Ethiopia Trade Logistics Project (P156590)

Transcription

1 Ethiopia Trade Logistics Project (P156590) Abbreviated Resettlement Action Plan (ARAP) for the Railway Spur and Livelihoods Restoration Measures for Legacy Land Taking by Government Ministry of Transport Ethiopian Maritime Affairs Authority May, 2017 Addis Ababa, Ethiopia

2 Table of Contents List of Tables... iii Acronyms... i Executive Summary Project Background/ Description Description of Project Components Rationale for the Preparation of the ARAP Project Objective Objectives and Methodology of the ARAP ARAP Objectives Methodology of the ARAP Project Affected Area and People: Biophysical Characteristics Geography of the Project Affected Area Project Affected People (PAPs) Legal Frameworks Land Expropriation Laws in Ethiopia Compensation Payment and Relocation World Bank OP 4.12 Involuntary Resettlement Eligibility Criteria and Compensation Valuation Identification of Eligible People Principles of Compensation Valuation and Compensation Methodology Entitlement Matrix Resettlement and Land Acquisition Impacts Loss of Land Loss of Crops and Trees Loss of Structures Property Relocation Assistance Land transfer and related Transaction Costs Livelihood Restoration and Rehabilitation Plan Loss of Livelihood ii

3 9. ARAP Implementation Process and Institutional Responsibilities Grievance Redress Mechanisms Monitoring and Evaluation (M&E) of ARAP Internal Monitoring External/Completion Audit Public Consultation and Disclosure Activities for ARAP ARAP Costs and Budget ARAP Implementation Activities Timetable/schedule Annexes Annex 1: Social (including Safeguards) and Livelihoods Restoration Measures Annex 2: ARAP Household Socio-economic (Census Sheet) and Asset Inventory Questionnaire Annex 3: Updated Unit for Estimation of Trees by Lume Woreda Administration Office Annex 4: List of Sample Consulted Persons List of Tables Table 1: Entitlement Matrix for PAPs Table 2: Type of land use, land size, and estimated compensation cost Table 3: Types and Number of Tress PAPs will loss by estimated Cost Table 4: Loss of Structures and Estimated Cost Table 5: Livelihood Restoration and Rehabilitation Plan Table 6: Public Consultation Participants Table 7-ARAP Implementation Budget Table 8-ARAP Implementation Schedule iii

4 Acronyms ARAP CRC CSF EMAA EPLAUO ESIA ESLSE ETLP ICT M&E MoT OP/BP PAD PAPs ROW RPF WB Abbreviated Resettlement Action Plan Compensation and Resettlement Committee Container Freight Station Ethiopian Maritime Affairs Authority Environmental Protection, Land Admiration and Use Office Environmental and Social Impact Assessment Ethiopia Shipping and Logistic Services Enterprise Ethiopia Trade Logistic Project Information Communication Technology Monitoring and Evaluation Ministry of Transport Operation Policy/ Bank Procedure Project Appraisal Document Project Affected Persons Right of Way Resettlement Policy Framework World Bank i

5 Executive Summary Ethiopia Trade Logistic Project (ETLP) is designed with the objective of enhancing the performance of the Ethio-Djibouti corridor through improvements in operational capacity and efficiency logistics services at the Modjo Dry Port through investments in physical infrastructure, Information Communication Technology (ICT) systems, and support for regulatory improvements. The project aims to increase exports, raise incomes of producers and traders, and generate jobs for citizens. The project has three main components: i) Improvement of infrastructure; ii) Enhancing coordination through investments in ICT systems; and iii) Regulatory and institutional capacity support. This Abbreviated Resettlement Action Plan (ARAP) is prepared with the objective to minimize land acquisition and resettlement impacts that will occur for twelve households affected by the construction of the railway spur (an associated facility financed by Ethiopian Shipping and Logistics Enterprise (ESLSE) and propose mitigation measures to address the specific needs of the affected people. This ARAP applies to all Project Affected Persons (PAPs). However, special attention was paid for the vulnerable groups identified during the socio-economic survey such as elderly, women, unemployed youths, and children. The ARAP is prepared based on the disclosed ETLP RPF and complemented by the findings of the Environmental and Social Impact Assessment that provided key socio-economic factors that require consideration; identified vulnerable groups, and the necessary impact mitigating measures; assess any potential adverse social impacts of ETLP. Further, the ESIA included a section on legacy issues related with government land acquisition before the project and proposed livelihood restoration measures as captured in the Project Appraisal Document and outlined in Annex-1 of this ARAP. The methodology used for preparing this ARAP includes review of documents. The reviewed documents include: i) ETLP documents (Project Appraisal Document, Environmental and Social Impact Assessment, and Resettlement Policy Framework) with the objective to understand the full extent of the proposed project, its general location, scope, schedule and planned sequence of activities, resources available, expected implementation arrangements and life-span; and ii) Ethiopia and World Bank applicable policies for land acquisition and resettlement. In addition, the project area was visited and group discussion and interview were made with the community members was conducted. Besides, Socio-economic survey of the eight affected households and community consultation were conducted. Preparation of this ARAP involved two rounds of community consultation and discussions were held in two rounds (February and February ) with the PAPs, community members, the relevant government officials (responsible for resettlement and compensation) such as Lume woreda administration representatives, Modjo Town municipality land administration core process, Modjo dry port, officials from the affected Kolba Gode kebele, and 1

6 the representatives of the affected communities. Key issues discussed and concerns of PAPs are summarized below: Participants were presented/briefed about the ARAP preparation and process objectives and approvals at different levels, including submission and approval of the ARAP by the Woreda Environment, Forest and Climate Change Authority Office and the World Bank for review, approval and ensuring compliance with the principles and procedures outlined in the RPF and the Ethiopian law. The ARAP will be disclosed through the WB Infoshop, EMAA website, and at the community level using appropriate language. ETLP was introduced and overall agreement was reached with communities regarding the need for the project as a part of the national development and its contribution. The participants emphasized the need for income-generating opportunities directly available to the local communities, especially working age men, youth, and women during and after construction for skilled and non-skilled jobs to ensure sustainability of their livelihood through employment among PAPs. Fair compensation and entitlements for all PAPs regardless of their status and the nature of land, house, building structure, trees, etc. Ensure participation of the PAPs in the project implementation and designing of livelihood restoration. During consultation, PAPs were informed that as per ETLP RPF they will be assisted in their effort to improve their livelihoods and standards of living or at least to restore to levels prevailing prior to the beginning of project implementation, whichever is higher; and the mission of this work is also to prepare livelihood restoration and rehabilitation plan that will be implemented by the project implementing agency. Socio-economic survey (census) of PAPs was carried out from February 02-05/2017 to identify eligibility of people and the extent of the impact in project affected area. February 02/2017 was communicated by the Compensation and Resettlement Committee as the cutoff date for eligibility as per the publicly disclosed ETLP RPF, which states the start of the census date as the cut-off date. Identified PAPs during the socio-economic survey are title holders and owners of structures (houses, fences and kitchen) and economically useful trees. A total of twelve households are identified during the census who will encounter economic displacement (loss of farmland). However, among these twelve households, eight households will face physical displacement (loss of houses/residential structures) and four households will encounter economic displacement (loss of farmlands). Land is the means of livelihood for PAPs who practice rain-fed agriculture. Besides, PAPs also practice livestock, chickens, goats, donkey, and sheep rearing. The total area of land the four households will lose is hectares. The individual loss for the four households is , , , and hectares. Lume Woreda has been selected as one of the industrial/manufacturing sites in Oromia region and continued to host private investors in agro-processing, tannery, flora, etc besides the Modjo Dry Port. Cash compensation is preferred because the farmers have lost their farmland during the two phases (in 2007 and in 2015) of the Modjo Dry Port expansion, besides, the cumulative impact of 2

