Additional Financing for Bagmati River Basin Improvement Project (RRP NEP 43448)

Resettlement Plan

Project Number: 43448-014 April 2019

Nepal: Bagmati River Basin Improvement Project- Additional Financing

Prepared by the Project Management Unit of the High-Powered Committee for Integrated Development of the Bagmati Civilization for the Government of Nepal and the Asian Development Bank (ADB).

The 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.

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

CURRENCY EQUIVALENTS (as of 3 April 2019)

Currency unit – Nepalese rupee/s (NRe/NRs) NRe 1.00 = $0.009045

$1.00 = NRe110.5525

ABBREVIATIONS AND ACRONYMS

ADB Asian Development Bank

APs affected persons

BRB Bagmati River Basin

CDCs Compensation Determination Committees

COI corridor of impact

DPs displaced persons

GRC grievance redress committee

GRM grievance redress mechanism

HPCIDBC High Powered for the Integrated Development of the Bagmati Civilization

MOUD Ministry of Urban Development

PCMU project coordination and management unit

PMSC project management and supervision consultants

R&R resettlement and rehabilitation

ROW right of way

SM&E Safeguards, Monitoring and Evaluations Unit

CONTENTS

EXECUTIVE SUMMARY I

I. PROJECT DESCRIPTION 1

A. Tukucha Wastewater Treatment Plant Construction Subproject 1 B. Renovations of Historical Temples and Monuments Subproject 1 C. River Banks Training and Landscaping Subproject. 1

II. SCOPE OF LAND ACQUISITION AND RESETTLEMENT IMPACTS 2

A. General 2 B. Direct Impact 3 C. Impact on Structures 5 D. Loss of Trees 6 E. Impact on Livelihoods 6 F. Vulnerable households/Shrine Impacted 7

IV. TOTAL AFFECTED HOUSEHOLDS 7

III. SOCIOECONOMIC INFORMATION AND PROFILE 8

A. General 8

IV. LEGAL FRAMEWORK 10

B. General 10 C. National Social Safeguard Policies and Legislation 10 D. ADB's Safeguard Policy Statement, Policy and Resettlement Principles 10 E. Comparison of Key and ADB Policy Principles and Practices 12

V. ENTITLEMENTS, ASSISTANCE AND BENEFITS 13

A. Entitlements 13 B. Cut-off Date 14

VI. INSTITUTIONAL ARRANGEMENTS 20

A. Project Management Unit 20 B. Safeguards and Monitoring and Evaluation Unit 20 C. Involuntary Resettlement Related Capacity and Functionality 20

VII. CONSULTATION, PARTICIPATION AND INFORMATION DISCLOSURE 21

A. General 21 B. Consultations and deliberations 21 C. Entitlements: validation, disclosure and endorsements 21 D. Impacted Shrine 22 E. Disclosure 22

VIII. GRIEVANCE REDRESS MECHANISM 23

A. General 23 B. GRM Process 23

IX. RESETTLEMENT BUDGET 25

A. General 25 B. Compensation Valuation 25 C. Total Cost 25

X. MONITORING AND REPORTING 27

A. Overview 27 B. Internal monitoring 27 C. Compliance monitoring 28

XI. IMPLEMENTATION SCHEDULE 29

Definition of Terms

Affected person Persons in the project’s area of influence experiencing economic, social or environmental impacts

Compensation Payment in cash or kind for the loss of an asset due to land acquisition and resettlement

Cut-off date Declared date limiting the eligibility for entitlements to persons affected and displaced by land acquisition before such date, to exclude settlement and construction activity for purposes of gaining compensation, allowances and other entitlements

Detailed measurement survey

Exact description and quantification of all lost assets

Displaced person Person affected by involuntary acquisition of land or involuntary restrictions on land use resulting in physical or economic displacement

Economic displacement

Loss of land, assets, income sources or means of livelihood as a result of involuntary acquisition of land or involuntary restrictions on land use

Entitlements All compensation, relocation and income restoration measures due to displaced persons, specified by their property status and particular losses

Income rehabilitation

Assistance to restore and/or improve the incomes of displaced persons through allowances and provision of alternative means of income generation

Inventory of lost assets

Descriptive list of all assets lost to the project, including land, immovable property (buildings and other structures), and incomes with names of owners

Involuntary resettlement

Land acquisition and resettlement for a public purpose on the basis of eminent domain law without the consent of displaced persons

Non-titled displaced person

Displaced persons without formal legal rights to land or claims to land recognized or recognizable under national law; eligible for compensation of non-land assets

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Physical displacement

Loss of residential land and/or shelter resulting in relocation as a result of involuntary acquisition of land or involuntary restrictions on land use

Relocation Settlement of displaced persons in alternative location through relocation schemes organized by the project or government or through self-relocation

Replacement cost Compensation for acquired land, structures and other assets, including (i) fair market value, (ii) transaction costs, (iii) interest accrued, (iv) transitional and restoration costs, and (v) other applicable payments, if any

Significant Impacts

Socio-economic survey

The involuntary resettlement impacts of an ADB-supported project are considered significant if 200 or more persons will be physically displaced from home or lose 10% or more of their productive or income-generating assets.

Assessment of the social and economic conditions of the displaced persons through a combination of quantitative and qualitative research methods, providing a baseline for monitoring and evaluation

Temporary land acquisition

The use of, or impacts on, land and immovable property outside the right of way of the project caused temporarily by civil works related activities

Valuation of lost assets

Assessment of the value of all lost assets according to the principle of replacement cost

Vulnerable person Displaced poor and other groups disproportionately affected by land acquisition and resettlement, including the elderly, children, disabled and female headed households

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EXECUTIVE SUMMARY

This resettlement plan has been prepared by the High Powered Committee for the Integrated Development of the Bagmati Civilization (HPCIDBC), the implementing agency , for the Ministry of Urban Development (MOUD), the executing agency and Asian Development Bank (ADB), the funding agency for the Bagmati River Basin Improvement Project-Additional Financing (additional financing). This plan has been prepared in accordance with ADB’s safeguard policy, Nepal’s laws and the Bagmati River Basin Improvement Project (current project) Resettlement Framework. Note that none of the affected persons (APs) are indigenous, as defined for ADB’s operational purposes in the ADB’s Safeguard Policy Statement, 2009 (SPS).

The additional financing complements the ongoing efforts of the Government of Nepal and civil society to improve water management and the river environment in the Bagmati River basin (BRB). The additional financing will provide funds to (i) construct a wastewater treatment plant (WWTP); (ii) construct river training infrastructure; (iii) develop landscaping and further beautification, including the reconstruction of historic temples and monuments; and (iv) community initiatives to improve the river environment in the BRB. These civil works comprise three construction subprojects of the additional financing: (i) Riverbanks Training and Landscaping Subproject, (ii) Renovations of Historical Temples and Monuments Subproject; and (iii) Tukucha Wastewater Treatment Plant Subproject. The subprojects lie within the existing right of way of the riverbed and the embankments of state land.

HPCIDBC has prepared this plan according to ADB SPS and Nepal’s Land Acquisition Law. This plan assessed the extent of impact caused by any involuntary resettlement to accommodate the three civil works subprojects.This document outlines the compensation and rehabilitation of displaced persons (DPs) and has been prepared in close consultation with stakeholders and APs.

The additional financing will be constructed on 100% goverenemnt land. However project civil works will cause involuntary impacts to 4 entities and 18 non-titled and vulnerable APs. The APs include (i) 3 households (17 APs) and (ii) 1 shrine (1 affected holy man, the “sadhu baba”). All 18 affected non-title holders will be physically displaced for the project; 3 households will be permanently displaced, the holy man “sadhu baba” will be temporarily displaced and return to the shrine once renovations are completed, as agreed by HPCIDBC. All APs are classified as vulnerable due to their landless status. The project will displace 9 semi-permanant structures (3 residences, 4 toilets and 2 shrines) and 12 fruit trees.

The basic compensation principles and policies applicable in this resettlement plan are: (i) amelioration of negative impacts of involuntary resettlement on DPs to the extent possible; (ii) DPs losing assets, livelihood or other resources to be fully compensated and/or assisted so that they can improve or at least restore their former economic and social conditions. The compensation for non-land assets is based on replacement cost principles, and relocation and income restoration measures adequately enable security of tenure for dwellings and impacted business and to resume lost agriculture; (iii) lack of formal legal land title is not a bar to compensation of non-land assets or rehabilitation allowances; (iv) the full compensation of affected assets and payment of commensurate rehabilitation allowances is a condition for the initiation of civil works. No objection for the contractors’ mobilization in the concerned areas will be given only when compensation/rehabilitation has been provided in full to DPs. Various entitlements provided under the plan are described in Chapter V.

