Land Acquisition and Resettlement Plan Lao

Land Acquisition and Resettlement Plan

Document Stage: Draft Project Number: 50236-002 June 2019

Lao PDR: Sustainable Rural Infrastructure and Watershed Management Project

Nam Seng Subproject Nan District, Luang Prabang Province

Prepared by the Ministry of Agriculture and Forestry for the Asian Development Bank. CURRENCY EQUIVALENTS (as of 1 June 2019) Currency unit – kip (KN) KN1.00 = $0.000116 $1.00 = KN8,644

WEIGHTS AND MEASURES

ha – hectares km – kilometers km2 – square kilometers m – meters m2 – square meters m3 – cubic meters

NOTE In this report, "$" refers to United States dollars.

This land acquisition and resettlement plan 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 Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.

ABBREVIATIONS and ACRONYMS

ADB – Asian Development Bank AHH – Affected Household AP – Affected Persons COI – Corridor of Impact DAFO – District Agricultural and Forestry and Office DCO – District Coordination Office DMS – Detailed Measurement Survey DRSC – District Resettlement Committee EA – Executing Agency EGS – Environmental Group Survey EG – Ethnic Group EGP - Ethnic Group Plan EGDF – Ethnic Group Development Framework EGDP – Ethnic Group Development Plan EGF – Ethnic Group Farm work EIRR – Economic Internal Rate of Return EM – Entitlement Matrix EMA – External Monitoring Agency GAP – Gender Action Plan GRM – Grievance Redress Mechanism GMS - Greater Mekong Sub region GRU - Grievance and Redress Units HPN – Houaphan HVC High Value Crops IA – Implementing Agency IOL – Inventory of Losses IPP – Indigenous Peoples Plan LARP – Land Acquisition and Resettlement Plan LECS - Lao Economic and Consumption Survey LFNC Lao Farm work National Consultant LNFC – Lao Front for National Construction LPB – Luang Prabang LRM – Lao Resident Mission LSIS – Lao Social Indicator Survey LWU – Lao Women’s Union MAF – Ministry of Agriculture and Forestry MCH – Mother and Child MONRE – Ministry of Natural Resources and Environment NCAW – National Committee for the Advancement of Women NESDP – National Economic and Social Development Plan NGO – Non-government organization NPC – National Project Coordinator NTFP – Non-Timber Forest Products PAFO – Provincial Agriculture and Forestry Office PIB – Project Information Booklet PGT – Project Governance Team, DoI

PPIT – Provincial Project Implementation Team , PAFO PPTA – Project Preparatory Technical Assistance PRC - Provincial Resettlement Committee PRI - Productive Rural Infrastructure PRSC – Provincial Resettlement Committee RCS - Replacement cost Survey REGDF - Resettlement Ethnic Group Development Framework RF – Resettlement Framework RP – Resettlement Plan RSP – Representative Subproject SESAH - Social Economic Survey of Affected Households SIA – Social Impact Assessment SPS – ADB Safeguard Policy Statement (2009) SP – Sub Project SRIWSM - Sustainable Rural Infrastructure and Watershed Management Project VC - Value Chain WGS – Water Group Survey WREA – Water Resources and Environmental Agency WUA – Water User Association WUG – Water User Group XBY – Xayaboury XK – Xiengkhouang

Contents I. EXECUTIVE SUMMARY ...... 1 A. The Project ...... 1 B. Nam Seng Subproject ...... 1 Headworks ...... 1 Distribution canal ...... 1 Access ...... 1 Other ...... 2 C. Scope of Land Acquisition and Mitigation Requirements ...... 2 D. Consultation, Participation and Grievance Mechanisms ...... 2 E. Legal and Policy Framework ...... 3 F. Planning, Implementation and Monitoring ...... 3 G. Conclusion ...... 3 II. Project Description ...... 3 A. SRIWSM ...... 3 B. Nam Seng Subproject ...... 6 III. Scope of land acquisition and resettlement ...... 11 A. Affected Assets ...... 12 1. Affected Households ...... 12 2. Affected Lands ...... 12 3. Affected Structures and Assets ...... 13 4. Temporary Affected Land ...... 13 5. Businesses ...... 14 6. Vulnerable households...... 14 IV. Socio economic survey of affected households ...... 14 A. Demographic Information ...... 14 B. Income ...... 17 C. Assets ...... 18 D. Attitudes towards the project ...... 18 E. Gender and Vulnerable Households ...... 20 F. Ethnicity ...... 20 V. Information, Disclosure, Consultation and Participation ...... 21 VI. Grievance Redress Mechanisms ...... 25 VII. Legal Framework ...... 26

A. ADB policies ...... 26 B. Lao Policies, Laws and Regulations ...... 28 C. Resettlement policy gaps between ADB and GoL ...... 29 VIII. Entitlements, assistance and benefits ...... 33 Land donation ...... 33 IX. Income Restoration and Ethnic Group Development ...... 43 A. Vulnerable households...... 43 B. Ethnic Group Development Measures ...... 43 X. Resettlement Budget ...... 44 XI. Institutional Arrangements ...... 45 A. Ministry of Agriculture and Forestry ...... 45 B. Provincial Department of Agriculture and Forestry Office ...... 46 C. Provincial Resettlement Committee ...... 47 XII. Implementation Schedule ...... 47 XIII. Monitoring and Reporting ...... 48 A. Internal Monitoring ...... 48 B. External Monitoring ...... 49 Annex 1a: Eligibility for Community Participation Framework ...... 51 Annex 1b: Preliminary Compensation Plan ...... 59 Annex 1c: List of Compensation support for vulnerable households ...... 61 Annex 2: Map of Nam Seng Irrigation Alignment and Land Parcels ...... 62 Annex 3: Participation and Community Consultation ...... 63 3.1 Initial Public Consultation and project Information Dissemination ...... 63 3.2 Consultation and SIA ...... 64 3.3: List of participants for June Community Consultation ...... 75 3.4: Minutes of initial design meeting ...... 80 3.5: Notes of village meetings during SESAH ...... 83 Meeting 1: ...... 83 Meeting 2: ...... 83 Meeting 3: ...... 84 Meeting 4: ...... 85 Meeting 5: ...... 86 Meeting 6: ...... 87 Annex 4: MoU on Discontinuation of Banana Plantation ...... 88 Annex 5: Cut-off Date Announcement ...... 90 Annex 6: Minutes of meeting for change of alignment ...... 94 Annex 7: Dissemination of updated compensation policy ...... 99 Annex 8: Project Information Booklet ...... 128

Table of Tables Table 1. Irrigation Data by Village (for system extension) ...... 9 Table 2. The land concession areas in three targeted villages of the Nam Seng project ...... 9 Table 3. Key Features of Nam Seng Irrigation Project...... 10 Table 4. Nam Seng – affected HHs and adversely impacted HHs ...... 12 Table 5. Nam Seng– affected land parcels ...... 13 Table 6. AHH Assets to be Compensated ...... 13 Table 7. Nam Seng– Vulnerable AHH ...... 14 Table 8. Nam Seng - Basic population data ...... 15 Table 9. Nam Seng demographics details ...... 15 Table 10. Average household income ...... 17 Table 11. Primary and secondary occupations ...... 17 Table 12. Support for the project ...... 19 Table 13. Decision making in the household ...... 20 Table 14. Women’s participation in decision making ...... 20 Table 15: Women in Decision making ...... 20 Table 16 Ethnic Breakdown by AHH ...... 21 Table 17. Key consultations and meetings conducted ...... 21 Table 18: Number of AP responding to the indicative choice survey ...... Error! Bookmark not defined. Table 19: Results of indicative choice survey of Households affected by less than 9% of their land plot ...... Error! Bookmark not defined. Table 20: Results of indicative choice survey of Households affected by 9% or more of their land plot ...... Error! Bookmark not defined. Table 21: Grievance Redress Mechanism Procedure ...... 25 Table 22: Reconciliation of ADB and GoL LAR Policy Gaps...... 29 Table 23: Criteria and Guidance Notes on Land Donation ...... 34 Table 24: Entitlement Matrix ...... 38 Table 26. Land Acquisition and Compensation Cost for lost assets ...... 44 Table 27. Summary of Subproject’s Land Acquisition and Compensation Budget ...... 45 Table 28. Schedule of RP Implementation ...... 47

Table of Figures Figure 1: Map with the location of sub-project ...... 7 Figure 2: Map with the details of the sub project ...... 8 Figure 3: Flowchart on compensation options ...... 37 Figure 4: Flowchart on compensation options ...... 133

DEFINITIONS OF LAND ACQUISITION, RESETTLEMENT AND COMPENSATION RELATED TERMS Affected An affected person indicates any juridical person being as it may an Person (AP) individual, a household, a firm or a private or public institution who, on account of the execution of the Program and its subprojects or parts thereof would have their: (i) Right, title or interest in any house, land (including residential, agricultural and grazing land), water resources or any other fixed or moveable asset acquired, possessed, restricted or otherwise adversely affected in full or in part, permanently or temporarily; and/or (ii) Business, occupation, place of work or residence or habitat adversely affected, with or without physical displacement; or, (iii) Standard of living adversely affected. Cut-off date This refers to the date that establishes the eligibility of affected persons. To be consistent with previous projects under the Ministry of Agriculture and Forestry, the cut-off date for this project coincides with the completion of the census of affected persons after the Provincial Coordination Unit officially informs the public about the Project and its locations. Anyone who occupies or encroaches into the defined boundaries of the Project area after the cut- off date will not be compensated for affected assets and incomes. Compensation Payment made in cash or in kind to APs at replacement cost for assets, resources and/or sources of livelihood and income acquired or adversely affected by the project. Graduation or Families that graduated from poverty are those families who meet the families from criteria for graduation from poverty established through decree 348/GOL poverty signed by the Prime Minister on 16 November 2017. Indigenous A distinct, vulnerable, social and cultural group possessing the following Peoples characteristics in varying degrees: (i) self-identification as members of a distinct indigenous cultural group and recognition of this identity by others; (ii) collective attachment to geographically distinct habitats or ancestral territories in the project area and to the natural resources in these habitats and territories; (iii) customary cultural, economic, social, or political institutions that are separate from those of the dominant society and culture; and (iv) a distinct language, often different from the official language of the country or region. For the Lao context, the term Ethnic Group is used rather than IP. Involuntary The SPS (2009) considers resettlement involuntary when the displaced Resettlement persons have no right to refuse the land acquisition by the state that result in their displacement. This occurs when land is acquired through (i) expropriation by invoking the eminent domain power of the state, or (ii) land is acquired through negotiated settlement when the pricing is negotiated in a process where expropriation will be the consequence of a failure in the negotiation.1 Land The process whereby an individual, household, firm or private institution is Acquisition compelled to alienate all or part of the land s/he/it owns or is in the process of getting ownership of in favor of the government for the Project in return for compensation at replacement cost.

1 Involuntary Resettlement Safeguards A Planning and Implementation Good Practice Sourcebook – Draft Working Document, ADB, Nov 2012.

Rehabilitation The process to restore income earning capacity, production levels and living standards in a longer term. Rehabilitation measures are provided in the entitlement matrix as an integral part of the entitlements. Relocation The physical displacement of an AP from her/his pre-project place of residence and/or business. Replacement The amount in cash or in kind needed to replace lost assets at the time of Cost payment of compensation, including cost of transactions. If land, it means the cost of buying a replacement land near the lost land with equal productive potential and same or better legal status, including transaction costs. If structures, the replacement cost is the current fair market price of building materials and required labor cost without depreciation or deductions for salvaged building material or other transaction cost. Market prices will be used for crops, trees and other commodities. Resettlement Resettlement Plans (RPs) are time-bound action plans with budget setting Plans out resettlement strategy, objectives, entitlement, actions, responsibilities, monitoring and evaluation. Resettlement Refers to all physical and socioeconomic displacements and various measures provided to DPs or AHHs to mitigate all adverse impacts of the project, including compensation, relocation, and rehabilitation as needed. Residential land Land on which the primary residence of the household is built or land classified as such in the land title. Severely This refers to AHHs adversely impacted by the project, who will (i) lose 10% Affected or more of their total productive assets (generating income); and/or (ii) have Households to relocate.

Voluntary Land Voluntary Land Donation refers to households voluntarily giving part of their Donation land for the use of the project which has community bennefits. Vulnerable Vulnerable Groups: a group of people classified by one or more of the Groups characteristics below. A household with one of these characteristics is not necessarily considered a vulnerable household. Additional screening of each of the households belonging to this group is required to determine if the actual household is considered vulnerable and might suffer disproportionately or face the risk of being further marginalized due to the project. Vulnerable groups as per ADB SPS are: (i) female-headed households with dependents; (ii) household heads with disabilities; (iii) households falling under the national poverty line; (iv) elderly headed households who have no other means of support; (v) landless and (vi) ethnic groups.

Vulnerable A household belonging to the vulnerable groups who is determined, following Household screening by the project, as a household who might suffer disproportionately or face the risk of being further marginalized due to the project either at implementation or operations stages.

For a vulnerable household to be eligible for special project assistance as per entitlement Matrix a household needs to be Sociable Vulnerable or Economically Vulnerable.

Socially Vulnerable: Vulnerable household unable to participate fully in project activities. This can be a result of (i) difficulties in understanding the project communications, (ii) difficulties to attend project meetings and consultations, (iii) difficulties to express concerns and suggestions for consideration for inclusion into project design or (iv) difficulties to have their interests represented in committees.

Economically Vulnerable: Vulnerable household who is (i) unable to conduct the additional dry-season farming due to disabilities, lack of labor or other reasons or (ii) those who will face economic stresses due to the loss of land or (iii) a household not yet graduated from poverty.

I. EXECUTIVE SUMMARY

A. The Project

1. The project seeks to address sustainable rural economic growth and watershed management in the four provinces of Luang Prabang (LPB), Xayaboury (XBY), Xiengkhouang (XK) and Houaphan (HPN), in the northern Lao PDR. These provinces feature mountainous and upland topography, ethnic groups and poor households (average of around 33%), with associated food insecurity. The population of the four provinces is predominantly rural. Impacts of improved infrastructure, including enhanced rural connectivity and improved agricultural production, are expected to have substantial benefits to population of the proposed subproject areas.

B. Nam Seng Subproject

2. The proposed Nam Seng subproject area is located in Nan District of Luangprabang Province, about 7km out of the district town along national Road No. 4, close to the junction with national Road13 North at Xieng Ngeun District of Luangprabang Province. The SP area is about 70km from Luangprabang City. The road connects directly with Sayabouri District of Sayabouri Province. The proposed subproject involves 7 villages farming in the Thongphieng Vilay valley including: i) Thongphieng Vilay, ii) Sivilay, iii) Nakheun, iv) Thad, v) Phon Hine, vi) Pak Khone and, vii) Simoungkhoun village.

3. The physical works involved in the extension and modernization of the Nam Seng irrigation scheme involve:

Headworks • Installing a sediment gate in the Nam Seng headworks weir crest to permit flushing in the wet season and • Repairing the concrete on the downstream apron and local scour issue

Distribution canal • Securing the main canal (MC) from damage during large floods. This involves ensuring the canal front and side walls at the first control gate are above design flood level. • Repairing the MC canal road for 8 km from downstream of the tunnel to the outlet to Houay La catchment. • Repairing and installing additional masonry lining in 15 sections in canals MC and MC1 (total 2,340 m), to reduce leakage losses • Covering the canal in unstable bank sections to prevent land slide debris blocking canals MC and MC1 (total of 865 m) • Installing improved canal crossings / super passages for watercourses to secure canal and prevent water ingression at 12 places along MC and MC1 • Constructing SC1 canal (new) to serve the extension 265 ha command area • Constructing 4 tertiary canals and 2 sub-tertiary canals (TCs) to Improve water distribution and use efficiency

Access • Improving field access in the SC1 command area by incorporating roads along SC1 and TCs to facilitate production, irrigation operation and maintenance.

Other • Installation of staff gauges to facilitate water management in all canals and distribution points

C. Scope of Land Acquisition and Mitigation Requirements

4. A combined Resettlement Ethnic Group Development Framework (REGDF) has been prepared to guide the preparation of Land Acquisition and Resettlement Plans (LARPs) that will be required under the SRIWMP implementation.

5. The total number of affected households (AHH) is 106 consisting of 6032 affected people (AP). Of these 106 HH, 93 Households have land plots eligible for compensation through the Community Participation Framework and 33 Households have land plots eligible for compensation through the Resettlement Framework. Note that several households have multiple plots affected. This includes 9 AHH affected on their residential land (691m2). The project has 10 vulnerable AHHs (64 APs). The total area of agricultural land affected by the project is 38,007 m2.

6. Two (of 2 AHHs) secondary structures (toilets) are affected. There is no dismantling of residential structures, or impact on graves or businesses. 5 Households have a total of 523 trees affected in the project area. Most of the trees are Teak trees aged 6 years or more.

7. Within all the AHHs 57.2% are of Lao Loum ethnicity, 19.8% are Hmong, 26% are Khmu ethnics, 4.2% are Prai and 1% are Nyouan. The project is classified as Category B for IP safeguards purposes. Elements of an EGDP have been included in this combined EGDP/LARP and as such it does not require a separate Indigenous Peoples Development Plan. Ethnic groups live in different community scenarios; some villages are of single ethnicity, whereas other villages will be multi-ethnic. Ethnic groups in the project area are considered to be fully integrated within the Lao-Tai social, political administrative systems, the cash economy and the commercial marketing of produce.

D. Consultation, Participation and Grievance Mechanisms

8. Consultations, public meetings and village discussions with the AHs and the local governments were conducted prior to the conduct of detailed measurement survey (DMS) as well as socio-economic survey of affected people (SESAH). Public consultation meetings were held in all affected villages. Public consultations will continue during Land Acquisition and resettlement Plan (LARP) development, consistent with the subproject’s participatory approach.

9. The community was advised officially from the District Governor’s Office that the “Cut Off” date for recognizing changes to land ownership under the LARP is 22 June 2018. Project information booklet (PIB) was disseminated in beginning of October 2018 and an update of the booklet (Annex 8) distributed in May 2019

10. A grievance redress mechanism (GRM) has been designed to ensure that the concerns and complaints of the AHs are addressed at the village level in a timely and satisfactory manner. The AHs will be made fully aware of their rights through verbal and written means during resettlement planning, updating, and implementation. This mechanism will be free to access and have numerous entry points including contractors’ camps and village offices.

2 Total AP figure is missing one AHH (SESAH not completed for this one) 3

E. Legal and Policy Framework

11. This LARP has been prepared to address land acquisition and resettlement (LAR) for the subproject in Nam Seng. It is consistent with the laws of the Government of Lao PDR and ADB’s 2009 Safeguard Policy Statement (SPS). Provisions and principles adopted in the project resettlement policy will supplement the provisions of relevant decrees currently in force in Lao PDR wherever a gap exists.

12. As outlined in the REGDF, the project assessed the impacts on the affected households for SRIWSM, and applied to the SRIWSM subprojects the policy of compensation through either the community Participation Framework or Resettlement Framework.

F. Planning, Implementation and Monitoring

13. The Ministry of Agriculture and Forests (MAF) is the Executing Agency (EA), and the four Provincial Agriculture and Forestry Offices (PAFO) in HPN, LPB, XK, and SBY, will be the implementing agencies (IA), responsible for LARP (and project) implementation. The Provincial Project Implementation Team (PPIT) under PAFO will implement and monitor the LARP with support from the social safeguards international and national consultants from the Program Governance Team (PGT) based in the Department of Irrigation (DoI) at the central level. The Project will contract service providers for carrying out the DMS in each subproject during implementation.

14. Monitoring and reporting of land and assets compensation payments, including compensation in-kind, will be included in the Project monitoring and evaluation (M&E) system and reported to Government and ADB through the quarterly Design Monitoring Framework (DMF).

G. Conclusion

15. The subproject has been assessed as Category B for the resettlement safeguard.

16. The estimated resettlement budget is 152,35 million LAK (17,924 USD), not including in- kind compensation works agreed through negotiated settlement or compensation in-kind. Households seeking minor in-kind construction works to be implemented to either improve the productive capacity of their affected land or other land plots. Examples of such works include installation of an additional drain culvert, provision of water through a pipe, to levelling of a non- affected land plot. Such construction works will be mutually agreed and put in writing during consultation meetings and thereafter be included in the contract with the construction company. The cost of these construction works is not included in the resettlement budget but in construction budgets.

II. Project Description

A. SRIWSM

17. The project seeks to address sustainable rural economic growth and watershed management in the four provinces of Luang Prabang (LPB), Xayaboury (XBY), Xiengkhouang (XK) and Houaphan (HPN), in the northern Lao PDR. These provinces feature mountainous and upland topography, ethnic groups and poor households (average of around 33%), with associated food insecurity. The population of the four provinces is predominantly rural. Impacts of improved

infrastructure, including enhanced rural connectivity and improved agricultural production, are expected to have substantial benefits to population of the proposed subproject areas.

18. The rural population depends on agriculture as the basis for development with the irrigation command areas playing a significantly important role in household food security through the wet season rice crop. For these irrigation schemes, upstream watershed health is critical for sustaining agricultural production. Livelihood practices by people living upstream of PRIs are often directly or indirectly linked to the irrigation command areas with the downstream consequences of land use on the future irrigation scheme sustainability being increasingly important. More secure land ownership rights for farmers is an essential input for better land stewardship both within the farmed irrigated areas and the wider watershed.

19. Sustainable watershed management is needed to facilitate; (i) reduced pressure on watersheds; (ii) improved economic opportunities; and (iii) to mitigate hydrological extreme events. The project will complement ongoing projects by supporting more resilient productive rural infrastructure (PRI), strengthening sustainability of operation and maintenance through local water user groups, establishing land registration for land ownership, supporting the development of more efficient and more environment-friendly agricultural practices for commodity with competitive market linkages. Irrigation systems efficiency will be improved, with particular focus on operation and maintenance through strengthening of water user groups including setting up operation and maintenance plans, improved irrigation service planning, as well as innovations for increasing agricultural commercialization and water productivity.

20. The project will have the following outputs:

21. Output 1: Market oriented agricultural production increased. The project will improve market value chains and diversity of production by addressing: (i) connectivity of markets to producers through Value Chain actors including the possible use of mobile phone-based app that provides market information, allows producers to signal available outputs and provides agents and traders access to increase the efficiency of logistics; and (ii) investment into new technologies and extension for dry season irrigated cash crops, upland crops, and livestock.

22. Output 2: Watershed ecological services protected. The output will enhance watershed management in Xiengkhouang Province. The project will support the updating or completion of participatory land use plans in the catchments and their actual implementation. Implementation will target the voluntary movement of land from low productive slash and burn practice into high productive perennial vegetation land uses and or protected forests. A representative subproject within the Nam Tong, Xiengkhouang subproject catchment has identified 5 investments in the catchment based on the PLUP and will require community agreements in advance of investment and will provide land titles to income generation linked to irrigation, tea production and fodder land.

23. The Participatory Land Use Plan of the community (23 households) includes focusing on high productive agriculture in specific locations and thereby releasing 841 ha of land from it’s current low productive use to protection forest. Currently, there is 286 ha of land allocated for Rotational Upland Annual Cropping. Current use is limited to only 5 households that currently have inadequate rainfed rice to enable food security. The SRIWSM seeks to work with the village and these five households to provide alternative food security. These 5 households hold have land in the area were the 21 ha. riparian-based irrigation schemes. The project will provide support for will(?) allow their land to be converted to irrigated paddy fields to offset the retirement of rotation annual upland cropping as well as participate in the forest tea development. Each of the 5

five households will get a fair share of the 45 ha of forest tea development to enhance their cash incomes (actual land plots will be allocated during the PLUP process with land titles provided). The highest prices for forest tea can be obtained in the beginning of the dry season, after wet season rice harvest, during the “spring flush”, when high quality young leaves are sold at a premium price. Both the irrigated paddy fields and the tea plantation land plots will be titled. The 286 ha of land assigned for rotational upland annual cropping will be turned into conservation forest or village protection forest categories to improve the water shed quality.

