Resettlement Due Diligence Report

Document Stage: Final November 2019 Project No. 46390-002 Loan No. 3330

MYA: Power Transmission Improvement Project

230 kV Thaketa – Kyaikkasan Underground Transmission Cable Subproject

Prepared by the Department of Power Transmission and System Control (DPTSC) of the Ministry of Electricity and Energy (MOEE) for the Asian Development Bank.

This safeguard due diligence 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 or a 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. ------CURRENCY EQUIVALENTS In this report, “$” refers to United States dollar. (as of 21 October 2019)

Currency unit – Kyat (MMK) MMK1.00 = $0.00074 $1.00 = MMK1530

ABBREVIATIONS ADB : Asian Development Bank AH : Affected Household DDR : Due Diligence Report

DPTSC : Department of Power Transmission and System Control MMK : Kyats MPE : Myanmar Petroleum Enterprise MOEE : Ministry of Electricity and Energy MOT : Ministry of transportation YCDC : City Development Committee SS : Substation WEIGHTS AND MEASURES ft - feet ft2 - square feet km - kilometer kV - kilovolt kWh - kilowatt-hour LV - low voltage Ha - hectare m - meter m2 - square meter

This Resettlement Due Diligence Document 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 particular territory or geographic area in this document, the ADB does not intend to make any judgments as to the legal or other status of any territory or area.

2 TABLE OF CONTENTS

ABBREVIATIONS ...... Error! Bookmark not defined. ELECTRICAL TERMINOLOGY ...... Error! Bookmark not defined. A. Introduction ...... 4 B. Subproject Description ...... 5 C. Methodology of Resettlement Due Diligence ...... 6 D. Impacts of Subproject and Mitigation Measures ...... 7 E. Public consultation ...... 8 F. Compensation and implementation plan ...... 9 G. Conclusion ...... 9 Annexes ...... 9 Annex 1. Minutes of Public Consultation ...... 9 Annex 2. List of participants of public consultatio Annex 3. Pictures of public consultation...... 15

LIST OF TABLES AND FIGURES

Figure 1. Location of Project Components – Myanmar: Power Network Transmission Project .... 4 Figure 2. Alignment of Thaketa - Kaiakasan location ...... 6 Figure 3. Area for construction of 230kV Thaketa - Kayakasan UC Compensation and implementation plan ...... 8

Table 1: Overall Project Components under the Loan ...... Error! Bookmark not defined.

3 A. Introduction

1. The Republic of the Union of Myanmar, through the Ministry of Electricity and Energy (MOEE) requested the Asian Development Bank (ADB) to partially finance the Project, "Power Transmission Improvement Project" (the Project). MOEE will be the executing agency (EA) of the project. The Department of Power Transmission and System Control (DPTSC) will be the implementing agency (IA). 2. The project involves (i) construction of 230kV double circuit transmission lines (TL) that will connect the substations of Thida, Thaketa, and Kyaikkasan in Yangon with total length of 13.3 km (Thida to Thaketa having 8.5 km of line and Thaketa - Kyaikkasan having 4.8 km of line) and installation of new equipment and switch bays at existing Thaketa substation and construction of new Kyaikkasan substation to accommodate the new transmission lines; (ii) 230/66/11 kV, 2 x 150 MVA New South Okkalapa substation; and (iii) construction of the 230/33/11 kV, 2 x 150 MVA substation at West University. 3. The project will strengthen the capacity of the staff of Department of Power Transmission and System Control (DPTSC) in implementing projects financed by the Asian Development Bank (ADB). The project will help to complete the critically important 230 kV transmission ring supplying electricity for the and ensure reliable electricity supply to support sustainable economic development for Myanmar. 4. Impact and Outcome. The impact of the project will be economic and social benefits to residential, commercial, and industrial consumers from reliable and sustainable electricity supply for the Yangon region. The outcome will be improved reliability of the Yangon power transmission system. 5. Outputs. The project outputs will be (i) a 230 kV power transmission ring including 230 kV transmission line and substations developed for the Yangon region and (ii) capacity of staff of Department of Power Transmission and System Control (DPTSC) in implementing ADB financed projects strengthened. 6. This Due Diligence Report (DDR) is prepared for the 230 kV new Kyaikkasan Substation as the Subproject does not require land acquisition of any household but one organization, which is Yangon City Development Committee (YCDC). Table 1: Overall Project Components under the Loan

No. Location Description of Project Components Yangon Region 8.5 Km double circuit transmission lines that will connect the substations of Thida and Thaketa substation; The TL will feed the 1  Thaketa Township power from 230/66kV Thida substation and transmission power to  Botahtaung Township 230kV Thakeda substation;

Yangon Region 4.8 Km of 230 kV underground cable single circuit transmission line 2  between Thaketa and Kyaikkasan substations

Yangon Region Extend the switchyard of the existing 230 kV Thaketa substation to 3  Thaketa Township accommodate two new 230 kV transmission lines.

