phase it was observed that temporary inconveniences such as increased vehicle movements found to be affecting the pedestrians of the immediate vicinity of the work. Similarly, standing crops (maize) was observed to be destroyed by the project vehicle, storage of sand and aggregate and construction activities in AP-41, and in AP-2 by foundation excavation. Similarly, privately owned paddy farming was destroyed by the drainage originated from Kushma substation site by the contractor.

SASEC-PSEP 1-9 NEA-ESSD 1st Semi-annual Social Monitoring Report Jan-June 2017

Picture 1-15: Destroyed Paddy Farming by the Drainage in Khurkot Substation

The resettlement plan will be updated after the completion of final check survey and additional affected HHs will be identified. For this purpose team of ESSD deputed at site is collecting HH data. The questionnaire has been finalized in consultation with PSC social safeguard expert who has also given the necessary orientation to the team of ESSD. The project activities do not displace any person and no additional indigenous people have been affected in Dana and Khurkot Substation. Most of the affected HHs of these substations has already received compensation. However, compensation payment is still to be processed to the land owner of the route alignment of DKTLP where some IPs are noted during this inspection period.

Table1-6: Comparative Assessment of Land Used Change in Substations (DKTLP) Land Only (ha) Land And Structure Affected HHs Project Acquired Mentioned Acquired Mentioned Mentioned Impacted Remarks Components by Changed in IEE by Project in IEE in IEE HHs Project

0.79ha land and one structure are less Khurkot acquired than mentioned 8.7 7.91 2 1 -1 84 84 Substation in IEE Report.

0.17ha land is more and 4 Dana HHs are less than Substation 5.433 5.45 0 0 0 21 17 mentioned in IEE Report.

0.773ha land, 4 HHs and one structure are less than mentioned in IEE Total 14.133 13.36 2 1 -1 105 101 Report

1.5.2 Marsyangdi-Kathmandu 220kV TL Project A minor change regarding land acquisition of MKTLP has been recorded during this inspection period (Table 1-6). The land acquisition for Angle Towers (APs) is being carried out. The alignment changes status yet to be determined.

SASEC-PSEP 1-10 NEA-ESSD 1st Semi-annual Social Monitoring Report Jan-June 2017

Table1-7: Comparative Assessment of Land Used and Changed in Substation (MKTLP) Land (ha) Project S.N. Mentioned Acquired Remarks Components Changed in IEE by Project 1. Markichowk 0.24ha is additional than mentioned Substation 3 3.024 .024 in IEE Report 2. Matatirtha 1.194ha is additional than mentioned Substation 5 6.194 1.194 in IEE Report 1.218ha is additional than mentioned Total 8 9.218 1.218 in IEE Report. Source: Project Record, 2017

SASEC-PSEP 1-11 NEA-ESSD

1st Semi-annual Social Monitoring Report Jan-June 2017 2 OBJECTIVE AND SCOPE OF MONITORING 2.1 Objective of Quarterly Monitoring Environmental and social monitoring is required to ensure compliance of the mitigation and enhancement program, tender clauses related to environmental, social, health and safety issues and to assess the actual impacts of these measures as well as the emerging impacts during the construction phases of the project. The major objective of quarterly environment and Social Monitoring report is to analyze the implementation status and completion of the Resettlement Plan and Ingenious Peoples Plan (RAIP).The objectives of this quarterly monitoring program are:

 To verify status of resettlement implementation for the project that complies with the approved framework and resettlement plan;  To ensure that the standard of living of APs are restored or improved;  To monitor whether the time lines for resettlement and compensation are met;  To assess if compensation, rehabilitation measures and social development support program are sufficient;  To verify implication of grievance redress mechanism to solve AP‘s grievances and status of grievances received from the APs/local people so far;  To identify problems or potential social, ethnic or other conflicts;  To ensure the effective compliance of tender clauses as per contract document; and  To identify methods of responding immediately to mitigate problems.

2.2 Scope and Monitoring Requirements The ADB Public Communications Policy (PCP) refers the Safeguard Policy Statement (SPS 2009) with respect to information disclosure related to project safeguard documentation states that ADB shall post on its website the safeguard documents submitted by the borrower and/or client. These safeguard documents include Resettlement & Indigenous Peoples Plan (RP & IPP), and the social safeguard and environmental monitoring reports. To comply with the PCP of ADB, the client shall submit quarterly monitoring report periodically over the total implementation period of the project, covering environment, resettlement and social safeguard issues.

This quarterly monitoring report has been prepared in compliance with the ADB requirements covering period of March to June, 2017. This report incorporated the resettlement and social safeguard monitoring results in a cumulative manner to comply with the spirit of ADB policy to enhance stakeholders ‘trust in and ability to engage with ADB, and thereby increase the development of projects in which disclosure of safeguard monitoring is a prominent aspect.

The present report reflects current situation with land acquisition and related issues, as well as opinions of APs, whose interests and rights have been affected in this process. Moreover, the report summarizes and describes the current status of the health and safety situation of civil construction area including the contractor’s labor camps in two substations and APs.

SASEC-PSEP 2-1 NEA-ESSD

1st Semi-annual Social Monitoring Report Jan-June 2017 3 METHODOLOGY OF MONITORING Monitoring is an essential aspect of environmental and social management. It consists of collecting data to measure environmental and social changes associated with construction and operation of the project. ESSD is overall responsible for safeguard implementation and monitoring of the SASEC projects as per approved documents. The methodological approach for monitoring is as follows.

3.1 Methodological Approach The Office of Environmental and Social Management Unit (ESMU) has been established at Beni, Myagdi, for day to day environmental and social monitoring and monitoring of resettlement impact implementation. Two site-based Social Safeguards Officers (each in MKTLP and DKTLP) have been mobilized from ESSD. The following approached were endorsed to carry out the monitoring;

3.1.1 Review of Relevant Documents The project related documents like approved IEEs, RAP and ADB Safeguard Policy Statement (2009) and Operation Manual were reviewed.

3.1.2 Field Observation Field observation was carried out by a team of experts from ESSD including the site in-charge of ESMU. Consultations were made with project officials related to the previous and current progress of the project at Matatirtha office for MKTLP and Kushma office for DKLTP. Site specific data were collected from all the substations and area of work under progress. Site specific data includes the following details;

 Land owner details of all the substations  Compensation tabular data of both substation and towers  Construction works such as compaction and leveling of substation and APs area, boundary wall of the substation, storage facilities, camps, access road expansion, drainage condition, protection works, etc.

3.1.3 Group Meetings  Public Consultation Public consultations were conducted mainly with member of PAFs, community closed from the project construction to discuss the current problems associated with the construction of the project, land acquisition and distribution of compensation paid by the project. The effective uses of distributed compensation, vegetation clearance in the project construction area, were the major area of concerns during the consultations. Local level raised issues and concerns were carefully observed, interpreted and recorded.

SASEC-PSEP 3-1 NEA-ESSD

1st Semi-annual Social Monitoring Report Jan-June 2017 Picture 3-1 Consultation with Dalit Women at Dana Picture 3-2 Consultation with IPs at Dowa, Myagdi

Picture 3-3: Consultation with IPs in Dana Picture: 3-4 Consultaion Meeting at Phakre

 Consultation with Project Authority During the inspection period, regular interaction with project authorities at the project site was conducted regarding the environment, health and safety issues, activities done by the Contractor at the construction sites, problems inspected by the monitors and its solutions were the major issues of discussion (Annex-III).