MOUD has established a project coordination and management unit (PCMU) in the Office of the Project Director of HPCIDBC, the implementing agency of the additional financing. Within PCMU the Safeguards, Monitoring and Evaluation Unit (SM&E) is responsible for safeguards due

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diligence. The unit will be adequately staffed for supervision and monitoring of resettlement entitlements and data management and will be supported by the PCMU Social Mobilization and Communications Unit for community liaison. Project Director, Head PCMU is designated the Safeguards Compliance Officer for the additional financing and has the ultimate responsibility for implementation of this plan, due diligence on safeguards and amelioration of involuntary resettlement impacts.

A measurement survey of lost assets and census of DPs was conducted in the second quarter of 2018 to assess the baseline impact, socioeconomic profile of the APs and to prepare this plan. The cut-off date for the eligibility for entitlement for compensation is 8 May 2018 which corresponds with the finalization of the census of APs.

The total estimated resettlement cost for the additional financing is NRs1,283,137 (Approx. $11,033)

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I. PROJECT DESCRIPTION

1. The Bagmati River Basin Improvement Project (current project) and the Bagmati River Basin Improvement Project-Additional Financing (additional financing) are designed with a view to improving water security in the Bagmati River basin (BRB). The aim is to build on the general public’s desire to restore the river environment in the Kathmandu Valley and mitigate the impact of water induced disasters in the middle and the lower reaches of the basin

2. The additional financing will add to the current project scope by (i) restoring historic temples and monuments in selected areas along the riverbanks; (ii) undertaking additional beautification and community initiatives along the riverbanks; and (iii) constructing a wastewater treatment plant (WWTP).

3. The expected impact of the additional financing will remain unchanged: increased water security in the BRB. The expected project outcome will remain unchanged: river health and flood management improved. The project outputs are:

(i) systems and capacity for integrated and participatory river basin management established;

(ii) riverbank environment in urban areas improved; (iii) water availability in the basin during dry season increased and watershed

conservation improved; (iv) functioning flood forecasting and early warning system for the Bagmati River Basin

utilized; and (v) efficient project management with effective stakeholder communication established.

A. Tukucha Wastewater Treatment Plant Construction Subproject

4. A WWTP will be constructed near the junction of the Tukucha stream and the Bagmati River, for which this site has been kept reserved. The WWTP will treat up to 17 million liters of wastewater per day using sequencing batch reactor (SBR) technology. The WWTP will be constructed partially underground in a footprint of about 100 meters (m) by 60 m. The SBR tanks will be located on the lowest floor, with an operations floor above that. The total depth of the excavation will be approximately 15 m. The roof of the operations floor will support an area landscaped in keeping with the religious ensemble of the heritage walk and be developed into a green public recreational space.This subproject is contained within riverbed limits and the site has remained unencumbered by non-title holders (squatters or encroachers). These works, including the landscaping, do not impact any pre-existing land use, semi-permanent and other structures or the activities of any informal occupants.

B. Renovations of Historical Temples and Monuments Subproject

5. The additional financing approach to revival of the religious cultural heritage of the Bagmati River civilization also focuses around the restoration and reconstruction to agreed archaeological and architectural standards of over 23 historic temples and historic monuments along the river corridor. The restoration/reconstruction will take place upon the original plinth of these historical buildings and not encroach on additional land.

C. River Banks Training and Landscaping Subproject.

6. This construction subproject contributes as an activity of the improved riverbank environment in the urban areas project output, executing about 12 kilometers (km) of landscaping

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and beautification along riverbanks, including the river corridor upstream of Gokarna; at Uttargaya temple; improve the Ghats in both banks at Guheswori and beautification of the river corridor on both banks from Thapathali bridge to Teku and on the left bank from Teku to Balkhu.

7. In the Uttargaya, Gokarna, Guheswori sections of this subproject, embankment beautification works are confined and limited and pose no involuntary resettlement impact. In the Thapathali to Balkhu section downstream, the canvas for urban embankment improvement is large and spread along both banks of the river and as detailed in Section II occasions involuntary resettlement impact.

II. SCOPE OF LAND ACQUISITION AND RESETTLEMENT IMPACTS

A. General

8. The additional financing will be constructed on 100% government land. Civil works will be directly affect a total of 4 entities and 18 non-title holders comprising (i) 3 households with a total of 17 inhabitants, including 5 school-going children and 1 infant; and (ii) a shrine with a resident sadhu baba. Out of these 4 impacted entities, the 3 households and the aggregate of 17 persons comprising these households will permanently lose their dwelling, and relocate. The sadhu baba will be temporarily displaced after demolition and compensation of the semi-permanent shrine structure and during the shrine’s rehabilitation within the projects new architectural and landscape arrangement, as agreed by HPCIDBC. All 18 affected persons (APs) are significantly affected due to physical displacement , all are vulnerable due to their landless status.

9. A census was conducted to collect detailed information on APs. The impacts surveyed are described in the sections below.

10. The aditional financing corridor of impact (COI) is entirely within state land. The project lies in the river bed and river embankment which is state land. No additional or private land is required for the project. The majority of the designated state land is already unencumbered, however some sections of the COI are occupied by non-title holders, who use the land for residential, commercial and livelihood purposes. The additional financing design has sought to minimize involuntary resettlement impacts by avoiding non-title holder settlements, and incorporating non-titleholder activities, structures and businesses into the project design.

11. While large non-title holder housing settlements (squatters) are present in the project area, the project will minimize involuntary resettlement impacts and leave these settlements unaffected. Specifically, the Sukhumbasi Basti (housing settlement) on the right bank will be avoided and the river embankment beautification discontinued beyond the heritage walk which extends all the way directly down to the riverbank. Similarly, on the left bank, non-title holders (squatters) have occupied plots of state land for agricultural activities or “kitchen gardens” (vegetable and other crops production). The additional financing will not disrupt these plots, as the agricultural activities have environmental, historical and aesthetical appeal which aligns and contributes to the project objectives. Indeed, these kitchen gardens provide an organized and cultivated green space along the river in keeping with the project. Likewise, an operating private plant nursery located on the left bank will also be left untouched by the project. As a condition of maintaining the business on state land however, the nursery will provide plants for the beautification of the BRB, by adjusting the nursery spatial layout to enhance the project landscaping design. The office of the municipal ward is also located within the project’s COI, and will not be shifted. The building will instead be renovated in the same motif as the overall beautification. The following is a description of the subprojects and involuntary resettlement impacts:

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1. Renovations of Historical Temples:

12. The restoration/reconstruction will take place upon the original plinth of these historical buildings and not encroach on additional land. Non-title holders occupy some of the historical buildings, however, none of the occupants will be physically displaced for the project. During consultations the occupants, out of the discussions generated amongst themselves, proposed for the renovation works to adopt a rotational arrangement (the occupants live in one section of the premises while construction goes on in the other, and then switch). This approach is the preference of APs, who prefer to maintain occupancy and mitigate any disruption to their routine lives and livelihood activities. The transaction technical assistance (TRTA)1 Social Development consultant held consultations with the project implementation unit (PIU) engineering staff to confirm that building restoration can be undertaken safely, and without exposing occupants to any health and safety risks. The PIU engineers have confirmed the same and contractors will receive guidance within their environmental management plan (EMP) on how to manage renovations without disruption occupants. The EMP includes provisions for acceptable work hours, access to the building, access to electricity and drinking water, managing noise and dust pollution.

2. Riverbank training and Landscaping:

13. In the Uttargaya, Gokarna, Guheswori sections of this subproject, embankment beautification works are confined and limited and will not involve any physical or economic displacement. In the Thapathali to Balkhu section downstream, the canvas for improvement is large and spread along both banks of the river. Here, nine assorted semi-permanent tin structures are impacted as they fall within the right-of-way (ROW), at prominent locations, and will need to be re moved to ensure consistency of the spatial and architectural design of the project.

B. Direct Impact

14. Downstream of Thapathali bridge, in total, four sets of semi-permanent (corrugated galvanized iron) tin structures are impacted by the project development, as they fall within the ROW of the work’s design. One of these, a dwelling, is located on the left bank of the river besides the Guisingal bridge on the edge of the cultivated green space (See Image 1).