Yangon Region 230/33/11 kV, 2 x 150 MVA substation at West University area to be 4  constructed

4 Yangon Region 5  Thaketa township Construction of the New 230/66 kV Kyaikasan substation  Dawbon Township Yangon Region 6 Construction of the 230/66 kV New South Okkalapa substation  Dagon Myothit (North)

Figure 1. Location of Project Components – Myanmar: Power Network Transmission Project B. Action that Triggers Due Diligence 7. The ''230kV Thaketa – Kayaikkasan transmission line subproject'' is a component from ADB loan. A draft RP report was prepared in January 2015 during the loan processing and as part of the Project Preparatory Technical Assistance (PPTA) and revised in August 2018 that consolidated both transmission line subprojects. In 2019, the design has been changed with the Kayaikkasan substation changed. Due to change of location of proposed 230/66 kV Kyaikkasan substation from the previous IEE, the length of the transmission line from 230/66 kV Thaketa extension substation to 230/66 kV Kyaikkasan substation has reduced from 11.3 km overhead transmission line to 4.8 km for underground cable. Accordingly, the route for the underground cable (UG) would differ as that will would be laid along the roadside (Figure 2). 8. As per ADB Safeguard Policy Statement, 2009 (SPS), an RP needs to be prepared due to design changes. The ADB Operations Manual (OM) Section F1/BP (2013) states as follows: “A major change in scope is one that materially alters or fundamentally affects the project’s purpose (immediate objectives), components, costs, benefits, procurement, or other implementation arrangements as approved by the Board. All major changes in scope need to be screened by the project team for their environmental and involuntary resettlement

5 impacts. Those classified as category B require a new or updated Initial Environment Examination (IEE), resettlement plan, or Indigenous Peoples Plan (IPP). The operations department reviews and clears the new or updated IEE, RP, and/or IPP before approval of the change in scope, if the proposed change in scope is classified as category B.” C. Subproject Description Objectives of subproject 9. The subproject is constructed with the following purposes:  Constructing the new underground cable single circuit transmission line to complete the critical 230 kV ring for Yangon city;  Bringing economic and social benefits to residential, commercial, and industrial consumers from reliable and sustainable electricity supply for the Yangon region; and  Improving the reliability of the Yangon power transmission system.

Figure 2. Section of underground transmission line from Thaketa substation to Kyaikkasan substation Alignment of the Underground Cable line 10. 230kV underground transmission cable (UC) supplies power for Yangon city development. The UC is 4.8 km long from Thaketa substation to New Kayakasan substation. The alignment of UC is described as below:

6  Starting point: at the 230 kV switch bay of Thaketa substation;  The line goes underground along the AyeYar Wun Road(s) for 4.8 m;  The line turns right at the starting point on the Thaketa Substation and goes along the Nawarat street (internal road of the Aung Kaung Kyaw and Mya Khwar Nyo residential area);  The line turns to the right and goes along the Aye Yar Wun Main Road;  The ending point is at the 230kV switch bay of New Kyaikasan substation in Dawbon township. D. Methodology of Resettlement Due Diligence 11. The following methods were utilized for the purpose of this DDR, including:  Desk study method: The Consultant reviewed Feasibility Study Report for subproject features;  Field trips were conducted to observe and assess the subproject impacts; and  Public consultation was conducted with the YCDC, Thaketa township, and communities. E. Impacts of Subproject and Mitigation Measures Impacts of the subproject 12. 230kV UC Thaketa substation to New Kyakasan SS is 4.8km long and will temporarily affect about 860,000m2 of transportation land. This area will be temporarily affected due to the construction of the cable trench which is 1.5m in width and 2.2m in depth. 13. The Subproject is located in the area with highly traffic density and narrow roads. The route will go along the Aye Yar Wun road, along which there are several food shops, grocery shops, and garages, etc. These shops may be temporarily affected by the construction work of the subproject due to difficult accessibility by customers during the construction period. However, the latest trenchless “Horizontal directional drilling technology” (HDDT) to install conduit or pipes for extruding the cable without digging a trench on the roads, drains and canals will be used to minimize impacts. In addition, construction will be carried out successively by sections, and then the site will be restored within 10 days to ensure accessibility to the shops by customers; therefore, this will not entail business loss to the shops in the area. The construction of the underground lines therefore will require minimal route disturbance and reduce lack of access to local residents in the area. There may be no trees to be cut as a result of the underground section construction. 14. In the Aung Kaung Kyaw and Mya Khwar Nyo residential areas, the route will run along left side of the internal road. Four structures (car parking slots of four households) will be affected temporarily during construction and these four households will be provided with compensation to rebuild these parking slots.