Picture 3-5: Meeting/Consultation among Representative of Project, Contractor and ESSD.

 Consultation with Contractor Representative and Workforce: The consultation with contractor representative was conducted during the inspection period at project construction site. Waste management system, noise and air pollution, occupational health and safety of workforces, public health and sanitation were the major areas of discussion. The monitoring team also consulted with the workforces about their requirements and services provided by the contractor during the regular works.

SASEC-PSEP 3-2 NEA-ESSD

1st Semi-annual Social Monitoring Report Jan-June 2017

Picture 3-6 Consulting with workforce at Dana Picture 3-7 Consulting with safety officer and security personnel at Dana

3.1.4 Household Survey A checklist for households (HHs) survey was developed and administrated. The HHs survey was conducted the affected HHs who have received the compensation of land acquisition. A total of 21 HHs were individually contacted during the inspection period and collected the information related to land acquisition and compensation as well as the use of compensated amount.

Picture 3-8 HHs Survey at Bagaicha, Parbat Picture: 3-9 HHs Survey at Dana, Myagdi

3.1.5 Compliance Inspection Procedure Site observation/visual observation in the construction area, filled-up daily monitoring log sheet and review of approved documents were the major procedure of compliance inspection. Analyzing RAP, procedures of entitlement, compensation payments processes, and agreed ADB‘s Social safeguard and Resettlement Policy and framework.

3.2 Qualitative and Quantitative Monitoring Data The monitoring report covers both quantitative and qualitative data. Quantitative data related to safeguard issues and implementation (e.g. area of affected land, number of affected HHs and their affected assets, and compensation payment status etc.) were collected through Project office recorded at the site. Likewise, information associated to the quality of quantitative data and other subjective information were collected through consultation, meeting, discussion, official and informal dialogue with project staffs, project affected families, local communities, and other stakeholders

SASEC-PSEP 3-3 NEA-ESSD

1st Semi-annual Social Monitoring Report Jan-June 2017

4 MONITORING INDICATORS AND PARAMETER During the inspection period, the monitoring indicators and parameters in terms of Involuntary Resettlements Safeguard (Table 5-6) and Indigenous People Safeguards (Table 5-7) have been applied to monitor the implementation of RAIPP activities for the project. To comply with the contractor’s agreement in terms of Health and Safety, the health and safety clauses cited in contract document have been used to monitor the activities conducted by the contractor (Table 5-9).

SASEC-PSEP 4-1 NEA-ESSD

1st Semi-annual Social Monitoring Report Jan-June 2017 5 MONITORING RESULTS Monitoring work is the major activity of any construction works and is essential for proper implementation of environmental and social safeguard measures. Monitoring is also essential to update the baseline conditions and for assessing environmental and social impacts as well as for ensuring effective mitigation. Results regarding the impact and compliance monitoring, based on site investigation and review of relevant documents are presented for the following projects;

5.1 Findings of Monitoring 5.1.1 Monitoring of RP implementation Activities

Progress on Documentation and Approval: NEA/ESSD has prepared Initial Environmental Examination (IEE) for this project. The IEE has been approved by the Ministry of Energy. The combine Resettlement Action Plan (RAP) under SASEC project was prepared and approved by the ADB in June, 2011.The RAP yet to be updated.

Progress on Compensation Distribution of Land and other Assets: Public notices for land acquisition and compensation in both districts have been published in the national level daily newspaper for towers of DKTLP but compensation distribution is in process. Rate fixing of acquired land in Parbat is completed and Myagdi is in process.

Public notices for land acquisition and compensation in Dhading and Gorkha districts have been published in the national level daily newspaper for towers of MKTLP. The meeting for fixing of rate by the CDC is in process.

Progress on Compensating for Loss of Crops: Generally, the HHs having impact on land also has loss of crops. The HHs at tower base area found to have standing crops and fruit bearing trees also damaged. Compensation for such damages is under process by the Project for sending to the concerned District Agricultural Office for the compensation.

Progress on Assistances to Vulnerable HHs: No assistance on this account has been assessed and paid during this monitoring period.

Grievance Redress Mechanisms: Apparently, formal committee for addressing the grievances has not been formed in the project office. The project office has system of receiving and recording the written application of Grievances from the local communities which are also shared with ESSD (See Annex-II). Redresses shall be done by ESSD/Project based on the merit of the cases.

Livelihood Restoration and Enhancement: The scope of livelihood enhancement under the project and potential candidates for the proposed training are being identified and be finalized after determining the scope and extent impact of the transmission line route (Tower foundation and (RoW). ESSD will implement such types of training as a part of safeguard measures of the project.

Assistant to the PAFs: No progress has been made during this period. However, action shall be taken after rainy season.

5.1.2 Major Findings of Social Issues & Concern of APs & Local People

SASEC-PSEP 5-1 NEA-ESSD

1st Semi-annual Social Monitoring Report Jan-June 2017 Up to the reporting period, the implementation of RP is continuing. The safeguard officer has been working closely with technical team to minimize the adverse impact. The grievances related to social safeguard shall be treated within the project entitlement framework. However, it is pertinent to mention here that the numbers of grievances related to social safeguard are minimal. The affected HHs (S/S) have received compensation in timely manner and most of the AP’s are satisfied with the rate of compensation.

5.1.2.1 Dana-Kushma 220kV TL Project A total of 21 PAFs were individually contacted to fill up the questionnaire schedule related to land acquisition, compensation and use of compensated amounts during this inspection period. The affected HHs used the compensated amount in various areas such as health and education, buying plot of land, clear debt, invest in business and create trust etc. The HHs survey shows that majority of the surveyed HHs (28.57%) have used the compensated amount in health and education. This is followed by 19.05%in buying plot of land, 14.29% in daily home expenditure, 9.52 % deposited in bank account, 9.52% used to clear debt, 4.76% each in home maintenance, 4.76% created trust, 4.76% invested in business and 4.76% funded in the name of God (Table 5-1).

Table 5-1: Use of Cash Compensation by PAFs Project Components S.N. Area of Expenditure Dana Khurkot Total Percentage (%) Substation Substation 1 Health and Education - 6 6 28.57 2 Buying of Plot of Land - 4 4 19.05 3 Daily Home Expenditure 3 - 3 14.29 4 Deposited in Bank Account - 2 2 9.52 5 Clear Debt 1 1 2 9.52 6 Funded in the Name of God - 1 1 4.76 7 Home Maintenance 1 - 1 4.76 8 Create Trust - 1 1 4.76 9 Business - 1 1 4.76 Total 5 16 21 100.00 Source: Field Survey, 2017 5.1.2.2 Marsyangdi-Kathmandu 220kV TL Project A total of 13 PAFs were individually contacted to fill up the checklist related to land acquisition, compensation and use of compensated amounts during this inspection period. The affected HHs used the compensated amount in various areas such as buying plot of land, home maintenance, buying car/bicycle etc. The survey shows that majority of the HHs (61.53%) has used the compensated amounts in buying new plot of land. This is followed by home maintenance (15.38%), daily home expenditure (7.69%), deposited in bank account (7.69%) and buying car/bicycle (7.69%) (Table 5-2).