7 various public infrastructure and private investment. The practice of agriculture for households residing around the Modjo dry port is no more viable due to the above factors. The total land requirement for the railway spur is hectares (of which hectares is garden occupied by residence house and hectares is farmland). As a result of the land acquisition for the railway spur, the impacts are mainly on loss of farmland, structures, perennial trees, and livelihood activities. There are eight residential houses, and the dwelling condition of PAPs was relatively good. Most houses are made of cement and the wall is constructed from wood and mud, polished by cement with sand mixed. The houses lack electricity and clean piped water. Some households use solar energy for only lightning at night instead of cooking and heating. The PAPs have access to education, health care and water in two kilometers distance at Modjo Town. PAPs will be fairly compensated for the loss and/or damage to properties that they will encounter during the land acquisition process in accordance with the provisions outlined in the RPF and the Entitlement Matrix. Compensation for loss and/or damage to structures and assets will be at replacement cost without considering depreciation. Livelihood restoration and rehabilitation plan was prepared. The main livelihood restoration activities include cattle fattening, poultry production, fattening of small ruminants such as sheep and goats and direct financial transfer for the elderly. The total estimated budget for livelihood restoration and rehabilitation including support for three elderly is 750,000 birr. The ARAP is proposed to be implemented within one year. The progress and implementation of the ARAP will be monitored and evaluated. An external independent consultant will be hired to undertake implementation completion audit. The total estimated budget for the implementation of the ARAP is 5,845,668.11birr equivalent to $258,468.03USD 1. 1 National Bank of Ethiopia, Ethiopian Birr to United States Dollar official exchange rate $1= , 22 February

8 1. Project Background/ Description 1.1. Description of Project Components The project comprises a mix of public infrastructure development at the Modjo Dry Port, coordinated with targeted investment in ICT and regulatory and administrative reforms that improve the efficiency and coordination of logistics facilities and services. The project will also support institutional capacity building to ensure effective implementation and sustainability. The project has three components: 1) Improvement of infrastructure; 2) Enhancing coordination through investments in IT systems; and 3) Regulatory and institutional capacity support. Component 1: Improvement of infrastructure at Modjo (US$120 million). The investments in infrastructure at Modjo will support the facility to achieve three key objectives: (a) to improve the efficiency of processing of current traffic flows through the dry port; (b) to increase the capacity of Modjo to process the projected increasing volumes of trade, including the interconnectivity between rail and road transportation; and (c) to facilitate the transformation of Modjo to become a logistics hub offering a wide range of logistics services to exports as well as imports and to support diversification into a wider range of higher value-added exported products. The project will support the transformation of Modjo into a logistics hub that will meet the increasing demand for specialized and value-added logistics services. These investments are essential to support the growth of the export sector through the provision of a range of valueadding logistics services that are increasingly required to integrate into the global value chains. Of particular importance will be the development of services to support Ethiopia s key exports in coffee, fruit, and vegetable, textile and clothing, leather and footwear, and the food manufacturing sector. The project will support investments in a Container Freight Station (CSF), a bulk shipment facility for bulk imports and consolidation center for bulk exports, bonded warehouses, a container storage facility for exporters, and core facilities to allow for investment in other value-added logistics activities such as packaging and labeling. Investments in valueadded services will be informed by a value chain analysis and main cargo flow analysis to determine the logistics hub functionalities and the need and appropriate role for governmentprovided infrastructure. The proposed project will finance the expansion and upgrading of the Modjo Dry Port through investment in the following facilities: (a) An intermodal transfer facility (US$27 million).the project will finance investments to allow the efficient processing of freight to/from the rail link to Djibouti from/to destinations/origins within Ethiopia served by road transportation, including construction of a cross-docking facility and a rail-mounted gantry crane to allow for efficient cargo movement 4

9 from rail to trucks and truck to rail. These investments will be essential to ensure the seamless processing of import and export goods and to ensure that the competitive advantages from low-cost rail transportation are not undermined by high costs and delays in the dry port. The length of the rail spur inside the freight terminal including the gantry crane rail is 1464m and outside the freight terminal is 3513m which is the board of the freight yard. The row differs from place to place according to the topography and geological condition. The average ROW boundary in this condition is 15m left and right from the center of the rail. (b) Abulk storage and bagging facility (US$25 million). Project activities will include investments in bulk storage and bagging of bulk products (especially fertilizers and grains), including silos and appropriate handling equipment such as wheel loaders, conveyor belts, and bagging machines. Having these facilities available at Modjo will allow for the evacuation of these products from Djibouti and the reduction in congestion, ship waiting times, and demurrage costs. (c) A container yard and equipment (US$32 million).under this activity, the project will carry out civil works for the expansion of the container yard, construction of supporting warehouses and office buildings, installation of necessary utilities (such as electricity, water and sewage), and purchase of machinery and equipment including cargo handling equipment such as RTGs, reach stackers, and forklifts. It is expected that these investments will improve the capacity of Modjo to process current traffic flows and be ready for the projected increase in trade. (d) Bonded and general warehousing (US$20 million). This activity will cover investments in modern warehousing facilities to expedite, among other things, the prompt un-stuffing of containers at Modjo and storage of products. This investment will improve the management of containers within the port, avoiding unnecessary movements and organization of container stacks due to the long dwell times and making empty containers available to shipping lines more quickly, reducing demurrage penalties for overstayed containers. It will also help in the repositioning of empty containers for export. For high-value, high-duty products, a secure bonded warehouse will be required (e) A center for consolidation/deconsolidation of containers (US$16 million). Project activities will cover the construction of facilities necessary for the un-stuffing of import containers for subsequent storage and distribution to final destination, for consolidation of export goods and the stuffing of export containers and for ancillary services such as packaging. This will enable small firms to order part container loads, which are then deconsolidated onsite. A deconsolidation facility will also reduce the transportation of empty containers from the shipper s facility, where they are currently unstuffed, back to the Modjo Dry Port. For exports, the facility will provide for consolidation of export goods and the 5

10 stuffing of export containers as well as buildings that provide for ancillary services such as packaging. Component 2: Enhancing coordination through investments in IT systems (US$15 million) This component will aim at improving coordination to facilitate efficiency of the dry port and flow of information between stakeholders. The project will invest in two critical ICT-based intelligent systems to reduce coordination failures and improve the efficiency of logistics provision. These systems are common features of advanced logistics systems in countries throughout the world. Subcomponent 2A: A management information system to facilitate the provision of documents and flow of information between agencies along the corridor (US$5 million). The project will support the development of information and communication technology ( ICT ) based management information system to enable the electronic flow of information required by regulatory agencies along the logistics system, including purchase of necessary hardware and software for an enterprise management information system with an efficient integration platform. Subcomponent 2B: Logistics terminal operation and electronic gate pass system at the Modjo Dry Port (US$10 million) The Project will support the development of a logistics terminal operation system and an electronic gate pass system at the Modjo dry port to facilitate controls of movement and storage of various types of cargo in and around a container terminal or port and to assist in the planning of use of labor and equipment, including purchase of necessary equipment, the tailoring of the system for the specific needs of the Modjo dry port, and provision of consultancy services. Component 3: Regulatory and institutional capacity support (US$15 million) Subcomponent 3A: Capacity enhancement program for the Ethiopian Maritime Affairs Authority, Logistics Transformation Office, and Ethiopia National Logistics Transformation Council (US$5 million). The Project will support programs for capacity enhancement of the Ethiopian Maritime Affairs Authority (EMAA), Logistics Transformation Office and Ethiopia National Logistics Transformation Council, including studies and analyses of applicable policy and regulatory frameworks necessary for Modjo to evolve to become a multi-user facility; capacity assessment of private logistics service providers, design of business and operational models, feasibility studies for one-stop border posts at Galafi and Dewele with recommendations for discussion at stakeholder workshops and analyses by the Project s Technical Working Group. 6