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Figure 3. Area for construction of 230kV Thaketa - Kayakasan UC Mitigation Measures 15. The alignment of the cable line mostly goes along the frontage road (dike road) with narrow and crowded inner-city roads. The selection of the route alignment has been considered by the Design Team and DPTSC, taking into consideration feedbacks from public consultation in Thaketa Township1 and YCDC. 16. The option of cable line going underground is appropriate for the successive construction method. The construction sections will be fenced. The scope of the construction is bounded by the length of the cable line and the width that is large enough for 5-ton trucks transporting soil. The construction of the cable line is carried out by machines combined with manual works at nights. For the crossroad (at the T junction point), during the days, the cable trench is filled with sand and covered with thick steel plate so that vehicles can travel as normal. F. Public consultation 17. Various consultations were carried out during the PPTA in 2014. MOEE conducted preliminary consultations on 30 May 2014 with government stakeholders at the office of the Yangon Electricity Supply Board (YESB) to introduce the proposed power transmission project and to solicit their views and suggestions. On 2 October 2014, MOEE carried out a second consultation with representatives of YCDC and GAOs of Thaketa, Dawbon, and administrators of various wards

1 The section of the Kyaikasan-Thaketa transmission line will be changed from overhead line to underground transmission cable. The new alignment will follow the Moe Kaung Road, railway, and Ayer Wun Main Road from New Kyaikasan substation to Thaketa substation. 8 traversed by the 2 Transmission Lines (TL). In an effort to reach out to as many stakeholders as possible, ADB social and environmental safeguard consultants on 7 November 2014, met with non- government organizations (NGOs) at the headquarters of Myanmar Engineering Society. On 19 December 2014, MOEE officials and ADB social and environmental safeguard consultants, met with the AHs at the Yanpyay Manpyay Community Center. 18. Community consultations were arranged at Dawbon township and Thaketa township through public meetings, in the month of March 2018 and October 2019 during process of DDR which involved both men (97 Males) and women (43 Females) participants. Consultations were carried out through presentations and open discussions for both environment and social issues. Project information was shared with the local people. The contents of the presentations related to social safeguards included various aspects such as project/design features/line route alignment especially the revised design, core policy principles, potential project impacts and losses, compensation, valuation, additional allowances, eligibility and entitlements, cut-off-date, future plan of action, concerns and appeals from the people. All project information was shared with the people and their feedbacks were collected. (Meeting minute is attached to the Appendix 1; List of participants is attached to the Appendix 2; and Picture of public consultation is attached to the Appendix 3 of this report). G. Compensation and implementation plan 19. The Subproject only affects the transportation land; therefore, compensation for the affected land is not required. 20. For four car parking slots, the contractor will pay the owners via negotiation for temporary impacts and restoration of these slots. 21. The subproject is expected to commence construction in end of 2020 and complete by the end of 2021. MOEE will inform subproject activities to ADB through semi-annual monitoring reports. H. Conclusion 22. The construction of 230kV Theketa - Kayakasan UC will not cause permanent land acquisition impacts to AHs. There is no private house and/or main structure affected by the subproject. There is also no household affected on livelihoods or incomes as a result of the subproject implementation. 23. There are four car parking slots that will be temporarily affected during construction and the compensation will be paid by the contractor to temporarily displace and restore the slots. 24. MOEE/DPTSC will inform ADB about the subproject implementation status through the semiannual social monitoring report.

Annexes Annex 1. Minutes of Public Consultation

Loan 3330 MYA: Power Transmission Improvement Project

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Minutes of Public Consultation

Location: General Administration Office, Thaketa Township, Southern District, Yangon Region Date: 8 September 2019 Time: 4:00 PM – 5:25 PM Substation/Transmission Line: New 230/66kV Kyaikkasan Substation, Thida-Thaketa Transmission Line

Comment and Suggestion

Comments and Suggestion Response by the Project

Department/Organ Department/Organi Comments and Suggestions Response ization zation

What is the height of the proposed Parliament DPTSC The height is 24 m (70ft). mono poles?