Table 5-2: Use of Cash Compensation by PAFs S.N. Area of Expenditure MarkiChowk Substation (%) 1 Buying of Plot of Land 8 (61.53%)

SASEC-PSEP 5-2 NEA-ESSD

1st Semi-annual Social Monitoring Report Jan-June 2017 2 Used in Daily Home Expenditure 1 (7.69%) 3 Deposited in Bank Account 1 (7.69%) 4 Home Maintenance 2 (15.38%) 5 Buying of Car/Bicycle 1 (7.69%) Total 13 (100%) Source: Field Survey, 2017

5.1.3 Consultation and Feedback from the APs & Stakeholders Consultation and meetings started holding with the APs, local people and different stakeholders since December, 2016 to date at different stages of the project activities to identify different issues, problems/constraints and prospects and feedback from the participants in connection to the transmission line. Consultation is a continuous process which requires holding from the very beginning of the project preparation to implementation of the project.

The current consultations/meetings conducted by the ESSD team are continuation of the consultations. All these consultations conducted were mainly covering information dissemination about the project and its scope to local people, necessity of land acquisition, procedures of compensation valuation for the affected land & properties, payment of compensation, APs/local people‘s opinions/feedback on different social issues & concerns e.g. fair compensation, grievances, local demand (provision of c infrastructures development), involvement of APs & local people in different project activities & employment in project works etc.

 The above consultations, participants mentioned both positive and negative impacts of the TL project. Among the positive impacts, people of this area are happy with the construction of new transmission line corridor in the area and the major benefits people expecting are that the TL will bring long term positive impacts in the area to supply the high voltage electricity power which helps them to minimize the load shading. Local people are very hopeful that the construction of the TL project will create the employment opportunity in their area during the construction phase. The major social issues/concerns and public demand identified through meeting with the different stakeholders are as follows (Also Ref. in Annex- I):

Table 5-3: Major Issues of Consultations and Action Taken S.N. Major Issues Action Taken

SASEC-PSEP 5-3 NEA-ESSD

1st Semi-annual Social Monitoring Report Jan-June 2017 1 Need to give priority to capacity building and social Action is being taken awareness programs as the social responsibility program. 2 Route alignment of Kushma needs to change if possible Communicated to Project to explore possibility 3 Engagement of PAFs member in the project for semi- Some locals people are working at skilled employment. In one case a person above 60 project on daily wages years of age has repeatedly insisted for the same. 4 The project has to acquire the rest severance land of Project has initiated action Khurkot substation as well. 5 Need to address the previous demands local as soon Feasible social welfare measures as possible. are under consideration 6 All the project works need to be transparent. Transparency shall be ensured

7 Food insufficiency due to the loss/acquisition of fertile Land compensation already paid. cultivated land. Livihood support program under RP shall be undutaken as per policy of Govt 8 Support to manage drinking water for nearby villager Shall be discussed with project to include in CSR 9 Support to manage informal child education for the child Shall be discussed with project. of Dalit Community

10 Need to provide compensation of likely acquired land Compensation processing being and standing crops and trees of towers pad as soon as expedited possible. 11 Vulnerable assistance amount need to provide who Case shall be examined as per have yet received merit. 12 Need to provide skill training regarding agriculture to the Shall be provided as it a planned PAFs member activity of RP. Candidates from PAF shall be identified 13 Used local people’s goods like water pipe and CGI Discussed with contractor and (Steel) without permission by the labor. positive to manage it. 14 Faced language problem with representative of Resolved through site consultation Contractor. 15 Seen positive changes in the local level small business Positive Impact of the project. due to the project activities.

5.1.4 Monitoring of Labors & Employee’s Issues Engaged for the Project Works In addition to social safeguard, the monitoring team also carried out the monitoring on the different aspects of the project components, mainly substation, access road and some APs.

In Khurkot Substation, the labor camp and ancillary facilities include temporary camp made of bamboo and covered by CGI sheet has been provided. Similarly, ancillary facilities like kitchen and toilets are also made of bamboo and covered by CGI sheet which is satisfactory than first quarter period. The area of camp and toilet number were sufficient for the labor present in the substation; however there was no proper disposal area from kitchen wastes and water wastes which is repeated as first quarter period. There was also security facility (entry and exit) for

SASEC-PSEP 5-4 NEA-ESSD

1st Semi-annual Social Monitoring Report Jan-June 2017 workers, officials and local people which is found to be improved than first quarter period. In this inspection period, drinking water and electricity was found to be provided in the labor camp which was lacking in first quarter period.

Likewise, the storage of construction material inside the substation area was found satisfactory as depicted by the tables below; Table 5-4: Storage of Construction Materials at Khurkot Substation S.N Construction Material Storage Condition type 1. Cement Inside the Moisture and water proofing, ventilation, stacking and container security satisfactory 2. Sand Open Direct piling on surface soil, no water proof layer, foreign storage material restriction facility not provided, not enough separation distance from aggregate, not satisfactory condition 3. Aggregate Open Direct piling on surface soil, no water proof layer, foreign storage material restriction facility not provided, not enough separation distance from sand, not satisfactory condition 4. Reinforcement bars Open Storage provided with sufficient clearance from ground, storage no water proofing layer, satisfactory condition.

In Dana Substation, the labor camp and ancillary facilities include temporary camp made of bamboo and covered by CGI sheet has been provided. Similarly, ancillary facilities like kitchen and toilets are also made of bamboo and covered by CGI sheet. The area of camp and toilet number were sufficient for the labor present in the site, however need to increase kitchen area and proper disposal area from kitchen wastes. Electricity and drinking water has been provided in camp. Likewise, the storage of construction material inside the substation area was found satisfactory as depicted by the tables below (Table 5-5).

Table 5-5: Storage of Construction Materials at Dana Substation S.N Construction material Storage Condition type 1 Cement CGI sheet Moisture and water proofing, ventilation, stacking and camp security satisfactory 2 Sand Open Direct piling on grassland, no water proof layer, foreign storage material restriction facility not provided, not enough separation distance from aggregate, not satisfactory condition 3 Aggregate Open Direct piling on grassland, no water proof layer, foreign storage material restriction facility not provided, not enough separation distance from sand, not satisfactory condition 4. Reinforcement bars Open Storage provided with sufficient clearance from ground, storage no water proofing layer, satisfactory condition In AP-41, the labor camp and ancillary facilities include temporary camp made of bamboo covered by plastic tent has been provided to the labors unsatisfactorily. Same room of the camp was found to be used for kitchen and living. There was no security facility (entry and exit) for workers, officials and local people. Similarly, there was no temporary labor camp and toilet in AP-36 during this inspection period.

SASEC-PSEP 5-5 NEA-ESSD

1st Semi-annual Social Monitoring Report Jan-June 2017

Picture 5-1: Storage of Cement at Khurkot Picture: 5-2 Storage of Reinforcement Bars at Dana

Picture 5-3: Labor Camp at Khurkot Picture 5-4: Poor Condition of Labor Camp in AP41

5.1.2 Marsyangdi-Kathmandu 220kV TL Project In MKTLP, construction activities of APs are underway during this inspection period. The areas of labor camp and toilet number are not sufficient for the labor present in the site. Similarly the kitchen area and disposal area from kitchen wastes need to increase. Electricity has been just provided to the camp. Security officer has been employed in the construction site but there are no better facilities of resident for security guard. Neither the storage of cement nor the storage of sand, aggregate and reinforcement bars are satisfactory. These materials are stored in open space near AP-8B in a poor condition. However, there is no case of loss of standing crops due to the construction work.

