Social Monitoring Report

Project Number: 47100-004 January 2020

Period: January 2019 – June 2019

IND: Power Transmission and Distribution System Improvement Project

Submitted by Madhya Pradesh Paschim Kshetra Vidyut Vitaran Co. Ltd. (DISCOM-W), Indore

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

Social Monitoring Report

Period- January 2019 to June 2019

Madhya Pradesh Paschim Keshtra Vidyut Vitaran Co. Limited- DISCOM-WEST, GPH - Compound, Pologround, Indore (MP)

Madhya Pradesh Power Transmission & Distribution System Improvement Project under DISCOM-WEST, ADBLoan-IND-3066

PREPARED BY:

SMS Envocare Limited Vijay Nagar, Indore

CONTENTS

DESCRIPTION PAGE No.

ABBREVIATIONS 4

1. Introduction 5

1.1 Project Background & Description 5

1.2 Purpose of Report 10

2 Project Resettlement Entitlement, Assistant & Benefits 11

2.1. Introduction 11

2.2. Cutoff Date for Entitlement 11

2.3. Entitlement Matrix 12

3 Project Impact & Implementation Status 16

3.1 Overview of Social Impacts 30

4 Compensation 31

4.1 Land Compensation 31

5 Consultation and Disclosers 32

5.1 Consultation 32

5.2 Disclosures 33

6 Grievance Redress Mechanism 34

7 Institutional Arrangements 36

8 Monitoring and Evaluation 38

8.1 Addition Benefit Under Project 38

8.2 Site Observation 39 8.3 Positive Impacts (Internally & Externally) 40

9 Conclusion 41

10 Annexures 42

1

LIST OF TABLE

Table No. Title of table P. N.

Table 1.1 Summary Of Sub-Projects-DISCOM-West- ADB Loan- 3066 7

Table 1.2 Summary Of Land Acquisition Of Project Activities 9

Table 2.1 Entitlement Matrix 12

Substation (Construction And Completed)

Table 3.1 ADB-III Loan No. 3066, PPR-41 Lot-I New Sub Station 16

Table 3.2 ADB-III Loan No. 3066, PPR-41 Lot-II New Sub Station 17

Table 3.3 ADB-III Loan No. 3066, PPR-41 Lot-I Feeder Bifurcation ` 18

Table 3.4 ADB-III Loan No. 3066, PPR-41 Lot-II Feeder Bifurcation 20

Table 3.5 ADB-III Loan No. 3066, PPR-41 Lot-I Augmentation And Additional 22

Table 3.6 ADB-III Loan No. 3066, PPR-41 Lot-II Augmentation And Additional 26

Table 7.1 Resettlement Plan Activities 36

2

LIST OF FIGURE

Figure 1.1 Distribution Network 5

Figure 6.1 EA Grievance 34

LIST OF ANNEXURE

Annexure -1 Progress Status 42

Annexure - 2 Govt. of MP- Letters 43

3

ABBREVIATIONS:

ADB -Asian Development Bank

AP -Affected People

CSS -Country Safeguard Systems

EARF -Environment Assessment and Review Framework

EIA -Environmental Impact Assessment

EPA -Environment Protection Act

ESMU -Environmental Social Management Unit

GoMP -Government of Madhya Pradesh

GRC -Grievance Redress Committee

IA -Implementing Agency

IEE -Initial Environmental Examination

LAA -Land Acquisition Act

MPPKVVCL -Madhya Pradesh Paschim Kshetra Vidyut Vitaran Company Limited

N/A -Not Applicable

PMU -Project Management Unit

PAP -Project Affected Person

RP -Resettlement Plan

S/S -Sub Station

SPS -Safeguard Policy Statement

D/L -Distribution Line

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1. INTRODUCTION

1.1 Project Background &Description:

1. Govt. of Madhya Pradesh (GoMP) through Govt. of (GoI) has utilized a financing

facility from the Asian Development Bank (ADB) to fund the power sector

investment program in the State of Madhya Pradesh. The objective of the Project is to

increase capacity and operational efficiency in the electricity distribution and distribution

system in the State.

2. M. P. Paschim Kshetra Vidyut Vitran Company Limited (MPPKVVCL) Indore,

incorporated under the Companies Act, 1956, having its Registered Office at GPH

Compound, Polo Ground, Indore, with the concurrence of Government of Madhya

Pradesh, has decided to launch projects for ‘System Strengthening of Distribution&

Distribution’ networks in its jurisdiction area as mentioned below:

Figure 1.1 Distribution Network

5

3. The investments to be supported by ADB have following advantages.

i. Improve quality and reliability of power;

ii. Remove distribution bottlenecks;

iii. Facilitate in-state and inter-regional power transfers;

iv. Facilitate a reduction in overall system losses;

v. Improve energy efficiency, expand renewable energy capacity, and capitalize

related carbon market opportunities; and

vi. Improve utility operational and financial performance.