11 The project will coordinate investments in critical infrastructure with support for regulatory reforms, and their effective implementation, that enhance the efficiency of operation of logistics services at Modjo. The project is designed to support the increased role of the private sector in the logistics sector in Ethiopia in a manner that is consistent with the capacities of the private firms. At present, the scope for private sector investment in large scale logistics infrastructure is absent. The project therefore supports public investment in critical infrastructure and the increasing role of the private sector in service provision. The modernization of the logistics sector in Ethiopia has implications for both state owned enterprises and the private sector. This project will contribute carefully to the ongoing dialogue between the government and stakeholders. It will support EMAA in defining an appropriate ownership structure for the Modjo facility and in developing business and commercial model that will enable private sector firms to provide services at Modjo. This component will also mitigate the risk that the returns to the infrastructure investments are not undermined by the continuation or entrenchment of existing monopolies of service provision in the logistics sector. The increasing role of the private sector will be structured according to specific value chain requirements and private sector capacities. The technical design of the logistics hub cannot be separated from Business and Operational Model of the proposed functionalities. These will initially be addressed in the feasibility and design studies for the specific infrastructure investments supported by a functional review of the private sector in logistics provision in Ethiopia. The project will also support Capacity Assessment of Private Logistics Service Providers. This review will survey the current characteristics of the private logistics service providers in Ethiopia, assessing their role in various logistics chains (import, exports by commodities for instance), their assets, their human resources, and their financial capabilities. Their current characteristics will be assessed against their expanded role in the logistics of the Ethiopia trade, in order to assess the potential gap and the possible additional capacity building program that could be required to empower the private sector to fully support the economic development of the country. Key elements on the path towards a modernized and fit for purpose legal and regulatory framework that the project will support are: (a) the regulatory provisions for the stuffing of export containers at Modjo by private sector firms; (b) the regulations necessary for private sector provision of logistics services at Modjo for key bulk and break-bulk supply chains including fertilizers, grains, and iron and steel; (c) the legal and regulatory framework for the increasing role of the private sector in the processing of import containers at Modjo (i) through the provision of un-stuffing services, (ii) by providing warehousing services including the operation of private bonded warehouses and (iii) through the increasing subcontracting to private sector operators by ELSLE of transport and logistics services for import containers from the Port of Djibouti to delivery to customer. 7

12 Subcomponent 3B: Project management, communication, and monitoring and evaluation (US$10 million) This subcomponent will support project management, communication and monitoring and evaluation, including financing of operating costs. The Project Implementation Unit (PIU), located within the EMAA, will oversee the implementation of project activities, fiduciary management, monitoring and evaluation (M&E), and reporting. The continuous M&E of the implementation of policies and key programs will be a critical role of the PIU, and therefore, a strong emphasis will be put on capacity building. 8

13 2. Rationale for the Preparation of the ARAP The rationale of preparing this ARAP is to ensure the proper implementation of the ETLP s RPF as agreed between the Government of Ethiopia (GoE) and the World Bank Group. The compensation and entitlement package is based on the requirements of the GoE and the World Bank OP4.12 for land acquisition and resettlement as provided in the publicly disclosed ETLP RPF. The railway spur as an associated facility is being constructed on earlier acquired land and will impact eight households will be affected due to the additional land requirements 2.1 Project Objective The objective of Ethiopia Trade Logistic Project (ETLP) is to enhance the performance of the Ethio-Djibouti corridor through improvements in operational capacity, efficiency, and range of logistics services at the Modjo Dry Port. The project will achieve this through investments in physical infrastructure, Information Communication Technology (ICT) systems, and support for regulatory improvements to increase exports, raise incomes of producers and traders, and generate jobs. 2.2 Objectives and Methodology of the ARAP 2.3 ARAP Objectives The key objective of this ARAP is to minimize land acquisition and resettlement impacts on twelve households affected by the construction of the railway spur (an associated facility financed by ESLSE) and propose mitigation measures to address the specific needs of the affected people specifically vulnerable groups particularly the elderly, women, and unemployed youth. Besides, a livelihood restoration plan was consulted up on and prepared to ensure that the livelihoods of PAPs are restored at least to a level of the pre-project. This ARAP have the following integral specific objectives: Identify the type of loss of assets; Document the socio-economic characteristics of PAPs; Estimation of budget (costs) for resettlement/land acquisition; Raising awareness on the Ethiopian Trade and Logistics Project and its potential impacts among the communities and government officials; Prepare ARAP implementation institutional and time framework including institutional responsibilities; Set M&E framework to follow up the implementation of the ARAP. 9

14 2.4 Methodology of the ARAP The methodology for preparing this ARAP include: 1. Review of documents: the reviewed include: i) ETLP documents (PAD, ESIA, and RPF) with the objective to understand the full extent of the proposed project, its general location, size, schedule and planned consequence of activities, resources available, expected implementation arrangements and life-span; and ii) Ethiopia and World Bank applicable policies for land acquisition and resettlement (see section 5). 2. Socio-economic survey of the affected households in the project area. The nearest settlement villages are about 1.5 km away from the railway spur construction site and right of way (ROW). There are no households left within the railway spur ROW. Thus, the twelve households who boarder the railway spur are identified as affected and covered in the socioeconomic survey. Both the economic and physical displacement impacts are assessed and captured in the complementary ESIA. 3. Community consultations with PAPs and other key concerned stakeholders including government offices at all levels, dry port managers, and elders. 4. Compensation and Estimation Valuation: Acquire data on unit prices of the crops, criteria for estimation of housing structures, and other affected assets for verification of compensation estimation at replacement value for PAPs from Modjo Town Municipality and Lume Woreda Administration Land Use and Environment, Forest and Climate Change Authority Office updated for 2016/ Conduct and prepare summary inventory of affected assets. 10

15 3. Project Affected Area and People: Biophysical Characteristics 3.1 Geography of the Project Affected Area The project is located in Lume Woreda of East Shoa Zone, Oromia National Regional State, and 73km in the eastern of Addis Ababa. The project affected areas is specifically located in Kolba Gode kebele of Lume Woreda. The total land identified for the railway spur is hectares (of which hectares is garden occupied by residence houses and hectares farmland). The amount of land farmers lost is presented in Table-1 under section Project Affected People (PAPs) Number of PAPs and Sex distribution A total of twelve households will encounter economic displacement (loss of farmland). However, among these twelve households, eight households face physical displacement (loss of houses/ residential structures) and four households encounter economic displacement (loss of farmlands). The eight households besides losing their homes and farmlands, they also lose perennial trees (detailed discussion of the losses and amount of compensation to be paid is presented under section 6). All household heads that encounter physical dislocation are male headed, and belong to the Oromo ethnic group. Since, the socio-economic survey was conducted for those who will be displaced, it was found out that the total number of population of the twelve households to be relocated are thirty (30); of which 13 are female and the remaining 17 male. The average family size is three Education Status of PAPs Most of the physically and economically impacted households have low education status. Most of affected households are at primary level of education. There are people who do not read and write. There are only two individuals who reached grade ten and above Age Category of the PAPs Most of the PAPs are adults within age range of years. This shows that the PAPs are in a productive age group and working to make a living. There are twelve children (7 male and 5 female), five unemployed youth and three elderly people identified during the socio-economic survey Livelihood of the PAPs The livelihood of PAPs is mainly dependent on farming. Land is the base of farmers means of livelihood where they practice rain-fed agriculture. Besides, PAPs also practice livestock, chickens, goat, donkey, and sheep rearing. Many households also practice cattle fattening to earn 11

