Public Company „Republic of Srpska Motorways“ Ltd. Banja Luka Vase Pelagica 10, 78 000 Banja Luka Tel.: +387 51 233 670, +387 51 233 680, +387 51 233 690 Fax: +387 51 233 700 e-mail: [email protected] www.autoputevirs.com LAND ACQUISITION & RESETTLEMENT FRAMEWORK (LARF) CORRIDOR VC IN REPUBLIKA SRPSKA: JOHOVAC (Tovira) TO RUDANKA (Kostajnica) June 2017 0 | Page Table of Contents Abbreviations & Acronyms: _____________________________________________________________ 1 1 Introduction ________________________________________________________ 2 1.1 Introduction __________________________________________________________________ 2 1.2 Scope of the Land Acquisition & Resettlement Framework (LARF) _______________________ 2 2 The Project & Land Use Context ________________________________________ 3 2.1 Summary of Project Description __________________________________________________ 3 2.2 Project Area & Land Use Context _________________________________________________ 4 3 Summary of Affected Land, Assets and Persons ____________________________ 6 4 Legal & Policy Framework for Land Acquisition & Resettlement _____________ 11 4.1 Applicable Republika Srpska Legal Framework for Land Acquisition & Resettlement _______ 11 4.2 Republika Institutions Responsible for Land Acquisition & Expropriation ________________ 14 4.3 EBRD Requirements __________________________________________________________ 14 4.4 Gaps Analysis between Republika Srpska Legal Framework & EBRD Requirements ________ 15 5 Principles, Objectives and Processes ____________________________________ 16 5.1 Objectives __________________________________________________________________ 16 5.2 Principles ___________________________________________________________________ 16 5.3 Land Acquisition & Resettlement Process Overview _________________________________ 18 6 Eligibility & Entitlements _____________________________________________ 21 6.1 Eligibility to Compensation _____________________________________________________ 21 6.2 Entitlements Matrix ___________________________________________________________ 23 6.3 Entitlements – Associated Considerations _________________________________________ 27 7 Consultation and Disclosure __________________________________________ 29 8 Grievance Management Mechanisms ___________________________________ 30 8.1 Project Grievance Mechanism __________________________________________________ 30 8.2 RS Expropriation Process Grievance Procedure _____________________________________ 30 9 Monitoring, Evaluation & Reporting ____________________________________ 31 9.1 Monitoring & Evaluation _______________________________________________________ 31 9.2 Reporting ___________________________________________________________________ 33 10 Implementation Responsibilities, Timeline and Funding ____________________ 33 10.1 Implementation Responsibilities, Timeline & Funding ______________________________ 33 10.2 Summary of Actions for RSM for the LARP (Step 8) _________________________________ 36 11 LARF Contact Details ________________________________________________ 37 Annex A Public Grievance Form _________________________________________ 38 0 | Page Figures Figure 2-1 Layout of the Project ......................................................................................................................... 4 Figure 2-2 Local Settlements along the Project ........................................................................................ 5 Figure 3-1 Landtake for the Project .................................................................................................................................................. 9 Figure 8-1 Project Grievance Mechanism ....................................................................................................................................... 31 Tables Table 2-1 Summary of Settlements within the area of Project 1 ...................................................................................................... 5 Table 2-2 Key Characteristics of Local Settlements along the Project Corridor ................................................................................ 6 Table 3-1 Summary of Physical & Economic Displacement Impacts from Land Acquisition ............................................................. 7 Table 3-2 Summary of Land Plots Affected by the Project Land Acquisition .................................................................................. 10 Table 4-1 Summary of Key Aspects of the Republika Srpska Law on Expropriation ....................................................................... 11 Table 4-2 Summary of Other RS Legislation Related to Land Acquisition & Resettlement ............................................................. 13 Table 5-1 Summary of Land Acquisition & Resettlement Process .................................................................................................. 18 Table 6-1 Entitlements Matrix ........................................................................................................................................................ 23 Table 9-1 Monitoring Indicators ..................................................................................................................................................... 32 Table 10-1 Summary Table of Key Remaining Activities & Timeline for Implementation of the LARF and LARP for the Project ... 35 Table 10-3 Proposed Table of Content for the LARP and Actions required to Update LARF to LARP ............................................. 36 Abbreviations & Acronyms: Art. Article BiH Bosnia and Herzegovina EBRD European Bank for Reconstruction & Development E&S Environment and Social EUR Euro FBiH Federation of Bosnia and Herzegovina IFI International Finance Institution LARF Land Acquisition & Resettlement Framework LARP Land Acquisition & Resettlement Plan PAPs Project Affected Persons RAGPA Republic Administration for Geodetic and Property Affairs RS Republika Srpska RSM Republika Srpska Motorways SA State Attorney 1 | Page 1 Introduction 1.1 Introduction The public company Republika Srpska Motorways (“the Company” and “RSM”) intends to implement the construction of the section of Corridor Vc motorway between Podnovlje and Rudanka. RSM is established as a joint stock company wholly owned by the RS Government. The Corridor Vc motorway is considered as a priority project for Bosnia and Herzegovina (BiH) and Republic of Srpska (RS), considered likely to entail major positive economic impacts for the country as a whole. The driving force behind the construction of the Corridor Vc motorway is to improve connectivity of BiH with its neighbouring countries and to enhance its potential for economic development. The Trans-European Corridor Vc motorway will connect Budapest (Hungary) and Port of Ploče (Croatia). Around 100 km of motorway has already been constructed in BiH and is operating. The European Bank for Reconstruction and Development (the ‘EBRD’) is considering providing finance of a sovereign- guaranteed loan of up to EUR 70.0 million to the Company for construction of approximately a 6km section of Corridor Vc in RS – Project 1 or the “Project”. The loan will be guaranteed by the state of BiH with back-to-back guarantee from Republika Srpska (RS). A separate International Finance Institution (IFI) is considering providing parallel financing of up to EUR 100 million by a sovereign loan for an additional 14km stretch of adjoining motorway – Project 2, however this financing will occur at a later date and will be subject to its own, separate, due diligence and disclosure process. For context, Project 1 and Project 2 can be described as follows: • Project 1 (EBRD) – Interchange Rudanka (Kostajnica) to Interchange Johovac (Tovira): construction of a 6.1 km motorway section between Interchange Rudanka (Kostajnica) to Interchange Johovac (Tovira) both to be constructed within Project 1, plus a two lane connecting road of around 1 km to the link to the existing trunk road, including a crossing of the River Bosna. This would be the first 6 km out of total 46.6 km of Corridor Vc that needs to be constructed within RS territory. EBRD is considering providing finance for Project 1. • Project 2 (Another IFI) – Interchange Johovac (Tovira) to Interchange Podnovlje: construction of 14 km long adjoining northbound section from Interchange Johovac (Tovira) to Interchange Podnovlje (excluding the Johovac [Tovira] interchange). This section includes one crossing of the River Bosna. Another IFI is considering providing finance to Project 2. The focus of this report is therefore Project 1, which is simply referred to in the remainder of this report as “the Project”. As the Project involves economic displacement and some limited physical displacement, this Land Acquisition & Resettlement Framework (LARF) document has been prepared by the Company. This LARF presents the displacement impacts associated with the Project, based on site visits and the data available. This LARF sets out the compensation and resettlement principles and responsibilities to ensure no one affected by the Project’s implementation is disadvantaged compared to current conditions. The LARF includes a grievance mechanism for people affected by land acquisition to raise their concerns. When further surveys and work to detail and assess the land acquisition impacts and compensation proposals are complete, a more detailed Land Acquisition & Resettlement Plan (LARP) shall be developed for each section of this Project