social management framework (smf) - world bank · 2016-07-12 · npc- national planning commission...
TRANSCRIPT
FINAL DRAFT
Social Management Framework (SMF)
For
Urban Governance and Development Program (UGDP):
Nepal Emerging Town Project (NETP)
Submitted By: Hari Prasad Bhattarai
Social Safeguard Consultant
Submitted To: Department of Urban Development and Building
Construction, Ministry of Physical Planning and Works
Government of Nepal, Kathmandu
February, 2011
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ABBREVIATIONS
ADB – Asian Development Bank
AP- Affected Persons
CBO – Community Based Organization
CBS- Central Bureau of Statistics
CDO- Chief District Officer
CDC- Compensation Determining Committee
CFC- Compensation Fixation Committee
DAG – Disadvantaged Group
DDC – District Development Committee
DFO – District Forest Officer
DFGG- Demand for Good Governance
DUDBC – Department of Urban Development and Building Construction
FNCCI- Federation of Nepalese Chambers of Commerce and Industries
EA – Executing Agency
EIA – Environmental Impact Assessment
EMS – Environmental Management Section
EO – Executive Officer
EPA – Environmental Protection Act
EPR – Environmental Protection Regulations
FY – Fiscal Year
GE/SI – Gender Equality/Social Inclusion
GON – Government of Nepal
GRC- Grievance Redress Committee
HH- Households
IEE – Initial Environmental Examination
IP – Indigenous People
IPP- Indigenous People Plan
IR- Involuntary Resettlement
IPF – Indigenous People‘s Framework
LA- Land Acquisition
LA Act- Land Acquisition Act
LBs – Local Bodies
LDO – Local Development Officer
LGCDP – Local Governance and Community Development Program
LSGA – Local Self-Governance Act
LSGR- Local Self-Governance Regulation
MCPM- Minimum Condition and Performance Measures
M&E – Monitoring & Evaluation
MLD – Ministry of Local Development
MMPW- Ministry of Physical Planning and Works
MOEST – Ministry of Environment, Science, and Technology
MOF – Ministry of Finance
NFIN – National Federation of Indigenous Nationalities
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NGO – Non Government Organization
NPC- National Planning Commission
PCO- Project Coordination Office
PMT – Program Management Team
PWD – Public Works Directive
RF – Resettlement Framework
RAP- Resettlement Action Plan
RP- Resettlement Plan
R&R- Resettlement and Rehabilitation
RoW – Right-of-Way
RUP- Rural Urban Partnership
SA – Social Assessment
SMF- Social Management Framework
TDF – Town Development Fund
TLO- Tole Lane Organization
TOR – Terms of Reference
UDLE- Urban Development through Local Effort
VCDP- Vulnerable Community Development Plan
VDC – Village Development Committee
WB- World Bank
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Table of Contents
ABBREVIATIONS ........................................................................................................................ 2
Table of Contents ............................................................................................................................ 4
List of Tables .................................................................................................................................. 7
1. INTRODUCTION & BACKGROUND ..................................................................................... 8
1.1 UGDP Objectives and Components ................................................................................. 8
1.2 Program Implementing Institutions .................................................................................. 9
1.3 Program Location and Likely Activities ........................................................................ 10
1.4 The Social Management Framework (SMF) .................................................................. 14
1.5 Purpose and Objective of the SMF ................................................................................ 14
1.6 Development of SMF ..................................................................................................... 15
2. METHODOLOGY ................................................................................................................... 16
2.1 Desk Study ..................................................................................................................... 16
2.2 Consultation with Stakeholders and Observation .......................................................... 16
PART ONE: SOCIAL ASSESSMENT ........................................................................................ 19
3. SITUATION ASSESSMENT ............................................................................................... 20
3.1 Socio-cultural Context ........................................................................................................ 20
3.1.1Demographic Composition ........................................................................................... 20
3.1.2 Civil Society Representation for Marginalized Groups ............................................... 21
3.1.3 Conflict Scenario ......................................................................................................... 23
3.2 Institutional Context ........................................................................................................... 24
3.2.1 Transitional Arrangements ........................................................................................... 24 3.2.2 Mechanisms to Ensure Greater Accountability ........................................................... 25 3.2.3 Civil Society Organizations ......................................................................................... 25
3.2.4 Community Based Organizations (CBOs) ................................................................... 27
3.3 Historical Context ............................................................................................................... 28
3.4 Political Context ................................................................................................................. 29
4. KEY SOCIAL RISKS AND OPPORTUNITIES ................................................................. 31
4.1 Social and Political Economic Risks .................................................................................. 31
4.2 Likely Social Impacts and Issues ........................................................................................ 32
4.3 Stakeholder Analysis .......................................................................................................... 38
5. REVIEW OF LEGISLATIVE AND REGULATORY REQUIREMENTS ............................ 43
5.1 Review of Relevant Laws and Polices of Nepal ............................................................ 43 5.1.1 Resettlement Policy and Legal Measures on Land Acquisition ............................. 43
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5.1.2 GON Policies on Indigenous Peoples (IPs) and other Vulnerable Communities ... 48
5.1.3 Communication, Good Governance & Social Accountability ................................ 50 5.1.4 Gaps in Existing Resettlement Policies and Laws .................................................. 52
5.2 International Policy Guidelines and Conventions .......................................................... 53
5.2.1 World Bank Policy Guidelines ............................................................................... 53 5.2.2 International Labor Organization (ILO) Convention (169), 1989 .......................... 55
5.3 Comparison of Government of Nepal and World Bank Policies ................................... 56
6. REVIEW OF EXISTING SOCIAL MANAGEMENT PRACTICES...................................... 59
6.1 Review of the Social Management Frameworks............................................................ 59
6.2 Review the Existing Social Management Practices of Executing Agencies .................. 64
7. INSTITUTIONAL AND CAPACITY ASSESSMENT OF EXECUTING AND
IMPLEMENTING AGENCIES ................................................................................................... 66
7.1 Implementing Institutions .............................................................................................. 66
7.2 Institutional Arrangement of UGDP: NETP .................................................................. 66 7.2.1 Central Level Arrangement..................................................................................... 66
7.2.2 Municipal Level Arrangement ................................................................................ 69
7.3 Institutional and Capacity Assessment ........................................................................... 69
7.3.1 Ministry of Local Development (MLD) ...................................................................... 69 7.3.2 Department of Urban Development and Building Construction (DUDBC) ................ 70 7.3.3 Town Development Fund (TDF) ................................................................................. 71
7.3.4 Municipalities .............................................................................................................. 73
PART TWO: SOCIAL MANAGEMENT FRAMEWORK ......................................................... 78
8. RESETTLEMENT FRAMEWORK ..................................................................................... 79
8.1 Resettlement Policy ............................................................................................................ 79
8.2 Screening and Categorization of Impacts on IR ................................................................. 82
8.3 Preparation of a Resettlement Plan ..................................................................................... 82
8.4 Entitlement for Various Losses ........................................................................................... 83
8.5 Eligibility of Affected Households/Persons ....................................................................... 84
9. INDIGENOUS PEOPLES (IPS) AND VULNERABLE COMMUNITIES
DEVELOPMENT FRAMEWORK .............................................................................................. 86
9.1 Screening and Categorization of Impacts on IPs and Vulnerable Communities ................ 86
9.2 Social Impact Assessment (SIA) and Preparation of IP/VCD Plans .................................. 87
10. FRAMEWORK FOR STRENGTHENING GOOD GOVERNANCE AND SOCIAL
ACCOUNTABILITY ................................................................................................................... 89
11. SMF IMPLEMENTATION AND MANAGEMENT ............................................................ 93
11.1 Institutional Arrangements ............................................................................................... 93
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11.2 Consultation and Information Disclosure ...................................................................... 95
11.2.2 Public Consultation ................................................................................................. 95 11.2.3 Information Disclosure and Dissemination ............................................................ 96 11.2.4 The Information and Consultation Strategy (ICS) .................................................. 97
11.3 Grievances Redress Mechanism..................................................................................... 99
11.4 Monitoring and Reporting ............................................................................................ 100
11.5 Capacity Building ......................................................................................................... 101
References ................................................................................................................................... 104
Annex 1. Involuntary Resettlement Categorization Form .......................................................... 105
Annex 2 Entitlement Matrix ....................................................................................................... 107
Annex 3 Indigenous Peoples/ Vulnerable Group Impact Categorization Form ......................... 109
Annex 4 Checklists for Stakeholder Consultation ...................................................................... 111
Annex 5 Format for Social Impact Assessment .......................................................................... 115
Annex 7 Sample Vulnerable Community Development Plan .................................................... 128
Annex 8 List of Participants in the Central Level Stakeholder Consultations ........................... 133
Annex 9 List of Participants in the Municipal Level Stakeholder Consultations ....................... 134
Annex 10 Guidelines for Ensuring Social Accountability .......................................................... 146
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List of Tables
Table 1.1 Priority Projects for the Six Municipalities as Identified by the Local Stakeholders
during Prefeasibility Study, 2010 ................................................................................................. 11
Table 1.2 Sub Project Activities Proposed during Prefeasibility Study, 2010 ............................. 12
Table 3.1: Percentage Population Distribution of Various Caste/Ethnic Groups ......................... 20
Table 3.2 Summary of Demographic Characteristics of the Six Municipalities .......................... 21
Table 3.3 Summary of Social and Institutional Characteristics of the Six Municipalities ........... 26
Table 3.4 Total Population by urban-rural residence and urban population as a percent of rural
population, Nepal, 1952/54 - 2001 ............................................................................................... 29
Table 3.5 Industrial Origin of GDP, Nepal 1990 – 2000 (in million NRs.) ......................... 29
Table 4.1 Likely Nature of the Impacts and Corresponding Affected Population ....................... 34
Table 5.1 Comparison between World Bank Policy and the Government Legal Framework ..... 56
Table 6.1 Minimum Condition Performance Measures (MCPM) Rankings ................................ 76
Table 8.1 Principles and Corresponding Guidelines to Execute Resettlement Policy ................. 79
Table 9.1 Categorization of Impact on IPs and Vulnerable Communities .................................. 87
Table 11.1 Role and Responsibilities for SMF Implementation in Sub Project Cycle of UGDP 94
Table 11.2 Information and Consultation Strategy (ICS) for UGDP: NETP ............................... 97
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1. INTRODUCTION & BACKGROUND
Nepal is emerging as a rapidly urbanizing country. In 1971, there were only 16 municipalities
with 0.462 million urban populations and today there are 58 municipalities, with 3.28 million
urban populations comprising of 13.9 % of the national population (CBS, 2002). By 2005, the
estimate was 16%, by 2010 nearly 18%, by 2020, the ADB expects that nearly 25% of the
population will reside in urban areas, and by 2030, the corresponding figure is likely to be in
excess of 30% (Prefeasibility Study, 2010). The high rate of urbanization is exerting immense
pressure on urban environment and municipal mangers often do not have sufficient expertise and
resources to deal with the rapid growth. With the enactment of the Local Self-Governance Act,
1999, municipalities have been given many responsibilities but there have not been adequate
measures to enhance their capacities. As a result, many cities are facing environmental problems
such as inadequate basic physical infrastructure, solid waste management, air pollution, and
wastewater management, and with continued growth, the problems of urban poverty and
informal settlements are also growing. Municipalities also lack adequate financial resources to
provide basic urban services.
Keeping in mind these circumstances, Government of Nepal has proposed for funding support to
World Bank to preparing the Urban Governance and Development Program/Project (UGDP).
The overall development goal of UGDP is to guide urbanization in small towns in a manner that
makes them centers of economic growth through efforts that strengthen the
decentralization/devolution and local governance.
1.1 UGDP Objectives and Components
The overall objective of the program is to build the capacity of municipal authorities in
secondary municipalities to plan and implement basic infrastructure that will lead to increased
economic opportunities and improved services for their residents. This is in line with GON‘s
vision for balanced urban development and strengthened local governance in the country.
The UGDP has three components:
Component 1: Block grants to the selected municipalities. The block grants will top up existing
fiscal transfers from the Ministry of Local Development (MLD) to municipalities and will help
local authorities maintain minimum service delivery standards, provide adequate O&M support
to existing assets, as well as address urgent urban management and service delivery issues. The
block grants will be managed by the MLD and channeled through its existing system of
intergovernmental fiscal transfers.
Component 2: Capital grants for improving/rehabilitating socio-economic infrastructure. The
capital grants will support expansion and/or improvement of essential infrastructure/services
which are legally assigned to municipalities -such as local roads, drainage, sewage, solid waste,
health & education infrastructure, parks, libraries, crèches, street lighting, and so forth. The
selection of investment priorities will be undertaken by each municipality based on pre-defined
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criteria and transparent participatory process. The municipalities will be provided onsite support,
as needed, to help manage the socio-economic development program.
Component 3: Support for Institutional Development. The ID component will help the selected
municipalities attain greater capabilities in areas such as participatory planning, budgeting and
public financial management, service delivery and project management. A key element of ID
support will be the formulation of comprehensive socio-economic development plans in the
selected municipalities. At the center, this component will aim to strengthen intergovernmental
systems that support efficient and accountable urban local governments. The ID component will
also strengthen existing M&E systems that track the performance of municipalities. Beside, this
component also will support project coordination and management activities, both at the center
and in the selected municipalities. Specifically, this will finance consultants in procurement,
financial management, safeguards, and other core areas.
1.2 Program Implementing Institutions
Department of Urban Development and Building Construction (DUDBC) under the Ministry of
Physical Planning and Works, Municipal Management Division of the Ministry of Local
Development (MLD), Town Development Fund (TDF), and six participating secondary
municipalities, namely Mechinagar Municipality, Dhankuta Municipality, Itahari Municipality,
Lekhanath Municipality, Baglung Municipality, and Tasnsen Municipality are directly involved
to implement the various activities under UGDP at different levels and in different ways.
Mechinagar
Itahari
Dhankuta
Tansenn
Lekhanath
Baglung
Figure 1 Map of Nepal Showing Program Implementing Municipalities
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1.3 Program Location and Likely Activities
The Program will be implemented in the six secondary municipalities selected through an
independent pre-feasibility study. These are: Mechinagar Municipality (Jhapa District),
Dhankuta Municipality (Dhankuta District), Itahari Municipality (Sunsary District), Lekhanath
Municipality (Kaski Distrtict), Baglung Municipality (Baglung District), and Tasnsen
Municipality (Palpa District). During the project preparation, although an initial list of potential
activities the municipalities may like to implement may be prepared, the exact activities to be
financed under this Program in each of the above six municipalities will be decided only during
implementation. However, each municipality has selected priority activities on the basis of pre-
defined criteria and processes that are transparent and accountable. Majority of the proposed
projects can be categorized as physical infrastructure development followed by community
development, institutional development and natural resource management (Table 1)
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Table 1.1 Priority Projects for the Six Municipalities as Identified by the Local Stakeholders
during Prefeasibility Study, 2010
Municipality Project No1 Project No 2(and 3 as appropriate)
Baglung Drainage Improvement–The central market area of Baglung
suffers from extensive surface runoffs. The existing drains cannot.
The proposed project has two components (a) Diversion Structures
of surface run-offs at two locations and (b) Improvement of surface
drains within the city core. The project will improve the urban
environment, secure the safety of important areas in the city, and
allow the further economic development of Baglung.
Ring Road Improvements:. The improvement of the ring road is the
highest priority project for the Municipality and people of Baglung.
The project has remained „dormant‟ for many years. The condition
of the road at present is extremely poor and the road is often
impassable during the monsoon season. Connectivity is severely
impaired and economic development prospects correspondingly
constrained
Tansen Heritage Conservation and Tourism Promotion-The projects
component are (a) City Conservation Plan: Renovation of temples
and traditional structures, preservation of typical local houses,
reconstruction of handicraft shops and pedestrianization of selected
areas of Tansen and (b) Tourism Development Plan: Tourism
Enterprise Development Program, involving, inter alia
strengthening of micro-credit programs and cooperatives, a skill
development program, women entrepreneurship development
program, and increasing the Municipality's capacity to promote
economic development.
Water Supply Improvements–One of the major causes for the slow
economic growth of the Municipality is the paucity of water supply
system in the town. The technical assistance project will (a) establish
a Water Supply and Sanitation Management Board and develop the
capacity of the board on effectively managing the existing water
supply system, and (b) Explore technical options for low cost water
supply system (and implement demonstration projects).
Lekhnath Conservation of the Lakes and Tourism Promotion-The Lakes
are a tremendous recreational, tourist and bio-diversity asset of the
Municipality. Largely because of the lakes and their hilly
surroundings, Lekhnath is a well known tourist destination
attracting both domestic and foreign tourists. All the lakes are
under threat through siltation, eutrophication, and encroachments
and poor management. The project involves the conservation and
economic development of lakes, wetlands and surrounding forests.
Effective Land Management-This project seeks to correct the hap-
hazard, speculative and socially and economically damaging land
development that characterizes the Municipality. The approach is to
consolidate the land, make the provision for the roads, open space
and urban services; replot the land parcels and give back re-plotted
land to their original landowners. The concept is similar to the
process of ―land pooling‖
Itahari Inner Ring Road Construction-The proposed inner ring road
(IRR) will divert traffic from the core urban area, improve
accessibility to the outlying settlements, and allow the further
urban and economic expansion of the Municipality. The inner ring
road would also help increasing the capacity utilization of the
existing bus park. Itahari Municipality considers access and
connectivity improvements fundamental for the development of the
Town, and particularly if the Municipality is to play a major role in
the Dharan and Biratnagar Industrial Growth Corridor
Drainage Improvement-Some portions of the city experience
serious water logging during the rainy season because of the absence
of the drainage interceptors along the highway which would take the
discharge to the nearby river. The existing drainage is under capacity
and not networked properly. The proposed drainage project is
strategic important and will improve the sanitation environment of
the city, and allow the future expansion of the town
Mechinagar City Enhancement, Traffic Improvement and Economic
Development–The project involves constructing improvements to
main spine road of Mechinagar town in order to (a) create a city
ambience attractive to visitors entering Nepal, particularly from
India; (b) to reduce traffic congestion in Mechinagar, and (c) to
accommodate and facilitate the future economic expansion of the
Municipality. The project will include improvements to (a) the
surface drainage system (b) the bus park and terminal;; (c) the
efficiency of the dry port and custom facilities; and (d) passengers
and pedestrian safety. Community participation is expected for the
development. The project is expected to lever important economic
development impacts in terms of improving the efficiency of
movement of goods and people, associated with the expansion of
trade and transit operations
Recently proposed project by Mechinagar :
Construction of Devkota Park with Ghanta Ghar and Mini
Market
Agricultural DevelopmentThe project is to develop land for
agriculture that could accommodate the expansion of the urban built
environment in the future. This development is proposed for
Itabhatta where most of the land remains in agricultural use and the
parcels adjoining to the highway have been already fragmented for
residential use. The project aims at significantly increasing the
transportation accessibility in the rural areas thereby preparing the
land for residential or commercial development in future.
Forest Conservation and Economic Development-The project is to
conserve and develop the three community forests located to the
north of Dhulabari through the mobilization of the local community.
Recently proposed project by Mechinagar :
Black topping of Gokul Road (from Itabhatta to Antu, Ilam),
Integrated project( Ninda Tmai River training , Patal Ganga
Development
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Dhankuta Water Supply Improvement-Both Dhankuta and Hile have been
suffering from a number of issues e.g.; drying up of existing
source, absence of perennial gravity source in the vicinity,
inefficient distribution network and poor management. The main
objectives of this project are to (a) upgrade and expand the systems
in Dhankuta and Hile (b) explore options for low cost water supply
system, (c) encourage rain water harvesting on the community and
household levels, (d) assist the Municipality in establishing an
Integrated Water Supply and Sanitation Management Board and
(d) develop the capacity of the board on effectively managing the
existing water supply system.
N/A(only one priority project was identified by the Municipal
stakeholders)
Table 1.2 Sub Project Activities Proposed during Prefeasibility Study, 2010
Municipalities Priority Projects Subproject Activities
Mechinagar 1. City Vestibule
Development and Traffic
Enhancement Measures
Recently proposed project by
Mechinagar :
Construction of Devkota Park
with Ghanta Ghar and Mini
Market
6 Lane Highway with plants in the centre and sides
Separate lanes for heavy and light vehicles
Off road structures (retaining walls, cross drainage)
Footpath pavement, fencing, overhead foot bridge
Landscaped garden on the hillocks beside the road at the entry
Development of garden on the north beside Kali River
Wide and convenient entry to the dry port, bus park and bus terminal
Construction of Interceptor Drain of surface runoffs along both side of road
Street Lights, Information Centre, Traffic Control
2. Urban Agriculture Land
Development
Recently proposed project by
Mechinagar :
Black topping of Gokul Road
(from Itabhatta to Antu, Ilam),
Integrated project( Ninda Tmai
River training , Patal Ganga
Development
Delineation of area but keeping Itabhatta Junction in the middle with the support
from the landowners
Survey and planning of the area by considering the existing buildings, structures and
roads
Development of low cost bio-engineering technique for river protection works (to be
carried out through community mobilization / participation)
Temporary amalgamation of land, and the design and planning of roads
Construction of roads (gravel) along the peripheries of the blocks
Agricultural land re-plotting and re-distribution
Dhankuta 1. Water Supply
Augmentation &
Management
Improvement of Hile WS System
Improvement of Dhankuta WS System
Promotion of Rainwater Harvesting
Water Supply Management and Institutional Capacity Development
Itahari 1. Detailed designed and
Construction of Inner Ring
Road ( IRR)
Bridge at Tengra ( Ward 2)
Bridge at Vyarvyare ( Ward3)
River Training Works
Cross Drainage Works
Miscellaneous Works
2. Construction of Surface
Drainage in the Core City
Area
Inceptor A ( Both side along Mahendra Highway)
Inceptor B ( Both side along Koshi Highway)
Secondary Drains
Demolition & reinstatement of Structures. Electrical Poles
Footpath Pavement
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Outfall Structures
Miscellaneous Works
Lekhanath 1. Conservation of Lakes
and Tourism Development Component A : Physical Infrastructure Development Plan Construction of embankment dyke (earthen), retention wall with sluice gate at
Dipang, Khaste, Neureni and Maidi Lakes
Construction of footpath along the bank of Begnas and Rupa Lake
Construction of hiking track linking lakes
Construction of information center and development of recreational area at Gude
Lake
Component B : Bio Diversity Conservation Plan Preparation of Detailed Bio-diversity Conservation Plan encompassing land use bye
laws, environmental, watershed management, social and economical aspects
Demarcation of lakes and forest boundaries
Development of Bio-diversity Nurseries, Trees Plantation
Development of Botanical Garden and Herbs Plantation
Community Forest Development Program
Lake Water Quality Monitoring (Laboratory Establishment)
Watershed Management
Cleaning of lakes and checking of weed growths due to nitrification
Fishery Farming
Component C : Pro-Poor Tourism Development Plan Preparation of Comprehensive Sustainable Pro-Poor Tourism Development Master
Plan
Establishment of Micro-credits and Cooperative Groups Tourism Enterprise
Development Program (TEDP) and Market Linkages
Promotion of Participatory Planning in Tourism for sustainable tourism development
Detailing of Destination Mix encompassing 8A's Principles
Environmental Awareness and implementation of Community Led Total Sanitation
(CLTS)
Development of foot tracks through mobilization of community groups Development
of Alternative Energy
Tourism led orientation program and skill development training program
2. Effective Land
Management Land pooling, block planning and re-plotting
Neighborhood Roads construction of community structures
Construction of community parks
Baglung 1. Improvement to the Ring
Road
Road Construction
Road Side Drains, Cross Drainage
Retaining Structures, Breast Walls
Miscellaneous Works
2. Run off Diversion and City
Drain Rehabilitation
Diversion Structures of surface run-offs at two locations
Improvement of surface drains within the city core (wards 1,2,3,4 and 11)
Tasnsen 1. City Conservation and
Tourism Development
City Conservation Plan : Renovation of temples and traditional structures,
preservation of typical local houses, reconstruction of handicraft shops and
pedestrianization of selected areas of Tansen
Tourism Development Plan: Tourism Enterprise Development Program, involving,
inter alia strengthening of micro-credit programs and cooperatives, a skill
development program, women entrepreneurship development program, and
increasing the Municipality's capacity to promote economic development
2. Water Supply
Optimization and
Management
Optimization of Existing Water Supply System Establishment of Water Supply Management Board and Capacity Development
Promotion on the Economic Consumption of Water, Low Water Consumption
Accessories, Control on Misuse of Water
Control on Water Leakage and Unaccounted for Water
Customer Verification Survey
Review of Existing System and Optimization Study
Exploration of low cost water supply system
Promotion of Rainwater Harvesting Community Rainwater Harvesting (20 HH one system : Total 1000 HH)
Grant to Individual Rainwater Harvesting
Study, Awareness and Training
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1.4 The Social Management Framework (SMF)
Social Management Framework (SMF) is the instrument that provides the necessary guidance to
identify and address the potential social concerns or impacts of a project right from the planning
stage to its implementation and post-implementation operations.
1.5 Purpose and Objective of the SMF
The main purpose of preparing the SMF is to formulate appropriate social safeguard principles
and provide technical guidelines to identify impacts, prepare safeguard plans, and mitigate
adverse impacts likely to arise from the activities financed by this Program/Project during
implementation. The SMF spells out the potential social impacts in the project municipalities due
to the planning, design, implementation and operation of the UGDP projects and outlines the
management measures required for an effective addressal of the same. Appropriate institutional
arrangements towards implementing the measures proposed and the capacity building efforts
required will be detailed in the framework. The adoption of this framework shall ensure that the
projects meet the national and local level social requirements and are also consistent with the
applicable safeguards policies and provisions of the World Bank.
The overall objective of this assignment is, therefore, to prepare a Social Management
Framework (SMF) for the Nepal Urban Governance and Development Program/Project, which
will provide (a) Resettlement Policy Framework as per World Bank‘s OP 4.12 with additional
guidelines for dealing with vulnerable communities including Dalits and Janjatis (indigenous
people) as per the World Bank‘s OP 4.10; and (b) guidelines for strengthening people‘s
participation and social accountability. In addition to make use of the findings of the preliminary
social analysis done as part of the Pre-feasibility Study, the specific objectives of the assignment
are to:
1. carry out a rapid review of social issues involved and make broad-based social
assessment of the program/project (focusing on components and likely activities listed in
the pre-feasibility study), highlighting potential positive and negative impacts of the
program/project;
2. review policy and acts/ regulations of Nepal and the World Bank (OP 4.10, 4.12) in order
to identify applicable provisions in the proposed program/project and suggest ways to fill
any gap between Nepal and World Bank requirements;
3. assess the capacity of the institutions involved in the Program/Project, including the roles
and responsibilities, and offer guidelines for capacity development to address any gaps;
and
4. develop a Social Management Framework (SMF) for the Program/Project
implementation (fulfilling requirements for RPF, Indigenous People‘s Policy Framework
15
(IPPF) and integrating participation and social accountability guidelines). The Consultant
will summarize the SMF for inclusion in the Project Implementation Manual (PIM).
1.6 Development of SMF
The (sub) project activities proposed ( Table 1.1&1.2) by the participating municipalities during
project pre-feasibility study will be analyzed along with inputs from review of literatures,
stakeholder‘s consultation and field visits to assess the potential social impacts. The SMF spells
out strategies and principles for identification of project affected individuals, families,
communities, and to investigate potential social effects and issues related to these and suggest
appropriate measures to avoid/minimize and manage any potential adverse impact resulting from
the implementation of the project.
The SMF will be used by the project authorities for incorporation of social safeguards in the
planning, execution and operation stages of each sub-project activity. A step-by-step
methodology will be provided that can be followed along with engineering and institutional
interventions required for the sub-project activities.
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2. METHODOLOGY The methodology adopted for the preparation of the SMF includes: review of relevant social
policies, acts, regulations and guidelines of GON, social safeguard policies of World Bank, and
interactions and consultations with all concern stakeholders. The findings of the preliminary
social analysis done as part of the Pre-feasibility Study (2010), Institutional Assessment have
been taken as the primary sources of information required for SMF preparation. Therefore, the
SMF is primarily based on the reviews of available relevant literatures and consultations with
national level and municipal level stakeholder.
2.1 Desk Study
The review of literatures was mainly concentrated to the past similar studies related to social and
environmental assessment for urban development. Existing policies, legislation and guidelines
related to the social management issues of urban development and WB‘s policies and guidelines
have been reviewed and documented in the appropriate sections of SMF report. Similarly,
available published literature, study reports (e.g. Pre-feasibility Study, Institutional Assessment
and the Political Economy Studies) and documents related to the project have been reviewed and
documented. Municipal level demographic data on the various ethnic/caste groups, including
demographic information on vulnerable groups, have been collected from secondary data
published by the participating municipalities and Central Bureau of Statistics (CBS). In similar
vein, published or unpublished documents, records, profiles and reports available at
municipality offices have been collected and reviewed to cross-check and solicit site specific
information.
2.2 Consultation with Stakeholders and Observation
Central Level Stakeholders
Consultations with central level stakeholders (MLD, DUDBC and TDF) were conducted to
understand the overall design, components and corresponding activities of the program. The
consultation was mainly focused on institutional, human resources and past experiences of social
management practices of these organizations in terms of land acquisition, R&R policies and IPs
and vulnerable community development plans. The consultation also assessed the institutional
capacity of MLD, DUDBC and TDF to implement and monitoring the compliance of social
safeguard measures reflected in the SMF. The consultation was concentrated in assessing their
abilities to manage social issues likely arise while implementing UGDP: NETP to support
municipalities—and identify areas and actions for improving their capacities and performance,
both in the short and long term. It primarily focuses on the existing institutional mechanism in
each of the involved institution for social management, existence of units/ focal points; human
and financial resources, functions and effectiveness of their roles and responsibilities. The details
of the participants in the central level stakeholder consultation are presented in Annex 8.
Municipal Level Stakeholders
Consultations with municipality staff ( executive officer and section heads) and municipal level
stakeholders ( representative of political parties, government line agencies, CSOs, private
sectors, organizations of women, Dalits, Janajatis, Madhesis) have been carried out to know the
existing social situation and to identify likely impacts due to the various project structures and
17
activities and corresponding mitigation measures. In addition, consultations with the
beneficiaries and local stakeholders have been conducted in the (sub) project sites of the selected
municipalities to comprehend urban social environmental and concerns of beneficiaries and key
stakeholders particularly information on land acquisition and preferred mode of compensation.
Besides, the consultation also assessed the institutional capacity of the municipalities to
implement and monitoring the compliance of social safeguard measures reflected in the SMF.
The consultation was focused in assessing their institutional abilities to manage social issues
likely arise while implementing the program and to identify areas and actions for improving their
capacities and performance, both in the short and long term. The details of the participants in the
municipal level stakeholder consultations is presented in Annex 9
Consultation meetings in each participating municipalities have been conducted by giving a prior
verbal notice and written letter to the participants through the participating Municipal offices.
The purposes of the focus group discussions are:
To provide factual information on the (sub) project location, particularly the main (sub)
project structures and project related activities.
To clarify the objective of the SMF development for UGDP and its procedures
To discuss on the likely potential impacts of the project from technical considerations
during project construction and operation in the project area‘s social, socio-economic and
cultural domain.
To collect information related to socio-economic and cultural environments of the project
areas
To collect general and broad opinion, perception and attitudes of the people towards
UGDP
To get feedback on the likely impacts of the project from local people‘s perspective
particularly on the cultural traditions, customary practices, self identity and attachment to
the land and territory, social norms and values of the indigenous people and other groups
of the project areas.
To get basic information on the cultural, religious, recreational and livelihood
dependence of the local people on the (sub)project sites and corresponding likely impacts
due to project development
To solicit opinion of the local people on the alternative mitigation measures to abate, or
avoid the potential impacts
To solicit opinion of the local people with regard to the development aspiration of the
project.
Field Observation
The consultant carried out observation tours to all priority project sites to comprehend the ground
reality and to obtain supplementary information about different socio-economic and cultural
activities in the proposed (sub) project sites. This includes recording of physical surroundings,
religious sites/structures, ongoing cultural religious activities, processes, and discussions.
18
Debriefing Workshop
The consultant debriefed the preliminary findings of the stakeholder consultations with members
of the PCO, representatives of World Bank. The comments and suggestions gathered during the
debriefing have been incorporated into the SMF report.
19
PART ONE: SOCIAL ASSESSMENT
20
3. SITUATION ASSESSMENT1
3.1 Socio-cultural Context
3.1.1Demographic Composition
The demographic composition of the six municipalities included in the Urban Governance and
Development Program (UGDP) is quite varied, as the table below indicates:
Table 3.1: Percentage Population Distribution of Various Caste/Ethnic Groups
Note: - means that either the percentage population of these groups is negligible or do not reside in the concerned municipalities. * Includes Aathpahariyas, who comprise 23.4 percent of the total population in Dhankuta. ** Limbus, Rais, Magars, Newars, Tharus, Tamangs and Gurungs are all classified as Adivasi-Janajatis [indigenous nationalities] by the Government of Nepal.
As in most parts of Nepal, upper-caste groups, particularly Bahuns, possess a strong influence –
numerical, social and political – in all six municipalities. Bahuns are over-represented in the All
Party Mechanisms (APMs) in all municipalities, except for Dhankuta where the Janajati
representation is relatively significant. Similarly, the Executive Officers in all the municipalities
are Bahuns, except for Dhankuta where he is a Janajati. The same is true for civil society groups
and community-based organizations across all municipalities. The other upper-caste group, the
Chhetris, is also quite prominent in leadership positions. In areas where there are concentrations
of Newars, as in Tansen, Baglung and Dhankuta, they, too, enjoy great influence. While there are
fewer Janajatis in leadership positions, they are nevertheless quite active in public life
1 This chapter has been adapted from a World Bank Study-- ―the Nepal Emerging Towns Project (NETP) Local
Political Economy and Post-Conflict Situational Analysis‖ by Aditya Adhikari and Bandita Sijapati, December,
2010.
Mechinagar Itahari Dhankuta Tansen Lekhnath Baglung
Bahun 20 20 9 27 34 35
Chhetri 15 17 13 18 15 22
Limbu 3 4 3 - - -
Rai 4 9 8 - - -
Magar 3 2 5 21 7 10
Newar 4 6 15 15 3 7.8
Tharu 1 11 - - - -
Tamang 3 3 10 - - -
Gurung 1 1 - - 16 -
Dalit 6 5 3 12 15 20
Madhesi 5 15 - - - -
Other Indigenous Population
21 7 31* 6 10 3
21
particularly since various groups have been organizing along ethnic lines. Dalits, on the other
hand, have almost no representation at all either in the APMs or in other organizations such as
NGOs and CBOs. Similarly, there are very few women in positions of power in all of the
municipalities.
The exclusion of Janajatis, Dalits and women from government structures in Nepal continues to
have an impact on the level of development of these communities and the opportunities open to
them. In many municipalities, in Tansen and Itahari, for example, it can be clearly seen that
mostly upper-caste groups live in the developed areas and thus have access to municipal
resources.
The estimated population of the participating municipalities in 2010 shows a growing trend. The
current annual population growth rate is estimated to be around 7.5% for Itahari and the
population is expected to increase more than three times by 2020 in Lekhanath. The population
growth for Tansen and Mechinagar is, however, around or below the average for the urban sector
as a whole. The hill municipalities are low density cities in comparison to the municipalities in
the Tarai and Itahari has the highest density inner core, with population density of 8000
persons/sq.km. The municipalities have fairly high literacy rates ranging from 78% for Itahari
and 88% for Mechinagar in 2009 (Table 3.2).
Table 3.2 Summary of Demographic Characteristics of the Six Municipalities
Municipalities Population 2001
Estimated
Population
2010
Population
Growth rate (2001-2010)
Projected
Population
(2020)
Current Pop.
Density
(Person/ha)
Population Density of
Urban Core Area
(Person/ha)
Current
Literacy Rate
Tensen 20,431 30,000 3.1% 38,000 9 (2007) 260 (2007) 87% 2007)
Baglung 20,852 30,000 4.1% 44,000 15 (2007) 105 (2007) 85% (2007)
Lekhanath 41,369 60,000 4.0% 190,000 7 (2007) 12.6 (2007) 84% (2007)
Itahari 41,210 75,000 7.5% NA 2,000/sq km 8,000/sq km 78% (2009)
Dhankuta 20,668 26,000 3.6% 40,000 535 /sq km
(2008)
1635/sq km (2008) 81% (2008)
Mechinagar 49,060 57,000 3.0% 65,000 10 (2008) 46 (2008) 88% (2009)
Urban
National
Average
55,653 NA 3.44 % NA 985 /sq km NA NA
Source: Prefeasibility Study, 2010
3.1.2 Civil Society Representation for Marginalized Groups
Since 1990, and especially since 2006, there has been a great acceleration in demands for
political representation and other rights on the part of organizations representing marginalized
groups. Such organizations are active in each of the six municipalities that are included in the
UGDP project.
In all the municipalities, it is the Nepal Federation of Indigenous Nationalities (NEFIN) that
advocates for the rights of Janajatis. Its major activity currently appears to be lobbying the local
government for resources for Janajatis and raising awareness regarding the rights of the
indigenous people as enshrined in the International Labor Organization (ILO) Convention 169i
[hereafter, ILO-169] and other international protocols and conventions the Nepal government has
signed on the rights of indigenous people. Various organizations that serve as constituents of
NEFIN or are loosely affiliated to it, representing specific Janajati groups (the Magar Samaj in
22
Baglung, Kirat Rai Yayokha in Dhankuta, for example) also have a presence in the
municipalities.