1 ADB. 2017. Small-scale Transaction Technical Assistance for Additional Financing of Bagmati River Basin Improvement Project. Manila. (TA-9337-NEP)

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Image 1 – Impacted Dwelling # 1

15. The other three semi-permenant structures lie contiguously, in a 250-m stretch of the embankment, on the right bank of the river along the heritage walk, directly after the Thapathali bridge (see impacted dwellings 2, 3 and impaced shrine 4). The latter is associated with the presence and acknowledged continuous worship of the deity, Brehsapati, by a guru of Newar origins (also known as Panchaity Baba) for 35 years, the last 10 of which have been spent in the present location. The three affected households and the Baba living in the shrine are losing their shelter. One affected household is also losing 12 fruit trees which make up a small garden for the dwelling.

Image 2- Impacted Dwelling # 2

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Image 3- Impacted Dwelling # 3

Image 4 – Impacted Shrine

C. Impact on Structures

Nine structures will be impacted by the additional financing. Together, a total of 1,494 square feet (ft2) of semi-permanent shelter will be lost. This includes 924 ft2 of living quarters; 495 ft2 of worship shed; 75 ft2 of auxiliary structures (toilets) of materials and construction type as detailed in Table 2.1 below.

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Living quarters comprise a single room, the shrine, a diety chamber, and a disciples retiring room. The auxiliary structures comprise stand-alone latrines.

Table 2.1: Loss of Structure

Construction Type / Nature of Structurer

Total Square

Feet

No of structures

Type and

extent of Impact

No of households/ entitiesOccupancy Status

Semi-Permanent Living Structure Zinc coated corrugated galvanized iron sheet walls and roof; with brick floor.

924 3

100% loss: will relocate

3 non-title holder households; of which 2 own the structure that they occupy and 1 household occupies the structure free of rent

Sub-total 924 3

Semi-Permanent Communal Structure: inhabited shrine Zinc coated corrugated galvanized iron sheet walls and roof; with brick floor.

495 2 1 inhabited Shrine. The occupant is a non-title holder but owns the structure materials.

Sub-total 495 2

Semi-Permanent Auxiliary Structure: toilet Zinc coated corrugated galvanized iron sheet walls and roof; with brick floor

75 4

1 shrine and 2 households that own the structures they occupy but not the land (non-title holders); and 1 household that does not own the structure or the land it occupies, rent-free.

Sub-total 75 4

Total 1,494 9

D. Loss of Trees

The additional financing will impact 12 fruit trees owned by 1 non-title holder household (see Table 2.2). The fruit trees are not endemic to Kathmandu and were planted by the household members in the garden of the impacted dwelling.

Table 2.2: Loss of trees

Type of tree No

Avocado 1

Citrus 3

Bodhiswota 3

Banana 5

Total 12

E. Impact on Livelihoods

ADB SPS requires that the project compensates APs for loss of land, assets, access to assets, income sources, or means of livelihood resulting from (i) involuntary acquisition of land, or (ii) involuntary restrictions on land use of on access to legally designated parks and protected

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areas.2 The additional financing will not cause any economic displacement, as described in ADB SPS.

F. Vulnerable households/Shrine Impacted

The additionak financing defines household vulnerability as any household units exhibiting the following characteristics: (i) the household average income falling below the Nepalese income poverty threshold of NRs19,261 per capita per year, (ii) low-income households headed by women, elderly and/or disabled persons, and (iii) landless peoples.3

The three permanently physically displaced households and the one temporarily displaced shrine are landless without tenure and will receive a vulnerability payment. Over and above the vulnerability payments for landlessness to the households, vulnerability payments will be made to adult progeny from two of the impacted households. The two married brothers and their wives in one household and an unmarried adult working girl in the other. They are individually vulnerable also vis-a-vis the joint family due to their own responsibilities and situation at this unforeseable juncture of transition.

Table 2.3: Summary of Involuntary Resettlement Impact

2 ADB. 2009. Safeguard Policy Statement. Manila (p.44). 3. Based on National Living Standard Surveys 2011 the poverty line for Nepal is NRs19,261 per capita per year. (ADB

Country Poverty Analysis, CPS 2013–2017).

Impacts No./Qty.

I. Private Land (ft2)

Agricultural Nil

Residential Nil

Commercial Land* Nil

Total Private Land (ft2) Nil

II. Structure (ft2)

Dwelling associated structures 7/980.24

Worship associated structures 2/513.75

Total Structures (ft2) 9/1,494.00

III. Trees (No.)

Timber trees Nil

Fruit trees 12

Total Trees 12

Housholds losing trees 1

IV. Total Affected Households 3

V. Total Affected Community facilities (Shrine) 1

X. No of people experiencing physical displacement (significant IR Impact)

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Total No of affected persons 18

IR = involuntary resettlement.

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III. SOCIOECONOMIC INFORMATION AND PROFILE

A. General

16. Socio-economic details of the three affected households were collected and assessed face to face.This assessment provides relevant detail of the socio-economics of the DPs that can be used as a baseline for monitoring involuntary resettlement impacts of each of the three displaced households.

17. The APs live in a central and accessible location of Kathmandu and are, including the women and children, able to traverse through the city by various means of transportation,both public and private,to acquire a school education or a skill or to draw a livelihood from the urban economy of Kathmandu. Health services of all levels, varying standards and charges are also accessible.

18. The three households affected by the project are representative of the prototype of the caste and ethnic socio-religious fabric of Nepal. A Brahman family, a Gurung janajati family and a Dalit family.

19. While the Brahman represents the religious social elite and the highest in the Hindu caste hierarchy, the Dalit fits in at the bottom of the rung of that hierarchy, traditionally with a menial role in the societal division of labor. Yet the two castes share the same culture, albeit from different ends of the spectrum. The Gurung and other janajati stand relatively independent of this web.

1. Physically Displaced Household No. 1

20. Without seeking anyone’s permission, the Bhandaris built a dwelling and toilet structure, 3 years ago on the embankment, apparently to expand their available accommodation in the ward on the other side of the heritage walk. The Brahman husband, wife Geeti and two children, a boy and a girl, live on an average net income of NRs22,000 a month that is brought in by their provisions shop further north in town to which the husband commutes every day. The girl and the boy, both of elementary school age, go to a school in the ward, bathed like their parents and neatly dressed, mid mornings. The annual income of the family amounts to NRs264,000.With the national poverty line at NRs19,261 per capita per year, this puts the family nearly 30% above the income poverty line. The woman of the house self-assesses the value of the structure they have built, including the toilet, at NPR115,000. She also shares that they have already made accommodation arrangements for the family to shift across the town close to the shop.

2. Physically Displaced Household No. 2

21. Nil Bahadur Gurung, in keeping with the title ‘bahadur’ or ‘brave’ in his name is an agile and athletic grandfather. He is also a master painter of buildings, frequently engaged with good references, around town and in the ward neighborhood. His two sons are a part of his painting crew and support him execute his painting jobs. Both the boys are married to Gurung girls they met in a youth club of their clan. One has a daughter. The two daughters-in-law and the granddaughter, who’s birth was assisted at home by a midwife, assured by the fact that they could rush to a maternity center in need, continue to live together, reasonably above the poverty line with the mother, father and two brothers as a family of 7 persons. Nil Bahadur estimates the value of the dwelling unit he has built on the river embankment, without paying for the space or seeking anyones permission, or being hindered by anyone, a little over 3 years ago, at NPR75,000. He places the value of the small garden he has planted, without working with a formula for the calculation at a

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total of NRs90,000. The plants, an avocado tree, three orange trees, five banana plants and three ornamental Bodiswota are domestic; and except for the avocado, do not fruit yet.

3. Physically Displaced Household # 3

22. The household head is 47 year old Samsher Bishshankhe, a cobbler by profession. Mr Bishshankhe lives in the structure with his spouse, 18 year old daughter and three young siblings (1 girl and 2 boys). Mr. Bishshankhe runs a shoe repair shop from which he earns over NRs1,500 a day for 9 months a year, and NRs500 a day in off season, which is the monsoon June-August. Total annual income is NRs677,600 per year and above the national poverty line. The family have occupied the semi-permanent structure for 7 years and live in the structure rent free. The structure was originally built by a building contractor working on the adjacent bridge for storage and housing. The contractor abandoned the structure following completion of the civil works. The structure lies at the edge of the RoW of the embankment beautification works, infringing the planned cyclying tracks of the project. Mr Bishshankhe and his family were provided access and occupancy to the structure by a Newar influential, living in the adjacent ward considered native to the Newar who are integrated in the Hindu social hierarchy at the upper end of Nepali society. The eldest daughter is 18, has a middle school education and works part time in festive catering tents. She is a primary caretaker, and feeds her three younger siblings, two boys and a girl, while the mother is in Newar household to do early morning chores. Dressed in school uniform, the children are walked to school by their mother when she returns. The Newar family expect Mr Bishshankhe and his wife to keep the 100-m riverbank stretch clean, and tend to the worship platform, customarily claimed as the cremation ground for this Newar extended family. The Newar family regularly hold worship for their ancestors at the site. The work for their patron is done with pleasure and the satisfaction, without a wage, knowing that he will come to their support in all personal and social matters.