4. A part of the fund is being utilized for the up-gradation andimprovement of the

distribution networks coming under the jurisdiction of MPPKVVCL Indore and it is being

implemented under ADB Loan 3066-IND.

5. The project shall comprise Subprojects under the following components: The main

scopes of the Project/scheme are:

i. Addition of 40 Nos. 33/11KV Substation transformation/power handling capability

at new load centers,

ii. Addition of 846.2 Km 33 KV distribution network to feed the new load centers.

iii. Addition of 963.25 Km 11 KV network to distribute the power at the new load center

areas.

iv. Argumentation and addition of 168 Nos. PTR at existing substation.

v. Addition of 1221 Nos.New DTR in place of rented DTR.

vi. Addition of 504 Km LT distribution line.

6. The main scope of work which was covers in tender for construction of 33/11 KV sub-

stations along with associated 33 KV & 11 KV Lines including bays at 33/11KV S/s, DP

structure, road/river crossings etc. in all Circles/Districts in Indore and region of

West DISCOM of MP.

6

TABLE 1.1 SUMMARY OF SUB-PROJECTS-DISCOM-WEST- ADB LOAN- 3066

1 2

1 2

2) 2) 2)

2) 2) 2)

- -

- -

- -

- -

1+PII 1+PII

1+PI 1+PI

- - - -

1 2

1 2

- -

- -

Unit

P I I P I P

P II II P II P

Survey

rapproved RP

Total(PI

Description

Total(PII

approvedRP

As per As Survey per As Survey

GrandTotal per As GrandTotal per As

As per As approved RP per As approved RP per As approved RP pe As per As approved RP per As approved RP

As per As Survey P I per As Survey P I

Sub Sub Total Sub (PI

As per As Survey P II per As Survey P II

Sub Sub Total Sub (PII Augmentation of Capacity From 3.15 MVA to 5 No. 51 51 49 49 100 100 ------100 100 MVA From 5 MVA to 8 No. 11 11 0 0 11 11 ------11 11 MVA Additional 5 No. 27 27 30 30 57 57 ------57 57 MVA Transformer capacity MVA 262.4 262.4 240.7 240.7 503 503 ------503 503 addition Addition of new substations 33/11 KV No. 22 22 18 18 40 40 ------40 40 substations Capacity MVA 110 110 90 90 200 200 ------200 200 Addition of distribution lines 33 KV distribution Km 123.5 123.5 89.9 89.9 213.4 213.4 ------213.4 213.4 line (S/s) 11 KV distribution Km 75.25 75.25 64 64 139.25 139.25 ------139.25 139.25 line (S/s) 11 KV distribution Km 111.50 111.50 89.50 89.50 201 201 ------201 201 line (Addl. & Aug.)

7

Additional feeders and distribution transformers 33 KV No. 29 29 28 28 57 57 ------57 57 Feeder 33 KV distribution KM 284 284 348.8 348.8 632.8 632.8 ------632.8 632.8 line (Feeder) 100 KVA No. ------414 414 807 807 1221 1221 1221 1221 DTR 11 KV distribution Km ------210 210 413 413 623 623 623 623 line (DTR) LT distribution Km ------171 171 333 333 504 504 504 504 line

Note: P-I-1 PPR-41-LOT-1 Indore Region

P-I-2 PPR-41-LOT-2 Ujjain Region

P-II-1 PPR-42-LOT-1 Indore Region

P-II-2 PPR-42-LOT-2 Ujjain Region

8

7. The capacity building component will include supporting DISCOM-C’s training center to

provide training for the EA staff. The support to the training center will involve funding for

the construction of hostels, laboratory and associated facilities, provide consultants to

develop curricula for various courses, train the trainers, and conduct a first round of

training. Training will include induction training for new staff, and training on new

technology, project management, procurement, monitoring and evaluation, financial

management, and safeguards for existing staff. Ten trainers and 100 EA staff will be

trained with the support of the project.Summary of land acquisition of project activities are

mentioned in Table 1.2:

TABLE 1.2 SUMMARY OF LAND ACQUISITION OF PROJECT ACTIVITIES

Impacts Quantity ( Original) Quantity (Updated)