Although NEFIN is generally considered to be resource-rich in Kathmandu, fieldwork in the six
municipalities shows that their resources have not percolated effectively to the local levels. As a
result the district/municipal chapters of NEFIN are constrained in their scope of activities. In
general, the district chapters do receive occasional, often one-time support from the headquarters
in Kathmandu, but they generally rely on the DDCs, municipalities, membership fees and other
support from members for their functioning. Consequently, the effectiveness of NEFIN is varied
according to time and place. In Dhankuta, NEFIN representatives pointed out that in addition to
holding seminars to raise awareness amongst the Janajatis regarding the rights of indigenous
groups, which is what there are currently doing, there is a dire need to also work towards the
economic upliftment of some of the Janajati groups like the Aathpahariyas. However, in the
absence of sufficient funding either from NEFIN headquarters or local governments, the NEFIN
district chapter has not been able to make much of an impact. On the contrary, in Baglung, the
chief activities of NEFIN, in addition to awareness raising, it also acts as a pressure group in
local government affairs and serves as a forum where various community-based activities, such
as the creation of cooperatives for Magars, are discussed and implemented. The effectiveness of
NEFIN in Baglung appears to be largely due to the fact that Magars there include a significant
number of the relatively wealthy individuals.
Although an umbrella organization similar to NEFIN called the Dalit NGO Federation (DNF)
exists in Kathmandu and other areas to provide representation to Dalits, its activities are quite
limited compared to NEFIN. Rather, a proliferation of small organizations representing Dalits
exists across Nepal, and in the six municipalities under study. For the most part, however, they
are exceedingly weak and crippled by a lack of resources and fragmentation due to the affiliation
of members to different political parties.
The exception is Baglung where the Dalit movement is quite strong as a result of which activities
geared towards the upliftment of the Dalits have also been fairly significant. Dalit organizations
in the district have been successful in raising awareness regarding discriminatory laws and
policies, assisting Dalits overcome discrimination in access to schools, forests and other public
resources, and participating in the DDC coordination committees that take decisions on
disbursement of district funds earmarked for the development and awareness of Dalits and other
marginalized groups. In addition, all of the Dalit organizations and the Dalit wings of political
parties are represented in the Utpidit Dalit Samudayako Sanjal [Network of the Oppressed Dalit
Community], which provides the Dalit community with a unified voice and some immunity from
political cooptation.
The major political parties also have their own fraternal organizations representing Janajati and
Dalit groups. From the perspective of independent Janajati or Dalit activists, however, these
bodies are more responsive to the interests of their parent parties than to the ethnic/caste groups
they are meant to represent.
23
3.1.3 Conflict Scenario
The spillover effects of the conflict (1996-2006) have been limited in all six municipalities. In
four municipalities –Tansen, Baglung, Lekhnath and Dhankuta – violent clashes between
Maoists and cadres of other political parties continued into the years of the peace process, but
have declined since the April 2008 Constituent Assembly elections in which the Maoists
emerged as the largest political party.ii In addition, Mechinagar and Itahari experienced a large
influx of people displaced during the conflict and its aftermath though a large percentage of
those displaced have been Pahadis [people of hill-origin] who fled the southern areas of the Tarai
after the Madhesh movement of 2007. The major exception to the relatively peaceful
environment in the UGDP-targeted municipalities appears to be Dhankuta, where tensions
between the Maoist-affiliated youth group, YCL, and the UML-affiliated youth group, YF, are
still unresolved and have the potential to turn violent in the future.iii
Given the suspicion that
most of the 4008 disqualified Maoist combatants have joined the YCL, there are fears that
tensions between the YCL and other parties could escalate and lead to violence in Dhankuta as
well as in other districts.
In addition to issues related to the Maoists, the post-conflict environment in Nepal has witnessed
a significant increase in political mobilization along ethnic/caste/regional lines over the past four
years, with almost all caste/ethnic groups forming organizations of their own, some of which are
involved in armed activities, particularly in the Tarai districts and eastern hills.iv
Despite the
increase in lawlessness and violence in the Tarai, in the aftermath of the Madhes Andolan of
2007,v two of the six UGDP-targeted municipalities, namely, Mechinagar and Itahari, which are
located in the Tarai districts of Jhapa and Itahari respectively, have not witnessed the kind of
violence other Tarai districts in the central and eastern Tarai have experienced.
The municipalities of Mechinagar and Itahari, while in the Tarai, have very low Madhesi
populations and are generally perceived as non-Madhesi cities. They are surrounded by areas
with significant Madhesi populations, however. As no Madhesi towns are included in the UGDP,
significant resentment towards the project may arise on the part of the Madhesi population. This
may augur badly for the implementation of the UGDP.
It is also important to note that in the aftermath of Bihar‘s [Indian State] Chief Minister Nitish
Kumar‘s efforts to curtail criminal activities in his state, the southern areas of Tarai districts have
witnessed a visible increase in criminal activitiesvi
and with a strong nexus currently evolving
between criminal groups, smuggling rackets and business entrepreneurs, particularly in
Mechinagar, it is possible that armed/criminal groups will infiltrate Mechinagar and Itahari.
In addition to the Tarai conflict, the eastern hill districts (Dhankuta lies in the eastern hills) have
also experienced significant violence, with looting, arson, murder, kidnapping, seizure of
property and extortion carried out by armed groups and ethnic outfits clamoring for an
autonomous Limbuwan state in Eastern Nepal.vii
While Dhankuta Municipality has for long been identified as being part of a future Limbuwan
state, first by the Maoists and later by groups such as the Federal Limbuwan State Council
(FLSC), it should be noted that in its concept note, the State Restructuring Committee has
recommended placing Dhankuta Municipality in the proposed Kirat Autonomous Province
24
instead of Limbuwan Autonomous Province. Similarly, in the case of Mechinagar and Itahari,
too, while the State Restructuring Committee has placed these two municipalities in the Mithila-
Bhojpura-Koch-Madhes Province, these have been claimed to be part of Limbuwan by various
Limbu outfits. These differences in claims by different groups are likely to be a source of tension
when such matters begin to be seriously discussed by political parties at the centre, as part of the
process of drafting a new constitution.
Finally, although overt conflict is very limited in the municipalities of the Western corridor,
latent tensions exist between groups over the issue of federalism along ethnic lines and that could
raise tensions and possibly lead to violence in the future. According to the proposed federal units
by the State Restructuring Committee, among the UGDP-targeted municipalities in the western
region, Tansen and Baglung would belong to the Magarant Autonomous State and Lekhnath to
Tamuwan. This has created significant resentment among non-Gurungs in Lekhnath and non-
Magars in Baglung and Tansen, leading them to create organizations like the Khas Brahman
Samaj and Khas Chhetri Ekta Samaj that advocate specifically the rights of Bahuns and Chhetris.
During the course of the fieldwork, representatives of these groups even threatened ―bloodshed‖
if autonomous provinces based on the concept of ethnic homelands become a reality. In addition,
the proliferation of groups like the Samyukta Jatiya Mukti Morcha (SJMM) has also been a
source of violence and fear in areas like Baglung. The SJMM, an underground outfit clamoring
for Janajati rights and apparently willing to use violent means has been threatening VDC
secretaries in Baglung district, among others, to resign.viii
Thus far, the SJMM is not active in the
NUGDP-targeted municipalities, their stated intention of causing violence and disruption could
potentially have ripple effects there as well.
3.2 Institutional Context
3.2.1 Transitional Arrangements
In the absence of elected local bodies, the Ministry of Local Development (MLD) has issued
guidelines regarding the functioning of local bodies. According to these, in municipalities, it is
the Executive Officer, a centrally appointed civil servant, who possesses all executive and
decision-making responsibilities (previously, this role was taken up by elected representatives in
the municipal council). Additionally, in each municipality, there exists an All-party Mechanism
(APM), consisting of representatives of political parties that participated in the Constituent
Assembly election that is meant to provide an advisory role to the Executive Officer.ix
The three
large national parties – the Nepali Congress, the Communist Party of Nepal-United Marxist-
Leninist (CPN-UML) and the Unified Communist Party of Nepal-Maoist (UCPN-M), dominate
the APMs in all municipalities.
In practice, with the exception of Dhankuta, all decisions regarding the municipality are
undertaken by the APM and the responsibility of the Executive Officer is relegated to mediating
competing claims of the parties and ensuring that the municipal office implements their
decisions. In Itahari and Lekhnath, political parties have even taken steps to ensure their total
autonomy regarding decision-making from the municipality by setting up an ‗apex committee‘ of
political parties from which municipal officials, including the Executive Officer, are excluded. It
is in these ‗apex committee‘ meetings that crucial decisions are taken and later conveyed to the
Executive Officer for implementations. In Dhankuta, in contrast to the other municipalities, the
Executive Officer and the municipality office is exceptionally strong and often overrides the
25
demands of the political parties.
These arrangements have led to a situation where local governments, contrary to the great
decentralization that was envisaged in the 1999 Local Self Government Act, have been subject to
increasing encroachment by the centre. The fact that Executive Officers are the chief authority in
municipalities and that the Ministry of Local Development in Kathmandu appoints them all
attests to this. Further, the municipalities (as well as various civil society organizations present
there) are heavily dependent on resources provided by the centre (both from the government and
donors) and this has fostered a culture of paternalism and dependency.
Government officials and the political parties are wholly in control of the municipal office and
mechanisms to allow for public oversight over them are nearly nonexistent. As the political
representatives have been nominated rather than elected, and because all the parties are
represented on the mechanism, there is a tendency for each to consider themselves as
representing only the interests of their particular constituencies and not of the municipality as a
whole. This has had ramifications on planning. When the APM meets to decide how to spend
available resources, significant competition occurs among the parties. There is a tendency among
parties to distribute projects in the annual plan as favors to supporters or in ways that benefit
themselves.x This tendency has a harmful affect on attempts towards large-scale and long-term
projects. Sections of the population that do not have direct links with representatives of the
political parties appear to be politically apathetic. As they have not participated in elections to
choose their representatives, they were often unaware of who to approach if they required the
services of the municipality. xi
3.2.2 Mechanisms to Ensure Greater Accountability
In some of the municipalities, some measures have been taken towards encouraging greater
public oversight over the municipality. Notably, in recent years, Itahari has taken a number of
measures to improve its governance mechanism through increased people‘s participation,
transparency and information sharing. These include: nomination of a nodal officer, the
provision of a suggestion box, a notice board, citizens‘ charter on hoarding boards, and a website
of the municipality.xii
In Lekhnath, the APM holds office hours at the municipal office where
locals can come and voice their grievances. In Tansen, the NGO REDA has been successful in
bringing municipal officers and highly deprived sections of public together through public
interactions, with the objective of educating the latter in how to solicit the municipal office for
funds. Similarly, in Baglung, interest groups representing specific communities, such as NEFIN,
have achieved their demand for greater role in the spending of funds earmarked for the
empowerment of the communities they represent. In the absence of elected representatives,
however, these measures have had little impact in the face of growing powers enjoyed by
political parties and continued executive control of the municipality by civil servants.
3.2.3 Civil Society Organizations
The presence and level of vibrancy of civil society groups varies from municipality to
municipality. NGOs, interest groups and the media are particularly strong in Baglung, Tansen
and Dhankuta, which also serve as the district headquarters or Itahari, which is an important
transit point at the intersection of two national highways. Because of their location, district- and
regional-level civil society organizations work out of these municipalities. The objectives and
26
related activities of these civil society groups are diverse and range from youth clubs and human
rights groups to those geared towards improving rural livelihoods and democratic governance.
Further, national-level interest groups like the Nepal Federation of Indigenous Nationalities
(NEFIN) and major publication houses also have their district offices in these municipalities
which are also district headquarters.
Based on the fieldwork, it is evident that NGOs and interest groups in Baglung, Dhankuta and
Itahari also have particularly deep relations with the municipality and are regarded as integral
partners in municipal governance. In general, these NGOs and interest groups receive a modicum
of support from their respective municipal offices and District Development Committees (DDC),
and they are often invited to participate in municipal affairs while discussing annual and periodic
plans, and the budget (though mostly only after the parties and the municipal office have already
taken the decisions).
In contrast, NGOs and interest groups are quite weak in Lekhnath and Mechinagar. In the case of
Lekhnath, this is due to the fact that civil society groups like the NGOs, interest groups and
media outlets are based in the nearby district headquarters, Pokhara, and have a limited interest
in Lekhnath. In the case of Mechinagar, it is because of the dominant role played by political
parties and business groups have left very little room for civil society organizations. As a result,
most of the active NGOs in Mechinagar are relegated to activities that do not directly challenge
the local government such as issues of single women or youth programs.
All the participating municipalities have fairly good numbers of educational institutions with at least
one college in each municipality. Mechinagar, Lekhanath and Itahari have no hospital with C/S
facilities whereas Tansen, Buglung and Dhankuta possess hospital with C/S facilities with 1100, 45
and 25 beds respectively. All the municipalities have of TLOs. The TLOs are the lowest level
organization in a municipality focusing on grass-level community development issues. Each
municipality has squatter/unmanaged settlements. Itahari has the highest number of squatter
settlements (33) having more than 11000 squatter households followed by Lekhanath and
Mechinagar municipalities having 10 settlements each with 922 and 2977 squatter households
respectively. Baglung municipality has only 3 settlements of squatters comprising of 60 households
altogether (Table 3.3).
Table 3.3 Summary of Social and Institutional Characteristics of the Six Municipalities
Municipalities No.
Educational
Institutions
Hospital with C/S
Facilities ( Y/N) and
Number of Beds
No of Tole Lane
Organization(TLOs)
Constitutes
No of Squatters/
Unmanaged
Settlement
Number of Squatter
HHs
Tensen College =3
HS(10+2) =11
School =23
Y-1100 95 8 180
Baglung College = 1
HS(10+2)=12
School =36
Y-45 121 3 60
Lekhanath College =3
HS(10+2) =9
School=51
N 177 10 922
Itahari College =3
HS(10+2) =9
School=39
N 170 33 More than 20% of
total 56181 HHs
Dhankuta College= 1
HS(10+2) =5
School=31
Y-25 165 7 141
27
Mechinagar College =3
HS(10+2)= 6
School=29
N 144 10 2977
Source: Prefeasibility Study, 2010
3.2.4 Community Based Organizations (CBOs)
Across Nepal, there are two kinds of CBOs that function as extensions of the municipal office
when it comes to implementing projects or ensuring public participation in the municipality‘s
activities. These are:
i. Users‘ Groups (UGs)
The Local Self-Governance Act 1999 (LSGA) and the related Local Government Financial
Administration Regulations 1999 (amended in 2007) require all local bodies, including
municipalities, give priority to users‘ groups while implementing projects that involve funds less
than Rs 6.5 million (LSGA, Article 265).xiii
Accordingly, all the six UGDP-targeted
municipalities implement most of their projects worth less than that amount through users‘
groups (UGs) though this figure has been reported as being less in some municipalities (e.g., in
Mechinagar it was reported as being Rs 3.5 million). The UGs generally consist of members who
are from the locality where the project is being implemented and who take the responsibility of
constructing, managing and benefiting from such projects. However, there are exceptions such as
in the case of the landfill site in Dhankuta where none of the members of the users‘ group set up
to construct and manage the landfill site, are from the project site vicinity.
A provision in the LSGA requires that all users‘ groups include at least 30 percent women, with
one woman in a leading position (chair, vice-chair or treasurer).xiv
In addition, participation of
Janajatis and Dalits is to be encouraged. Generally, however, these provisions are only nominally
enforced. Other issues regarding users‘ groups will be explored in the section on implementation.
In general, it is widely acknowledged in all six municipalities that implementation of projects
through UGs fosters greater community participation. In most cases, locals of the area also
provide matching funds. As the projects implemented in this way benefit the very people
responsible for implementing them and as they themselves have contributed their resources and
labor to the project, UGs have an incentive to closely oversee implementation and ensure that
leakages do not occur. As a result, it was widely agreed across all municipalities that projects
implemented through UGs were of a superior quality to those undertaken through contractors,
not least because very little was wasted on kickbacks or commissions.
Notwithstanding these benefits of implementing projects through UGs, there are also some
problems that need careful consideration. Many UGs face problems of limited capacity, and a
lack of technical knowledge which limits their ability to execute projects/investments that are of
a large scale. While the municipalities do provide trainings to members of UGs, these are usually
considered to be superficial and inadequate to the tasks devolved to them. This problem has
increased in recent years, as UGs have been handed large-scale and technically complex
projects/investments (e.g., roads, bridges). As a result, there is an increasing trend for UGs to
sub-contract out the whole project or parts of it to small-time contractors, which is in
contravention to stipulations in the Local Government Financial Administration Regulations.
This is mostly done without the knowledge of the municipal office, and the monitoring and
technical officials at the office find it difficult to keep a close eye on this process. It is widely
28
assumed that kickbacks and other leakages are involved in this process, though not to the degree
when the municipality contracts out projects directly.xv
ii. Tole Lane Organizations (TLOs)
TLOs are grassroots community organizations formed in each settlement cluster (tole). In the
municipalities, TLOs were initially organized through the UNDP‘s Rural Urban Partnership
Programme (RUPP) in 1997. Although RUPP came to an end in 2007 after having completed
three phases, new TLOs have either been formed throughout Nepal by replicating the RUPP
model of social mobilization, or given continuity by the municipalities after the programme was
phased out. In each of the six municipalities under study, there are more than 100 TLOs serving
as the main interface between local government and community members. Broadly speaking,
these TLOs, developed through the social mobilization process, participate in the integrated
Participatory Municipal Development Planning (PMDP) process; mobilize community members
for their socio-economic development activities through savings and credit activities,
construction and operation of community-level infrastructure projects, etc; and promote
responsive service delivery by engaging in development and social activities, especially by
promoting rural-urban linkages.xvi
The level of capacity and participation in TLOs, and the attention paid to them by the municipal
office, varies from municipality to municipality. TLOs are particularly active in Lekhnath and
the municipality has made major efforts to train them and include them in municipal activities.xvii
It appears that this is because there is an acute lack of other civil society groups in that
municipality. By contrast, only a few TLOs in Dhankuta (approximately 65 percent) and Itahari
(15 to 20 percent) are active. In the case of Itahari, it is allegedly the dominant role played by the
political parties in the municipality that has marginalized the TLOs. The situation of TLOs in
Baglung and Tansen appear to lie between these two extremes.
3.3 Historical Context
The number of places classified by the government as ―urban‖ or ―municipal‖ (these terms are
regarded as interchangeable, although Article 88 (2) of the 1999 Local Self Government Act
considers municipalities to be semi-urban areas) has steadily increased over the past six decades.
If the number of designated urban areas was 10 in 1952/54, this number went up to 58 in 2001.
This is where the number now stands. According to the LSGA, for an area to be considered a
municipality it should have a population size of at least 20,000 in the Tarai and 10,000 in the
hills/mountains, have an annual revenue of at least Rs. 5 million in the Tarai and Rs. 500,000 in
the hills/mountains and have ―minimum urban facilities such as electricity, road, drinking water,
communication and other similar urban facilities.‖ xviii
The increasing importance of urban areas in Nepal can be seen not only by their increasing
number, but also by their increasing share of Nepal‘s total population:
29
Table 3.4 Total Population by urban-rural residence and urban population as a percent of
rural population, Nepal, 1952/54 - 2001
Source: Pitamber Sharma, ―Urbanization and Development‖xix
The increasing importance of urban areas to Nepal‘s economy can be seen in the decline of
agricultural production and the increase of industrial production as a total share of GDP. ―In the
1960s, over two-thirds of GDP was contributed by the agricultural sector. In 1990/91, 55.5
percent of the GDP originated in agriculture. In 1999/2000 this has come down to 39.5
percent.‖xx
Table 3.5 Industrial Origin of GDP, Nepal 1990 – 2000
(in million NRs.)
Source: Sharma, ―Urbanization and Development‖ [MoF (2002), Economic Survey, Fiscal 2001/2002.]xxi
Despite the gradual increase in the urban areas share of population and its increasing importance
to the economy, the level of urbanization is still very low in Nepal. Further, infrastructure and
other services have not been able to cope with the influx of migrants into the urban areas. A very
large number of migrants move to the Kathmandu valley and other large towns such as Pokhara
in the hills and Biratnagar in the Tarai. It is thus necessary to develop infrastructure as well as
employment in second-tier municipalities to ensure that the flow of migrants to urban areas
across Nepal takes place on a more even and sustainable basis.
3.4 Political Context
The regime change of 1990, when autocratic monarchical rule was replaced by a parliamentary
democracy, heralded far-reaching changes in the process of decentralization. Local bodies were
granted more authority than ever before. All these changes were synthesized and formalized in
the 1999 Local Self Government Act. But the architecture of self-governance began to break
down soon after the promulgation of the act.
1952/54 1961 1971 1981 1991 2001
Urban population 238,275 336,222 461,938 956,721 1,695,719 3,227,879
Rural population 8,018,350 9,076,774 11,094,045 14,066,118 16,795,378 19,923,544
Total Population 8,256,625 9,412,996 11,555,983 15,022,839 18,491,097 23,151,423
Urban population as percent of rural population
3.0 3.7 4.2 6.8 10.1 16.2
1990/91 Percent 1995/96 Percent 1999/2000 Percent
Agriculture, Forestry, Fishery
55368 55.5 85569 35.7 144644 39.5
Manufacturing 5956 6.0 22466 9.4 33550 9.2
Construction 11078 11.1 26093 10.9 37373 10.2
Trade/Restaurant/Hotel 12902 12.9 28317 11.8 42895 11.7
Other 14393 14.4 76943 32.1 107822 29.4
Total 99702 100 239388 100 366284 100
30
Just three years after the LSGA was passed, in 2002, the entire elected leadership of local bodies
across the country was dissolved because their elected tenure, gained during the local elections
of 1998, had come to an end. Nepal was in no position at the time to hold fresh elections as a
result of the Maoist insurgency so, as a transitional measure, representatives from the centrally
controlled civil service were initially granted full administrative authority. Political
representatives were nominated to local bodies through royal decree. Although then-King
Gyanendra did hold elections to some local bodies in February 2006, these polls took place
against the backdrop of countrywide opposition to his regime, as he had seized all executive
powers a year earlier. None of the major parties participated, and only 20 percent of the
electorate voted, thus compromising the elections‘ legitimacy.
By the time the parliamentary parties, along with their new allies the Maoists, returned to power
in 2006, it was evident that many political changes had occurred in the intervening years.
Demands for self-governance and devolution of power had become so radical that they went
beyond anything envisaged in the LSGA. The political class accepted these demands, and it was
declared that Nepal would be federalized. The LSGA of 1999 thus lost its authority less than a
decade after its promulgation.
The Constituent Assembly (CA) that first sat in 2008 is meant to devise the new framework that
is to govern Nepal‘s new federal structure. As an interim measure, the political parties have set
up transitional arrangements as outlined above in the section ―Institutional Context.‖ As
mentioned, these arrangements suffer from capture by dominant political parties and a lack of
accountability. In the meantime, the CA is nowhere close to producing a framework for the new
state structure. Political turmoil at the centre also means that it is highly unlikely that local
elections will be held in the foreseeable future. When the parties do finally come around to
debating the nature of federalism and begin implementing it, conflict may arise at the local
levels, the precise form of which it is not currently possible to determine.
31
4. KEY SOCIAL RISKS AND OPPORTUNITIES This section discusses about the likely social risks, impacts and anticipated opportunities after
the intervention of the various (sub) project activities of UGDP: Nepal Emerging Town Project
(NETP) as per the prefeasibility study.
4.1 Social and Political Economic Risks2
The domination of all municipal activities by the political parties and the Executive Officer, and
the extremely limited involvement of civil society, CBOs or the general public, is perhaps the
single most important factor that could cause problems in the implementation of the UGDP. This
state of affairs encourages the tendency for parties to treat municipal resources as sources of
patronage. The mitigation of this risk will require that various safeguard measures be put in place
to provide community ownership of the project as well as help nurture democratic institutions at
the local level, especially civil society groups, TLOs and users‘ groups.
In addition, there is also a tendency for parties to distribute funds for projects that will bring
them partisan benefit. This has, to some extent, led to a situation where projects are selected
more for the immediate demands of the parties‘ constituencies rather than for the long-term
requirements. Relying exclusively on the municipalities for the implementation of the project,
without effective mechanisms for checks and balances and a strong provision for monitoring
from the center, is likely to make these power-holders only stronger instead of reducing the
entrenched social inequalities present in the municipalities.
Further, when these municipalities receive large sums through the UGDP, it opens the
possibilities for municipalities to transgress into activities or arrangements that would cause it to
compromise on governance issues and fiscal management. The influx of a large amount of funds
through the UGDP could also lead to an increase in tensions and competition between various
groups, including political parties, for access to resources. If it is perceived that the resources
brought by the UGDP have benefited certain sections of the population, resentment may arise
among those from marginalized groups or areas. In addition, there is a possibility of rising
corruption may with the increase in municipal funds through the UGDP.
Another risk factor is the absence of Madhesi towns amongst the six targeted municipalities
selected for the project. As mentioned earlier, while Mechinagar and Itahari lie in the Tarai
districts of Jhapa and Sunsari respectively, they are dominated by Pahadis and are considered
Pahadi towns. These two also experienced a significant influx of Pahadis in the aftermath of the
Madhes movement of 2007. With Madhesi parties now well established as one of the important
players in Nepal‘s political landscape, the exclusion of Madhesi towns is also likely to
undermine the credibility of the project.
2 This section has been adapted from a World Bank Study-- ―the Nepal Emerging Towns Project (NETP) Local
Political Economy and Post-Conflict Situational Analysis‖ by Aditya Adhikari and Bandita Sijapati, December,
2010
32
4.2 Likely Social Impacts and Issues
While the social impacts and risks identified are preliminary in nature, potential for occurrence
has to be ascertained during further stages of project design and implementation. Sub-projects
undertaken for development purposes and to overcome infrastructure problems in the urban areas
may require forcible relocation of residents especially from slums and other areas of congestion,
causing severe adverse social and economic impacts. The problem becomes exacerbated when
the rights and entitlements of these people are not recognized in the local laws and resettlement
policies. Due to this it becomes the responsibility of the project implementing authorities to see
that the sub-project plan takes into consideration the potential social impacts on the people
before considering the sub-project for implementation. Poverty related goals would remain
elusive unless development planners and municipal administrators address resettlement issues
with empathy with no less importance and attention to urban development goals.
The prefeasibility studies have identified types of socioeconomic infrastructure that the
municipalities are likely to develop and some of these may have negative social fallout on
families and individuals in the form of loss of land, loss of structures, loss of livelihood/income,
loss of crops/trees and loss of community infrastructure and public utility lines. Further, issues
related to vulnerable groups such as the urban poor, women, socially and historically
disadvantaged groups such as Dalits and indigenous people forms another dimension of social
risks and problems.
An assessment of the likely impacts has been made to determine possible consequences of sub-
project interventions by consulting with the local stakeholders. The consultations with the local
stakeholders show that physical losses and adverse impacts arising from specific sub-project
interventions can be in the form of:
1. Loss of land - agricultural/homestead/commercial/community
Land acquisition leads to loss of land and displacement of people who are affected by the
sub-project under implementation. Loss of land refers to several types of impacts and
displacements, the commonly discussed impacts are:
Loss of agricultural land that includes loss of arable land, standing crops; this also
leads to loss of improvements and crops on land.
Loss of traditional land rights and subsistence income for indigenous or tribal
people, which forces them to a vulnerable state, losing their property rights
cherished and being utilized for generations
2. Loss of structures - permanent/temporary
Loss of built up property would broadly refer to change in housing typology and
occupancy level, change in demand pattern, valuation of built up properties. Change in
house or living quarters, other physical structures, structures used in
commercial/industrial activity, displacement from rented or occupied commercial
premises and educational organizations and institutions, loss of community centers,
markets and health centers
3. Loss of public facilities/community infrastructure
Loss of public utility lines would refer to relocation or realignment of utility lines like
water supply lines, sewerage network, and telephone and power supply cables before the
start of the sub-project or during sub-project execution phase that may affect the people
33
who are using the services in the form of damage to the public utility lines, variation in
supply, blockage or choking, shift of demand on other systems or network, etc.
4. Loss of livelihood
Loss of livelihood would refer to, a person who stands to lose his / her source of income
due to the impact of the sub-project. Loss of primary occupation or source of income as
recorded in the census. Loss of livelihood through loss of job or job opportunities
primarily in urban areas affects people such as artisans or service providers like barbers,
washerwomen or men, shopkeepers, shop workers and small businesspersons
5. Loss of Productive Assets
It includes all assets, which are used in management and utilization of any economic
activity and occupation
6. Loss of access to urban civic services
During the construction activities or even during the maintenance phase of certain sub-
project access and also public utility lines along the road corridors or any other subproject
site may be limited or disrupted for the time period. There could be change in the
probability of accidents and congestion or disruption of traffic or there could be impact
on cemeteries, and burial sites causing problems to the public. After losing the common
resources the affected people may end up exploiting the host population. This may lead to
social tensions and environmental deterioration.
7. Loss of cultural property
A cultural property includes properties valued for their cultural, religious or social
significance by the local community or any relevant stakeholders or any agency
established by law to conserve cultural heritage. Following are the possible impact that
leads to the loss of cultural property.
Damage of structures due to movement or due to the collision of heavy machinery
/ equipment during the construction phase.
Damage of structure from the vibration or due to the air pollution due to the
operation of heavy machinery / equipment. Damage of site due to improper waste
disposal.
Loss of shrines, other religious symbols or sites, places of worship (church,
temple, mosque, stupas ).
8. Loss of Vulnerable Groups
Although all sub-project-affected people may face hardships, the various vulnerable
groups like women, children and social disadvantaged groups could be more affected as
they have been discriminated against and exploited in the past. Vulnerability as such
needs to be understood in a larger perspective of social processes of change. One of the
main reasons for the vulnerability of the historically disadvantaged groups like the Dalits
is that they have very little legal entitlement or ownership of private property. They are
mainly dependent on community property resources or natural resources. Therefore
consequences of displacement on historically disadvantaged groups include adverse
conditions of living due to land alienation, inability to continue their traditional
occupation, dismantling of old production systems leading to increased economic
hardship and dispossession in social, cultural and political spheres. Under the project, the
following groups can be considered as members of a vulnerable group.
Dalit Castes;
34
Indigenous Population;
Physically Challenged/Handicapped;
Woman-headed households; and
Low income group households below the poverty line
Children and the elderly, who could also be considered as members of the
vulnerable groups, may also be eligible for assistance and support mechanisms
under the collective category, if found necessary in subsequent stages of
investigation.
9. Issues of Indigenous People The term ―indigenous people‖ (adibasi/janjati ) describes social groups with a social and
cultural identity distinct from the dominant society that makes them vulnerable to being
disadvantaged in the development process. These are the marginal segment of the
population who engage in economic activities ranging from shifting agriculture in or near
forests to wage laborers or even small-scale market oriented activities. Social
disorganization may take place with the type of changes that are brought about by the
displacement process. The traditional social control mechanisms may be weakened and
even lost. Consequently social tensions may increase. Often the oustees, experience the
loss of self-esteem as individuals and as communities, when confronted with
development and modernization. When dealing with these groups it is important to
consider the following aspects and plan to avoid any adverse social impacts.
Close attachment to ancestral territories & to natural resources
Self-identification & identification by others as members of a distinct cultural
group
Indigenous language, often different from national language
Presence of customary social & political institutions
However, with improvement of drinking water schemes, drainages and sanitation services, road
and land management, the project is expected to result in improved socioeconomic and health
benefits for the local people in general and indigenous and vulnerable peoples in particular. The
Table 4.1 summaries the likely nature of impacts and social risks resulted during and after the
implementation of the subproject activities in each participating municipalities.
Table 4.1 Likely Nature of the Impacts and Corresponding Affected Population
Municipalities Projects Likely Nature of Impact/Risk Benefited
Population
Mechinagar 1. City Vestibule Development
and Traffic Enhancement
Measures
Recently proposed by Mechinagar :
Construction of Devkota Park with
Ghanta Ghar and Mini Market
Acquisition of private land and
buildings
Removal of squatters and encroachers
from the footpaths causing livelihood
losses – even though they are illegal
Loss of shelter for temporary shops /
residences of the squatters and
encroachers.
There might be lacking of capacities of
municipal administration to address the
social issues related to R&R and IPs
that may arise due to the project.
Not Known Now
(NKN)
35
Ownership Issues ( Land Development
Company to Municipality
Rehabilitation of Mahendra Duwar
Cooperative before construction of
minimarket
Size of the Minimarket determine the
requirement of IEE or EIA
2. Urban Agriculture Land
Development
Recently proposed by Mechinagar :
Black topping of Gokul Road (from
Itabhatta to Antu, Ilam), Integrated
project( Ninda Tmai River training ,
Patal Ganga development )
Land acquisition for transportation and
other purposes may cause R&R issues
Loss of productive assets and livelihood
of the marginal holders
A number of community infrastructures
such as irrigation system, foot trails,
cattle track, water supply sources and
water supply pipes, chautari, temple etc.
may be disrupted during
implementation of the sub project
Municipal staff may have little or no
exposure to social assessments and
appreciation towards R&R and may
consider it cumbersome.
Acquisition of private land and
buildings
Removal of squatters and encroachers
from the footpaths causing livelihood
losses – even though they are illegal
Few buildings and small houses of
Rajbanshis ( IP of Jhapa) need to be
removed
NKN
Dhankuta 1. Water Supply Augmentation &
Management Conflict may arise in terms of water
using rights and ownership of the
sources between Hele and Dhankuta
user groups
Risk of exclusion of vulnerable
communities
Community participation may be low
due to the provision of compulsory
contribution of all users
Municipal staff may have little or no
exposure to social assessments and
appreciation towards R&R and may
consider it cumbersome.
The entire
population of the
municipality except
8 and 9 wards.
2. Construction/rehabilitation of
13 KM black topped road from
Triveni to Yakchana Ward No
7/8
Acquisition of private land buildings in
commercial location( entry point)
36
Itahari 1. Detailed designed and
Construction of Inner Ring
Road ( IRR)
Acquisition of private land buildings
Removal of squatters and encroachers
from the footpaths causing livelihood
losses – even though they are illegal
Loss of shelter for temporary shops /
residences for squatters and encroachers
Risk of exclusion and participation (as
the road passes through different types
of communities characterizes by
varying incomes, the same contribution
by each community may not be
applicable.
There might be lacking of capacities of
municipal administration to address the
social issues related to R&R and IPs
that may arise due to the project.
The project is expected to enhance the
road excess and economic opportunities
for the city residents.
The proposed ring
road indirectly
benefits the entire
population of the
municipality and the
passer byes. The
direct beneficiary is
estimated to be 35 %
of the total
population (75000 in
2010) those who will
be using the roads
regular basis.
2. Construction of Surface
Drainage in the Core City Area There might be a loss of public utility
services due to improper planning
delays in restoring and reconstruction
of the disturbed and lost public utility
lines and causing inconvenience in the
towns
Loss of access to urban civic services
and common property resources. Such
impact is often seen in the construction
stage. Delays in reconstructing the lost
structures and services after the
construction
The project is expected to enhance the
environment of the area and ultimately
the image of the city.
The proposed
drainage project
indirectly benefits to
the entire population
of the municipality
and the passer byes.
The direct
beneficiary is
estimated at 33% of
the total population
(75,000 in 2010)
Lekhanath 1. Conservation of Lakes and
Tourism Development Removal of squatters and encroachers
from the vicinity of lakes causing
livelihood losses – even though they are
illegal
Loss of shelter for temporary shops /
residences of squatters and encroachers
Loss of shrines, other religious symbols
or sites, places of worship may occure
The project expected to promote
conservation of lakes, wetlands and
surrounding forests for tourism
development providing economic
opportunities for local people.
Municipal staff may have little or no
exposure to social assessments and
appreciation towards R&R and may
consider it cumbersome.
In a true sense, all
the population
within the
municipality and
surrounding VDCs
would be benefitted
through the process.
However, the
directly benefitted
population is
estimated to be
around 42% of the
total population (
60000 in 2010)
37
2. Effective Land Management Land acquisition for transportation and
other land development purposes may
cause R&R issues
Loss of productive assets and livelihood
A number of community infrastructures
such as irrigation system, foot trails,
cattle track, water supply sources and
water supply pipes, chautari, temple etc.
may be disrupted during
implementation of the sub project
Risk of exclusion and participation (as
the project will be lunched in a diverse
community setting characterizes by
varying income and land holding size,
the same contribution by each
household may not be suitable.
The direct
beneficiaries of this
project are the
landowners within
the project area. The
number of
landowners cannot
be accessed now.
However, some
rough estimation can
be made by the
number of parcels. A
total of 8,387 people
would be directly
benefitted after the
development of 921
ha with the
presumption of
parcel to landowner
ratio being 1:1.
Baglung 1. Improvement to the Ring Road Loss of public utility services due to
improper planning delays in restoring
and reconstruction of the disturbed and
lost public utility lines and causing
inconvenience in the towns
Loss of access to urban civic services
and common property resources due to
delays in reconstructing the lost
structures and services after the
construction
Community participation may be low
due to the provision of compulsory
contribution (Rs 7400.00/HH) of all
users.
The project is expected to enhance the
environment of the area and ultimately
the image of the city.
Wards 1,2,3,4 and
11 are the main
urban areas where
2/3rd of the total
municipality
population
(including estimated
10,000 rental
population) live. It is
estimated at 60% of
the total municipal
population will
directly benefit from
the project.