24. 555 ha of village forest land is currently used for free range cattle grazing which will be turned into conservation forest or village protection forest categories by developing a total of 260 ha of grazing fodder land. The positive effect of improved fodder land for cattle raising is already demonstrated by the village chief who raises his cattle using the “cattle fattening” approach. Lessons learned from pasture development and fencing from the NZ AID Beef Sector Support project and the Department of Livestock, MAF northern livestock support project funded by ADB will also be used to expose and demonstrate cattle owners to new technologies and their use.

25. In addition, the output 2 will construct check dams and associated productive agroforestry, and an upgraded access road linking the community with the road adjacent to the Nam Tong CMI head works command area to reduce travel times to schools, markets and administrative services.

26. Output 3: Command area irrigation reliability improved. Direct investment in irrigation schemes and command areas through improvement of headworks, main and secondary canals, distribution systems and access to fields. Notable positive impacts include the impact on household income for both irrigators (targeting a 2 to 3 - fold increase) and other community households through the significant increase in wage earning employment arising from dry season cropping. The operation and maintenance of the irrigation schemes will be assigned to water user groups (WUG) that will be formed and linked through water user associations that will be assisted with capacity and equipment to operate their schemes.

27. Output 4: Nutrition awareness and facilities improved. The project will support up to 104 villages under the wider government nutrition support program to address stunting and wasting rates. The support will upscale recently piloted programs in Xieng Khuoang and Houaphan Provinces and will develop district nutrition committees, village nutrition schools and provide capacity to institutionalize nutritional knowledge at Provincial, District, and village levels. The project will also implement WASH infrastructure in PRI communities, Schools and Markets.

28. Of the four outputs, the upgrading of PRI (output 3) will entail land and asset acquisition. This loss will be mitigated by access to improved irrigation through the ability to produce irrigated high value crops during the dry season with complementary increases in the wet season rice crop yields (15 to 22% yield increases), transitional allowances and by compensation for any losses in line with the entitlement matrix. A community participation framework is imbedded in the Resettlement and Ethnic Group Development Framework (REGDF) as a guide for land acquisition with minimal impacts (equal to or less than 9% of land plot affected) with the option of donation, negotiated settlement or realignment of canals. The resettlement and ethnic group development framework applies to land that has impacts of over 9% of the land plot wherein AHs are provided compensation according to the entitlement matrix. Compensation for non-land assets and allowances are provided to all eligible AHs for both frameworks. The project will be financed by two donors being ADB and the EU through blended co-financing. ADB financing will mostly support output 3 for irrigation infrastructure. In addition, ADB will support investment in output 1 – market linkages for the four representative subprojects, output 3 water user group strengthening for all four representative subprojects prepared by the TRTA consultants, and the WASH

infrastructure under output 4. Output 2 will be financed by ADB in only Xiengkhoang province with the remaining provinces being financed under a proposed GIZ project (using Green Climate Funds) that will finance the climate change mitigation activities in the upper watersheds as part of the wider World Bank Emission Reduction (except Xiengkhoang Province).

29. The proposed IFAD project will finance the expected soft investments relating to water user groups, farmer capacity development, market linked dry season irrigated agriculture and upland crop production adaptation using conservation agriculture techniques to develop more resilient livelihoods. IFADs funding will support all additional subprojects in addition to ongoing farm technology development in both the catchments and command areas under output 1, 2 and 3. The following framework applies to ADB and EU managed funds whereas the proposed GIZ and IFAD projects will be approved under their own safeguard documentation. It is recommended that the Executing Agency (EA) is common to all three projects to ensure that safeguards requirements are consistent across funding sources.

30. Four representative subprojects were identified and taken to feasibility study during project preparation; Nam Poua in Huaphan, Nam Seng in Louangprabang, Nam Tong in Xiengkhouang and Nam Moun in Sayabouli provinces, and a combined Resettlement Ethnic Group Development Framework (REGDF) prepared based upon scoping the likely impacts on land and assets. It is expected that each province will select an additional 4 subprojects (per province) during implementation, and as indicated in the REGDF only subprojects assessed as Category B or C (insignificant or no impact) for the resettlement safeguard area will be accepted for implementation.

B. Nam Seng Subproject

31. The Nam Seng irrigation project transfers water from the Nam Seng River to the Houay La River in Nan District of Luangprabang Province. Construction of the Nam Seng Irrigation System commenced in 1996 and took 8 years to complete using Lao Government budget. Of a total command area of about 1,000 ha, the original construction design provided a benefit area of about 381 ha, but the actual irrigable area was reduced to 350 ha of irrigated paddy, used by 442 HHs residing in nine villages. Currently in the wet season, rice is irrigated using field to field flow over the full 350 ha during rainfall deficit periods, and 320 ha is irrigated from December to March for dry season (DS) rice production.

Figure 1: Map with the location of subproject

Figure 2: Map with the details of the sub project

32. Of the three future areas identified for expansion in the Nam Seng irrigation scheme, area SC1, which is a 265 ha block served by the SC1 canal, is proposed for inclusion under the Nam Seng RSP. Within this 265 ha area, four tertiary units are to be irrigated using four tertiary and two sub-tertiary canals (TCs) covering some 240.4 ha. The balance of 24.6 ha of block SC1 is to receive water directly from the SC1 canal. As there is only a 1 to 2 m fall across the command area from the design operating water level in SC1, a piped reticulation system is not an option and therefore elevated lined rectangular canals are proposed. From these TCs, farmers will let water out into field channels which they will construct along the contours to serve their fields. The preliminary design checks show that the length, slopes and capacities of these field channels can 9

be constructed within the recommended parameters for good irrigation practice for furrow irrigation. The number of HHs using the irrigation water by the village is detailed in Table 1.

33. Land Use Planning (LUP) has been applied in all subproject villages, including village boundary demarcation, allocation of Production Forest (925 ha) and Conservation Forest (560ha). Land Titling has been applied for both residential and paddy land parcels. Temporary Land Use Certificates have been applied for permanent upland areas used for wet season cash crop planting.

34. The Water User Group (WUG) of the Nam Seng Irrigation System was founded in 2002 under the Louang Prabang PAFO (Irrigation Section)/ Nan DAFO (Irrigation Unit).

35. Glutinous rice is the main crop planted in the areas where the Seng irrigation scheme extension will be constructed (Table 1). The yield is 4-5 tons/ha (which can reduce, subject to water availability and pests). Wet season cash crops in permanent upland areas include Job’s Tear, sweet corn (maize), groundnut (1-1.2 ton/ha) and sweet melon. Dry season cash crops include garlic, sweet corn (8,000 -10,000 pods/ha), groundnut, watermelon (12-15 tons/ha), cucumber (10-12 tons/ha) and vegetables.

Table 1: Irrigation Data by Village (for system extension)

Village Wet Season 2017 WS Area planted to rice User HHs (% of village HHs) (ha) 1 Thongphieng Vilay 113 59% 133.3 2 Sivilay 21 20% 21.9 3 Nakheun 44 17% 44.1 4 Thad 34 23% 40.4 5 Phon Hine 9 13% 10.4 6 Pak Khone 3 4% 4.9 7 Simoungkhoun 14 6% 17 238 61% 272 Note – current sub-project villages in grey highlight

36. The subproject area currently has a Chinese enterprise leasing land to grow bananas (Table 2). A contract for this activity was made between the district authorities of Nan district and KP Holding Group Ltd. (Chinese company) with contract No. 198/ district governor office (dated 08 May 2017) on agricultural land management and use for banana plantation. The 5-year agreement was from 01 May 2015 to 01 May 2020. The total concession area is 258.85 ha. Under the contract the company was responsible for payment of concession rent to AHHs, provincial M&E fee, contribution to district development fund and fund for rehabilitation after ceasing operations. The company also agreed to remove banana stumps and return the land to original condition. KP Holding Group Ltd. has since sold the banana plantation business to the Saoyeaunthang company.

Table 2: The land concession areas in three targeted villages of the Nam Seng project No. Villages Area concession (ha) No. HHs renting out land 1 Thongphiengvilay 48.24 49 2 Sivilay 34.23 21 3 Nakheun 6.7 4

Total 88.30 74

37. On 28 June 2018, the Agriculture and Forestry Office and Saoyeaunthang company signed a memorandum of understanding (MoU) to stop the land concession in the irrigated land areas in the Nam Seng project (Annex 4), certified by the District Governor. It is agreed that from 2018 the company will stop payments of the land concession fee to the farmers and stop cultivating bananas in the irrigated land area and potential areas for paddy land expansion. The company needs to remove all banana stumps and other waste residues before 20 December 2018.

38. The physical works involved in the extension and modernization of the Nam Seng irrigation scheme involves several items (Table 3). The alignment is shown in Annex 2.

Headworks • Installing a sediment gate in the Nam Seng headworks weir crest to permit flushing in the wet season and • Repairing the concrete on the downstream apron and local scour issue

Access • Improving field access in the SC1 command area by incorporating roads along SC1 and TCs to facilitate production, irrigation operation and maintenance

Other • Installation of staff gauges to facilitate water management in all canals and distribution points

Table 3: Key Features of Nam Seng Irrigation Project Item Dimension Nam Seng Weir Catchment Area 151.6 km2 Headworks Type of structure Existing RCC type. Sediment gate to be added Width, crest height weir W=29m, H=1.6m, L=7m length Canal – MC Command area 1000 ha (potential), 585 ha design 11

(Nam Seng) Intake 1.4m x 1.65m covered concrete channel, screened Canal dimensions to tunnel L=6,800m - Lined=1,250m, b=1.4m. h=1.65m; Unlined = 5,550m b=1.2m, h=1.65m side slope=1:1 Tunnel L=450m, b=1.5m, h=1.6m Canal dimensions from L=7,500m - Lined, b=1.5m. h=1.6m tunnel to end canal Canal road L=14,300 along canal Houay La Weir Catchment Area 18.7 km2 Headworks Type of structure Existing RCC type. Width, crest height weir W= m, H= m, L= m length Canal-MC Command area 1000 ha (potential), 585 ha design (Houay La) Intake 1.0m, screened & gated Canal dimensions L=8,500m Lined=1,000m, b=1.2m. h=1.35m; Unlined = 7,500m b=1.1m, h=1.45m side slope=1:1 Canal road L=8,500 along canal Canal MC1 Canal dimensions L=5.400m, steel pipe 1,200m dia 1.0m Lined – L=350m, b=1.4m, h=1.65m Unlined – L=3,850m, b=1.1m, h=1.45, side slope=1:1 Canal road L=8,000m Extension Area SC1 Secondary Canal SC1 - ICA = 265 ha Lined L=2,825m, b= 1.20m, h= 0.80 m SC1 Lined L=1,625m, b= 0.75m, h= 0.60 m. Tertiary Canals TC1 - ICA = 87.4 ha Lined L= 375m, b= 0.60m, h= 0.60 m. TC1 Lined L= 875m, b= 0.45m, h= 0.45 m. TC1-1 - ICA = 18.4 ha Lined L=1,000m, b= 0.40m, h= 0.35 m. TC2 - ICA = 70.8 ha Lined L= 900m, b= 0.60m, h= 0.6 m. TC3 - ICA = 43 ha Lined L= 325m, b= 0.50m, h= 0.50 m. TC3 Lined L= 400m, b= 0.35m, h= 0.30 m. T3-1 - ICA = 24.2 ha Lined L= 750m, b= 0.40m, h= 0.40 m. TC4 - ICA = 15 ha Lined L= 625m, b= 0.35m, h= 0.35 m.

III. Scope of land acquisition and resettlement

39. Detailed measurement survey (DMS) took place during 28-31 July 2018. The details on estimated requirements for land acquisition measured during the DMS are based upon the detailed engineering design layout for the subproject. The cut-off-date for the subproject in Nam Seng was announced on 22 June 2018. Before DMS, dissemination of the cut-off-date, regular consultation of the resettlement and compensation protocol at each village took place. The DMS was undertaken by a contracted survey firm along with representatives of the PRC, village authorities and assigned staffs of PAFO carried out the DMS to confirm the owner of each asset.

40. Impact on land and assets was minimized during project detailed designed by the following methods: a) Where possible by topography, locating the canal alignment between parcels of AHHs rather than splitting the land into separate parcel; b) Place alignment of secondary canals along existing access roads to minimize impact on private land;

c) Including in the design cross-field access structures for fields which are split due to canal construction to enable continuous effective farming on both parcels, and to increase sustainability of the canal structures by avoiding damage from livestock crossing the canal; d) Adjusting the alignment of the canal to avoid graveyard of Hmong and one residential house (for Minutes see Annex 6); and e) Alter the canal design by piping the water under one AHH to avoid impacting the land.

A. Affected Assets

1. Affected Households

41. 126 land parcels belonging to 106 households were identified in DMS as being potentially affected by the irrigation project in the villages as shown in Table 4.

42. Of these 106 households, 93 households have land plots eligible for compensation through the Community Participation Framework and 33 households have land plots eligible for compensation through the Resettlement Framework. Note that several households have multiple plots affected.

Table 4: Nam Seng – affected Households Number of HH with Number of HH with land plots eligible for land plots eligible Affected Affected compensation for compensation No. Village name HHs parcels through Community through Participation Resettlement Framework Framework 1 Thongphieng Vilay 64 77 51 26 2 Sivilay 18 20 16 4 3 Nakheurn 19 24 21 3 4 Thad 5 5 5 0 5 Phon Hine 6 Pak Khone 7 Simoungkhoun Total 106 126 93 33 Source: TRTA DMS survey.

2. Affected Lands

43. The 13 impacted residential parcels are within the same village. The total area impacted totals 902m2. 6 AHHs have both impacted residential land as well as impacted agricultural land. Compensation for housing land follows the Resettlement Framework.

44. DMS has confirmed the owners of the land and use of the land. Within the 106 affected households, 104 affected parcels have a land title. The two AHHs without LURC for the affected land are recognized owners. LURC will be provided for the 2 AHHs without LURCs.

45. Details of land that will be affected are in Table 5. The details of land acquisition to be carried out under this subproject are provided in Annex 1. Annex 2 has a detailed parcel map of the command area.

Table 5: Nam Seng– affected land parcels

Land type No. Item Residential Garden Paddy Upland Total land land land rice field 1 Number of land plots 13 48 62 3 126 impacted 2 Area of land 902 15,346 21,657 1,004 38,909 impacted in m2 Source: TRTA DMS.

3. Affected Structures and Assets

46. The subproject will not involve any physical resettlement or relocation of houses, or impact on any graves or cultural/historic sites.

47. There is impact on two secondary structures (toilets) of 2 AHHs with impacts on their residential land. These are detailed in Table 6.

48. The DMS lists five households with a total of 523 trees affected in the project area. Most of the trees are reported to be Teak trees aged 6 years or more.

Table 6: AHH Assets to be Compensated Compensated other assets

Other Crops Number of Other House / Shop Structures (m2) trees affected Toilets (units) (m2) (m2)

Affected 0 0 0 523 2 0 TOTAL 523 0 0 0 0 2

Source: TRTA DMS

4. Temporary Affected Land

49. The full extent of temporary land acquisition cannot be determined at this stage; however, it is expected that contractors would have a need for temporary site installation, camps, storage and temporary access road. The contractors would have to propose for the acquisition of this land in a “Site Installation and Access Plan” and obtain approval on this plan. Where possible, public and/or government land would be used for temporary land use. Through a transparent and contractual approach, the PGT will provide the contractor with the project’s land acquisition and compensation principles to ensure that (i) replacement cost rates are applied, (ii) reinstatement of affected assets is contractually defined, (iii) consultation taking place, (iv) grievance mechanism followed, (v) Environmental Management Plan (EMP) is applied, (vi) and other items specified, in compliance with the Project REGDF.

5. Affected Businesses

50. There is no impact on or loss of business incomes.

6. Vulnerable households

51. During SESAH and DMS data collection, 10 vulnerable AHHs (64 APs) have been identified. Detail are listed in Table 7.

Table 7: Nam Seng– Vulnerable AHH Village name Number of Vulnerable Total number of people households affected in the vulnerable households Thongphieng Vilay 7 47 Sivilay 1 7 Nakheurn 2 10 Thad 0 0 Total 10 64 Source: TRTA DMS and SESAH

52. The Socio-Economic status of households can change over time. This can in some cases lead to a change in the vulnerability status of a household. Households previously not vulnerable, can become so through for example divorce, death of a head of household, extended health issues leading to high medical expenses and loss of income pushing a household into poverty. At the same time, households listed as female headed and poor could, through marriage or financial stability, become no longer vulnerable. Therefore, following signing of the loan agreement, and the start of the implementation of the project, the list of vulnerable households needs to be reviewed and updated prior to project impacts and compensation.

IV. Socio economic survey of affected households

53. Initial socio-economic data on village level was collected during Social Impact Assessment (SIA) conducted in May 2018 (report dated 31.5.2018) prior to the DMS in July 2018. The socio- economic survey of affected households (SESAH) was conducted in 3-6 October 2018 with details on the affected households. SESAH data findings have been summarized below, whereas SIA data can be found from the Feasibility Study and SIA reports.

A. Demographic Information

54. The SESAH collected social and economic data for 104 affected households out of 106 affected households of the project (1 household was not willing to answer the SES, and one household head was in Vientiane and unavailable for the survey), with 603 affected people. Of the 603 affected people, 320 are male, 283 are female. The population pyramid shows (Table 8) the distribution of the population by age group. It can be seen that population is highest within the 15-29 age ranges, and there is a significant decrease for lower age groups suggesting stabilization in the population. Within this sample, there is a higher population of male than female, particularly within the young adult age range, suggesting that there is more outmigration of young adult women than men.

Table 8: Nam Seng - Basic population data Nam Nam Seng - Affected HH members population pyramid Seng Popn Male Female 0-4 37 21 16 84-89+ 80-84 4-9 51 28 23 75-79 10-14 45 21 24 70-74 15-19 62 38 24 65-69 20-24 70 38 32 60-64 55-59 25-29 75 47 28 50-54 30-34 41 18 23 45-49 35-39 52 25 27 40-44 40-44 33 15 18 35-39 30-34

45-49 26 16 10 25-29 50-54 24 10 14 20-24 55-59 23 11 12 15-19 60-64 19 9 10 10-14 4-9 65-69 12 8 4 0-4 70-74 13 5 8 -20.0% -15.0% -10.0% -5.0% 0.0% 5.0% 10.0% 15.0% 75-79 6 4 2 Female % Male % 80-84 6 1 5 84-89+ 8 5 3 Total 603 320 283

55. Table 9 summarizes the family members (in relation to the household head), their number, education and occupation type. It can be seen that the children of the household head/spouse are the dominant group (285 persons) and that they have significantly higher attendance at higher education and upper secondary school in comparison to their parents, with 29 of the 37 higher education attendants coming from the ‘child’ group.

56. Farming / gardening is the dominant primary occupation amongst household members. This is followed by ‘odd jobs’ which along with farming and study dominate the occupations for children of the head of household. Where there is a secondary occupation, farming, rearing livestock and casual labor are all well represented. Income from rental is also high which may relate to land leases for banana.

Table 9: Nam Seng demographics details B-in G- Bro/ law/ Child/ HH Father/ G- Niece/ Other. F-inlaw father/ Spouse Total Sis S-in step Head mother child neph rel. M-inlaw G- law mother Demographics Total 7 2 285 104 90 12 59 5 30 6 3 603 M 4 0 168 94 1 3 28 3 17 1 1 320 F 3 2 117 10 89 9 31 2 13 5 2 283 Education Primary 90 60 56 1 25 12 1 245 Lower Sec 1 56 21 13 5 1 6 103 Upper Sec 2 53 3 2 1 1 4 66 University 2 29 4 2 37

Associates 12 4 2 1 19 Never studied 1 2 12 17 11 1 1 1 6 2 54 No info 3 43 27 2 4 79 Employment Primary

Occupation Farming/ gardening 1 45 55 58 1 12 172 Odd job 26 8 3 4 41 Study 37 37 Livestock 1 7 5 4 2 2 1 21 Government staff 1 15 2 1 19 Business 6 6 6 18 No job 4 4 5 3 1 17 Permanent labor 7 3 3 3 16 Retires with 10 2 12 pension Employee in 10 10 private business Shop 3 7 10 Employee private 3 2 4 9 HH Rental 4 2 6 Remittance 1 4 5 Weaving 1 1 2 1 5 Aquaculture 2 1 3 Mental disability 1 2 3 Physical disability 1 1 1 3 Food service 1 1 2 Government Admin 2 2 NTFP 1 1 2 Retired no pension 2 2 Gov tech. 1 1 Registered 1 1 company Seasonal labor 1 1 No info 3 114 4 4 125 Secondary 0 occupation No job 78 16 21 5 13 1 2 136 Livestock 2 1 8 19 30 1 2 63 Farming/ gardening 1 27 16 11 1 6 62 Seasonal labor 1 9 11 2 2 25 Rental 13 6 1 1 21 Odd job 3 10 3 1 17 17

Remittance 8 7 1 1 17 NTFP 6 2 2 10 Weaving 1 3 1 5 Business 2 2 Aquaculture 1 1 Employee in 1 1 private business Food service 1 1 Shop 1 1 No info 3 4 152 5 4 5 4 4 1 182

B. Income

57. Affected household income (Table 10) was assessed by considering total annual income for both primary and secondary sources of income. It can be seen that the average income is approximately 53,346,000LAK (which for many will include sales of surplus production but not include the value of food that has been produced for household subsistence). The average income varies only a little across the four villages.

Table 10: Average household income Ave. per Village Affected HHs Av annual HH Income person per month 1 Thongphieng Vilay 58 52,506,000 725,500 2 Sivilay 20 58,263,000 749,000 3 Nakheurn 21 50,838,000 717,000 4 Thad 5 53,950,000 820,500 Total 104 53,346,000 733,000 (Note that in Sivilay 1 HH did not state any income)

58. The SESAH reviewed the income types of primary and secondary occupations of the household (Table 11) that the interviewee identified as bringing in income (the count of occupation types will be lower than for Table 9 on Nam Seng demographics details as, for example, 1HH will have 1 farming income, but 5 household members will consider their occupation as farming). It can be seen that farming/gardening is the dominant household work-type that generated income, with ‘odd jobs’, raising livestock, business and working with government, being options that provide income for a number of households.

Table 11: Primary and secondary occupations Primary occupation No. HH Av. Income/HH Total Income Farming/ Gardening 76 9,547,447 725,606,000 Odd jobs 23 23,468,943 539,785,700 Livestock 16 6,306,250 100,900,000 Business 14 63,325,000 886,550,000 Gov staff 14 29,250,000 409,500,000

Permanent labor 13 23,446,154 304,800,000 Private business 12 33,287,583 399,451,000 Retired pension 11 27,231,273 299,544,000 Shop 10 21,728,300 217,283,000 Rental 6 10,470,000 62,820,000 Remittances 5 2,760,000 13,800,000 Weaving 4 13,500,000 54,000,000 Aquaculture 3 11,066,667 33,200,000 NTFP 3 1,322,000 3,966,000 Food service 2 48,000,000 96,000,000 Govt administration 2 21,000,000 42,000,000 Registered Co. 1 84,000,000 84,000,000 Employee private HH 1 62,400,000 62,400,000 Gov technical 1 18,000,000 18,000,000 Seasonal labor 1 500,000 500,000 Secondary occupation No. HH Av. Income/HH Total Income Odd jobs 1 5,000,000 5000000 Farming/ Gardening 1 1,500,000 1500000 Livestock 1 500,000 500000

C. Assets

59. In terms of livestock assets most household have poultry (89.4%). 39.4% also keep cattle with an average stock of 5.9 animals. Despite this, it is notable that livestock does not feature strongly in the income/occupation table above (only 17 HHs say they derive income from livestock), perhaps implying that the interviewees considered these more as savings assets for larger livestock and food for poultry, rather than a key income source.