.

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IV. LEGAL FRAMEWORK

B. General

23. This resettlement plan has been prepared for the project additional financing. The plan reflects the principles and procedures found in the national Land Acquisition Act, 2034 (1977), project specific resettlement guidelines and practices, relevant land and environment related acts of the Government of Nepal and ADB SPS.

C. National Social Safeguard Policies and Legislation

24. Issues of asset acquisition and resettlement in any development project are fundamental since people have sovereign human rights derived from national and international law. Nepal currently lacks comprehensive resettlement and social safeguard policies. Article 19 of the Interim Constitution of Nepal, 2063 (2007) establishes the right to property as a fundamental right. All Nepalese citizens are guaranteed the right to acquire, own, sell and otherwise dispose their property. No person shall be deprived of his/her property except for broader public interest. In conditions where the State acquires or establishes its rights over individual's property for public interest and/or during implementing scientific land reform, it shall compensate for the loss of property. The basis of compensation and the procedures for delivering compensation for any property acquired by the State shall therefore be as prescribed by the law.

25. The Land Acquisition Act 2034 (1977) is the main legislation related to social safeguards of the project affected household and the community. It empowers the government of Nepal to acquire any land, on the payment of compensation for development works of broader public interest (sarvajanikhit).Under the Act the acquisition and compensation of privately-owned assets are undertaken according to a formal procedure, consisting of (i) initial procedures, (ii) a preliminary investigation process, (iii) acquisition notification, (iv) compensation, and (v) appeal procedures. The Act has provision of Compensation Determination Committees (CDCs) at district level to ascertain compensation rates for land and other assets to be acquired. The compensation must be paid (i) for damages caused as a result of investigations during the preliminary investigation process, and (ii) for land and assets permanently acquired by the project (including standing crops, trees, and houses). The Act provides that compensation be paid in cash, although titleholders who have lost all of their landholdings may be given replacement land, if available. Two separate rates of compensation can be paid (i) to titleholders who lose all their land, and (ii) to titleholders who lose only some portion of their land and/or asset. The Land Acquisition Rule 2026 (1969) has not been updated to date but it emphasizes that the CDC will take into account the prevailing market value of the nearby land to fix the compensation rates of affected land and other assets.

D. ADB's Safeguard Policy Statement, Policy and Resettlement Principles

26. ADB SPS applies to losses due both to physical and economic displacements caused by involuntary acquisition of land, involuntary restrictions on land use or on access to legally designated parks and protected areas. ADB SPS covers such losses whether these losses and involuntary restrictions are full or partial, permanent or temporary. ADB SPS is based on the following basic principles. The most significant from the perspective of the additional financing is the principle that requires DPs without titles to land or any recognizable legal rights to land to be eligible for resettlement assistance and compensation for loss of non-land assets.

(i) Screen the project early on to identify past, present, and future involuntary resettlement impacts and risks. Determine the scope of resettlement planning

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through a survey and/or census of DPs, including a gender analysis, specifically related to resettlement impacts and risks.

(ii) Carry out meaningful consultations with APs, host communities, and concerned nongovernment organizations. Inform all DPs of their entitlements and resettlement options. Ensure their participation in planning, implementation, and monitoring and evaluation of resettlement programs. Pay particular attention to the needs of vulnerable groups, especially those below the poverty line, the landless, the elderly, women and children, and Indigenous Peoples, and those without legal title to land, and ensure their participation in consultations. Establish a grievance redress mechanism (GRM) to receive and facilitate resolution of the APs’ concerns. Support the social and cultural institutions of DPs and their host population. Where involuntary resettlement impacts and risks are highly complex and sensitive, compensation and resettlement decisions should be preceded by a social preparation phase.

(iii) Improve, or at least restore, the livelihoods of all DPs through (a) land-based resettlement strategies when affected livelihoods are land based where possible or cash compensation at replacement value for land when the loss of land does not undermine livelihoods, (b) prompt replacement of assets with access to assets of equal or higher value, (c) prompt compensation at full replacement cost for assets that cannot be restored, and (d) additional revenues and services through benefit sharing schemes where possible.

(iv) Provide physically and economically DPs with needed assistance, including the following: (a) if there is relocation, secured tenure to relocation 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; (b) transitional support and development assistance, such as land development, credit facilities, training, or employment opportunities; and (c) civic infrastructure and community services, as required.

(v) Improve the standards of living of the displaced poor and other vulnerable groups, including women, 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 into negotiated settlements will maintain the same or better income and livelihood status.

(vii) Ensure that DPs without titles to land or any recognizable legal rights to land are eligible for resettlement assistance and compensation for loss of nonland 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 a draft resettlement plan, including documentation of the consultation process in a timely manner, before project appraisal, in an accessible place and a form and language(s) understandable to APs and other stakeholders. Disclose the final resettlement plan and its updates to APs 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,

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consider implementing the involuntary resettlement component of the project as a standalone 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 been achieved by taking into account the baseline conditions and the results of resettlement monitoring. Disclose monitoring reports.

E. Comparison of Key and ADB Policy Principles and Practices

27. The guiding principles of ADB SPS on involuntary resettlement include (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 DPs in real terms relative to pre-project levels; and (iv) to improve the standards of living of the displaced poor and other vulnerable groups. The safeguard policies involve a structured process of impact assessment, planning, and mitigation to address the adverse effects of projects throughout the project cycle. 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. It covers them whether such losses and involuntary restrictions are full or partial, permanent or temporary. The safeguard policies require that (i) impacts are identified and assessed early in the project cycle; (ii) plans to avoid, minimize, mitigate, or compensate for the potential adverse impacts are developed and implemented; and (iii) APs are informed and consulted during project preparation and implementation. The implementation processes follow the sequence: (i) screening and scoping of the main issues start as soon as potential projects for ADB financing are identified and continue throughout the project cycle; (ii) impacts are assessed, safeguard plans summarizing mitigation measures, monitoring program, and institutional arrangements are prepared, and arrangements are made to integrate safeguards into project design and implementation; (iii) APs are consulted during project preparation and implementation and information is disclosed in a form, manner, and language accessible to them; and (iv) safeguard plans are disclosed to the general public and the information is updated at various stages in the project cycle. In addition ADB’s safeguard policies require that both ADB’s and developing member country’s safeguard requirements are complied with.

28. The Land Acquisition Act 2034 (1977) is the primary legal framework for all land acquisition, compensation determination and relocation of APs in Nepal. The Act has a limited scope in resettlement and rehabilitation (R&R) of APs. The Land Acquisition Act does not entitle compensation to DPs without title nor provides compensation for income losses caused by the lnd acquisition and resettlement (LAR). Table 4.1 summarizes the differences between the Nepal Land Acquisition Act and ADB safeguards and the measures to be taken for the additional financing to address these. Accordingly the specific entitlements, benefits and assistance to be provided by the additional financing are detailed in Section Error! Reference source not found..

Considering the gaps between the law and guidelines of the government and the safeguard policies of ADB, a gap analysis or equivalent assessment has been prepared. The proposed gap filling measures are reflected in the project policy framework and the entitlement matrix. In particular and

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as a thumb rule, wherever there is a gap between ADB’s requirements and the country’s laws and regulations, ADB’s requirements would prevail.

Table 4.1 Gap Analysis of Nepal’s Land Acquisition Act 2034 and ADB Safeguard Policy Statement 2009

Identified gap ADB SPS 2009

Requirements Government of Nepal

Legal Framework (1977)

Measures Incorporated into this RP

Temporary disruption of business

Compensation for shop owners/street vendors/hawkers for the temporary loss of livelihood

No provision Provision of compensation for the loss of business is in the entitlement matrix.

Income restoration Income restoration program to restore and improve the standard of living of the displaced households that lose more than 10% of total income

Does not consider income restoration

Provision has been made in the entitlement matrix.

Compensation for non-titleholders

Not entitled for compensation for land; squatters/ informal settlers/vulnerable encroachers/non-titleholders are entitled to payment for the structures/houses/business/ crops, trees, and other assistance

Does not consider squatters/ encroachers/ nontitled land users for compensation

Provision has been made in the EM to reconstruct or compensate for the structures affected during construction, and to provide compensation for the loss of crops/trees.