2. Run off Diversion and City
Drain Rehabilitation Acquisition of private land and
buildings
Removal of squatters and encroachers
from the footpaths causing livelihood
losses – even though they are illegal
Loss of shelter for temporary shops /
residences for squatters and encroachers
Risk of exclusion and participation
vulnerable section of the society (as the
road passes through different types of
communities characterizes by varying
incomes, the same contribution by each
household may not be justifiable.
There might be lacking of capacities of
municipal administration to address the
social issues related to R&R and IPs
that may arise due to the project
The ring road
indirectly benefits to
the entire population
of the Municipality
and many in the
surrounding VDCs.
The direct
beneficiary is
estimated by the
Municipality to be
46% of the total
population of
Baglung.
Tasnsen 1. City Conservation and Tourist
Development Loss of incomes and livelihood while
shifting of existing shops and offices
The entire
municipality shall be
benefitted by the
38
from Durbar Square Area may come
up.
Loss of shrines, other religious symbols
or sites, places of worship may occur
There might be a loss of public utility
services due to improper planning
delays in restoring and reconstruction
of the disturbed and lost public utility
lines and causing inconvenience in the
towns.
Municipal staff may have little or no
exposure to social assessments and
appreciation towards R&R and may
consider it cumbersome.
program. The city
core people shall
directly benefit
through the
expansion of the
tourism trade, and
the rural people of
the municipality
shall be benefitted
by the increased
production and
selling of
agricultural and local
products to the town
2. Water Supply Optimization and
Management Conflict may arise in terms of water
using rights and ownership of the
sources
Risk of exclusion of vulnerable
communities while selecting the
households for rain water harvesting
Community participation may be low
due to the provision of compulsory
contribution of all users.
The beneficiary
population is the
people of all wards
except 11 and 12,
where the
distribution from
existing system is
available. However,
the rainwater
harvesting may be
extended to the
entire municipality.
The foregoing description of the impacts portrays a generic picture of the social attributes to be
verified during the feasibility and details study of the sub-project. Considering that the scale and
size of possible activities to be covered under UGDP: NETP will very likely be small in terms of
land acquisition and effects on Indigenous and other vulnerable people, no requirement of
preparing full RAP and VCDP is expected. Nonetheless, the list provides sufficient information
for social screening. As outlined in chapter 8, if the subproject passes the criteria and no further
social impact studies are required to prepare RAP and VCDP, the checklist should be used to
identify relevant and social concerns. This information should be used to design the best
environmental and engineering practices to avoid or mitigate any adverse environmental and
social impacts.
Furthermore, this framework commits the project authorities to minimize the displacement and
to ensure a fair, efficient and transparent way of dealing all matters relating to land acquisition
and involuntary resettlement including loss of assets and other adverse impacts on PAPs due to
the socioeconomic infrastructure projects.
4.3 Stakeholder Analysis
Stakeholders are people, groups, or institutions, which are likely to be affected by the proposed
project (either negatively or positively), or those which can affect the outcome of the project.
39
Generally a distinction is made between two kinds of stakeholders, the primary and secondary
stakeholders. The primary stakeholders are the stakeholders who are directly affected, either
positively or negatively by the project. As such, the primary stakeholders of UGDP: NETP
include the intended users of the improved service deliveries and developed socioeconomic
infrastructures and facilities; in other words the intended beneficiaries of the project. The
secondary stakeholders are central government and donors but also include local NGO‘s, private
sector entrepreneurs, local governments and political parties. Thus, the secondary stakeholders
are stakeholders, which play some intermediary role and may have an important effect on the
project outcome. Overall, the UGDP: NETP has following stakeholders at different levels:
Ministry of Physical Planning and Works (MPPW): It acts as lead executing agency of the
project. It represents GoN, chairs the project Steering Committee (SC), carries inter ministerial
coordination. It works with municipalities through the Department of Urban Development and
Building Construction (DUDBC), the Department of Water Supply and Sewerage (DWSS), and
Town Development Committees (TDC's). The major responsibilities of the Ministry are: (i)
development of the national strategic transport network particularly of the road network, (ii)
housing and urban environmental improvements and (iii) increased access to water supply and
better sanitation facilities.
Ministry of Local Development (MLD) is the co executing agency and represents SC as co-
chair at the national level. It is the focal organization for local development, supervising 75
DDCs, 3913 VDCs and 58 municipalities. MLD's main functions are to implements the LSGA,
co-ordinate local governments bodies, and execute administrative and development grants for
local development. MLD deputes its staff to municipalities. The MLD will implement the
Service Delivery Improvement component of the project, which will top up existing block grants
to the municipalities, to help local authorities maintain minimum service delivery standards,
provide adequate O&M support to existing assets, and address routine urban management issues.
MLD will also be responsible for implementing activities associated with its institutional
development.
The Town Development Fund (TDF): it is a state-owned corporate body established in 1989
and will manage Socio-economic Infrastructure Development component of the project under its
regular product lines and standard operations. It will support expansion/rehabilitation of essential
infrastructure/services for which the municipalities are responsible. The selection of investment
priorities will be undertaken by each municipality based on a comprehensive socio-economic
development plan (periodic plan, where relevant) that is prepared in consultation with local
stakeholder groups, including the all party mechanism. The TDF will manage the fund; appraise
sub-projects selected by the municipalities for their technical and financial feasibility; and assess
the ability of municipality to meet its financial obligations associated with the investments. The
TDF has been assisting municipalities in project initiation, feasibility studies, engineering design,
and project implementation; it also performs due diligence in project appraisal, disbursement and
civil works.
Department of Urban Development and Building Construction (DUDBC): Under MPPW,
the Department of Urban development and Building construction (DUDBC) hold responsibilities
relating to housing and physical planning and building construction. The regional offices in the
five development regions and in 75 districts are responsible to the DUDBC at the central level.
40
DUBC seeks to develop planned and organized urban settlements with the provision of
employment opportunities and basic physical facilities in a cost effective way. For UGDP:
NETP, the DUDBC will implement Institutional Development (ID) activities for the
municipalities and the department itself. A key element of this will be the Municipal Support
Team (MST)—a mobile team of experts which will provide on-demand and in-time
backstopping support and on-the-job training to the municipalities and will be steered by the
responsible ID Component Manager.
The national level stakeholders with indirect responsibilities in the project include the ministry of
finance, population and environment, health, education, and industry, commerce and supply,
which perform their respective sectoral functions with implication for urban development and
management. Nepal Water Supply Corporation, Nepali Electricity Authority and Nepal
Telecommunication Corporation are corporate bodies responsible respectively for providing
services of water, power supply, and telecommunications.
Municipalities: Nepal has a two-tier local governance structure with District Development
Committees (DDC-75) on the top tier and, below, municipalities (58) and Village Development
Committees (VDC-3913). The Municipalities and VDCs are formed on the basis of popular
voting. For UGDP: NETP, the participating six municipalities represent two members to the SC,
implement subprojects ((design and construction) under its jurisdiction, balance the project with
other works of the municipality, select sub-projects and implement, formulate policy and
programs, work for the project in the improvement of service delivery, socio-economic
infrastructure and institutional development, coordinate with the key stakeholders: all party
mechanism, CBOs, UCs, NGOs, private sectors in effective municipal development; and engage
the project municipalities‘ staff, citizens and key stakeholders in the program and activities. The
project will be implemented at the municipality level largely through existing systems, but with a
focus on strengthening them.
Users’ Groups (UGs): The UGs generally consist of members who are from the locality where
the project is being implemented and who take the responsibility of constructing, managing and
benefiting from such projects. The Local Self-Governance Act 1999 (LSGA) and the related
Local Government Financial Administration Regulations 1999 (amended in 2007) require all
local bodies, including municipalities, give priority to users‘ groups while implementing projects
that involve funds less than Rs 6.5 million (LSGA, Article 265). A provision in the LSGA
requires that all users‘ groups include at least 30 percent women, with one woman in a leading
position (chair, vice-chair or treasurer). In addition, participation of Janajatis and Dalits is to be
encouraged..
Tole Lane Organizations (TLOs): TLOs are grassroots community organizations formed in
each settlement cluster (tole). In the municipalities, TLOs were initially organized through the
UNDP‘s Rural Urban Partnership Program (RUPP) in 1997. Although RUPP came to an end in
2007 after having completed three phases, new TLOs have either been formed throughout Nepal
by replicating the RUPP model of social mobilization, or given continuity by the municipalities
after the program was phased out. In each of the six municipalities under study, there are more
than 100 TLOs serving as the main interface between local government and community
41
members. Broadly speaking, these TLOs, developed through the social mobilization process,
participate in the integrated Participatory Municipal Development Planning (PMDP) process;
mobilize community members for their socio-economic development activities through savings
and credit activities, construction and operation of community-level infrastructure projects, etc;
and promote responsive service delivery by engaging in development and social activities,
especially by promoting rural-urban linkages.
Adivasi Janajati People: They are communities having their own territory, own mother tongue,
traditional rites and customs, distinct cultural identity, distinct social structure and written or
unwritten history. They are considered to be disadvantaged group as their presence in all level of
governance is low in terms of their population. Rajbanshi, Kisan, Rai, Limbu, Tamang, Gurung,
Magar, Newar, Majhi are the adivasi and janajait communities found in the participating
municipalities.
Dalits: They are defined as those Hindu castes of people of Nepal who were categorized as
untouchables in the Old Civil Code of 1853 until the promulgation of New Civil Code of 1962.
The National Dalit Commission has defined the term 'Dalit‘ as ‗those communities who by virtue
of atrocities of caste-based discrimination and untouchability, are most backward in social,
economic, educational, political and religious fields, and are deprived of human dignity and
social justice. Kami, Damai, Sarki, Kusule, Dum, Chamar, Dhobi are the main Dalit groups
found in the UGDP project sites.,
Private Sectors: The Ninth Five year Plan and LSGA set out policies to foster the participation
of private sector in development activities, including the provision, operation and maintenance of
urban facilities, service and infrastructures. Accordingly, the project intents to involve private
sectors to support the efforts of local government in managing and maintaining municipal
services and facilities. The private sector represent to the SC from FNCCI, coordinate with trade
and commerce sectors which maybe individual and corporate organizations. The private sectors
support to implement the project, collaborate with work for the project in the improvement of
service delivery, socio-economic infrastructure and own organization development, coordinate
with the key stakeholders in effective municipal development.
Civil Society: The civil societies represents to the SC for policy input and to the municipalities
for implementation of the project components with their cooperation, coordinates with civil
society organizations for municipal development, and engage in the project program and
activities. The CSOs will cooperate the capacity building of various types of CSOs (CBOs, UCs,
NGOs and others) at municipal level under the project components. The CSOs have a great role
to play in urban service delivery and governance.
General Public and Residents of the Participants Municipalities: These included general
people, city residents, user groups, or communities which are likely to be affected by the
proposed project (either negatively or positively). Particularly, it includes the intended users of
the improved service deliveries and developed socioeconomic infrastructures and facilities; in
other words the intended beneficiaries of the project.
Mass Medias: Local, regional and central level medias can play pivotal role to bring a clear and
common understanding on the objective and scope of the Project amongst all stakeholders. They
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can play an important role in creating awareness, mobilizing people and making the preparation
and implementation participatory. They can play a critical role to ensure transparency in
implementation of the programs at the field level by promoting the concept of accountability and
social audit.
Donors (World Bank, GTZ): Provide required financial resources for the project in the forms
of loan/grant to GoN. Supervises the overall project implementation and reviews and issues no-
objection to procurement and disbursement documents.
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5. REVIEW OF LEGISLATIVE AND REGULATORY
REQUIREMENTS
Land acquisition, compensation and resettlement are crucial issues concerning development
projects in general and urban development projects in particular, as the latter are usually justified
in terms of the macroeconomic perspective against the local socioeconomic and environmental
costs in which they are located. This situation strongly demands for an appropriate resettlement
policy and implementation mechanisms. The major objective behind addressing resettlement
issues is recognizing human beings as primary stakeholders and ultimate beneficiaries of
development projects. This Chapter provides a summary of national legislation and policies and
best practice guidelines pertaining to land acquisition, resettlement and rehabilitation.
5.1 Review of Relevant Laws and Polices of Nepal
5.1.1 Resettlement Policy and Legal Measures on Land Acquisition
In Nepal, there is legislation covering land acquisition/appropriation and constitutional
guarantees to the right to property and the right to compensation for property acquired under the
law. In 2006, the country‘s National Planning Commission (NPC) prepared a policy on land
acquisition, compensation and resettlement called The National Policy on Land Acquisition,
Compensation and Resettlement in Development Projects in Nepal. However, Nepal does not
have legislation that specifically addresses involuntary resettlement. Nevertheless, resettlement
has been addressed on a project specific basis as per the guidelines of World Bank since late
1980s and ADB since the beginning of 1995.
The Interim Constitution of Nepal 2063 (2007)
Article 19 of the Interim Constitution (2063 (2007)), Right to Property, states that (1) ―Every
citizen shall, subject to the laws in force, have the right to acquire, own, sell and otherwise
dispose of the property. (2) The State shall not, except in the public interest, requisition, acquire,
or create any encumbrance on the property of any person. Provided that this clause shall not be
applicable on property acquired through illegal means. (3) Compensation shall be provided for
any property requisitioned, acquired or encumbered by the State in implementing scientific land
reform program or in public interest in accordance with law. The compensation and basis thereof
and operation procedure shall be as prescribed by law.‖
National Policy on Land Acquisition, Compensation and Resettlement, 2006
The National Policy on Land Acquisition, Compensation and Resettlement in Development
Projects in Nepal was prepared in September 2006 by the National Planning Commission (NPC)
with ADB assistance. The Policy was approved by a ministerial working committee and the NPC
but its finalization is still awaiting approval from the concerned government agencies, cabinet
and the parliament. The Policy has the following guiding principles:
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Appropriate and adequate compensation for the loss of assets or income is a fundamental
right of all project affected persons. Physically displaced people must be relocated with
basic amenities such as school, health posts and other facilities.
All affected persons should be assisted to restore at least their pre-project income and
livelihood sources.
The absence of legal title to land should not be a bar for compensation, resettlement and
rehabilitation assistance.
Vulnerable groups such as Janajati/Adivasi, Dalits, landless, women, especially women-
headed households, differently-abled, poverty groups and senior citizens are entitled to
special benefit and assistance packages in addition to compensation and resettlement.
Drawing upon the provisions of the ADB‘s and World Bank‘s involuntary resettlement policies,
and building on current resettlement practices in the country, the Policy establishes a range of
compensation entitlements for people affected by development projects. Amongst others, this
includes:
cash compensation at full market value (equivalent to replacement value) for all acquired
land if the provision of replacement land is not feasible; with the stipulation that a person
who becomes a marginal landholder as a result of land acquisition should be provided
with replacement land of equivalent productivity or value;
cash compensation at replacement cost for the loss of all structures (residential, business
and other structures), with no deduction for depreciation or for salvageable materials; or
provision of a replacement house;
cash compensation for private trees based on the annual value of the produce;
compensation for the loss of income from rented buildings;
cash compensation for the loss of standing crops; and
compensation to registered tenants and sharecroppers, equivalent to 50% of the
compensation for the concerned area of land and lost crops.
The Policy states that squatters and non-titled landholders are not entitled to compensation for
the land they occupy. However, those who have earned their livelihoods from access to/use of
the land for more than three years prior to the project‘s compensation cut-off date should,
wherever possible, be provided with replacement land on a lease basis. They should also be
assisted in their efforts to legalize their tenure in order to qualify for compensation.
Rehabilitation measures proposed by the Policy include:
proper resettlement planning, including developed relocation sites with amenities/easy
access to amenities;
for resettled farming communities, homesteads sites of sufficient size for storage of
agricultural produce, keeping of livestock and for kitchen gardens;
employment on the project, where possible, to at least one member of each affected
household, with half of the employment opportunities reserved for women; and
additional relocation and rehabilitation support measures, particularly to displaced
households, severely affected households, women and vulnerable people.
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Land Acquisition Act, 2034 (1977)
The Land Acquisition Act (LAA), 2034 (1977), first promulgated in 1961 (Land Acquisition
Act, 2018) is the core legal document to guide tasks related to land acquisition and resettlement
activities in Nepal. There is provision in Clause 3 of the Act to acquire land for any public
purpose, subject to the award of compensation. According to Clause 4, institutions seeking land
acquisition may also request GON to acquire the land under the regularity provisions subject to
be compensated by such institutions' resources. Clause 27 of the Act provides provisions for land
acquisition through the mutual agreement with the plot owners, where the process of land
acquisition as per Act is not required. The Act grants the plot owner the right to choose between
a mutual agreement process, or the formal process for land acquisition as per the Act. Where
Clause 27 is enacted, and the plot owner not satisfied with the compensation agreement offered,
Clause 18 (sub-clause 2) states that the owner can file a complaint with the Ministry of Home.
While acquiring land, GoN forms a Land Acquisition and Compensation Fixation Committee
(LACFC) under the chairmanship of Chief District Officer (CDO) of the restrictive districts as
per the Clause 13 of the Act. The other members to be included in the Committee comprise of
the Chief of Land Revenue Office (LRO), an Officer assigned by CDO, representative from
District Development Committee (DDC), Concerned Project Manager, and VDC representative.
The Project Chief functions as the Member Secretary of the Committee. In addition, it has
become the practice to include representatives from the Affected Persons (APs). This practice of
fixing compensation is known as Community Consensus Valuation (CCV). LACFC determines
the amount of compensation considering the following factors: current price of land value, value
of standing crop, houses, walls, sheds or other structures, loss incurred as a result of shifting
residence or place of business, and consider relevant acts and periodic guidelines of GoN.
According to Clause 6, if the land has to be acquired for institutions other than the local
governance bodies and institutions fully owned by the government, the Committee has to
consider the following in fixing the compensation amount: (i) Price of land prevailing at the time
of notification of land acquisition; (ii) Price of standing crops and structures; and (iii) Loss
incurred by the AP by being compelled to shift his or her residence or place of business in
consequence of the acquisition of land.
The Clause 9 sub-section 3 of the Act mentions that the duration of compensation days will be
determined by LACFC. Clause 37 of the Act illustrates that the Committee may extend the
period of additional three months, if compensation are not collected by those affected. After
termination of extended three months period the amount will be deposited to the Government
account.
The compensation to be provided for land acquisition should generally be in cash as per current
market value. However, there is also a provision under Clause 14 to compensate land for-land
provided government land is available in the area. The Act also envisages the possibility of two
separate rates of compensation, distinguishing between families who lose all their land and those
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who lose only some part of their landholdings. As stipulated in the Clause 10 there is provision
for the affected households to take the crops, trees and plants from land and salvageable from the
structures. Clause 39 indicates options to allow the affected households to take all salvageable
assets without deduction of any costs from the affected households. Legal tenants of the land are
entitled for 25% of compensation amount of the acquired land. If the tenant has built house also
with the consent of the landowner, then he shall be entitled for full compensation of such house
(Clause 20). Unpaid government taxes, if any, could be deducted from the compensation amount
(Clause 21)
Any grievances and objections will be referred to the Grievances Redress Committee (GRC) as
per Clause 11 of the Land Acquisition Act, 2034 (1977). The Act assigns the CDO as the sole
responsibility to chair land acquisition activities and to address the grievances related to the
Resettlement Plan (RP) implementation activities.
Land Reform Act, 1964
Another key legislation in Nepal related to land acquisition is the Land Reform Act (LRA) 2021
(1964). This Act establishes the tiller's right on the land, which he is tilling. The LRA
additionally specifies the compensation entitlements of registered tenants on land sold by the
owner or acquired for the development purposes. The most recent Act Amendment (2001)
established a rule that when the State acquires land under tenancy, the tenant and the landlord
will each be entitled to 50 percent of the total compensation amount. Tenants are verified
through a record of tenancy at the Land Revenue Office.
Guthi Corporation Act, 1976
Land acquisition must also comply with the provisions of the Guthi Corporation Act, 2033
(1976). Section 42 of this Act states that Guthi (religious trust land) acquired for a development
must be replaced with other land, rather than compensated in cash.
Forest Act, 1993
The Forest Act, 1993 recognizes the importance of forests in maintaining a healthy environment.
Section 49 of the Act prohibits reclaiming lands, setting fires, grazing, removing or damaging
forest products, felling trees or plants, wildlife hunting and extracting boulders, sand and soil
from the National forest without prior approval. Clause 68 (1) of the Forest Act 2049 (1993)
states that the government may permit the use of any part of government-managed forest,
leasehold forest or community forest, if there is no alternative for the implementation of a plan or
project of national priority without significantly affecting the environment. According to the
clause 68 (2), if any loss to persons or community is involved while permitting use of such land,
it is required to compensate the loss.
Water Resources Act, 1993
The main objective of the Water Resources Act is to make legal arrangements for determining
beneficial uses of water resources, preventing social, environmental and other hazardous effects
thereof and also for keeping water resources free from pollution.
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Section 16 has a provision for land acquisition from government or public for the construction of
a water resource projects. If the project has been performed by Government of Nepal or a
licensee, Government of Nepal may prohibit to use the premises of a house or land located in the
area where such construction work is performed or the premises of a house or land located in the
prescribed distance from such place of construction by any other person for any specified
purpose. Government of Nepal or the licensee shall pay compensation, as prescribed under Land
Acquisition Act, 2034(1977) to the concerned person for such damage or loss caused due to such
prohibition.
Local Self-Governance Act, 1999
The Clause 258 in the Part – 5, General Provisions relating to Local Body Chapter – 3,
Miscellaneous has provision of land acquisition. The Clause states that in case the Local body
has to acquire land to carry out any development and construction works within its area, it may
acquire the land required for that work by following the requirements of the prevailing law and
providing compensation to the concerned land-owner for the land.
Town Development Act 1988
The Town Development Act 1988 provides the legal basis for implementing town development
plans. The Act has empowered both the central and local government agencies to carry out the
land pooling projects. The Local Self Governance Act 1999 also provides the municipalities and
the Village Development Committees to carryout town development plans but it is not
comprehensive enough to carry out town planning as compared to the Town Development Act
1988.
According to Town Development Act 1988, clause 12.1.1, the government can acquire pieces of
land to integrate them to add facilities and services and the Town Development Committee can
reimburse its investment by selling the developed plots of land and transferring the remaining
land to the original landowners. According to clause 5.2 of the Town Planning Directives 2005,
there is a provision to distribute the plots to marginal and excluded communities, with certain
conditions.
Public Road Act, 1974
The Public Road Act is the governing legislation for construction and operation of roads in
Nepal. The Act prohibits the construction of permanent structures (buildings) in a defined
distance from the rural road, i.e., the road agency has the authority over everything within the
right of way. The act makes provision for cases where road projects temporarily require land
and/or other properties during construction, rehabilitation and maintenance. A Compensation
Fixation Committee CFC determines compensation in case of loss of assets, business or
production. Provisions are also detailed for compensation for the extraction of construction
materials. Article 19 of the Act mandates requirement of permission from the Department of
Roads to carry out activities within the limits of the road boundaries. As per Article 29, local
governmental offices have to give notice to the Department of Road (DoR) prior to the start of
activities in the limits of the public roads.
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The Act empowers DoR to acquire any land on a temporary basis (for storage facilities,
construction camps, etc.) during road construction and upgrading. The temporary acquisition of
land containing any buildings (e.g. houses, sheds, temples and schools) is avoided wherever
possible. The Act also empowers DoR to ―lift earth, stone or sand from any adjoining land‖
during construction and upgrading works.
The Act does not provide for leasing of land. However, DoR is required to pay compensation for
any damages caused to buildings, crops and trees, where the farming activity of the landowner is
interrupted, and where the landowner has to incur expenses to restore the land after its return.
Compensation is determined between DoR and the titleholder, or through mediation, involving
officials from the relevant VDC/Municipality and District.
The GoN may prohibit, through notification in the Nepal Rajapatra (Government Gazette), the
construction of any permanent structure (other than walls) within 6 m of the road formation edge.
5.1.2 GON Policies on Indigenous Peoples (IPs) and other Vulnerable Communities
The Interim Constitution of Nepal 2063 (2007)
The Interim Constitution of Nepal commits the government for the protection and development
of IPs and other marginalized communities. Article 21, Right to Social Justice guarantees the
rights of the economically, socially or educationally backward women, Dalits, indigenous
peoples, Madhesi communities, oppressed classes, poor farmers and labors to take part in the
structures of the State on the basis of the principle of 'proportional inclusion‘. Similarly, Article
35, Policies of the State (10) states that the State has compulsory obligation to pursue a policy of
uplifting the economically and socially backward indigenous peoples, Madhesi, Dalit,
marginalized communities, and workers and farmers living below the poverty line, by making a
provision of reservation in education, health, housing, food sovereignty and employment, for a
certain period of time.
The Three Year Interim Plan (TYIP) (2007-2010)
Nepal does not have a standalone policy on Indigenous Peoples and other vulnerable
communities, however, in the Tenth Plan significant emphasis has been placed on delivering
basic services to the disadvantaged and indigenous people, Dalits, women, disabled and other
vulnerable groups including the Adhibasi / Janajati. One of the main thrusts of the Tenth Plan is
the implementation of targeted programs for the uplift, employment and basic security of Dalits,
indigenous people and disabled peoples. The policy provision also outlines that the government
should pilot strong and separate package of program of basic security for vulnerable sections of
society. The Three Year Interim Plan (TYIP) (2007-2010) includes the following policies for
inclusive development of adivasi/janajatis and other vulnerable groups:
1. creating an environment for social inclusion;
2. participation of disadvantaged groups in policy and decision making;
3. developing special programs for disadvantaged groups;
4. positive discrimination or reservation in education, employment, etc.;
5. protection of their culture, language, and knowledge;
6. proportional representation in development; and
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7. making the country‘s entire economic framework socially inclusive.
National Foundation for Upliftment of Aadibasi/Janjati Act, 2058 (2002)
For the welfare of adivasi/janajati, the government set up a National Committee for
Development of Nationalities (NCDN) in 1997. In 2002, Parliament passed a bill for the
establishment of an autonomous foundation named ‗National Foundation for Upliftment of
Indigenous Nationalities,' which came into existence in 2003 replacing the NCDN. Government
of Nepal has identified and legally recognized 59 indigenous communities. They are officially
referred to as Adivasi Janajati in Nepali and Indigenous Nationalities in English as per the
National Foundation for Upliftment of Aadibasi/Janjati Act, 2058 (2002). One can find vast
disparities in terms of socio-economic standing among the Adivasi Janajati groups. According
to Nepal Federation of Adivasi Janajati (NEFIN) 10 of the 59 Adivasi Janajati are "endangered",
12 "highly marginalized", 20 "marginalized", 15 "disadvantaged" and 2 are "advanced" or better
off on the basis of a composite index consisting of literacy, housing, landholdings, occupation,
language, graduate and above education, and population size.
This Foundation has been working for the preservation of the languages, cultures, and
empowerment of the marginalized ethnic nationalities. More specifically, the Foundation has
following objectives:
1. To make overall development of the Aadibasi/Janjati by formulating and implementing
the social, educational, economic and cultural programs.
2. To preserve and promote the language, script, culture, literature, arts, history of the
Aadibasi/Janjati.
3. To preserve and promote the traditional knowledge, skill, technology and special
knowledge of the Aadibasi/Janjati and to provide assistance in its vocational use.
4. To encourage the Aadibasi/Janjati to be participated in the mainstream of overall national
development of the country by maintaining a good relation, goodwill, and harmony
between different Aadibasi/Janjati, castes, tribes and communities.
5. To provide assistance in building an equitable society by making social, economic,
religious and cultural development and upliftment of Aadibasi/Janjati.
Local Self-Governance Act, 1999
The Local Self-Governance Act, 1999 commits municipalities for the promotion, preservation,
and protection of language, religion, culture of indigenous people and their welfare in the
municipal area. The Act empowers municipalities to formulate and implement periodical and
annual plans within their own jurisdiction. Periodic plans integrate different thematic plans
according to social, economic, environment, physical, financial, and institutional aspects. The
Act provides municipalities to follow planned development programs and prioritize programs
that can increase productivity, contribute to upgrading living standards, and generate income and
employment opportunities. The Act also requires that local programs provide direct benefits to
women and disadvantaged groups, and use community groups in the planning and execution of
development programs.
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5.1.3 Communication, Good Governance & Social Accountability
The Interim Constitution of Nepal 2063 (2007)
Article 27 of the Interim Constitution (2063 (2007)) guarantees the right to information of the
citizen. The article states that ―every citizen shall have the right to demand or receive
information on any matter of his or her interest or of public interest‖. Provided that nothing shall
be deemed to compel any person to provide information on any matter of which secrecy is to be
maintained by law‖.
Right to Information Act, 2064 (2007)
The aim of this act is to make the functions of the state open and transparent in accordance with
the democratic system and to make responsible and accountable to the citizen. It intends to make
the access of citizens simple and easy to the information of public importance held in public
bodies and to protect sensitive information that could make adverse impact on the interest of the
nation and citizen.
The clause 3 of the act ensures Right to Information. It says that every citizen shall, subject to
this Act have the right to information and they shall have access to the information held in the
public Bodies unless confidentiality has been maintained by laws.
The clause 4 of the act describes the Responsibility of a Public Body to disseminate information.
It mentions that each Public Body has to respect and protect the right to information of citizen.
Public Body shall have following responsibilities for the purpose of protecting right to
information of citizen:
1. to classify and update information and make them public, publish and broadcast,
2. to make the citizens' access to information simple and easy,
3. to conduct its functions openly and transparently,
4. to provide appropriate training and orientation to its staffs,
Public Body may use different national languages and mass media while publishing,
broadcasting or making information public. A Public Body shall arrange for an Information
Officer for the purpose of disseminating information held in its office.
The clause 7 of the act prescribes the Procedures of Acquiring Information. It states that a
Nepali Citizen, who is interested to obtain any information under this Act, shall submit an
application before concerned Information Officer by stating reason to receive such information.
Good Governance (Management and Operation) Act, 2064 (2008)
This act intends to make legal provision in relation to good governance by making public
administration of the country pro-people, accountable, transparent, inclusive and
participatory. The clause 25 (1) mentions that every governmental office (public office)
responsible for delivering public service or involved in public relation shall maintain Citizen's
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Charter in prescribed form and locate it in the visible place of the office. The clause 28 (1)
spells out that the Government of Nepal may arrange for the provision of operating any project
or program with direct participation and ownership of the people.
The clause 30 of the act has a provision of public hearing. The Chief office-holder at regional,
zonal, district and local level involved in delivery of service, shall conduct Public Hearing as
prescribed, with the purpose of making the activities of the office fair, transparent, and objective
and addressing the lawful concerns of general people and stakeholders. The act also mentions
that subject matter expert, stakeholders, and representatives of civil society and officials of the
local bodies shall be the participants of the public hearing.
The clause 31 of the act speaks about Grievance Management. It states that a complaint box
shall be maintained at the visible place of every ministry, department, and government agency
and office for the management of grievance relating to quality, effectiveness of the work carried
out by such ministry, department and agency or office and possible irregularities in them. Every
citizen may submit complaint in the complaint box managed by a government agency or office.
In order to address the complaint submitted, the responsible officer of the concerned government
agency or office shall open complaint box in the presence of other officials in every Three days
and if the grievances and suggestions are found to be reasonable, necessary step shall be taken
for the proper management thereof. In the case of complaint received is irrelevant to the
concerned government agency or office, however relating to the individual conduct of chief of
such government agency or office, the detail of such grievances shall be submitted to higher
authority thereof. The information of action taken shall be published in the notice board of
concerned office.
The Public Procurement Act, 2063 (2007)
The main thrust of this act is to make legal provisions in order to make the procedures,
processes and decisions relating to public procurement much more open, transparent, objective
and reliable, obtain the maximum returns of public expenditures in an economical and rational
manner by promoting competition, fairness, honesty, accountability and reliability in public
procurement processes. Furthermore, it aims to ensure good governance by enhancing the
managerial capacity of procurement of public entities in procuring, or causing to be procured,
construction work and procuring goods, consultancy services and other services by such entities
and by ensuring the equal opportunity for producers, sellers, suppliers, construction
entrepreneurs or service providers to participate in public procurement processes without any
discrimination.
The clause 3 of the act has made mandatory provision for any procurement to be made as per this
Act. It says that in making procurement, a Public Entity shall have to make such procurement by
complying with the procedures set out in this Act. It further mentions that any procurement made
in contrary to this act shall be void and invalid.
It has clearly spells out the provisions relating to Responsibility for Procurement and
Procurement Methods in Chapter 2 under clause 4-10. The Chapter-3 prescribes the Provisions
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Relating to Bid under clause 11-28. Provisions Relating to Consultancy Services are described in
Chapter 4 under clause 29-39. Chapter-7 states the Provision Relating to Procurement contract.
Local Self Governance Regulation, 2000
The Local Self Governance Regulation 2000 empowers local bodies to coordinate and
implement development programs and to rationally utilize local natural resources. Article 7 (68)
of the Regulation empowers local bodies to monitor and supervise development works
implemented in their jurisdiction. Under Schedule 26 (4) of the Regulation, half the royalty paid
to the GoN by a development project will be used for local development: 12% of the total royalty
will be provided to the district where the project is located, with the remaining 38% to be
distributed to the other districts in the affected development region.
Municipality Grant Operation Guidelines, 2010 (2067) also commonly known as blended
guideline, has been enacted to streamline all the support that municipality received from different
agencies. This guideline will serve as s single document to be followed while implementing
programs at municipality. The committee will be formulated within the municipality for
preparing integrated planning document of municipality. The roles and responsibility of
committee is also mentioned in the guideline. The guideline has also identified the nature and
type of projects to be supported within the municipality along with its rational. This includes
environmental and social development related programs. The program includes solid waste and
drainage, open space and greenery management, construction of parks, conservation of lakes,
construction of slaughter houses, conservation of watershed areas, greenery, conservation of
cultural and heritage sites etc. The project implementation management, supervision and
monitoring mechanisms are also mentioned in the guideline. The guideline has following integral
chapters (type and support and its disbursement, fund disbursement mechanism, project planning
and selection of projects, program/project operation and management, monitoring and
evaluation, financial management, accountability and transparency, miscellaneous). Any projects
above 50 lakh rupees cost should undergo feasibility study prior its approval from municipal
council. The feasibility study should include the environmental and social impact assessment. If
any environmental and social requirements trigger, that has to be complied by the municipality.
5.1.4 Gaps in Existing Resettlement Policies and Laws
The above discussion on the prevailing Acts and Regulations in Nepal indicate a progressive
development of legal framework related to involuntary resettlement of the people affected by the
development projects. However, there still exists some confusion, gaps and overlapping of the
provisions in various Acts and Regulations in terms of the involuntary resettlement affected
people.
Even the LAA 1977 has no specific provision for granting compensation to project affected
people who do not have legal ownership of land. Squatters do not have automatic right to
productive land compensation. Similarly, encroachers with less than three years residence do not
have rights to replacement. Furthermore, LAA 1977 does not have provisions to (i) address the
difficulties caused by delays in compensation to Project Affected Families (PAF), (ii) ensure that
53
vulnerable groups, ethnic minorities and other people affected by the project are capable of
making proper use of compensation money to resettle to a living standard not less than that
existed prior to the project, and (iii) provide practical provisions of land for land option despite it
being mentioned in the LAA 1977.
Similarly, there are no provisions of compensation, resettlement and rehabilitation for traditional
users of the property, communal properties, and the users of the properties for generations
without legal holdings. Though the LAA 1977 recognizes that the affected people are eligible for
compensation of the affected land and property, the mode of compensation is not exclusively
defined. In practice, it refers to cash compensation. Further, the property evaluation aspect is
rested upon the Compensation Fixation Committee without any guidelines. It is not clear whether
the evaluation criteria will be based on the current market price or on the prevailing rates of Land
Revenue Office. In Nepal, Land Revenue Office rates are far lower than the current market price.
Compensation payments are usually made only after deduction of depreciation, which is against
the best practices, adopted by the guidelines of the many international donor agencies such ADB
and World Bank.
The Town Development Committee under the Ministry of Physical Planning and Works
(MoPPW) has been carrying out the Guided Land Development program for several years, but
the problem of resettling squatters is not addressed by either the LAA 1977 or the Town
Development Act 1988.
The practices of fixing compensation amounts and provisions for resettlement and rehabilitation
assistance in various projects have been widely different. The Surkhet-Jumla highway is one
such example which had (i) a 100% Government funded section where the compensation was
cash for land, structures and buildings only; (ii) another section was financed by World Bank
loan, which provided liberal compensation for land, buildings, vegetation and other assets lost by
PAFs due to the project; and (iii) a district road connecting to the highway entailing voluntary
contribution of land. Further, there is no common legal reference while determining the status of
a SPAF. While some projects determine SPAF status on the basis of loss of 25% or more land,
others define it on the basis of loss of 50% or more land and in some cases; families left with less
than 11 ropanis of land are also declared SPAF. Such inconsistencies in compensation schemes
in the same locality and defining SPAF in similar project can give rise to disappointment and
disputes among the project-affected people. Therefore, it is important to harmonize
compensation schemes and definition of SPAF in a given area.
5.2 International Policy Guidelines and Conventions
5.2.1 World Bank Policy Guidelines
World Bank Policy on involuntary land acquisition and indigenous people are directly relevant
for UGDP. The World Bank Policy on involuntary land acquisition recognizes lost assets or
income as fundamental right of all project affected persons and that physically displaced people
must be relocated with basic amenities like school, health posts etc. Likewise, all affected
persons, entrepreneur, or institution should be assisted to restore at least their pre- project income
54
and livelihood sources. The following documents apply to involuntary resettlement for projects
under World Bank funding:
Operational Policies OP 4.12 and Bank Procedure BP 4.12 on involuntary resettlement
2001.