16 additional income. Farmers are highly accustomed to cattle fattening and become one of alternative income next to sell of agricultural products Income Status of the PAPs The PAPs have good economic capacity and their annual production is relatively high. On average, a household, all together, can produce about quintals of wheat, teff, barely and other crops per year. Besides, from sell of crop residuals farmers generate an average annual income of 10,000 birr such as the sale of hay, residues of barley and wheat. They also practice livestock rearing to supplement their livelihood and generate additional income. They mainly keep cattle and goats in large numbers. Some households also practice cattle fattening (2-3 oxen per year) and sell to the nearby Modjo Town. On average, a fattened ox is sold 11,000 birr. Besides, there are some households who keep sheep, poultry, and donkey. Calculated from all these sources of income (sell of crops, crop residuals, and livestock), the monthly income of household falls between 5,000 6,000 birr. When asked, to indicate their personal views about their wealth status; households in comparison to other neighboring households all rated themselves to the middle income category. Even one household rated his family to the category of the rich Dwelling Condition and Facilities of PAPs The dwellings of the PAPs are made of different materials. Most houses are made of cement and the wall (wood and mud polished by cement) with corrugated iron sheet roofs. There are traditionally made houses from wood, mud and grass roof tukul. Three households have separate kitchen and a one household have toilet with septic tank. The resident houses have no electricity and clean piped water. Some households use solar for lighting. They commonly use wood and charcoal for cooking and heating. All household heads have cell phone for communication. Three household heads have Sofa and two households have furniture made of timber with glass windows to shelf glasses and other utensils Access to Basic Services The PAPs have relatively good access to education, health care and water, within two kilometers distance at Modjo Town from their residence. Modjo town is located about two kilometers from Gode sub-kebele that took about minute on foot. Children attend school in Modjo town. Hence, they have access to primary and secondary schools, health services like health post, health center, clinics, and hospitals (public and private). The potable water point for PAPs has been constructed by Modjo dry port. There are Bajajs that reach Gode sub kebele for transportation. They pay on average 10 birr as a transportation service charge. 12

17 4. Legal Frameworks 4.1 Land Expropriation Laws in Ethiopia The Constitution of Ethiopia upholds the right of citizens not to be forcefully evicted and displaced from their landholding. It protects citizen s rights to private property and set conditions for expropriation of property for public interest. Citizens have the right to immovable properties on land under their holding. The Constitution states every Ethiopian shall have the full right to the immovable property he/she builds on the land and to the improvements he/she brings about on the land by his/her labour or capital (Article 40). However, the Constitution gives the right for the government to expropriate land under Article 40 sub article 8 without prejudice to the right to private property, the government may expropriate private property for public purposes subject to payment in advance of compensation commensurate to the value of the property. The law guarantees displaced people to adequate compensation and assistance. Article 44 (2) of the Constitution stipulates that all people who have been displaced or whose livelihoods have been adversely affected as a result of State programs shall have the right to receive adequate monetary or other alternative compensation, including transfer with assistance to another locality. In Ethiopia, in line with the Government s policy of decentralization, the key institutional actors involved in resettlement are the local governments at the woreda and kebele levels. According to Proclamation No. 455/2005, the power to expropriate landholdings for a development project belongs to woredas (rural local administration) or urban administration in towns and cities. Article 3 of same proclamation states a woreda or an urban administration shall, upon payment in advance of compensation in accordance with this Proclamation, have the power to expropriate rural or urban landholdings for public purpose where it believes that it should be used for a better development project to be carried out by public entities, private investors, cooperative societies or other organs. The implementing agent is required to provide written notification, with details of timing and compensation, which cannot be less than 90 days from notification (Proclamation No. 455/2005, Article 4). Any entitled landholder who has been served with an expropriation order shall hand over the land to the local woreda or urban administration within 90 days from the date of payment of compensation should the leaseholder accept payment. Furthermore, where there is no crop or other properties on the expropriated land, the titleholder shall hand over the land within 30 days of receipt of written expropriation order. Article 4 (3) gives power to use police force if a landholder is unwilling to hand over land provided that the compensation amount deposited in a designated bank account. Project implementing agents are responsible for gathering data on the land needed and works to be done, and sending this information to the appropriate officials for permission. It is also 13

18 required to compensate affected landholders (Proclamation No. 455/2005, Article 5). For example, regarding the removal of utility lines such as water pipes, electricity lines, telecom cables, etc, the project client must give a written request to the affected utility management institution. Regarding compensation to affected utility management institution, the responsible body must determine a fair compensation within 30 days (Proclamation No. 455/2005, Article 6). Compensation must be paid within 30 days of the receipt of the valuation, and the utility management institution must vacate the land within 60 days of receipt of compensation. 4.2 Compensation Payment and Relocation The Constitution gives the power to the regional states to expropriate private property for public use with prior payment of compensation. Land valuations are often done at the woreda levels. The local governments establish valuation committees to value private properties (Proclamation No. 455/2005). The landholder is entitled to be compensated for the property on the basis of replacement cost (based on current market price). Permanent improvements to the land, equal to the value of capital and labour expended (Proclamation No. 455/2005 Article 7), are specified as valid basis for determining replacement value. It is clearly indicated that depreciation values will not be factored during calculation/valuation of affected property. Where property is on urban land, the law specifies that compensation may not be less than constructing a single room in low cost house as per the region in which it is located. It is also required that the cost of removal, transportation, and erection be paid as resettlement assistance for a relocated property, continuing its service as before. Compensation will also be based on current cost, cost of demolishing, lifting, and reinstalling (Proclamation No. 455/2005 Article 7). Proclamation No. 455/2005 classified assets as movable and immovable. For movable assets, compensation will be paid for inconvenience and other transition costs (Article 7(2)). Urban immovable assets include residential houses, business installations, institutional structures, stores, fences and public service providing installation. In rural areas, they include seasonal crops, perennial fruit trees, timber trees and other cash crops. For losses that cannot be easily valued or compensated in monetary terms (for instance, access to public services, grazing areas, etc.), an attempt will be made to establish access to equivalent and culturally acceptable resources and earning opportunities (Proclamation No. 455/2005 Article 7(2)). In addition to compensation, according to Proclamation No. 455/2005 Article 7, displacement compensation shall be paid equivalent to ten times the average annual income he/she secured during the five years preceding the expropriation of the land. Compensation will be in an amount sufficient to reinstate displaced people to their economic position prior to displacement. The same proclamation mandates the relevant local administration to provide land as compensation to any person who lost his/her land in favor of a public project. In general, valuation of property is to be carried out by a certified private or public institution or private consultants as per the valuation formulae (Proclamation No. 455/2005 Article 9). Article 14

19 9 of this proclamation states that the property situated on a land to be expropriated shall be valued by a committee of not more than five experts having the relevant qualification and to be designated by the respective woreda and urban administration. The local and federal governments have different roles in compensation. The woreda and urban administrations are responsible that compensation is paid and ensuring rehabilitation support to the extent possible, and maintain data regarding properties removed from expropriated landholdings (Proclamation No. 455/2005 Article 13). As per the new Oromia Urban Land Lease Proclamation No.4/2015/16 (2008EC), farmers who will be physically displaced for urban development projects are entitled to get 500 meter square of Residence land if they have legal certificate and 160 meter square if they do not have legal certificate and/or aged of 18 years and above in the town. The GoE Council of Ministers has also enacted a regulation regarding the assessment of compensation for assets situated on the land. Assets will be detailed into components to calculate the value of the asset. Accordingly, assets on land include buildings, fences, crops (including perennial crops), trees, protected grasses, mining license, burial-grounds, and relocated property (Regulations No. 135/2007). The assessment of compensation does not include the value of the land itself because land is a public property and not subject to sale in Ethiopia. Article 13 of this regulation has set the formula to be used for valuating compensation (detailed formula relevant to estimate compensation in this ARAP is presented in section 6). Crops are subdivided into crops and perennial crops, and calculated based on yield per square meter of land multiplied by price per kilogram. Components for building costs include cost per square meter. Trees could be cut and used by owner plus payment of compensation for loss of continued income. The cost of machinery, labour for improvement, and any infrastructure as part of the improvement will be compensated based on current costs in the market. Property relocation is based on the cost to relocate given it is not damaged while moving. The amount of compensation for loss of land that is used for grazing or production of grass is based on the area of land and the current price per square meter. Detailed instructions for compensation are included within Regulation No. 135/2007 and Proclamation 455/ World Bank OP 4.12 Involuntary Resettlement The World Bank s Operational Policy OP 4.12 protects all economically and/or physically affected persons regardless of the number of people affected, the scope of impact and the legal title of the landholding. The OP 4.12 further requires particular attention to the needs of vulnerable groups such as the poor, landless, elderly, women and children, underserved groups, ethnic minorities and other disadvantaged peoples. The World Bank s Policy requires that a site specific RAP shall be prepared and cleared by the Bank prior to implementing resettlement activities. The Bank also requires that the provision of compensation and other assistance to 15