SASEC-PSEP 5-6 NEA-ESSD

1st Semi-annual Social Monitoring Report Jan-June 2017

Picture 5-5: Storage Cement in Construction Site Picture 5-6: Storage Sand in Construction of AP-8B

5.2 Compliance Status in terms of IR and IPs Safeguards One full time Social Safeguard Officer and one Environmental Safeguard Officer at each of the sub-projects DKTLP and MKTLP has been mobilized since June’2017 for implementation of RP and monitoring of safeguard activates. Covenants written into loan agreement that is related to resettlement and Indigenous People safeguards are listed in (Table 5-6 and Table 5-7) below, with the status of compliances up to the reporting period.

SASEC-PSEP 5-7 NEA-ESSD

1st Biannual Social Monitoring Report Jan-June 2017

Table 5-6: Compliance Monitoring Results in terms of Involuntary Resettlement Safeguards Resettlement: The Borrower/Client, shall ensure that: Compliance Status S.N Monitoring Indicators Aspects DKTLP MKTLP  Entitlements disbursed, compared with number and category of losses set Land Acquisition and Compensation of out in the Entitlement matrix. compensation of two S/S Markechowk and Matatritha  Disbursements against timelines distributed to the substation has been  Identification of the displaced persons losing land temporarily, e.g. through entitlements on time. completed. The soil disposal, borrow pits, contractors’ camps, been included Compensation for alignment compensation of acquired 1. Delivery of  Restoration of social infrastructure and services. is in process. Displaced land for tower foundation is Entitlements  Progress on income and livelihood restoration activities being implemented as person during this period in process. set out in the income restoration plan, for example, utilizing replacement land, was minimum. Social commencement of production, the number of the displaced persons trained in safeguard measures to the employment with jobs, Micro-credit disbursed, number of income-generating PAFs are various stage of activities assisted. implementation.  Quality of new plots and issue of land titles  Consultations organized as scheduled including meetings, groups, and The public consultation was Altogether 2 meetings were community activities. done on regular basis (8 done on regular basis.  Knowledge of entitlements by the displaced persons. meetings/consultations). Grievances related to social Consultation  Use of the grievance redresses mechanism by the displaced persons. Grievances related to social safeguard are minimal.  Information on the resolution of the grievances. safeguard are minimal. The PAFs are requested to 2. and  Information on the implementation of the social preparation phase. project has requested to the register their complain in the Grievances  Implementation of special measures for Indigenous Peoples PAFs to register their project office. No any complain in the project grievances have been office. Some grievances recorded during this have been collected during inspection period. this inspection period.  Percentage of women out of total participants. A total of 8 meetings were There were two meetings  Number of meetings exclusively with women. conducted. About 61.64% were conducted. However,  Number of meetings exclusively with vulnerable groups. were women participants. A no any women were Communicati  Number of meetings at new sites. meeting was conducted with participated in both on  Number of meetings between hosts and the displaced persons. vulnerable people (17 Dalit meetings. No separate 3. Women were participated). meeting with displaced and  Level of participation in meetings (of women, men, and vulnerable groups). The level of information persons and vulnerable  Level of information communicated—adequate or inadequate. Participation communicated was people was conducted. The  Information disclosure. satisfactorily. The information was delivered in  Translation of information disclosure in the local languages information was delivered in Nepali language. Nepali language. 4. Budget and  Land acquisition and resettlement staff appointed and mobilized on schedule The land Acquisition The land Acquisition Time for the field and office work. resettlement staff was resettlement staff was

SASEC-PSEP 5-8 NEA-ESSD

1st Biannual Social Monitoring Report Jan-June 2017

Frame  Capacity building and training activities completed on schedule. deployed by the project at deployed by the project at  Achieving resettlement implementation activities against the agreed site. Capacity building and site. Capacity building and implementation plan. training activities are various training activities are various  Funds allocation for resettlement to resettlement agencies on time. stage of implementation. stage of implementation.  Receipt of scheduled funds by resettlement offices. The resettlement funds were The resettlement funds were  Funds disbursement according to the resettlement plan. allocated on timely allocated on timely  Social preparation phase as per schedule. according to the according to the  Land acquisition and occupation in time for implementation. resettlement plan. resettlement plan.  Number of displaced persons under the rehabilitation programs (women, men, Due to the initial phase of the The displaced persons were and vulnerable groups). project, the displaced minimum due to the initial  Number of displaced persons who received vocational training (women, men, persons were minimum. The phase of the project. The and vulnerable groups). affected HHs due to the affected HHs due to the  Types of training and number of participants in each. tower foundation has tower foundation has  Number and percentage of displaced persons covered under livelihood finalized; however under finalized; however under programs (women, men, and vulnerable groups). land use restriction has not land use restriction has not  Number of displaced persons who have restored their income and livelihood finalized. The safeguard finalized. The safeguard patterns (women, men, and vulnerable groups). programs have not programs have not  Number of new employment activities. conducted. More affected conducted. More affected Livelihood  Extent of participation in rehabilitation programs. HHs under land use HHs under land use restriction and tower restriction and tower and  Extent of participation in vocational training programs. 5. foundation will be identified foundation will be identified Income  Degree of satisfaction with support received for livelihood programs. after the final completion of after the final completion of Restoration  Percentage of successful enterprises breaking even (women, men, and check survey to be check survey to be vulnerable groups). conducted by the contractor. conducted by the contractor.  Percentage of displaced persons who improved their income (women, men, and vulnerable groups)  Percentage of displaced persons who improved their standard of living (women, men, and vulnerable groups)  Number of displaced persons with replacement agriculture land (women, men, and vulnerable groups)  Quantity of land owned/contracted by displaced persons (women, men and vulnerable groups) Number of HHs with agricultural equipment  Number of HHs with livestock  Noticeable changes in patterns of occupation, production, and resource use Due to the initial phase of the Changes pattern of compared to the pre-project situation. project construction, occupation, production and  Noticeable changes in income and expenditure patterns compared to the pre- changes pattern of resources were not 6. Benefit project situation. occupation, production and compared with the pre- Monitoring  Changes in cost of living compared to the pre-project situation. resources were not project situation due to the  Changes in key social and cultural parameters relating to living standards. compared with the pre- initial phase of the project  Changes occurred for vulnerable groups. project situation. construction.  Benefiting from the project by the displaced persons.