Operational Policies OP 4.10 and Bank Procedure BP 4.10 on Indigenous People July
2005.
Operation Policy 4.11 of World Bank on Cultural Property
Following are the guiding principles of World Bank's policy on involuntary resettlement.
a. Involuntary resettlement should be avoided where feasible, or minimized, exploring all
viable alternative project designs.
b. When resettlement is unavoidable, resettlement activities should be conceived and
executed as sustainable development programs, providing sufficient investment resources
to enable persons displaced by project to share in project benefits.
c. Displaced persons should be meaningfully consulted and should be given opportunities to
participate in planning and implementing resettlement programs.
d. Displaced persons should be assisted in their efforts to improve their livelihoods and
standards of living. In the absence of possibilities to improve their standards of living, it
should in the least be restored to levels that existed prior to the project.
e. The borrower prepares a resettlement plan if more than 200 populations are affected and
an abbreviated resettlement plan is required if less than 200 families are affected.
f. Absence of legal title to land should not be a bar for compensation, resettlement, and
rehabilitation assistance. Vulnerable groups such as indigenous people, women-headed
households, and senior citizens should be entitled to special benefit package in addition to
compensation and resettlement.
Following are the guiding principles of World Bank as per its policies on Indigenous people.
a. This policy states that any the development process under the Bank finance should fully
respect the dignity, human rights, economies, and cultures of Indigenous Peoples.
b. For all projects that are requested for Bank financing and affect Indigenous Peoples, the
borrower should be engaged in a process of free, prior, and informed consultation.
c. The Bank provides project financing only where free, prior, and informed consultation
results in broad community support to the project by the affected Indigenous Peoples.
d. Such Bank-financed projects should include measures to (a) avoid potentially adverse
effects on the Indigenous Peoples‘ communities; or (b) when avoidance is not feasible,
minimize, mitigate, or compensate for such effects.
e. Bank-financed projects should also be designed to ensure that the Indigenous Peoples
receive social and economic benefits that are culturally appropriate and gender and
intergenerationally inclusive.
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Special Considerations for Indigenous Peoples
Indigenous Peoples are closely tied to land, forests, water, wildlife, and other natural resources,
and therefore special considerations apply if the project affects such ties. In this situation, when
carrying out the social assessment and preparing the social action plan, the borrower pays
particular attention to:
i) the customary rights of the Indigenous Peoples, both individual and collective, pertaining
to lands or territories that they traditionally owned, or customarily used or occupied, and
where access to natural resources is vital to the sustainability of their cultures and
livelihoods;
ii) the need to protect such lands and resources against illegal intrusion or encroachment;
iii) the cultural and spiritual values that the Indigenous Peoples attribute to such lands and
resources; and
iv) Indigenous Peoples‘ natural resources management practices and the long-term
sustainability of such practices.
According to the United Nations the term "cultural property" includes sites having archeological
(prehistoric), paleontological, historical, religious, and unique natural values. Cultural property,
therefore, encompasses both remains left by previous human inhabitants (for example, middens,
shrines, and battlegrounds) and unique natural environmental features such as canyons and
waterfalls. The Cultural Property Policy of World Bank seeks to avoid harm to significant, non-
replicable cultural property, and detailed how background information on all aspects with regard to
the management of cultural property. Important aspects of the policy are as follows:
To assist in preservation and to seek to avoid elimination of cultural properties
Avoid damage to non-replicable cultural property
Protection and enhancement of cultural properties
Relocation of sites and structures that can be preserved studied and restored on
alternate sites
Scientific study, selective salvage, and preservation
Include the training and strengthening of institutions entrusted with safeguarding a
nation's cultural patrimony
5.2.2 International Labor Organization (ILO) Convention (169), 1989
Convention No. 169 was adopted in 1989 by the General Conference of the International Labour
Organisation (ILO) at its seventy-sixth session. It was ratified by the Legislative Parliament of
Nepal in 2007.
Convention No. 169 aimed at the protection of indigenous and tribal peoples and their rights. It is
the foremost international legal instrument which deals specifically with the rights of indigenous
and tribal peoples, and whose influence extends beyond the number of actual ratifications. The
convention has 40 Articles. The following articles are relevant for UGDP:
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Article 4.1 of the ILO Convention commits government of signatory countries to adopt special
measures as appropriate for safeguarding the persons, institutions, property, labour, cultures and
environment of the peoples concerned.
In applying the provisions of this Convention, the article 6.1 prescribes that governments shall
consult the peoples concerned, through appropriate procedures and in particular through their
representative institutions, whenever consideration is being given to legislative or administrative
measures which may affect them directly.
The article 6.2 says about the process of consultation and states that the consultations carried out
in application of this Convention shall be undertaken, in good faith and in a form appropriate to
the circumstances, with the objective of achieving agreement or consent to the proposed
measures.
As per the article 7.1 of the Convention, the peoples concerned shall have the right to decide
their own priorities for the process of development as it affects their lives, beliefs, institutions
and spiritual well-being and the lands they occupy or otherwise use, and to exercise control, to
the extent possible, over their own economic, social and cultural development.
The article 7.3 mentions requirement to assess the likely impacts of any development
interventions on indigenous people. It states that Governments shall ensure that, whenever
appropriate, studies are carried out, in co-operation with the peoples concerned, to assess the
social, spiritual, cultural and environmental impact on them of planned development activities.
The results of these studies shall be considered as fundamental criteria for the implementation of
these activities.
5.3 Comparison of Government of Nepal and World Bank Policies
The review of legal framework and guidelines presented above reveals that despite some
common provisions between the Government legal frameworks and World Bank guidelines
related to involuntary resettlement and indigenous community, there are certain key differences
between World Bank guidelines and the Government‘s legal frameworks. The table 5.1 below
summaries gap between World Bank guidelines and the Government‘s legal frameworks.
Table 5.1 Comparison between World Bank Policy and the Government Legal Framework
Category World Bank
Policies
GON Legal Framework Measures to Bridge Gaps
Involuntary
Resettlement
Compensation for
land regardless of
legal ownership.
Legal ownership is required,
however, registered tenants with
the Land Revenue Office also
acknowledged.
Resettlement framework will be
Compensation to
all affected
structures
including
encroachers
Encroachers are not entitled to
compensation. However
vulnerable families are
compensated to build houses of
the previous standards.
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Compensation for
affected assets at
full replacement
costs
(i) Compensation Fixation
Committee (CFC) under CDO
will establish the Compensation
rates.
or (ii) Clause
27 of the LAA 1977 provide
provisions for land acquisition
through mutual agreement with
the plot owners.
prepared and implemented following
all applicable GoN legislators and
WB policy guidelines.
Principle of
compensation
holds that living
standards
and livelihoods
should be
enhanced, or at
least
restored in real
terms relative to
pre-project levels;
and improved for
the displaced poor
and other
vulnerable groups.
Principle of compensation for lost
assets but no undertaking to
improve living standards or
livelihoods.
However, vulnerable families will
be compensated to meet at least
the previous livelihood.
Indigenous
Community
Ensures free, prior,
and informed
consultation with
the affected
indigenous people
to obtain broad
community support
to the project.
Social Assessment
will be carried out
to identity
potential effect and
prepare plan to
ensure that
indigenous peoples
receive social and
economic benefits
that are culturally
appropriate.
The Interim Constitution of Nepal
2063 (2007) and NFDIN Act
2002 commit the government for
protection and promotion of
indigenous people's knowledge
and cultural heritage.
In 1999, Local Self-Governance
Act was enacted to give more
power to the local political
bodies, including authority to
promote, preserve and protect the
IP's language, religion, culture
and their welfare.
The Three Years Interim Plan
Paper (2007-2010) includes
following policies for inclusive
development of Adivasi/Janajati
and other disadvantaged groups:
(i) creating an environment for
social inclusion; (ii) participation
of disadvantaged groups in policy
and decision making; (iii)
developing special programs for
disadvantaged groups; (iv)
positive discrimination or
reservation
in education, employment, etc.;
(v) protection of their culture,
language and knowledge; (vi)
proportional representation in
Project affected IP individual
and families including
already existing vulnerable
communities will be
addressed by developing
vulnerable group development
guideline
Traditional rights to land and other
natural resources, communal property
and specific characteristics of ethnic
groups in relation to land and other
natural resources and subsequent
losses resulting from the project will
be assessed and compensated
accordingly.
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development; and (vii) making
the country‘s entire economic
framework socially inclusive.
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6. REVIEW OF EXISTING SOCIAL MANAGEMENT
PRACTICES
This sections presents an overview of the existing social management frameworks and practices
being used by GoN and the institutions involved in the UGDP: NETP with respect to the LA &
R&R; vulnerable community development (indigenous people), and social accountability.
6.1 Review of the Social Management Frameworks
Social Management Framework of LGCDP
The Local Governance and Community Development Program (LGCDP), a ADB funded project
aims to strengthen local bodies (LBs) in service delivery, local communities in holding to
account the LBs for such service delivery, and central level institutions in providing strong
support to the work of the LBs and communities.
Ministry of Local Development is the Executing Agency (EA) and the District Development
Committees (DDCs), Village Development Committees (VDCs) and Municipalities are the
Implementing Agencies. This framework has been prepared to set out the policy, screening, and
planning procedures that will apply to sub-projects that may be prepared and approved by LBs
during ADB grant implementation to ensure that they are in keeping with the relevant laws and
policies of Nepal. The SMF of LGCDP is guided by the following principles:
1. The land acquisition, involuntary resettlement, and environmental impacts have been
avoided or minimized as much as possible.
2. Any land acquisition and/or resettlement have been carried out and compensation
provided in order to improve or at least restore the pre-Project income and living
standards of the affected people.
3. All information related to resettlement preparation and implementations have been
disclosed to all concerned, and people‘s participation has been ensured in planning and
implementation of the sub-project.
4. Appropriate grievance redress mechanisms has been put in place to ensure speedy
resolution of disputes.
5. All activities related to resettlement planning, implementation, and monitoring have
ensured involvement of women; efforts has also been made to ensure that vulnerable
groups are included.
6. In case of sub-project where impacts on indigenous people (IPs) are identified, LBs need
to ensure that IPs shall be informed, consulted, and mobilized to participate in sub-project
preparation so as to ensure better distribution of the sub-project benefits and promote
development of the IPs in sub-project areas.
Social Assessment (SA) has been carried out as per Public Work Directives (2002) since GON
has not adopted any specific regulations or guidelines for SA in the manner that EPA and EPR
have been enacted and applied in all development projects and sub projects. PWD provides
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guidelines for carrying out SA applicable to the context of Nepal. PWD recommends that
awareness of social dimensions and issues is required in all sub-projects regardless of their size.
In LGCDP Social management framework, SA has been considered as an integral part of the
sub-project cycle and conducted either as a complementary part of sub-project feasibility study
or as a separate study which should be carried out in close coordination with the feasibility study
and environmental assessment. The SA has examined cores aspects of the (sub) projects which
include: (i) the client population (which includes beneficiaries, and others affected without
benefiting from the sub-project), (ii) needs of the client population, (iii) demands of the client
population, (iv) absorptive capacity of the client population, (v) gender issues, and (vi) potential
adverse impacts, especially on vulnerable groups. The findings of the SA have been utilized in
determining the scope of the sub-project, mitigation measures, and implementation arrangements
which have been incorporated into sub-project design and implementation plan.
The SMF of LGCDP has prepared a separate Indigenous Peoples Framework (IPF) which
provides policy and procedures to screen sub-project impacts on IPs and prepare planning
documents in full compliance with GoN‘s and ADB‘s Indigenous Peoples Policy for sub-projects
during implementation. The IPF has been formulated to guide the preparation of sub-projects
under the program to ensure better distribution of the benefits and promote development of the
adivasi/janajatis along with other disadvantaged social groups in all sub-project areas of
influence. The IPF includes: (i) review of applicable policy and legal framework, (ii) screening
for impacts on IPs, (iii) conducting relevant Social Impact Assessment related to IPs, (iv)
preparation of IP development plans, including consulting, participation, and disclosure
procedures (v) implementation, budgeting, and monitoring of IP plan, including capacity
building of relevant agencies (including the EA) and sub-project implementing agencies.
Similarly, a separate Resettlement Framework (RF) has been prepared to provide the policy and
procedures to screen, assess, and plan land acquisition and resettlement aspects of sub-projects
that are prepared and approved during implementation of the national program in full compliance
with ADB‘s Involuntary Resettlement Policy as well as applicable national laws. The RF
includes: (i) likely scope of land acquisition and resettlement, (ii) review of applicable policy and
legal framework, (iii) screening procedures for sub-projects, (iv) resettlement policies, eligibility
criteria, and entitlements consistent with ADB Policy, (v) procedures for sub-project planning
and preparation of resettlement plans (RPs), (vi) information, consultation, participation, and
disclosure arrangement, and (vii) implementation, budgeting, and monitoring of resettlement
plan, including capacity building of relevant agencies (including the EA) and sub-project
implementing agencies.
The SMF enclosed: (i) Format for Indigenous Peoples Impact Categorization, (ii) TOR for
Social Impact Assessment and Preparation of IPDP (iii) Format Involuntary Resettlement
Categorization (iv) Scope of Full Resettlement Plan (v) Scope of Short Resettlement Plan
Rural Access Improvement and Decentralization Project (RAIDP)
RAIDP is the World Bank (WB) funded project with the aim of improving rural accessibility.
Department of Road (DoR) is the executing agency of the project. The purpose of the Social
61
Management Framework (SMF) is to provide guiding principles for assessment and management
of social aspects of all physical works targeted under RAIDP. The specific objectives are to:
assess the compatibility of GoN policies and World Bank policies; identify the gaps, and
develop mechanism for addressing these gaps;
outline the process for identify potential adverse social impacts due to construction and
upgrading of rural roads;
provide guideline for preparing the social mitigation plans to address the adverse impacts;
and
describe the implementation and institutional arrangements for managing social impacts.
The Social Management Framework has been the guiding document to address the social and
environmental issues in the subprojects. For social impact purposes road corridor, which is
defined as formation width of road as fixed by approach manual has been considered for
identifying the impacts, especially the losses and damages caused by construction activities.
Social Screening
Social screening has been undertaken at an early stage in all subprojects, which has provided
necessary information on the potential social impacts likely to be encountered during
implementation. This screening has been carried out in close consultation with various primary
stakeholders: beneficiaries; roadside farmers; shopkeepers; women, Dalits and other local key
informants.
Social screening provided first stage information about the road subproject which also identifies:
(i) beneficiary population living within various impact zones of the project based on distance; (ii)
extent of land required and number of land owners affected; (iii) impacts on poor and vulnerable
groups including needs and priority for social and economic betterment; (iv) willingness of
people for voluntary land donation; and v) other impacts.
Screening report also provided information about the potential damage / loss of common
community structures such as resting place (Chautaro), water tank including pipelines, religious
cultural monuments / sites, foot trail, Trial Bridge and so on.
The project on the basis of assessment took responsibility to repair and restore the damaged
structure in consultation and participation with the local people and the committees like Local
Road Users Committee (LRUC) Village Road Coordination Committee (VRCC).
On the basis of screening report prepared during feasibility stage, site-specific social impacts
have been thoroughly identified along with the appropriate mitigation measures. All the adverse
impacts identified during social screening have been worked out in details while preparing site
specific Social Mitigation Plan during detail engineering design phase. The plan identifies
vulnerable communities, damage and loss of structures, land and community infrastructures and
proposes corresponding mitigation measures. A separate cost estimate has been prepared and
incorporated in the mitigation plan.
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SMF of the RAIDP included a separate Vulnerable Community Development Plan (VCDP). The
VCDP has been prepared for the betterment of vulnerable people within the impact zone of the
project. The targeted beneficiaries of VCDP include mainly the following groups of people:
Seriously Project Affected People / Families,
Marginalized groups,
Dalits, ethnic minorities and poorest people,
Single women/ women headed households, and
Landless, old aged and disabled people.
The VCDP identifies the needs and priority of vulnerable groups and proposes need-based
programs to uplift their socio-economic condition through appropriate training and skill transfer.
Along with VCDP there is Community Infrastructure Development (CID) component in the
project, which assists to construct essential infrastructures such as market shed, health post,
school, public toilet, community trail, community irrigation etc to create productive and useful
community assets based on the demand of the community.
Road Sector Development Project (RSDP)
Ministry of Physical Planning and Works, Department of Roads (DoR) is implementing the
project under IDA Grant. The SMF was developed following relevant laws and regulations of
the Government of Nepal, and environment and social operation policies of the World Bank. The
SMF has been applying to this project, as part of the priority investment plan, and guide the
planning to address social impacts under the project.
This Resettlement Action Plan has been prepared following the SMF, a guiding document for
safeguard and compliance aspects of social issues related with the Priority Investment Plan (PIP)
for Strategic Road Network (SRN) for Nepal. SMF is in harmony to GoN policies and World
Bank Policy on Involuntary Resettlement (OP/BP 4.10 and OP 4.12). Both WB policy and GoN
legislation emphasize avoiding or minimizing involuntary resettlement. Where the acquisition of
private assets is unavoidable, involuntary resettlement should be an integral part of project
design and preparation. The SMF is prepared on the basis of following guiding principles
1. The acquisition of private assets and the displacement of people have been minimized to
the possible extent, through the incorporation of social considerations into alignment
selection and road design.
2. Community consultation ensures people‘s views and their concerns and suggestions have
been incorporated into implementation procedure.
3. An institutional framework has been developed as an integral part of the project to ensure
that appropriate social impact management mechanisms are set up and maintained during
implementation. These mechanisms and arrangements will ensure that compensation,
resettlement and rehabilitation are carried out timely and effectively.
4. Construction work will commence on road sections only after acquisition procedures are
completed.
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RSDP has prepared a Resettlement Action Plan (RAP) with the aim of providing the policy and
procedures of land acquisition, compensation and resettlement of affected persons. It has been
prepared based on the findings of resettlement impact assessment conducted during project
design period in August 2010. This assessment aimed to identify the impact on property and
income sources of affected persons with documentation of loss of land, houses, trees etc. within
the corridor of impact (COI) of the road.
This RAP identifies safeguard measures including compensation, resettlement and rehabilitation
assistances to the affected persons consistent with the provisions of the Road Sector Wide
Environmental and Social Management Framework (ESMF). Though the social considerations
have been incorporated into road design, however, geological and topographical factors, as well
as land use and settlement patterns, make the acquisition of private property for road
construction inevitable. This RAP particularly addresses the following adverse impacts
associated with road improvement and upgrading works:
Private and community resources affected by the project and the entitlements required for
effective households reestablishment;
The likely number of individuals and households affected by the project and the number
of households that may be displaced;
Organizational and institutional requirement for the implementation of compensation,
resettlement and rehabilitation activities;
Implementation schedules and monitoring mechanisms and
Compensation, resettlement and rehabilitation cost estimate
The Secondary Towns Integrated Urban Environmental Improvement Project
The project is implemented by the Ministry of Physical Planning and Works/ Department of
Urban Development and Building Construction under ADB support. Its aim is to improve quality
of life and to help achieve higher and socially inclusive economic growth in key regional centers
in Nepal through improved and affordable municipal services delivered effectively, efficiently
and reliably by accountable local bodies. The Project has been implementing measures of urban
environmental improvement, on an integrated basis, in the areas of sewerage and drainage, solid
waste, and urban roads and lanes in the Biratnagar, Birgunj and Butwal municipalities.
The project is Category B for Involuntary Resettlement and Indigenous People. This RF/IPF is
intended to guide resettlement and indigenous people planning for the following Project
activities: (i) small scale-water supply works in Butwal and (ii) public toilet construction in
Biratnagar, Birgunj and Butwal municipalities. Land acquisition has been avoided and/or
minimized and resettlement impacts, if any, are envisioned to be small scale, consistent with
Category B. The Category A (significant) impacts have not been considered under the
subproject.
Considering impacts on indigenous peoples are limited to a small number of involuntary
resettlement and/or land acquisition due to the nature and small scale of these subprojects, an
indigenous people‘s framework has been combined into the resettlement framework, with special
assistance measures for vulnerable groups including indigenous people. The Gender Equality and
Social Inclusive (GESI) Action Plan has been prepared which also includes specific actions
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favorable to indigenous people. Combined resettlement plan/Indigenous People's Plans have
been prepared commensurate to the impacts.
The combined RF/IPPF includes:
(i) the general anticipated land acquisition and resettlement impacts of subproject to be
financed under the Project;
(ii) specific requirements to be followed for subproject screening, categorization,
assessment, and resettlement and indigenous planning, including arrangements for
stakeholders consultation and information disclosure;
(iii) details of objectives, policy principles, and procedures for any land acquisition,
compensation and other assistance measures for any affected persons (APs),
(iv) assessment of adequacy of executing agency (EA) capacity to implement national and
state laws, policies, and regulations and ADB's Social Safeguard Policies and identify
needs for capacity building;
(v) outline of social impact assessment and census methodologies,
(vi) outline specific implementation procedures, including budget, institutional, capacity
development, and monitoring and reporting requirements; and
(vii) description of responsibilities of the EA and ADB in relation to the preparation,
implementation, and progress review of IR safeguard documents of subprojects.
(viii) finally, all works undertaken are strict to follow as per to all ADB social policies and
operational procedures (operational manuals) and Government policies.
6.2 Review the Existing Social Management Practices of Executing Agencies
In order to ensure transparency in the local bodies, the Ministry of Local Development is
formulating a framework by implementing effective monitoring system in the local bodies. The
new provision aims to set up a basket fund that comprises the government grants, donor
assistance and supports from I/NGOs. The ministry has prepared a blended Grant Operation
Directive to include inclusive development programs, eco-friendly sustainable infrastructure
developments, and capacity building, and social mobilization, promotional activities thereby
strengthening local democracy, good governance, accountability and transparency. Earlier, there
were social, environmental and infrastructure guidelines under the two directives- government
grants and LGCDP.
Ministry of Local Development (MLD) along with Local Bodies (DDC, Municipalities and
VDC) through Community Organizations and Non-Government Organizations has been
implementing Local Governance and Community Development Program (LGCDP). It is a
national program framework of support for decentralization, local governance, and community
development with the intent of working throughout the country and at all levels of the local
governments. The program strongly backs MLD‘s vision of local development and self-
governance to bring good governance and development interventions to the people by
maintaining fiscal discipline, correcting mismanagement, delays and nontransparent procedures.
The program approach ensures inclusiveness and gender equity, community-led local
development, rights-based participatory approach, transparency and downward accountability at
all levels. To achieve its program outcomes LGCDP focuses on four strategic areas:
65
Empowerment of citizens and communities for active engagement with local
governments and strengthening downward accountability;
Local bodies top-up block grants for community led local development (at DDC, VDC
and Municipalities);
Capacity development of local governments for effective service delivery, and
Policy support for decentralization and local governance.
Similarly, MLD through LGCDP has prepared basic documents -- the environmental and social
safeguard checklist (July 2009), MLD guide on Environmental Monitoring of Infrastructure
Projects (April 2010) to allow the environmental and social monitoring of the projects.
Moreover, in the current year it is working on IEC messages relating to pro-poor environmental
planning, to reach VDCs obtaining the TU grant. It is also seeking to mainstream environmental
issues in the MC/PM and general planning guidelines. Following up on the establishment of the
Environment Desk (and grant) at DDC level in the past year, the LGCDP foresees providing
training for the District Environment Desk Officers.
DUDBC has been implementing Urban and Environmental Improvement Project (UEIP) with
the aim of supporting the government‘s efforts to bring about sustainable development in eight
urban areas outside the Kathmandu Valley by addressing essential urban and environmental
infrastructure and service needs, and strengthening relevant stakeholder institutions. For the
persons displaced under this project, a detailed R&R policy has been prepared in accordance
with the applicable plan, policies, acts of GoN and guidelines of the ADB and the same has been
fully implemented. With a view to mitigate the hardships caused by the involuntary displacement
under the project, including loss of income, the modality of the project has been to avoid or to
minimize wherever feasible, involuntary displacement and also to explore viable alternatives for
restoring the economic situation of the people. Through the UEIP project the DUDBC has
developed its capacity and gained experience in the following areas:
Municipal Institutional Strengthening and Revenue Mobilization
Project Implementation Assistance
Project Management
Procurement
Consulting Services
Disbursement Arrangements
Accounting, Auditing, and Reporting
Project Performance Monitoring and Evaluation
Project Review
Land Acquisition and Resettlement
The TDF currently runs seven donor programs. The current product mix of the TDF includes
grants, soft loans, and regular loans. Eligibility depends on a municipality‘s classification
(A/B/C) and the nature of target infrastructure (social or economic infrastructure). Grants are
provided for vital services (e.g. health, education); soft loans are available for priority urban
services (e.g. drinking water, SWM, drainage); and regular loans support commercial services
(e.g. bus terminals, markets). The project will aim to use existing TDF systems, to the extent
feasible. TDF has no any inclusive experience of social management in terms of Land
acquisition and resettlement and IP related issues.
66
7. INSTITUTIONAL AND CAPACITY ASSESSMENT OF
EXECUTING AND IMPLEMENTING AGENCIES
This section examines the institutional capacity of the MLD particularly the Municipal
Management Division, DUDBC especially the Urban Development Division, TDF and six
participating municipalities—with a view of assessing their abilities to manage social issues
likely arise while implementing UGDP: NETP to support municipalities—and identify areas and
actions for improving its capacities and performance, both in the short and long term. It
primarily focuses on the existing institutional mechanism in each of the involved institution for
social management, existence of units/ focal points; human and financial resources, functions
and effectiveness of their roles and responsibilities.
7.1 Implementing Institutions
Ministry of Physical Planning and Works and Ministry of Local Development (MLD are the
executing institutions of the program. Department of Urban Development and Building
Construction (DUDBC) under the Ministry of Physical Planning and Works, Municipal
Management Division of the Ministry of Local Development (MLD), Town Development Fund
(TDF), and six participating secondary municipalities, namely Mechinagar Municipality,
Dhankuta Municipality, Itahari Municipality, Lekhanath Municipality, Baglung Municipality,
and Tasnsen Municipality are directly involved to implement the various activities under UGDP
at different levels and in different ways during implementation of the proposed program.
Besides, other government and non-government agencies including civil societies/NGOs may be
involved in social management activities in different capacities depending on the issue (ies).
7.2 Institutional Arrangement of UGDP: NETP
7.2.1 Central Level Arrangement
Program Steering Committee:
At the highest level, a Program Steering Committee (SC) chaired by Secretary, MPPW and co-
chaired by Secretary, MoLD will ensure overall program coordination, provide policy level
guidance, and monitor progress on a regular basis. The Steering Committee will comprise of
Joint Secretary, MPPW; Joint Secretary MoLD; Joint Secretary, FACD, MoF; Joint Secretary
(Infrastructure), NPC; Joint Secretary (Local Governance), NPC; Director General, DUDBC,
Executive Director, TDF; Project Director; 2 representatives from the participating
municipalities (on a rotational basis); representatives from Municipal Association of Nepal
(MuAN) and Federation of Nepalese Chamber of Commerce and Industries (FNCCI); and an
renowned urban/municipal expert from the civil society. Representatives from World Bank and
GTZ will have an observatory status.
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Program Coordination Office (PCO)
The PCO will serve as the secretariat of the project steering committee. It will comprise of a
program coordinator, who will also serve as the secretary of the steering committee, as well as
three Component Managers, representing participating national institutions (MLD, DUBCC, and
TDF) and in charge of their respective components. The PCO will play a coordinating and
facilitating role to all three components. The PCO will receive annual work programs from the
three agencies; review them for overall conformity with program objectives; prepare a
consolidated work program for review by SC and present this to NPC, the MoF and other
ministries/agencies for approval (as needed), facilitate implementation by the respective
agencies; facilitate timely release of funds to the respective agencies by the government;
coordinate implementation across individual components; provide assistance to remove
bottlenecks to implementation at the national level; forward consolidated report to SC, various
ministries/agencies, the IDA and the GTZ, and ensure timely processing of fund request to donor
agencies. The PCO will be supported by a small set of core staff financed partly by the project.
Town Development Fund (TDF)
The TDF will manage the socio-economic infrastructure development component, which will
support expansion and/or rehabilitation of essential infrastructure/services for which the
municipalities are responsible. The selection of investment priorities will be undertaken by each
municipality based on a comprehensive socio economic development plan (periodic plan, where
relevant) that is prepared in consultation with various local stakeholder groups, including the all
party mechanism. The TDF will manage the fund; appraise the investments selected by
municipalities for their technical and financial feasibility, and assess the ability of municipality
to meet its financial obligations associated with the investment. It will also implement
institutional development activities associated with its own institutional strengthening.
Department of Urban Development and Building Construction (DUDBC)
The DUDBC will implement institutional development activities for the municipalities and the
department itself. A key element of this will be Municipal Support Team (MST) - a mobile team
of experts that will provide on-demand and in-time backstopping support and on-the-job training
to municipalities.
Ministry of Local Development (MoLD)
The MoLD will implement the service delivery component, which will top up existing block
grants from the MoLD to municipalities, to help the local authorities maintain minimum service
delivery standards, provide adequate O&M support to existing assets, and address routine urban
management issues. MoLD will also be responsible to also implement activities associated with
its institutional development. The designated focal points from TDF, DUDBC and MoLD will be
responsible for ensuring implementation coordination of their respective components within each
agency as well as with PCO; ensuring reporting to the concerned authorities and the PCO; and
manage processing of fund requests to IDA via the PCO.
68
Proposed Institutional Arrangement of UGDP: NETP
UGDP Steering Committee
Chair and co-Chair by Secretaries of MPPW &
MLD
Program Coordination Office (PCO) @ DUDBC
(CM1+ CM2 + CM3) led by Program Director,
DUDBC
Mobile Support Team (MST)
CM1 (TDF)
Socioeconomic
Infrastructure +
ID
CM2
(DUDBC)
ID for
DUDBC &
Municipalities
CM3 (MLD)
Block Grants+
ID
(Service
Delivery)
Municipal Coordination Committee (MCC)
(Municipalities+ APM+LA+ CSO)
MUN + APM
Existing Structure
Project Management Team (PMT) (EO + Section Heads)
Program Executing Agencies MPPW & MLD
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7.2.2 Municipal Level Arrangement
The participating municipalities are responsible for implementing the local level activities
including I) socio-economic investment sub-projects, II) utilizing block grants provided under
the project, III) completing institutional development actions within their jurisdictions. The
project will be implemented at the municipality level largely through existing systems, but with a
focus of strengthening them.
Municipal Coordination Committee (MCC)
A Municipal Coordination Committee (MCC) comprising of Executive Officer (EO),
representative from All Party Mechanism (APM), Government line agencies, Civil Society
Organization (CSO) will be formed which will be responsible for overall program coordination,
policy guidance, and monitor progress on a periodic basis at municipal level.
Project Management Team (PMT)
A local level Project Management Team (PMT) will be set up, comprising of the EO and the
section chiefs of the key sections of the municipality (such as planning/technical, finance,
social/community mobilization, administration, etc). In addition, the municipalities shall
designate staff for project-related financial management, procurement and safeguards
implementation. In order to ensure a bottom-up planning process in the selection of the socio-
economic infrastructure, community mobilization initiatives that allow the ward level
committees to provide their inputs to the Municipal Council will be an integral part of the
institutional arrangement at the municipality level the municipality level. The municipalities will
provide timely progress reports to the concerned component implementing agencies. In addition,
Municipal Support Team (MST), the municipalities will be supported with logistics and
equipment under the ID component, as well as the flexibility to utilize their annual block grants
for institutional strengthening, social mobilization and capacity building of their respective
communities.
7.3 Institutional and Capacity Assessment
7.3.1 Ministry of Local Development (MLD)
MLD is the link agency between local government (DDCs, municipalities and VDCs) and central
government, and is responsible for local development, local governance and decentralization.
MLD‘s objectives include both the development function - with a critical emphasis on social
inclusion and including capacity building for self governance – and the issues of local
governance.
The Objectives of the Ministry
1. Contribute to poverty reduction by mobilizing local means and resources, utilizing skill and
technology to the optimum level and creating employment opportunity;
2. Enhance access of socially and economically disadvantaged groups, region and community
to the service and facility delivered;
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3. Capacity building of local government through local self governance and contribute to
promote local good governance;
4. Empowerment of women, dalit, indigenous, Madheshi, Muslim, disabled and ultra-poor
people through social mobilization and their mainstreaming into the wave of development;
5. Ensure inclusive development by enhancing people‘s participation in decision making
The main functions of MLD include formulation of policies, plans and programs related to local
self-governance, local development, remote area development, rural and community
development, and water supply drainage and sanitation at local level and their implementation,
monitoring and evaluation. It is responsible to implement the LSGA, co-ordinate local bodies,
local development plans, local human resources and programs and execute administrative and
development grants for local development.
Structurally, MLD is divided into four divisions and 14 sections. It has a Municipal Management
Division to look after municipalities which comprises of three sections: the Municipal
Management Section, the Municipal Planning Section and Environment Management Section. It
appears that Environmental Management Section focuses almost exclusively on environmental
impact assessment for municipalities since it is located under the Municipal Management
Division. However, in reality, the environment management section works for the ministry as
whole. The division is headed by a joint secretary and the sections are headed by under
secretaries. There are no any units, focal points to look after the issues of social management of
the urban development projects. Social issues like gender equity and social inclusion are critical
to effective local governance, but at present the division and sections are seriously lacking of
social scientists to address the social concerns related to gender, equity and social justice that
may arise due to the project.
Similarly, there is a lacking of focal point with adequate human resources to ensure that it take
responsibilities for social safeguards, monitoring and capacity building for implementing urban
development projects. It appears that the existing concerns of the division are focuses on the
administration and delivery rather than focusing on social planning and management in urban
situations.
7.3.2 Department of Urban Development and Building Construction (DUDBC)
DUDBC under Ministry of Physical Planning and Works (MPPW) is primarily a technical
department focusing GoN Buildings, Housing and Urban Development. The function and
responsibilities of DUDBC are:
a. Formulation, planning and implementation of urban policies
b. Formulation, planning and implementation of housing plans and policies
c. Design construction, repair and maintenance of the government buildings
d. Planning and infrastructure development of Town Development Committees
Its main strength lies in the area of design, construction management and supervision. DUDBC
has experience in preparing Periodic Plans, GIS maps, Urban Maps, Physical Development Plans
and Master plans. It has also developed plans for the development of Corridors. The experience
71
on the social aspects of development is very limited and minimal. However, there is a lack of
clarity in the functions assigned to the DUDBC sections as a similar activity is being undertaken
by multiple sections especially in the area of periodic plans, design and construction. The
sections need to have a clear vision and sense of direction in terms of their functions and long
term objectives including social aspects of the project management.
DUDBC has 16 sections in 3 divisions. The Housing Division and the Building Construction
Division covers all 78 districts including urban and rural areas. Under the Urban Development
Division, DUDBC is responsible for urban development in the 58 municipalities.
At the divisional level DUDBC has 24 divisional offices (Class A=4, Class B= 15, Class C=5).
In addition there is a Building Research and Training Institute and one Special Building
Construction and Maintenance Divisional office (for PM, Judges building etc.).
DUDBC has no any sections, units or focal points involved for social management of the
projects. Of the total 580 existing staff, DUBC has not a single position for social scientist
(sociologist, anthropologist) which clearly indicates that DUDBC has no qualified human
resources to address social issues arising from the implementation of UGDP: NETP. However,
an institutional development study for DUDBC (2009) has recommended for six new posts --
statistician officer-1, GIS specialist officer -1, economist -1, sociologist-1, environmentalist
officer -1, and computer system engineer-1 in DUDBC.
At present the institutional development and project management experience within DUDBC
resides mainly in the UEIP project which is one of the large donor project being implemented by
it. Through this project DUDBC has gained experience in dealing with the municipalities and
preparing and implementation of Land Acquisition and Resettlement Action Plan.
7.3.3 Town Development Fund (TDF)
TDF was established under the Ministry of Physical Planning and Works (MPPW) in 1989 to
facilitate the financing of urban infrastructure projects in municipalities and urbanizing villages.
TDF established under the Town Development Fund Act in 1997 is an autonomous corporate
body providing funds to municipalities as loans, soft loans and grants. The Act provides the
necessary legal protection and mandate for its assigned functions and is quite enabling. TDF‘s
main strength lies on its ability to provide long term loans to municipalities and manage the
recovery of the interest and principal. It has the basic institutional arrangements for municipal
financing in place and to work with GON, municipalities and donors.
As per the Town Development Act 1997, the objectives of TDF are to conduct:
1. works necessary to keep town neat and clean;
2. different kinds of revenue generating and basic social infrastructure projects; and
3. objective oriented research works to find out possible solutions for problems related to
the development of town and the necessary improvements for its development.
Similarly, under the TDF Act 1997, the main function of TDF is to implement social
infrastructure and revenue generating projects and to carry out extension and development of
72
towns in Nepal by providing essential financial and technical support to institutions relating to
urban and town development (i.e. Municipal Corporation, Sub-municipal Corporation,
Municipality and the Village Developing towards Town).
TDF can collect necessary financial resources including grant, loan, donation and gift from GoN,
Government owned organization, nongovernmental organization, foreign Government,
international organization or agency, in order to conduct programs in accordance with its
objectives as per the TDF Act 1997. Since its establishment the main source of funding for TDF
has been from Government of Nepal and Donors (IDA, GTZ, KFW, and ADB).