20 PAPs, to restore livelihoods when these are affected appreciably, shall be done prior to displacement of people. In particular, the policy requires that possession of land for project activities may take place only after compensation has been paid. Resettlement sites, new homes and related infrastructure, public services and moving allowances must be provided to the affected persons and enforces browning clients to prepare RAP/ARAP. 16

21 5. Eligibility Criteria and Compensation Valuation 5.1 Identification of Eligible People Census of PAPs was carried out from February 02 05/ 2017 to identify eligible people and the extent of the impact in project affected area. February 02/2017 was communicated by the Compensation and Resettlement Committee as the cutoff date for eligibility as per the publicly disclosed ETLP RPF, which states the start of the census as the cut-off date. Identified PAPs during the socio-economic survey are title holders and owners of structures (houses, fences and kitchen) and economical trees. There are no tenants and renters who will be affected by the land acquisition. There are no business which will be relocated that demand relocation of properties and reinstallation. Identified impacts mainly involve the following: 1. Direct impact leading to acquisition of land (farmland) is foreseen on twelve households; 2. Eight housing structures will be demolished; 3. Seven households will encounter impact on perennial crops. 5.2 Principles of Compensation PAPs will be compensated for the loss and/or damage to properties in accordance with the provisions laid out in ETLP RPF and the Entitlement Matrix extracted as relevant for this ARAP in Table-1 under section 7 below. On the whole, compensation for loss and/or damage to structures and assets will be at replacement cost without considering depreciation. The compensation valuation in this ARAP adhered to the following principles: 1. All PAPs, are legal title holders and property owners. They will be compensated in line with the prepared, consulted up on and disclosed RPF for ETLP. 2. Loss of perennial crops, fruits and vegetables will be compensated at replacement value. Market prices to value the replacement value for perennial crops will be taken based on market data of the last five years average. 3. Immovable assets which would be impacted during construction works such as fences, houses, etc will be compensated at replacement value without considering depreciation. 4. Those assets that can be transferred, such as home elements, etc, will be transferred to alternative suitable locations and restored as preferred by PAPs at the cost of the project, i.e., relocation assistance for properties relocated will be covered. Hence, labour cost will be covered or transportation will be arranged. 5. Households whose livelihoods affected will be provided with additional rehabilitation measures, as defined in the Entitlement Matrix (see Table 1). 17

22 5.3 Valuation and Compensation Methodology Compensation Committee Establishment and Cut-Off Date EMMA and ESLSE closely worked with the Modjo town municipality to establish the Resettlement and Compensation committee as per the provisions of the ETLP RPF. Thus, the compensation and resettlement committee is established and consists of six experts; 1. Environmental Protection and Land Administration and Use 2 2. Lume Woreda Administration 3. Lume Woreda Investment Office 4. Lume Woreda Agriculture and Natural Resources Office 5. Lume Woreda Trade and Industry Office 6. Modjo Town Municipality 7. Local elderly representatives 8. Representative of PAPs The Resettlement and Compensation committee has communicated the cut-off date for entitlement. February 02/2017 was communicated by the Compensation and Resettlement Committee as the cutoff date for eligibility as per the publicly disclosed ETLP RPF, which states the start of the census as the cut-off date Compensation for land As discussed under section 4.2 above, PAPs will encounter loss of farmland. Since the compounds on which residential structures of the PAPs situated are used to grow crops and other vegetables, it is considered and valued as farmland. For the eight households and their dependents aged 18 years and above, residential land is given in Modjo Town as per Oromia National Regional State Urban Land Lease Proclamation No. 179/2005EC, Article 17 (2) and Lease Implementation Guideline No. 04/2008EC, Article 34 (6). Hence, four household heads will get 500 meter square land as replacement for residential plot, whereas four young adults aged 18 years and above will be allocated 160 meter square in Modjo town. For loss of farmland (please refer table 2 for the details of farmlands PAPs lost), due to the lack of agricultural land in Lume Woreda, cash compensation is provided valuing annual productivity multiplying for ten years as per the provisions of the ETLP RPF. Lume Woreda lack farmland because the Woreda has been selected as one of the industrial/manufacturing sites in Oromia region and continued to host private investors in agro-processing, tannery, flora, etc besides the Modjo Dry Port. Cash compensation is preferred because the farmers have lost their farmland during the two phases (in 2007 and in 2015) of the Modjo dry port expansion. Besides, the 2 Now renamed Office of Environment, Forest and Climate Change Authority (OEFCCA) set up by Proclamation 199/2016 on July 20,

23 cumulative impact of various public infrastructure and private investment, the district is land stressed. Hence, providing farmland as replacement with equal size as they currently lose is not sound and viable to sustain their farming activity. Transforming the livelihood of the farmers to other livelihood activities such as cattle fattening, rearing of small ruminates and to other means of income was presented as a viable alternative by the consultation participants. Cash compensation was also a preferred option by the PAPs, complemented with their new resettlement location in Modjo town Compensation for trees There are perennial trees, mainly eucalyptus and other indigenous trees. Prices for trees is estimated and verified by Lume Woreda Compensation and Resettlement Committee (CRC). Since there is updated unit price estimation for 2016 available at Woreda Agriculture and Natural Resources Office, this unit price is used to estimate compensation for trees of each household (see Annex 3). PAPs will be allowed to collect all the trees without any cost in addition to payment of compensation Compensation for crops There are no currently annual crops in the project affected areas since it is winter season and all crops harvested. The formula for calculating the amount of compensation payable as follows: Compensation for unripe Perennial Crops = (number of plants (legs) multiplied by cost incurred to grow an individual plant plus cost of permanent improvement on land Compensation for ripe Perennial crops = (the annual yield of the Perennial Crops (in Kilograms) multiplied the current price of the produce of the perennial crops plus cost of permanent improvement on land Compensation for Structures Loss and/or damage to building structures, fences, walls and other impacted structures are compensated based on the replacement value. Cash compensation is available as a preferred option for structures. For proper and objective estimation of housing walls, kitchens, fences and other structures, take-off sheet and bill of quantity is prepared for each affected household structures by a committee of experts. The expert committee consists of professionals in civil and construction engineers and surveyors are drawn from Modjo Town Municipality and Lume Woreda who have the experience in cost estimation and property valuation. The compensation is estimated using the following formula as presented in the ETLP RPF. Compensation for building = cost of construction (current value) plus cost of permanent improvement on land plus the amount of refundable money for the remaining term of lease contract. The PAPs will be allowed to collect the salvage materials without any cost. 19

24 5.3.6 Compensation for Physical Relocation Households are entitled for relocation assistance to move their properties in their houses. The relocation assistance consists of availing transportation services, covering the cost of labor required to move properties and other expenses that the households will incur during relocating their properties. The physical relocation assistance is taken in lump sum for each household. 20