Since 2014, after we made many negotiation processes, we If the overhead transmission line, selected the best route for the line high-rise building will be dangerous. with less impact. Before the project Parliament Therefore, underground cable line is DPTSC implementation, the detailed suggested for Thida-Thaketa measurement survey will be transmission line conducted in coordination with relevant departments. If any danger along the route of If this overhead transmission line is the transmission line, ADB will not constructed, the high-rise buildings Parliament DPTSC be allowed. ADB will conduct its could not be built along the line route project in accordance with ADB in the future. guideline. The project will comply international guidelines and EMF guideline of Environmental Conservation Department. Impact of Electricity Magnetic Field According to WHO guideline, there (EMF) could not be impacted on National is low evidence of health impact Parliament surrounding in the beginning of the Environmental due to EMF. During the project, however, the impact could Specialist implementation of the project, the be affected in long time. EMF monitoring will be continuously conducted in accordance with Environmental Management Plan. In the future, there will be high-rise According to electricity law and buildings. If the overhead rule, the construction of any transmission line, it will be buildings is not allowed within the Parliament DPTSC dangerous. therefore, I would like to right of way. suggest to construct underground line by considering the future.

10 The underground line also has side effect like flooding. If the According the proposed transmission electricity shock is occurred, it is line, there are many houses along more dangerous than the the transmission line. It should be transmission line. In Myanmar, the Parliament DPTSC discussed with affected persons. The maintenance is weak in compared best way to reduce the impact is to with other countries, therefore construct the underground cable line. overhead transmission line is more suitable than the underground cable line

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Annex 2. List of participants of public consultation

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13 No. Name Male Female Position Department 1 U Wai Phyo Aung 1 Member of parliament Theketa 2 Daw Thet Htar Nwe 1 Member of parliament Theketa

3 U Soe Lin Hteik 1 Assist Director Township GAD

4 U Aung Nyein Kyaw 1 Township Chairman YCDC

5 Daw Mya Than Dar Hlaing 1 Township GAD Staff YCDC

6 U Myo Naing Win 1 Township GAD Staff Theketa 7 U Tin Tun Win 1 Administrative Officer Theketa 8 U Kyi Win 1 7/west Ward leader Theketa 9 U San Maung 1 8 Ward leader Theketa 10 U Htay Aung 1 Industrial Ward leader Theketa 11 U Nyi NYi Win 1 4/south Ward leader Theketa 12 U Tun Tun Naing 1 AE DPTSC 13 U Yu Pa 1 Officer DPTSC 14 U Thu Rain Lin 1 Officer DPTSC 15 U Soe Nyein Thu 1 Officer DPTSC 16 U Nay Min Oo 1 AE DPTSC 17 U Aung Than 1 EOI YCDC 18 U Khin Maung Nyunt 1 Second Officer Department of Police 19 U Ngwe Htay 1 Second Officer YCDC 20 Ma Aye Aye Saw 1 National Consultant ADB 21 Ma Swe Swe Oo 1 National Consultant ADB 22 Ms.Van 1 International Consultant ADB 23 U Myo Min Latt 1 1/Htoo Par Yone Theketa 24 U Kyaw Kyaw Khaing 1 6/East Ward Leader Theketa 25 U Lwin Min Oo 1 1/A Naw Mar Ward Leader Theketa 26 U Nan Swe 1 Man Pyay Ward Leader Theketa 27 U Hla Kyi 1 9 Ward Leader Theketa 28 U Thet Oo 1 2/South Ward Leader Theketa 29 U Soe Myint 1 Suu Khin Thar Ward Leader Theketa 30 U Naing oo 1 4/North Ward Leader Theketa Department of 31 Daw Sann Pyhu Phyu Saw 1 Assist Director construction Department of 32 Daw Thidar Lwin 1 Officer Planning 33 U Han Myo Kyaw 1 Officer YESC Department of 34 Daw Lwin Lwin Moe 1 Assist Director Planning Total 26 8

14 Annex 3. Pictures of public consultation

The Social Consultant presented social impacts of The Environmental Consultant presented environmental the project impacts of the project

DPTSC explained about the project The township GAD Discussed about the project

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