1. Total area of private land to be acquired Nil Nil

2. Total area of Government land Transferred 6.53 ha 7.03 ha Total area for crop compensation for 3. Nil Nil temporary Impact 4. Total number of private fruit trees Nil Nil Total number of affected households for 5. Nil Nil crop compensation 6. Total number of titleholders Nil Nil

7. Total number of non-title holders Nil Nil

8 Total Number of vulnerable households Nil Nil

8. Impacts on land predicted for construction of substations (permanent use). The land

requirement for all the proposed 40 no’s substations of MPPKVVCL (Discom-West) is

estimated to be 6.53 ha but actual land allotted 7.03ha. All substations are located within

jurisdiction of MPPKVVCL on MP Govt. land. Land for the project does not have any

impact on any families/Person. The substations are free from encroachments, hence the

project doesn’t impact. Additionally while stringing transmission line care has been taken to

complete the work in non-cropping season, hence damage to crop has also being avoided

in the project.

9

9. The local community, and representatives of the local body are usually present in the

transact walk. No person is expected to lose their productive resources, and therefore,

there is no resettlement impact of the substations. No permanent loss of livelihood is

foreseen.

10. The Loan closing date of the project is expected 30-June-2020. The overall objective of the investment program is to address power sector issues and provide a solid foundation for the sustainable growth of the power sector in the jurisdiction of MPPKVVCL (Discom- West).

1.2 Purpose of Report:

11. The report capture overall social safeguards implementation progress in compliance to

project's Resettlement Framework and regulatory requirements. The various social

safeguard related issues addressed during the reporting period has also been covered,

with reference to the progress achieved and current status of reporting period. The

current report covers the implementation progress of social safeguard during the January

2019 to June 2019.

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2. PROJECT RESETTELMENT ENTITLEMENT, ASSISTANT & BENEFITS

2.1 Introduction:

12. In accordance with the R&R measures suggested for the project, all affected households

and persons will be entitled to a combination of compensation packages and assistance

depending on the nature of ownership rights on lost assets and scope of the impacts

including socio-economic vulnerability of the affected persons and measures to support

livelihood restoration if livelihood impacts are envisaged. The affected persons will be

entitled to the following five types of compensation and assistance packages:

i. Compensation for crops/ trees at their replacement cost;

ii. Compensation for structures (residential/ commercial) and other immovable assets

at their replacement cost, if any;

iii. Assistance in lieu of the loss of business/ wage income and income restoration

assistance;

iv. Rebuilding and/ or restoration of community resources/facilities, if affected by the

project.

2.2 Cutoff Date for Entitlement:

13. Affected persons meeting the cut-off date requirements will be entitled to a combination

of compensation measures and assistance, depending on the nature of ownership rights

of lost assets and scope of the impact, including social and economic vulnerability of the

affected persons. For title holders, the date of notification vide Section 4(1) of LA Act will

be treated as the cut-off date, and for non-titleholders the start date of project census

survey i.e. July 19, 2013 will be the cut-off date. Unforeseen impacts will be mitigated in

accordance with the principles of this RP.

11

2.3 Entitlement Matrix:

14. The Entitlement Matrix in Table 2.1 summarizes the main types of losses and the

corresponding entitlements in accordance with the NRRP and ADB policies.

TABLE 2.1- ENTITLEMENT MATRIX

Ref Impact Entitlement Description / Remarks No category I. Loss of Private Property [THIS INFORMATION IS PROVIDED ONLY FOR GUIDANCE. NO LOSS OF PRIVATE PROPERTY IS EXPECTED IN THIS PROJECT] a. Loss of Land (agricultural, homestead, commercial or otherwise) Acquisition of private lands is not In case of land permanent loss for required1. In case of private land vulnerable households. In lieu of 1 acquisition is required, provisions land acquired, if waste/degraded

Land Acquisition Act 1894 will be land is allotted, a onetime

used and compensation2 will be assistance of Rs.15,000/-3 will be

paid based on agreed principles of given for land development; and if private negotiation. agricultural land is allotted, a Rehabilitation grant based on minimum onetime assistance of Rs.10,000/- 2 wage for 750 days5 for agricultural land 4 will be given for agricultural where livelihood is affected by the production. project and the landowner becomes landless or small farmer or marginal Compensation will be determined farmer based on past sale statistics In case of private land acquisition, an 3 6 ex-gratia payment of Rs.20,000/- to (circle rates / guideline value).