25 6. Entitlement Matrix Fair and proper entitlements are provided to all people who are affected during the land acquisition process for the construction of railway spur. A package of entitlements for each category of PAPs is prepared in accordance with the publicly disclosed ETLP s RPF. The following table sets the Entitlement package applicable to affected people. Table 1: Entitlement Matrix for PAPs Types of Loss/Damage Specific category Affected People Compensation Entitlements Loss of Residential Land Permanent loss Title holder Land for land replacement shall be of minimum plot of acceptable size under the zoning law or a plot of equivalent size, whichever is larger, in either the community or a nearby resettlement area with adequate physical and social infrastructure systems as well as secured tenure status. When the affected holding is larger than the relocation plot, cash compensation to cover the difference in value will be provided Transfer of the land by government to the PAP shall be free of taxes, registration, and other costs. Relocation assistance (costs of shifting + assistance in reestablishing economic trees + allowance up to a maximum of 12 months while short- term crops mature) Loss of agricultural land Structures Perennial crops PAPs permanently losing greater than 20% of landholding lost (Land does not become economically viable) Permanent Loss of Houses and fences Permanent Loss of Perennial Crops Title holders (Farmer) Owner Owner Cash compensation for the harvest or product from the affected land or asset, equivalent to equivalent to ten times (ten years) the average annual income s/he secured during the five years preceding the expropriation of the land. Replacement land of same value of land lost and at location acceptable to PAPs where feasible. Land for land replacement will be in terms of a new parcel of land of equivalent size and productivity with a secure tenure status at areas/ location acceptable to PAPs. Transfer of the land to PAPs shall be free of taxes, registration, and other costs. Relocation assistance (costs of shifting + assistance in reestablishing economic trees + allowance up to a maximum of 12 months while short- term crops mature) Cash compensation at full replacement cost without factoring depreciation for entire structure and other fixed assets, or alternative structure of equal or better size and quality in an available location which is acceptable to the PAP. Right to salvage materials without deduction from compensation Relocation assistance (costs of shifting + allowance) Rehabilitation assistance (assistance with job placement, skills training) Cash compensation equivalent to ten times (ten years) the average price of five years preceding the expropriation of the land. Trees Trees lost Owner Cash compensation at full replacement cost based on type, age and productive value of affected trees Loss/impact of livelihoods Shift in livelihoods practice All PAPs Will be targeted in livelihoods restoration support and capacity building to ensure sustainability of livelihoods Access to startup capital and linkage with financial services 21

26 7. Resettlement and Land Acquisition Impacts The construction of railway spur to connect Modjo Dry Port with Ethio-Djibouti railway is being started on the land acquired in To finalize the spur, an additional land is required. As a result, twelve (12) households will encounter economic and physical displacement. Among the twelve households, eight (8) will be relocated physically to Modjo Town (due to physical and economic displacement), whereas four (4) households will be economically impacted (loss of farmland only). As discussed above, these 12 households will loss a total of hectares of land. This ARAP is prepared to ensure the economic impact and the physical resettlement of the affected households is as per the ETLP s RPF as well ensuring improvement in the livelihood of all the PAPs. As a result of the land acquisition for the railway spur, affected people will encounter impacts related to loss of land, structures, perennial trees, and livelihoods. 7.1 Loss of Land PAPs will encounter loss of residence land and farming land. As indicated above, farming households will lose hectares of land. For the residence land, farmers will get replacement residence land in Modjo Town as per the New Oromia region transfer of urban land lease Article 34 (6) displacement for urban development projects, i.e., 500 meter square for four household heads and 160 meter square for four adults aged 18 years and above (Proclamation No. 04/ 2015/16 (2008 EC); A Proclamation of Urban land Lease). Since the farmers use their residence land for farming crops, the land compensation valuation is estimated as farmland. The type and amount of land households will lose is shown in Table 2 below. A total of twelve (12) households will encounter loss of farmland. PAPs will be compensated at replacement value for loss of land as clearly indicated in Table 2. The agricultural land holding for the four households in the railway spur location is their remaining plot affected due to cumulative impact of forerunner public infrastructure development and private investment. They have each 1-3 ha of land at 1.5 kms distance where they reside and practice agriculture. These households are targeted for livelihoods restoration That is, to ensure replacement cost, as per the proclamation, the compensation estimation will be taking the average production for a year per hectare (29.58 quintal which is 2,958 kilogram), number of hectare under possession, based on 2016 updated five years average price per quintal (1,853 birr), and the number of years to be compensated; that is, ten years. Details of the estimated compensation and amount of land lost are presented in Table 2 below. 22

27 No. Table 2: Type of land use, land size, and estimated compensation cost Type of land lost Production in quintal Total production in quintal Compens ation year Price per quintal Total compensatio n Name of Affected Household Hectare 1 Household A Farmland , Household B Farmland , Household C Farmland , Household D Farmland , Household E Farmland , Household F Farmland , Household G Farmland , Household H Farmland , Household I Farmland , Household J Farmland , Household K Farmland , Household L Farmland , Total ,609, Since the farmers have been losing land for different development project in the past such as Ethio-Djibouti Railway, Addis-Adama Expressway, Modjo Dry Port establishment and expansions that occurred starting 2007 through 2015 as well as other private investments. It is difficult to estimate the proportion of farmland for the four households who faced economic displacement in comparison to their total landholding size. Due to the subsequent waves of land acquisition, the land acquired for the railway spur is their last remaining holding used for agriculture. 7.2 Loss of Crops and Trees There are no annual crops which will be impacted due to land acquisition for the railway spur since the land transfer will happen during winter season after the crops are harvested. However, affected households will also encounter loss of three types of perennial tress, namely eucalyptus, Wanza 3, and Nim tree (Neem 4 ). The total numbers of perennial trees households will loss are 469. The size of the tress differ which required estimation as per the valuation and compensation methodology in section 6.3 and the unit rate prepared by the Lume Woreda administration offices (see Annex 3). The table below presents the number and type of perennial crops by owners. 3 Scientific name is Cordia Africana 4 Scientific name is Azadirachtaindica 23

28 Table 3: Types and Number of Tress PAPs will loss by estimated Cost Type of Perennial Crops and Number Estimated No Eucalyptus Nimi 5 Wanza Cost , , , , , , , , Loss of Structures PAPs will encounter damage to the following structure including residence houses, fences, toilet and kitchen. All eight PAPs will lose their houses. Only three households will lose kitchen and another household will lose fence. The estimated compensation cost and name of households including the type of structures is disaggregated below. Table 4: Loss of Structures and Estimated Cost Estimated No Type of affected Structure Cost Residence House 195, Toilet and Fence 53, Residence House 274, Kitchen 26, Residence House 100, Residence House 82, Residence House 46, Cultural Kitchen 27, Residence House 274, Cultural Kitchen and Fence 69, Residence House 155, Residence House 279, Cultural Kitchen 27, ,613, Its scientific name is Cordia Africana 24

29 7.4 Property Relocation Assistance Households have home elements that they have been using to make a living. These properties include household utensils, food items, chairs, sofa, etc, are among the properties to be relocated to the new areas of residence. Hence, households require relocation assistance such as arranging vehicle for transportation and covering the cost of labor (if paid) for moving and/or loading and uploading the properties. ESLSE will also provide property transfer assistance to the PAPs to move their household items to new residential houses rented. The lump sum cost for the property transfer for eight households is 20, Ethiopian Birr, on average 2,500 birr per person. 7.5 Land transfer and related Transaction Costs The costs emanating as payment for transfer of the land by government to the PAP including taxes, registration, and other costs (estimated lump sum 20,000 per person multiplied 8 people) will be covered by the ESLSE. The total cost of land registration, taxes and related costs for the eight households will be 160, Ethiopian birr. 7.6 Temporary Residential House Rent The ESLSE will pay rent for residential houses for one year to the eight PAPs whose houses will be demolished. The estimated cost of monthly rent for full compound residential houses is 3, birr multiplied by eight households for twelve months. The total cost of residential house is 288, Ethiopian Birr. 25