60. On household assets 96% of households have phones, with an average of 3 phones per household. 91% of households have a motorbike. Rice cookers (73.1%), televisions (93.3%) and refrigerators (75%) are common assets implying that the electric supply is sufficiently reliable and affordable. 54 households have a hand tractor (51.9%) and 15 have a car (14.4%), high value assets, which may either imply relative wealth or access to credit/loans.

61. The SESAH also considered access to utilities. It can be seen that purchase of filtered water (20 liter bottles) is the dominant source of drinking water (97.1%). Meanwhile, most households are using piped water for other domestic water needs (99%). All households have a water seal toilet and access to the electricity grid. Meanwhile, the preference is to use wood for cooking (89.4%).

D. Attitudes towards the project

62. The SESAH reviewed the support for the planned project with the 104 interviewed affected households (Table 12). Overwhelming majority supported the project (92.3%) and as it can be seen from the responses below that there is anticipated benefit from new dry season cropping as 19

a result of the irrigation for 93% of households and increased dry season crops for 94% of households. 93% of households considered that their land value would increase. However, in SESAH 33 households (32%) identified a negative impact for their assets/livelihoods. The main concerns identified included loss of land, income, and productivity. Some reported that their residential land would be affected or that they worried of not benefiting from the irrigation water. Suggested solutions included moving the path of the canals to the border areas of the land, having a narrower canal and provision of compensation.

Table 12: Support for the project No % Don't Project expected impact Yes % No % % commen know t New Dry Season Cropping 97 93.3% 6 5.8% 1 1.0% 0 0.0% Increased Dry Season Cropping 98 94.2% 5 4.8% 1 1.0% 0 0.0% Direct water supply 95 91.3% 6 5.8% 3 2.9% 0 0.0% Improved distribution 82 78.8% 6 5.8% 16 15.4% 0 0.0% Improved access 100 96.2% 1 1.0% 3 2.9% 0 0.0% Increased land value 93 89.4% 4 3.8% 7 6.7% 0 0.0% Increased rental value 88 84.6% 11 10.6% 5 4.8% 0 0.0% Expected increased yields 93 89.4% 6 5.8% 5 4.8% 0 0.0% Expected decreased maintenance 69 66.3% 11 10.6% 24 23.1% 0 0.0% Do you think the benefits are significantly greater than the value of 75 72.1% 23 22.1% 6 5.8% 0 0.0% the land and or assets you will lose? Will the loss of assets negatively 33 31.7% 70 67.3% 1 1.0% 0 0.0% impact your livelihood significantly? Do you support the project as 96 92.3% 7 6.7% 1 1.0% 0 0.0% planned? Do you think ethnic group HHs have special needs in order to participate 2 1.9% 15 14.4% 1 1.0% 0 0.0% equally as others?

If you foresee negative impacts from the Is there a way to mitigate these negative project, what are they exactly? impacts? No comment 56 No comment/ don't know 66 Loss of land 23 Move canal to non-productive/border 14 Loss of income 9 land The production decreases 6 Pay compensation 7 Affects centre of land: lose income 5 Make canal smaller (les wide) 5 Loss of residence land 5 ‘Want the water’ (suggests they have to 4 Land (high) will get no/less water 4 accept negative to meet their need to get water perhaps) Loss of land; and not use the water 3 Avoid paddy land 3 Not much affect 2 Leave this for Govt to solve 2 Loss of rental fee 2 Compensate with free water 1 Some places will be flooded 1 Reallocate other land as resident land (if 1 resident land is affected)

E. Gender and Vulnerable Households

63. In terms of decision-making at the household level it can be seen that for the majority, decisions are made jointly between men and women, and that most households (95%) consider women to be active in decision making (Tables 13 and 14). Where decision making was not jointly made, women appear to be more involved in decision making than men.

Table 13: Decision making in the household (Mostly) (Mostly) (Mostly) Decision making Female F% Male M% B% Total Both M/F Decision Decision Responsibility animals 25 24.0% 12 11.5% 67 64.4% 104 Expenditure Production 12 11.5% 10 9.6% 82 78.8% 104 House repair 14 13.5% 8 7.7% 82 78.8% 104 Expenditure HH items 18 17.3% 6 5.8% 80 76.9% 104 Expenditure Education 16 15.4% 4 3.8% 84 80.8% 104 Expenditure health 13 12.5% 4 3.8% 87 83.7% 104 Expenditure social 15 14.4% 6 5.8% 83 79.8% 104

Table 14: Women’s participation in decision making Describe women’s participation in Decision making No. HHs % Active 99 95.2% Passive 5 4.8% Total 104

64. Based on the SIA conducted at the kumban level women form about 50% of the SP community population of 5,756 and there is a total of 49 female heads of household (6% of total HHs). Women are represented within the village administration, although only as village committee members in 2 out of 6 villages, but have more representation in each village Elders’ Committee (Table 15). There is also a Lao Women’s Union representative in each village. However, there is a water user group established in the SP area which is comprised of a 5- member committee while there are no women on the WUG committee.

Table 15: Women in Decision making Village Committee Elders and Other Key Subproject Village members Persons No. M No. F % F No. M No. F % F 1. Thongphieng Vilay 3 1 25% 16 4 20% 2. Sivilay 3 1 25% 24 7 22.58% 3. Nakheun 3 0 0 23 6 20.68% 4. Thad 4 0 0 25 4 13.79% 5. Phon Hine 3 0 0 14 6 30% 6. Pak Khone 3 0 0 13 3 18.75%

F. Ethnicity

65. Within all the AHHs 57.2% are of Lao Loum ethnicity, 19.8% are Hmong, 26% are Khmu ethnics, 4.2% are Prai and 1% are Nyouan (Table 16). The project is classified as Category B for IP safeguards purposes. Elements of an EGDP have been included in this combined 21

EGDP/LARP and as such it does not require a separate Indigenous Peoples Development Plan. Ethnic groups in the project area are considered to be fully integrated within the Lao-Tai social, political administrative systems, the cash economy and the commercial marketing of produce.

Table 16: Ethnic Breakdown by AHH Village ThongphiengVilay Sivilay Nakheun Thad Total 1 Hmong 16 2 1 0 19 2 Khmu 18 4 3 0 25 3 Lao Loum 19 14 17 5 55 4 Nyouan 1 0 0 0 1 5 Phouan 0 0 0 0 0 6 Prai 4 0 0 0 4 Total 58 20 21 5 104

V. Information, Disclosure, Consultation and Participation

66. Meaningful consultation is a process that (i) begins early in the project preparation stage and is carried out on an ongoing basis throughout the project cycle; (ii) provides timely disclosure of relevant and adequate information that is understandable and readily accessible to affected people; (iii) is undertaken in an atmosphere free of intimidation or coercion; (iv) is gender inclusive; (v) enables the incorporation of all relevant views of affected people and other stakeholders into subproject design and implementation; and (vi) ensures the participation of AHs in planning, implementation, and monitoring and evaluation of resettlement programs.

67. To ensure that the views and concerns of the AHs are considered in project preparation and implementation and to reduce or offset negative impacts and enhance benefits from the Project, the following consultative activities have been conducted under the project. List of consultations can be seen in Table 17 with narrative of the consultation and participation process below.

Table 17: Key consultations and meetings conducted Activities Date Location Attendants Key agenda/issues Initial project concept 10/4/2018 Ban Sivilay 16 (3 women) Explain Project explained. General concept, likely community support. impacts and benefits, feasibility process, land acquisition modalities, GRM. (Annex 3.1) Project information 2-4/5/2018 TP Vilay, Sivilay, 49 (40 women) Men’s and dissemination Nakheun women’s focal groups for Project concept, participation and feasibility process. Public

support, GRM. (Annex 3.2) Project information 4/5/2018 TOP Vilay 74 (31 women) EG HHs dissemination discussion groups (Annex 3.2) Consultation Meeting 6/6/2018 Sivilay village 50 (6 women) Nam Seng with Koum meeting room Irrigation system BanThongphiengsivilay Design and area Resettlements work (Annex 3.3 & 3.4) Dissemination of 3-5/10/2018 Nam Seng All AHHs Updated general Project Information information of the Booklet project (Annex 7) Village meetings 4/10/2018 Thongphiengvilay 46 (18 women) Project policies during SESAH village hall on compensation Village meetings 5/10/2018 Sivilay meeting 14 (5 women) on land and during SESAH hall assets, Village meetings 5/10/2018 Nakheun 19 (8 women) consultation, during SESAH voluntary land release form, LURC issuance, SESAH (Annex 3.5) Consultation with AHH 22/05/2019 Sivilay village 30 (9 women) Dissemination of Consultation with AHH 23/05/2019 Nakheun 31 (14 women) updated And That villages compensation Consultation with AHH 24/05/2019 Thongphieng 48 (16 women) policy using the village compensation flow chart. Dissemination of updated PIB

68. Consultations with and disclosure to the beneficiary community commenced in March 2018, with initial physical scoping and discussions with the community regarding the irrigation potential and existing cropping patterns, and dry season activities in particular. Numerous visits to the community by various technical assistance team members took place over April, May, June and July to undertake further public consultations (Annex 3.1) as well as conduct environmental and social impact assessments, including a comprehensive SP SIA and interviews with separate men’s and women’s focal groups as part of the SIA.

69. The SP SIA was completed in May 2018 (Annex 3.2). The provincial irrigation survey and design team worked continuously in the SP area from March until July carrying out survey and design work as well as having ongoing discussions with the farming community regarding the type of improvements needed, and in order to identify land owners most likely to be affected by the project’s civil works. The initial scoping visits in March, opening dissemination meetings in April and the consultation meetings in June, all involved participatory “walk throughs” of the proposed scheme by consultants with farmers.

70. In June 2018, the social team conducted further public consultations and provided a detailed explanation of the feasibility process and also to advise the community of the upcoming Detailed Measurement Survey (DMS), which was undertaken between 28-31 July 2018. The 23

community was also advised by the District Governor’s Office that the “Cut Off” date (for recognizing changes to land ownership), is the 22 June 2018 (Annex 5).

71. In June, smaller group discussions were held with likely affected HHs in order to gauge support for the Project. The community are overwhelmingly supportive of the Project as they are keen to plant dry season cash crops to increase the HH income considerably. No AHH indicated any concern or issues when hearing details of the proposed project.

72. During consultation meetings in June, discussing the draft design and arrangements for the DMS, the community raised one main concern (see Annex 3.4 for Minutes of Meeting, Annex 3.3 for list of participants), requesting that the design of any new canals or extension follow existing parcel boundaries as far as possible in order to minimize the amount of land that would be needed from any AHH. The PIS advised the community that the designers were working towards achieving this as far as possible.

73. The SESAH was conducted in beginning of October 2018 based on the preliminary engineering designs, and the DMS prepared. The compensation policy, including voluntary land adonation and terms and conditions applicable to each AHH discussed with each AHH (Annex 3.5). The SESAH also involved participatory ‘walk through' as well as physical measurement of areas likely to be impacted missed in the DMS in July. Following completion of the DMS and SESAH, the AHH were requested to sign-off on the DMS as an accurate record of affected assets. During DMS the AHHs who were identified, and were given the option to release their assets and land voluntarily for the Project without any compensation. For this purpose, 'Voluntary land release forms' were handed out for the AHHs for signing. A PIB was issued to all AHHs in September 2018.

74. Dissemination of updated compensation policy and PIB including the compensation flow chart was conducted in May 2019. Following the consultation, households were invited to fill in the preliminary household survey, gaging the opinion of households regarding their compensation options through the Community Participation Framework or Resettlement Framework. A total of 83 households participated in this indicative survey (Error! Reference source not found.). The r esults of the survey are presented in Error! Reference source not found. and Error! Reference source not found. below.

Table 18: Number of AP responding to the indicative choice survey Village name Number of AH in the Number of AP responded to the village indicative choice survey3 Sivilay 21 19 Nakheurn 21 12 Thad 5 94 Thongphieng 59 43 Total 106 83

3 Participation in the survey is voluntary. Some household representatives who joined the consultation meeting opted not to participate in the survey. 4 2Four households live in Thad village but the location of their land impacted is in Nakheurn. In the draft RAP they are recorded in Nakheurn village. When filling in the anonymous Household questionnaire, their forms were recorded as being from Thad Village. Because the survey is anonymous, these 4 forms cannot be identified and reassigned to the Nakheurn data.

Table 19: Results of indicative choice survey of Households affected by less than 9% of their land plot Number of AP affected by less than 9% of their land AP choosing donation AP choosing Negotiated Village name plot who responded to the approach Settlement survey1 % of AP % of AP % of AP consulted who consulted who Number Number participating in are less than Number are less than 9% of AP of AP the survey 9% affected on affected on their their land plot land plot Sivilay 14 73 % 4 29% 10 71% Nakheurn 12 100 % 1 8% 11 92% Thad 8 89 % 1 13% 7 88% Thongphieng 38 88 % 5 13% 33 87% Total 72 87 % 11 15% 61 85%

Table 20: Results of indicative choice survey of Households affected by 9% or more of their land plot Village name Number of AP affected by 9% or AP choosing Land for AP choosing AP choosing Cash more of their land plot Land Compensation in kind Compensation who responded to the survey1 % of AP % of AP % of AP consulted consulted consulted % of AP who are who are who are Number participating Number affected Number Number affected affected by of AP in the of AP by 9% or of AP of AP by 9% or 9% or more survey more of more of of their land their land their land plot plot plot Sivilay 5 26% 0 0% 2 40% 3 60% Nakheurn 0 0% 0 0% 0 0% 0 0% Thad 1 11% 0 0% 0 0% 1 100% Thongphieng 5 12% 1 20% 1 20% 2 40% Total 11 13% 1 9% 3 27% 6 55%

75. Examples of suggestions made for the Negotiated Settlement from the consultation meeting in Sivilay village include: • An AP would like to develop some of their land which is not affected by the project as compensation for their impact. • An AP would like to have a drainage pipe installed under the road, so his rice field no longer floods during heavy rain. • An AP would like to be exempt from the payment of the water user fee as compensation for the affected land. • An AP would like to have access from irrigation water from the main canal (through a pipeline), to ensure water reaches all their land. (part of the plot is situated higher than the secondary canal crossing the land). 25

76. All AP were informed that their final decision for compensation will be required to be made by each household during actual project implementation and prior to any construction works starting.

77. The draft LARP was produced and will be disclosed to the community and particularly the AHHs in through public information meetings. The draft and approved RP, and any updates, will be uploaded on the project website of MAF as well as ADB’s website.

78. Further consultations will take place on discussion on the draft LARP. Also, the Provincial Resettlement Committee (PRC) will consult AHHs on compensation plans once the updated schedule of compensation rates and allowances for affected assets has been completed. The schedule will set the value of compensation proposed by the PRC (refer section Entitlements, Assistance and Benefits). The compensation payments can only be done once the compensation plans and rates have been updated and consulted with the affected households.

VI. Grievance Redress Mechanisms

79. The Grievance Redress Mechanism (GRM) used under the Project was explained on each occasion public consultations took place. The 5-step process was explained to community meetings and also AHH meetings. AHHs grievances will be received and solutions for AHH concerns and grievances on land acquisition and implementation addressed as per the grievance procedure provided in the approved REGDF. AHHs complaints can be made verbally or in written form. In the case of verbal reports, the person receiving the complaint must prepare a written record of the issue.

80. In cases where AHHs do not have the writing skills or are unable to express their grievances verbally, AHHs are allowed to seek assistance from any recognized local NGO or other family members, village heads or community chiefs to have their complaints or grievances written for them. AHHs will be allowed to have access to the DMS or contract document to ensure that all the details have been recorded accurately enabling all parties to be treated fairly. Throughout the grievance redress process, the responsible committee will ensure that the concerned AHHs are provided with copies of complaints and decisions or resolutions reached.

81. Grievances or complaints from affected persons will be solved in a timely and satisfactory manner. The affected persons can submit their grievances to GRUs either in verbal or written form, and the process is at no cost to them. The procedural steps for filing and resolution of grievance and complaints are based upon the requirements set out in Decree 84 (2016) and are described in Table 18 below.

Table 21: Grievance Redress Mechanism Procedure Stages Activities/Procedures At the village level, AP files a complaint/grievance verbally or in writing to the Stage 1 Village Committee to seek faster resolution at village level. If unwritten the VC will record details of the complaint and provide consideration based on their traditional method of conciliation and mediation. Resolution is within 5 days after the complaint/grievance was received. If no solution or understanding is reached within 5 days, the AP can bring the Stage 2 complaint at the district level. The GRU at the district level will meet the AP, and resolve within 10 days after receiving the complaint. If the AP is an EG and requires assistance, representatives from the District LNF shall be appointed to assist by the DRC.

Stage 3 If the AP is still unsatisfied or has not received any decision from the GRU at the district level, he/she can seek redress at provincial GRU (within the PRC) that should decide the issue in 10 days. If the AP is an EG and requests assistance, a representative from the provincial LNF will be appointed by the PRC. If still unsatisfied with the decision of GRU at the provincial level, the AP may lodge Stage 4 an appeal with MoNRE and the PGT will monitor to ensure each complaint is resolved within 10 days after receiving the appeal. Stage 5 As a last resort, the AP may request the case be heard by either the National Assembly or the local Court of Law.

82. Advice provided APs verbally and also the PIB, included two alternative grievance reporting systems for those AHH unwilling to register a complaint at village or district level. AHH were provided contact details of the Project Coordinator in Dept of Irrigation Vientiane, as well as contact details of the ADB Lao Resident Mission. No complaints were received up to the time of this LARP preparation.

VII. Legal Framework

A. ADB policies

83. The ADB Safeguard Policy Statement (2009) consolidates three existing safeguard policies: involuntary resettlement, indigenous peoples, and environment. The objectives of the involuntary resettlement safeguards are: (i) to avoid involuntary resettlement wherever possible; (ii) to minimize involuntary resettlement by exploring project and design alternatives; (iii) to enhance, or at least restore, the livelihoods of all displaced persons in real terms relative to pre-project levels; and, (iv) to improve the standards of living of the displaced poor and other vulnerable groups.

84. Involuntary resettlement covers physical displacement (relocation, loss of residential land, or loss of shelter) and economic displacement (loss of land, assets, access to assets, income sources, or means of livelihoods) as a result of: (i) involuntary acquisition of land; or (ii) involuntary restrictions on land use or on access to legally designated parks and protected areas regardless of whether such losses and involuntary restrictions are full or partial, permanent or temporary.

85. Projects financed and/or administered by ADB are expected to observe the following policy principles: (i) Screen early to identify involuntary resettlement impacts and risks and determine the scope of resettlement planning through a survey and/or census of displaced persons, including a gender analysis, specifically related to resettlement impacts and risks.

(ii) Carry out meaningful consultations with displaced persons, host communities, and concerned nongovernment organizations. Inform all displaced persons of their entitlements and resettlement options and ensure their participation in various stages of the project especially vulnerable and poor groups. Establish a grievance redress mechanism to receive and facilitate resolution of the displaced persons’ concerns. Support the social and cultural institutions of displaced persons and their host population.

(iii) Improve, or at least restore, the livelihoods of all displaced persons through (i) land-based resettlement strategies when affected livelihoods are land based where possible or cash compensation, assistance at replacement value for land 27

when the loss of land does not undermine livelihoods; (ii) prompt replacement of assets with access to assets of equal or higher value; (iii) prompt compensation, assistance at full replacement cost for assets that cannot be restored; and (iv) additional revenues and services through benefit sharing schemes where possible.

(iv) Provide displaced persons with needed assistance, including the following: (i) if there is relocation, secured tenure to replacement land, better housing at resettlement sites with comparable access to employment and production opportunities, integration of resettled persons economically and socially into their host communities, and extension of project benefits to host communities; (ii) transitional support and development assistance, such as land development, credit facilities, training, or employment opportunities; and (iii) civic infrastructure and community services, as required.

(v) Improve the standards of living of the displaced poor and other vulnerable groups, including women headed households, to at least national minimum standards. In rural areas provide them with legal and affordable access to land and resources, and in urban areas provide them with appropriate income sources and legal and affordable access to adequate housing.

(vi) Develop procedures in a transparent, consistent, and equitable manner if land acquisition is through negotiated settlement to ensure that those people who enter negotiated settlements will maintain the same or better income and livelihood status.

(vii) Ensure that affected people (APs) without title to land, or any recognizable legal rights to land, (when the project is assessed to cause adverse impacts5), are eligible for resettlement assistance and compensation for loss of non-land assets.

(viii) Prepare a resettlement plan elaborating on displaced persons’ entitlements, the income and livelihood restoration strategy, institutional arrangements, monitoring and reporting framework, budget, and time-bound implementation schedule.

(ix) Disclose both the draft and final resettlement plan in a form and language understandable to displaced persons and other stakeholders.

(x) Conceive and execute involuntary resettlement as part of a development project or program. Include the full costs of resettlement in the presentation of project’s costs and benefits. For a project with significant involuntary resettlement impacts, consider implementing the involuntary resettlement component of the project as a stand-alone operation.

(xi) Pay compensation and provide other resettlement entitlements before physical or economic displacement. Implement the resettlement plan under close supervision throughout project implementation.

(xii) Monitor and assess resettlement outcomes, their impacts on the standards of living of displaced persons, and whether the objectives of the resettlement plan have

5 Clarification added by the Project.

been achieved by considering the baseline conditions and the results of resettlement monitoring. Disclose monitoring reports.

86. ADB’s Policy on Gender and Development (2003) adopts gender mainstreaming as a key strategy for promoting gender equity, and for ensuring that women participate in project design, planning, decision making and benefit sharing, and that their needs are explicitly addressed in the project decision-making process. A gender analysis was as part of the social economic data collection process of the TRTA, and a Gender Action Plan (GAP) formulated for each of the 4 representative subprojects. These will provide the basis for further gender action plans developed following feasibility studies of the remaining subprojects.

1. Other Relevant ADB Policies

87. Other policies of ADB that have a bearing on resettlement planning and implementation are: (i) Public Communications Policy (2011) and the Operations Manual Section L3/BP (2012); and (ii) Accountability Mechanism (Operations Manual Section L1/BP, dated 29 October, 2012). Following these requirements, the Program Governance Team (PGT) Provincial Program Implementation Team (PPIT) are required to share and disclose project information with stakeholders and the public at large. APs should have easy access to project information. The Executing Agency (EA) is also required to provide access for people adversely affected by the proposed Project to voice and seek solutions to their problems during and after resettlement. The Grievance Redress Mechanism (GRM), therefore, must be included in the LARPs and disclosed to the APs.

B. Lao Policies, Laws and Regulations

88. Preparation of the REGDF and this LARP has included reference to the laws of the Govt. of Laos including the Constitution (1991 and amended in 2015), the Road Law (1999), the Land Law (2003) relating to resettlement and land acquisition, and in particular, Decree 84, “Decree on Compensation and Resettlement Management in Development Projects”, dated 5 April 2016 (which replaces the National Resettlement Policy Decree No 192/PM dated 7 July, 2005). The new decree maintains general alignment with the ADB SPS. Provisions contained in earlier regulations, such as the Decree of the Prime Minister on Compensation and Resettlement of People Affected by Development Projects (No.2432/STEA, dated 11 November 2005), and Decree No 699/PMO - Water Resources and Environmental Agency (WREA) dated 12 March 2010, on Compensation and Resettlement of the Development Project (Improved), that contradict the new Decree 84 are repealed.

