Updated Resettlement Plan September 2017 Sri Lanka: Clean Energy and Network Efficiency Improvement Project Prepared by Ceylon Electricity Board for the Asian Development Bank. CURRENCY EQUIVALENTS (as of 14 August 2012) Currency unit – Sri Lanka rupee/s (SLRe/SLRs) SLRe1.00 = $0.00758 $1.00 = SLRs131.95 ABBREVIATIONS ADB – Asian Development Bank AP – affected persons CEB – Ceylon Electricity Board DP – displaced person DS – divisional secretary EA – executing agency FGD – focus group discussion GND – Grama Niladhari Division GoSL – Government of Sri Lanka GRC – grievance redressal committee GRM – grievance redress mechanism HH – household IP – indigenous people IR – involuntary resettlement LAA – Land Acquisition Act LRC – Land Reform Commission MLLD – Ministry of Land and Land Development MoPE – Ministry of Power and Energy NIRP – National Involuntary Resettlement Policy PIU – project implementation unit PUCSL – Public Utilities Commission of Sri Lanka RoW – right of way RP – resettlement plan SLSEA – Sri Lanka Sustainable Energy Authority TDE – transmission design and environment WEIGHTS AND MEASURES Ha – hectare Km – kilometer kV – kilovolt MVA – megavolt-ampere MVAr – megavolt-ampere reactive MW – megawatt NOTE In this report, "$" refers to US dollars. This 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. 3 TABLE OF CONTENT CHAPTERS DESCRIPTION PAGE Executive Summary I Introduction And Project Description 1 1. Overview 1 2. Project Components 2 II Scope Of Land Acquisition And Resettlement 5 1. General 5 2. Impact on Permanent Land Acquisition 5 3. Temporary Impacts on Loss Crop 6 III Socioeconomic Information And Profile 18 1. General 18 2. Basic Household Characteristics 18 3. Socio-Economic Profile of the Project Area 18 4. Health 20 5. Energy Usage pattern 21 6. Role of Women in project Area 22 7. Impact on indigenous People 22 IV Information Disclosure, Consultation and Participation 24 1. Consultation 24 2. Information Disclosure 31 3. Continued Consultation and Participation 31 V Grievance Redress Mechanisms 32 VI Legal Framework 34 VII Entitlement, Assistance and Benefits 36 1. Eligibility 36 2. Entitlements 36 VIII Relocation and Income Restoration 38 IX Resettlement Budget and Financial Plan 39 1. General 39 2. Unit Cost 39 3. Source of Funding and Fund Flow Management 40 X Institutional Arrangements 41 XI Implementation Schedule 43 XII Monitoring and Reporting 44 LIST OF TABLES Table-1 Project Components Table-2 Impact on Permanent Land Acquisition Table-3 Assessment on temporary Impacts on Lines and the Right of Way Table-4 Summary IR impacts on various subproject components Table-5 Summary Findings on Public Consultations Table-6 Entitlement Matrix Table-7 Indicative Resettlement Cost Table-8 Institutional Roles and Responsibilities for Resettlement activities Table-9 Implementation Schedule LIST OF FIGURES Figure-1 Map of Project Area Figure-2 Responsibility hierarchy of PUCSL Figure-3 Institutional Structure and Responsibility for Environmental Management Plan and Resettlement Plan at CEB LIST OF ANNEXURE Annexure-1 Project Details and Description Annexure-2 Social Impact Assessment Report Annexure-3 Details on Consultations Annexure-4 Brief Overview on Relevant Policies Annexure-5 Inventory of Transmission and Distribution Lines 1 EXECUTIVE SUMMARY 1. Sri Lanka is experiencing high economic growth. With the end of the civil conflict in 2009, the country requires sustained focus on post-conflict infrastructure development to remove disparities in economic and social status of the poorer Eastern and Northern provinces. ADB’s focus on development of power sector infrastructure in partnership with other development partners contributes to the provision of reliable, adequate, and affordable power supply for sustainable economic growth and poverty reduction in Sri Lanka. ADB is proposing to extend $130 million loan to Sri Lanka’s power sector for the Clean Energy and Network Efficiency Improvement Project. The proposed project will assist the Government of Sri Lanka (GoSL) to develop a least-cost project for the following project components: (i) transmission system strengthening to further improve its energy efficiency and enable rural electrification; (ii) distribution system improvement to expand access for the poor and rural household connection; and (iii) solar roof top power generation pilot. Initially selected lands for New Polpitiya GSS and Mannar GSS were become unavailable due to various reasons and RP was updated accordingly in 