30 8. Livelihood Restoration and Rehabilitation Plan 8.1 Loss of Livelihood The livelihood of PAPs is mainly dependent on farming. As indicated above, due to the land acquisition, famers lose their farmland. Besides, PAPs also practice livestock rearing (where two households practice cattle fattening), traditional rearing of chickens, goats, donkey, and sheep. The main crops produced in the project affected area include teff, wheat, barley, maize, etc. As a result of the physical displacement the farmers encounter, they will be relocated to Modjo town and will change their means of livelihood. Due to subsequent waves of land acquisition, the land acquired for the railway spur is their last remaining holding used for agriculture, garden and residence. Thus, relocation to Modjo town is due to (i) Modjo is the closest town they knew and lived (about 2 km); (ii) they have relatives and friends already living in the town; (iii) children of the PAPs have been attending their primary and secondary schools in the town; (iv) households have been using the health centers in Modjo; (v) they used to sell their agricultural produces and buy consumables in Modjo; and (vi) have cultural and spiritual attachment to Modjo. In addition, since the PAPs were encircled by the Ethio-Djibouti railway, Addis-Adama Expressway, and the Modjo Dry Port, they prefer to be relocated to Modjo town. Thus, enhancing the livelihood of displaced farmers and/or maintains their living standards to the pre-displacement level and complies with the provisions of the ETLP RPF, a livelihood restoration and rehabilitation is consulted up on and presented below. The livelihood restoration considers improving the existing activities that households undertake as well as creating employment opportunities during the ETLP project implementation. Capacity development in business skills and financial management is integral part of the livelihoods restoration plan to make the livelihoods sustainable and enhance productivity. The livelihood restoration and rehabilitation plan is presented in the table below. 26

31 Table 5: Livelihood Restoration and Rehabilitation Plan Identified livelihood activities 1. Cattle Fattening, Poultry, and breeding of Small ruminants 2. Creating employment opportunities for the Youth with in the dry port 3. Petty trading such as small shops, sell of local drinks, etc 4. Mineral extraction (cobble stone production) 5. Direct financial assistance for vulnerable elderly people (direct money support) Resources Required -Start-up capital (seed money) -Land -Linking with credit facilities -training cost Activities for implementation -Organizing PAPs to cooperatives -Providing business skill and financial management capacity building training - -Orientation and requirement among the PAPs -Start-up capital (seed money) -Training cost - Entrepreneurship training -Providing business skill and financial management capacity building training - training cost Provide training on chiseling -Providing business skill and financial management capacity building training Responsible body Woreda Administration and Modjo Municipality - land issues -oversee its implementation EMAA - oversee its implementation -Arrange training ESLSE Providing start-up capital -Monitor its implementation Woreda cooperative office (organizing PAPs in to cooperative and linking them with credit facilities and markets) EMAA, ESLSE, and Woreda Administration EMAA - oversee its implementation -Arrange training ESLSE Provide start-up capital -Monitor its implementation Woreda/kebele administration -mobilize PAPs Woreda Administration and Modjo Municipality - exploring and arranging mineral sites -oversee its implementation EMAA - oversee its implementation -Arrange training ESLSE Provide start-up capital -Monitor its implementation Woreda cooperative office (organizing PAPs in to cooperative and linking them with credit facilities and markets) Finance for transfer - EMAA - oversee its implementation ESLSE Provide direct financial support Estimated Cost in birr 350,000 (200,000 (seed money + 150,000 for capacity building) Part of dry port operation cost 150,000 (100,000 for seed money and 50,000 capacity development) 100,000 (capacity building cost 150,000 (50,000 for three elderly people) Total Estimated Cost 750,

32 9. ARAP Implementation Process and Institutional Responsibilities The EMMA and ESLSE will have the lead responsibility for the implementation of the ARAP. Soon after the approval of the ARAP by World Bank, EMAA will disclose it in its website and shares with ESLSE for implementation. Lume Woreda CRC are established with the assistance of ESLSE as presented above in section The Woreda CRC undertook the compensation value estimation and will arrange for the payment of the compensation once this ARAP is approved. EMMA and ESLSE, in collaboration with Lume woreda administration and Modjo town municipality are responsible for the execution of the compensation and valuation process; public consultations and disclosure of ARAP; and M&E of the implementation of ARAP. The ETLP s PIU in collaboration with local woreda administration and kebele administration are responsible for documenting the grievances, compensation payment documents, and send them to the appropriate agency/office for action. PIU monitors the implementation of ARAP. Quarterly implementation report of the ARAP will be delivered to World Bank. 10. Grievance Redress Mechanisms In line with the GRM in the RPF, to handle grievances and complaints quickly and effectively, a Mediation Committee will be established at kebele level composed of kebele chairman, kebele manager, two elders and one representative of the PAPs. The conflicts will be addressed using traditional conflict redress systems which are time effective and accessible to all PAPs. EMAA and ESLSE will follow-up cases to ensure grievances are promptly and adequately handled. In order to facilitate proper handling of grievances, the PAPs are notified the procedures for grievances redress. The PAPs will present their complaints either verbally or in writing to mediation committee. The committee will document the grievance, the date of receipt and the duration took for redressing the compliant and report to dry port or EMAA. Hence, following the procedure outlined in the RPF, the PAPs have the right to take their case to the regional Supreme Court and Ombudsman to get solution if they are not satisfied with the resolution passed at kebele and woreda levels. 28

33 11. Monitoring and Evaluation (M&E) of ARAP The monitoring and evaluation (M&E) procedure for the implementation of the ARAP include: i) internal monitoring (to monitor activities and performance); and ii) External/Completion Audit (to evaluate Impact and effectiveness of the ARAP) 11.1 Internal Monitoring ARAP implementation will be regularly supervised and monitored by safeguard personnel of ETLP implementation unit. M&E will include ARAP budget utilization, timely delivery of the compensation, efficiency of procedures of handling the grievances, vulnerable PAP (women, unemployed youths and elderly) to see whether compensation and other measures to restore the livelihood have been properly carried out) and the like. The M&E will be reported monthly to EMAA and quarterly to the World Bank by ETLP s PIU. Besides, annual progress report will be delivered to all stakeholders External/Completion Audit The completion audit conducted by external party to assess the impact of ARAP and whether the outcome of RAP/ARAP complies with the involuntary resettlement policy of the World Bank, and the GoE legal requirement related to expropriation of landholding and payments of compensation. The completion audit will be conducted after one year the ARPA is completed to evaluate whether the livelihood restoration and rehabilitation implemented has brought the desired effect (improvement in the living standard of PAPs). The methodology for Completion audit will include: Field visits Interviews with a random sample of PAPs comprising Feedback from public consultations Survey the living situation of the PAP after the implementation of the ARAP to assess whether the standards of living and livelihoods of the PAP have improved or been maintained. 29