SASEC-PSEP 5-9 NEA-ESSD

1st Biannual Social Monitoring Report Jan-June 2017

Table 5-7: Monitoring Results in terms of Indigenous Peoples Safeguards The Borrower/Client, shall ensure that: S. Monitoring Compliance Status Indicators N Aspects DKTLP MKTLP  The numbers of affected Indigenous Peoples (IP) by category of impact, gender, Base Line survey is in process. Base Line is in process. Final age, habitat (village etc.), income, status and position Number of HHs with Final check survey is competed. check survey is completed. handicapped, elderly or invalid members During this inspection period, a During this inspection period, a Demographic 1  Number of female headed HHs total of 23 affected HHs by APs total of 80 hhs were identified as baseline  Number of vulnerable HHs (poor, elderly) was identified as IPs in both IPs in Aabukhaireni and  Number of HHs by ethnic group districts where 2 HHs in Myagdi Matatirtha Substation and  Number of births and deaths District were female headed. alignment of both districts.  Number of consultation and participation activities that occur—meetings, A total of 2 consultation/meetings No any separate consultation information dissemination, brochures; flyers, training were conducted during this period meeting was conducted with IPs  Percentage of IP women as participants; number of meetings exclusively with IP at Dana and Dowa and about during this period. women 37.5% in Dana and 55.6% in Doba  Percentage of vulnerable IP groups represented / attending meetings; number of were IPs women. The vulnerable Consultation meetings exclusively with vulnerable IP groups. IPs was not identified yet due to 2 and  Languages used at meetings the initial phase. The local level participation  Good faith negotiations—recording of process, participants, locations, issues and concerns were carefully correspondence listed and recorded. The Nepali Language was used during the  Broad community support—record of processes, participants, locations and agreement obtained consultation.  Consultation and participation progress against plan and budget 3 Mitigation  Progress of implementation of mitigation / beneficial measures against plan As the project not likely to have As the project not likely to have measures  Number of activities that occur/completed—such as construction, livelihood major impacts the project may not major impacts the project may not restoration, disbursements, training generate major issues related to generate major issues related to  Percentage progress against timelines and budget identity of Indigenous People (IP), identity of Indigenous People (IP), However, the project has make However, the project has make provisions of livelihood enhancing provisions of livelihood enhancing training to the vulnerable and training to the vulnerable and significantly displaced HHs. significantly displaced HHs. 4 Grievance  Total numbers of people/groups using the grievance redress procedure. Apparently, any formal committee Apparently, any formal committee redress  Number of distinct people/groups. Any IP group with significantly more grievances? for addressing the grievances have for addressing the grievances  How many times has a HH submitted the same grievance? not been formed, However, a direct have not been formed, However,  Number of grievances resolved? method of Grievance Redress a direct method of Grievance  Length of time taken to be resolved? mechanism has been adopted by Redress Mechanism has been  Types of grievance categories and prevalence the project Grievance related adopted by. Grievance related issues in the project office were issues in the project office were minimum during the inspection minimum during the inspection period. period. 5 Implementation  Identified delays—(days, cost) due to personnel, capacity, insufficient funds, etc. No problems identified during this No problems identified during this problems  Number of times implementation schedule revised period. period.

SASEC-PSEP 5-10 NEA-ESSD

1st Biannual Social Monitoring Report Jan-June 2017

5.3 Compliance Status in terms of Health and Safety (As per Contractor Agreement) To monitor the labor issues, the Social Safeguard Officer followed the contractor’s contract document , Nepal’s Labor Code with considerations of the Contractor‘s compliance to core labor standards, labor laws, applicable workplace, occupational safety, gender discrimination, use of child labor, freedom of association, employment of local poor, disadvantaged people and project affected people etc. The monitoring and assessment/evaluation of the contractors’ activities have been carried out by using formats specific to each project components and visiting the sites during working hours. The format presents the status of work, problems, mitigation measures adopted by the contractors etc. (Table 5-8 and Table 5-9).

Table 5-8: Compliance Monitoring Status in terms of Safety Facilities Available to Labor Availability of Safety Kits Presence/Absence Status of S. Other Facilities Substation N. Helmet Boots/ Gloves Belts Glass Mask First Toilet Drinking Child of DKTLP Shoes Aid Kit Water Labor Facility a.) Dana-Kushma 220kV TL Project 1. Khurkot S S U NA NA NA P S U A 2. Dana S S U NA NA NA P S S A 3. APs S U U NA NA NA A U S A b.) Marsyandi-Kathmandu 220kV TL Project 1. AP-8B U U U NA U U A S U A Remarks: Safety shoes/gloves have been provided to the Contractor’s personnel, however they were, during the monitoring, found to be used partially. Action: Safety shoes/gloves and mask need to wear during the work time and same is notified verbally during the monitoring to the worker and supervisor of contractor. Note: - S: Satisfactory, NA: Not applicable, U: Unsatisfactory, NP: Not Provided, P: Present, A: Absent

During monitoring, consultation and meetings were conducted with the contractors and contractor’s supervisor and also with the labors/staffs employed in construction works through formal and informal meetings in a group and individually. The consultative process aimed to obtain required information feedback and advice from the participants i.e. Contactors and labors/staffs engaged for the civil construction to assess the actual scenario of the labor issues and concerns. In sum, findings from the consultation meetings revealed generally positive view among the workers/staffs engaged for the construction of the S/S with consideration of getting employment, remuneration, working environment etc. However, it was revealed that many of the staffs/labors were from the out site of the project area in previous quarter but number of local labor has been increased in this quarter. The average engagement of labors during the construction was approximately 60-70 persons per day (DKTLP).

Relatively, slightly progress was inspected during this quarterly period than the condition of first quarter in condition of labor camp, toilet, electricity, drinking and other uses of water facility, health and sanitation condition and use of occupational safety. However, there is still unsatisfactory in very cases like drinking water in khurkot, toilet facility, labor camp, use of occupational safety in APs.

Similarly, in MKTLP, there are ten labors involved in the construction site at AP-8B. All the labors are from out site the project area i.e. Khariya District, Bihar, India. The condition of labor camp, toilet and drinking water facilities, health and sanitation, and occupational safety are not satisfactory, however, gradual progress was inspected during this period. SASEC-PSEP 5-11 NEA-ESSD

1st Biannual Social Monitoring Report Jan-June 2017

Table 5-9: Compliance Status in Terms of Contract Clauses DKTLP Contract Sub-Clause Specification Current Status Action Taken By the Clause Monitoring Expert Volumn-1, Section-8, Special Conditions 22.2 22.2.4 Rates of The Contractor shall follow all applicable labor laws of Complied with Labor Wages and Nepal. The Contractor shall (a) Not use children as labor; Conditions of (b) Follow legally mandated provisions of labor, health, Partially Complied with: safety and Labor safety, sanitation, and welfare and working conditions; and sanitation condition is not satisfactory, however gradual progress has been inspected than previous quarter. (c) Take steps to ensure priority employment for female Not complied with: No member of headed HHs. Breach of these provisions by the Contractor female headed HHs was found to be shall cause termination of the contract. worked. However, Very few numbers of females were found to be worked in Dana Substation. 22.2 22.2.7 Health Not Complied with: The contractor should conduct The Contractor shall throughout the contract (including the Labor and Safety IEC campaigns as mentioned Defect Liability Period): in the contract clause 22.2.7 (i) conduct Information, Education and Consultation and same is notified verbally Communication (IEC) campaigns, at least every other to the contractor month, addressed to all the Site staff and labor (including all representative. the Contractor's employees, all Sub-Contractors and Employer’s and Project Manager’s' employees, and all truck drivers and crew making deliveries to site for construction activities) and to the immediate local communities, concerning the risks, dangers and impact, and appropriate avoidance behavior with respect to of Sexually Transmitted Diseases (STD)—or Sexually Transmitted Infections (STI) in general and HIV/AIDS in particular; Not Complied with: The contractor should provide (ii) Provide male or female condoms for all Site staff and male or female condoms for labor as appropriate; and the site staff and labor. And same is notified to the contractor. iii.) Provide for STI and HIV/AIDS screening, diagnosis, Not Complied with: The contractor should conduct counseling and referral to a dedicated national STI and program as per the contract