land owners who could not be given However, if Land Valuation

land for land in lieu of land lost. Committee of the EA, finds the No physical displacements due to the compensation so determined is project. In case of any displacement, lower than the replacement value 4 shifting assistance7 of Rs.10,000/- for of the land, the EA will provide the households who require to relocate difference as assistance due to the project b. Loss of residential structure, 1 Cash compensation at scheduled rates8 without depreciation 2 Right to salvage affected materials Shifting assistance of Rs.10,000/- for 3 all those who lose complete house and

require to relocate 4 Subsistence allowance9 based on 25 days minimum agricultural wages per month for a period of 3 months to the residential owner, who loses complete

1This conclusion is based on sample site visits and information provided by the EAs 2If land is acquired through private negotiation, Safeguard Requirement-2 does not apply in accordance with 'para 25 of Appendix-2 of SPS', Such negotiations and settlement process, if any, will have to be documented by an independent external party. 3 NRRP 2007 provides land development assistance to land owners (para 7.9.1) 4 NRRP 2007 provides agricultural production assistance to land owners (para 7.9.2) 5 NRRP 2007 provides for 750 days minimum agricultural wages (para 7.19 read with 7.14) 6 NRRP 2007 provides ex-gratia payment for linear acquisition (para 7.19) 7 NRRP 2007 provides for a lump sum of INR 10,000 per DH (para 7.11) 8 Schedule rates of Public Works Department, Madhya Pradesh for Building Works, 2009. If latest schedule rates are not available at the time of implementation, the Valuation Committee, EA will update the same. 9 NRRP 2007 provides for monthly subsistence allowance for 12 months for involuntary displacement (para 7.16) 12

Ref Impact Entitlement Description / Remarks No category house and require to relocate c. Loss of Commercial structure 1 Cash Compensation at scheduled If more than one third of structure is rates without depreciation affected, AP has option to offer for 2 Right to salvage affected materials acquisition of entire structure If after acquisition, the remaining 3 Shifting assistance of Rs.10,000/- portion is viable, additional 25% of to the business owner, who loses the compensation for affected the complete structure and require portion will be paid as restoration to relocate grant. Subsistence allowance10 based on 4 25 days minimum agricultural Alternate constructed shop in lieu wages per month for a period of 12 of shop lost will be considered, if months to the business owner, if there are minimum 20 he/she has to relocate beneficiaries, and if feasible or An option of alternative constructed shop (or) income generation asset (or) financial assistance11 d. Impacts to tenants (residential / commercial) 3-months’ notice to vacate 1 or

Rental allowance at Rs.3,000/- per

month for three months to facilitate

taking another place for rental in

lieu of 3-month notice 2 Shifting assistance of Rs.10,000/- In case of agricultural tenants advance notice to harvest crops or compensation for lost crop at 3 market value of the yield determined by agricultural department e. Impacts to trees, standing crops, other properties, perennial and Non-perennial crops: Three months (90 days) advance 1 notification for the harvesting of standing crops (or) lump sum equal to the market value of the yield of the standing crop lost determined by agricultural department Compensation for trees based on 2 timber value at market price to be determined by the Forest Department for timber trees and for other trees (perennial trees) by the Horticultural Department. Loss of other properties such as 3 irrigation wells will be compensated

10 NRRP 2007 provides for monthly subsistence allowance for 12 months for involuntary displacement (para 7.16) 11 NRRP 2007 prescribes not less than Rs.25,000/- (par 7.12) 13

Ref Impact Entitlement Description / Remarks No category at scheduled rates of PWD. II. Impacts to squatters / Encroachers (non-title holders) a. Impacts to squatters Loss of House: An alternative built Alternate built house will be 1(a) house in line with IAY12 / State provided if there are minimum 20

Govt. standards, if feasible or beneficiaries or if there are any

compensation at scheduled rates ongoing IAY/State Govt scheme in

without depreciation for structure the project region

with 2-month notice to demolish the

affected structure 1(b) Right to salvage the affected materials; 1(c) Shifting assistance of Rs.10,000/- Loss of shop: An alternative built Only business-owner of the shop will shop if feasible or Subsistence be eligible for assistance and the 2(a) allowance13 based on 25 days owner of the shop, if different and not minimum agricultural wages per the business-owner will not be month for a period of 6 months to entitled for any assistance.

the business owner-squatter, and compensation at scheduled rates without depreciation for structure with 2-month notice to demolish affected structure Right to salvage the affected 2(b) materials; 2(c) Shifting assistance of Rs.10,000/- Cultivation: 3-month notice to harvest standing crops or market 3 value of c