TDF is headed by the Executive Director. TDF has three departments namely: business
development and technical assistance, financial management, and monitoring, evaluation and
administration. The business development and technical assistance division of TDF will be
responsible project planning, and implementation. The monitoring of sub project and its
activities will be done through monitoring, evaluation, and administration unit of TDF.
Regarding UGDP: NETP, after the identification of the subprojects by the municipality, the
business promotion and project development division of TDF and municipality jointly recruits
the consultant for program implementation. The project appraisal and risk management part will
be dealt entirely by the TDF. The risk management aspect comprises of technical viability,
economic and financial viability, environmental and social safeguards, and institutional
capacities. Based on the project appraisal, the project operation and construction will take place.
Regarding the operation and maintenance of the activity/services; the municipality itself or the
private operator or management board will be responsible. TDF part will be financial monitoring
of such programs and to work out on repayment side of the investment. At present it has 36
employees out of the total staff strength of 64.
The TDF organizational structure has not changed much since the 1980‘s. It is weak in the area
of marketing, social management and safeguard appraisal, long term projections, private sector
financing, technical support to clients, and monitoring. It can manage its affairs with the present
staff and continue to perform at the current scale and level of efficiency. However, to improve
its performance it has to undergo a major organizational restructuring in terms of its vision,
organizational structure and human resources. TDF is already working on finalizing the
organogram on priority basis. However, even in the newly developed organogram, the position
and roles and responsibility of TDF personnel to look after the issues of social safeguard of TDF
involved projects are missing. It was noted that the TDF has no such institutional mechanisms to
address social issues.
TDF has a development outlook as stated in the TDF Act and articulated in its vision. Its
mission is to enhance the quality of life of the people by promoting the sustainable urban
development in Nepal. However, this orientation and focus is not properly reflected in the
activities of the TDF and in the management. Though the appraisal process is required to cover,
social aspect of the proposal, TDF has no specific section, unit focal points with qualified social
scientists to deal with social issues of the proposal. No data is being collected on the social and
economic indicators of the municipalities. It appears that the exposure to social assessments and
capacity to dealing with issues related to gender equity and social inclusion, preparation of R&R
73
policy, vulnerable community development plans and any arrangement addressing such issues is
not in place in TDF. Out of 36 employees, none of the staff in TDF have specific qualification
associated with social safeguard except one socio-economist having degree of Bachelors of Art.
The Bachelor degree in Arts may not been sufficient for conducting complex socio-economic
analysis needed for implementation of socioeconomic infrastructure component of the UGDP:
NETP.
The TDF is currently involved in two major projects funded by ADB; STWSSP and UEIP, both
under MPPW. The TDF has assisted two classes of projects developed under UEIP: (i) revenue
generating projects and (ii) small projects. In all cases the implementing have been either
municipalities, or functional Departments such as DWSS. TDF could not gain any experiences of
addressing social management issues form these projects. TDF appears rather weak in social
safeguard policy formulation and implementation.
7.3.4 Municipalities
Organizational Structure
All the participating municipalities are organized into different sections, sub sections and units.
The number of sections, sub sections and units also vary in each municipality.
For example, Mechinagar Municipality is organized into four sections: i) Administration, ii)
Fiscal Administration, iii) Planning and Engineering and iv) Community Development. There
are 18 sub-sections/units under these 4 sections including internal administration, legal, revenue,
public health and sanitation, municipal police and building permits. Similarly, Itahari
Municiplity is organized into 6 sections: i) Administration, ii) Financial Administration, iii)
Internal Audit, iv) Planning and Monitoring, v) Community Development and Inclusion, vi)
HRD and Information Center. There are 23 sub-sections/units under these 6 sections. Likewise,
Dhankuta Municipality is organized into 7 sections: 1) Administration, 2) Fiscal Administration,
3) Internal Audit, 4) Planning and Monitoring, 5) Community Development, 6) Rural Urban
Partnership (RUP), 7) HRD & Information Centre. There are 27 sub-sections/units under these 7
sections including general administration, legal, revenue, store, engineering, building permits,
street light, monitoring, municipal police, environment and sanitation, social protection, HRD
Centre and entrepreneur development and technology transfer.
The organizational structure of Lekhanath Municipality is comprised of 10 sections: i)
Administration, ii) Account , iii) Internal Audit, iv) Planning and Engineering v) Rural Urban
Partnership, vi) Community and Solid Waste Management, vii) Information Centre, viii) Legal
ix) Ward Service Centre and x) Revenue. There are 3 units under administration. Three units are
store, vital registration and general registration (Darta Chalani). RUP section and Community
and Solid Waste Management Section have the similar objectives but different sections.
Similarly, administration section and Ward Service Centre are also the similar nature. There is
Information Centre without staff provision. Similarly, Baglung Municipality is organized into 5
sections: i) General Administration, ii) Financial Administration, iii) Planning and Engineering,
iv) Public Health, Sanitation and Environment v) Community Development and Social Welfare.
There are 9 sub-sections and 2 units under these 5 sections including internal administration,
vital registration, security & enforcement, account, revenue, store, plan formulation and
74
implementation, urban development and building permits, drinking water and sanitation. There
are six sections in Tansen Municipality. They are: 1) Administration, 2) Financial
Administration, 3) Internal Audit, 4) Planning and Implementation, 5) Rural Urban Partnership
(RUP) and 6) Social Welfare. There are 17 sub-sections/units under these 6 sections. Other sub-
functions include planning, building permit, tax, store, information and management,
environment and sanitation, community development, HRD and store. RUP and Social Welfare
sections are similar in nature and the same staff takes care of both sections and their subsections
and units.
All the municipalities have formed the All Party Mechanism ( Sabadaliya Samyantra) which acts
as the de facto Municipal Board due to the absence of elected representatives and the municipal
council and assembly is operated involving all parties' representatives, public figures, NGOs,
CBOs, line agencies, and private sectors. Each municipality has formed several other committees
as per the local need and requirements. The LSGA and LSGR allow forming up to nine
committees in each municipality. The roles and responsibilities of the committees are as stated in
the LSGA.
Human Resources Capacity for Managing SMF In Dhankuta and Mechinagar Municipalities, the Community Development (CD) section is
managed by officer level staff having education of Master‘s Degree in Geography and Sociology
respectively. The CD sections of the remaining municipalities are managed by non officers
having only intermediate level of education. There is a provision of recruiting at least one social
mobilizer in the CD section of each municipality. The qualification of the social mobilize is
however, vary in each municipality. Thus, the number, level and qualification of staff in CD
section appear inadequate to efficient implementation of SMF.
Coordination and Monitoring
The coordination and monitoring of the actions of and services delivered by the municipalities is
important for the organization to be effective. The function of municipalities and its committees
are to coordinate and monitor the plan, programs and activities within their jurisdiction. But
proper structural arrangement for coordination and monitoring is the main deficiency in the
organization structure of all participating municipalities.
All the municipalities have formed a Supervision and Monitoring Committee whose main
responsibility is to monitor and supervise the construction and investment projects. The final
settlement of any project needs the endorsement from the Committee. However, the Committee's
role is mainly limited to the certification to the project rather than monitoring and supervising
construction. It clearly indicates that the monitoring and evaluation function is not undertaken
properly, and coordination among stakeholders, service providers and clients appears to be weak.
Besides, it appears that all the municipalities have limited capacity for coordination in planning,
implementation and monitoring of development activities with the line agencies (education,
health, forest, agriculture, road, land management, and DUDBC). However, municipalities have
remarkable experiences of working with community groups. It has been informed during the
consultation meetings that in each municipalities numbers of TLOs, NGOs, CBOs and users'
groups are working at household and community levels on development awareness, income
75
generation activities, community level project development and implementation, woman
empowerment and saving credit. TLOs in each municipality are very active, growing in number
and maturing in organization management and services management.
Experiences of Social Management Practices
All the municipalities except Lekhanath have no concrete experience of social management from
external supported program. Lekhanath Municipality executed the ADB loan project small water
supply for construction and development/distribution. After completion of the project the users
committee was formed for operation and management of the water supply facilities. Municipal
support and coordination is mobilized by Water Users Committee for its capacity development
and governance in Lekhanath. The Water User Committee plays very important roles in different
ways in the municipality. Similarly, the UDLE's supports on pro-poor and strategy with action
plan provided fund and capacity development programs to disadvantage groups' of the
Municipality. However, continue support and extension of the similar programs for other areas
are lacking in the municipality. Nevertheless, the TLOs, CBOs and women groups are engaged
in planning and budgeting which seems positive.
However, all municipalities have been implementing some programs related to the
socioeconomic development of women, dalits, Janajatis and other marginalized communities.
They are mainly focused on delivering basic services to the disadvantaged and indigenous
people, Dalits, women, disabled and other vulnerable groups.
All the municipalities have more or less experience of working with the private sector. The
private sector is the main investor in municipalities. Private sector usually has invested in the
sectors of public transportation, land development, commercial trading, hotels, and other
services. However, there is lacking of proper coordination, regulation and support of these
activities by the municipalities. For example, in all municipalities, the private sector is growing
in a chaotic and unregulated manner. Uncontrolled development of land and unplanned growth
of settlement growth in the municipal areas are some of the examples.
Minimum Condition Performance Measures (MCPM) Rankings
MCs (Minimum Conditions) are usually measure in relation to Local Self Governance, Financial
Management, Service Delivery and Transparency, and Formation and Function of Committees
and PMs (Performance Measures) are measures in relation to Local Self Governance, Financial
Management, Planning and Program Management, Organization and Human Resource
Development, and Urban Basic Service Management. The assessment of MCPM of the
participating municipality is presented in the table 7.1.
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Table 6.1 Minimum Condition Performance Measures (MCPM) Rankings
SN Municipality MC Score MC Ranking( N= 58) PM Score PM Ranking( N=58)
1. Mechinagar - 32nd
57 12th
2. Itahari 10 12th
50 26th
3. Dahnkuta - 13th
58 10th
4. Lekhanath 11 9th
49 29th
5. Baglung - 3rd
59 8th
6. Tansen - 10th
63 2nd
Source: Pre-feasibility Study, 2010
The Table 6.1 clearly indicates that all the participating municipalities have adequate MC scores
to get the central grant without any deduction.
Experiences of Ensuring Transparency and Social Accountability
The municipalities publish annual budget and program booklet and distribute to board members
and the representatives of the political parties. Similarly, annual progress review meetings are
held where LAs, NGOs, and political parties' representative are invited for review. Public
hearings take place annually in some municipalities. Similarly there are regular weekly FM radio
programs on municipal affairs in Itahari and Tansen municipalities. However, disclosure of
financial figure, planning and project selection, technical and overall evaluation on a regular
basis to general public as per LSGA and Right to Information Act prescription is very limited.
Similarly, it was revealed municipalities often do not inform the general public the findings of
internal and external/statutory audits, budget achievement of expenditure and revenue targets,
and social and public audits. For some municipal projects a public audit is undertaken but it
appears that the comments of the stakeholders are presented in a ritualized manner and have little
impact on the future operation of municipalities.
The staff of the municipalities are, formally, upward accountable, and elected representatives are,
formally, downward accountable (to the general public). The community development section of
the municipalities promotes community networks such as NGOs, TLOs and CBOs. The section
staffs have a perception that community organizations are growing and need support for quality
community organization and empowerment of the members.
The nature and degree of civil participation appears to be improving. However, there is a
limitation on community participation due to the fact that there are few programs for
consultation. As a result people from different areas and levels of society cannot fully and
effectively participate in the management and development of the Municipality. Let people know
the municipality affairs and communicate their concerns to the municipality is limited in terms of
quality, quantity, instruments/methods and timing. Nevertheless, LGCDP support to prepare the
CD plan has enabled the involvement of stakeholders and the NGOs, CBOs, and UCs. This effort
has contributed to the development of good governance of the municipalities.
Thus, all the participating municipalities are struggling with a limited financial and human
resource capacities and capabilities to deliver their responsibilities. Besides lacking political
leadership (at present municipalities are out of elected representatives), all six municipalities are
77
characterized by a range of capacity and capability limitations, administrative inefficiencies,
ineffective procedures and committees and a lack of co-ordination amongst development
partners (including central government lines agencies, INGOS, NGOs and the donor
community). Few qualified staffs are available to manage infrastructure and urban service
programs and projects. Furthermore, none of the six municipalities has an agreed and adopted
Management Plan, Monitoring and Evaluation System to address various social issues. Given
such weaknesses it is, perhaps, unlikely that in the absence of assistance the municipalities will
be able to prepare and implement a development strategy that can stimulate the production (as
opposed to the consumption) sector of the economy and which ―reconciles the economic,
environmental and social dimensions of urban growth with the evolving political economy of
state restructuring‖.
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PART TWO: SOCIAL MANAGEMENT FRAMEWORK
79
8. RESETTLEMENT FRAMEWORK
Component: Socioeconomic Infrastructure Development through TDF
This Resettlement Framework (RF) is prepared to provide the policy and procedures to screen,
assess, and plan land acquisition and resettlement activities for sub-projects that are prepared and
approved during implementation of the NETP in full compliance with WB‘s Involuntary
Resettlement Policy as well as applicable laws of GoN.
8.1 Resettlement Policy
The resettlement principles adopted for UGDP: NETP recognize the Land Acquisition Act, 2034
(1977) and the requirements of the World Bank (WB) policies on Involuntary Resettlement,
Indigenous People and other relevant acts, policies and guidelines related to urban development.
UGDP: NETP is committed to ensure that all compensation and resettlement activities associated
with the project as a whole are undertaken in compliance with relevant legislation. UGDP: NETP
also acknowledges the need to incorporate best practice involuntary resettlement guidelines, as
embodied in the policies of the WB in its resettlement program to address any gaps/limitations in
the local legislation and ensure the proper restoration of affected livelihoods. For this purpose, a
set of resettlement principles have been developed to guide project preparation and
implementation. The Resettlement Policy (RP) has been prepared based on the general findings
of the reviews of literatures and consultations with central level stakeholders. The details of the
principles are presented in the table 8.1 below.
Table 8.1 Principles and Corresponding Guidelines to Execute Resettlement Policy
Principles Guidelines
Principle 1:
Human displacement and
resettlement will be minimized
wherever possible.
Land acquisition and involuntary resettlement will be avoided where feasible
or minimized to the extent possible through the incorporation of social
considerations into project design options.
In the case of roads (where resettlement issues are most likely to emerge),
while selecting the sub-project, the EA will define the category/type of road
to be constructed and declare the Right of Way (RoW) to a minimum
possible width. Normally, 8 m width of road corridor will be maintained,
except in few sections which require additional support structures. Alignment
designers will select the least agriculturally productive land and will avoid
settlement areas while selecting the road alignment.
Principle 2:
All Project impacts will be
identified and all losses properly
recorded.
An inventory of project affected assets and resources will be undertaken
in full consultation with the concerned households, communities and
authorities.
A database of all project Affected Persons ( APs) will be established
which will include for each household:
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o an inventory of landholdings and non-retrievable improvements
(buildings and structures) to determine fair and reasonable
levels of compensation and mitigation;
o census information, detailing household composition and
demography; and
o current livelihood earning activities.
The asset inventories will be used to determine entitlements and to assist
with the identification of severely project affected persons, while the
census information will be used to monitor household reestablishment.
All information will be entered into the database to facilitate planning,
implementation, and monitoring and evaluation.
Principle 3: Land acquisition, resettlement
planning, budgeting and
implementation will be an
integral part of the Project.
Land acquisition and involuntary resettlement will be integral components of
the project. The project will adopt the following approach:
Land acquisition and resettlement costs will be built into the overall
project budget as an upfront cost;
An institutional and organizational framework will be established as
an integral part of the project‘s management structure. These
mechanisms and arrangements will ensure that compensation,
resettlement and household re-establishment are carried out
promptly and effectively; and land acquisition and resettlement
schedules will be integrated with the project‘s development
schedule.
Areas required by the project will only be occupied after acquisition
and resettlement activities have been successfully completed.
Principle 4: Ongoing and meaningful public
consultation will occur.
Persons whose livelihoods and standards of living will be adversely
affected by project activities -whether through involuntary resettlement,
loss of assets or through being deprived of resources-have the right:
o to be informed in time of project proposals and implementation
schedules;
o to be consulted on measures to restore their livelihoods, and to
participate in the final selection and design of such measures;
and
o to be informed of displacement and land acquisition dates
sufficiently in advance of actual implementation.
Principle 5: Affected persons will be assisted
to restore, and ultimately to
improve, their livelihoods.
The pre-project livelihoods of affected persons will be restored and
ultimately improved through the provision of:
o compensation at replacement rates for all losses and damaged
assets.
o fair, equitable and prompt compensation for the loss of assets
attributable to the project; the absence of legal titles to lands,
property, and facilities will not be a bar to compensation
provided that their eligibility for such assistance has been
confirmed through the community participation structure.
o housing support (cash or replacement housing) and residential
site support (cash or replacement site) where physical
relocation is required;
o resettlement support measures (e.g. evacuation and
displacement allowances) where physical relocation is required;
and
o livelihood restoration and community development initiatives.
Principle 6: Indigenous peoples and
vulnerable groups will be
specifically considered.
Particular attention will be paid to adverse impacts on vulnerable
households/ social categories such as the elderly and physically disabled,
female-headed households, Dalits and indigenous groups who may be
vulnerable to changes brought about by project activities or excluded
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from its benefits. Members of these groups are often not able to make
their voice heard effectively, and account will be taken of this in
consultation and planning processes, as well as in the establishment of
grievance procedures.
Traditional rights to land and other natural resources, communal
property and specific characteristics of ethnic groups in relation to land
and other natural resources and subsequent losses resulting from the
project will be assessed and compensated accordingly.
Principle 7: Grievance and monitoring
procedures will be in place.
Accessible grievance procedures will be implemented, with particular
concern for the situation of vulnerable groups.
Monitoring procedures will be implemented to assess the effectiveness
of land acquisition, compensation, resettlement and livelihood
restoration. Monitoring will be an ongoing activity, employing
mechanisms such as internal monitoring, quantitative and qualitative
socio-economic monitoring and external evaluation.
Principle 8: Resettlement planning will take
account of the regional socio-
economic development context.
Resettlement planning will take account of:
any current/planned government developments in the project
area, including initiatives to address poverty; and
any current/planned NGO/funding agency initiatives in the
region.
Principle 9: Resettlement planning and
implementation will comply with
all legal and policy provisions.
Resettlement planning and implementation will comply with project policies
and the provisions of relevant national legislation pertaining to:
environmental management;
public participation and disclosure;
land tenure, occupation, acquisition and compensation;
local government, development and service provision.
Principle 10:
Adequate process and safeguards
will be built in the resettlement
plan to ensure that the voluntary
land donation is unforced and it
does not lead to impoverishment
of affected people
Sub-project selection and implementation will follow a bottom-up approach,
which gives communities control over planning and sub-project
implementation. Given that most local people are willing to voluntarily
donate part of their land in building community/rural roads and small-scale
rural infrastructure that provide direct benefit to community, the sub-project
will also continue, to some extent, Nepal‘s tradition of land donation.
Following safeguard measures should be taken into account:
Full consultation with affected persons and communities on
selection of sites and appropriate design to avoid/minimize
additional land take and resettlement effects;
As a first principle, APs will be informed of their right to entitle
compensation for any loss of their property (house, land, and trees)
that might be caused by the sub-project construction, and the land
donation might be accepted only as a last option;
No one will be forced to donate their land, and APs will have the
right to refuse a land donation proposal from the EA;
In case APs are directly linked to sub-project benefits and thus are
willing to voluntarily donate their land after they are fully informed
about their entitlement, the sub-project will assess their socio-
economic status and potential impact of land donation and accept
land donation only from those APs who do not fall below the
poverty line after the land donation.
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8.2 Screening and Categorization of Impacts on IR
Screening of subproject for assessing its potential IR impacts will be carried out by the
respective municipalities during the project identification and prioritization process. A checklist
for IR screening has been prepared (see Annex 1). With the help of these checklists, respective
municipalities will assess the magnitude of impacts and classify the subproject depending on the
significance of impacts for involuntary resettlement. The screening criteria based on the degree
of resettlement impacts are:
a) Significant (Category A) - as a result of the subproject, 200 or more people will
experience major impacts, that is, being physically displaced from housing, or losing
10% or more of their productive (income-generating) assets;
b) Not significant (Category B) – as a result of the subproject, fewer than 200 people
will be physically displaced from housing or lose less than 10% of their productive
(income-generating) assets. Resettlement plans are prepared commensurate to their
impacts;
c) No resettlement effect (Category C) – the subproject does not require temporary or
permanent land acquisition, and there are no impacts involving the loss of land,
structures, crops and trees, businesses or income. No resettlement plan is required.
Any subprojects that are determined to cause significant resettlement impacts or indigenous
people impacts (Category A) will not be selected.
The screening and categorization of impact on involuntary resettlement will be initiated by
Municipality (either by the relevant staff or, if there are no such skills, then on contract with an
external party). Relevant review will be done by the Department/Section Head and approval is
provided by the Executive Officer. Social Safeguard Specialist at TDF will finally endorse the
result of screening and categorization of impact on involuntary resettlement.
8.3 Preparation of a Resettlement Plan
After the screening and categorization of the sub-project, the municipalities will prepare
appropriate social management planning documents for IR for sub-projects falling in Category
‗A‘ and ‗B.‘ For these sub-projects, the planning documents shall be as per the principles laid
down in section 8.2 above and will require TDF approval prior to the award of civil works
contracts.
The municipalities (or a consultant contracted by the municipalities) will prepare either a short or
a full RP, depending on the categorization of IR impact as determined by the IR screening
process described above. If there is no impact of a sub-project, a due diligence report will be
submitted confirming the same and also stating reasons for the same.
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The RP (full or short) shall be prepared based on social impact assessment surveys ( see 8.2.2
below) including 100% census survey of the affected people, an asset inventory, landownership,
usage and productivity assessments, and data on the existing economic and social condition of
the affected people including a poverty assessment and a survey of at least 10% of the APs and
20% of the seriously affected people, together with local-level impact data, for the sub-project
based on final technical designs.
A full resettlement plan shall include a statement of involuntary resettlement objectives and
strategy, with:
1. organizational responsibilities;
2. community participation and disclosure arrangements;
3. findings of the socioeconomic survey and social and gender analysis;
4. legal framework, including eligibility criteria and an entitlement matrix;
5. mechanisms for resolution of conflicts and appeals procedures;
6. identification of alternative sites and selection;
7. inventory, valuation of, and compensation for, lost assets;
8. landownership, tenure, acquisition, and transfer;
9. access to training, employment, and credit;
10. shelter, infrastructure, and social services;
11. environmental protection and management;
12. monitoring and evaluation;
13. a detailed cost estimate with budget provisions; and
14. an implementation schedule, showing how activities will be scheduled with time-
bound actions in coordination with the civil works.
A short resettlement plan will cover the same issues as that of a full resettlement plan, as
relevant, but in less detail. However, the short resettlement plan shall ensure that adequate
compensation, rehabilitation, and relocation arrangements are planned and budgeted.
8.4 Entitlement for Various Losses
An Entitlement Matrix (EM) (see Annex 2) has been developed as per this framework and
outlines various types of losses that could result from a sub-project and provides for
compensation. The matrix lists various types of losses, application parameters, entitled persons,
and entitlements. The matrix will apply to all sub-projects entailing IR impacts. If during further
processing of a sub-project and implementation additional resettlement impacts are identified,
the entitlement matrix will be updated by including provision of compensation and assistance for
the additional impacts by mutual consent between the municipalities LB and TDF.
The entitlement matrix has been prepared in accordance with GoN and World Bank policies.
Following detailed design, the detailed measurement survey (DMS) of AP's land and/or non-land
assets and detailed census survey will be used for determining actual impacts, and replacement
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cost surveys (or asset valuation) will be carried out. This information will be used to inform the
(Land Acquisition Compensation Fixation Committee (LACFC) cost determination, or used to
inform the negotiation of land value between the municipality and plot owner as per the LAA.
All involuntary land acquisition (other than exceptional voluntary land donation) will be
compensated at replacement cost and APs assisted so that their economic and social future
would generally be as favorable as it would have been in the absence of the sub-project. Under
the Project, a representative from the affected persons is required to be a member of the LACFC
to ensure compensation for assets is at replacement value. Where the replacement cost of the
LACFC is lower than the market determined value, the municipality and/or government is
required to pay the difference. In cases of disputes such as where land records are not updated or
where the APs are unable to produce the desired documents, then the compensation amount will
be deposited with the CDO till the case is disposed.
8.5 Eligibility of Affected Households/Persons
The following individuals, group of peoples, communities and Government agencies are entitled
to compensation and assistance under the project:
Landowner:
A person who owns land/s within the project-affected areas with legal ownership documents.
In some exceptional cases, a person who owns land/s within the project-affected areas
regardless of proof of such ownership will also be entitled. However, special decisions by the
concerned Governmental agency shall be made taking into account the local
government/community's recommendation also.
Land Tenant:
A person who works on a project-affected land owned by another person with a legal proof
from Land Revenue Office.
Structure Owner:
A person who owns a project-affected building/structure including a dwelling unit but
resides in an area not affected by the project.
Business Owner:
A person who owns or conduct a business within the project-affected area, the operation of
which will be disrupted by the construction of the project.
Community:
A community who owns project affected building structures or resources and utilizes
buildings or resources of the affected areas.
Government Agency:
A government agency that owns project affected building structures or resources and utilizes
buildings and resources of the affected areas.
Project Affected People (PAP):
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Includes any populace, households regardless of their ownership status as encroachers /
squatters etc that will face their living adversely affected; and/or loose their right or title on
land, house, habitat, water resources or any other asset possessed, due to the project
implementation.
Project Affected Families (PAFs):
All members of a project affected household residing under one roof and operating as a
single economic unit, who are adversely affected by the project or any of its components.
Significantly Project Affected Families (SPAFs). The affected Families who lose 25% or
more of their land or income or a residential house because of project intervention.
Squatters:
People who have occupied land violating the laws and are not entitled to compensation for
lost land under this policy. But, if displaced they are entitled to resettlement assistance as
well as compensation for loss of other assets except land.
Vulnerable Groups:
Distinct groups of socially distressed people who might suffer disproportionately from the
effects of resettlement. These may be ethnic minority/ indigenous groups, women headed
households, the most poor (based on the poverty line), the disabled, elderly and landless/
families.
Cut-off date
The cut-off date for title holders is based according to the Land Acquisition Act, 1977 and
for non-titleholders the date of the census survey. Those who encroach into the subproject
area after the cut-off date will not be entitled to compensation or any other assistance.
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9. INDIGENOUS PEOPLES (IPS) AND VULNERABLE
COMMUNITIES DEVELOPMENT FRAMEWORK
This framework is applied for the following UGDP component activities wherever applicable:
Component I: Socioeconomic Infrastructure Development through TDF
Component II & III: Block Grant through MLD and Institutional Development through
DUDBC
IPs and Vulnerable Community Development Framework (IP/VCDF) is prepared to guide the
preparation of sub-projects under the program to ensure better distribution of the benefits and
promote development of the adivasi/janajatis along with other disadvantaged social groups in all
sub-project areas of influence. The IP/VCDF is developed based on the national
policies/strategies as well as WB‘s Indigenous Peoples Policy. The principal objectives of the
VCDF are to:
a. ensure the participation of the affected IPs and other disadvantaged groups in the
entire process of preparation, implementation, and monitoring of sub-project
activities,
b. guarantee that sub-project benefits will accrue to IPs and vulnerable communities,
and mitigate any adverse impact,
c. define the institutional arrangements for screening, planning, and implementation of
IP/VCDF for sub-projects, and
d. outline the monitoring and evaluation process.
9.1 Screening and Categorization of Impacts on IPs and Vulnerable
Communities
Initial screening of sub-project impacts on IPs and vulnerable communities will be conducted as
early as possible in the sub-project cycle to categorize the impacts and identify subsequent
approaches and resource requirements to address IP issues. A thorough screening will be
conducted during the project feasibility study and preparation of DPR. Social Consultant
(Anthropologist/ IP specialist) will be required to identify IPs and vulnerable communities
belonging to the area of the sub-project, their population (number and ratio), and their
characteristics as compared to the main population in the sub-project influence zone through
primary and secondary data collection.
Sub-projects will be categorized according to the level of impacts on IPs and vulnerable
communities. These will be determined by the type, location, scale, nature, and presumed
magnitude of potential impacts on IPs and vulnerable communities. Based on this, the sub-
projects will be categorized as per table 9.1
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Table 9.1 Categorization of Impact on IPs and Vulnerable Communities
Category Determination of the type of Social Assessment Needed
Category A Sub-projects expected to have significant impacts3 that require an Indigenous People
(IP)/Vulnerable Group Development Program
Category B Sub-projects expected to have limited impacts that require specific action for IP/
Vulnerable Group in resettlement plans and/or social action plans
Category C Sub-projects not expected to have impacts on IP/ Vulnerable Group and, therefore, do
not require special provision for IP/ Vulnerable Group
The municipality will initiate the screening and categorization either by the relevant staff or, if
there are no such skills, then on contract with an external party/social consultant. Required
review will be done by Social Development Officer of the Municipality. Approval is provided by
the Executive Officer of the Municipality. Final endorsement of the same is provided by the
Social Safeguard Specialist at TDF. Once finalized, the IP/VCDF report and categorization form
will be included in sub-project feasibility/design report to be submitted to TDF/World Bank. The
subproject Impact Categorization Form is presented in Annex 3.
9.2 Social Impact Assessment (SIA) and Preparation of IP/VCD Plans
Respective municipalities will carry out social impact assessment either by their own staff or by
hiring of consultants (Anthropologist/ IP specialist) as part of the detailed feasibility/design of
the sub-project. The SIA will gather relevant information on demography; social, cultural and
economic situation; and social, cultural and economic impacts on IPs and vulnerable
communities including 100% census survey of the IR affected people, an asset inventory, and
landownership, usage and productivity assessments. The SIA survey format is provided in Annex
5. Additional information will be gathered through separate group meetings or Focused Group
Discussion (FGD) among the IPs and vulnerable community, including their leaders, NGOs,
3 The impacts on IP/ Vulnerable Group will be considered ‗significant‘ or Category A if the sub-project positively or negatively:
a) affects their customary rights of use and access to land and natural resources,
b) changes their socio-economic status,
c) affects their cultural and communal integrity,
d) affects their health, education, livelihood, and social security status, and/or
e) alters or undermines the recognition of indigenous knowledge.
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CBOs, and affected persons. Discussions will focus on potential positive and negative impacts of
the sub-project; measures to enhancing positive impacts; and strategies/options to minimize
and/or mitigate negative impacts.
Based on the SIA, the sub-project will develop appropriate mitigation measures and livelihood
enhancement activities for IPs and other vulnerable groups. In case of limited impacts, specific
actions for IPs will be spelled out in the resettlement plan and/or social development plan for the
sub-project. If the SIA determines that the sub-project will have significant differential impact on
IPs compared to the mainstream population, an IP/VCDP will be prepared to enhance
distribution of sub-project benefits and promote the development of IPs and vulnerable people.
The municipality staff or consultant will prepare either a short or a full IP/VCDP depending on
the magnitude and complexity of sub-project impacts as determined by the social screening
process described above. The IP/VCDP should response the:
aspirations, needs, and preferred options of the IPs;
local social organization, cultural beliefs, ancestral territory, and resource use patterns
among the IPs and other vulnerable people;
results and framework of a process of free, prior, and informed consultations;
potential positive and negative impacts on IPs;
measures to avoid, mitigate, or compensate for the adverse sub-project effects;
measures to ensure sub-project benefits will accrue to IPs;
an action plan of measures to ensure that IPs receive social and economic benefits that
are culturally appropriate;
accessible procedures for grievance redress;
baseline information for evaluating the outcomes of the IPDP;
measures to strengthen social, legal, and technical capabilities of government institutions
to address IP issues;
the possibility of involving local organizations and non-governmental organizations
(NGOs) with expertise in IP issues; and
budget allocation and monitoring.
The respective municipalities will submit the IP/VCDP to WB (via TDF) for review and
approval prior to award of civil works contracts for subprojects falling in categories A and B. In
case of category C, the IP/VCDP will be approved by municipalities (i.e., implementing
agencies) within the framework prescribed by WB/TDF.
The IP/VCDP will consist of a number of activities and include mitigation measures of the
potential negative impacts through modification of sub-project design and development
assistance to enhance distribution of sub-project benefits. Where there is land acquisition or
structural losses in the ethnic/indigenous communities, the program will ensure that their rights
will not be violated and that they will be compensated for the use of any part of their land in a
manner that is culturally acceptable to them. The compensation measures will follow the
Resettlement Framework discussed above.
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10. FRAMEWORK FOR STRENGTHENING GOOD
GOVERNANCE AND SOCIAL ACCOUNTABILITY
This framework is applied for the following UGDP component activities wherever applicable:
Component I: Socioeconomic Infrastructure Development through TDF
Component II & III: Block Grant through MLD and Institutional Development through
DUDBC
The purpose for the preparation of the Governance & Accountability Framework (GAF) is to
strengthen the accountability arrangements and improve transparency in the functioning of
UGDP: NETP. At the conceptual level, good governance and social accountability intersect at
the core value of accountability that is -- the imperative to make public officials answerable for
government behavior and responsive to the entity from which they derive their authority.
The concept Demand for Good Governance (DFGG) refers to the extent and ability of citizens,
civil society organizations, and other non-state actors to hold the state accountable and to make it
responsive to their needs. And, in turn, DFGG enhances the capacity of the state to become
transparent, accountable, and participatory in order to respond to these demands. Similarly,
DFGG does not mean just about ‗want‘ better governance. It becomes demand for good
governance only when the ‗want‘ is backed by an ability to realize it – that is when citizens are
truly empowered.
The UGDP: NETP is committed to promote the four elements of DFGG that are the ways in
which the ‗wants‘ for good governance can be translated into effective demands for good
governance.
1. Promotion of demand. The ability of citizens, civil society, and other non-state actors to
demand better governance depends on their access to information, and the degree to which
they can act effectively on this information.
To achieve this, UGDP: NETP will strictly adopt the following steps:
(a) Disclosure of information: the project will maintain a high level of transparency of the
(sub) project activities regarding budgets, expenditures, programs, etc.). Such information
will be disclosed through appropriated means of communication at the beginning and end
of the project. At the centre level, all the information of project will be posed and
published in websites and newspaper. All the (sub) project level information will be
disclosed in local languages using FM radios; conducting community assemblies, public
hearing, establishing hording boards, posting public notice and similar community
friendly means of communications.
(b) Demystification of information: The project will strengthen the level of awareness and
understanding of citizens on laws, rights, budgets, policies, etc. Right based training and
advocacy activities will be designed and conducted in a community friendly manner.
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(c) Dissemination of information: The project will spread and make available information
related to governance issues, processes, finances, laws, etc) to the ordinary public.
Thus, in promoting demand, these three ―Ds‖ will be followed by a ―C‖ – collective action –
which would encompass mobilizing broader action and advocacy around this information.
Accordingly, initiatives such as freedom of information, awareness campaigns, rights
education, and media programs that promote demand will be carried out to strengthen the
first element of DFGG.
2. Mediation of demand. While mobilizing demand through advocacy and information
dissemination are important, these elements only become effective through mediation and
institutionalized feedback to the project management. Thus, strengthening DFGG also
involves:
creation and strengthening of avenues for feedback of citizens and civil society to
public officials;
encouraging consultation of these actors in decision making and public actions of
executive agencies;
formal and informal mechanisms for dispute resolution through initiatives such as
interface meetings between citizens and public officials ( public hearing) and ,
grievance redress committee.
3. Response to demand. After mediation comes response, without which demand alone would
remain powerless and non-credible and result in unmet expectations. Thus, institutionalizing
DFGG includes developing programs and initiatives within the executive that respond to
demand either through
innovations in service delivery,
response-based performance incentives, or
participatory action planning.
In order to enhance transparency, an e-procurement process can be adopted to include e-contract
management, e-billing, e-payments making the process easy and user-friendly.
4. Monitoring to inform demand. Finally, non-executive actors, such as the media, and civil
society will be involved for overall monitoring and oversight of the project. Such monitoring
reports generate key information for the executive, civil society, and ordinary citizens which
feeds back into the process of promoting DFGG – thus completing as well as continuing the
cycle
The following actions are proposed as a way to involve civil society and CBOs in municipal
activities, strengthen implementation capacity and ensure greater social accountability/demand
side governance.
a. Encourage participation of different stakeholders in municipal activities: Civil
society organizations, interest groups and community-based organizations need to be
incorporated better in municipal decision-making, particularly the planning process, so
that municipal decisions are more inclusive, participatory and effective. This can be
accomplished by requiring the municipalities to closely follow the 14-step planning
process mandated in the LSGA. More specifically, the planning process could involve
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holding meetings in each ward with the involvement of political party representatives,
municipal officials, members of civil society organizations and community-based
organizations; collect suggestions and prioritize them based on certain criteria such as the
needs of the municipality; and consulting again with these different groups at the ward
level once the initial selection of projects has been completed. A final round of
meetings/consultations should be held after the Executive Officer and the APM come up
with their list of projects so as to provide different stakeholders with the opportunity to
scrutinize the proposed plans/projects as well as demand modifications if need be. The
final selection of the projects/plans should be made based on these consultations.
b. Encourage project implementation through users’ groups and TLOs: Given that the
contracting process is notoriously prone to corruption, to the extent possible, projects and
programs need to be implemented through UGs and TLOs in order to minimize leakages,
improve service delivery, encourage community ownership and also to strengthen the
interface between local government institutions and community members. However,
given the tendency of UGs to contract out the projects allotted to them, it is paramount
that such practices be discouraged. Instead, if a UG lacks capacity, the municipality
should hire external consultants to work with it so that it can implement the project by
itself.
c. Improve capacity of community-based organizations like TLOs and users’ groups: One of the major problems in all municipalities has been that CBOs and UGs do not have
sufficient capacity to implement and manage large-scale projects handed to them. As a
result, projects constructed and managed by the UGs are either of substandard quality
(despite promoting community ownership, improving service delivery, etc) or are sub-
contracted out to local contractors. It is therefore essential to build the capacity of
community-based organizations. Members of users‘ group should be trained in aspects
such as bookkeeping, work organization and planning, labor recruitment and supervision,
procurement of goods and materials, and operation and maintenance. Trainings can be
provided by municipal staff (site supervisor, social mobilizer), NGOs or consulting firms
in the private sector. In addition, users‘ groups can be provided with external technical
consultants if required.
d. Introduce mechanisms to improve transparency in the contracting process: At
present, the contracting process across municipalities is highly susceptible to corruption.