SASEC-PSEP 5-12 NEA-ESSD

1st Biannual Social Monitoring Report Jan-June 2017

HIV/AIDS program, (unless otherwise agreed) of all Site clause 22.2.7.iii and same is staff and labor. notified to the contractor. The Contractor shall include in the program to be submitted for the execution of the Facilities under Sub-Clause 18.2 an alleviation program for Site staff and labor and their families in respect of Sexually Transmitted Infections (STI) and Sexually Transmitted Diseases (STD) including HIV/AIDS. The STI, STD and HIV/AIDS alleviation program shall indicate when, how and at what cost the Contractor plans to satisfy the requirements of this Sub-Clause and the related specification. For each component, the program shall detail the resources to be provided or utilized and any related sub- contracting proposed. The program shall also include provision of a detailed cost estimate with supporting documentation. Payment to the Contractor for preparation and implementation this program shall not exceed the Provisional Sum dedicated for this purpose. (iv) The Contractor shall disseminate information on the Not complied with: The contractor should conduct risks of socially and sexually transmitted diseases, including program as per the contract HIV/AIDS and malaria, to its employees during Project clause 22.2.7.iv and same is implementation and shall implement the HIV/AIDS and notified to the contractor. Human Trafficking Prevention and Sensitization Program among its employees for the duration of the Contract. 22.2 22.2.16 “Child” means a child below the statutory minimum age Complied with: Labor Prohibition of specified under applicable national, provincial or local law of Harmful Child Nepal. Labor 47. 47.1 (a) The Contractor shall a) shall not employ child labor Complied with: comply with all applicable for construction and labor, health, and safety maintenance activities laws and regulations of b) And shall provide Complied with: However, Private Contractor’s labors should use the Borrower and, in appropriate facilities (latrines, latrine of nearby home is found to be own latrine or the contractor particular, etc.) for workers at construction used without permission in the case needs to get permission to use sites. of AP-41 at Doba. private latrine of nearby homes. And same is notified to the project and contractors. (b) The Contractor shall not differentiate wages between Complied with: men and women for work of equal value.

SASEC-PSEP 5-13 NEA-ESSD

1st Biannual Social Monitoring Report Jan-June 2017

48 48.1 The Contractor shall disseminate information on the risk of Not complied with: The contractor has to transmission of sexually transmission diseases, including disseminate information as HIV/AIDS, in health and safety programs to all construction mentioned in the contract workers employed under the project. clause 48.1 and same is notified to the contractor. 49 49.1 The Contractor shall conduct awareness campaign on anti- Not complied with. The contractor has to conduct human trafficking, shall develop information and print awareness campaign as material on anti-human trafficking, and shall distribute to all mentioned in the contract construction workers and the community in the Project areas clause 49.1 and same is throughout the Project implementation period. notified to the contractor. Volumn-1, Section-7, General Conditions 22. Labor 22.2.1 a. Except as otherwise stated in the Specification, the Complied with: Engagement of Contractor shall make arrangements for the engagement of Staff and Labor all staff and labor, local or otherwise, and for their payment, housing, feeding and transport. b. The contractor shall provide and employ on the Site in the Complied with: installation of the Facilities such skilled, semi-skilled and unskilled labor as is necessary for the proper and timely execution of the Contract. The Contractor is encouraged to use local labor that has the necessary skills. c. The Contractor shall be responsible for obtaining all necessary permit (s) and/or Visa (s) from the appropriate authorities for the entry of all labor and personnel to be employed on the Site into the country where the site is located. The employer will, if requested by the Contractor, use his best endeavors in a timely and expeditious manner to assist the Contractor in obtaining any local, state, and national or government permission required for bringing in the Contractor’s personnel. d. The Contractor shall at its own expense provide the means of repatriation to all of its and its sub contractor’s personnel employed on the Contract at the Site to the place where they were recruited or to their domicile. It shall also provide suitable temporary maintenance of all such persons from the cessation of their employment on the Contract to the date programmed for their departure. In the event that the Contractor defaults in providing such means of transportation and temporary maintenance, the Employer

SASEC-PSEP 5-14 NEA-ESSD

1st Biannual Social Monitoring Report Jan-June 2017

may provide the same to such personnel and recover the cost of doing so from the Contractor. 22. 2 22.2.2 Person in The contractor shall not recruit, or attempt to recruit, staff Complied with: Labor the Service of and labor from amongst the Employer’s Personnel. Employer 22.2 22.2.3 Labor a. The Contractor shall comply with all the relevant Partially complied with: Some The contractor needs to follow Labor Laws labor Laws applicable to the Contractor’s Personnel, minor problems in health and safety all the applicable labor laws including Laws relating to their employment, health, safety, were noticed during this monitoring and same is notified verbally welfare, immigration and emigration, and shall allow them period. to the contractor. all their legal rights. b. The contractors shall, in all times during the progress of the Contract use its best endeavors to prevent any unlawful, riotous or disorderly conduct or behavior by or amongst its employees and the labor of its Subcontractors. c. The Contractor shall, in all dealings with its labor and the connected with the Contract, pay due regard to all recognized festivals, official holidays, religious or other customs and all local laws and regulations pertaining to the employment of labor. 22.2 22.2.4 Rates of a. The contractor shall pay rates of wages and observe Complied with: Labor Wages and conditions of labor, which are not lower than those Condition of established for the trade or industry where the work is Labor carried out. If no established rates or conditions are applicable, the Contractor shall pay rates of wages and observe conditions which are not lower than the general level of wages and conditions observed locally by employers whose trade or industry is similar to that of the Contractor. b. The Contractor shall inform the Contractor’s Personnel about their liability to pay personal income taxes in the Country in respect of such of their salaries, wages and allowances as are chargeable under the Laws for the time being in force, and the Contractor shall perform such duties in regard to such deductions thereof as may be imposed on him by such laws. 22.2 22.2.5 Working a. No work shall be carried out on the Site on locally Not Complied With: Labors were The contractor needs to give Labor Hours recognized days of rest, or outside the normal working hours found to be worked in locally holidays to the labors to locally stated in the SCC, unless recognized days of rest. recognized days of rest. i. Otherwise stated in the Contract, ii. The Project Manager gives consent, or, iii. The work is unavoidable or