Vulnerable groups Focused on the poor and vulnerable groups, permanently economically displaced people, to avoid future impoverishment and create new opportunities.

No provision Provision has been made to provide additional financial assistance.

ADB = Asian Development Bank, CDO = Chief District Officer, CDC = compensation determination committee.

V. ENTITLEMENTS, ASSISTANCE AND BENEFITS

A. Entitlements

29. The entitlements and the entitlement matrix included in this plan are specific to the types of impacts, losses and eligible persons impacted by the project. Provisions were also made to include a wider range of the possible cases in the event of unexpected impacts, which would result in the project updating the plan. In this case, DPs will also be consulted. Compensation for non-land assets and rehabilitation allowances will be paid by the Office of the Project Director directly into joint bank accounts in the name of both displaced household spouses (head and spouse). The project will provide assistance to DPs in opening these bank accounts.

30. Each individual DP will be eligible for a combination of entitlements, specific to their particular losses as outlined in the entitlement matrix (Table 5.1).The salient entitlements relevant to the involuntary resettlement impact addressed by this plan besides compensation for loss of structure, are:

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(i) Loss of trees: Fruit bearing trees will be compensated at the value of 1 harvest multiplied by the number of years needed to re-grow a tree at the same productive level of the tree lost. Non–fruit bearing/Timber trees will be valued based on the market value of their dry wood volume. The compensation for the tree will be free of deduction for the value of the wood left to the affected household.

(ii) Vulnerable Households: Vulnerable people will be provided an additional allowance equivalent to 3 months of official minimum wage (lumpsum NPR 40,320) and will be given priority in employment in project-related jobs.

(iii) Transitional livelihood allowance4: Affected households forced to relocate will receive a livelihood allowance of NRs13,440 a month for 3 months (lumpsum NRs40,320)

(iv) Transportation (relocation) allowance will be provided to each physically displaced entity, irrespective of legal status, for shifting of belongings, stored inventory, materials and equipment of lost residential, agricultural, commercial and community structures. This will comprise a lump sum allowance of NRs 5,000 based on current market rates for haulage rentals. APs will be entitled to salvage materials from their structure and takse these materials to another site.

B. Cut-off Date

Eligibility for entitlements under this plan is limited by a cut-off date 8 May 2018. The cut off date also coincides with the end of the final census survey of the economically and/or physically DPs falling within respective impact zones. This date was posted and announced in the affected communities and reiterated in information and consultation meetings with DPs. Any person moving into land located within the alignment of the project after this cut-off date is not eligible for compensation, relocation and livelihood rehabilitation entitlements under this plan.

4 Transitional livelihood allowance and vulnerability allowances is computed based on the prevailing July 2018 official minimum wage rate of NPR448 per day or NRs13,440 per month.

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Table 5.1: Entitlement Matrix

Type of Losses Definition of APs-

Eligibility Entitlement Details

1. Land

Loss of agricultural land

Titled owners APs with traditional land rights

Compensation based on market/replacement value Additional Assistance to vulnerable Aps

In case of compulsory acquisition of land, compensation will be based on market value CDC, in addition to provisions under the Land Acquisition Act 2034, will include VDC (Village Development Committee) representative and representatives (one female and one male) as invitees in the committee. Transaction costs (documentary stamps, registration costs, etc.) will be borne by the project authority during registration. If the residual plot (s) is (are) not viable, e.g., less than 0.5 ropania in rural areas, or 2.5 ana in urban area, the owner would have option to relinquish the land, Resettlement assistances will be paid in the form of transitional allowances or cultivation disruption allowance based on three months of minimum wage or one season’s production on the area lost. The allowance will be paid at the time of compensation payment. Additional allowances will be paid to vulnerable APs

Individual tenant Sharecropper Leaseholder

Reimbursement for unexpired lease

Registered tenants are entitled for 50% of the compensation for their land under tenancy. Lease rates will be determined by the project authority with the help of revenue department and based on consultation with landowners

Loss of residential/commercial land

Titleholder

APs with customary land rights

Non-title holder

Compensation based on market/replacement value

Additional Assistance to vulnerable APs

Cash compensation at replacement cost as determined by CDC

All fees, stamp duties, taxes and other charges, as applicable under the relevant laws, incurred in the relocation and rehabilitation process, are to be borne by the EA.

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Type of Losses Definition of APs-

Eligibility Entitlement Details

Temporary land acquisition (for civil works)

Title holder, lessee, tenant Rental fee payment for period of occupation Restoration of land to the original state Guarantee of access to land and structures located in the remaining land

This is for land required temprorairy duing civil works.

Restoration of land to previous or better quality.

The project authorities will consult with affected persons for access to the land for maintenance and repairs, when necessary, and that the land owners would continue to use the land for farming activities.

Non-title holder Restoration of land to the original state Guarantee of access to land and structures located in the remaining land

2. Structures

Loss of residential, commercial or community structure

Owner

Compensation at replacement cost Transitional allowance Relocation Allowance Vulnerability assistance

Replacement value of the structure and other assets (or part of the structure and other assets, if remainder is viable). Fees, taxes, and other charges related to replacement structure. Shifting assistance Right to salvage materials from structure and other assets with no deductions from replacement value. Additional compensation for vulnerable households.

Leessee, tenant Cash refund at rate of rental proportionate to duration of remaining lease period.

Transitional allowance

Rental assistance for both residential & commercial tenants as per the prevalent rate in the form of grant to cover maximum three month rentals.

Additional structures erected by tenants will also be compensated and deducted from owner’s compensation amount.

Shifting assistance based on type of house and household assets.

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Type of Losses Definition of APs-

Eligibility Entitlement Details

Relocation Allowance

Vulnerability assistance

Any advance deposited by the tenants will be refunded from owners total compensation package to the tenant on submission of documentary evidences.

Right to salvage material from demolished structure and frontage etc. erected by tenants.

3. Trees and Crops

Loss of Trees Titleholder Share-croppers

Lease holders

Non-title holders

Compensation at market value to be computed with assistance of horticulture Department

Advance notice to APs to harvest fruits and remove trees

For fruit bearing trees compensation at average fruit production for next productive years to be computed at current market value.

For timber trees compensation at market cost based on type of trees.

Loss of Crops Land holders Share-croppers

Lease holders

Non-title holders

Compensation at market value to be computed with assistance of agriculture department

Advance notice to APs to harvest crops

Incase of standing crops, cash compensation at current market cost to be calculated of mature crops based on average production.

4. Income and Livelihood

Loss of income and livelihood (affected business wage earnings, agricultural income, employees)

Legal titleholder/tenant/leaseholder/non titled/employee of commercial structure, farmer/agricultural worker

Livelihood assistance equivalent to income losses based on six months minimum wage rates.

Additional compensation for vulnerable households.

Consideration for project employment.

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Type of Losses Definition of APs-

Eligibility Entitlement Details

5. Government Land and property

Government Property (loss of Land)

Relevant Department Lump sum compensation as per government rules

EA may negotiate with Relevant Department on terms and conditions

6. Community and Cultural Sites

Community trails, Religious structures, Community structures, trust, etc.

Affected community Conservation, protection and compensatory replacement (community trails, schools, community center, markets, health centers, shrines, other religious sites, places of worship, burial sites, rights to food, medicine, and natural resources)

Impact will be documented and mitigated. Affected community will participate in ongoing meaningful consulations about the project impact and implementation. Cultural properties will be conserved through special measures such as relocation in consultation with the community.

7. Special Assistance to Vulnerable Households

Impacts on vulnerable APs

All vulnerable people

- Women-headed households - Poor households - Households with disabled

members - Senior-headed households - Landless households

Additional assistance based on three months of minimum wage: NRs 40,230 (Approx. $340)

In addition to the financial assistance, vulnerable households will be given priority in project construction employment.

8. Unanticipated Impacts

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Type of Losses Definition of APs-

Eligibility Entitlement Details

Other Impacts Not Identified

Affected households or individuals

Compensation and assistance

Unforeseen impacts will be documented and mitigated based on the principles agreed upon in this resettlement plan. If unanticipated impacts occur in the project, this RP will require updating and disclosure on ADB website and with APs.

Standards of this RP cannot be lowered.

APs = affected persons, CDC = Compensation Determination Committee, EA = executing agency, RP = resettlement plan, SPV = special purpose vehicle; VDC = Village Development Committee.

a One ropani roughly equals 0.05 hectare. Ana refers to one-sixteenth of a ropani.