89. In general, the main principles of the government policies on land acquisition, compensation, assistance and resettlement reflect those set out in ADB’s SPS (2009), apart from those indicated in the Policy Gap table - below. The most significant difference being the definition of severely affected households. The new Decree 84 does not specify the extent of loss, whereas Decree 192 specified a loss of 20% or more of productive assets as the trigger. The ADB provides 10% or more of productive assets (income generating) as the definition of significant impact.

90. Furthermore, in ADB SPS "the involuntary resettlement safeguards covers physical displacement (relocation, loss of residential land, or loss of shelter) and economic displacement (loss of land, assets, access to assets, income sources, or means of livelihoods) as a result of (i) involuntary acquisition of land, or (ii) involuntary restrictions on land use or on access to legally designated parks and protected areas". Gov. of Lao Land law (Article 63) gives the right to terminate rights to use land in case of voluntary forfeiture. Therefore, the project policy will be of 29

no compensation for land or assets (e.g. trees) for households with no adverse impact and voluntarily releasing their land and assets for the use of the project in exchange for the irrigation water and direct benefits that it provides. In the project the households not adversely affected and voluntarily releasing their land and assets are not regarded as displaced persons or households.

C. Resettlement policy gaps between ADB and GoL

91. There are some relatively minor differences between the ADB and the Government of Laos’ Policies on land compensation, assistance and resettlement, although the spirit within each entity’s policy are reasonably well aligned. Where policy gaps exist between ADB and GoL relating to LAR the ADB’s SPS (2009) shall prevail.

92. Both Lao PDR law and ADB policies entitle adversely Affected Persons (APs) to compensation for affected land and non-land assets at replacement market cost. However, Government and ADB policy differ in the definition of severely affected APs. The ADB (Operational Manual Section F2 para. 5) definition sets a threshold of losing 10% or more of productive assets, while the Lao Government Decree 84 (replacing Decree 192) does not define any threshold (the previous decree indicated a 20% level of loss). Using a 10% threshold would however, be in accordance with Decree 84/PM which entitles all APs to economic rehabilitation assistance to ensure they are not worse off due to the proposed Project. Hence, the REGDF will apply a trigger based on 10%, where the project is assessed to result in adverse impacts on the HH income and wellbeing of the affected household living outside the command area and not directly benefiting from the irrigation water. This is in line with ADB SPS to avoid, minimize, or mitigate adverse environmental and social impacts, including protecting the rights of those likely to be affected or marginalized by the development process.

93. Both GoL and ADB policies entitle APs to compensation for affected assets at new replacement market cost and other assistance so that they are not made worse off due to the proposed Project. New provisions under Decree 84 (2016), no longer provide compensation for loss of land to APs who do not have proof of land-use rights and who have no other land in other places. Decree 84 stipulates APs found to be non-titled (as defined in the Decree), they are not entitled to receive any compensation for loss of such land, but will receive compensation for loss of constructed facilities, trees and crops at replacement cost, and relocation allowances. However, in keeping with the overarching goal of both ADB and GoL policies, APs who lose non- titled residential or productive land and do not have sufficient land remaining at the impacted parcel, or alternative lands, will be assisted to find other land to use. Decree 84 also clearly states that the PRC must provide an estimate of compensation value and approve compensation packages.

Table 22: Reconciliation of ADB and GoL LAR Policy Gaps Items with ADB Policy National Policy and Agreed Measures to Different Identified Gaps Close Gaps Policies Compensation Involuntary resettlement Irrigation Management for public / requirement applies for Transfer (IMT) is in place. When communal land is communal land involuntary restriction on land Decree 1150 on used on rotation basis as use or on access to legally Establishment and Operation agricultural land of AHs designated parks or protected of WUAs (2000) details that compensation for the lost areas. irrigation schemes ownership income for remaining is transferred to the WUG / period of turn for the AHHs community after construction. farming the land and

Items with ADB Policy National Policy and Agreed Measures to Different Identified Gaps Close Gaps Policies Compensation for loss of documented identification income or livelihoods Also, based on Decree on the of replacement area to regardless of whether or not Full Transfer of Irrigation compensation for location AHHs are physically System to the Water Users for communal use. displaced for lost assets at full Associations (No.1149/AF in replacement cost (but not for 2000) the irrigation system land). constructed by the Government is transferred to WUA, WUG, Collective Enterprise and any other appropriate organization to manage and use it. MAF Decrees provides that WUA owns the system as a property as well as manage it. However, it can’t sell or lease the system and change the purpose of water use without permission from Financial Office/PAFO. Severely Being physically displaced Whereas Decree 192 Severely affected - Being Affected from housing; or losing 10% indicated a threshold losing physically displaced from Households or more of productive assets 20% or more of productive housing; and/or losing 10% (income generating) income generating assets or more of productive (loss of agricultural, industrial assets (income generating) or commercial land) and means of livelihood, employment or business, and access to community resources, replacement Decree 84 (2016) does not indicate a threshold. Vulnerable Individuals and groups who Whereas Decree 192 defined Vulnerable households are Households may be differentially or Vulnerable households to a household belonging to disproportionately affected by include (i) divorced or the vulnerable groups who a project because of their widowed female headed is determined, following disadvantaged or vulnerable households with dependents screening by the project, as status. Vulnerable groups and low income; (ii) a household who might generally include those below households with disabled or suffer disproportionately or the poverty line, the landless, invalid persons; (iii) poor or face the risk of being further female headed households landless households; (iv) marginalized due to the with dependents and elderly households with no project. members of ethnic groups means of support, For a vulnerable household replacement Decree 84 to be eligible for special (2016) prima facie defines project assistance as per Vulnerable people as: ”Those the entitlement Matrix a who cannot help themselves household needs to be including disabled, amputees, Socially or Economically elderly, children, divorcees Vulnerable. and widows who have Socially Vulnerable: dependents”. The Decree Vulnerable household also states that special unable to participate fully in 31

Items with ADB Policy National Policy and Agreed Measures to Different Identified Gaps Close Gaps Policies attention must be given to the project activities. This can needs of vulnerable groups. be a result of (i) difficulties of understanding of the project communications, (ii) difficulties to attend project meetings and consultations, (iii) difficulties to express concerns and suggestions for consideration for inclusion into project design or (iv) difficulties to have their interests represented in committees. Economically Vulnerable: Vulnerable household who is (i) unable to conduct the additional dry-season farming due to disabilities, lack of labor or other reasons or (ii) those who will face economic stresses due to the loss of land or (iii) a household not yet graduated from poverty.

Absentee land owner households, who are verifiably not reliant of the productive land lost to the project, are not regarded as vulnerable households but are eligible for lost land compensation / cost of land.

Compensation ADB policy recognizes Decree 84, Article 8, Item 3 Traditional land use will for those traditional land use rights as recognizes traditional land be recognized as a form without legal a form of ownership. use rights under specific of ownership title on land conditions. Encroachers are not encroacher will not compensated for affected Decree 84, Article 8, Item 4 receive compensation for land, but are eligible for recognizes that encroachers affected land but shall compensation of non-land receive compensation for asset and other assistances indicates that APs living in non-land assets and will not be compensated for other assistances. their lost e land. They will However, if they have no receive compensation for other residential land on the loss of constructed which to reside, they will facilities, trees and crops. be provided assistance to secure an alternative plot.

Items with ADB Policy National Policy and Agreed Measures to Different Identified Gaps Close Gaps Policies Non-legal APs will not receive compensation for affected land but are entitled to compensation for crops. However, if they have no other agricultural land on which to cultivate, they will be provided assistance to secure an alternative plot allowing for re- establishment of previous income generation and productivity

For severely affected APs livelihood restoration assistance will be provided in addition to the support provided above. They will receive replacement value compensation for the loss of structures and trees and crops on affected land. Value of Improve, or at least restore, Compensation shall be in AHs will be given the Compensation the livelihoods of all the form of land, material or choice to nominate displaced persons through money for the land, whether they prefer to (i) land-based resettlement agricultural products, take land for land; strategies when affected livestock and incomes that compensation in-kind or livelihoods are land based are affected by cash for land. Land for where possible or cash development projects based land offers must be compensation at on the replacement value. acceptable to the AP. replacement value for land Replacement value is Land offered should be when the loss of land does established after documented to be of the not undermine livelihoods, consideration of market same productive land (ii) prompt replacement of prices, average prices and value and relative assets with access to assets middle prices applied by the distance from the of equal or higher value, State (regulated by household residence as (iii) prompt compensation at MoNRE). Final the previous land before full replacement cost for compensation rates must be being offered to the AP. assets that cannot be approved by the PRC. In restored, and (iv) additional case of loss of In order to establish a fair revenues and services infrastructures and facilities compensation value a through benefit sharing of local communities, the review will be made of schemes where possible project owner must be current market responsible for rehabilitation replacement cost/value, and repair to make the average values, and the infrastructures and facilities middle price applied by in their original forms. The the State. Where there project owner has to pay are significant 33

Items with ADB Policy National Policy and Agreed Measures to Different Identified Gaps Close Gaps Policies more attention in the differences, the final rate rehabilitation efforts if there will be negotiated with are losses of cultures, MoNRE/PoNRE but will religions and traditions of not be below full local people replacement cost.

All compensation rates are to be published and values of exact entitlements are to be presented to the APs during discussion and must be agreed to by the AP.

VIII. Entitlements, assistance and benefits

94. This LARP follows the compensation principles outlined in this REGDF. Where compensation for land, structures or assets is required, compensation will be based upon full replacement cost and current market prices. The calculation of full replacement cost will be based on the following elements: (i) fair market value; (ii) transaction costs; (iii) interest accrued, (iv) transitional and restoration costs; and (v) other applicable payments, if any. Where market conditions are absent or in a formative stage, the borrower/client will consult with the displaced persons and host populations to obtain adequate information about recent land transactions, land value by types, land titles, land use, cropping patterns and crop production, availability of land in the project area and region, and other related information.

95. Where land is compensated for, the EA and IA’s will ensure that existing titles involving such land will be surveyed and adjusted accordingly at no cost to the AH.

96. This LARP recognizes the consultation processes, policies, and laws of Govt. of Laos that are applicable to land acquisition and compensation transactions and ADB SPS (2009) requirements such as asset value calculation basis, third party validation, proper record keeping, and overall transparency.

A. Land donation 97. Farmer equity and community readiness in irrigation investment is to be encouraged as the main drivers in the demand for and successful maintenance of irrigation facilities6. Productive land contributed for irrigation canals and channels (particularly tertiary and lower channels) is not lost, it continues to be productive, delivering water or growing crops. If it is a rehabilitated canal, it continues to operate and provide the same (although improved) function as before the project often at lower cost or increased efficiency. If it is a newly constructed tertiary or lower channel, the impacted land may change its productive function. Non-productive land may be transformed and used for water delivery, or, land that was not productive in the dry season may now be productive with the availability of dry season water.

6 Without farmer commitment to O&M sustainability, schemes require rehabilitation every 10 years (CES: National Irrigation Diagnostic Study, Laos (1986).

98. Potential benefits to households include: (i) Securing the wet season crop by providing supplementary irrigation when needed7 (ii) Significant financial returns from dry season cropping not previously available to the HH without the newly constructed, extended or rehabilitated distribution canals. (iii) First access to water with offtakes installed on all impacted plots abutting the constructed canal channels (iv) If canals are concrete, reduced labor and maintenance needs and in some instances a slight increase in crop area (v) Better water supply management and improved water distribution providing better yields (vi) Increased plot value due to irrigation access (vii) In the case of roads, improved access, more convenience evacuating harvested crops and reductions in travel times and travel difficulties.

99. The project and the related supporting projects financed by GIZ, IFAD, and KfW, will together also increase the likelihood of transitioning into higher value agricultural systems by reducing the technical, managerial and market risk of not obtaining the production benefits.

100. Within the project policy, beneficiary households can waive their rights to compensation and voluntarily donate (limited to 9% of the land plot8 affected by the project) areas of either productive or non-productive land, in exchange for significant, demonstrable and tangible benefits. In essence the loss of revenue from the land will be less than the additional benefits that will arise from the remainder of their land in a with-project scenario. Comprehensive consultation with the community is required regarding the project, its benefits, their concerns and entitlements along with the establishment of an effective grievance redress mechanism.

Table 23: Criteria and Guidance Notes on Land Donation Criteria Guidance Notes The AHs are aware of • Affected Households are advised of the ADB and GoL policies compensation entitlements for for resettlement and land acquisition with regards to involuntary land acquisition and compensation, and land donation on a voluntary basis. GRM • Consultation are undertaken with AHs on estimated compensation amounts based on DMS and current published provincial compensation rates for the land to be donated. Once full replacement cost is identified, the AH is again consulted with the use of the updated rates and estimated compensation amounts based on the DMS. • Communities are made aware of the GRM and how it is accessed.

7 The subprojects currently mainly provide supplementary wet season irrigation. The onset of the wet season is usually marked by start-up rains, followed by a drought period of a couple of weeks and in a bad year this can stretch to a drought period of up to a month or more. This has a disastrous effect on newly planted rice causing crops to fail. Wet season supplementary irrigation is used to secure the wet season crop. 8 OM F1/OP States that significant impacts are when HHs lose 10% or more of their productive assets (income generating). For the purposes of this project, as agreed upon with DoI and ADB, productive assets (income generating) is identified as the affected plot of land. 35

Criteria Guidance Notes The households making • The project benefits outweigh the lost land or assets. voluntary land donations are • Both positive and negative impacts of the project on the direct beneficiaries of the project affected household are considered and consulted with the AHs. • The affected household can identify the project’s direct benefits to them. The rotational basis and scheduling of water delivery during operations is clearly explained and understood. • Assets (trees / crops / structures) will be compensated for and cannot be donated. • Vulnerable households are not eligible for donation. Impacts do not result in • Only secondary structures are affected; there is no physical displacement of households or relocation of household due to the project or the land donation. cause significant loss of • Cumulative impacts are not permitted and AHHs can only household’s incomes and donate land from one land plot with a maximum of 9% of their livelihood land plot impact. If a second or subsequent land plot (in addition to the area affected already calculated as part of the donation agreement is affected, this will nullify the donation agreement and the land will be compensated through this resettlement framework. • For the avoidance of doubt, donations will not be accepted for any AH who have 9% or more of their land plot affected by the project. Land donated is free from any • The affected household has recognized legal tenure. dispute on ownership or any • The land is not being occupied and/or used by any other other encumbrances party. • The land is not in dispute for its ownership. Consultations with the affected • Use of pictures for universality of key messages, including the households is conducted in a use of the compensation flowchart. free and transparent manner • The affected households are informed that they have the right to accept compensation for land acquired by the project. • The affected household receives clear and adequate information on their entitlements (specifically stating the value of such) and participates in the project planning. • For households who are illiterate or for those who have limited reading skills, forms requiring signature by households are read out to the household during consultations, prior to signing. Land transactions are supported • Official land ownership document of the remaining unaffected by transfer of titles land is updated free-of-charge to the household in the name of both husband and wife. Proper documentation of • Agreement is properly documented with signatures of affected consultation meetings person, PAFO and witnesses (Land donation form). (household and community • Consultation meetings, grievances and actions taken to level), donation agreements, address such grievances are properly recorded. grievances and actions taken to • External monitor present for at least 10% of donation signing address such grievances is events. maintained • External monitor to conduct due diligence on 100% of donations. Vulnerable households are not • Ensure vulnerable households are identified and are aware disadvantaged through exclusion that they are not eligible to donate land regardless of their from project benefits (ie. not willingness to do so. providing access and/or rights to • Vulnerable households identified with no access or rights to the the irrigation water or livelihood water from the canals will trigger safeguards as per ADB SPS. restoration initiatives).

Criteria Guidance Notes • Vulnerable HHs in the command area are provided additional training, preference in technology demonstrations, and seeds and materials for first dry season cropping free-of-charge Criteria for Use of Voluntary Land Donation (i) The subproject site is selected in full consultation with landowners inclusive of any non-titled affected people (ii) Voluntary land donation will result in significant demonstrable direct benefits for the AHHs (iii) Voluntary land donation does not have an adverse impact on the living standards of affected people and will be limited to 9% of their land plot affected. (iv) The voluntary land donation forms are written in Lao language, signed by both spouses from the AHH, PAFO and witnessed, must be appended to the subproject’s LARP (v) All voluntary land donations will be confirmed through written record, subject to Due Diligence and verified by an independent third party such as the external monitoring agent (vi) There is an adequate grievance resolution process which has been acknowledged by the APs (vii) The voluntary land donation will not cause any physical relocation of formal or informal land users, squatters or encroachers of the land (viii) Any AHH contributing land from one land plot will be fully compensated for any further land plot(s) impacted by the project (ix) Vulnerable households are not disadvantaged by exclusion from the project, and provided with additional training and materials (x) Voluntary donation is accepted when the loss of land does not equal or exceeds 9% of the land plot

Figure 3: Flowchart on compensation options

101. Entitlements for each type of affected person are based on the types and levels of losses. An Entitlement Matrix (EM) for the proposed Project is shown in Table 21. The EM is based upon the REGDF, ADB SPS (2009), and relevant Govt. of Lao laws and regulations. The PRC publish

and periodically update compensation rates for lost assets such as land, structures, tree and standing crops, as well as additional allowances, and these rates vary from province to province. As required under Decree 84, each participating PRC is requested to review and update the compensation rates prior to preparation of the LARP and revised rates will be evaluated based on values of assets as applied by: (i) the market; (ii) local authorities; (iii) other/similar cases; and (iv) expectations from affected persons, and (v) a replacement cost survey. Determining the costs requires information to be collected from respective provincial, district, and village authorities and where possible, recent and relevant free market transactions and replacement cost survey (RCS) in the project area. If there is a delay of more than 12 months as from the date of registration of the eligibility of the affected people there must be a new round of evaluation to identify the amount of works that have not been implemented and then new proposals must be submitted for re- consideration. The purpose is to estimate a fair market replacement value for the asset, or productive capacity of the asset, being lost. Final compensation unit rates have to be agreed with affected person prior to finalizing the LARP.

102. The PRC in LPB provided compensation rates from a previous Nam Ou Hydropower Construction Project from April 18, 2016, which are used for the preparation of this LARP for estimating the compensation amounts for each AHH and overall resettlement budget. The compensation rates will need to be updated after the loan agreement is made and an updated RCS conducted and prior to compensation payments being made.

Table 24: Entitlement Matrix Type of Compensation and Entitled Persons Implementation Issues Loss Rehabilitation Measures I. LOSS OF LAND A. Legal owners or No compensation for land. Temporarily legalizable/recognized Cash compensation for loss Compensation for land for Affected right; and those of income until restoration is temporary use including net Agricultural, covered by customary completed, standing crops income from standing crops Residential rights. and trees, and the cost of soil and trees until maturity at Or restoration and damaged replacement cost; and land is Commercial infrastructure during the time returned to legal owner/user Land of disturbance (during to pre-project condition, and construction). in time for next cropping Users without No compensation for land. cycle. formalized rights They are entitled to cash compensation for non-land If temporary disturbance is assets (standing crops, trees, more than 1 year, the APs structures) at replacement have the option to sell the cost. land to the proposed Project at replacement cost which will be assessed during resettlement plan preparation or continue to get compensation for net income from standing crops and trees lost until maturity. B. Legal owners or a) As a priority, compensation AHH will be compensated at Permanently legalizable/recognized will be through “land for land replacement value for the Affected rights; and those arrangements” satisfactory to land. AHHs may opt for cash Agricultural covered by customary APs (for agricultural land – compensation for the affected Land rights. equal size, quality and land equivalent to productive capacity; for replacement cost if alternative 39

Type of Compensation and Entitled Persons Implementation Issues Loss Rehabilitation Measures residential land - equivalent or suitable land is not size, quality and accessibility; available. AHH must and for commercial land - document how the cash equal size and accessibility to compensation will be used to customers). restore their livelihood.

b) Cash compensation for Voluntary donation is allowed affected structures at to a threshold of 9% of the land replacement cost without plot to be affected by the deduction for depreciation or project. Households who can salvageable materials. Cash also choose to enter into compensation for crops and negotiated settlements or the trees project can realign the canal to avoid impact. Vulnerable households and severely affected households are not eligible to donate land. AHH can choose to receive compensation in-kind, such as for example the development of unaffected land belonging to the households to increase its productive potential on the condition that this is comparable to the cost of compensation due to the AHH (or more).

Compensation costs will be assessed during resettlement plan preparation. Cash compensation for standing crops, trees and other assets/improvements.

C. Legal owners or Compensation for land at Compensation for residential Permanently legalizable/recognized replacement cost. land at replacement cost. Affected rights; and those Residential or covered by customary Cash compensation for Compensation costs will be Commercial rights. affected houses and assessed during resettlement Land structures at replacement plan preparation. Cash cost without deduction for compensation for standing depreciation or salvageable crops, trees and other materials. Cash assets/improvements. compensation for trees at current market values. II. LOSS OF HOUSES & OTHER STRUCTURES Affected Owners identified a) For permanent houses and If a house is affected, re- Houses and during the census. structures, cash alignment of the irrigation Structures Tenants renting compensation equivalent to canal is required houses/shops/ replacement cost without structures

Type of Compensation and Entitled Persons Implementation Issues Loss Rehabilitation Measures depreciation of salvageable A lump sum shall be paid as materials. shifting allowance to a relocated household, b) For toilets, latrine toilets including amounts for build based on national damages and reconstruction. design specifications of The allowance will vary Ministry of Health (under according to house size. The project Output 4). allowance rates are regulated by the PRC. These will be c) For temporary or moveable reviewed by the consultants structures, APs will receive an and discussed with the AP. If allowance for damages and deemed inadequate to defray reconstruction as updated actual costs, the rate will be and approved by the PRC. renegotiated with the PRC.

d) Tenants renting structures All relocating affected are entitled to three months’ household with permanent rent at prevailing market rate houses/structures are entitled in the area and assistance to to a shifting allowance. identify alternative accommodation and transport Households agreeing on allowance and transition voluntary land donations are allowance as updated and still entitled for compensation advised by the PRC. of structures at replacement cost III. LOSS OF CROPS AND TREES Crops and Owner or person with Cash compensation for loss . Trees customary land usage of non-irrigated crops rights. (including any unharvested Compensation will be based crops that are near or ready on the type and age and to harvest at the time of land productivity for trees while acquisition) at current market non-irrigated crops will be price. The PRC will provide based on the anticipated an updated compensation harvest at market value .. regulation covering crops and trees to be included in the LARP. APs will be provided in writing two months’ notice that the Affected trees of AHHs will be land on which their crops are compensated. planted will be acquired. APs are allowed to harvest their crops and trees prior to construction. This notice should be provided as a district directive and published at the village hall.

IV. LOSS OF COMMON PROPERTY RESOURCES Common Affected communities If income loss is expected on No cash compensation for Property or concerned use of common resources by land loss. Land allocation for Resources government agencies. AHHs (e.g. irrigation, affected community to community forest, community continue rotation of original 41

Type of Compensation and Entitled Persons Implementation Issues Loss Rehabilitation Measures grazing land), the AHH is land use to be determined entitled to compensation for and agreed upon. the total production loss for the period of their turn to use Compensation for income the resources or access to loss for the period of lost turn new areas for grazing. of use of resources to the AHH in question.