It is common for certain contractors to bar others from submitting tenders by using
strong-arm tactics, for contractors to receive contracts in connivance with the municipal
office, or for the contractors‘ associations to indulge in collusion among its members
while barring outsiders from submitting tenders. This process needs to be improved upon
by introducing more transparent and competitive measures such as e-bidding or a double
envelope system which separates the technical proposal from the financial. Further, in
cases where users‘ groups resort to subcontracting, the process needs to be
institutionalized and formalized by involving the municipality. As present, when
subcontracts are awarded contracts, the process is not transparent and very haphazard,
especially since subcontracting by the UGs is against the provisions of the LSGA.
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e. Facilitate/enhance monitoring functions of different stakeholders: According to the
LSGA, all monitoring is to be undertaken by the municipal office. This provision,
however, has proven inadequate to monitor projects under implementation as it is
undertaken in a somewhat haphazard manner. Steps should be taken to institutionalize
monitoring arrangements, by requiring monitoring to take place at specific intervals, for
example. The participation of political party representatives in the monitoring teams has
also not been satisfactory as they lack knowledge of the technical aspects of the project.
The municipal office should involve the parties to a greater degree in monitoring,
beginning by training them in the specificities of the project. In addition, the municipality
could consider involving select civil society representatives or, where the municipality
itself lacks the capacity, external consultants in monitoring teams.
f. Introduce principle of inclusion at all levels: Upper-caste groups and, in some areas,
Newars, dominate public life in all of the six UGDP-targeted municipalities. There is a
need to encourage inclusivity to ensure greater representation of marginalized groups at
all levels, especially those of Dalits and Janajatis. In order to aid this process, the
adoption of the MPPW initiated Gender Equity and Social Inclusion (GESI) framework
should be adopted. Introduction of such inclusive policies can not only provide a
foundation for the successful implementation of projects and programs but also avert the
possibility of grievances being exacerbated.
g. Work with NGOs and pressure groups to undertake good governance programmes:
There is currently a complete absence of civil society oversight on local governance. This
can be remedied by working with NGOs and pressure groups to hold awareness-raising
programs in communities regarding the responsibilities of local governments. Once
sensitized, the same organizations should be encouraged to hold public hearings where
community representatives can directly ask questions to the municipal officer and
political parties (or, in other cases, the LDO, VDC secretaries or the CDO).
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11. SMF IMPLEMENTATION AND MANAGEMENT
11.1 Institutional Arrangements
The Ministry of Physical Planning and Works (MPPW) will be the Executing Agency (EA), and
the Ministry of Local development (MLD) will be co executing agency of the UGDP: NETP. On
a day to day basis, implementation will be coordinated by a Program Coordination Office (PCO)
comprising of a Program Director well as three Component Managers, representing each of the
participating national institutions (MLD, TDF and DUDBC) and in-charge of their respective
components. The PCO will play a coordinating and facilitating role to all three components to
implement social safeguard measures spell out in the SMF. A social safeguard specialist will be
based in PCO for this purpose.
The TDF will manage the Socio-economic Infrastructure Development component, which will
support expansion/rehabilitation of essential infrastructure/services for which the municipalities
are responsible. The TDF should establish a social safeguard or management unit or focal point
with qualified and adequate human resources (social anthropologist / IP Specialist) to confirm
smooth implementation of the RP/IPP and take corrective actions if necessary. The participating
municipalities will be the Implementing Agencies (IAs) for (i) Socio-economic investment sub-
projects, (ii) utilizing the block grants provided under the project, and (iii) completing
institutional development actions within their jurisdictions. A Municipal Coordination
Committee (MCC) comprising of Executive Officer (EO), representative from All Party
Mechanism (APM), Government line agencies, Civil Society Organization (CSO) will be
responsible for overall program coordination, policy guidance, and monitor progress on a
periodic basis at municipal level. A municipal level Project Management Team (PMT) will be
set up, comprising of the Executive Officer and the section chiefs of the key sections of the
municipality to implement the project at the municipality level. In addition, the municipalities
shall designate staff for project-related financial management, procurement and safeguards
implementation.
The PMT with the continuing support of MMC will deal all project implementation issues,
including land acquisition and resettlement issues, enhance collaboration among relevant
departments and organizations, and expedite decision-making processes with an aim at achieving
intended project output and outcome.
The municipalities will have the primary responsibility of planning, coordination and financing
of the sub-project RP/IPP/VCDP. TDF will ensure that the respective PMT will update the
resettlement plan during the detailed design stage, if required, and implement the final plan. In
addition, the TDF will verify the implementation of all RP/IPP requirements and confirm
whether APs received entitlements as per the RP/IPP prior to the award of civil work contracts.
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The PCO will have overall responsibility to ensure that municipalities are in compliance with
framework and follow all policy principles and procedures to address IR/IPP/VCDP issues as
laid down in the framework.
An indicative schedule will be prepared for RP/IPP/VCDP preparation and implementation
activities in relation to technical works. It will show the time schedule of all land acquisition and
resettlement activities including commencement and finish dates before acquisition/demolition
and procedures for implementing the key elements.
Table 11.1 Role and Responsibilities for SMF Implementation in Sub Project Cycle of
UGDP
Sub project
Cycle
Main Task related to SMF Responsibilities
Identification of
Sub-project
Identification through a participatory process
considering social aspects, issues and problems
Collection of information required for social
screening of the sub-project
Social Development
Officer ( SDO) of
the municipalities
Project Preparation Social Screening & categorization of impacts in
terms of land acquisition and impact on IPs and
Vulnerable people
Carrying out of Social Impact Assessment (SIA) &
prepare FULL/or SHORT Resettlement Action Plan
(RAP) and Vulnerable Community Development
Plan (VCDP) wherever necessary
Preparation of a detailed sub-project proposal
detailing social aspects, alternatives for minimizing
the negative impacts as per SIA Study findings
Social Development
Officer ( SDO) of
the municipalities
Social Safeguard
Consultant hired by
municipalities
Social Safeguard
Consultant hired by
municipalities
Appraisal Assessment of mitigation measures and entitlements
initiatives stated in RAP
Assessment of institutional capacities to implement
mitigation measures, monitor social aspects of the
sub projects
Social Safeguard
Consultant hired by
TDF
Implementing &
Executing
Building of institutional capacities to implement
mitigation measures, monitor social aspects of the
sub projects
Implementation of the provision of entitlements to
the PAPs and other social impacts mitigation
measures with the help of local communities,
NGOs/CBOs and private sectors
Social Safeguard
Consultant hired by
DUDBC
PMT
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Monitoring &
Evaluation
Documentation of the progress acquiring the
feedback from PAPs on provision of entitlements
and other arrangements and reporting to the line
ministry, PCO, TDF & World Bank
Annual monitoring and evaluation of progress on the
social safeguard compliance through Third Party
Assurance
Identification of shortcomings and
redressal of these grievances
PMT
Independent Social
Safeguard
Consultant hired by
municipalities
PMT
11.2 Consultation and Information Disclosure
11.2.2 Public Consultation
Consultations during Prefeasibility Study and Preparation of SMF
Public consultations were conducted by the consultant and PPT members during prefeasibility
study in June and September 2010. The main objectives of the consultation were to disseminate
information about UGDP: NETP to municipalities and local stakeholders and to identify the
priority project in each municipality. In each municipality, information about the UGDP: NETP
was disseminated to (i) the representatives from the political parties, line agencies and the
municipal administration; (ii) the member from the civil societies and CBOs; (iii) members from
the poverty clusters and women and finally a plenary session was conducted where the findings
from each group discussion and interaction were presented to prioritize project unanimously.
Similarly, Consultation meetings with MLD, DUDBC and TDF were conducted by the SMF
consultant in order to prepare social and management framework. The consultation was mainly
focused on institutional, human resources and past experiences of social management practices
of these organizations in terms of land acquisition, R&R policies and IPs and vulnerable
community development plans. The consultation also assessed the institutional capacity of MLD,
DUDBC and TDF to implement and monitoring the compliance of social safeguard measures
reflected in the SMF.
Modes of Future Consultations
A range of formal and informal consultative methods will be carried out for all subprojects
including, but not limited to: focus group discussions (FGDs), public meetings, community
discussions, and in-depth and key informant interviews; in addition to the censuses and socio-
economic surveys. Consultations will be held with special emphasis on vulnerable groups.
Encouraging public participation in consultations informs the public and serves as a venue for
the public to express their opinion on priorities which the Project should address.
The key stakeholders to be consulted during sub-project preparation, RP/IP& VCDP
implementation, and program implementation includes:
96
all APs, including vulnerable households;
project beneficiaries;
host populations in resettlement sites (if any);
political party representatives, community leaders, and representatives of community
based organizations;
local NGOs;
officials of municipalities and relevant government agency representatives.
Consultations with APs during RP and IPP preparation will ensure that views of APs on
compensation and resettlement assistance measures are fully incorporated while consultations
conducted during RP implementation will identify necessary assistance required by APs during
rehabilitation. Continuing involvement of those affected by sub-projects is necessary in the
resettlement process. The municipality with support and guidance from the PCT and TDF
consultants will ensure that APs and other stakeholders are informed and consulted about the
sub-project, its impact, their entitlements and options, and allowed to participate actively in the
development of the sub-project. This will be done particularly in the case of vulnerable APs, who
will be encouraged to choose options that entail the lowest risk. This exercise will be conducted
throughout the sub-project—during preparation, implementation, and monitoring of sub-project
results and impacts.
The PCT will ensure that views of APs, particularly those who are vulnerable, related to the
resettlement process are looked into and addressed. The PCT will ensure that APs consulted are
informed of the outcome of the decision-making process, and will confirm how their views were
incorporated. Since resettlement is a continuous process and baseline data/information will be
collected, the PCT will regularly update the baseline information.
11.2.3 Information Disclosure and Dissemination
Summaries of the RP/IPPs of SMF will be made available in Nepali language to the APs, local
NGOs, and public offices in the sub-project site. Copies of these documents will be provided to
any requester by charging the photocopy cost. The draft and final SMF will be disclosed in the
websites of MLD, DUDBC, TDF and WB and made available to APs. Information dissemination
and consultation will continue throughout program implementation.
For all sub-projects, information will be disseminated to APs at various stages. In the initial
stage, the participating municipalities will be responsible for informing potential APs and the
general public of the project about the land acquisition requirements through leaflets and
publication in local media outlets and newspapers. PMT will conduct consultations and
disseminate information to all APs during these initial stages to create awareness of the project.
In the implementation stage, the municipality will provide information to APs on IR policies and
features of the RP in appropriate mode and means of communications. Basic information such as
sub-project location, impact estimates, entitlements, and implementation schedule will be
presented to APs. This will enable stakeholders to provide inputs on the resettlement process,
prior to award of civil work contracts.
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11.2.4 The Information and Consultation Strategy (ICS)
It is intended to lay out the way in which information will be provided to the project
implementers and beneficiaries and also how consultations will be held during project
implementation. Its purpose is to ensure social and environmental issues are effectively
addressed by the project and subprojects through a transparent and participatory manner. The
primary responsibility for the implementation of the ICS is vested in the municipalities. The
following matrix shows a typical plan for provision of information and consultations for sub-
projects in the UGDP: NETP
Table 11.2 Information and Consultation Strategy (ICS) for UGDP: NETP
Stages of a subproject Consultation and Information steps
Pre-sub-project
planning stage
STEP – 1: Proposal and Feasibility (Information Role)
Once a sub-project is identified the PMT should undertake a feasibility
study determining the feasibility of the sub-project in view of the
adverse social impacts it may pose. This study is an important source
of information to the executing and implementing agencies (MPPW,
MLD, TDF municipalities) and also to the community for whom the
sub-project has been proposed. The feasibility study should address
the following:
Are the proposed goals of the sub-project valid
Who is the public for whose benefit the sub-project is being
introduced
How is the sub-project going to serve them and is it in their
interests
The alternatives to the sub-project and whether the alternatives
are cost affective
Will there be any adverse social impacts due to the
implementation of the sub-project
What would be the implementation strategy of the sub-project
etc.
Pre-sub-project
planning stage
STEP – 2: Initial Public Consultation (Consultation Role)
The findings of the sub-project feasibility, its benefits and impacts
need to be discussed with the community for whom the sub-project is
proposed. This would help the implementing agency in taking the
opinion of people, make them understand the pros and cons of the sub-
project, alternatives examined and the sub-project finalized.
Planning and
grounding stage
STEP – 3: Socio Economic Assessment/Analysis (Information and
Consultation Roles)
In this stage it is important to ensure that there are no adverse social
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impacts of the subproject. The sub-project may be passed if it has no
impacts and implementation can be initiated. However, if the sub-
project triggers any social impacts then the following steps are to be
considered while planning the sub-project.
Identification of the PAPs through census survey
Collection and analysis of the baseline data
Preparation of Resettlement Action Plan
Preparation of Tribal Development Plan in case the sub-project
effects tribal communities
Land Acquisition Assessment
Generation of other relevant information and
Consultation and communication strategy
Planning and
grounding stage
STEP – 4: Detailed Project Report (Information Role)
Initial consultations, feasibility and socio-economic assessments on
the sub-project will pave the way for the preparation of the Detailed
Project Report (DPR). The DPR should constitute information on
various components for successful sub-project implementation. The
DPR will constitute:
A final design of the proposed sub-project after examining the
various alternatives to reduce the social impact on the people
The cost of the sub-project construction
The time frame the completion of the sub-project
The institutional arrangements for implementing the sub-
project
Plans and proposals covering R&R issues
Design to ensure community participation in the sub-project
(Beneficiaries, PAPs, NGOs, community organizations)
Plan for external help wherever needed (Experts, Advisors,
Consultants)
Grievance redressal mechanisms
Planning and
grounding stage
STEP – 5: Preparing for project implementation and sharing
information (Information and Consultation Role)
Once all the documents like prepared list of PAPS affected, the type of
entitlements, plans for reconstruction of public utility infrastructures,
details of land acquisition etc., steps have to be taken to disseminate
the information among the PAPs and prepare agencies for project
implementation. Following tasks will be carried out in this step:
Announcement of the project
Displaying the layout of the project affected area
R&R policy provisions and entitlements for the PAPs
Consultations with the affected people and public hearing
Involving NGOs/community in R&R implementation
Implementation stage STEP – 6: Addressing issues that arise during implementation
(Consultation Role)
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In this stage there may be many issues that the project-implementing
agency may face during the implementation of the project such as:
Problems pertaining to compensations & allowances
Unexpected reactions from the PAPs with regard to the
entitlements
Conflicts between the displaced community and the host
community etc.
To overcome these problems the PMT would adopt a consensual
approach and address the grievances and queries of the people
affected.
Monitoring and
evaluation stage
STEP – 9: Monitoring Process through participation (Information
and consultation Roles)
The process of participatory monitoring and evaluation (M&E) is the
logical extension of the ICS activities. Beneficiary committees can be
formed for monitoring and supervision of the sub-project works. The
process should also ensure that the project benefits have properly
reached the affected people and the execution of the project sticks its
original designs so that social compliance is achieved. Following tasks
are essential in this stages:
Ensuring the implementation of the RP/IP/VCDP and timely
delivery of entitlements (Consultation Role)
o Ensuring that the RP/IP/VCDP is implemented according
to a designed plan and also the timely delivery of the
compensations and rehabilitation assistance to the PAPs is
the responsibility of the PMT. The role of CSOs can be
very crucial at this stage
Reporting (Information Role)
o Reporting is an important aspect of the M&E process.
Periodical reporting is important to generate information on
the progress of the work undertaken. The status of the
implementation of the RP/IP/VCDP and progress has to be
documented
11.3 Grievances Redress Mechanism
It is expected that through a participatory process, acceptance of the sub-projects and grievances
can be minimized. However, it is necessary to establish an effective grievance redressal
mechanism to address complaints/grievances related to social issues that may arise. Any
grievances and objections retarding the social aspects of the project will be referred to the project
Grievances Redress Committee (GRC). The project GRC will be formed at central and municipal
levels. PCO with one NGO representative from SC will act as GRC at central level whereas a
five members committee comprising of ex-elected Mayer/or Vice-Mayer, representative from
political parties, Tole Lane Organization (TLO), Consumer Forum/ User Group and Chamber of
Commerce and Industries will act as GRC at municipality level. The GRCs at both levels will
100
meet as needed to determine the merit of each grievance, and resolve grievances within a
stipulated timeframe of receiving the complaint.
The affected persons can register their grievances at the complaint cell established at PCO in
central level and municipality at local level. Complaints should be addressed to the complaint
cell at PCO and PMT or municipality. All complaints received should be first registered,
categorized and prioritized by the Social Safeguard Specialist at PCO and Social Development
Officer at PMT. They should be analyzed and assessed the concerns raised by the affected parties
and have discussion and consultation with them. Records of all such proceedings should be
maintained, for future reference, and the attendance of all participants with their signature, in
particular the complaints and affected groups should be recorded. If grievances cannot be
addressed, the matters are brought to higher authorities (which could be the municipal board,
court or central government)
PCO and PMT will keep records of all grievances received including: contact details of
complainant, date the complaint was received, nature of grievance, agreed corrective actions and
the date these were effected, and final outcome. The GRC should provide the concerns of the
complainants on issues relating to negative and physical impacts that they conceive would occur
by the implementation of the particular project sub-component. All complaints should be signed
with complete information on name, contact address, phone number if any so that the person can
be contacted when required. An acknowledgement to the effect that the complaint has been
received by the coordinator‘s office should be promptly sent to the complaints.
Any grievances and objections related land acquisition and RP/IPP will be referred to the
Grievances Redress Committee (GRC). The constitutional basis of the Grievance Redress
Committee (GRC) for RP/IPP activities is Clause 11 of the Land Acquisition Act of Nepal 2034
(1977). The Act assigns CDO as the sole responsibility to chair land acquisition activities. In
keeping with the legal provision mentioned in the Act, the basic process of grievances redressal
to be undertaken under the Project will be as follows:
Decisions should be given within fifteen days after receiving the grievances.
Further processing of the grievances or any decision should be taken only after
consultation with the CDO and also the Project Officer, if deemed necessary.
Ministry of Home Affairs can exercise legal authority through the District court while
investigating in the matter of such grievances.
11.4 Monitoring and Reporting
Monitoring is a major part of the social management framework to ensure its goals are met. RP
implementation will be monitored internally. The monitoring procedures of SMF will fully be
consistent with the monitoring provisions spell out in the recently endorsed Municipal Blended
Guidelines. The RP/IPP implementation activities will be closely monitored internally by the
PMT and TDF. This will involve: (i) administrative monitoring to ensure that implementation is
on schedule and problems are dealt with on a timely basis; (ii) socio-economic monitoring during
and after any resettlement impact by utilizing baseline information from sub-project preparation;
(iii) overall monitoring to assess AP status; and (iv) preparation of progress reports to be
101
submitted to TDF by the PMT reporting actual achievements against the targets fixed and
reasons for shortfalls, if any.
The PMT will maintain a record of all transactions in their resettlement database, followed by
entitlement records signed by AP and survey based monitoring of resettlement / land acquisition
progress on trimester basis and report to the line ministries, PCO, TDF and WB wherever
required. Monitoring will ensure:
That all internal training of relevant safeguards staff occurred;
Verification that there are no outstanding or unresolved land acquisition issues with
respect to the project and that property valuation and economic rehabilitation has
been carried out in accordance with the provisions of the plan;
Information campaign and consultation has been carried out with APs;
Status of land acquisition and payments on land compensation;
Value of entitlement received is equal to that of original structure or land acquired;
Effective utilization of entitlements received;
Compensation for affected structures and other assets;
Relocation of APs; if applicable;
Payments for loss of income;
That all economic rehabilitation measures are implemented, as approved;
Effective operation of both the Grievance Committees;
Funds for implementing land acquisition and economic rehabilitation activities are
available in a timely manner, are sufficient for the purposes, and are spent in
accordance with the plan.
PMT will also be responsible for carrying out field level SMF monitoring through:
Review of census information for all APs;
Consultation and informal interviews with APs;
In-depth case studies;
Informal sample survey of APs;
Key informant interviews; and
Community public meetings.
The social safeguard compliance will be monitored by independent consultants annually to
ensure that appropriate social safeguards have been incorporated into the sub-project.
11.5 Capacity Building
Capacities for managing social management tasks need to be built in two ways. Firstly,
capacities should be built considering the overall institutional development in addressing social
issues and secondly, sub-project specific capacities that are useful in implementation of the sub-
project.
The shortcomings in the capacities of the institutions have been identified and accordingly the
following appropriate measures and training programs are suggested for capacity enhancement.
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Knowledge on policy, legal and administrative provisions
A comprehensive document highlighting the roles and responsibilities of various functionaries,
laws and legislations, constitutional provisions, policies of central Governments, World Bank
policies etc., needs to be prepared by the UGDP. It has to be prepared in crisp and easy language
for better understanding, and possibly circulation in both in English and Nepali. Staff will be
able to handle grievances and conflicts with competence with the help of such reference
documents. In addition to this, special steps to devise training modules that can be used to train
and test the competence of the functionaries at the municipality level on the legal, policy and
administrative framework need to be designed. Training programs would help the municipal
functionaries in understanding the framework and help in enhancing their capacity.
Training
Training is an important component for developing capacities. Appropriate and timely training to
the officials with regard to various issues can bring a positive change in the functioning of the
staff. Apart from training in generic areas such as human resource management, information
management, government functionaries require training in handling certain specialized tasks
pertaining to social issues as given under.
For the Members of PCO and Relevant Staff at MLD, DUDBC &TDF
Training on Social Assessment, Appraisal and Management:
PCO members and relevant staff at MLD, DUDBC and TDF would require capacity building
inputs to help them understand the social risks attached to different sub-projects and the
appropriate R&R measures that can be taken to mitigate adverse impacts on the community. In
addition, they would require training to equip them with skills they can use to appraise sub-
projects on key social criteria and ensure that they are socially sound.
For Municipal Staff
Training on Consultations and Surveys is important for municipal staff to enable them to get
acquainted with processes linked to community participation, community mobilization, census
surveys, baseline surveys, etc. Training on consultation processes for specific projects and
exposure to various participatory methods of consultation will enhance the capacity of the
relevant staff to carry out proper consultation. The training should concentrate on the various
issues of ensuring participation and transparency in sub-project implementation. It should also
stress on the type of information to be generated through the surveys, especially on the socio-
economic information and other related issues. This training can also be imparted to
NGOs/CBOs that are involved in the sub-project. This training would help the staff to be in close
contact with the community as well as all the stakeholders involved.
Training on Social Assessment of Sub-projects will enable the municipal staff to understand
the social risks attached to different sub-projects and the appropriate measures that can be taken
to mitigate adverse impacts on the community. This would not only enable them to prepare
socially sound sub-projects but also help them put in place strong monitoring and management
plans.
103
Training on Resettlement and Rehabilitation is another very essential requirement for the
municipal staff in addressing social issues. Staff in the municipalities needs to build capacity in
this regard. This could include information on related laws and legislations, safeguard policies,
methods of implementation, valuation of assets, grievance redressal, preparation and
implementation of Social Management Plan (SMP)/ IPs Development Plan (IPDP), social
impacts etc., that may be encountered in a typical urban infrastructure sub-projects. Members of
PMT who are particularly involved in planning and drafting subprojects at the municipality
should undergo this training as they play a primary role in implementing R&R provisions under
the project.
Training on Preparing Communication Strategy: A well-developed communication strategy
needs to be in place to realize better results in implementing the projects. The concerned
municipalities have to develop and effectively implement their own consultation and
communication strategy. Successful implementation of sub-project would depend, to a large
extent, on the ability to maintain close contact with the community in the sub-project area. For
this purpose municipalities need to develop consultation plans along with the help of an
NGO/community. Such a communication strategy would help in better communication, clearer
understanding of social problems, better service delivery, easier conflict resolution and grievance
redressal. Training modules may be developed to help municipalities draft and implement
appropriate consultation strategies.
104
References Dahal, Dev Raj, Hari Uprety, Phanindra Subba. ―Good Governance and Decentralization in
Nepal.‖ Center for Governance and Development Studies/Friederich-Ebert-Stiftung, Kathmndu,
Nepal, January 2001.
GON. Interim Constitution 2007, Kathmandu, Nepal.
Government of Nepal (GoN), 1977. Land Acquisition Act 2034.
Government of Nepal & World Bank (2010) Nepal: Study on Urban Development and Service
Delivery in Secondary Cities and Emerging Towns, A Prefeasibility Report for UGDP: NETP
prepared by The GHK, DMI Pvt. Ltd and WELINK
ICG. Nepal’s Troubled Tarai Region, Asia Report No. 136, 9 July 2007.
LBFC/GON. ―Staniya Nikayaharu ko Bittiya Stithi Bisleshan.‖ Lalitpur, Nepal, Baisakh 2066.
Mademba, Sita. “Special Security Plan falters: Despite government claims, eastern Nepal is still under the sway of armed groups.” Nepali Times, Issue #519, 10-16 September 2010.
Manandhar, Narayan. “Nepal's armed groups” Republica, 29 August 2009.
MLD. ―Local Authorities Fiscal Commission Report, 2000.‖ Lalitpur, Nepal.
MLD/GON. ―Local Bodies Financial Administration Regulation,‖ Lalitpur, Nepal.
MLD/GON. “Local Governance and Community Development Programme (LGCDP): Programme Document.” Lalitpur, Nepal, 11 July 2008.
MLD/GON. “Mantralayako Sanchipta Parichaya Ewam Barsik Karyakram, Budget tatha Pragati Pratibedan,” 2066, Lalitpur, Nepal, Falgun 2066.
MLD/GON. Local Self-Governance Act, 1999, Kathmandu, Nepal.
MOPE, 1996. Environmental Protection Act. HMGN Press, 1996.
MOPE, 1997. Environmental Protection Rule. HMGN Press, 1997 (and Amendments, 1999).
National Planning Commission. 2003. The Tenth Plan (Poverty Reduction Strategy Paper
2002–2007). Kathmandu: His Majesty‘s Government of Nepal.
National Planning Commission (NPC), 2006. Land Acquisition, Compensation and Resettlement
in Development Projects. Kathmandu. A report prepared with assistance by the Asian
Development Bank (TA-4422-NEP).
Sharma, Pitamber. ―Urbanization and Development.‖ Central Bureau of Statistics, Government
of Nepal.
Subedi, Madhusudan Sharma. ―Corruption In Nepal: An Anthropological Inquiry.‖ Dhaulagiri
Journal of Sociology and Anthropology, Volume 1, 2005.
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Annex 1. Involuntary Resettlement Categorization Form
A. Project Data
Municipality / Sub-project Title:
B. Screening Questions for Resettlement Categorization
Probable Involuntary Resettlement Effects Yes No Not
Known
Possible Remarks
Will the sub-project include any physical construction work? Does the sub-project include upgrading or rehabilitation of
existing physical facilities?
Are any sub-project effects likely leads to loss of housing, other
assets, resource use, or incomes/livelihoods?
Is land acquisition likely to be necessary? Is the site for land acquisition known? Is the ownership status and current usage of the land known? Will easements be utilized within an existing Right of Way? Are there any non-titled people who live or earn their livelihood
at the site or within the Right of Way?
Will there be loss of housing? Will there be loss of agricultural plots? Will there be losses of crops, trees, and fixed assets? Will there be loss of businesses or enterprises? Will there be loss of incomes and livelihoods? Will people lose access to facilities, services, or natural
resources?
Will any social or economic activities be affected by land use-
related changes?
If involuntary resettlement impacts are expected: • Are local laws and regulations compatible with World Bank‘s
Involuntary Resettlement policy?
• Will coordination between government agencies be required to
deal with land acquisition?
• Are there sufficient skilled staff in the Implementing Agency for
resettlement planning and implementation?
• Are training and capacity-building interventions required prior
to resettlement planning and implementation?
106
Information on Affected Persons:
Any estimate of the likely number of households that will be affected by the sub-project?
[ ] No. [ ] Yes. If yes, approximately how many? ______
No. of HHs losing <10% of their productive assets?_______
No. of HHs losing 10% or more of their productive assets? _____
Are any of them poor, female-headed households, or vulnerable to poverty risks? [ ] No. [ ] Yes. If yes, please briefly
describe their situation?
Are any APs from indigenous or ethnic minority groups? If yes, please explain?
C. Decision on Categorization
After reviewing the answers above, it is determined that the sub-project is:
Categorized as an A project, a full Resettlement Plan is required
Categorized as a B project, a short Resettlement Plan is required
Categorized as a C project, no RP is required
___________________________ _____________________________
Prepared by: Reviewed by:
(Municipality staff/Contracted Party) (Department/Section Head, Municipality)
Date: Date:
______________________________ _______________________________
Approved by: Endorsed by:
Executive Officer, Municipality Social Safeguard Specialist, TDF
Date: Date:
107
Annex 2 Entitlement Matrix
Types of Lost Application Entitled Persons/family Policy/ Entitlement
1. Acquisition
of private,
tenancy, or
Guthi land
Entire or part of
land to be
acquired from
owner of the
land as recorded
at cut-off date
Titleholder
Tenants
Land with equivalent size and category, or cash
compensation at replacement cost,
In case of vulnerable group, preference will be in
replacing land for land,
Any transfer costs, registration fees or charges,
Tenant will receive 50% value of the land,
Land registration in the name of both land owner and
spouse (in case of land for land compensation),
If remaining land becomes unviable as a result of land
acquisition, APs have an option to relinquish unviable
remaining portion of land and receive similar benefits to
those losing all their land parcel(s),
Non-titled persons will receive compensation for crops
and subsistence allowance for one year‘s crop, and
provided with replacement land if ailani (or government)
land is available; any up-front costs for the tenancy
agreement will be reimbursed either through an
agreement with the landlord or by the EA
2. Temporary
loss of land
Temporary land
taken by the
sub-project
Titleholder
Tenants
Compensation at replacement cost for the net loss of
income, damaged assets, crops and trees etc.
Agreement between contractors and APs before entering
site
3. Loss of
residential,
commercial,
and other
structure
Structures,
buildings
including cattle
shed, walls, toilets
etc. affected by the
sub-project
Owner
Tenants
Non-titled
(encroachers and
squatters)
Compensation for full or partial loss at replacement cost
of the affected structure(s) without depreciation or
deduction for salvaged material,
Displacement and transportation allowance for residential
and commercial structures to cover actual transaction cost
as estimated in the resettlement plan,
Rental stipend equivalent of three months‘ rent for
tenants who have to relocate from tented building
4. Loss of
community
structures
and/or
resources
Community
facilities (e.g.
irrigation, water,
etc.) affected by
the sub-project
The users of the
facility or
community or
group
Reconstruction by the sub-project leaving such facilities
in a better condition than they were before, or
Cash compensation at full replacement cost without
depreciation of deduction for salvaged material
5. Loss of
trees and
crops
Affected fruit/nut
trees
Owner of the
affected timber and
fodder trees
Cash compensation based on annual value of the produce
and calculated according to Department of Agriculture
(DOA) norms,
RPs to confirm that the DOA norms and techniques are
sufficient and are updated regularly
Affected timber
and fodder trees
Owner of the
affected timber and
fodder trees
Cash compensation based on calculation of the
production and calculated according to the district norms
as decided by the Department of Forestry
Affected crops Owners and
sharecroppers of
affected crops
Cash compensation based on local market prices for the
produce of one year and calculated as per the norms of
District Agriculture Development Office,
50% cash compensation of the lost crop for the
sharecropper
6. Loss of
economic
opportunity
Economic
opportunity lost
as result of loss
of livelihood
Persons in the subproject
vicinity who may be
adversely affected,
although they do
Preferential involvement in project construction works,
Skills training support for economic restoration,
Priority in poverty reduction/social development program
108
base not lose assets as such
7. Loss of time
and travel
expenses
Expenses
incurred in
traveling to fill
application and
making claims
and time lost
All sub-project
affected persons
eligible for
compensation
Program facilitates transportation in official process,
Payment on the same day as other compensation
8. Land
donations
Loss of land and
other assets by
means of voluntary
donation
Voluntary donation
is accepted only if AP:
(i) is subproject
beneficiary and is fully
consulted and informed
about rights; (ii) doesn‘t
fall below poverty line
after land donation; (iii)
donating up to 20%
land holding; and (iv)
freely willing to donate
(with an agreement,
including a "no
coercion" verified
by a third party)
No compensation for the donated land, but entitled for
compensation of other assets such as house, structures,
allowances, etc.
Transfer of land ownership by negotiation (Municipality
and the owner).
Free/escape of any transfer costs, registration fees, or
charges.
Preferential employment in sub-project construction work
9. Additional Assistance
9.1 Preferential treatment in
employment in project activities
All APs Construction contracts include provision that APs will
have priority in wage labor/employment on sub-project
construction during implementation,
APs shall be given priority after construction for work as
maintenance workers, mandated in local body agreement
9.2 Skill training and income
generation support
One member of
each project affected
family belonging to
vulnerable group/below
poverty line
Skills training and income generation support financed by
subproject
Resettlement Plan to include a need assessment and skills
training program for APs.
9.3 Priority in Poverty
reduction/social development
programs
All APs Participation of APs with priority in saving credit scheme
facilitated by the sub-project,
Participation of APs with priority in life skills, income
generation, and other entrepreneurship opportunities
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Annex 3 Indigenous Peoples/ Vulnerable Group Impact Categorization Form
A. Project Data
Municipality / Sub-project Title:
B. Identification of Impact on IPs/ Vulnerable Group in Sub-project Area Impact on Indigenous Peoples (IPs)/
Ethnic Minority(EM)/ Vulnerable
Group
Not
known
Yes No Remarks or identified problems, if
any
Are there IPs or EM groups present in
project locations?
Do they maintain distinctive customs
or economic activities that may make
them vulnerable to hardship?
Will the project restrict their economic
and social activity and make them
particularly vulnerable in the context
of project?
Will the project change their
socioeconomic and cultural integrity?
Will the project disrupt their
community life?
Will the project positively affect their
health, education, livelihood or social
security status?
Will the project negatively affect their
health, education, livelihood or social
security status?
Will the project alter or undermine the
recognition of their knowledge,
preclude customary behaviors or
undermine customary institutions?
In case no disruption of indigenous
community life as a whole, will there
be loss of housing, strip of land, crops,
trees and other fixed assets owned or
controlled by individual indigenous
households?
C. Anticipated project impacts on indigenous peoples
Project activity and output Anticipated positive effect Anticipated negative effect
1.
2.
3.
4.
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D. Decision on Categorization
After reviewing the above, it is determined that the sub-project is:
Categorized as an A project, an Indigenous Peoples Development Plan (IPDP) is required
Categorized as a B project, a specific action favorable to indigenous peoples is required and
addressed through a specific provision in related plans such as a Resettlement Plan, or a general
Social Action Plan
Categorized as a C project, no IPDP or specific action required
___________________________ _____________________________
Prepared by: Reviewed by:
(Municipality staff/Contracted Party) (Department/Section Head, Municipality)
Date: Date:
______________________________ _______________________________
Approved by: Endorsed by:
(Executive Officer, Municipality) (Social Safeguard Specialist, TDF)
Date: Date:
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Annex 4 Checklists for Stakeholder Consultation
A. Central Level Stakeholders
1. Overview of the proposed UGDP
Program components
Role and responsibilities of MLD, DUDBC,TDF and municipalities
Project management structure
Monitoring and supervision
Budget flow mechanism
2. Institutional Capacity Assessment
Experiences of Social management of similar works
Existence of units/ focal points; assigned rights and duties, functions and
effectiveness of their roles and responsibilities
Human & financial resources and facilities
Legal and policy implication and mandate
Implication of extra work load from this program
3. Impacts of the likely proposed activities in terms of IR and on the issues of IPs,
gender equality, social inclusion and social accountability
Individuals and groups likely to be impacted, categories of impacted people with
estimated numbers and degree of impact
Impacts on vulnerable communities including: Janjatis, Dalits, and highly poor
groups including women, physically challenged and destitute
Other social and cultural risks and barriers
4. Mitigation measures to avoid or minimize negative impacts and contents of RR and
VC/IP Development policies
Mode of compensation and rehabilitation assistance for losses to assist the
affected people in various categories to restore their living conditions
Ways of identifying different categories of impacted people determined in terms
of degree of impact and assets lost;
Criteria to be used in identifying who is eligible for compensation for each
category of population impacted
Modes and methods of valuation of lost assets
Modes of implementation of RAP and VCDP/IP Development Plan with clear
roles and responsibilities at different levels
5. Institutional Structure and corresponding role and responsibilities for Grievance
Redress Mechanism to be developed in different levels
Municipal Level
Central Level
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6. Institutional arrangement for implementing SMF
Specific roles, responsibilities, and authority of involved institutions with regard
to management in the proposed program/project
7. Social Monitoring
Level, types, frequencies and institutional roles and responsibilities
Feedback systems for overall framework compliance
Third party/independent monitoring ( Who, when, where, & how)
Reporting mechanism
8. Funding
Estimation of likely range of overall costs and overall funding arrangements to
implement SMF
9. Capacity Building
Requirements for strengthening capacity to implement SMF and to monitor its
overall compliance
10. Guideline on social Inclusion and accountability/Demand side Governance
Existing practices of ensuring social inclusion and accountability
Practices of social audit and public hearing
Involvement of CBOs, user groups, other stakeholders, and civil society in
monitoring the performance of MLD, DUDBC, TDF and municipalities in terms
of their responsiveness and efficiency in meeting people‘s needs and in fostering
local economic development.