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VI. INSTITUTIONAL ARRANGEMENTS

31. The overall responsibility for implementing and supervising this plan lies with the executing agency, MOUD. Other institutional mechanisms that MOUD will rely on for implementing the plan, while retaining full responsibility for the process and outcome, are a GRM, and a resettlement plan implementation team comprising staff from the Social Mobilization and the SM&E of the PCMU.

A. Project Management Unit

32. The PCMU has overall responsibility for the additional financing, it will: (i) facilitate the placement of the resettlement plan implementation team; (ii) provide and release adequate budgetary support for implementing the plan; (iii) nominate a local grievance redress committee (GRC), including DP representatives, contractors, and PCMU representation through a notification for resolution of complaints and grievances of DPs related to plan implementation; (vi) submit to ADB documents requiring review and approval; and (v) request clearance from ADB for the award of civil works contract or notice to proceed in involuntary resettlement impacted zones upon meeting of relevant plan implementation milestones.

B. Safeguards and Monitoring and Evaluation Unit

33. Within PCMU, the SM&E is forseen responsible for safeguards due diligence. The unit will be adequately staffed for supervision and monitoring of resettlement entitlements and data management and will be supported by the Social Mobilization and Communications Unit for community liaison.The SM&E head will report to the Project Director, Head PCMU/PD-BRBIP, and maintain close coordination with the Senior Divisional Engineer BRBIP who has operational responsibility for the works. The Project Director, Head PCMU is designated the Safeguards Compliance Officer for BRBIP and has the ultimate responsibility for due diligence on safeguards and amelioration of involuntary resettlement impacts; monitoring and reporting of the same.

C. Involuntary Resettlement Related Capacity and Functionality

34. In wake of the transition of the current project’s PMU into the Bagmati River basin organization, a momentum will have to be achieved for the SM&E to continue beyond its initial establishment. The staff mostly recruited on contract and devoid of any dual reporting will need to orient themselves to the project implementation schedule. They will be directed to effectively monitor and coordinate the resettlement process and issues specific to respective projects; internally within the Executing Agency, the PCMU, project preparation, implementation and supervision consultants and civil works contractor and with other relevant federal and provincial departments, to meet the project schedules and safeguards related procurement conditions. They will need to exhibit a good level of proficiency in understanding the laws, rules and procedures for safeguard related tasks and the safeguards requirements of ADB. They will need to be made cognizant of the importance of DP participation and information disclosure.

35. Safeguard documentation will be prepared and updated by expertise made available through design and implementation supervision consultants. This is essentially a function of resourcing and budgeting for these services. The current project has made provision for this in the overall project budget under the supervision consultant’s contract. This provides for a resettlement plan implementation team comprising of social mobilization and communication specialist. In addition, relevant executing agency officers will participate in orientation workshops on ADB SPS when conducted in country by ADB under regional technical assistant projects.

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VII. CONSULTATION, PARTICIPATION AND INFORMATION DISCLOSURE

A. General

36. The involuntary resettlement related consultation, participation and information disclosure process for the additional financing began in March 2018. Information sharing and consultation has been an iterative process that has enhanced the opportunity for fair and acceptable agreements between the executing agency and DPs on compensation and rehabilitation. The ongoing consultation process had helped keep the DPs informed and involved, and helped the project team to consider their views and to incorporate their concerns into the project design.

B. Consultations and deliberations

37. Twelve meetings were held by the project safeguards team with DPs and other stakeholders between mid-March and mid August 2018. A list and summary of these meetings is provided in Appendix 1.

38. The APs mainly expressed the fear that being ‘illegal occupants’ of state land they would ‘simply be kicked out’ and may not get any support or compensation to help them resettle. The project preparation consultants briefed them on ADB’s policy, which does not distinguish between titled and non-titled APs. ADB’s policy requires that DPs be compensated for structures and any other non-land assets lost at replacement cost, in addition to, a range of other commensurate allowances to mitigate their physical and economic displacement. A census and detailed measurement survey was initiated accordingly.

39. In order to ensure that APs are fully informed about the involuntary resettlement during consultations and information sharing and the census and detailed measurement surveys information was shared about the (i) project objectives and outputs; (ii) the entitlement matrix and details, eligibility and rational of the individual entitlements, particularly those applicable in the given context; (iii) information on the GRM; and (iv) a broadly outlined implementation schedule.

40. The PMU will closely monitor contractor interactions with non-title holders and ensure that measures for mitigating and managing harm are strictly implemented as per the project’s environmental management plan and the resettlement plan. The PMU consultants will provide guidance to contractors and maintain regular contact with non-title holders.

C. Entitlements: validation, disclosure and endorsements

41. Entitlement matrix components were shared with the APs in the presence of BRBIP officials. The DPs expressed their satisfaction in being facilitated to exercise their own discretion in relocating their dwellings, and with the executing agency undertaking the following measures, amongst others to ease their situation:

(i) Receiving compensation for lost assets at replacement cost, without depreciation or deduction for the salvaged materials based on the detailed measurement surveys they themselves participate in.

(ii) A transportation allowance sufficient to cover the shifting of their belongings. (iii) The provision of a transition allowance to cover living expenses for 3 months. (iv) A vulnerability allowance for households for poor and vulnerable households in

addition to the above allowances.

42. The DPs have requested that they should be given 3 months to vacate and move after receiving the compensation and entitled allowances.

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D. Impacted Shrine

43. The additional financing will impact a shrine located prominently on the right bank. The shrine has only one inhabitant that is the Baba. He is not there because he wants a place to live, but this is where he worships his deity, as close as possible to the river – the staging point to his next incarnation. His disciples only come to visit but do not live there.

44. The shrine is associated with the presence and acknowledged continuous worship of the deity, Brehsapati, by a guru (the Baba) of Newar origins. Named Panchaity Baba he has lived at the shrine for the last 10 years. While the shrine is eligible for compensation and commensurate R&R entitlements that will be paid, the spokesperson for the Baba and a committee from among his followers has conveyed the wish to let the Baba and the deity he worships remain at the same location. HPCIDBC in recognition of the significance of involvement of the community and the religious cultural sensitivity in the matter considers it prudent not to relocate the Baba and the deity. They are considering accommodating both in accordance with the overall architectural design of the landscaping subproject. The R&R process will be managed and monitored as part of the Resettlement Plan.

45. The demolished shrine structure will be compensated and commensurate rehabilitation allowances also paid. The demolition will only happen once the Baba and the deity can occupy their minimalisticaly designed semi open shelter curated at its present location amidst the new architectural and landscaping arrangement of the project.

E. Disclosure

46. To keep transparency and enhance the involvement of DPs and other stakeholders, project information will continue to be disseminated through disclosure Each DP has been provided information regarding specific entitlements. The involuntary resettlement implementation team will keep DPs informed about the impacts, the compensation and assistances proposed for them and facilitate addressing any grievances. They will hold special meetings to verbally brief those who are illiterate regarding their entitlements, the compensation methods and means of recourse to GRM established for the project. In addition, literate members of the community will be encouraged to provide the same assistance to the less literate DPs. Copies of the resettlement plan are available at the PCMU and at the PIU and will be provided to APs on demand. A copy of the plan will be disclosed in ADB’s website in English. Monitoring reports on the resettlement plan implementation will also be posted on the ADB website.

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VIII. GRIEVANCE REDRESS MECHANISM

A. General

47. The additional financing will leverage the existing GRM instituted by the PCMU for its projects to receive, review and resolve grievances from project-affected persons arising from various issues related to the project, including from those displaced by resettlement.

Several issues, can be brought to the notice of the social mobilizers of the resettlement plan implementation team. These can be resolved on the spot by the implementation team with the help of other community members. During resettlement plan preparation, DPs were encouraged to contact the PCMU regarding any complaints or unresolved issues.

B. GRM Process

48. A project grievance readdress system has been instituted by HPCIDBC to address grievances which may arise due to project implementation. The GRM is available to the public; the GRM will be advertised in the local newspaper at the start of the project and signage boards will be placed at prominent locations in the project area. The public has several mechanisms for lodging a complaint: (i) the GRM has dedicated email; (ii) a Grievance Register (kept at each construction site), (iii) a Grievance Drop Box (kept at PCMU office, Guheshwori), and (iv) a phone number which connects with a BRBIP information officer. At any time, an aggrieved person may convey his/her complaint, name and contact details by email or in person to the designated officials of PCMU/PIU.