SASEC-PSEP 5-15 NEA-ESSD

1st Biannual Social Monitoring Report Jan-June 2017

necessary for the protection of life or property or for the safety or the Works, in which case the Contractor shall immediately advise the Project Manager b. If and when the contractor considers it necessary to carry out work at night or on public holidays so as to meet the Time for Completion and requests the Project Manager’s consent thereto the Project Manager shall not unreasonably without such consent. c. This sub-Clause shall not apply to any work which is customarily carried out by rotary or double-shifts. 22. Labor 22.2.6 Facilities a. Except as otherwise stated in the Specification, the Complied with: for the Staffs Contractor shall provide and maintain all necessary and Labor accommodation and welfare facilities for the Contractor’s Personnel. The Contractor shall also provide facilities for the Employer’s Personnel as stated in the Specification. b. The Contractor shall not permit any of the Complied With: Contractor’s Personnel to maintain any temporary or permanent living quarters within the structures forming part of the Permanent Works. 22.2 22.2.7 Health a. The Contractor shall at all times take all reasonable Partially Complied with: The The contractor needs to Labor and Safety precautions to maintain the health and safety of the contractor has not ensured the ensure the availability of Contractor’s Personnel. In collaboration with local health availability of the ambulance, sick medical staffs, sick bay and authorities, the Contractor shall ensure that medical staff, bay, medical staff at site. ambulance at all times at the first aid facilities, sick bay and ambulance service are Site and same is notified to the available at all times at the Site and at any accommodation contractor. for Contractors and Employer’s Personnel and that suitable arrangements are made for all necessary welfare and hygiene requirements and for the prevention of epidemics. b. The Contractor shall appoint an accident prevention Complied with: officer at the site, responsible for maintaining safety and protection against accidents. This person shall be qualified for this responsibility, and shall have the authority to issue instructions and take protective measures to prevent accidents. Throughout the performance of the Contract, the Contractor shall provide whatever is required by this person to exercise this responsibility and authority. c. The Contractor shall send, to the Project Manager, details of any accident as soon as practicable after its occurrence. The Contractor shall maintain records and make reports

SASEC-PSEP 5-16 NEA-ESSD

1st Biannual Social Monitoring Report Jan-June 2017

concerning health, safety and welfare of persons, and damage to property, as the Project Manager may reasonably require. 22.2 22.2.8 Funeral In the event of the death of any of the Contractor’s personnel Labor Arrangement or accompanying members of their families, the Contractor shall be responsible for making the appropriate arrangements for their return or burial, unless otherwise specified in the SCC 22.2 22.2.9 Record The Contractor shall keep accurate records of the Partially Complied With: only The contractor shall keep Labor of the Contractor’s personnel on the Site and the names, ages, record of name and position are accurate records of the Contractor’s genders, hours worked and wages paid to all workers. kept. contractor’s personnel on the Personnel These records shall be summarized on a monthly basis in a site and the Names, ages, form approved by the Project Manager and shall be genders, working hours and available for inspection by the Project Manager. Until the wages paid to all workers. And Contractor has completed all work. same is notified to the contractor time and again. 22.2 22.2.10 Supply The Contractor shall arrange for the provision of a sufficient Complied with: Labor of Foodstuffs supply of suitable food as may be stated in the Specification at reasonable prices for the Contractor’s Personnel for the purposes of or in connection with Contract. 22.2 22.2.11 Supply The Contractor shall, having regard to local conditions, Complied with: Supply of drinking The contractor needs to Labor of Water provide on the Site an adequate supply of drinking and other water is adequate however, the provide pure drinking water water for the use of the Contractor’s Personnel. water quality is not good. and same is notified verbally to the contractor. 22.2 22.2.12 The Contractor shall at all times take the necessary Complied with: Labor Measures precautions to protect the Contractor’s Personnel employed against Insect on the Site from insect and pest nuisance, and to reduce and Pest their danger to health. The Contractor shall comply with all Nuisance the regulations of the local health authorities, including use of appropriate insecticide. 22.2.13 The Contractor shall not, otherwise than in accordance with Complied with: Alcoholic the Laws of the Country, import, sell, give barter or Liquor or Drugs otherwise dispose of any alcoholic liquor or drugs, or permit or allow importation, sale, gift barter or disposal by Contractor’s Personnel. 22.2.14 Arms The Contractor shall not give, barter or otherwise dispose Complied with: and of, of any person, any arms or ammunition of any kind, or Ammunition allow Contractor’s Personnel to do so.

SASEC-PSEP 5-17 NEA-ESSD

1st Biannual Social Monitoring Report Jan-June 2017

22.2.15 The Contractor shall not employ “forced or compulsory Complied with: Prohibition of labor” in any form “Forced or compulsory labor” consists of All Forms of all work or service, not voluntarily performed, that is Forced or extracted from an individual under threat of force or penalty. Compulsory Labor 22.2.16 The Contractor shall not employ any child to perform any Complied with: Prohibition or work that is economically exploitative, or is likely to be Harmful Child hazardous to, or to interfere with, the child’s education, or to Labor be harmful to the child’s health or physical, mental, Spiritual, moral, or social development. 33. Loss of or Subject to GCC Sub-Clause 33.3, the Contractor shall Damage to indemnify and hold harmless the Employer and its Property; employees and officers from and against any and all suits, Accident or actions or administrative proceedings, claims, demands, injury to losses, damages, costs, and expenses of whatsoever Workers; nature, including attorney’s fees and expenses, in respect of Indemnification: the death or injury of any person or loss of or damage to any property other than the Facilities whether accepted or not, arising in connection with the supply and installation of the Facilities and by reason of the negligence of the Contractor or its Subcontractors, or their employees, officers or agents, except any injury, death or property damage caused by the negligence of the Employer, its contractors, employees, officers or agents. 34. 34.1 (c)Third Covering bodily injury or death suffered by third parties Insurance Party Liability including the Employer’s personnel, and loss of or damage Insurance: to property occurring in connection with the supply and installation of the Facilities. 34.1 (e) In accordance with the statutory requirements applicable in Workers’ any country where the Contract or any part thereof is Compensation: executed.

NOTE : For MKTLP, since the work is at the very initial stage, Compliance Status in Terms of Contract Clauses shall be submitted from the next quarterly monitoring report.

SASEC-PSEP 5-18 NEA-ESSD

1st Biannual Social Monitoring Report Jan-June 2017 6 CORRECTIVE ACTIONS FOR NON-COMPLIANCE AND MAJOR GAPS Following corrective actions will be followed by the project in order to further improvement on the environment and social monitoring activities:  Active involvement of ESSD/ESMU Staff in guidance of PSC social and environmental safeguard experts in RP Implementation Activities;  Preparation of database of displaced/affected HHs and their affected assets by type of project activities (a. database on affected land and assets due to acquisition of land for tower pad construction, b. information of affected HHs and type and extent of impact due to TL construction etc.);  Detail information on displaced indigenous peoples and dalits and information on vulnerable HHs of other categories (Below poverty Line HHs, women headed HHs, HHs having disabled person, significantly affected HHs);  Collection of evidence of compensation paid to displaced HHs (Copies of correspondence letters, meeting minutes, submitted grievances and decisions made by the CDO or the project;  The project should establish the grievances redress mechanism and local consultative forums to address the environmental and social issues.  Necessary instructions are required to the contractor by project authority to ensure Effective implementation of Environmental, Health and Safety Plan to complete the compliance status.  Timely submission of monthly progress report prepared by the contractor; and  Submission of previously approved documents agreed upon with the Donor agency.

SASEC-PSEP 6-1 NEA-ESSD

1st Biannual Social Monitoring Report Jan-June 2017 7 RECOMMENDATION FOR MONITORING ADJUSTMENT The monitoring of social safeguard activities and implementation will be continued during the project implementation. The project will involve in following action for the implementation of RP.