The entitlement will be reviewed against any updated regulations issued by the respective PRC, ad discussed with the affected Village Committee. V. INCOME RESTORATION A. Materials For relocating APs that The Project owner must either Applies to all APs with Transport are required to move ensure that all AP materials, permanent houses/structures Allowance back or relocate to equipment and belongings The PRC will either direct the other areas are transported to the new project owner to provide all location in entirety, or transportation, or, calculate guarantee sufficient cash the amount for the transport payment to the AP to cover all of household effects, transportation costs. salvaged and new building B. Housing For relocating APs that The PRC will revise and materials to new sites.. Transition are required to move update the per capita Allowance back or relocate to “disturbance allowance” Temporary structures are to other areas. be relocated during construction by the contractor and return to their original location after completion of works. Any damage to the temporary structures needs to compensated by the contractor. C. Business For owners of Businessa) Lump sum will be paid to The PRC will revise and Transition identified during census compensate for loss of update compensation rates Allowance business and restoration of for business transition and income. loss of income. The PGT b) For employees, cash consultants will review the compensation for lost salary / updated rates in conjunction wages for each day they with tax and accounting cannot work while business is records of the affected reorganizing at new site. In business to ensure adequacy the case where the business and where insufficient, will cannot resume following renegotiate with the PRC. relocation, allowance provided for 6 months. All payments will be made through transfers to the bank account of the AHH (name of husband and wife). D. Special APs belonging to a) Vulnerable households in Identification of vulnerable Assistance vulnerable groups the command area are AHHs will be done in for Socially including (i) female eligible for first dry season cooperation with village

Type of Compensation and Entitled Persons Implementation Issues Loss Rehabilitation Measures or headed households with crop seeds and materials authorities. Vulnerable Economically dependents; (ii) disabled free-of-charge in conjunction households are not eligible for Vulnerable household heads; (iii) with training and preference donation of land. Special Households poor households; (iv) in technology demonstrations. assistance is provided to APs dependent on elderly households who who would face economic the affected have no other means of b) Vulnerable households will stresses due to the loss of productive support; (v) landless be entitled to a special land. Members of ethnic land households. allowance plus additional groups are not eligible unless cash and other assistance they qualify for special . based on identified needs and assistance as being socially priorities. HHs with more or economically vulnerable as than one factor of vulnerability defined within item D. (e.g.: old age, poverty, disability) being entitled to an a) Contracted company/NGO allowance for each factor. to provide extension services Eligible for livelihood and and training for dry season income restoration program. cropping.

b) PRC revised and updated rates will be reviewed for adequacy and discussed with the AP for adequacy. Eligible for livelihood and income restoration program.

In addition, APs will receive any necessary support to obtain replacement land and resettlement.

Absentee landowner households, who are verifiably not reliant of the productive land lost to the project, are not regarded as vulnerable households. E. Livelihood Severely affected and Severely affected and Severely affected and restoration vulnerable households vulnerable HH will be vulnerable HHs to be consulted as to livelihood identified during DMS/SESAH preferences and possible and prioritized thereafter. options. Provision of land and creation of new livelihood Contracted company/NGO to options and vocations, provide extension services identification of new income and training for livelihood generation activities and restoration program with a relevant skills training to clear restoration plan / upgrade livelihood levels to at business plan with milestones least pre-project levels. Any to reach pre project levels. additional allowances will be regulated by the PRC. Livelihood restoration plans must be agreed to in writing by the AHHs and approved by the PRC, prior to construction commencement 43

Type of Compensation and Entitled Persons Implementation Issues Loss Rehabilitation Measures

Special attention must be provided to address additional needs of any vulnerable AHHs.

IX. Income Restoration and Ethnic Group Development

A. Vulnerable households

103. The 10 Vulnerable Households identified during DMS are entitled to seeds and materials for the first dry season cropping free-of-charge in conjunction with an additional training and preference in technology demonstrations. Absentee households, who are not reliant on the affected productive land for their income and livelihoods, are not eligible for this support.

104. Vulnerable Households identified during DMS are also entitled to the special daily allowance. These AHHs are entitled to a daily special allowance for each factor (eg: poverty, disability and old age would be three factors) for 3 months. The monitoring will document these cases. Furthermore, preferences will be given as part of this special assistance for extension, training, and contractually required employment through the Project for very vulnerable APs. Absentee vulnerable households, who are not reliant on the affected productive land for their income and livelihoods, are not eligible for this support.

105. Identification of vulnerable households was based on DMS, consultations with AHHs and verification by the village administration. Socially and economically vulnerable households were derived from this list. The Socio-Economic status of households can change over time. This can in some cases lead to a change in the vulnerability status of a household. Households previously not vulnerable, can become so through for example divorce, death of a head of household, extended health issues leading to high medical expenses and loss of income pushing a household into poverty. At the same time, households listed as female headed and poor could, through marriage, become no longer vulnerable. Therefore, following signing of the loan agreement, and the start of the implementation of the project, the list of vulnerable households needs to be reviewed and updated prior to project impacts and compensation.

B. Ethnic Group Development Measures

106. Affected households belong to 6 ethnic groups, see Table 16. All AHH are integrated in the Lao-Tai social, political administrative systems, the cash economy and the commercial marketing of produce. The special measures included in this subproject LARP is to ensure literacy is not a barrier for equitable participation for the AHHs. The special measures include:

• Translation of communication messages into local language where necessary during discussion and/or the use of pictures for universality of key messages. • Proportional representation of ethnic minority groups and women on all subproject management committees and in community decision making bodies. • Capacity building for ethnic minority groups (men and women) to enable participation in subproject and community decision-making delivered in local language and using appropriate communication methodologies.

• Proportional representation of ethnic minority groups (men and women) in project study tours, trainings and related programs. • Extension services designed for and delivered to ethnic minority groups and women using local translators for those who are not fluent in Lao. • Implementing agencies will ensure any land use certificates or titles issued under the Project are updated in both spouses' names • Clearly reading out and explaining asset registration and compensation agreements documents to both heads of household prior to requesting for their acceptance and signature. • The household questionnaire conducted during consultation meetings conducted in May 2019 found out that not only EG households benefit from clearly reading out and explaining documents prior to requesting for their answers, but also those from LaoThai households who are not fluently in reading documents. Use of visual materials, such as the lao version of Figure 3, helps when explaining the compensation options.

X. Resettlement Budget

107. Preliminary compensation plan has been developed from DMS and 2016 compensation rates for the province. An overall cost estimate has been prepared based on compensation plans leading to a total of LAK 152,35 million including a 10% contingency (Table 23 and 24). The budget consists of two major elements; the compensation for land, trees and secondary structure totals LAK 81.36 million, and an allowance for the vulnerable affected household is LAK 57.14 million.

108. This estimate does not include indirect costs for resources related to safeguard implementing (safeguards team in PGT) and monitoring and evaluation (M&E) at national, provincial, and district levels as they are provided under project management funds. Also, all safeguards related surveys and EMA costs are included in project management funds. Land acquisition, resettlement and compensation (LARC) related costs would be financed by the ADB loan from the unallocated budget line.

Table 25: Land Acquisition and Compensation Cost for lost assets Compensation Item Amount Unit Compensation Value (LAK) Rate (LAK) Land 8,706 m2 various 62,271,041

Trees 523 Tree 30,000 15,690,000

Secondary 2 toilet 1,700,000 3,400,000 structures Special support for 13,49 ha 1,275,000 57,139,200 vulnerable AHHs Grand Total 138,500,241 Source: DMS and Compensation Unit Rate.

Table 26: Summary of Subproject’s Land Acquisition and Compensation Budget

Item Description Cost (LAK)

Loss of land 62,271,041 Loss of secondary Two toilets structures 3,400,000 Loss of crops No damage of standing crops by construction works. - Loss of trees 523 Trees 15,690,000 Loss of common property The subproject does not cause any resources relocation of common properties. - Income restoration No case of income restoration required - Special support Mitigation plan for the economic displacement people - Complementary measures Allowance support for the vulnerable AHHs 57,139,200 Planned Sub-Total 1: Mitigation 138,500,241 - Contingencies (10% of subtotals 1 and 2) 13,850,024 Preliminary Budget Estimated [LAK] 152,350,265 Note 1 - Temporary construction access and site installation area will be defined by contractor in proposal at tendering stage. Public space will be made available. In case of affected private land, the contractor would be required to make a direct rental contract with the household at prevailing market rates and make this available to the PIU and ADB. The land needs to be returned to the AH at the same state or better than when it was first rented.

XI. Institutional Arrangements

109. The implementation of the resettlement plans will involve various levels of government and project contractors including the Ministry of Agriculture and Forestry (MAF), Provincial Department of Agriculture and Forestry Office (PAFO), provincial and district resettlement committees, the PGT along with village authorities and the loan implementation consultants (LIC).

A. Ministry of Agriculture and Forestry

110. MAF, through the PGT (DoI), will continue to oversee the LARP activities of the concerned PAFO and DAFO and provide technical assistance if necessary.

111. The preparation of LARPs will be overseen by the LIC and will work with the PGT service provider for surveys such as SESAH, DMS, IOL. The requirements for these are detailed in this REGDF, and it is expected that each PAFO will assign a staff member as a focal point to work

with the resettlement teams and to monitor the day to day implementation of each LARP. The PGT will contract an external monitor for resettlement and the LARP implementation.

112. The PGT will appoint a qualified social safeguards officer to supervise and co-ordinate implementation of social safeguard requirements with support of the LIC International and National Social Safeguard Specialists. The PGT Social Safeguards Officer will be responsible for submitting social safeguard reports to ADB for clearance and disclosure. They will also carry out regular monitoring during implementation and prepare a summary of progress of the LARP and GRM implementation for the quarterly project progress reports. They will participate in ADB loan review missions, ensure that semi-annual environmental and social safeguards monitoring reports are submitted to ADB on time and follow-up on agreed actions.

113. PGT to, if necessary, contract a company/NGO to provide extension services and training for livelihood restoration program for the severely AHHs and vulnerable HHs. The company/NGO is to work closely with each PAFO/DAFO in the project Provinces for the provision of the services

B. Provincial Department of Agriculture and Forestry Office

114. Each PPIT within PAFO is headed by a Provincial Project Director who is responsible for all implementing components of the subprojects including the LARP. PAFOs shall continue to submit all subproject LARPs to NPC, for forwarding to ADB for concurrence.

115. PAFOs, with the assistance of the respective DAFOs, will continue to be responsible for overall planning, implementation and coordination of the Project including LARP. The PGT will continue to: (i) review and approve all subproject LARPs submitted by the provinces; (ii) approve subproject LARPs after obtaining concurrence from ADB; (iii) allocate necessary LARP budget; (iv) periodically supervise LARP implementation progress; (v) coordinate with other relevant central government agencies; and (vi) report these directly to ADB.

116. The PAFO will be required to designate one Resettlement Officer from within PAFO, and one will be designated from each DAFO, who together will ensure that all resettlement–related and EGDP element activities are properly planned, implemented and monitored. The Resettlement Officer designated will continue to be responsible for organizing the affected districts and villages to carry out the activities designated in this REGDF.

117. PAFOs will continue to be responsible for providing inputs in the preparation of subproject LARPs, and DAFOs at district level will be responsible for implementing and monitoring day-to- day activities including coordination with civil works schedule and financial management. Activities of PAFOs are, but not limited to the following: (i) consultation with APs; (ii) interact with the service provider that will carry out the census, inventories of assets, socio-economic surveys; (iii) coordination with implementers, including contractors where they are used, on civil works schedule; (iv) coordination with various departments at the district and village levels; (v) assist APs in finding new replacement land; (vi) prepare rehabilitation assistance to APs at village levels; and (vii) schedule resettlement activities and reporting regularly to the PGT and PRSC on progress and outstanding issues. To ensure that the preparation of subproject LARPs are transparent and conducted in a participatory manner, PAFOs and DAFOs will work closely with the APs, concerned local administrative authorities and local-based organizations (women, ethnic groups, etc.).

118. PGT will, if necessary, contract a company/NGO to provide extension services and training for livelihood restoration program for the severely AHHs and vulnerable HHs. The 47

company/NGO is to work closely with each PAFO/DAFO in the project Provinces for the provision of the services.

C. Provincial Resettlement Committee

119. PRCs have been established already under previous programs and can be reactivated and will continue to be headed by the Governor or Vice Governor of the participating Province. Members of the PRC are, but not limited to the following: concerned district governors or deputies, Department of Finance (Land Property Office), PAFO, DAFO and other relevant departments and mass organizations (LWU). The resettlement committees will also act as an advisor and will assess and monitor the LARP activities. They will also act as grievance officers.

120. Capacity building will be provided in resettlement planning for the newly established implementing stakeholders who will be involved and responsible for the final preparation and implementation of resettlement plans. Costs for capacity building in respect of social safeguards have been incorporated into this REGDF. It is recommended to organize safeguard related training immediately on project start-up and before any REGDF activities commence, and ensure the following topics are covered: (i) Latest policies, decrees and technical guidelines. (ii) Grievance Resolution (iii) Basic principles of resettlement planning and the conceptual approach on entitlements for losses. (iv) Restoration and rehabilitation of livelihoods. (v) Institutional requirements. (vi) Staff and training requirements. (vii) EG sensitivity and EGF elements.

XII. Implementation Schedule

121. A detailed implementation schedule of the various activities to be undertaken is shown in table 25. This schedule will be updated following finalization of the compensation rates and payments. The schedule for all resettlement activities must be agreed and settled by all stakeholders before resettlement activities begin.

122. Satisfactory payment of compensation and provision of other rehabilitation entitlements and relocation, if required under the LARP, will be completed before a ‘no objection’ can be provided by ADB within 20 working day prior to commencing civil works construction under each subproject.

Table 27: Schedule of RP Implementation PAFO approval of LARP June 2019 ADB approval of LARP June 2019 Disclose LARP on ADB website July 2019 Public disclosure of approved LARP to AHHs July 2019 Implementation of approved and updated LARP March 2020 to March 2022 Update compensation rates and prepare January 2020 compensation plans. Consult with HHs

Confirm and update DMS information where January 2020 required9. Consult with HHs Confirm and update Vulnerable household list. January 2020 Consult with HHs Approve compensation plans and update LARP Prior to March 2020 Disbursement of compensation payments to APs Prior to August 2020 Internal monitoring March 2020 to March 2022 (end of first DSI) External monitoring March 2020 to March 2022 (end of first DSI) Civil works construction Construction season 2020/2021 (Annually October through April)

XIII. Monitoring and Reporting

A. Internal Monitoring

123. The objective of internal monitoring is to (i) measure and report on the progress in the preparation and implementation of the updated LARP; (ii) identify problems and risks, if any, and the measures to mitigate them; and (iii) assess if the compensation and rehabilitation assistance provided are in accordance with the provisions of the approved LARP.

124. PAFOs, in collaboration with DAFOs and resettlement committees, are responsible for internal monitoring of LARP implementation. PAFOs, with DAFO assistance, will supervise the resettlement activities and provide quarterly reports to the NPC for inclusion in the Quarterly Progress Report, which is circulated to ADB and members of the Project Steering Committee. The NPC will ensure that the loan implementation consultants include in their progress reports the status of the LARPs, and information on location and numbers of people relocated, compensation amounts paid by item, and assistance provided to APs. All reports will be submitted in English. ADB will also monitor these activities in its regular supervision missions during the period of project implementation.

125. Internal monitoring indicators will include: (i) Compensation and entitlements are computed at rates and procedures as provided in the approved LARP. (ii) Payment of compensation to APs in accordance with the REGDF and as agreed with project authorities. (iii) Coordination and completion of land acquisition, compensation, assistance and relocation as required prior to the commencement of civil works (iv) Adherence to public information dissemination and consultation procedures. (v) Adherence to grievance redress procedures. (vi) The transition between resettlement and civil works is smooth. (vii) Others.

9 Decree 84, Article 8 Item 12 states: ”in case the compensation committee of the provincial or capital level finds out that the compensation plans are not implemented within twelve months as from the date of registration of the eligibility of the affected people there must be a new round of evaluation to identify the amount of works that have not been implemented and the new proposal must be submitted for re- consideration. 49

B. External Monitoring

126. An External Monitoring Agency (EMA) contractor will be engaged by the PGT to undertake independent monitoring. This organization will carry out implementation monitoring, with focus on assessing voluntary land donation procedures and post-resettlement impact evaluation to assess whether impacts of the proposed project have been mitigated adequately and the pre-project standard of living of APs have been restored as a result of resettlement and project activities.

127. The external monitoring contractor will (i) work closely with the land acquisition and resettlement implementation teams to ensure that the integrity of work and the adoption of a best practice approach is established early in the project, and (ii) will validate the completeness of the LARP implementation to ensure all cases are appropriately addressed. The EMA will produce Land Donation Due Diligence Reports. The EMA is also assigned the responsibility to monitor implementation of any EGP elements that are incorporated whilst the LARP is being implemented. The external monitoring contractor will report directly to the PGT, EA and ADB simultaneously on all findings.

128. Social Safeguard External Monitoring contractor will be awarded prior to the procurement of the first works contract and will operate for the duration of the project. It is expected that the firm would mobilize a minimum of two person one of which will need to be an international safeguards expert.

Annex 1a: Eligibility for Community Participation Framework

Eligible for Area of land Vulnerable Land plot % of land plot Community Village Name AHH ID Code Land type* plot impacted HH ID impacted Participation (m2) Framework

Nakeun NAN001 No 60 Garden Land Yes 300 2.0%

Nakeun NAN002 No 61 Garden Land Yes 201 6.7%

Nakeun NAN003 No 62 Garden Land Yes 203 6.2%

Nakeun NAN003 No 63 Paddy Land Yes 225 4.7%

Nakeun NAN004 No 64 Paddy Land Yes 494 6.2%

Nakeun NAN005 No 65 Paddy Land Yes 120 2.9%

Nakeun NAN005 No 141 Garden Land Yes 213 2.4%

Nakeun NAN006 No 66 Paddy Land Yes 74 2.3%

Nakeun NAN006 No 125 Paddy Land No 544 12.2%

Nakeun NAN007 No 68 Paddy Land Yes 88 1.0%

Nakeun NAN008 No 67 Paddy Land Yes 97 0.9%

Nakeun NAN009 Yes 70 Paddy Land No 277 3.5%

Nakeun NAN010 No 71 Garden Land Yes 374 3.0%

Nakeun NAN011 No 72 Paddy Land Yes 316 4.5%

Nakeun NAN012 No 73 Paddy Land Yes 321 2.7%

Nakeun NAN013 Yes 143 Paddy Land No 783 19.9%

Nakeun NAN014 No 75 Garden Land Yes 462 5.8% 53

Nakeun NAN016 No 77 Paddy Land Yes 198 2.5%

Nakeun NAN017 No 78 Paddy Land Yes 223 2.4%

Nakeun NAN018 No 144 Paddy Land Yes 295 3.8%

Nakeun NAN019 No 80 Paddy Land Yes 452 4.1%

Nakeun NAN019 No 127 Paddy Land Yes 172 4.1%

Nakeun NAN020 No 123 Paddy Land Yes 753 6.6%

Nakeun NAN020 No 124 Paddy Land Yes 189 1.9%

Sivilay SVL001 No 50 Paddy Land Yes 745 5.5%

Sivilay SVL002 No 51 Garden Land Yes 163 2.6%

Sivilay SVL002 No 52 Paddy Land No 171 34.0%

Sivilay SVL002 No 53 Garden Land Yes 291 1.1%

Sivilay SVL003 No 54 Garden Land Yes 449 4.6%

Sivilay SVL004 No 55 Garden Land Yes 246 1.8%

Sivilay SVL005 No 56 Garden Land Yes 576 4.1%

Sivilay SVL006 No 57 Garden Land Yes 498 2.6%

Sivilay SVL007 No 58 Garden Land Yes 460 4.6%

Sivilay SVL008 No 59 Garden Land Yes 450 3.1%

Sivilay SVL009 Yes 140 Garden Land No 512 4.6%

Sivilay SVL010 No 132 Paddy Land Yes 6 0.2%

Sivilay SVL011 No 131 Paddy Land Yes 523 2.7%

Sivilay SVL013 No 94 Paddy Land Yes 23 0.6%

Sivilay SVL014 No 134 Garden Land Yes 465 3.2%

Sivilay SVL015 No 136 Garden Land No 528 10.7%

Sivilay SVL016 No 93 Garden Land Yes 360 2.5%

Sivilay SVL017 No 129 Paddy Land No 377 12.1%

Sivilay SVL018 No 130 Paddy Land Yes 445 2.9%

Sivilay SVL019 No 135 Paddy Land Yes 505 7.5%

Thongphiengvilay THY001 No 81 Paddy Land Yes 370 5.2%

Thongphiengvilay THY002 No 118 Paddy Land No 299 14.3%

Thongphiengvilay THY004 No 27 Paddy Land Yes 206 3.5%

Thongphiengvilay THY006 Yes 128 Garden Land No 385 22.3%

Thongphiengvilay THY007 No 23 Garden Land Yes 468 4.3%

Thongphiengvilay THY009 No 84 Garden Land Yes 402 4.0%

Thongphiengvilay THY010 No 33 Paddy Land Yes 425 8.3%

Thongphiengvilay THY011 No 74 Garden Land Yes 443 4.0%

Thongphiengvilay THY012 No 79 Garden Land Yes 196 3.4%

Thongphiengvilay THY012 no 34 Residential No 46 10.5%

Thongphiengvilay THY013 No 85 Garden Land Yes 311 4.1% 55

Thongphiengvilay THY014 No 86 Garden Land Yes 117 2.3%

Thongphiengvilay THY015 No 87 Garden Land Yes 211 4.1%

Thongphiengvilay THY016 Yes 82 Garden Land No 448 9.0%

Thongphiengvilay THY016 Yes 24 Residential No 50 5.7%

Thongphiengvilay THY017 No 88 Garden Land Yes 144 2.9%

Thongphiengvilay THY018 No 17 Garden Land Yes 111 1.5%

Thongphiengvilay THY019 No 89 Garden Land Yes 58 0.6%

Thongphiengvilay THY020 No 22 Residential No 51 7.2%

Thongphiengvilay THY021 No 18 Paddy Land Yes 110 1.8%

Thongphiengvilay THY022 Yes 19 Paddy Land No 168 4.2%

Thongphiengvilay THY023 No 145 Paddy Land No 104 20.0%

Thongphiengvilay THY024 No 146 Residential No 74 86.1%

Thongphiengvilay THY024 No 25 Paddy Land Yes 410 5.2%

Thongphiengvilay THY024 No 49 Paddy Land Yes 380 3.8%

Thongphiengvilay THY025 No 90 Garden Land Yes 400 8.1%

Thongphiengvilay THY026 No 20 Garden Land No 626 19.2%

Thongphiengvilay THY027 No 21 Residential No 39 9.0%

Thongphiengvilay THY028 No 107 Residential No 55 4.8%

Thongphiengvilay THY029 No 96 Residential No 55 6.1%

Thongphiengvilay THY029 No 97 Residential No 52 7.1%

Thongphiengvilay THY030 No 109 Residential No 52 5.1%

Thongphiengvilay THY033 No 6 Paddy Land Yes 445 4.6%

Thongphiengvilay THY033 No 98 Residential No 159 8.9%

Thongphiengvilay THY034 Yes 99 Paddy Land No 361 3.6%

Thongphiengvilay THY035 No 100 Garden Land Yes 428 5.2%

Thongphiengvilay THY036 No 101 Garden Land Yes 297 3.0%

Thongphiengvilay THY037 Yes 69 Garden Land No 74 1.5%

Thongphiengvilay THY038 No 106 Garden Land Yes 29 0.6%

Thongphiengvilay THY039 No 102 Garden Land Yes 257 4.6%

Thongphiengvilay THY040 No 103 Garden Land Yes 227 4.1%

Thongphiengvilay THY041 No 104 Paddy Land Yes 489 3.5%

Thongphiengvilay THY042 No 105 Paddy Land Yes 604 3.1%

Thad THY050 No 147 Paddy Land Yes 513 4.1%

Thad THY055 No 108 Paddy Land Yes 491 6.4%

Thad THY056 No 111 Paddy Land Yes 403 5.6%

Thad THY057 No 35 Paddy Land Yes 263 3.4%

Thongphiengvilay THY058 No 36 Paddy Land Yes 233 1.4%

Thongphiengvilay THY063 Yes 41 Paddy Land No 673 5.3% 57

Thongphiengvilay THY064 No 42 Paddy Land Yes 407 4.3%

Thad THY068 No 45 Paddy Land Yes 524 4.2%

Thongphiengvilay THY072 No 16 Paddy Land Yes 410 4.1%

Thongphiengvilay THY073 No 15 Upland Rice Yes 292 2.9%

Thongphiengvilay THY074 No 14 Garden Land Yes 85 0.9%

Thongphiengvilay THY075 No 13 Upland Rice Yes 228 2.3%

Thongphiengvilay THY076 No 11 Garden Land No 159 10.0%

Thongphiengvilay THY076 No 12 Paddy Land Yes 166 2.2%

Thongphiengvilay THY078 No 10 Garden Land Yes 24 0.2%

Thongphiengvilay THY078 No 110 Residential No 61 5.1%

Thongphiengvilay THY079 No 7 Garden Land Yes 644 6.9%

Thongphiengvilay THY080 No 8 Garden Land Yes 92 5.0%

Thongphiengvilay THY080 No 112 Residential No 150 9.7%

Thongphiengvilay THY080 No 112 Residential No 59 5.1%

Thongphiengvilay THY081 No 9 Paddy Land Yes 6 0.1%

Thongphiengvilay THY083 No 5 Paddy Land Yes 363 3.0%

Thongphiengvilay THY084 No 4 Paddy Land Yes 704 1.8%

Thongphiengvilay THY085 No 2 Upland Rice Yes 484 3.8%

Thongphiengvilay THY086 No 139 Garden Land Yes 471 3.5%

Thongphiengvilay THY087 No 1 Garden Land Yes 544 4.1%

Thongphiengvilay THY088 Yes 3 Garden Land No 668 5.9%

Thongphiengvilay THY089 No 113 Paddy Land Yes 143 0.7%

Thongphiengvilay THY090 No 91 Paddy Land Yes 1,067 5.5%

Thongphiengvilay THY091 No 114 Paddy Land Yes 195 2.3%

Thongphiengvilay THY092 No 115 Paddy Land Yes 260 3.3%

Thongphiengvilay THY093 No 116 Paddy Land Yes 237 2.1%

Thongphiengvilay THY094 No 117 Paddy Land Yes 220 4.4%

Thongphiengvilay THY094 No 122 Paddy Land No 465 9.3%

Thongphiengvilay THY096 No 119 Paddy Land Yes 100 0.8%

Thongphiengvilay THY097 No 120 Paddy Land Yes 580 3.5%

Thongphiengvilay THY097 No 200 Garden Land Yes 92 8.7%

Thongphiengvilay THY098 No 121 Paddy Land Yes 446 2.8%

Thongphiengvilay THY098 No 201 Garden Land No 182 9.1% Source: TRTA DMS . The Land type has been adjusted from the DMs to match with land types classified in the compensation Unit Rate