B. Municipal and Local Level Stakeholder
11. Overview of the proposed UGDP:NETP
Program components
Role and responsibilities of municipalities and other local stakeholders
Municipal level project management structure
Monitoring and supervision
Budget flow mechanism
12. Assessment of Social and Political Situation
Caste/ethnic distribution
Female headed households
Proportion of poor
Distribution of Vulnerable groups ( old aged, disable people etc)
Overall political scenario in the Municipality( political actors, parties and
corresponding influence)
NGOs, CBOs and Civil Society Organizations and their implication in urban
social development
13. Institutional Capacity Assessment
Experiences of Social management of similar works
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Existence of units/ focal points; assigned rights and duties, functions and
effectiveness of their roles and responsibilities
Human & financial resources and facilities
Legal and policy implication and mandate
Implication of extra work load from this program
14. Impacts of the likely proposed activities in terms of IR and on the issues of IPs,
gender equality, social inclusion and social accountability
Individuals and groups likely to be impacted, categories of impacted people with
estimated numbers and degree of impact due to proposed subproject
implementation
Impacts on vulnerable communities including: Janjatis, Dalits, and highly poor
groups including women, physically challenged and destitute
Other social and cultural risks and barriers
15. Mitigation measures to avoid or minimize negative impacts and contents of RR and
VC/IP Development policies
Mode of compensation and rehabilitation assistance for losses to assist the
affected people in various categories to restore their living conditions
Ways of identifying different categories of impacted people determined in terms
of degree of impact and assets lost;
Criteria to be used in identifying who is eligible for compensation for each
category of population impacted
Modes and methods of valuation of lost assets
Modes of implementation of RAP and VCDP/IP Development Plan with clear
roles and responsibilities at different levels
16. Institutional Structure and corresponding role and responsibilities for Grievance
Redress Mechanism to be developed in different levels
Municipal Level
Central Level
17. Institutional arrangement for implementing SMF
Specific roles, responsibilities, and authority of involved institutions with regard
to management in the proposed program/project
18. Social Safeguard Compliance Monitoring
Level, types, frequencies and institutional roles and responsibilities
Feedback systems for overall framework compliance
Third party/independent monitoring ( Who, when, where, & how)
Reporting mechanism
19. Funding
Estimation of likely range of overall costs and overall funding arrangements to
implement SMF
Budget estimation for implementing SMF per subproject
20. Capacity Building
Requirements for strengthening capacity to implement SMF and to monitor its
overall compliance
o Training
o Exposure visit
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o Additional human resource
o Financial and office infrastructure support
o others
21. Guideline on social Inclusion and accountability/Demand side Governance
Existing practices of ensuring social inclusion and accountability
o Promotion of demands ( disclosures, demystification & dissemination of
information)
o Mediation of demands (avenues for feedback, consultation in decision
making process and formal and informal mechanisms for dispute
resolution( GRC etc)
o Response of demands (innovations in service delivery, response-based
performance incentives, or participatory action planning.
Practices of social audit and public hearing
Involvement of CBOs, user groups, other stakeholders, and civil society in
monitoring the performance of MLD, DUDBC, TDF and municipalities in terms
of their responsiveness and efficiency in meeting people‘s needs and in fostering
local economic development.
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Annex 5 Format for Social Impact Assessment
Surveys: For sub-projects involving land acquisition and resettlement impacts, the social
development officer at PMT or contracted consultant will undertake social impact assessment
(SIA) for each identified subproject, on the basis of preliminary technical design. These surveys
will help in determining the magnitude of displacement, prospective losses, better targeting of
vulnerable groups, ascertaining actual costs of resettlement, and preparing and implementing a
resettlement plan.
Census: The purpose of the census is to register and document the status of potentially affected
persons within the subproject's direct impact zone. The census will cover 100 percent of APs.
The census will provide a demographic overview of the population, and will cover people's
assets and main sources of livelihood. The survey of the direct impact zone will cover the
following: (i) boundaries of the site identified for the proposed subproject elements in case of
subprojects involving new interventions, (ii) proposed right-of-way (RoW) boundaries which
will include titleholders and non-titleholders occupying the proposed RoW, (iii) current
occupants of the subproject site including businesses, vendors, whether titleholders or otherwise
and experience temporary disruptions during construction, and (iv) losses of PAPs.
Surveys for RAP and VCDP/IPDP
Census The census (also known as a detailed measurement survey – DMS) of lost
assets will collect data on the affected assets from 100% of APs following
detailed engineering design. The data collected during the census will
constitute the formal basis for determining PAP entitlements and levels of
compensation. For each AP, the scope of the data will include:
Total and affected areas of land, by type of land assets;
Total and affected areas of structures, by type of structure (main or
secondary);
Legal status of affected land and structure assets, and duration of
tenure and ownership;
Quantity and types of affected crops and trees;
Quantity of other losses, e.g. business or other income, jobs or
other productive assets, estimated daily net income from informal
shops;
Quantity/area of affected common property, community or public
assets, by type;
Summary data on PAP households, by ethnicity, gender of head of
household, household size, primary and secondary source of
household income viz-a-viz whether household is headed by
women, or consists of marginalized ethnic groups (Dalits, Freed
Kamaiya), Muslims/religious minorities, elderly, disabled,
indigenous people (highly marginalized, marginalized, and,
disadvantaged IPs), below poverty line of NRs 3000/month),
landless or households losing 50% of total landholdings
(particularly those totally dependent on agriculture for livelihood),
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as well as remote villages.
Identify whether affected land or source of income is primary
source of income; and
AP knowledge of the subproject and preferences for compensation
and as required, relocation sites and rehabilitation measures.
Socioeconomic
Survey
At a minimum, the Socioeconomic Survey (SES) will collect information
from a sample of 10% of Project Affected People (PAP) disaggregated by
gender and ethnicity. The purpose of the socioeconomic survey is to provide
baseline data on PAPs to assess resettlement impacts, and to be sure that
proposed entitlements are appropriate, and to be used for resettlement
monitoring. The scope of data to be collected includes:
Household head: name, sex, age, livelihood or occupation, income,
education and ethnicity;
Household members: number, livelihood or occupation, school age
children and school attendance, and literacy, disaggregated by gender;
Living conditions: access to water, sanitation and energy for cooking
and lighting; ownership of durable goods; and
Access to basic services and facilities
Replacement
Cost Survey
The replacement cost survey (RCS) will be done in parallel with DMS and
SES activities by collecting information from both secondary and primary
sources (direct interviews with people in the affected area, material suppliers,
house contractors), and from both those affected and those not affected. The
government rates will be adjusted, as necessary, based on the findings of a
Land Acquisition Cost Fiction Committee (LACFC). Compensation rates will
be continuously updated to ensure that PAPs receive compensation at
replacement cost at the time of compensation payment.
Sample Questionnaires for Household Survey/Census
Municipality: Ward No. : Tole/settlement:
Date of Interview: Name of Interviewee:
Name of Interviewer: Date of Interview:
1. Background Information
Name of Household Head: Age: Sex:
Caste/Ethnicity: Mother tongue: Religion:
2. Personal Information
2.1 How long have you been living in this village?
If a migrant, number of years in the village
2.2 Does the family live here all year long?
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If not, how long: ____ months of the year
Where do you live for the remaining months? (District, VDC, Village)
2.3 Please provide the following information for each of your household members (Start from
household head) SN Name Relation
with HH
head
Age Marital
status
Sex Resident
status
education Skill/training Main
occupation
Secondary
Occupation
1 2
1
2
3
4
5
6
2.4 Do any of your family members work on a salary/wage (including self‐employed) basis?
If yes, please provide the following information: Name Sex Sources of income Average Monthly
Income ( NRs)
Place of Work
2.5 Decision making in the household:
Generally who makes the decisions on the following household activities?
SN Activities Person Code from answers of Question No. 2.3
1 Agriculture works
2 Education
3 Household shopping
4 Child Care
5 Community Development Work
6 Income‐ generating Activities
7 Health and Sanitation
8 Give and take of money, land etc
9 Communities such as feast and
festivals
2.6 Who in the household normally undertakes the following activities?
SN Activities Men Women Both Men & women
1 Ploughing
2 Weeding
3 Harvesting
4 Collection of fuel wood
5 Collection of water
6 Cooking of food
7 Building/maintenance of homestead structures
8 Others
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3. Livestock
3.1 Does the household keep livestock?
If yes, indicate the total number of animals by type: SN Types of
animals
No.
Owned
Milk/Egg production (period – last
12 months?)
Animals sold (period – last 12
months?
Total
income
from
animal
husbandry
Amount
(number of
eggs or
litres of
milk) sold?
Price per
unit
(NRs)
Total
amount
sold
(NRs)
Numbers
sold Price
Per
unit
(NRs)
Total
Amount
Sold
(NRs)
1 Cattle a Cow b Milking cow c Bull 2 Buffalo a Buffalo b Milking
Buffalo
c Male Buffalo 3 Sheep/goats 4 Pigs 5 Hen/ducks 6 Other( specify)
3.2 Where do animals graze?
Area Location If other areas,
distance
(in hours)
How many
months of year In/ around
Village Other areas
1. Private Land
2. Common Grazing
Land
3. Forest Land
3.3 Where do you collect fodder (private land, common grazing area, forest area?)
4. Landholding and Agriculture
4.1 Do any members of this household own land within the project area?
If yes, what is the household‘s total landholding?
Khet:
Bari:
Kharbari:
Obtain the following information for each of the household‘s land parcels: Municipality
/VDC
Ward
No
Kitta
No.
Types
of
land
Name
of
owner
Total Area
(ropani/katha
Quality
of land
Crops Cultivated by Project
area
R/K A/D P/ own Tenant
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4.2 Do any members of the household own land outside the project area?
If yes, please provide the following information: Name of the
members
Relation
with HH
Head
Kitta
No.
Types
of
land
Total Area
(ropani/katha
Quality
of land
Crops Location
R/K A/D P/
District
VDC/Muni.
District
VDC/Muni.
District
VDC/Muni.
4.3 Do any members of this household lease land from other persons?
If yes, please provide the following information: Name of the
members
Relation
with HH
Head
Kitta
No.
Types
of
land
Total Area
(ropani/katha
Quality
of land
Crops Location
R/K A/D P/
District
VDC/Muni.
District
VDC/Muni.
District
VDC/Muni.
4.4 Do any members of this household rent out land to other people?
If yes please provide the following information: Name of the
members
Relation
with HH
Head
Kitta
No.
Types
of
land
Total Area
(ropani/katha
Quality
of land
Crops Location
R/K A/D P/
District
VDC/Muni.
District
VDC/Muni.
District
VDC/Muni.
4.5 Did you sell any of your land in the last 3 years?
If yes, how much land have you sold? (Area and rate)
4.6 What are the cereal crops and cash crops grown in your cultivated land last year? Crops Season Area under
Cultivation (R/K)
Annual Production Quantity Sold Selling rate
Rs/unit
Summer Winter Khet Bari Unit Quantity Unit Quantity
Food Crops 1. Paddy 2. Maize 3. Wheat 4. Millet 5. Pulse 6. Buckwheat 7. others
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Cash Crops 1. Potato 2. Oilseeds 3. sugarcane 4. Others
Vegetables 1. Winter 2. Summer Fruits 1. Orange 2. Mango 3. Other
Specify
Thatch
Grass
Straw/hay
4.7 Is your annual production sufficient to feed for your family for one year?
If not, for how many months per year is it sufficient?
5. Tree Ownership
5.1.1 Do any members of this household own trees/shrubs within the project area ? If yes, please
provide the information about tree, shrubs on your land (own or rented in)
Type Name Average Total Annual
Production
Rate Rate
Rs/unit
Age Number Unit Quantity Unit Quantity
Fodder
Other
6. Business/ Cottage Industries
6.1 Do any members in the household own any business or cottage industry?
If yes please provide the following details.
Type Kind Average Monthly
Revenue Cost of materials
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7. Income and Expenditure
7.1 Income
Please provide the following information on your household‘s income over the past year:
SN Particulars Annual Income (NRs) Remarks
1 Agriculture
Food crops
Cash crops
Vegetables
Fruits
Others
2 Animal Husbandry
3 Other Sources
Service
Daily wage/pottering
Pension
Business
Cottage industries
House rent
Income from land
Fishing/herb collection
Remittance
Interests/ share
Others
Total
7.2 Expenses
Please provide the following information on your household‘s expenses over the past year:
SN Particulars Unit Amount Price NRs Total NRs
1. Rice
2. Dal
3. Maize
4. Vegetables
5. Milk/curd
6. Meat/fish
7. Oil/Ghee
8. Spices
9. Salt
10. Sugar
11. Tea
12. Firewood
13. Electricity
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14. Kerosene
15. Medicine last year
16. Education last year
17. Clothing last year
18. Celebration last years
19. Others
Total
7.3 Do you have any kind of outstanding loan?
If yes, please provide the following information:
Purpose/ Type
of loan
Amount in Rs. Date of loan Interest rate
yearly
Source of loan
8 Buildings
8.1 What is your occupancy status of the house you are living in (own, rental, provided free of
charge by landlord/employer, provided free of charge by family/relative, squatting, other)?
8.2 Do you have own buildings in the project area?
If no, who owns the buildings on this land?
Owners Name Contact Address Location of Building in the
project areas
If yes, Please provide the following information
Use of
Building
Types of Building Total
Number
No. of story No. of Rooms Year
built
1 2 3 4 1 2 3 4 1 2 3 4
House
Business
Kitchen
Cattle
shed
8.3 Apart from the above mentioned do you own other buildings outside the project area?
If yes, please mention the type and location
Use Type Location
District VDC/Municipality
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9. Energy Use Patterns
9.1 For cooking purposes what types and quantity of fuels you used last year?
SN Fuel type Quantity Unit Cost Total Cost
1. kerosene
2. Fuel wood
3. bio gas
4. LPG
5. Electricity
6. Others
9.2 For Lighting purposes what types and quantity of fuels you used last year?
SN Fuel type Quantity Unit Cost Total Cost
1. kerosene
2. Fuel wood
3. bio gas
4. LPG
5. Electricity
6. Others
9.3 If Firewood is used, where do you collect?
Sources of
firewood
Area 1 Area 2
Distance ( minutes) Load Distance ( minutes) Load
10. What sources of water does your household use?
Source Purpose Distance from House
1. Pipe water Drinking/cooking Bathing Washing
2. well
3. Pond
4. Cannel
5. Spring collected
water
6. River
7. Other
10.1 What is the availability/sufficiency of drinking water in your house?.
10.2 Who collects the drinking water (women, men, both)?
10.3 Do you purify drinking water? If yes, how?
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10.4 Where does your family dispose of garbage?
10.5 What toilet facility does the household have on site?
10.6 Are the health services sufficient in your locality?
11. Perception towards the project
11.1 What are your views on the proposed project (positive, negative, neutral, don‘t know/too
early to say)?
11.2 Should the project precede the principle on which UGDP would want to base the
resettlement of affected household is to assist them in finding suitable replacement of the
―impacts‖ to help them to reestablish themselves successfully? Would you be satisfied with this
compensation proposal (yes, no)?
If no, please provide reasons.
11.3 Which of the following compensation options would be suitable to you?
Land for land and house for house
Land for land and cash for house
Cash payment for all losses
Other (specify)
11.4 If you prefer cash compensation, please specify the reason.
a) To purchase land
b) To build house
c) To pay debt
d) To start business
e) Other specify
11.5 What kind of resettlement support do you expect in case your residential house and major
portion of land is affected by the project construction works?
f) Resettle by self in the nearby locality
g) Resettle as community if the project offers this option in the nearby locality
h) Resettle as individual outside the locality
i) Resettle as community if the project offers this option in the outside project locality
j)
11.6 If the project affects your livelihood and property what kind of rehabilitation opportunities/
benefits do you expect from the project?
Employment
Skill Training
Soft Loan
Others (specify)
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11.7 Please tell us whether you agree or disagree with the following statements about the project.
Q Statement A D DK
a. I support the project because it will lead to the development of the area.
b The project will have a negative effect on my standard of living
c As long as fair compensation is paid for my affected assets, I will
support the project.
d The project will provide opportunities for me to sell my
crops/vegetables
e The project will provide me the opportunity to start a small business
f We‘ll be able to improve our livelihoods by earning money on
construction jobs.
12. Observatory Notes and Comments on the data provided by the respondents by the
Enumerator
Thank you!
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Annex 6 Guidelines for Preparation of a Resettlement Action Plan (RAP)
A. Introduction
1. Give a brief introduction to the sub-project and its components
2. Describe the components causing land acquisition/alienation and resettlement
3. Provide an overall picture on the estimates of land acquisition and R&R
B. Measures to Minimize Resettlement
1. Describe the efforts made, results achieved and mechanisms in place to minimize
displacement/loss of livelihood/income
C. Census and Socioeconomic Surveys/Enumeration
1. Describe the process of conducting the census/socio-economic survey/enumeration
2. Discuss and analyze the results of the census/socio-economic survey/enumeration
3. Identify all categories of impacts and the extent of impact on each affected
D. Consultation and Involvement of PAPs
1. Describe various stakeholders involved in the sub-project
2. Dovetail qualitative inputs from consultations, on quantitative survey information
3. Describe how consultations would be continued across all stages of the subproject
4. Describe how the information on the sub-project will be disseminated to PAPs
E. Entitlement Framework
1. Provide clear definitions to the key terms like PAF, PAP etc., as specified in the SMF
2. Describe R&R entitlements for each category of impact and methods of valuation used
for land, structures and other assets under the sub-project
3. Provide the full matrix of the Entitlements as in the SMF
F. Relocation, if required
1. Assess the need for a relocation site along with the details of facilities to be provided
like free housing, water, electricity, roads, sewerage and sanitation etc.
2. In case, the PAPs are to construct houses, provide details of compensation/provision
for coverage under government housing scheme etc., to help them construct houses.
3. Specify the involvement and role of the PAPs in selecting the resettlement site and also
list the proposed sites selected along with number of affected families to be relocated.
4. Describe respective mechanisms for (i) procuring/acquiring/alienating (ii) developing
and (iii) allotting resettlement sites
G. Income Restoration
1. List income restoration measures for rehabilitating PAPs as per the provisions in SMF
2. Briefly spell out the restoration strategies for each category of PAPs, and describe
institutional, financial and technical arrangements/aspects involved
3. Describe the consultation process in finalizing strategies for income restoration
4. If income restoration involves change in economic activities of PAPs, specify what
capacity building measures would be undertaken, access institutional funds/ credits/
markets and preparation and implementation strategy.
5. Describe steps to be taken to reduce any impoverishment risks the PAPs may face.
6. Describe the process to monitor effective implementation of income restoration
H. Institutional Arrangements
1. Describe institutions & officers responsible for coordinating and implementing:
(a) Delivery of entitlements (b) R&R program coordination and (c) RAP implementation
127
2. Describe the external (non-Project) institutions/departments involved in the process of
resettlement and restoration of income such as land development, land allocation, credit,
training for capacity building mechanisms etc., as the case may be.
3. Discuss institutional capacity, understanding on R&R & areas for improvement
I. Monitoring and Evaluation
1. Describe overall internal monitoring process for the sub-project
2. Define key monitoring indicators for R&R and participation and provide a list of these
indicators to be used for internal monitoring
3. Describe frequency of reporting and contents of reports
4. Describe the process for integrating feedback from internal monitoring into
implementation
5. Describe financial arrangements for external monitoring including process for
awarding and maintenance of contracts for the entire duration of R&R
6. Describe the methodology for external monitoring
7. Describe frequency of external reporting and its contents
J. Redressal of Grievances
1. Describe the structure and process of Grievances Redressal Mechanisms (GRM) at
sub-project level including a step-by-step process for registering and addressing
grievances, consultations, response time etc.,
2. Describe the mechanism for appeal for PAPs to approach courts if GRMs fail.
K. Implementation Schedule
1. List the chronological steps in implementation of RAP including identification of
agencies responsible for each activity along with a brief explanation of each activity
2. A month-wise implementation schedule of activities to be taken as part of RAP
3. Description of the linkage between R&R implementation and initiation of civil works
for each of the sub-project component
L. Costs and Budgets
1. Clear statement of financial responsibility and authority
2. Indicate that costs of R&R are included in the overall sub-project costs
3. Provide a cost-wise, item-wise budget estimate for entire R&R costs including
administrative, monitoring and evaluation expenses incurred for R&R implementation
128
Annex 7 Sample Vulnerable Community Development Plan
The Vulnerable Community Development Plan (VCDP) is designed to ensure that vulnerable
groups affected by any sub projects are regarded as special interest groups, and that impacts on
their livelihoods are minimized and addressed in a sensitive manner. Vulnerable groups will
receive special targeted support and assistance under the project because they would be unevenly
impacted by developmental interventions. The VCDP proposed here will adopt strategies geared
towards inclusion, greater participation and involvement of vulnerable communities in the social
development programs, capacity building along with specific measures either through direct
project funds or from other sources. To achieve this, the VCDP mainly focuses on the
enhancement measure for restoration and diversification of their livelihoods.
Defining Vulnerable Communities
In Nepal, there are several factors that could determine a group's vulnerability. Even though
gender, caste and ethnicity have been officially acknowledged as primary factors that determine
a group's backwardness; other factors such as region, economic status and patronage network
play an equally important role. Thus, terminologies such as vulnerable groups are fluid in nature
and can differ in meaning depending on the factors they represent. Nevertheless, policies and
literature on development including the Tenth National Plan (2002–2007) have identified three
major groups as more vulnerable than others in the context of Nepal—women, Dalits and
Adivasi/Janajati. Therefore, the above three groups are disadvantaged in terms of (i) access to
livelihood, assets and services; (ii) social inclusion and empowerment; (iii) legal inclusion and
representation in Government; and (iv) economic marginalization.
Vulnerable Communities in the Project Area
Vulnerability refers to two socio-economic dynamics in the context of resettlement planning. At
a general level, it refers to the insecurity experienced by all project-affected persons because of
impacts such as the loss of private and communal property and severed/constrained access to
social services. At a more specific level, it refers to those persons who, because of their socio-
economic position, are especially vulnerable to project-induced impacts. Thus, in the context of
the UGDP vulnerable groups refers to households and communities who may have faced
considerable difficulties (either due to project induced effects or in general terms) in
participating in the livelihood restoration process and benefit sharing of the project due to serious
lacks of required skills, resources, experience and organization.
Stakeholders‘ consultations and household survey during the Social Assessment Study will
identify the presence of vulnerable groups in project areas, impacts on these groups and types of
skill training/income generating activities they viewed of having most value in providing
economic and social uplift.
However, vulnerability is not a given or static condition and households may become more, or
less, vulnerable to project activities as their development cycles and socio-economic
circumstances change. The project will, therefore, adopt an approach that acknowledges this
dynamic quality of vulnerability, and the identification, assessment and monitoring of vulnerable
households and groups will be an ongoing activity, carried out in conjunction with the project‘s
community participation structure, throughout the social development/resettlement program.
129
Relevant Policies on Indigenous Peoples (IPs) and other Vulnerable Communities
Nepal does not have a standalone policy on Indigenous Peoples, however in the Tenth Plan
significant emphasis has been placed on delivering basic services to the disadvantaged and
indigenous people, Dalits, women, disabled and other vulnerable groups including the Adhibasi /
Janajati. One of the main thrusts of the Tenth Plan is the implementation of targeted programs
for the uplift, employment and basic security of Dalits, indigenous people and disabled peoples.
The policy provision also outlines that the government should pilot strong and separate package
of program of basic security for vulnerable sections of society. The Three Year Interim Plan
(TYIP) (2007-2010) includes the following policies for inclusive development of
adivasi/janajatis and other vulnerable groups:
Creating an environment for social inclusion;
Participation of disadvantaged groups in policy and decision making;
Developing special programs for disadvantaged groups;
Positive discrimination or reservation in education, employment, etc.;
Protection of their culture, language, and knowledge;
Proportional representation in development; and
Making the country‘s entire economic framework socially inclusive.
NFIN Act 2002, National Human Rights Action Plan 2005, Environmental Act 1997, and Forest
Act 1993 have emphasized protection and promotion of vulnerable groups in general, indigenous
peoples‘ knowledge, and cultural heritage in particular. In 1999, the Local Self-Governance Act
was amended to give more power to the local political bodies, including authority to promote,
preserve, and protect the IP's language, religion, culture, and their welfare.
World Bank policy on indigenous people emphasized to design and implement projects in a way
that fosters full respect for indigenous peoples‘ dignity, human rights, and cultural uniqueness
and so that they
receive culturally compatible social and economic benefits, and
do not suffer adverse effects during the development process.
Generic Measures for Enhancement of Vulnerable Group
Agriculture Support Program
Since all the participating municipalities have considerable proportion of population involved in
agriculture, there are extreme possibilities of commercial promotion of normal and off season
fresh vegetables due to prevalence of vegetable based suitable ecological niches across diverse
agro-ecological zones, suitable topography and market demands in the UGDP: NETP project
area. Such demand will be automatically increased when UGDP starts construction activities. In
this background, the commercial promotion and marketing of normal and mostly off season fresh
vegetables could be the best options in improving the food security and livelihoods for the
vulnerable communities in the project area.
130
Similarly, commercial promotion of comparative advantageous small sized livestock animals
like goats and pigs (swine) could be the best options in improving the living conditions of
vulnerable people. Particularly there is great scope of pig farming and quality meat production
in the participating municipalities. Hence the vulnerable communities can take advantages by the
adoption of commercial production and marketing of improved breeds of pigs and goats for
enhancing their living conditions.
Skills Training Related to Construction Works
Additional to the above programs, specific training programs will be conducted in construction
related skills such as electrical wiring, plumbing, automobile maintenance, masonry and welding
to enhance the employment opportunities of affected people on construction works of UGDP.
The landless or marginal landholders, poor ethnic groups and Dalits families residing in the
participating municipalities will be identity and record them for preferential employment,
wherever possible, on project construction. A general skills training program will be conducted
for these households to maximize their potential for employment on the project.
Preferential Employment Strategy
A Preferential Employment Policy and Strategy will be developed to achieve the objective of
optimizing employment for project-affected and local people on project construction activities.
The following measures will be implemented:
The Policy will contain procedures and mechanisms to enhance the employment of project
affected households, local people and other vulnerable groups in unskilled job categories. It will
specify (a) recruitment eligibility (people from project-affected settlements, followed by other
local residents and Nepalese citizens), (b) age requirements (the minimum age requirement in the
public sector should be applied to avoid child labor), and (c) recruitment and selection
procedures to be followed by the contractor and subcontractors.
Preferential employment guidelines will be incorporated into tender and contractor documents.
Contractors will be required to follow these guidelines, and all proposals will need to indicate
proposed steps to implement a preferential employment policy, including on-the-job training.
Respective Municipal PMT will assist with (a) the establishment of a database of job seekers
from the project-affected households, and (b) the development of job advertising and recruitment
procedures.
To further ensure transparency of recruitment and selection procedures, consideration will be
given to the establishment of an Employment Task Group, consisting of respective Municipal
PMT officials and representatives from the contractor, affected communities (including
vulnerable groups) and other stakeholders. The Task Group will coordinate, review and monitor
all matters relating to the implementation of the Preferential Employment Policy.
To the extent possible, contractors under UGDP will employ and promote the employment of
local job seekers with appropriate educational qualifications in the semi-skilled category. Where
local people are employed in these job categories, it will be accompanied by on-the-job training
and skills transfer.
Nepali Information Sheets will be distributed to project-affected and surrounding settlements
well and will be announced from local FMs in local languages, as far as possible, in advance of
the commencement of construction activities. These Sheets will set out (a) the number of
131
construction jobs available to the local population, (b) the job advertising, recruitment and
selection procedures that will be followed and (c) the time frame for the recruitment of job
seekers over the course of the construction period. By means of the community consultation
structures and the distribution of job advertising sheets, local residents will be informed in
advance of job opportunities and recruiting dates.
Capacity Building Programs
Carefully designed activities will be provided to address the capacity enhancement needs of
vulnerable community. More often than not indigenous people including other vulnerable groups
cannot endure the competition with their dominant culture groups who are better organized and
have privileged education, skills etc. The vulnerable community or their institutions, owing to
lower or mediocre level of educational achievement fare poorly in their capacity. Thus,
vulnerable community will need increased capacity with the necessary knowledge and skills to
participate in the local development activities.
A local NGO along with government service providers will be involved in mobilizing the
vulnerable community for group formation and strengthening. Likewise qualified members of
local ethnic groups, including women will be engaged by the respective Municipal to undertake
information dissemination works, preparing the beneficiary groups for project activities and
contributory works. The project will identify the leadership of indigenous people / ethnic groups
in the project area conduct a series of interaction meetings and will encourage their
representation in social development related activities.
Specific Measures for Vulnerable Community Development
Livelihood Restoration of Fishing Community in Lekhanath
Fishing is an important livelihood earning activity of vulnerable households, and measures will
be implemented to ensure that this impact is properly addressed. Mitigation measures will focus
on replacing the economic and dietary role of fish in the community. Mitigation measures will be
developed in consultation with affected communities once these roles are understood more
thoroughly. Nutrition programs, such as the role of alternative nutrition sources, including
vegetables, chicken and eggs, and related production improvement, will be considered.
Loan Assistance Program
Consideration will also be given to the establishment of a small loan assistance program,
particularly for vulnerable women headed and Dalit households. To provide loans for small
income generating projects, an agreed amount of money will be allocated to a revolving fund. To
facilitate the distribution of loans, co-ordination will be established with the local credit groups,
cooperatives or field offices of the Agricultural Development Bank.
Women Focused Programs
Development policies and practices should be mindful of the heterogeneity among women and
their varying issues and needs. Thus, programs designed for women should assess the socio-
economic background of women based on income, marital status, caste, ethnicity, culture and
geographical location. For instance, Adivasi/Janajati women may prioritize security of traditional
rights and use of land, while Dalit women may prioritize income security and social inclusion.
Similarly, widows and abandoned women are more prone to social violence compared to married
women.
132
Since women headed households usually undergo additional responsibility of providing
economic means and rearing family members, women's upliftment programs will be
implemented, esp. on micro-credit, village banking & savings, & small business operation.
Besides the following measures need to be undertaken to ensure that women's livelihoods are
restored or even improved compared to what existed before project implementation
increase women‘s participation in social development program design and
implementation;
social awareness campaigns and training opportunities will be organized to increase
women‘s integration into social and economic mainstream;
women‘s organizations, both community based and NGOs will be strengthened.
IP and Dalit Focused Program
While the project will have some adverse impact on these groups, it has been assessed that they
will also experience some positive impacts due to various development interventions like
improved road access and tourism infrastructure development which come along the
implementation of UGDP: NETP. Thus, some specific programs will be prepared to minimize
adverse impacts while maximizing project benefits to IPs and Dalits. This includes:
mandatory employment of at least one member from each affected IP and Dalit
household in project construction and maintenance work; and
at least one member from each of the affected IP and Dalit households to participate in
livelihood empowerment activities, including skills training for income generation,
traditional skills development and linkages with the modern market, awareness training in
health, sanitation, gender and other life-skills improvement activities.
it also includes supplementary infrastructure facilities in the poor IP and Dalit settlements
including latrine construction and drinking water facilities. Preference will be given to
qualified IP and Dalit individual in recruitment of community facilitators, who will
maintain frontline contact with the community in implementing VCDP activities.
Strategy for Vulnerable People's Participation
The overall development of any target beneficiaries cannot be achieved without their active
participation. Some inclusive measures will be adopted to maximize project benefits and
opportunities to indigenous/ethnic groups and other vulnerable communities along through
mainstreaming and targeted approaches. Mainstreaming approach includes increased
participation and proportionate representation of IPs and vulnerable communities in various user
groups and committees under the project promoted and sponsored social development activities
so that their needs, priorities, interests and perspectives are reflected in project planning and
implementation. Targeted approach will cater poor and disadvantaged IPs and vulnerable
communities through livelihood enhancement skills training activities to enable them to take full
advantage of project opportunities and benefits, including employment opportunities. Livelihood
enhancement skills training will be targeted to these groups on the basis of their specific needs
and priorities, including promotion and upgrading of traditional skills for modern market
requirements. Additional health and hygiene training programs will be provided in drinking
water and sanitation program targeting IP groups and other disadvantaged community members.