 Facilitate for Compensation Distribution: The regular distribution of compensation payment for new identified PAFs will be facilitated from Project office.

 Facilitate Grievance Handling: It will be facilitated to mobilize key staff to address the claims, obstruction and grievances. The key will verify the case related to compensation claims and resettlement close collaboration with project affected families.

 Organize CDC Meetings: The meeting related to compensation distribution will be organized as and when required. Meetings to settle on the issue of resettlement conflict between projects affected families and the project will be organized as and when required.

 Facilitate for Title Transfer: It will be facilitated to follow up activities to be carried out to collect Land Ownership Certificate form concerned Land Revenue Office that have been transferred to NEA.

 Monitoring of Safeguard Compliance: The regular follow up and monitoring of safeguard compliance will be continued. The project team will be involved in monitoring and provide instruction, to compile the safeguard compliance to contractor.

 Consultation and Dissemination: It will be conducted regular consultative meeting with project affected people and other stakeholder to overcome the possible social problems and right information dissemination. The consultative meeting will be conducted in each project closed from the construction area.

 Local Consultative Forums: It should be established to address the social issues associated with the project covering the representatives of local people, project and ESMU.

 Severance Assistance to the PAFs: To restore the livelihood of PAFs apart from the land compensation, additional assistant such as crop’s compensation, livelihood rehabilitation, transportation assistance and vulnerable assistance etc. for new identified PAFs should be provided by the project.

SASEC-PSEP 7-1 NEA-ESSD

1st Biannual Social Monitoring Report Jan-June 2017

8 ADJUSTMENT OF INSTITUTIONAL ARRANGEMENT FOR MONITORING 8.1 Central Level Arrangement

8.1.1 Environment and Social Studies Department (ESSD) ESSD is one of the departments of Engineering Service Directorate of NEA and executes all the activities related to identifying, conducting and coordinating environmental aspects of project developed by NEA in all stages such as studies, design, construction and operation. This department is responsible for the overall control of social management program of the project. This department is also responsible for the coordination of work of the project at central level management of NEA and central line agencies. It is proposed that ESSD will implement monitoring program and some of the social mitigation work in coordination with concerned line agencies and local NGOs. The mitigation and social support program will be implemented by mobilizing local NGOs, Consulting firm Contractor and line agencies. The Social and Environmental Safeguards Coordinator will be responsible for overall coordination and implementation of the environmental and social mitigation programs. The Program Coordinator will be assisted by environmental and social expert at central and local level.

8.1.2 Central Level Line Agencies The central level line agencies such as Ministry of Energy, Ministry of Forest and Department of Electricity Development have responsibility for the monitoring of project activities with regards to Environmental and Social Management, Mitigation and Monitoring Plan. ESSD will coordinate with central level line agencies regarding the monitoring work. As the concerned line agency, Department of Forest is responsible for the implementation of afforestation program as per the Procedural Guideline for the Use of Forest Land 2063. Discussion is ongoing between the Project/NEA and Department of Forest regarding the implementation of the compensatory forestation program

8.2 Project Level Arrangement 8.2.1 Project Management Directorate, NEA (PMD Office) The PMD office is overall responsible under the SASEC Projects for the implementation of EMP, including others like RP or RAIP documents that previously agreed upon with the Donor agency. It has also deputed a Senior Environment Specialist (SES) and a Senior Social Safeguards Specialist (SSS) in the PMD office for Safeguard implementation and monitoring works of the SASEC TL Projects. The Project Supervision Consultant (PSC) shall actively give the consultancy services through the social and environmental safeguard experts.

8.2.2 Project Manager The Kali Gandaki Corridor (Dana-Kushma Section and Marsyangdi-Kathmandu section) Project Manager Office has been established under the organizational setup of PMD. The Project Manager will have overall responsibility regarding the implementation of EMP including others. He will be also responsible for acquiring necessary permits for forest clearance from Ministry of Forest and Soil Conservation, land acquisition and compensation etc. The Project Manager will be responsible to make sure the incorporation of IEE recommendations in tender document and contract agreement and allocation of necessary budget for the implementation of EMP and others.

SASEC-PSEP 8-1 NEA-ESSD

1st Biannual Social Monitoring Report Jan-June 2017

Project Supervision Consultant (PSC) has been appointed by the NEA for overall supervision of the project activities.

The PSC shall be responsible for providing necessary inputs in respect of all the aspects of land acquisition, RoW acquisition, updating RP, coordinate with Compensation Determination Committee (CDC) and Local Consultative Forum (LCF), review/revise entitlement matrix, implementation of resettlement plans, to evaluate environmental baseline changes to determine the direct, indirect, induced and cumulative impacts on habitat, ecosystem, flora and fauna, wildlife, emission, erosion and oversee environmental health and safety during project execution, conduct routine inspection of construction sites, stores, prepare quarterly monitoring report and semiannual monitoring report and overall coordination of all the safeguard measures.

Under the Project Manager Office, a Land Acquisition and Rehabilitation Unit (LARU) has been established. The in-charge of unit will be responsible for the acquisition of land and house, asset valuation and verification, implementation of compensation and rehabilitation grant (house rent, transportation and dislocation allowances) and coordination of the work with District and Central level agencies with regard to acquisition of private property. The officer in-charge of the unit will also work as member of secretary of the CDC and member of LCF.

8.2.3 Environment and Social Monitoring Unit (ESMU) An Environment and Social Monitoring Unit has been established under ESSD umbrella for day to day environmental and social monitoring of the project (Dana-Kushma Section and Marsyangdi- Kathmandu section) and coordination of work with PAFs, local communities, VDCs, DDCs and district level line agencies. The unit has site office for day to day monitoring of the social and environmental impacts. The unit will implement environmental and social monitoring works directly through mobilizing of its site based staff.

8.2.4 Compensation Determination Committee A Compensation Determination Committee (CDC) has been formed to fix compensation for loss of land and private property. The CDC will comprise of Chief District Officer, District Land Revenue Officer, DDC Representative, Project Representative and PAP/HH Representative. The main functions of the CDC will be confirmation of entitled process, assessment/Identification of PAP/HHs, compensation determination for land and private property and grievance resolution.

8.2.5 Local Consultative Forums (LCF) Local Consultative Forums (LCFs) should be established to address the social issues associated with the project. The objectives of this LCFs will be to: (a) ensure ongoing dissemination of project information to affected HHs, (b) structure, regulate and strengthen communication between affected HHs/communities, (c) involve affected HHs/communities and local government structures in social impact management, grievance resolution and monitoring.

8.2.6 Construction Contractor The construction contractor will be responsible for implementation of some of the social mitigation measures specified in his part and compliance with the tender clauses. He will be responsible for implementation of construction related mitigation measures such as occupational safety, recruitment of local labor, health and sanitation measures etc.

8.3 Donor Agency Donor agency(s) will have specific responsible for the monitoring of compliance of loan agreement. The experts from donor agency will review the project plan and program, and make

SASEC-PSEP 8-2 NEA-ESSD

1st Biannual Social Monitoring Report Jan-June 2017 direct observation at site to make sure the implementation mechanism is going smoothly and public concerns are well considered.

SASEC-PSEP 8-3 NEA-ESSD