Annex 1b: Preliminary Compensation Plan

Area of Resettlement Framework compensation in LAK AHH ID Vulnera Land land plot Village Name Land type Code ble HH plot ID impacted Unit rate Land 2 Structures Trees Support Total (m ) (LAK/M2) Compensation

No 125 Paddy Land Nakeun NAN006 544 6,000 3,263,197 0 0 3,263,197

Yes 70 Paddy Land Nakeun NAN009 277 6,000 1,661,646 0 0 3,571,200 5,232,846

Yes 143 Nakeun NAN013 Paddy Land 783 6,000 4,695,013 0 0 5,356,800 10,051,813

No 51 Sivilay SVL002 Garden Land 163 0 0 900,000 900,000

No 52 Sivilay SVL002 Paddy Land 171 6,000 1,026,439 0 0 1,026,439

No 55 Sivilay SVL004 Garden Land 246 0 0 930,000 930,000

No 58 Sivilay SVL007 Garden Land 460 0 0 7,500,000 7,500,000

Yes 140 Sivilay SVL009 Garden Land 512 2,250 1,150,933 0 0 6,249,600 7,400,533

No 129 Sivilay SVL017 Paddy Land 377 6,000 2,260,972 0 0 2,260,972

No 118 Thongphiengvilay THY002 Paddy Land 299 6,000 1,792,984 0 0 1,792,984

Yes 128 Thongphiengvilay THY006 Garden Land 385 2,250 866,347 0 0 7,142,400 8,008,747 1,700,00 no 34 32,000 1,464,154 0 3,164,154 Thongphiengvilay THY012 Residential 46 0

Yes 82 Garden Land Thongphiengvilay THY016 448 2,250 1,009,068 0 0 1,009,068

Yes 24 Thongphiengvilay THY016 Residential 50 32,000 1,600,000 0 0 4,464,000 6,064,000

Yes 19 Thongphiengvilay THY022 Paddy Land 168 6,000 1,010,472 0 0 8,928,000 9,938,472

No 145 Thongphiengvilay THY023 Paddy Land 104 6,000 622,633 0 0 622,633

No 146 Thongphiengvilay THY024 Residential 74 32,000 2,369,252 0 0 2,369,252

No 20 Garden Land Thongphiengvilay THY026 626 2,250 1,408,615 0 0 1,408,615

No 21 Thongphiengvilay THY027 Residential 39 32,000 1,248,000 0 0 1,248,000

No 107 Thongphiengvilay THY028 Residential 55 32,000 1,760,000 0 0 1,760,000

No 96 Thongphiengvilay THY029 Residential 55 32,000 1,747,074 0 0 1,747,074

No 97 Thongphiengvilay THY029 Residential 52 32,000 1,664,000 0 0 1,664,000

No 109 Thongphiengvilay THY030 Residential 52 32,000 1,664,000 0 0 1,664,000 1,700,00 No 98 32,000 5,085,710 0 6,785,710 Thongphiengvilay THY033 Residential 159 0

Yes 99 Thongphiengvilay THY034 Paddy Land 361 6,000 2,163,508 0 0 6,249,600 8,413,108

Yes 69 Garden Land Thongphiengvilay THY037 74 2,250 166,067 0 0 7,142,400 7,308,467

Yes 41 Thongphiengvilay THY063 Paddy Land 673 6,000 4,040,456 0 0 4,464,000 8,504,456

No 11 Garden Land Thongphiengvilay THY076 159 2,250 358,175 0 0 358,175

No 110 Thongphiengvilay THY078 Residential 61 32,000 1,965,070 0 0 1,965,070

No 112 Thongphiengvilay THY080 Residential 150 32,000 4,791,974 0 0 4,791,974

No 112 Thongphiengvilay THY080 Residential 59 32,000 1,888,000 0 0 1,888,000

Yes 3 Thongphiengvilay THY088 Garden Land 668 2,250 1,502,867 0 0 3,571,200 5,074,067

No 122 Thongphiengvilay THY094 Paddy Land 465 6,000 2,792,409 0 0 2,792,409

No 200 Thongphiengvilay THY097 Garden Land 92 0 0 360,000 360,000

No 201 Thongphiengvilay THY098 Garden Land 182 2,250 409,205 0 6,000,000 6,409,205

3,400,00 Total 59,448,240 0 15,690,000 57,139,200 135,677,440 Source: TRTA DMS and Compensation Unite Rate

Annex 1c: List of Compensation support for vulnerable households

Number of Number of people Total support No Household ID Monthly support value* months in the Household value 1 NAN009 297,600 3 4 3,571,200 2 NAN013 297,600 3 6 5,356,800 3 SVL009 297,600 3 7 6,249,600 4 THY006 297,600 3 8 7,142,400 5 THY016 297,600 3 5 4,464,000 6 THY022 297,600 3 10 8,928,000 7 THY034 297,600 3 7 6,249,600 8 THY037 297,600 3 8 7,142,400 9 THY063 297,600 3 5 4,464,000 10 THY088 297,600 3 4 3,571,200 Total 57,139,200 Source: TRTA DMS and SESAH

*The monthly support Value is based on a person/month basis: 12kg sticky rice (7,000 LAK/kg), 8 pce eggs (1,200 LAK/pcs), 0.8kg of fresh meat (75,000 LAK/kg) and 0.8kg of dry meat (180,000 LAK/kg). To be confirmed by PRC.”

Annex 2: Map of Nam Seng Irrigation Alignment and Land Parcels

Annex 3: Participation and Community Consultation

3.1 Initial Public Consultation and project Information Dissemination

Ban Sivilay 10 April 2018 (13 men, 3 Women): Explain Project concept, likely impacts and benefits, feasibility process, land acquisition modalities, GRM.

3.2 Consultation and SIA

Ban Na Kheun: 2 May 2018: Project concept, participation and feasibility process. Public support, GRM. 65

Ban Pak Khone: 4 May 2018

Ban Phon Hin: 3 May 2018

Ban Sivilay: 3 May 2018

Ban Thad: 4 May 2018

Thongpiang Vilay: 2 May 2018

3.3: List of participants for June Community Consultation

Consultation Meeting with Koum BanThongphiengsivilay area on the Nam Seng Irrigation system Design and Resettlements work on 6 Jun -201 8,a t Sivilay village meeting room List of participants

3.4: Minutes of initial design meeting

LAO PEOPLE’S DEMOCRATIC REPUBLIC Peace Independence Democracy Unity Prosperity ------+++++------

Louangphabang Province Nan District Sivilay Village Letter No. 109 Sustainable Rural Infrastructure Sivilay village, Dated 6 June 2018 And watershed management Project

Minute of Meeting On initial design and resettlement activity consultation for Nam Seng Irrigation system rehabilitation project in Nan District, Louangphabang Province.

- Refer to the Notice letter of the Department of Irrigation No. 0938/DoI, dated 17/5/2018 on Social-resettlement field site visit of the consultant to Louangphabang, Xiengkhuang and Houaphan Provinces. The TA team for project feasibility study for Nam Seng Irrigation in Nan District Louangphabang Province. On 6 June 2018 from 10:00 to 12:00 O’clock the consultation meeting on initial design and resettlement of potential affected assets along the RoW of the Nam Seng Irrigation system had been conducted at the office of Sivilay Koumban. The meeting attended by Mr. Sanya, Deputy head of Irrigation Section, SRIWSM project coordinator, Mr. Khamko Siamphone, Deputy Head of DAFO, Provincial and District Irrigation Staff, PAFO representative, Village authority and village of total 51 participants attended. 1. Objective of the meeting To conduct public consultation with villagers and the authorities in the project area especially at 6 villages of Nakheun, Sivilay, Thongphiengvilay, That, Pakkhone and Simoungkhoun under Sivilay Koumban within Nam Seng Irrigation system rehabilitation project to aware of: 1.1 Initial Design of Nam Seng irrigation system improvement 1.2 Notify project cut-off-date prior for initial survey of the Social safeguard consultant and notify villagers not to newly construct any structure, extension of structure, planting trees, etc. in the RoW of the Nam Seng system, 1.3 To conduct affected assets and socio-economic survey for project affected households; 1.4 To consult on resettlement and compensation issues as refer to the decree 84/Gov. dated 5 May 2018; 81

1.5 To consult on the role of village participation and the local capacity for participation; 1.6 Questions and project grievance redress mechanism

2. Details of consultation 2.1 Mr. Sanya Xoumphonphakdy, Provincial SRIWSM project coordinator presented the project summary including the initial design for Nam seng Irrigation system improvement involving new canal construction that proposed for project investment, techniques and production plan and the market chance for the products as planned to study in this project. 2.2 Mrs. Phengvichit Chanthavong, Social safeguard specialist introduced the team objectives, detail activities to be done and provided general discussion with all participants in relation to resettlement along the RoW of Nam Seng project.

3. Results of the consultation meeting 3.1 All villagers and village authorities attended shows their readiness and agreed with the improvement plan for Nam Seng Irrigation system rehabilitation. They are thankful to the District authority to be able to get fund for Nam Seng improvement as they are awaiting since long time. 3.2 Mr. Khamsone Suliya, a farmer raised that in general he is very glad to know that there will be a project to assist them and urge for a quick implementation. For the project design if possible the canal should pass through all farmer’s land to reduce the impacts. ➢ Mr. Sanya the project coordinator clarify that the irrigation team had already surveyed and designed at the initial stage. They are trying best to align the canal to pass each land owner but in accordance with the technical standard. For the detail design will be done in the next stage. 3.3 Mr. Khamkeng, Farmer representative is very proud of the project intervention as they are waiting for so long. The Government fund for system repair could not cover all parts. If this project can be approved and implemented it will be a big project for agricultural production of the community as well as the District. For the project impacts will try best to support for project sustainability. 3.4 For the impacts mitigation and grievance redressal for the affected people, after project arrival the committee will be established at village, District and provincial levels for further solution together with project team. The meeting had been conducted in a good atmosphere till 11:30 AM and officially closed by the Chair person.

Provincial Project District Agriculture and Village Chief Coordinator Forestry Office of Sivilay

Signed and sealed Signed and sealed

By Bounthan Sysombat by Kenchan

The Note taker

Sompasong

3.5: Notes of village meetings during SESAH

Meeting 1: Participants (4m/1f): 3 Oct 2018 (19.15 to 20.30) • PAFO head Introductory meeting/ welcome dinner (Nan • PAFO Head of Irrigation Division Restaurant) • DAFO deputy head Key Lao Social Research staff: Mr. Keopheth Phoumphon, LSR • Mr. Xayyaphanh Ms. Lattanaphone, LSR • Mr. Sanya Soumphonphakdy • Mr. Khamko

Discussion/ comments: • Introduction to the team • Presentation the objective of the mission • Present the work plan and procedure for data collection • Discussion regarding PAFO staff to accompany the team in the field

Meeting 2: Participants(3f/6m): 4 Oct 2018 (8.10-8.40) • DAFO head and deputy head of Nan Introductory meeting at DAFO office of Nan district district • PAFO Head of Irrigation Division 6 Lao Social Research staff in attendance. • Mr.Bounthanh; • Mr.Khamko • Mr.Sanya Soumphonphakdy • Mr. Keopheth Phoumphon • Ms.Lattanaphone • Mr. Phacith • Mr. Thitdavanh • Ms. Sothida • Ms. Chian Discussion/ comments: • Introduction of the objective of field mission and time schedule • Discussion about keeping land clarification document after AHHs signature. The meeting agreed to the land clarification document, with initial agreement regarding the principle of releasing land/assets after the document was signed by the AHHs. It was discussed that: • The document needs to be signed by both the AHHs head and the spouse, with two copies. (One copy stays with the household, the other is retained by the survey team (of which a copy is needed to be kept by DAFO)). • After the ADB mission in November 2018, DAFO needs to collect all original land clarification forms back from AHHs and keep them in the DAFO. The signed document is requiring by ADB. • Good cooperation and support by the village administration committee as well as AHHs was needed to ensure all the data needs for the mission were achieved. • The land clarification form needs to be ticked ( ) by the AHHs representative on the choice blocks of compensation need (Based on Mr.Sanya Soumphonphakdy phone discussion with Mr.Sengkham). The compensation is currently in a process of negotiation between ADB and Lao Government. The compensation solution will be responsibility by ADB and Government (based on negotiation results).

Meeting 3: Participants (46: 18f/28m): 4 Oct 2018 (14:00 – 16:30) • DAFO deputy head of Nan District. AHHs Information Meeting • PAFO Head of Irrigation Division Thongphiengvilay village hall • DAFO staffs 6 Lao Social Research staff in attendance. • Village authority; • AHH representatives Discussion/ comments: • PAFO Head of Irrigation Division presented the objective of the mission. He noted that many land parcels would be affected by the planned construction. AHHs will not receive compensation (based the Lao government policy). The project fund is an ADB loan to the government. The government has no other fund to contribute to the project, so the land affected by the construction should be contributed. The affected households will be interviewed about their socio-economic situation and will be asked for their opinion about compensation (required by ADB regulations). The Lao government is currently negotiating with ADB about compensation in the project. It was discussed that: • The clarifications forms and initial agreement in principle of release of land and others assets needs to be signed by both the AHHs head and the spouse, with two copies. (One copy stays with the household, one is retained by the survey team). • Good cooperation and support by the village administration committee as well as AHHs was needed to ensure all the data needs for the mission were achieved. • If the project is implemented, farmers/ villagers will provide labour for construction if needed. • The government will issue new land titles, with the land area needed for the project removed. For the new parcels, the sale for, or change of land use from agriculture to other land use will not be allowed (the agriculture land control regulation will be developed later on). • LSR team read the list of AHHs, and steps of the household survey. Issues raised in the meeting: • The affected parcels (THY010) of Mr. Pha also covers land of Mr. Khammone from Thongphiengvilay. DAFO and the village head agreed to add Mr. Khamphone’s name as well as Mr. Pha’s documents. Afterwards the document will be adjusted or modified. • Some names of AHH are not correct, e.g. Mr. Malao should be “Ms. Malao”, and Mr. Long Vongsanith should be “Ms.Long Vongsanith”. • An AHH has two IDs: THY031 and 078. Her name is Ms. Macha. • The name of the wife of Mr. Thai Xiong (AAH) (THY022) is wrong, it should be Mrs. Laly. (In addition, the property belonged to his brother (deceased) and will transfer to his two sons. Mr. Thai is using the land, which will be transferred once the brother’s son becomes an adult). • Some AHHs live far away. Mr. Siaser (THY087) and Mr. Cherlee (THY088) live in Phonexai district. Mr. Hervue (THY 081) and Mr. Choubongthor (THY096) live in Luang Prabang. The district staff agreed to contact them/invite them for interview. • Mr. Thaixiong requested approval of rice paddy land (33X33m) close to the new canal to be construction land, as he does not have other land for house construction. • The team interviewed 8 AHHs on this day.

Meeting 4: Participants: (14: 5f/9m): 5 Oct 2018 (10:00 – 11:00) • DAFO deputy head of Nan District. AHHs Information Meeting • PAFO Head of Irrigation Division Sivilay meeting hall • DAFO staffs (3 staffs) 2 Lao Social Research staff in attendance. • Village authority; • AHHs representatives Discussion/ comments: • PAFO Head of Irrigation Division presented the objective of the mission. Noting that the project started a long time ago, and has now reached the AHH information stage. He informed that all AHHs should agree with, and accept, project construction and implementation in the coming year, explaining that new land titles will be provided, with the land area needed for the project removed. (PAFO/DAFO will cooperate with DoNRE to issue the new land titles if the project is successful). He explained that AHHs will not receive compensation (based on Lao government policy). The project fund is an ADB loan to the government. The government has no other fund to contribute to the project, so the land affected by the construction should be contributed. The affected households will be interviewed about their socio-economic situation and will be asked for their opinion about compensation (required by ADB regulations). The Lao government is currently negotiating with ADB about compensation in the project. It was discussed that: • The clarifications forms and initial agreement in principle of release of land and others assets needs to be signed by both the AHHs head and the spouse, with two copies. (One copy stays with the household, one is retained by the survey team). • Good cooperation and support by the village administration committee as well as AHHs was needed to ensure all the data needs for the mission were achieved. • If the project is constructed, farmers/ villagers will provide labour for construction if needed. • For the new parcels, the sale for, or change of land use from agriculture to other land use will not be allowed (the agriculture land control regulation will be developed later on). • The dry season cash crops to be promoted will include garlic, peanuts, soya beans, and green beans. • LSR team read the list of AHHs, and steps of the household survey for Sivilay. Issues raised in the meeting: • Some names of AHH are not correct, e.g. Mr. Soulivanh (SVL005) should be” Mr. Souvanthone”. • In the past many companies promoted cash crops cultivation, but did not buy the products. It will be good if this project is more active in market promotion. • One farmer raised a concern that they would not get paid by the Chinese company that rents her land for banana plantation if the project implementation starts early, because the company is due to paid the rent in May next year. • Some AHHs agreed with the project implementation, but questioned if the design needed to be reconsidered to increase benefit to their rice fields (they afraid that despite the impact to the land, water will only benefit a small portion of their land). • PAFO recommended that the farmers should not worry about the water distribution/ reaching their fields. The design team considered and checked all technical aspects so their fields get as much water as possible. The land rent fee is not a problem. In 2020, the government will not allow any rent permit for banana plantations.

Meeting 5: Participants (19: 8f/11m): 5 Oct 2018 (20:00-21:00) • PAFO Head of Irrigation Division AHH Information Meeting • DAFO staff Nakheun • Village authority 6 Lao Social Research staff in attendance. • AHHs representatives Discussion/ comments: • (Same introduction as meeting 4): PAFO Head of Irrigation Division presented the objective of the mission. Noting that the project started a long time ago, and has now reached the AHH information stage. He informed that all AHHs should agree with and accept with project construction and implementation in the coming year, explaining that new land titles will be provided, with the land area needed for the project removed. (PAFO/DAFO will cooperate with DoNRE to issue the new land titles if the project is successful). He explained that AHHs will not receive compensation (based on Lao government policy). The project fund is an ADB loan to the government. The government has no other fund to contribute to the project, so the land affected by the construction should be contributed. The affected households will be interviewed about their socio-economic situation and will be asked for their opinion about compensation (required by ADB regulations). The Lao government is currently negotiating with ADB about compensation in the project. It was discussed that (same as meeting 4): • The clarifications forms and initial agreement in principle of release of land and others assets needs to be signed by both the AHHs head and the spouse, with two copies. (One copy stays with the household, one is retained by the survey team). This signature is a requirement of ADB. • Good cooperation and support by the village administration committee as well as AHHs was needed to ensure all the data needs for the mission were achieved. • If the project is constructed, farmers/ villagers will provide labour for construction if needed. • For the new parcels, the sale for, or change of land use from agriculture to other land use will not be allowed (the agriculture land control regulation will be developed later on). • The dry cash crops to be promoted will include garlic, peanuts, soya beans, and green beans. • LSR team read the list of AHHs, and steps of the household survey for Sivilay. Issues raised in the meeting: • Mr. Chanxai, Mr. Thidpheng, and Ms. San/Mr. Chanoun are not in the AHH list but they informed that their HHs land is affected • Mr. Khamphanh (NAN011) and Mr. Xiengna (NAN014) are not living in the village. They have gone to work in Thailand. • The land tittle of Mrs. Thongkham and Mr. Luan (NaN 020) is the same piece as that of Ms. Thong (younger sister of Ms. Thongkham) and they interchange for rice cultivation. • The LSR team will check the AHHs list and inform the AHHs who is in the AHH list later on.

Meeting 6: Participants (4: 1f/3m): 6 Oct 2018 (7:10-7:40) • District governor Summary of field report • PAFO Head of Irrigation Division Sokphaikham Questhouse 2 Lao Social Research staff in attendance.

Discussion/ comments: • The PAFO Head of Irrigation Division reported to the district governor on the issues as follow: 104 land owners with affect parcels will be interviewed (50 landowners already interviewed) with field work to be to complete by Sunday. The impact land parcels will be issued new land titles (minus the impacted land area) with cooperation with DoNRE. Land use change for the agriculture land in project area will not be allowed. If any farmer would like to sell their land they should report to DAFO and DoNRE for consideration. • The problems identified by the survey team included: one land owner did not have good understanding of project as he did not participate in the village meeting (but his wife does) and he did not allow the team to interview him. One farmer gave the interview but he did not yet sign the clarification form. • The district governor congratulated the team for their hard work and noted they should complete the field work as planned. He suggested that the district staff who accompany the field team should support more to explain the project, and he advised that the related line agency authority (DoNRE) could help in solving these problems. If the team has any problems they should report and let him know. He is happy to help for solve any problems that occur. PAFO and DAFO should cooperate with DoNRE for new land title issues/certificates for the AHHs.