133
Annex 8 List of Participants in the Central Level Stakeholder Consultations
Venue: Premises of Municipal Management Division, MLD
Date: 4th January 2011
Time: 11-2
Participants:
1. Mr. Reshmi Raj Pandey, Joint Secretary, Ministry of Local Development
2. Mr. Govinda Bahadur Karki, Under Secretary, Ministry of Local Development
3. Mr. Binod Prakash Singh, Under Secretary, Ministry of Local Development
4. Mr. Rishi Raj Acharya, Section Officer, Ministry of Local Development
________________________________________________________________________
Venue: Premises of DUDBC
Date: 9th
January 2011
Time: 11-2
Participants:
1. Dr. Mahendra Subba, Deputy Director General, DUDBC
2. Mr. Kiran Giri, Economist, DUDBC
3. Mr. Prakash Raghubanshi, Project Preparation Team Leader and Sr. Planner, DUDBC
________________________________________________________________________
Venue: Premises of TDF
Date: 3rd
January 2011
Time: 14-16 PM
Participants:
1. Mr. Sushil Gyawali, Executive Director, Town Development Fund
2. Mr. Binod Neupane, Deputy Manager, Town Development Fund
3. Mr. Rajendra Shrestha, Engineer, Town Development Fund
4. Mr. Subas Raj Panta, Socio-economist, Town Development Fund
____________________________________________________________________________
Location: DUDBC Hall (De-Briefing Eastern Region) Date: February 1
S.N Full Name Gender
Post or
Occupation
Office/Related
Organization
Address Contact
Number
1. Rajendra Das
Shrestha
M Engineer TDF Baneshwor 9851094031
2. Subash Raj Panta M Social
Economist
TDF Baneshwor 9841253575
3. Binod Neupane M Manager TDF Baneshwor 9851042727
4. Mahesh Mangal
Joshi
M UEE TDF Baneshwor 9851060620
5. Dina Raj Ghimire M Env. Specialist WB Durbar marg 9841307302
6. Gobinda Bd.
Karki
M Under Secretary MOLD 9841290922
7. Nilam Kumar
Dangol
M Engineer DUDBC Babar Mahal 9841251202
134
Annex 9 List of Participants in the Municipal Level Stakeholder Consultations
Venue: Dhankuta Municipality, Date: 29 January, 2011
SN Full Name Gender
Post or Occupation Office/Affiliated
Organization
Address Contact
Number
1. Dham lal Rai M RPP Nepal Chairperson Aaribais 9742066197
2. Yagya Bd. Karki M Rastriya Jana
Morcha
Rastriya Jana
Morcha
Dhankuta
Municipality 2
9842111186
3. Hari Bhakta Rai M Rastriya Jana
Morcha
Chairperson Dhankuta
Municipality 7
9842071249
4. Tika Prasad
Ghimire
M RPP Nepal Chairperson Dhankuta
Municipality 7
9842109605
5. Dr. Bidur Pr.
Gautam
M Animal Specialist District Animal
Service office
Dhankuta
Municipality 7
9842388144
6. Jagat Limbu M UCPN(Maoist) Party member Dhankuta
Municipality 5
9842062316
7. Yerakh Bd.
Limbu
M Rastriya Jana
Morcha
Rastriya Jana
Morcha
Dhankuta
Municipality 5
9814989496
8. Faud chongwang M Vice Chairman Dhankuta
Municipality 7
9814382803
9. Dhojraj Bastola M Coordinator Tole
Development
Committee
Dhankuta
Municipality
9842256155
10. Bogendra Thapa M Secretary Jana Chetana
yuva Club
Dhankuta
Municipality 1
9842062449
11. Amrit Bd. Rai M Road Chairperson Triveni Ghat Dhankuta
Municipality 8
9848022164
12. Ramananda
Bhattarai
M Land Reform
Committee
Chairperson
Land Reform
Committee
Office
Kalaiya
Municipality
9,Bara
9849182496
13. Kul Pd. Rai M Chairperson Dhankuta 7 9842048296
14. Gaurav Karki M Secretary Hile Drinking
water Scheme
Dhankuta 1 9842110346
15. Yogendra Pd.
Yadav
M Project Officer District
Agriculture
Development
Dhankuta
Dhankuta 9844036577
16. Nira Chapagain F Women & Child
Welfare Officer
Womens & Child
Welfare Office
Dhankuta 026520156
17. Santa Shrestha F Treasury Drinking Water
Consumer
Organisation
Dhankuta 026520522
18. Rajesh Silpakar M Technician Regional
Hospital &
Service Office
Dhankuta 9841458279
19. Raju Neupane M Architect Urban
Development
Committee
Dhankuta 9841543015
135
20. Dhron Pd.
Guragain
M Social Service Red cross Dhankuta 9842042173
21 Narayan Joshi M Chair person Salv-Nepal Dhankuta 6 9842026131
22. Birash Pradhan M Treasury NC Dhankuta 9841061965
23. Parvati Rai F Social Service Nepal Jana Jati
Federation of
Association
Dhankuta 9842159798
24. Ishwor Rogu M Subordinate Officer Dhankuta
municipality
Office
Dhankuta 9842038093
25. Bhuvan Singh
Rai
M Subordinate Officer Dhankuta
municipality
Office
Dhankuta 9842109051
26. Layen Rai M Dhankuta
municipality
Office
Dhankuta 7
27. Rajesh Kumar
Shrestha
M Dhankuta
municipality
Office
Dhankuta 9842062861
28. Tej Bd Thapa M Waste and
Environment
management
Dhankuta
municipality
Office
Dhankuta 9842091853
29. Nush Raj
Shrestha
M Managing Director Dhankuta
municipality
Office
Dhankuta 9842062969
30. Krishna Pd.
Bhandari
M VDC Secretary Dhankuta
municipality
Office
Dhankuta 9842089411
31. Aadap Hariya M Chairperson Kirat Aadap
Hariya
Dhankuta 9842110715
32. Deepak Rai M District Motivator District
Development
Committee
Dhankuta
Dhankuta
Municipality
9742066163
33. Milan Kumar
Khadki
M Chairperson Of
Meat Business
Meat Business
Organization
Dhankuta
Dhankuta
Municipality
9842040521
34. Raju Guragai M Subordinate Officer Dhankuta
Municipality
Office
Dhankuta
Municipality 3
9842062741
35. Neelam Bajaj M Head of Project
Planning
Department
Dhankuta
Municipality
Office
Dhankuta
Municipality 6
9842055123
36. Upendra Khanal M Environment Head
Officer
Dhankuta
Municipality
Office
Dhankuta
Municipality 4
9842060850
37. Khagendra
Ghimire
M Journalist Federation Of
Nepali Journalists
Dhankuta
Municipality 7
9842038774
38. Keshav Shrestha M Employee Dhankuta
Municipality
Dhankuta
Municipality
9842062455
136
Office
39. Mahendra Kumar
Khamyagang
M Officer Dhankuta
Municipality
Dhankuta 026-520119
40. Salil Devkota M Environment
Specialist
Consultant Kathmandu
Location: Itahari Municipality Date: 30January, 2011
S.N Full Name Gender
Post or
Occupation
Office/Affiliated
Organization
Address Contact
Number
1. Narayan Bd.
Shrestha
M President Users group of
Nepal
Itahari
Municipality 1
9842024431
2 Arjun Dahal M Engineer Itahari
Municipality
Itahari
Municipality
9852048987
3 Sarva dhoj saba M Ex-Mayor Itahari
Municipality
Itahari
Municipality4
9742014601
4
ShekharChauda
ry
M
Ex- VDC
Chairperson
Itahari
Municipality
Itahari
Municipality 7
9842048111
5 Ganesh Pd.
Dahal
M Officer Itahari
Municipality
9852045222
6 Jagdish Pd. Oli M Chairperson Citizen Society
Itahari
Itahari 1 9852046068
7 Rohit Pd. Prasai M Chairperson Industry &
Commerce
Association
Itahari 1 9852020546
8 Binod Wagle M Chairperson CPN-United Itahari 9842034947
9 Dhana Raj Rai M RPP Itahari 7 9842056484
10. Jeevan Ghimire M Sub Engineer Itahari
Municipality
Itahari
Municipality
9852045424
11. Kailash Timsina M Sub Engineer Itahari
Municipality
Itahari
Municipality
9842020525
12. Chandu
Bhattarai
M Vice Chairperson UML, Itahari
Municipality
Itahari 4 9842020244
13. Madindra Bd.
Katuwal
M Chairperson Hotel Business
Association
Itahari 9852049085
14. Dr. Rabindra
KC
M Medical officer Head of health
Care Centre,
Itahari
Itahari 9808320653
15. Suresh Pd.
Singh
M Sub Engineer NEA Itahari 9842100721
16. ThumNath
Lamsal
M Coordinator Tole
Development
Committee
Itahari 9842097797
17. Tek Bd. Gurung M Business man Itahari 9842232522
18. Chandra
Bd.Gamden
Tamang
M Social Service Itahari 9842178629
19. Arjun Subedi M Employee Itahari
Municipality
Office
Itahari 3 9842035492
20. Daya Ram M Employee Itahari Itahari 1 9842177200
137
Subedi Municipality
Office
21. Gayatri Lamsal F Employee Itahari
Municipality
Office
Itahari 1 9852048735
22. Tek Nath
Sapkota
M Employee Itahari
Municipality
Office
Itahari 4 9842003285
23. Anita Guragain F Employee Itahari
Municipality
Office
Itahari 4 9842061169
24. Ghana Shyam
Giri
M Employee Itahari
Municipality
Office
Itahari 4 9842021798
25. Yadav Sapkota M Employee Itahari
Municipality
Office
Itahari 1 9842177254
26. Mahesh Subedi M Employee Itahari
Municipality
office
Itahari 6 9842035491
27. Sunil Guragain M Employee Itahari
Municipality
Office
Itahari 4 9842079409
28. Lakhan Lal
Chaudary
M Employee Itahari
Municipality
Office
Itahari 6 9852046446
29. Kumari Timsina F Employee Itahari
Municipality
Office
Itahari 5 9842080111
30. Chandra Devi
Chaulagain
F Employee Itahari
Municipaliy
office
Itahari 8 9842185988
31. Proshyan
Pokharel
M Employee Itahari
Municipaliy
office
Itahari 1 9842037413
Location: Mechinagar Municipality (Municipal Staff) Date: 27 January, 2011
S.N Full Name Gender
Post or
Occupation
Office/Affiliated
Organization
Address Contact
Number
1 Bhawanath
Khatiwada
M Executive
Officer
Mechinagar Chandragadi 9852678801
2. Ananta Prakash
Wasti
M Administrative
Chief
Mechinagar Jorapani 8 9852672758
3. Rajan Kumar
Bhetwal
M Account Officer Mechinagar Mechinagar 10 9852677660
4. Kamal Prasad
koirala
M Engineer Mechinagar Mechinagar6 9852672684
5. Dipendra Karki M Food Officer Mechinagar Mechinagar 6 9852677674
6. Indra Bahadur
Thapa
M Engineer Mechinagar
138
7. Shambu Poudel M Mechinagar Mechinagar 3 9842719384
8. Gokul Nepal M Junior Engineer Mechinagar Mechinagar 3 9842652105
9. Chakrapadi
Khanal
M Revenue
Inspection
Mechinagar Mechinagar 2 9842624204
10. Adhiklal Mochi M Mechinagar Mechinagar
11. Til Bahadur
Rajbansi
M Supervisior Mechinagar Mechinagar
12. Indra Bahadur
Thapa
M Engineer Mechinagar Mechinagar 1 9852672738
13. Indira Kharel F Mechinagar Mechinagar 9842654994
14. Jayanti Kharel F Social Mobilizer Mechinagar Mechinagar 10 9842641872
15. Ramesh Kumar
Karki
A.Municipal
Facilatation
Mechinagar Sinduli 9841788503
9806037628
Location: Mechinagar Municipality (Local Community) Date 28 January, 2011
S.N Full Name Gender
Post or
Occupation
Office/ Affiliated
Organization
Address Contact
Number
1. Amin Rajbansi M President Nepal Sadbhawana
Party
Mechinagar
Municipality 13
9806016330
2. Madav Rajbansi M Co-Secretary Nepal Sadbhawana
Party
Mechinagar
Municipality 12
9806086993
3. Raju Maharjan M Member Mechinagar
Municipality
Committee
Mechinagar
Municipality 10
9852672762
4. Keshav Raj
Pandey
M Chairperson Mechi Industry &
Commerce
Association
Mechinagar 9852671137
5. Deepak
Pd.Pokharel
M Managing
Director
Kakarbitta
Drinking water
Mechinagar
Municipality 10
9842629941
6. Laxmi Pd. Upreti M Chairperson UML Mechinagar
Committee
Mechinagar
Municipality 10
9852672300
7. Deepak Bhandari M Chairperson UMLMechinagar
Committee
Mechinagar
Municipality 5
9852673226
8. Bandan kumar
Bunda
M Member UML District Mechinagar
Municipality 11
9804913604
9. Prem
Samwangambe
M Municipality
President
Mechinagar
Municipality
Mechinagar
Municipality 5
9852677727
10. Bhawanath
Khatiwada
M Office Officer Mechinagar
Municipality
Chandugadi 8 9852678801
11. Somraj Dhakal M Chairperson Samudayik Vikash
Manch
Mechinagar
Municipality10
9852678187
12. Gopal Basnet M Managing
Secretary
Mechi Industry &
Commerce
Association
Mechinagar
Municipality 1
9842634242
13. Januka Oli F Secretary Thople viran Forest
Committee
Mechinagar
Municipality 4
98426652493
14. Mira
Kafle(Pokharel)
F Chairperson WAN Nepal Mechinagar
Municipality 5
9842704654
15. Milan Raj Prasai Member UCPN(maoist) Mechinagar 3 9842672355
16. Bindu Gurung F Member UCPN(maoist) Mechinagar 10
139
17. Teeje Raut F Chairperson Ghodajeen Tol
vikash Sanstha
Mechinagar
Municipality 8
9842686617
18. Pagal singh M Rastriya Jana
Morcha
Mechinagar
Municipality
9807964961
19. Radha pradhan
Karki
F Chairperson Makhmali Mahila
Bachat tatha rin
sahakari
Mechinagar
Municipality 10
9852672991
20. Sabitri khadka F Chairperson Mahila Vikash
Sahakari
Mechinagar
Municipality 10
9842744681
21. Kamal Prasad
Koirala
M Engineer Mechinagar
Municipality Office
Mechinagar
Municipality
9852672684
22. Indra BD. Thapa M Engineer Mechinagar
Municipality Office
Mechinagar
Municipality
9852672738
23 Dipendra Karki M Food Officer Mechinagar
Municipality
Mechinagar
Municipality
9852677674
24. Mukti poudel M Media Person Mechinagar
Municipality
Mechinagar
Municipality10
9842704127
25. Indra Prasad
Baskota
M Chairperson Chetansil Yuva
Pariwar
Mechinagar
Municipality 1
9804942146
26. Ananta Prakash
Basti
M Officer Mechinagar
Municipality Office
Mechinagar
Municipality 10
9852672758
27. Kishwor Bhandari M RPP Regional
Committee
Secretary
RPP Nepal Mechinagar
Municipality 12
9804922117
28. Govinda oli M RPP President RPP Mechinagar
Municipality 11
9842195183
Location: Lekhnath Municipality Date: 2 February, 2011
S.N Full Name Gender
Post or
Occupation
Office/Affiliated
Organization
Address Contact
Number
1. Rajendra mani
Lamichane
M Social Service
President
CPN-UML LekhNath
Municipality 6
9846028633
2. Tika Ram Pageni M Social Service CPN-UML LekhNath
Municipality 14
9856024922
3. Puspa kamal
Dhungana
M Nagar Secretary UCPN(Maoist) LekhNath
Municipality 12
9846385059
4. Ravi Chandra
Ghimire
M LekhNath
Municipality
Deurali 2 9846096951
5. Prakash Chandra
Pagal
M District Member UCPN(Maoist) LekhNath
Municipality 13
9846062970
6. Hari Prasad Baral M Coordinator Rastriya Jana
Morcha
LekhNath
Municipality3
9846024791
7. GovindaPrasad
Devkota
M LekhNath
Municipality
Aali Kaski 1 9846036350
8. Mitthu Devi
Dhungana
F LekhNath
Municipality
LekhNath
Municipality 4
9846114052
9. Chandra kanta
Poudel
M Accountant LekhNath
Municipality
Office
LekhNath
Municipality 2
9846036321
10. Damber Bd. M Municipality Vice Nepali Congress LekhNath 9846025676
140
Thapa President Municipality 5
11. Kopila Rana Bhatt M Chairperson LekhNath
Municipality 5
9846086031
12. Rabindra Adhikari M Staff LekhNath
Municipality
Office
LekhNath
Municipality 11
9846036978
13. Hridya Nath
Khanal
M Staff LekhNath
Municipality
Office
LekhNath
Municipality7
9846054277
14. Ram mani
Adhikari
M Legal Officer LekhNath
Municipality
Office
LekhNath
Municipality 11
9846029105
15. Surya Mohan
Adhikari
M Staff LekhNath
Municipality
Office
LekhNath
Municipality 12
9841279886
Location: Baglung Municipality Date: 3 February, 2011
S.N Full Name Gender
Post or
Occupation
Office/Affiliated
Organization
Address Contact
Number
1. Ram Prasad
Upadhaya
M Principal Daulagiri Multiple
Campus
Baglung
Municipality 2
9847622498
2. Nar Bahadur
Thapa magar
M Secretary CPN-UML Baglung 9756700081
3. Hom Raj Bista M Officer of
Agriculture
Development
Agricultural
Development
Office
Baglung 068-520130
4. Yogendra
Chitrakar
M Engineer Drinking Water
Committee
Baglung 068-520110
5. Harsa Bd.
Gurung
M Engineer District head
Office
Baglung 9857620228
6. Jeev M Public Health
Officer
District Health
Office
Baglung 9847922314
7. Bharat Puri M Chairman Mukti ToleVikash
Samiti
Baglung 9857620086
8. Subash Khadka M Secretary Shanti ToleVikash
Samiti
Baglung
Municipality 3
9847628873
9. Hira Bd. Thapa M Officer CDO Baglung
Municipality 1
957620202
10. Chitra Bd.
Subedi
M Chairpeson Shanti ToleVikash
Samiti
Baglung
Municipality 8
9847629695
11. Shiva Khadka M Chairman Nagh road
Community
welfare
Baglung
Municipality 3
9847668098
12. Manju Chhetri F Member Antar party mahila
samiti
Baglung
Municipality 3
9846700292
13. Laxmi Baskota F Member Antar party mahila
samiti
Baglung
Municipality 3
9847623081
14. Shanti Gywali F Teacher Gender
networking society
Nepal
Baglung
Municipality 2
9847630077
141
15. Shashi Kiran
Shrestha
F Chairperson Baglung
Municipality 2
9847638820
16. Pukhya Kumari
Shrestha
F Secretary Tole Vikash
Sanstha
Baglung
Municipality 2
9847629855
17. Dina nath
Sharma
M Chairperson 5421041
18. M Advisior CPN(U) Baglung
Municipality
975600159
19.
Dharma Dutta
Sapkota
M
Chairperson Ganga Tol Sanstha Baglung
Municipality 1
9847628814
20. Shailendra
Kumar Shrestha
M Chairperson RJP Baglung 9847634242
21. Indra Prasad
Poudel
M Sub Forest
Officer
District Forest
Office
Baglung 9845052922
22. Binod Gywali M Land Reform
Officer
District Land
Reform Office
Baglung 9849030319
23. Lila Poudel M Office Secretary Baglung 9857620207
24. Hari Bd. Khadka M Secretary Tansen District
Office
Baglung 9857620014
25. Tika Ram
Sapkota
M Chairperson RPP Baglung 9847624528
26. Krishna Raj
Sharma
M Chairperson RPP(BGL) Baglung 2 9847637426
27. Padam Chandra
Raj Bhandari
M Ex Municipality
Vice President
Baglung
Municipality 3
Baglung
Municipality 3
9841225115
28. Rishi Raj
Sharma
M Ex-Municipality
President
Baglung
Municipality 1
9847622226
29. Niraj Shakya M UCPN(Maoist) UCPN(Maoist) Baglung
Municipality 3
98476215805
30. Dhanapati
Sapkota
M Treasury Mukti Nath tole Baglung
Municipality 10
984765331
31. Trilochan Giri M SI Baglung
Municipaity Police
Station
Baglung 9857620024
32. Tulsi Ram
Sapkota
M Chairperson Sip Shakti tole Baglung
Municipality 10
9847664801
33. Ram Bd. Hayal M Chairperson Kholakhet Tole Baglung
Municipality 5
9847623079
34 Jaya Ram Bhati M Chief Secretary Baglung
Association
Baglung
Municipality 2
9847621197
35. Yam Bd. Gharti
Magar
M CPN-UML Baglung 9847630611
36. Laxmi J.C F Mahila Vikash
Aayog
Women and
Children Baglung
Office
Baglung 9857620392
37. Amar Bd.Thapa M 9857620491
38.
Aatma Ram
Upadhaya
M
Chairperson
Aadarsha Tole
vikash Sanstha
Baglung
Municipality
9847653212
142
39 Kaji Gaule
Shrestha
M Legal Expert Public Sociey Baglung
Municipality
9847653212
40. Mohan Bd.
Shrestha
M Treasury Laliguras Tole
Vikash Committee
Baglung
Municipality 9
9847631757
41 Hemanta Khadi M Reporter Dhaulagiri FM Baglung
Municipality
42. Gopal Khadka M Business Man Baglung
Municipality 3
9847669142
43 Sangam Gharti
Magar
M Reporter Sayapatri FM Sikhakhani 1 9846706257
44. Aam Bd. M Chairperson Baglung
Municipality 3
9847727649
45. Hari Narayan
Gautam
M Chairperson Federation of
Nepal Journalists
Baglung 9847628317
46. Mahendra
Acharya
M President Baglung 9857620209
47. Suresh KC M Baglung 9841294229
48. Dipendra
Bd.Bhandari
M Baglung
Municipality
Office
Baglung 9857620023
49. Prakash Raj
Sapkota
M Office Assistant Baglung
Municipality
Office
Baglung 9847621864
50. Teej Prasad
Neure
M Clerk Baglung
Municipality
Office
Baglung 9847620717
51. Hariyan Chanyal M Municipality
Assistant
Motivator
Baglung
Municipality
Office
Baglung 9841700872
Location: Tansen Municipality, Palpa Date: 4 February, 2011
S.N Full Name Gender
Post or
Occupation
Office/Affiliated
Organization
Address Contact
Number
1. Tilak Gaha M Secretary Mass Meeting Palpa 9847118675
2. Narmati Sinjali M Member Rastriya jana
morcha
Palpa 9847078779
3. Shova Shakya M Lecturer Butwal Multiple
Campus/NC
Tansen 9847029348
4. Chokarman
Shakya
M President Community
Committee Tansen
Tansen Palpa 9847029357
5. Rajendra pratap
Shakya
M Member Community
Committee Tansen
Tansen
Municipality
9847029875
6. Bharat Pariyar M Member Community
Committee Tansen
Tansen
Municipality
9847096369
7. Rafi Miya M Member Community
Committee Tansen
Tansen
municipality
9847119186
8. Surendra Man
Shakya
M Subordinate
Officer
Tansen
municipality
Tansen 9847337199
9. Chameli Shrestha F Officer Women
Development
Tansen 9847029224
143
Office
10. Madhu Sudan
Gharti
M Subordinate
Officer
Tansen
municipality
Tansen 9847028356
11. Aarlap Kha M Business man Tansen
municipality
9847100462
12. Maan Bd.Nepali M Tansen
municipality 6
Tansen
municipality
9847175797
13. Tharka Bd. Jec M District Forest
Officer
District forest
Development
Office
Tansen 9847306241
14. Kausal Raj
Ghimire
M Officer Tansen
municipality
Tansen
municipality
Office
9847029322
15. Bishnu Prasad
Acharya
M Officer District Forest
Office Palpa
Palpa 6841712054
16. Madan Singh
Rana
M Member Tansen
municipality
9747023625
17. Radha Ghimire F Member CPN-UML Tansen
municipality 12
9847177755
18. Bishnu Maya
Thapa Magar
F Member Rastriya Jana
Mukti Morcha
Tansen
municipality 3
9847118889
19. Ram Prasad
Pokharel
M Member CPN-UML Tansen
municipality 14
9857060007
20. Vishnu Valego M Social Service RPP Tansen
municipality
9847027677
21. Nabin Thapa
Magar
M Chairman CPN(U) Tansen
municipality 11
9847021096
22. Ram Bd. Aryal
Chhetri
M Senior office
Offcer
kathmandu 9851071062
23. Sishir Poudel M Executive
Director
Tansen
municipality
Tansen , Palpa 9857060552
24. Bishnu Poudel M Director Tansen
municipality
Tansen Palpa 9847029373
25. Salil Devkota M Consultant UGDP Kathmandu 9851065103
26. Hari Bhattarai M
27. Mahesh Mangal
Joshi
M
28. Bharat Prasad
Acharya
M Subordinate
Officer
Tansen
municipality
Tansen
municipality
Office
9847028368
Water Supply Related Stakeholders
Location: Tansen Municipality Date: 5 February, 2011
S.N Full Name Gender
Post or
Occupation
Office/Related
Organization
Address Contact
Number
1. Dinesh Gandarba M Chairperson Gandarva Tole
Vikash Sanstha
Tansen
Municipality 3
9847043632
2. Bhimsen karki M Treasury Tansen Drinking
Water &Supply
Committee
Tansen
3. Kausal Raj M Tansen Tansen 9847029322
144
Ghimire Municipality
4. Tika Ram Poudel M Chairperson Rajmo Nagar
Samiti
Tansen
Municipality
9847043253
5. Keshab Poudel M Municipality
Incharge
UCPN(Maoist) Tansen
Municipality
9847005665
6. Ramji Bd. Karki M Tansen
Municipality
Tansen
Municipality 3
9847029893
7. Gita Dhungana F Vice Secretary Lahare Pipal 2 Tansen
Municipality 4
9847102539
8. Chanda
Maharjan
F Vice Chairperson Holungdi Tole
Vikash
Tansen
Municipality 4
521797
9. Purna Maya F President Redcross Tansen
Municipality 3
520227
10. Yadav Raj
Sharma
M Chairperson Tuksar 1 Tole
Vikash
Tansen
Municipality 5
520929
11. Dhurba Khati M Tansen
Municipality
Committee
Tansen
Municipality 10
9847068088
12. Uma Nath
Acharya
M Citizen Tansen
Municipality 11
Tansen
Municipality 11
9847028588
13. Hom Nath
Neupane
M Representative of
Tole Sanstha
Tansen
Municipality
Tansen
Municipality 11
9847005992
14. Rajendra Prasad
Pant
M Engineer Tansen
Municipality 13
9847101443
15. Ram Bd.Raut M Chairperson Tansen
Municipality 5
9857060995
16. Dr. Puran
Bajarcharya
M Vice Chairperson Tansen
Municipality
Tansen
Municipality 6
9847099233
17. Bishnu Poudel Executive
Director
Drinking Water
Consumer
Committee
Tansen 9847029373
18. Bhim Kumari
Shakya
F Tole Chairperson Tansen
Municipality 3
9815415196
19. Gamala JC F Teacher Tole Vikash
Sanstha
Tansen
Municipality 4
9747004615
20. Rajeshwor Udam M Vice-Principal Tribhuvan
Multiple Campus
Tansen 9847029245
21 Keshari Basnet F Teacher Unanati Vikash
Tole
Tansen
Municipality 6
9847343111
City Conservation Related Stakeholders
Location: Tansen Municipality Date: 5 February, 2011
S.N Full Name Gender
Post or
Occupation
Office/Affiliated
Organization
Address Contact
Number
1. Deep Narayan M Business man Milejuli Tole
Vikash
Tansen
Municipality 8
9847068293
2. Dr. Karna Bd.
Baniya
M Principal Tribhuvan
Multiple Campus
Tansen 9847069379
3. Yadav Raj
Sharma
M Chairperson Tuksar 1 Tole
Vikash
Tansen 9847059528
145
4. Jyoti Raj
Bhandari
M Chairperson Makhan Tole Tansen
Municipality
9847178092
5. Rajeshwor Uday M Secretary 9847029245
6. Bal.Bd.Rana
Magar
M Member Tansen
Municipality 7
9847029588
7. Mina Rayamaji F Chairperson Tole Vikash
Samiti
Tansen
Municipality 6
520031
8. Tumla
Bajracharya
F Secretary Tole Vikash 2
Tuksar
Tansen
Municipality 5
520311
9. Sushma Gywali F Chairperson Tole vikash Asan Tansen
Municipality
15522715
10. Bhusan Rajlober M Tansen 9847043011
11. Ram Man
Shrestha
M Advisor Bhimsen Tole
Vikash
Tansen
Municipality3
9847043595
12. Chameli
Shrestha
F Chairperson Tole Vikash
Sanstha
Tansen
Municipality 5
98470129224
13. Man Mohan
Shrestha
M Chairperson Tansen 8, palpa Get Up Palpa 9847028885
14. Bishnu Poudel M Managing Director Tansen
Municipality
Tansen
Municipality
9847029373
146
Annex 10 Guidelines for Ensuring Social Accountability
Social accountability refers to the ability of citizens to hold the government responsible and
increase the effectiveness of its programs through a broad range of actions that include:
promoting access to information, monitoring public services, undertaking mediation or alternate
dispute resolution, and partnering with the government to improve its responsiveness. These
actions can help the government and citizens recognize their mutual responsibility in promoting
good governance.
The principle of accountability lies at the heart of genuine participation and community
involvement. Its purpose is to ensure that the social issues are effectively addressed by the
project and subprojects through a transparent and participatory manner. The UGDP: NETP will
adopt the following principle to ensure social accountability:
1. Local NGOs/CBOs will be mobilized to involve and ensure community
participation: Information dissemination on project activities will be conducted in all
project wards and toles involving poor and disadvantaged, women groups, women's
organizations and other interest groups. Consultations with, and participation of, IPs will
be ensured during formulation of the subproject to ensure that it adequately deals with
their needs, priorities, and preferences. The IPs will be provided relevant project
information in language(s) and manner suitable to them. A separate focus group
discussion will be held with IPs to assess sub-project impacts and benefits to these
groups. Accordingly, sub-project plans, including IP plans, will be prepared in
consultation with IPs. The outcomes of social assessments and programs/measures for IPs
will be presented in community workshops/meetings.
Public consultation, participation and transparency will be used as cardinal principles in
dealing with the adverse impacts. Problems will be reduced when people are properly
informed and consulted about the project and allowed to make meaningful choices and
participate in the decision making process. The consultations will enrich project planning
and design, improve public awareness of development objectives of the projects and
promote project acceptability and transparency.
2. Social inclusion in decision-making and operations of subproject activities will be
ensured: In order to smooth implementation, sub project user committed will be formed
and represented by the local community-based organizations (such as tole lane
organizations (TLO) and user committees), women groups, dalits, marginalized
indigenous peoples, Muslims and other vulnerable groups. Women and vulnerable groups
will be involved in the decision-making, O&M, and monitoring of all subproject
activities related to community facilities.
3. Market/job oriented skills training will be provided to poor and disadvantaged
people: Poor, disadvantaged households, project affected households are given priority to
participate in market oriented skills training activities. At least 50% of beneficiaries of
skills training should be for women, vulnerable groups and the poor.
147
4. A policy of equal employment opportunity for women and men and equal wages for
work of equal value will be strictly adopted to ensure gender equity: Equal
employment opportunity given to poor women and men in construction works; and equal
wages distributed to women and men for work of equal value. The contractors will be
encouraged for employment of local labor including women and the poor.
5. Capacity of Building of Executive and Implementing agencies (MLD, DUDBC,
TDF and Municipalities) for project management, operation and policy
implementation: Social safeguard experts will be employed by PCO, TDF, and social
development officer by each municipal level Project Management Team (PMT) and will
be involved in project planning, implementation and monitoring. The safeguard experts
in PCO and TDF will provide technical support to Social Development Unit of the
municipalities while social development officer will ensure social inclusion in the sub
project management. He/she will facilitate project planning ensuring participation of
dalits, marginalized indigenous peoples, women and other vulnerable groups including
their representative organizations.
6. Social compliance auditing will be conducted: Social audit will be have two tired;
Central Level Audit and Local Level Audit. Central Level Social Compliance Audit will
be carried out by an independent third party, once a year during construction period. This
audit will be conducted on behalf of MLD/DUDBC/TDF. The auditing team will present
a detail report of auditing to UGDP: NETP and World Bank. The auditing team will
debrief municipality after site visit and also MLD/DUDBC/TDF before submission of the
audit report. MLD/DUDBC/TDF will accept this audit report as a substitute to central
level and social compliance monitoring. Social Audit will also be conducted during
operation stage. This will be done by an independent social safeguard consultant on
sample basis. The audit will check whether process and provisions envisioned in SMF is
followed or not, and the general quality of work. The concerned municipalities will make
necessary corrections on the basis of audit recommendations. The local level audit
especially denotes Community Based Performance Monitoring (CBPM). The social
development officer of the participating municipalities in close coordination with local CSO
and media and relevant line agencies will carry out CBPM, three times during the project
period. First CBPM will be carried out after awarding of tender, second CBPM during
construction period and third immediately after completion of construction activities, but
before awarding construction completion certificate. The CBPM report will be submitted to
respective municipality for necessary actions. The CBPM will examine technical, social,
financial and environmental performance of the project from peoples‘ perspective.
Thus, in order to ensure good governance and social accountability, the UGDP: NETP should
primarily intend to empower community organizations of the marginalized urban people and
then should provide space in the table and a voice in governance. This would be the first step in
building up good governance and social accountability. Participatory local development planning
and budgeting can further institutionalize accountability. Involvement of dalits, marginalized
indigenous peoples, women and other vulnerable groups including their representative
organizations in the project cycle will certainly ensure that their voice will be heard even in the
regular annual budgetary allocation.
148
Annex 11 Pictorial Highlight of the Consultation with Stakeholders
Interaction with Stakeholders
Mechinnagar Dhankuta
Interaction with Stakeholders
Itahari Lekhanath
149
Interaction with Stakeholders
Baglung Tansen
Interaction with Local People Mechinagar
150
Interaction with Local People Dhankuta
Field Observation Itahari
151
Interaction with Local People
Baglung Bazar Baglung Ring Rod
Interaction with Local People
Lekhanath Site Observation Lekhanath
152
Interaction with Local People Tansen
Beneficiaries of Tourism Development Subproject Water User Committee
Views on Likely Impacts & Issues of IR
Devkota Park( Mechinagar) Devkota Park( Mechinagar)
153
Views on Likely Impacts & Issues of IR( Mechinagar)
Street Temporary Shops ( Gate) Ownership issues in Minimarket
Views on Likely Impacts & Issues of IR
School along Gokul Road Private Houses along Gokul Road
154
Views on Likely Impacts & Issues of IR
Private Houses along Triveni-Yakchana Road (Dhankuta
Private Houses along Triveni-Yakchana Road( Dhankuta)
Views on Likely Social Impacts & Issues of IR
Ownership issues of Lake in Lekhanath
Issues Fishing Community in Lekhanath
155
Views on Likely Social Impacts & Issues of IR
Baglung Ring Road Baglung Ring Road
Baglung
Baglung Ring Road Baglung Ring Road
156
Views on Likely Social Impacts & Issues of IR
Ownership Issues (Tansen ) Historical Temple in Tansen
Note
i In response to protests by NEFIN and other groups in aftermath of the peoples’ movement of 2006, the Legislative Parliament of Nepal ratified International Labor Organization’s Convention 169 (ILO 169) in August 2007, making Nepal the first country in South Asia to do so. ILO 169 supports the principle of self-management and guarantees the right of indigenous people to consultation and participation in issues relating to their own development, and right to practice traditional economies, to traditional land and resources and to use indigenous languages in education, has been hailed as an important document that would assist in the development of an inclusive state, particularly in the context of the restructuring of the state which is an important task that has been assigned to the constituent assembly.
ii Tensions between the Maoists and their historical rivals, different factions of Jana Morcha, particularly, the Rastriya Janamorcha, persists but these tensions however have not turned violent in the aftermath of the CA elections. Source: “Major Incidents of Terrorist Violence in Nepal, 1999-2010.” http://www.satp.org.
iii Dhankuta has witnessed numerous clashes between youth groups of UCPN(Maoist)—YCL and CPN(UML)—YF in the post-conflict period. There have been at least three occasions when tensions have escalated to the extent that the district administration has had to impose a curfew. Source: “Major Incidents of Terrorist Violence in Nepal, 1999-2010.” http://www.satp.org.
iv The Ministry of Home Affairs in August 2009 released names of 109 different armed groups and outfits operating in Nepal. Political commentators have indicated that 70-75 percent of these groups are based out of Tarai districts. Source: Narayan Manandhar. “Nepal's armed groups” Republica, 29 August 2009.
v The Madhes Andolan of 2007, spearheaded by the Madhesi Janaadhikar Forum (MJF), now one of the major parties in the constituent assembly was a launched to demand the rights of Madhesis against the historic injustices against the group by the pahadi dominated Nepali state. Source: International Crisis Group. Nepal’s Troubled Tarai Region, Asia Report No. 136, 9 July 2007.
157
vi Due to the open border, criminal groups that have been forced to flee Bihar have found a sanctuary in Nepal. However, these groups have not been able to penetrate into Mechinagar and Itahari to the same extent as in other regions where the population of Madhesis is significantly higher.
vii Armed groups in Eastern hills include: Khambuwan National Front, Khambuwan Democratic Front, Federal Limbuwan State Council (Sanju Hang Palungwa group), Federal Limbuwan State Council (Revolutionary), Upper Kirant Limbuwan National Forum, Kirant People's Workers Party, Khambuwan Combatant Party. Source: Sita Mademba. “Special Security Plan falters: Despite government claims, eastern Nepal is still under the sway of armed groups.” Nepali Times, Issue #519, 10-16 September 2010.
viii Samyukta Jatiya Mukti Morcha (SJMM) [Unified Ethnic Liberation Front] is an underground outfit that has recently spiked up their activities in different parts of Nepal. Reportedly, around 1500 VDC secretaries have been forced to resign due to threats and intimidation by this group in recent months. The leaders of this group have claimed that they will wage an armed struggle against the state if their demand for absolute proportional representation of Janajatis in all state organs is not met. Source: “Explosion rocks Saptari VDC office as secys of Tanahun and Dang resign enmasse,” 5 July 2010, www.nepalnews.com/main/index.php/news-archive/19-general/7337-explosion-rocks-saptari-vdc-office-as-secys-of-tanahun-and-dang-resign-enmasse.html
ix MLD. “Local Government and Community Development Programme: Project Document.” 11 July 2008; Government of Nepal. Interim Constitution 2007, Kathmandu, Nepal.
x For instance, in Tansen, it is evident that as the leaders of the two main parties—the Nepali Congress and the
CPN-UML—are Newars, and share strong links with people in the core town areas, projects in these areas take
precedence. The fact that political representatives select projects based on their proximity to those who are locally
influential is revealed through a glance at Tansen Municipality‘s 2066 annual plan. In the core wards, a large
number of planned programmes include names of people in front of whose houses roads or sewage pipes are to be
constructed. For instance, a planned programme for ward 5 reads, ―to construct a road between the houses of Chakra
Kumari and Achyut Raj Sharma.‖ xi In Lekhnath, for example, the political parties had set up office hours at the municipal office so that members of the general public could approach them directly with their problems. Very few people came to meet the representatives, however. The political representatives thought that this was so because the public was unaware of how local government functioned in a situation where local elections had not been held for eight years.
xii In Itahari, these measures which were initiated under the aegis of Pro-public, a national level NGO working on governance related activities have been short-lived after DFID, the main funding agency for the program withdrew its support.
xiiihttp://www.mld.gov.np/pdf_downloadable_file/local_bodies_financial_administration_regulations_2056_nepali.pdf (In Nepali)
xiv Ibid.
xv The contracting process is notoriously prone to corruption all over Nepal. Anecdotal accounts suggest that up to 50 percent of the funds allocated to projects are skimmed off during the tendering/contracting process. According to one estimate, out of the total cost sanctioned for a particular project, about 30 percent is invested in the work, 30 percent on contractor’s profit, and 40 percent goes into various ministers’ and officers’ pockets. Source: Madhusudan Sharma Subedi. “Corruption In Nepal: An Anthropological Inquiry.” Dhaulagiri Journal of Sociology and Anthropology, Volume 1, 2005.
xvi http://www.rupp.org.np/aboutus.asp
xvii There are currently 177 TLOs in Lekhnath and 89% of households are represented in them. The municipality has
been providing various facilities to TLOs including lending money to members of TLOs from its revolving fund,
158
providing trainings to TLO members in skills development, literacy and leadership. Municipality officials consider
TLO savings to be a major success: currently, TLOs have saved over Rs. 10 million. The strength of TLOs has
helped bring some public accountability to the projects that the municipality implements. In particular, the concept
of public audits or public hearings has become ingrained and if the municipality or user groups do not hold these on
schedule, it is common for TLOs to demand that they do. TLOs are also known for their initiative and drive when it
comes to implementing projects. For instance, the Himalaya TLO formed in a squatter‘s colony consisting of very
poor Chhetris and Dalits in Ward 13 was tasked with building toilets by the municipality with funds from LGCDP.
From a total budget of around Rs. 3 million, it was estimated that 132 toilets would be built. However, the TLO
managed to build around 180 toilets with the funds that they received.
xviii LSGA, Article 88.2.c
xixhttp://www.cbs.gov.np/Population/Monograph/Chapter%2010%20%20Urbanization%20and%20Development.pdf
xx ibid
xxi ibid