49. The GRM ensures a two-way communication resolution system. The broad outline of the mechanism, structure and flow of information is given below:

(i) The contractor will communicate any received grievance to the PCMU/PIU. The contractor will review the grievance readdress box or register every alternate day. The PCMU and PIU environmental officers have a responsibility to follow up with the contractors on a weekly basis to ensure that all grievances are recorded.

(ii) Each complaint will be issued a reference number. The PCMU and PIU environmental officers will issue each aggrieved person acknowledgement that they have received the complaint and details on the process to follow.

(iii) An assigned environment officer from the PIU will work with the contractor and aggrieved person to resolve the complaint. On settlement of the complaint, the environment officer of the PCMU will verify that the complaint is addressed (through consultation with the affected parties) and issue a letter to the aggrieved person outlining findings of the GRM investigation and action items.

(iv) If the grievance requires a policy decision or involvement of other govt departments or ministries, then it shall be escalated to HPCIDBC for further resolution. If required, the aggrieved community member or community forum like Bagmati River Beautification Forum can also be made part of the redressal process.

(v) The decision on the grievance must be communicated to the aggrieved person by PCMU within a maximum timeframe of 30 days with action taken or resolution planed.

(vi) All grievances must be documented and indexed. The meeting proceedings and actions against each of the grievance will be documented by the PCMU and carry an index number for easy traceability.

(vii) All complaints lodged with the GRM will be recorded and reported to ADB within the semi-annual safeguard report. Details of the aggrieved persons name, nature of complaint, status of complaint, and outcome will be included within the safeguard

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report. ADB staff will undertake routine inspections of the GRM to ensure that the GRM is functioning.

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IX. RESETTLEMENT BUDGET

A. General

50. There are no land acquisition costs budgeted for this project since all impacted land is government land. The resettlement cost includes eligible compensation for lost non-land assets and resettlement assistance, as detailed in the Entitlements Matrix (Table 5.1). The quantities are derived from the census and inventory of lost assets drawn up during the census and the unit costs from the replacement cost. The unit costs for non-land assets in this budget have been derived through rapid field appraisal and consultation with affected households and community members, relevant local authorities and with reference to previous practices. Non-land asset compensation, resettlement allowances entitlements and criteria eligibility are explained in the Entitlement Matrix (Table 5.1).

51. As agreed between the government and ADB, the cost for resettlement will be provided out of the loan proceeds.

B. Compensation Valuation

1. Structures

52. Structure loss valuation was done based on ‘replacement cost’ and included costs of materials, labor and transport at current prices (Q2 2018). Unit rate for replacement cost of the relevant structure type is:

Item Unit Rate (NRP/USD)

Semi-Permanent Structure- dwelling, community, auxillary zinc coated corrugated galvanized iron sheet, uncemented floor

square feet 377.00/$3.25

2. Fruit trees

53. Compensation for fruit trees was negotiated with the single owner. The fruit trees impacted in the courtyard of a home are not endemic to the area. Although they are of a fruit bearing age the yields are low and not marketable. Nonetheless keeping in view the provisions of entitlement matrix and prescriptions therein for valuation of fruit trees, the average value of each fruit tree and compensation at replacement cost was determined and agreed with the single AP.

C. Total Cost

54. The total estimated resettlement cost for the project is NRs1,283,137,equivalent to $11,033 ($1 = NRs 116.29). Details of the cost are given in Table 9.1

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Table 9.1: Additional Financing Resettlement Budget

Sr. No

Description Unit Quantity Unit Rate (NRs)

Amount (NRs)

A) Trees Compensation

Avocado Ea 1 60,000 60,000

Orange Ea 3 5,000 15,000

Bodhiswota Ea 3 2,500 7,500

Banana Ea 5 1,500 7,500

Sub-total (A) 90,000

B) Structures – dwelling, communal, auxillary

Semi Permanentzinc coated corrugated galvanized iron sheet, uncemented floor

Sq. ft 1494 377 563,238

Sub-total (B) 563,238

C) Resettlement Allowances

i) Shifting/ transport assistance allowance (NRs.5,000) -

Nos. 4 5,000 20,000

ii) Vulnerability allowance (cash allowance for 3 months)

Nos. 7 40,230 281,610

iii) Transitional allowance (cash allowance for 3 months).

Nos.

4 40,230 160,920

Sub-total (C) - - 462,530

D) Sub Total (A+B+C) 1,115,768

E) Other Costs

Contingencies 15 % of (D) 167,365

Sub-total (E) 167,365

Grand Total (D+E) - - 1,283,137

Total US$ (@$1=NRs116.29)

11,033

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X. MONITORING AND REPORTING

A. Overview

55. The PCMU SM&E is responsible for monitoring of and reporting on involuntary resettlement. Monitoring will cover all relevant details of implementation. Monitoring covers all compensation, relocation and income rehabilitation actions required under this Resettlement Plan, including, among others, consultation of DPs, social and involuntary resettlement impact assessment, establishment and functioning of a grievance redress mechanism, disclosure of the plan, payment of compensation and provision of other mitigation measures.

B. Internal monitoring

56. The PCMU SM&E will report fortnightly internally to the Project Director the compensations have been paid and the DPs vacate the zone of impact, followed by monthly reporting thereafter. The PCMU SM&E will prepare quarterly reports and submit these to MOUD and ADB for the latter’s review and disclosure on its website.

Table 10.1: Internal Monitoring Reporting

Phase Frequency Contents Duration

Before DPs relocate

Fortnightly

Report progress/issues of RP implementation activities, functioning of institutional arrangements, payment of compensation and allowances

Mobilization of PSC resettlement team till payments of entitlements and DPs vacating zone of impact

Post relocation of DPs

Monthly Report progress on mentoring activities and linkages

For 6 months after DPs vacate zone of impact

Construction Monthly Confirm on all sites or sections that provisions for compensation and relocation were completed before displacement of the concerned DPs; and DP restoration measures, if any were in place.

Confirm that shifting arrangements for affected non-title holder occupants are made by contractors in accordance with this RP and the EMP.

Confirm that non-title holder settlements and businesses are not permanently or temporarily impacted by construction activities as per this RP.

From start to finish of civil works

DPs = displaced persons, RP = resettlement plan, PSC = project steering committee.

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C. Compliance monitoring

57. The SM&E will monitor compliance to ADB SPS in the implementation of the resettlement plan and on the preparation of any necessary corrective action plans. Findings and recommendations will be reported in bi-annual monitoring reports submitted to ADB and disclosed on the web. The series of reports to be prepared as part of the compliance monitoring process are detailed below.

1. Payment of Compensation and Resettlement Completion Report

58. The SM&E will verify the completion of payment of compensation and allowances and other RP activities leading to ‘site clearance’. This completion report of compensation actions will be submitted by the PCMU to ADB to allow the civil works contractor to proceed with work in involuntary resettlement impacted areas. A Resettlement Completion Report will be prepared, 6 months after site clearance following completion of all DP support activities.

2. Corrective Action Plans

59. If the monitoring process identifies compliance gaps for any of the issues and indicators, the project will investigate these in detail and specify a Corrective Action Plan (CAP), which will be submitted to ADB for review and approval. The approved CAP will be disclosed to the concerned DPs and on the ADB website. At locations where compliance gaps are identified, all civil works will be paused until these are resolved satisfactorily through the CAP.

3. Impact and process evaluation

60. One year after resettlement plan completion, an impact evaluation of the involuntary resettlement will be conducted by PCMU SM&E .

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XI. IMPLEMENTATION SCHEDULE

61. All activities related to resettlement in the current project are planned in this resettlement plan to ensure that the compensation is paid prior to displacement and commencement of civil works. A timeline for the implementation of the essential activities formulated in this plan is detailed in the Table11.1 below. The corresponding parties responsible for each element are also specified

Table 11.1: Resettlement Plan Implementation Schedule

No Activity Responsibility Date

1 Staffing of IR implementation team in place and oriented with the DPs and the RP

PCMU May 2019

2 GRC becomes operative PCMU September 2019

3 Internal monitoring process initiated PCMU December 2019

4 Consultation meetings with DPs on disbursement and RP implementation schedule

PCMU RP implementation team

December 2019

5 Mutual concurrence and sign off on compensation package between each DP and PD-PCMU based on RP entitlements, the DMS and census concluded on the cut-off date.