Meeting 1 Meeting 2 Meeting 3 3 Oct 2018 (19.15 - 20.30) 4 Oct 2018 (8.10-8.40) 4 Oct 2018 (14:00 – 16:30) Introductory meeting. Introductory meeting at DAFO AHHs Information Meeting Nan Restaurant office of Nan district Thongphiengvilay village (No photo)

Meeting 4 Meeting 5 Meeting 6 5 Oct 2018 (10:00 – 11:00) 5 Oct 2018 (20:00-21:00) 6 Oct 2018 (7:10-7:40) AHHs Information Meeting AHH Information Meeting Summary of field report Sivilay meeting hall Nakheun Sokphaikham Questhouse

Annex 4: MoU on Discontinuation of Banana Plantation

LAO PEOPLE’S DEMOCRATIC REPUBLIC Peace Independence Democracy Unity Prosperity ------+++++------Luangphrabang Province Nan District No. 456/AFO.ND Agriculture and Forestry Office Date 28th June 2018

Memorandum of understanding on Discontinue Land extension and banana plantation on rice field in Vilay Plain area

- Pursuant to Notice of Government Office No 830/GO date 24th August 2018 on guidance on smuggle planting banana in the north part - Pursuant to Notice of Ministry of Agriculture and Forestry No. 1234/OF dated 06th June 2015 on issue of planting banana on the rice fields in irrigation area. - Pursuant to agreement of management and use of land for commercial planting Cavendish Banana No. 198/ DO. ND, date 18th May 2017. - Pursuant to Notice of Nan district Governor No, 164/DG. ND, date 20th June 2018 on Announcement of project launch or cut-off-date of affected people on infrastructure of rural agriculture project.

Nan District office of Agriculture and Forestry coordinate with related parties and Banana Plantation Companies in Vilay plain area as the representative name below: 1. Mr. Khamko Siamphone representative of Agriculture and Forest Office 2. MR. Sython Phommalth representative of Natural resources and Environment Office 3. Ms. Latsamy Vongmanichan representative of Plantation Unit 4. Mr. Sompasong Phommachan representative of Agriculture Land Management and development Unit 5. Mr. Vongphone Keomany representative of Irrigation Unit

I. Details: 1. In the last 1 year, KP Company limited make a concession on land for banana plantation had paid for land concession specifically on lower area of irrigation in plain area to people from 30/052017 to 30/05/2018. The district had agreed with the proposal of the company. 2. Next year, the company is not allowed to pay for concession land to people before permission from Government. According to the previous agreement, mention area is 89

irrigation land which will be continue to develop or construct new irrigation in 2018 – 2019. 3. Present-day, PK HOLDING Group had sold its concessions to Yao Cheun Thang Company to continue on banana plantation on Vilay plain area which was determined to stop rental. 4. Yao Cheun Thang Company to stop its banana plantation and finish clearance of banana stumps and others wastes out from the path line of the irrigation before 20/10/2018. 5. Yao Cheun Thang Company to stop its banana plantation and finish clearance of banana stumps and others wastes out from the area under the irrigation which will be expanded to new rice field before 20/12/2018.

II. Company proposal 1. Propose to district to consider the cost that company had paid rental cost to some people until 2020, people shall return money to the company (company does not want to stop renting but the land is not available) 2. Propose the related offices to re-measure the banana parcels those are on and under the area of irrigation path line, how many households, parcels and hectare. Therefore, this memorandum of understanding had been made and signed and shall be used as official evidence.

Owner of (PK) HOLDRING Group Yao Cheun Thang Company Recorder

Endorse Head of Nan District Agriculture and Forestry Office Nan District Governor

Annex 5: Cut-off Date Announcement

LAO PEOPLE’S DEMOCRATIC REPUBLIC Peace Independence Democracy Unity Prosperity ------+++++------Louangphabang Province The Governor of Nan District Letter No. 164/Gov of Nan Dated 20 June 2018

Official Notification

Attention: Head of offices, divisions, sections equivalent in the District, companies, enterprises and village heads together with villagers in the development area of the Nam Seng Sustainable Rural Infrastructure and watershed Management Project in Nan District Louangphabang Province.

Subject: Notification of the project cut-off-date for Nam Seng Sustainable Rural Infrastructure and watershed Management Project under the feasibility study phase for project preparation.

• Referred to a Memorandum of Understanding of (MoU) between ADB and the Government of Lao PDR on SRIWSM Project preparation dated 13 March 2018. • Referred to the requirement of the project in the feasibility study phase for Nam Seng Sustainable Rural Infrastructure and watershed Management Project, • Referred to an agreement made from the consultation meeting at the District level of project coordination office dated 2 May 2018 on resettlement issues solution for Nam Seng SRIWSM Project in Nan District Louangphabang Province to complete project feasibility study as planned.

The Government of Nan District issue an official notification to all stakeholders including Head of offices, divisions, sections equivalent, companies, enterprises and village heads together with villagers in the development area of the Nam Seng Sustainable Rural Infrastructure and watershed Management Project in Nan District Louangphabang Province as follows: 1. It is to notify that on the date of 22 June 2018 is the project cut-off-date for all Affected assets affected by the project; 2. All surveyed affected assets this period are registered. Beyond this date no claimed affected assets will be counted, consider or entitle for compensation; 3. From the date the cut-off-date is notify no new construction, structure extension, planting trees, crops, etc. in the right of way is allowed. 91

4. The SRIWSM Provincial Project Management Office and District Coordination office to further cooperate with all related stakeholders disseminated this notice to all project villages for information, 5. This notice is affective and enforce from the date it signed onward Therefore, this notice is issued for public information and effectively implementation,

The Government of Nan District

Signed and stamped

Mr. Bounthy Manivong

Annex 6: Minutes of meeting for change of alignment

LAO PEOPLE’S DEMOCRATIC REPUBLIC Peace Independence Democracy Unity Prosperity ------+++++------Louanphabang Province No. 539/PAFO_ND Nan District Governor Date: 30/07/2018 Thongphieng Vilay Village Sustainable Rural Infrastructure and Watershed Management Project Memorandum On agreement to adjust alignment of SC1 to avoid affective on graveyardburial-grounds of Mr. Phengxiong’s cousin which is located on the area of Nam Seng irrigation construction and renovation project, Nan District; Louangphabang Province. - According to the notification of Irrigation Department No. 1410/Irrigation. DoI, dated 23///2018; on mission of consultants for Detail Measurement Survey and affected HH data collection in Louangphabang, Xiengkhouang and Houaphan, technical assistant program to study possibility of Nam Seng Irrigation renovation, Nan district, Louangphabang Province during 26/7 – 14/08/2018. - According to the detailed measurement survey of the survey and consultant team to avoid and minimize initial impact. 28 July 2018, DAFO and technicians from province and district with survey consultants had implemented investigation and data collection along the alignment of SC1, found that at the point of …Km, the alignment designed is closed to the graveyard of parents and grandson of Mr. Phengxiong, total 3 scenes. That area is rice field, there is a corn garden, there are 3 burial-grounds and a farm hut. West boundary connect to the banana plantation of Mr. Kengveu. Mr. Pengxiong’s wife name Mrs. Kayang, they currently live in Thingpengvilay village, Unit 2, Nan District; Louangphabang. Mr. Phengxion has 4 siblings. 3 (including him) are in Louangphabang: 1. Mr. Houaxiong (oldest brother), 2. Mr. Tongxion (2nd brother) and Mr. Phengxion (the 3rd) and 2 others are in other provinces. 3 person mentioned above are responsible for those burial- grounds. Mr. Phengxiong and his family have been this land. On 29/07/2018, project district, province teams, village head, consultant and survey team had been investigated the alignment of the SC1 and the specific scenes together with Mr. Houaxiong and MR. Phengxiong (photo attached) and discussed together. Technical investigation found that all the scenes are in the same flat which is possible to adjust the designed and agreed to adjust the alignment due to the burial-grounds to avoid the affective on their parents burial-ground. The agreement: 95

1. Mr. Houaxion and Phengxiong’s families agreed to adjust the irrigation alignment to area of banana plantation of Mr. Kengveu which is 10 m from the burial- grounds (left down of the canal) 2. Construction contractor will be informed to avoid affective the area during the construction Therefore, Nan District Agriculture and Forestry Office had made this memorial as a reference to problem solving and report to the district steering committee. Note taker Mr. Khamko

Acknowledgement and endorse D. Head of Thongphiengvilay village Affected Household Mr. Yerm Chantom 1. Mr. Phengxiong 2. Mr. Tongxiong 3. Mr. Housxiong

Nan District Governor Head of District agriculture and Forestry

Mr. Bounthy Manyvong Mr. Bounthan Sysomebath

Unofficial Translation

Annex 7: Dissemination of updated compensation policy

Lao People Democratic Republic Peace Independence Democracy Unity Prosperity ******* Luang Prabang Province Provincial of Agriculture and Forestry Office Irrigation Sector

Minutes of Meeting

The Consultation Meeting on the Preparation of the Consultation on the Compensation Policy of the Sustainable Rural Infrastructure and Watershed Management Project (Nam Seng Irrigation Project).

- According to the schedule for village consultation on the dissemination of the compensation policy at the village level of the Sustainable Rural Infrastructure and Watershed Management Project (Nam Tong Irrigation Project), that agreed by the loaner (Asia Development Bank) and the Government of Laos. In order to meet the requirements of both the GOL and ADB regarding consultation on the mitigation of project impacts.

The meeting was conducted on 21 May 2019 starting at 10:15 AM, at the Chief office room of Provincial of Agriculture and Forestry Office (PAFO) of Luangphabang Province. This meeting is to discuss on the plan and scope of work on the dissemination of the option and compensation policy to the affected household of Nam Seng Irrigation Project to have a better understanding of the overall the compensation process. The meeting was chaired by Mr. Xayaphan LASY (Chief of PAFO of Luangphabang Province) by the participation of the representatives from the irrigation sector (project coordinator at provincial level), the social development consultant from ADB, Technician assistant consultants from PPTA, project coordinator from Department of Irrigation. The total participants are 7 peoples with 1 woman (See list of participants is attached).

The participants were informed by Mr. Sanya Soumphonphakdy (acting of irrigation sector with project coordinator at provincial level) regarding the project implementation including the survey on the system design and the information collection on the land impact along the irrigation. In additions, the meeting was discussed on the benefits of the project. After that Mr. Misa Phouthilath (Technical officer of PPTA) proposed the

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main purpose of and the significance of this consultation meeting in order to meet the need and comply with the standard of the Social Safeguard Policy (Agreed by the Government of Laos and ADB), then introduced the compensation policy according to the project guideline revised in May 2019.

Then the meeting attendees have a straight forward opinion and the discussion have following the steps and altogether have agreed as follows:

1. Agreed on the plan of PPTA and ADB which will be conduct the dissemination in villages. 2. The provincial coordinator will cooperate and coordinate with the concerned agencies in order to implement the activity accordant with the agenda. 3. Agreed on provincial and district relevant offices must be resolved to the land issue that have contracted for the banana planting, which means that before the irrigation project is constructed, all these lands must be completely cleaned the banana out to avoid any overlap issue. 4. Agreed not to disclose/inform on each unit price of any compensation type 5. In case there is any problem or difficulty, the team can be discussed with the coordinator or PAFO.

The meeting was closed at 11:40 am, the same morning by the agreement among the participants. Therefore, these minutes of the meeting was made between technical officer of PPTA and the PAFO- irrigation sector of Luangphabang province as the reference for the further implementation.

At PAFO of Luangphabang Province, Date on 21/05/2019

Acknowledge by Representative of Note Taker Project coordinator at provincial level PPTA

Unofficial Translation

Figure 4. List of participants at provincial meetings to discuss on filed work for village consultation

Figure 5. List of participants the meeting at district level to inform the implementation plan for village consultation in 4 villages (Total of 8 participants, 1 female)

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Figure 6. List of participants the meeting with DAFO-Irrigation Unit to discuss and preparation the implementation for village consultation in 4 villages (Total of 12 participants, 2 females)

Unofficial Translation

Figure 7. The meeting with PAFO to discuss on filed work for village consultation on compensation policy for Namseng irrigation project

Figure 8. The meeting with district autority to discuss and inform about filed work for village consultation on compensation policy for (Namseng irrigation project)

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Figure 9. The meeting with DAFO-Irrigation Unit to discuss and preparation the implementation for village consultation on compensation policy for

Unofficial Translation

Figure 7. Field visit to Observation the scope and status of project (Nam Seang Irrigation Project at Thongphiengvilay Zone)

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Figure 8. Debriefing and reporting to Nan District governor about the achievements of conducting the dissemination on compensation policy for Namseng Irrigation Project

Attendance list as: 1. Mr. Sivone Vongkhamchanh (Nan District governor) 2. Mr. Soulivanh Vorlavong (Project coordinator from Department of Irrigation) 3. Mr. Sanya Soumphonphakdy (Project coordinator from PAFO) 4. Mr. Khamko SiAmphone (Deputy of DAFO) 5. Mr. Misa Phouthilath (PPTA) 6. Mr. Bandith Chanthavong (PPTA)

Unofficial Translation

Lao People Democratic Republic Peace Independence Democracy Unity Prosperity ********

Luang Prabang Province Nan District Ban Sivilay No:______/_____ Ban Sivilay, Date on 22 May 2019 Sustainable Rural Infrastructure and Watershed Management Project

Minute of Meeting

The Consultation on the Compensation Policy of the Sustainable Rural Infrastructure and Watershed Management Project Project (Nam Seng Irrigation Project).

- The Sustainable Rural Infrastructure and Watershed Management Project (SRIWM) will improve the Nam Seng Irrigation Project. In order to meet the requirements of both the GOL and ADB regarding consultation on the mitigation of project impacts. The consultation meeting at village level was organized in for the 4 villages located in the Nam Seng Irrigation System Project. - According to the schedule for village consultation on the dissemination of the compensation policy at the village level of the Sustainable Rural Infrastructure and Watershed Management Project (Nam Seng Irrigation Project).

The meeting was conducted on 22 May 2019 starting at 09:00 AM at meeting hall of Sivilay Village office. The consultation with the affected households was chaired by Mr. Khamko SiAmphone (Deputy Chief of DAFO of Nan district), Mr. Soulivanh Voravong (Representative of the Department of Irrigation, the Central Coordinator of the project), Ms. Vongchan Indavong (the social development consultant from ADB), Village authority of Sivilay village affective household (AH) and PPTA team. The total participants are 30 people of which 9 are women. (see list of participants attached). The participants were informed from Mr. Khamko SiAmphone regarding the project implementation including the survey on the system design and the information collection on the land impact along the irrigation. In additions, the meeting was discussed on the benifits of the project. After that Mr. Misa Phouthilath (PPTA) proposed the main purpose of and the significance of this consultation meeting in order to meet the need and comply with the standard of the Social Safeguard Policy

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(Agreed by the Goverment of Laos and ADB). In addition, the PPTA team introduced the compensation policy according to the project guideline revised in May 2019.

After the presentation on the compensation policy, the villagers were invited to ask question and share their comments as below:

No. Proposal Proposed by

1 Request the compensation in kind by instead of land Mr. preparation? Souvanthong 2 Request the compensation by cash? Mr. Vilay 3 Could a technician or designer help to resolve the drainage Mr. Boundee problem in my garden? Because the concrete pipes for spill water are small, which flooded my paddy land for a long time 4 The project will make new issue of land titles or not? by Mr. Khamsone removing the affected area? 5 I would like the technical team to recheck and measure my Mr. Onkham land again? 6 The area measured as mention in the documents that project Mr. give it’s more than the actual area of my land title, it’s making Xongyenxong the percentage of impact less, Could the technical related come to recheck again? If I choose compensation, could I choose to not pay for the fee to using water from irrigation? 7 I don't want the irrigation canal through my paddy land Mr. Oneta Mrs. Bouapheng 8 The paddy land is affected by irrigation, but it has only a small Mr. Amphone area can have a water. Could engineer who design consider add more the water gate near the main irrigation canal, because many households will have a benefit and more area will have a water. 9 I don't want the irrigation canal through my paddy land, if they Mrs. Farm want, I need the project find a new land as the same my land. 10 The little piece of land another part of the irrigation canal, Mr. Khamtanh proposes to exchange the little land with a little land of the affected household side Unofficial Translation

11 Could the engineering design ensure that the wide the slope Mr. Vilay of the road & irrigation channel is already calculated into the impact area?

And the answer to the question or proposal of AHH is mention in annexes attached

After that, Mr. Bandith (Technical officer of PPTA) was introduced on the households questionairre to ensure that the understanding of the villagers on the compensation policy. The households questionaire is summarized as below:

The total number of AHH attend the meeting was 19 persons, including: 1. Affected household less than 9% affected on their land plot have 14 HH including: • The number of HH who want to donate is 4 HH. • The number of HH who need the negotiation is 10 HH.

2. Affected household equivalent or more than 9% affected on their land plot have 5 HH including: • The number of HH who need the compensation land for land is 0 HH. • The number of HH who need the negotiation compensate in kind is 2 HH. • The number of HH who would like to compensate by cash is 3 HH.

The resolution on the proposal and impact is that after the approval of project in various level, the project will be established in order to coordinate on the resolution of proposal or information disclosure to the villagers on the project.

The meeting was closed at 11:30 by the agreement among the participants. Therefore, these minutes of the meeting was made by the authority of Ban Sivilay and DAFO of Nan District as the reference for the further implementation.

At Village meeting hall of Sivilay, Date on 22/05/2019

Chairman of meeting Village authority of Note Taker Deputy Chief of DAFO of Nan district Sivilay

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훈ທ

Photo of village consultation meeting for compensation policy for Namseng irrigation project, Sivilay Village

Figure 10. Photo of Registration of Participants

Unofficial Translation

Figure 11. Photo of opening, welcome and purpose of meeting by Chairman

Figure 12. Present the Compensation option flow chart

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Figure 13. Photo of Question and Answer Through Group discussion

No. Proposal Proposed by

1 Question Request the compensation in kind by instead of Mr. land preparation? Souvanthong Answer You have the option and you can negotiations Mr. Misa with the project before the construction start 2 Question Request the compensation by cash? Mr. Vilay Answer Yes, you can follow the compensation policy or Mr. Misa you can negotiations with the project before the construction start 3 Question Cloud a technician or designer help to resolve the Mr. Boundee drainage problem in my garden? Because the concrete pipes for spill water are small, which flooded my paddy land for a long time Answer During the construction we will solve the problem Mr. Sanya as you proposed (PAFO) Unofficial Translation

4 Question The project will make new issue of land titles or Mr. not? by removing the affected area? Khamsone Answer For sure we will propose this question to the Mr. Sanya Project to count a budget on this (PAFO) 5 Question I would like the technical team to recheck and Mr. Onkham measure my land again? Same question 6 6 Question The area measured as mention in the documents Mr. that project give it’s more than the actual area of Xongyenxong my land title, it’s making the percentage of impact less, Could the technical related come to recheck again? If I choose compensation, could I choose to not pay for the fee to using water from irrigation? Answer 5 &^6 We have well taken noted and for sure we have to Mr. Sanya recheck again as you’re proposed before the (PAFO) construction start 7 Question I don't want the irrigation canal through my paddy Mr. Oneta land Mrs. Bouapheng 8 Question The paddy land is affected by irrigation, but it has Mr. Amphone only a small area can have a water. Could engineer who design consider add more the water gate near the main irrigation canal, because many households will have a benefit and more area will have a water. 9 Question I don't want the irrigation canal through my paddy Mrs. Farm land, if they want, I need the project find a new land as the same my land. 10 Question The little piece of land another part of the Mr. irrigation canal, proposes to exchange the little Khamtanh land with a little land of the affected household side 11 Question Could the engineering design ensure that the Mr. Vilay wide the slope of the road & irrigation channel is already calculated into the impact area? Answer 7-11 All you propose and request already take note Mr. Sanya and we will have discussion with you all again (PAFO) before the construction to reduce the impact

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because during the construction that we can a bit modify together for the way of irrigation cannel.

Figure 14. Photo of Explain the design of project

Figure 15. Photo of Explain questionnaire and break in groups and discuss HH by HH indicative HH questionnaire

Unofficial Translation

Figure 16. Photo of Explain questionnaire and break in groups and discuss HH by HH indicative HH questionnaire.

Figure 17. Handout of project implementation booklet to all HH

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Lao People Democratic Republic Peace Independence Democracy Unity Prosperity

******** Luang Prabang Province Nan District Ban Nakeun and ban. Thad No:______/_____ Ban Nakeun, Date on 23 May 2019 Sustainable Rural Infrastructure and Watershed Management Project

Minute of Meeting

The Consultation on the Compensation Policy of the Sustainable Rural Infrastructure and Watershed Management Project Project (Nam Seng Irrigation Project).

The meeting was conducted on 23 May 2019 starting at 09:40 AM at meeting hall of Nakeun Village office. The consultation with the affected households was chaired by Mr. Sanya Soumphonphakdy (acting of irrigation sector with project coordinator at provincial level), Mr. Khamko SiAmphone (Deputy Chief of DAFO of Nan district), Mr. Soulivanh Vorlavong representatives from the Department of Irrigation (project coordinator), Village authority of Nakeun and Thad village, affective household (AHH) and PPTA team. The total participants are 31 people of which 14 are women. (see list of participants attached). The participants were informed from Mr. Sanya Soumphonphakdy regarding the project implementation including the survey on the system design and the information collection on the land impact along the irrigation. In additions, the meeting was discussed on the benefits of the project. After that Mr. Misa Phouthilath (PPTA) proposed the main purpose of and the significance of this consultation meeting in order to meet the need and comply with the standard of the Social Safeguard Policy (Agreed by the Government of Laos and ADB). In Unofficial Translation

addition, the PPTA team introduced the compensation policy according to the project guideline revised in May 2019.

After the presentation on the compensation policy, the villagers were invited to ask questions and share their comments as below: No. Proposal Proposed by

1 Could a technician or designer consider to make a irrigation cannel past Mr. Bounchan (Nk) the paddy land to have more water Mr. Onesee (Th) Mr. Boounlern (Th)

2 Could engineer who design consider add more the water gate near the Mr. Pee (Th) main irrigation canal, because many households will have a benefit and more area will have a water. 3 Request the compensation Mr. Mainoy (NK)

4 The paddy land is affected by irrigation and garden land can’t access Mr. Na (NK) the water from irrigation, need the project consider on this Mr. Khamphan (NK)

After that, Mr. Bandith (Technical officer of PPTA) was introduced on the households questionnaires to ensure that the understanding of the villagers on the compensation policy. The total number of AHH attendance the meeting was 21 persons and the households questionnaires is summarized as below:

For Ban. Nakeun: 3. Affected household less than 9% affected on their land plot have 12 HH including: • The number of HH who want to donate is 1 HH. • The number of HH who need the negotiation is 11 HH.

4. Affected household equivalent or more than 9% affected on their land plot have 0 HH including: • The number of HH who need compensate land for land is 0 HH • The number of HH who need the negotiation compensate in-kind is 0 HH. • The number of HH who need to compensate by cash is 0 HH.

For Ban. Thad: 1. Affected household less than 9% affected on their land plot have 8 HH including: • The number of HH who want to donate is 7 HH. • The number of HH who need the negotiation is 1 HH.