2014. Since then, CEB had to make certain deviations in order to address grievences of several affected persons, which have been described in the IEE. Hence RP has been updated to reflect Minor changes in the proposed routes of tr. Lines Arithmetic/ typographic errors in the previous report There is no change in the project scope and project components will broadly involve the following: A. Transmission subrojects: I. Transmission System Strengthening in Mannar region; II New Polpitiya 220/132 kilovolt (kV) grid substation (GSS) and associated transmission line; III. Padukka 220/132/33kV GSS and associated transmission line; IV. Construction of 132/33 kV GSS at Kegalle; and V. Installation of reactive power compensation devices. B. Distribution subrojects: VI. Vavyunia-Kebithigollewa 33 kV line; VII. Anuradhapura-Kahatagasdigiliya 33 kV line VIII. Kiribathkumbura-Galaha gantry 33kV line; and IX. Galmadu Junction-Pothuvil 33 kV line. C. Roof top solar subprojects in Colombo, Galle, Jaffna, and Kandy. 2. The project is categorized as category “B” for the involuntary resettlement and category “C” for impacts on the indigenous people. The Resettlement Plan (RP) is prepared for the Clean Energy and Network Efficiency Improvement Project, which is in accordance with the ADB’s Safeguard Policy Statement (SPS), 2009, GoSL’s National Involuntary Resettlement Policy (NIRP), 2001 and the Land Acquisition Act (LAA) of 1950 with amendments. The RP contains the extent of impact caused by land acquisition due to construction of the subprojects and identifies compensation and resettlement assistance for affected persons (AP), which is primarily economic displacement caused due to minimum land acquisition. This RP has been updated based on the final detailed design. 3. Minimum land acquisition is required for the project. An assessment of land acquisition and resettlement has been carried out for the project and its components. There is no physical displacement since the project includes transmission, distribution and solar rooftop components. The project will involve construction of new substations, upgrading and augmentation of existing substations, construction of transmission lines, construction of distribution gantries and their associated lines, and roof top solar subprojects in Sri Lanka. Land acquisition is required only for construction of the new transmission grid substations and distribution gantries. There are four proposed new GSS to be constructed, which are Mannar (4 hectares [ha] of government land), New Polpitiya (6 ha of 20 ha private land, which belongs 2 to a rubber estate owner), Padukka (6 ha of private land belonging to 24 small rubber land owners including 9 women headed households) and Kegalle (1.6 ha of private land belonging to 5 households). There are three proposed GSS to be augmented, which are Vavuniya, Pannipitiya, and Thulhiriya. Augmentation work will not require any private land acquisition since the construction activities will be limited to existing CEB premises within the respective GSS. Also, the distribution components will have 5 new gantries, which are Kebithigollewa (0.025 ha of private land belonging to one women headed households), Kahatagasdigiliya (0.025 ha of government land), Galaha (0.025 ha of government land), Akkaraipatthu (0.01 ha of government land) and Pothuvil Gantry (0.016 ha of government land). A total of approximately 17.70 ha of land will be required for GSS and gantry, out of which 13.6 ha private land and 4.1 ha will be government land. Private land includes lands from individual farmers, small rubber land owners and land from a large rubber estate owner. A total of 30 households will be affected including 11 women headed households due to loss of small piece of land. Additionally, 1 rubber estate owner will be affected due to land acquisition. As per above, there will be no physical displacements of person/s. However, there will be 25 households who will lose more than 10% of their productive assets. Accordingly, the number of people losing more than 10% of their productive assets is 112 which is less than 200. Construction of transmission and distribution lines will not require any land acquisition as there will only be temporary impact on loss of crops (paddy) during construction, for which adequate cash compensation will be paid prior to the construction. Additionally, loss of commercial trees such as rubber, banana, coconut, mango, etc. is foreseen along the right of way. The land and locations of the substations