RP implementation team January 2020

6 Allocation and transfer of RP funds to PCMU MOUD/ADB/PCMU-Finance Director

January 2020

7 Assist DP households without National Identity Cards in acquiring these for the entire family

PCMU/RP implementation team/

January 2020

8 Bank Account openings for DPs PCMU/RP implementation team

January 2020

9 Disbursement of compensation payments PCMU-Director Finance March- April 2020

10 DPs initiate and complete relocation process RP implementation team/ April-June 2020

11 Start of civil works Contractor July 2020

12 Internal IR monitoring /PCMU July 2020 – September 2024

13 Impact Evaluation of RP PCMU March 2023

14 End of civil works Jully 2023

15 IR monitoring, IR monitoring reports and disclosure

PCMU July 2020 - June 2025

DMS = detailed measurement survey, DPs = displaced persons, GRC = grievance redress committee, IR = involuntary resettlement, MOUD = Ministry or Urban Development, PCMU = project coordination and management unit, PD = project director, RP = resettlement plan.

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APPENDIX 1: Summary of Consultation and Information Dissemination Meetings

March–August 2018

Date Venue Participants Discussion issues and information disseminated

20 March 2018

BhagateshworGaht Male: 5 Female: 3

• Project concept of renovation of cultural heritage

• Potential project intervention and landscaping on Bagmati River

25 April 2018 Ward offices Male: 3 Female: 1

• Discussed project concept on landscaping Bagmati River

• Land clearance issues at vegetable farming location of the left bank of River

• Entitlement for farmers planting vegetables in bank of River

27 April 2018 Amma Ashram Male: 1 Female: 5

• Discussed potential alternative options during renovation work of Ashram

• History and management of Ashram

6 May 2018 Lakshewor Male: 4 Female: 4

• Renovation works of Lakshewor Temple

• Potential impacts for the families living in premises of temple and potential mitigation measures

8 May 2018 Pachalighat Male: 7 Female: 5

• Disseminated cut-off date and its impact on census survey

• Discussed project intervention and potential impact

9 to 14 May 2018

Thapathali Bridge to TekuDovan

Male: 15 Female: 17

• Collected baseline information and socio-economic survey

• Consultation with family member living in sattal and temple are about potential impact

5 June 2018 Brihaspati Temple Thapathali

Male: 9 Female:2

• Potential impact on residential house/kitchen of Panchait Baba

• Entitlements and project benefits

• Potential project intervention and landscaping on Bagmati River

6 June 2018 Dashnami Sanyasi Akhada

Male: 10 Female: 2

• Disseminated cut-off date and its impact on census survey

• Discussed potential impact during renovation of chamber

• No negative impact anticipated and discussed alternatives during renovation

• The available chambers and rooms are enough to accommodate during renovation

6 June 2018 TukuchaDovan, Kamlochangaht

Male: 10 Female: 4

• Potential impact after dislocating temporary houses required

• Project alternatives

• Appropriate compensation package for the loss of houses, fruit trees, and toilets

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Date Venue Participants Discussion issues and information disseminated

• Each of the affected hhs have alternative house except Panchyat baba

• Positive support for project construction activities

8 June 2018 Uttargaya Temple Male: 9 Female:2

• Renovation of Kantibhariav(religious studies) school

• Alternative management of students and class during renovation period

• The school has an alternative building to accommodate students during renovation

6 to 10 August 2018

Observation trips and consultations along corridor of impact by the social development specialists, accompanied by the Deputy Project Director in some locations.

• identify, assess and include any remaining impacted household/entity

• share the entitlements they are eligible to receive from the Project due to displacement

• discussed the requirements for Panchaity Baba and the deity not to be displaced and incorporated in the overall embankment beautification architecture and beautification design

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Meeting Minutes-1Uttargaya

Today dated 8 June 2018, a meeting was held in Uttargayawith regard to Bagmati River Basin Improvement Project-Additional Financing in presence of project Senior Divisional Engineer (SDE), the project management and design supervision consultant (PMDSC) and local representative for the discussion of potential impact due to project activities.

Presence

1. PravhatShrestha SDE, BRBIP

2. Rajendra Pd. Adhikari DTL PMDSC

3. Shiva Pd. Dhakal ADB, consultant

4. PuspaPokhrel Principal, KantiBhairab Gurukul School

5. Shree Ram Adhikari Teacher KantiBhairab Gurukul School

6. AjayaPokhrel Teacher KantiBhairab Gurukul School

7. Bhairab Shrestha President of school management committee

8. ShovitaKahanal Teacher KantiBhairab Gurukul School

9. Ragini Bhatta Teacher KantiBhairab Gurukul School

Discussion and decisions

1. The ghat improvement, beautification works and the heritage renovation of the

administration and teaching building damaged during the earthquake have no element of

involuntary resettlement.

2. Classes will continue in the newly constructed neighbouring building and not be affected.

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Meeting Minutes -2 Kalmochanghat

Today dated 6 July 2018, a meeting was held on Kalmochanghat to discuss the potential impact of the landscaping components of the project, downstream ofThapathalibridge in presence of project Senior Divisional Engineer (SDE), concerned people of Brishapati Satsang Samaj and ADB consultant.

Presence

1. Pravhat Shrestha SDE BRBIP

2. Shiva Pd. Dhakal ADB consultant

3. ShuyaKAfle Resettlement Assistant

4. Binod Pd. Achary Chair Brihsapati Satsang Samaj

5. Panchayati Baba Baba

6. MachakagiTandukar Member Brihsapati Satsang Samaj

7. Shree Ram Subedi Member Brihsapati Satsang Samaj

8. Ajaya Adhikari Priest

9. Sharee Ram Pandey Priest

10. Babin Adhikari Priest

11. Bharat Pd. Pokharel Member Brihsapati Satsang Samaj

Discussion and decision

1. The project team described project components to participants

2. During the landscaping work in right bank and downstream to Thapathali bridge impact

on toilet, kitchen and living room of Panchayati Baba is anticipated so before starting

the work it is requested to establish alternative accommodation to Panchayati Baba.

3. It is appreciated work and requested to manage Brihsapati Temple during the

landscaping work.

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Meeting Minutes-3 Akhada Baba Sanyashi Ashram

Today dated 6 July 2018, a meeting was held on Akhada Baba SanyashiAshramto discuss the potential impact on accommodation and other concern from renovation of monuments components of the project on downstream to Thapathali bridge ( right bank) under Bagmati River Basin Improvement Project (BRBIP) additional financing in presence of project Senior Divisional Engineer (SDE), concerned people of Ashram and ADB consultant.

Presence

1. Binod Giri Babaje of Ashram

2. Bili Das Babaje of Ashram

3. Panju Das Babaje of Ashram

4. Buchan Das Babaje of Ashram

5. Shiva Giri Babaje of Ashram

6. Jaya lal Das Babaje of Ashram

7. Chalitra Das Babaje of Ashram

8. Biru Das Babaje of Ashram

9. Raj Kumad Das Babaje of Ashram

10. Khema Devi Das Babaje of Ashram

11. Ramwati Das Babaje of Ashram

12. Shiva Pd Dhakal ADB consultant

13. Surya Pd. Kafle Resettlement Assistant

Discussion and Decision

1. To the extent possible requested to minimize the potential negative impacts and carry out

renovation work. They appreciated proposed renovation works and will have full positive

cooperation during renovation period

2. During the renovation work, they requested not to be evicted from the monument and

preferred the idea of continuing to live there restricting themselves in one section while

renovation could proceed in the other.

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Meeting Minutes -5 Tukucha confluence area

Today dated 7 July 2018, a meeting was held on Tukucha confluence area to discuss the potential impact on private structures and other associated trees/toilets fromlandscapingcomponents of the project, downstream of Thapathali bridge (right bank) in presence of project Senior Divisional Engineer (SDE), concernedstakeholdersand ADB consultant.

Presence

1. Pravhat Shrestha SDE BRBIP

2. Shiva Pd Dhakal Consultant, ADB

3. Surya Pd. Kafle Resettlement Assistant

4. Nil Bahadur Gurung Affected house owner

5. Rajan Gurung Local person

6. Nabal Kishor Gurung Local person

7. Tirtha Raj Bhusal Social worker

8. Geeta Gurung Social worker

9. Babita Gurung Local person

10. Bimala Gurung Local person

11. Sangita Bhandari Affected person

12. Ishwor Jung Gurung Local person

13. Sujan Jung Gurung Local person

14. Suman Jung Gurung Local person

15. Yam Bdr. Gurung Local person

Discussion and decision

1. During the landscaping work, it is requested to avoid impact impacts on temporary

housing, trees and other affected structures. However, if impacts are unavoidable

requested to address through appropriate compensation before acquisition or impact

2. Ensured to provide positive support and cooperation during construction work

3. Requested providing employment opportunities (based on skill) to project-affected person

during construction work

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