2. Affected household equivalent or more than 9% affected on their land plot have 1 HH including: • The number of HH who need compensate land for land is 0 HH • The number of HH who need the negotiation compensate in-kind is 0 HH. • The number of HH who need to compensate by cash is 1 HH.

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The meeting was closed at 11:30 am by the agreement among the participants. Therefore, these minutes of the meeting was made by the authority of Ban Nakeun and DAFO of Nan District as the reference for the further implementation.

At Village meeting hall of Nakeun, Date on 23/05/2019

Chairman of meeting Village authority of Note Taker

Nakeun Project coordinator from PAFO

훈ທ

Unofficial Translation

Photo of village consultation meeting for compensation policy for Namseng irrigation project, Nakeun & Thad Village

Figure 18. Registration of The participants

Figure 19. Opening, welcome and purpose of meeting by Chairman

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Figure 20. PAFO Explain the design of the Nam Seng irrigation project

Figure 21. PPTA Present Compensation option flow chart

Unofficial Translation

Figure 22. Question and Answer Through Group discussion

Figure 23. PPTA Explain questionnaire and break in groups and discuss HH by HH indicative HH questionnaire

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Lao People Democratic Republic Peace Independence Democracy Unity Prosperity

******** Luang Prabang Province Nan District Ban ThongphienVilay No: 056 /ນບ Date on 24 May 2019 Sustainable Rural Infrastructure and Watershed Management Project

Minute of Meeting

The Consultation on the Compensation Policy of the Sustainable Rural Infrastructure and Watershed Management Project Project (Nam Seng Irrigation Project).

The meeting was conducted on 24 May 2019 starting at 08:45 AM at meeting hall of ThongphiengVilay Village office. The consultation with the affected households was chaired by Mr. Sanya Soumphonphakdy (acting of irrigation sector with project coordinator at provincial level), Mr. Khamko SiAmphone (Deputy Chief of DAFO of Nan district), Mr. Soulivanh Vorlavong representatives from the Department of Irrigation (project coordinator), Village authority of ThongphiengVilay and Thad village, affective household (AHH) and PPTA team. The total participants are 48 people of which 16 are women. (see list of participants attached). The participants were informed from Mr. Sanya Soumphonphakdy regarding the project implementation including the survey on the system design and the information collection on the land impact along the irrigation. In additions, the meeting was discussed on the benefits of the project. After that Mr. Misa Phouthilath (PPTA) proposed the main purpose of and the significance of this consultation meeting in order to meet the need and comply with the standard of the Social Safeguard Policy (Agreed by the Government of Laos and ADB). In Unofficial Translation

addition, the PPTA team introduced the compensation policy according to the project guideline revised in May 2019.

After the presentation on the compensation policy, the villagers were invited to ask questions and share their comments as below: No. Proposal Proposed by

1 The land that have big impact area then still have a little piece of land let Mr. Jaoxong need to propose to compensate for all area of land 2 Request the project make new issue of land titles by removing the affected Mr. Vilay area 3 The paddy land is affected by irrigation, could engineer who design Mr. Boundee consider change the way of irrigation cannel follow along boundary of land

Answer: PAFO-Irrigation Sector said that some propose (question 1 and 2) from AHH are a well-taking note and will propose into the report of the resettlement plan. For question 3 when the project was started of the construction and the owner of the land plot can observe and discuss with the project to a bit modify the way of irrigation canal together.

After that, Mr. Bandith (Technical officer of PPTA) was introduced on the households questionnaires to ensure that the understanding of the villagers on the compensation policy. The total number of AHH attendance the meeting was 43 persons and the households questionnaires is summarized as below:

5. Affected household less than 9% affected on their land plot have 38 HH including: • The number of HH who want to donate is 33HH. • The number of HH who need the negotiation is 5 HH.

6. Affected household equivalent or more than 9% affected on their land plot have 5 HH including: • The number of HH who need compensate land for land is 2 HH • The number of HH who need the negotiation compensate in-kind is 2 HH. • The number of HH who need to compensate by cash is 1 HH.

The meeting was closed at 11:30 am by the agreement among the participants. Therefore, these minutes of the meeting was made by the authority of Ban Thongphienvilay and DAFO of Nan District as the reference for the further implementation.

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At Village meeting hall of ThongpienVilay, Date on 24/05/2019

Chairman of meeting Note Taker Village authority of PAFO-Irrigation Sector Thongphienvilay

Photos of village consultation meeting for compensation policy for Namseng irrigation project, ThongpienVilay Village

Figure 24. Registration of the participants

Unofficial Translation

Figure 25. opening, welcome and purpose of meeting by Chairman

Figure 26. Presentation of the Compensation option flow chart

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Figure 27. Photo of Question and Answer Through Group discussion

Unofficial Translation

Figure 28. Explain questionnaire and break in groups and discuss HH by HH indicative HH questionnaire

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Annex 8: Project Information Booklet

1. QUESTION: What is the Sustainable Rural 3. QUESTION: What are the proposed project Infrastructure and Watershed Management Project? outputs? ANSWER: The proposed Sustainable Rural Infrastructure and ANSWER: The Project will help identify markets for dry Watershed Management Project (SRIWMP) will support the season crops and connect farmers to buyers within these government of Lao People’s Democratic Republic (PDR) in markets to improve the prices received by improving quality improving the productivity and sustainability of rural and reducing losses (output 1). To provide reliable dry season infrastructure, and contribute to the sustainable management water in the future the ADB and another Project will work with of watersheds in 4 selected provinces; Houaphan, Luang upper catchment farmers to protect the soil and water within Prabang, Xiengkhouang and Xayaboury. The Project will the catchment such that floods are spread over a longer period provide improved irrigation water supply including during the and dry season flow rates are maintained (output 2). Dry dry season for the production of high value crops. The project season irrigation requires water on a reliable and timely basis will work with two other projects that will support the protection so that water is not wasted and crops yields are improved. of upper catchments linked to the irrigation and for supporting Water will be delivered on a planned basis so farmers know the water users to manage and profit from irrigation water. In when, how much and how often water will be provided to their Xiangkhouang ADB will finance the support improved land use fields. This will be supported through extended and improved practices in the upper catchments of irrigation command canals and water control structures as well as training water areas. user groups in the operation of the irrigation schemes to manage water (output 3). Additional access and supporting or 2. QUESTION: Who is responsible for the Project? linking assets such as fish ponds will be connected to the ANSWER: The Ministry of Agriculture and Forestry has irrigation systems. overall responsibility for the Project, and the Department of Irrigation, and the Provincial Government represented by the 4. QUESTION: What will the works involve: Provincial Agriculture and Forestry Office (PAFO), will be Huaphan responsible implementation. PAFO will manage the implementation of the Land Acquisition and Resettlement Plan (LARP). A Program Governance Team (PGT) will be The physical modernization of the Nam Poua irrigation established at the Dept. of Irrigation to support and supervise scheme involves: a Provincial Program Implementation Team (PPIT) at each (i) Improve the main canal including covering some PAFO, to manage and monitor project implementation and sections from rock fall and debris ensure the Project is implemented as agreed with the (ii) Installing a gate at the start of canal and channels Government of Lao PDR (GoL), ADB and the affected for stop logs entering canal community. (iii) Lining of canal for 5.1 km to minimize water loss (iv) Installing improved canal crossings (v) Installing outlets and 16 pipelines and hydrants to serve the command area during the dry season

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(vi) Improving water use efficiency through • Covering the canal in unstable bank sections to facilitating use of controlled flows, hoses and / or prevent land slide debris blocking canals MC and MC1 low pressure sprinklers for in field distribution (total of 865 m) (vii) Improving existing access road along canal to • Installing improved canal crossings at 12 places along facilitate operation and maintenance by re- MC and MC1 surfacing • Constructing SC1 canal (new) to serve a 265ha (viii) Constructing two concrete road access bridges extension of the command area for both wet and dry across the Nam Poua to connect road 6a to the sason crop production command area. Land is partially communal and • Constructing 4 tertiary canals and 2 sub-tertiary canals partially owned by farmers. (TCs) to Improve water distribution and use efficiency • Link irrigators to a soyabean market that provides returns far higher than irrigated dry season rice Luang Prabang

The physical works involved in the extension and modernization Access of the Nam Seng irrigation scheme involves: • Improving field access in the SC1 command area by incorporating feeder road access along SC1 and TCs Headworks to facilitate production, irrigation operation and • Installing a sediment gate in the Nam Seng headworks maintenance weir crest to permit flushing in the wet season and • Repairing the concrete on the downstream apron and local scour issue Other • Installation of staff gauges to facilitate water management in all canals and distribution points Distribution canal • Securing the main canal (MC) from damage during large floods. This involves ensuring the canal front and Xiengkhouang side walls at the first control gate are above design flood level. The physical works for the modernization of the Nam Tong • Repairing the MC canal road for 8 km from downstream irrigation subproject include: of the tunnel to the outlet to Houay La catchment. • Repairing and installing additional masonry lining in 15 Headworks sections in canals MC and MC1 (total 2,340 m), to • Ban Xouan – provision of materials (i.e. gabion baskets, reduce leakage losses cement, pipes) for the construction of simple river diversions

• HeadWorks 2 (Nalam and Mieng Hamlet) – construct o LMC-L – construction of 150m of flume on soil replacement rock masonry weir 1m high as above, embankment located 30m downstream from damaged weir. Install a new intake pipe connecting to existing LMC canal and install a fish passage. Access • Headworks 3 (Khangvieng Village) – extend existing An upgraded road is proposed from headworks 1 to Ban Xuoan, headworks with rock masonry weir as above with new a distance of 2.0 km. Its preliminary design has been completed canal intakes for LMC and RMC. Fill large downstream and referred to the PPWD for checking compliance with Lao scour hole with large placed rock covered with mortared standards and providing design approval. rock masonry layer and install a fish passage PAFO report that there is no problem with access to the fields Distribution canals for farming operations and no additional access is required to Canals are to be constructed or upgraded to facilitate operation be included in the command areas. A 640m section of the main and to ensure dry season water management by the farmers. access road to headworks 1 and adjacent to Nalam Village will be resurfaced to reduce dust and transport time. • Ban Xouan – earth canals to be constructed by farmers. Mortared rock masonry to be used for lining some Xayaboury sections as necessary • Head Works 2 The physical works as designed at the preliminary stage of the o LMC - cleaning canal / reconstructing modernization of the Nam Phieng (1 & 2) irrigation subproject embankments over full length of 1.86km and include: installing 450m of masonry lining from station 0+450 to 0+550 and station 1+200 to 1+550 with Headworks several structures including culverts, drops and The Project will repair downstream erosion at the headworks offtakes along with gates for water control and strengthen the downstream structure to minimize future damage headworks. • Headwork 3 o RMC - cleaning canal / reconstructing Distribution canal embankments with lining installed in sections from station 0+000 to 0+800. 0+900 to 1+213, • Cleaning, re-shaping and re-construction the main canal (MC) along 3000m, with concrete lining for short and 1+220 to 1+580 with several structures sections – totaling about 20m o LMC - installing 60m of masonry lining from station 0+00 to 0+060 • Repair of division structures (8 units for Phieng 2) • Brick lining of 2833m for Phieng 1 and 2980m for o LMC-R - cleaning canal / reconstructing Phieng 2 embankments and lining over full length of 1.17km

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Access The subproject improved canals provide reliable and managed For Phieng 1 the existing embankment road along MC1 will water through the dry season, such that total output will have its surface re-shaped for drainage and surfaced to reduce increase by the dry season crop area for the farmers. erosion and siltation of the main canal and extending the life of the road and embankment. 7: QUESTION: Will we be affected by the subproject components? 5. QUESTION: How will the Project benefit me? ANSWER: The Project is expected to improve incomes to beneficiary farmers through direct benefit of providing dry ANSWER: The subprojects are designed specifically to provide season irrigation for high valued crops. Also, as much as managed and reliable water for dry season irrigation. As such possible, the existing alignments for canals and access roads dry season crops (cucumber, melon, and green vegetable for are to be followed by the Project to limit any impact. However, Houaphan, garlic, green vegetable and animal fodder for Nam minor land acquisition will occur due to canals or roads being Tong (XiengKhouang), and contract grown soybean for extended, widened or newly constructed. Xayabouri and Luang Prabang. Compared to dry season rice For vulnerable households, it is important for the Project not to the Luang Prabang and Xayabouri crop returns are 2.5 time disadvantage them through not providing access and/or rights higher, whilst in XiengKhouang dry season returns will be to the irrigation water. Therefore, vulnerable households double the returns of the existing wet season rice and in identified with no access or rights to the water from the canals Houaphan we expect there to be yield and output increases will trigger ADB SPS and compensation. from more accurate water supply on a weekly rather than A socio-economic survey of affected households (SESAH) and monthly schedule. a Detailed Measurement Survey (DMS) will be conducted to determine the extent of potentially affected land, the affected 6. QUESTION: What is the policy of the Project on adverse households, persons and the severity of impacts on their impacts? livelihoods. SESAH will record total number of plots in the command area to scope whether the subproject has adverse ANSWER: As per ADB Safeguards Policy Statement (SPS, impacts. SESAH will through interview also confirm that the 2009) the Project is to avoid involuntary resettlement (physical vulnerable HH have access and rights to the irrigation water relocation or economic displacement) wherever possible; to on the same basis as non-vulnerable households. On minimize involuntary resettlement by exploring project and finalization of the detailed design, if there are significant design alternatives; to enhance, or at least restore, the changes, the DMS will be updated and the list of affected livelihoods of all displaced persons in real terms relative to households confirmed. pre-project levels; and to improve the standards of living of the displaced poor and other vulnerable groups. 8. QUESTION: What if my land will be affected by the The Project key principle is to safeguard affected households subproject component? from adverse impacts, while the Project will improve or restore livelihoods where the subproject activities result in adverse ANSWER: As per ADB SPS farmers assets will be replaced impacts on affected households. with access to assets of equal or higher value, and additional revenues and services through benefit sharing schemes,

which in this case is provided by the Project as dry season will be used by the Project and that they must harvest their irrigation water. crops in time. If standing crops are ripening and cannot be Hence, the farmers can decide to give part of their land for the harvested, eligible affected persons can be compensated for Project in exchange for improved dry season access to water the loss of the unharvested crops at the current market value. through irrigation For perennial crops, affected persons will be compensated for For land affected by the project and involving 9% or more of the loss of fruit and timber trees at a replacement value the land plot, will be compensated through the acquisition determined by the Provincial Authorities and after replacement program. Housing land can not be donated. Vulnerable cost survey taking into account the age of the trees, annual households cannot donate their land as this would impact their maintenance costs, and lost potential income. Affected living standards. persons will be compensated the replacement cost of any lost Where the subproject will construct fish ponds with the land crops/fruit where the plants are near or ready to harvest. Trees owner as direct beneficiaries no adverse impact is seen as removed will be the property of the affected household long as the land owner request for the fish pond construction. following removal. Compensation unit rates at replacement cost are decided by Farmers using state or communal lands for production will be the Provincial Authorities and based on replacement cost entitled to assistance only for the loss of unharvested crops on survey, and they are updated and published prior to that land, and not compensated for the land itself. commencement of the compensation payments. Updates to land titles will be made at no cost to all affected households. Figure 29: Flowchart on compensation options 9. QUESTION: Does compensation apply to my affected house or structure?

ANSWER: Yes. Although the SRIWMP will avoid any impact on houses, it is possible that some structures may be affected. According to GoL and ADB policy, any houses and structures that will be affected by the Project shall be compensated at replacement cost without deduction for depreciation or salvageable materials. Partially affected houses will be compensated for the lost affected portion as well as repair costs. Other structures (e.g. fences, wells, pavement) will also be compensated at replacement cost.

10. QUESTION: What about crops and trees?

ANSWER: For annual crops, affected persons will be given advance notice that the land on which their crops are planted

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ANSWER: The public property, or communal land, is not lost. Is your land required for the project? No Are assets other than land affected The function alters with the net overall affects arising from the change being strongly positive for the community and especially the irrigation water users’ community. As such no No Negative impacts from Yes the project are expected adverse impact is seen. However, where affects are Yes considered to create adverse impacts the SPS safeguards will be triggered. Is your land residential land? Yes For example, in cases where bridges are on communal land and provide substantial benefits will not trigger the SPS No safeguards as improved access provided by the bridges provide benefits from connectivity and wellbeing due to What percentage of you land plot is reduced risks of crossing rivers in flood, reduced dust etc. impacted? 9% or more 12. QUESTION: If there will be relocation of houses or Less than 9% your businesses, how can the Project help me rebuild my house during relocation? • Household is vulnerable and poor What is the situation of your • Household is not yet graduated ANSWER: The SRIWMP Project does not finance a household? from poverty • Household is significantly subproject that requires physical relocation or dismantling of impacted houses. If you have been told that relocation is needed then

Household is graduated from contact immediately the grievance redress committee to raise poverty1 Choice between: your concern. Community Participation Framework OR Resettlement Framework 13. QUESTION: If our livelihoods are adversely affected, how can the Project help me restore my livelihood and Resettlement Framework Community Participation Framework Compensation Policy living standards? • Land for Land • Donation approach • Compensation in-kind • Negotiated settlement • Cash Compensation ANSWER: The Government and ADB policy is that the SESAH and DMS will take note of the livelihoods of affected persons and any adverse impacts the Project may have. Households graduating from poverty according to Lao government Decree No. 348/G, dated 16 November 2017 on Poverty Graduation and Development Standards Where there is adverse impact, the Project must provide various forms of assistance to enable affected people to restore their livelihoods and living conditions to at least pre- project level. For impacted vulnerable households, the Project will seek to restore or improve living standards to a level 11. QUESTION: What about public property resources? higher than prior to the Project. Such forms of assistance will

include: (i) one time assistance allowance to households provide information? losing more than 10% of the productive assets or being required to relocate their houses or shops outside the corridor ANSWER: The Project will keep local communities informed of of impact depending of the type and severity of impact; (ii) for significant activities via meetings, brochures and those losing use of productive land, cash assistance for loss of announcements. Regular information will be provided to the land use; (iii) cash assistance to cover transportation costs; village administration. The village will maintain a public notice (iv) cash grant for temporary disruption to business income for board where significant information and schedules will be affected shops/stalls; (v) potentially other forms of income posted. In addition to this, affected households will be restoration measures to be determined during updating of the consulted directly through public consultation meetings on LARP in consultation with those affected; and (vi) additional significant matters affecting them. Such public consultation special assistance to vulnerable households. meetings will take place (i) prior to the conduct of the DMS (to advise survey schedules and procedures), (ii) following the In addition, the Project will seek to maximize project job DMS (to advise of DMS results and proposed mitigation opportunities to adults in the affected local communities (both measures), (iii) during preparation of the LARP for adversely men and women) during the implementation phase in the impacted households (to identify appropriate livelihood construction works. Such opportunities will be announced in restoration measures, advise of compensation rates and the local areas. details of allowances and assistance measures as well as details of resettlement arrangements); and (iv) on-going 14. QUESTION: What is the detailed measurement survey through implementation of the LARP. In addition, the Project (DMS)) and when it will be conducted? will provide a translated version of a Public Information Brochure to each village administration. It is also uploaded on ANSWER: The DMS is a detailed survey of 100% of adversely ADB’s website. impacted households to document and measure all affected assets including land, houses, shops, other structures, crops 16. QUESTION: If I disagree or problems arise during and trees. It establishes the “Cut Off Date” and the official list project implementation such as compensation, technical, of affected persons who are eligible for compensation and and other project-related issues, do I have the right to other assistance. Any new structures built after announcement voice my complaint? of the Cut-Off Date are not recognized in regards to the DMS and calculation of compensation. The activity will only be ANSWER: Yes. If the affected person is not clear about or not carried out in the presence of the adversely affected persons satisfied with the compensation package offered or, if for any and the head of the affected household is asked to sign the reason, the compensation does not materialize according to resulting summary of the DMS. The adversely affected the agreed schedule, the affected person has the right to lodge persons and the local authorities will be informed prior to the a complaint. activity. The Cut-Off Date will be announced and disseminated by the local authorities to the AHs. The subproject’s Grievance and Redress Units (GRUs) will be composed of the members of the existing resettlement 15. QUESTION: How will the Project consult me and committees. The complaint should be initially referred to the

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Village Committee (VC). The VC is responsible for settling (ADB). Please see contact details below. disputes between villagers through conciliation and negotiation. The complaint can be filed first at the village level and can be 17. QUESTION: How will you know if these undertakings elevated via GRU and district level to the provincial and national are kept and the objectives of this Project are met? (MoNRE) level if the APs are not satisfied with the decisions made in the previous level committees. As a last resort, the AP ANSWER: All of the Project activities will be monitored by the may request the case be heard by either the National Assembly Project Program Governance Team in the Department of or the local Court of Law. APs will be exempted from all Irrigation of the Ministry of Agriculture and Forestry, as well as administrative and legal fees associated with their claims and by the Project Loan Implementation Consultants. grievance redress process. The Project will have internal and external monitoring which Complaints can be made verbally or in written form. It is will be reported in Quarterly and Semi-Annual Reports and recognized that members of AHs might not have writing skills or submitted to ADB. If necessary a post-resettlement impact ability to articulate their grievances verbally. AHs are evaluation will also be undertaken to assess whether impacts encouraged to seek assistance from the subproject and/or of the Project have been mitigated adequately and the pre- nominated local non-governmental organizations and/or other project standard of living of affected persons have been family members, or village heads for (i) to have their grievances restored as a result of the resettlement and project. ADB will recorded in writing, (ii) to have access to the LARP also monitor these activities in its regular supervision missions documentation, and any survey or valuation of assets, and (iii) during project implementation. to ensure that where disputes do occur all the details have been recorded accurately enabling all parties to be treated fairly. In 18. QUESTION: Are there any other documents available the case of verbal complaints, a written record of the complaint to know more about the Project and resettlement issues? will be made during the first meeting with the complainant. ANSWER: The Land Acquisition and Resettlement Plan All complaints and resolutions will be properly documented (LARP) will be prepared during the feasibility studies for the and be available for (a) the public and (b) review for monitoring Project can be obtained from the village committee, district purposes. At each stage of the grievance redress, careful and provincial PAFO office, or the Provincial Resettlement written records will be maintained. The VC will submit reports Committee. Following the final detailed engineering design, if to the Provincial Resettlement Committee (PRC) via the DG there are any significant changes to the DMS or alignment, PAFO, documenting (i) the complaints received; (ii) the names then the LARP will also be updated and the final version will and other pertinent information about complainants; (iii) the be available from these same offices again. dates of the original complaint, meetings and any other actions; and (iv) the outcomes and/or resolution. If you have further queries and suggestions, please contact us at: If an affected person wants to lodge a complaint but does not wish to do so at the village level, the affected person may call (i) Program Governance Team, Mr Soulivanh, SRIWMP the Project Governance Team or Asian Development Bank Project Coordinator, Deputy Head of International Cooperation

Section, Division of Planning and Finance, Dept. of Irrigation (DoI), Vientiane, Tel 020-58343436, or Dr Somphone Thanasack, Deputy Director, DoI, Tel 56542614 or, the Provincial Resettlement Committee representative from PAFO in the respective province.

Or,

(ii) Asian Development Bank Resident Mission - Vientiane

Corner of Lanexang Av. and Samsenthai Rd., P.O. Box 9724, Vientiane, Lao PDR Office hours: 8:00 a.m. to 5:00 p.m. (Monday to Friday) Tel +856 21 250444 Fax +856 21 250333 E-mail www.adb.org/lao-pdr

Or,

(iii) ADB Accountability Mechanism

Asian Development Bank 6 ADB Avenue, Mandaluyong City 1550Metro Manila, Philippines Tel +632 632 4444 ext 70309 Fax +632 636 2086 https://www.adb.org/site/accountability-mechanism/contacts