34 12. Public Consultation and Disclosure Activities for ARAP Preparation of this ARAP involved a consultation process that included two rounds of discussions with the relevant government officials (responsible for resettlement and compensation) such as Lume worda administration representatives, Modjo Town municipality land administration core process, Modjo dry port, officials from the affected Kolba Gode kebele, and the representatives of the affected communities. The consultation and socio-economic survey was conducted from February 02-05/2017 (first round) which is the cutoff date. Field work was conducted from February 13-15/ 2017 (second round) for group discussions and interviews with government officials and community elders. Public Consultations activities involved two group discussions, five semi-structured interviews, and one community meeting in Gode sub kebele where the PAPs are located. The total numbers of participants covered during the public consultation were 30 persons. Among the 30 consultation participants, nine youths, eight women and 3 vulnerable groups including elderly and women were part of the consultation process. The summary of consultation participants is presented in the table below: Table 6: Public Consultation Participants Regions Name of Woreda Public Consultation Participants Total Female Male Oromiya Lume Woreda The consultation was conducted with the objective to prepare the ARAP in line with the RPF of ETLP, familiarize the public with the objectives of the ARAP and procedures involved during resettlement and compensation payment, understand the views and concerns of the PAPs, and develop livelihood restoration and rehabilitation plan. Key issues discussed and concerns raised during the public consultation are summarized below: During the consultation, PAPs indicated that due to subsequent waves of land acquisition, the land acquired for the railway spur is their last remaining holding used for agriculture, garden and residence. Thus, relocation to Modjo town is due to (i) Modjo is the closest town they knew and lived (about 2 km); (ii) they have relatives and friends already living in the town; (iii) children of the PAPs have been attending their primary and secondary schools in the town; (iv) households have been using the health centers in Modjo; (v) they used to sell their agricultural produces and buy consumables in Modjo; and (vi) have cultural and spiritual attachment to Modjo. In addition, since the PAPs were encircled by the Ethio-Djibouti railway, Addis-Adama Expressway, and the Modjo Dry Port, they prefer to be relocated to Modjo town. Hence, the PAPs prefer Modjo relocation to Modjo town. 30

35 Thus, the land acquisition for the railway spur construction induced change in livelihoods and way of life. Based on the alternatives discussed with the PAPs consensus was reached in support of the project subject to payment of adequate compensation, allocation of residential plots and livelihoods transition support to re-establish their lives as per the presented entitlement matrix of the ETLP-RPF. The PAPs stated their Participants were presented/briefed about the ARAP preparation and process objectives and approvals at different levels, including submission and approval of the ARAP by the Woreda Environment, Forest and Climate Change Authority Office and the World Bank for review, approval and ensuring compliance with the principles and procedures outlined in the RPF and the Ethiopian law. The ARAP will be disclosed through the WB Infoshop, EMAA website, and at the community level using appropriate language. ETLP was introduced and overall agreement was reached with communities regarding the need for the project as a part of the national development and its contribution. PAPs have indicated that the expansion of the project benefits their nation though not directly themselves. They indicated that the development of the country will create better employment opportunities for their children and benefits will trickle down. They agreed that transferring the land will benefit their community members through job creation and boosting the economy, given the cumulative impact of earlier land acquisitions. Among the consulted communities, there were no oppositions to the proposed railway spur project, explaining the associated investments to transform the services in Modjo dry port. The participants emphasized the need for income-generating opportunities directly available to the local communities, especially working age men, youth, and women during and after construction for skilled and non-skilled jobs to ensure sustainability of their livelihood through employment among PAPs. Fair compensation and entitlements for all PAPs regardless of their status and the nature of land, house, building structure, trees, etc. Ensure participation of the PAPs in the project implementation and designing of livelihood restoration. During consultation, PAPs were informed that as per ETLP RPF they will be assisted in their effort to improve their livelihoods and standards of living or at least to restore to levels prevailing prior to the beginning of project implementation, whichever is higher; and the mission of this work is also to prepare livelihood restoration and rehabilitation plan that will be implemented by the project implementing agency. 31

36 13. ARAP Costs and Budget The main activities of the ARAP and budget costs are summarized in the following table. Table 7-ARAP Implementation Budget No. Activities Budget 1 Compensation for Loss of Residential Structure 1,613, Payment for transfer of the land by government to the PAP including taxes, registration, and other costs (estimated lump sum 20,000 per person multiplied by 8 people) 160, Residential house rent for 12 months for eight households 288, Compensation for Loss of farmland 2,609, Cost for Livelihood Restoration and Rehabilitation 750, Compensation for tree loss 234, Cost of Relocation Assistance 20, Internal M&E Cost 50, External/completion Audit Cost 120, Total ARAP Cost 5,845, ARAP Implementation Activities Timetable/schedule This ARAP will be implemented within one year. The schedule of activities for the implementation of the ARAP refers to time that is required for negotiations and reaching agreement between the ESLSE and the affected communities and individuals paying compensation and implementation of livelihood restoration. The timetable of the ARAP implementation is indicated in Table 11 below. Table 8-ARAP Implementation Schedule Activities ARAP approval Entitlements Finalized by the Valuation Committee Negotiations Finish and Compensation paid Relocation assistance arranged and PAPs move to the new location Livelihood restoration and Rehabilitation implementation Internal M&E Implementation Months ( ) Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan 32

37 Annexes Annex 1: Social (including Safeguards) and Livelihoods Restoration Measures 1. The project will support investments and capacity building to improve efficiency, capacity and the range of services at the Modjo Dry Port, the key node on the Ethio-Djibouti corridor. These include, an intermodal transfer facility, bulk storage and bagging facility, a container yard and equipment, bonded and general warehousing and a center for consolidation/deconsolidation of containers. The project will primarily benefit exporters, importers, manufacturers, farmers and those working for companies producing goods for export. 2. The Government s plan to sustain growth has a strong focus on manufacturing and export diversification, which requires substantial investments to upgraded economic infrastructure. Trade will play a key role in achieving the objectives of GTP II and in driving sustained poverty reduction in Ethiopia. Thus, the project will be instrumental in supporting the country in enhancing trade and achieving the associated development benefits. In addition, the project also has the potential for positive social benefits through opportunities for short-term employment during construction, as well as long-term benefits from increases in safety at the facility and time saved by trucks. 3. However, the implementation of the project may have the following likely negative impacts: (a) potential gaps in the provision of livelihoods restoration as a legacy issue on earlier land acquisitions in Modjo Dry Port, (b) weak institutional capacity and expertise at ESLSE and EMAA to deal with social and environmental risks, and (c) potential impacts on the livelihood of vendors (informal traders) and non-land-based economic displacement on the people in intersections and corridors. 4. Thus, the proposed project triggered the World Bank Operational Policies OP 4.01 on Environmental Assessment and OP 4.12 on Involuntary Resettlement. As a precautionary measure, the MoT, EMAA, and ESLSE prepared an ESIA (with a Social Development Plan (SDP) 6 (ESIA) in compliance with OP 4.01 an RPF in compliance with OP 4.12, consulted up on and submitted to the World Bank for review and clearance is disclosed in country and at the World Bank Infoshop. 5. In managing potential social risks and impacts arising from the investments supported by the project the World Bank has conducted due diligence assessment of the social contexts in the proposed project area including on vulnerability, land tenure systems, use of good practices on land acquisition, compensation payment and resettlement as part of the ESIA. The findings are included in the ESIA and in this annex as a social development plan and incorporated in the design of the project. 6. Limited safeguards implementation institutional capacity. Both the ESLSE and the EMAA are new to the World Bank safeguard policies and require significant capacity building support. To preclude and manage safeguard risk, a safeguards system will be established by the ESLSE and EMAA as part of the PIU of the project. The World Bank will provide technical assistance to strengthen the borrower's capacity to identify and assess potential adverse environmental and social impacts, implement and monitor appropriate mitigation measures and adequately follow up on adherence to agreed safeguard 6 In Ethiopia, an SDP is the operational plan equivalent of the World Bank OP Indigenous Peoples Plan. The SDP for the ETLP was prepared on the basis of the complementary due diligence assessment conducted as part of the ESIA on the social contexts in the proposed project area including on the vulnerability situation, land tenure systems, use of good practices on land acquisition, compensation payment and resettlement. It sets out the measures to ensure that (a) underserved and vulnerable groups affected by the project receive culturally appropriate social and economic benefits and (b) any potential adverse effects are avoided, minimized, mitigated, and/or compensated. 33

38 instruments (ESIA and RPF). The implementing agency agreed to reorganize the Safety and Security Units at EMAA, ESLSE, and the dry ports to sufficiently accommodate environmental and social issues, and to recruit Environmental and Social Safeguard officers and will allocate adequate resources. 7. Capacity-building and community development initiative. The due diligence assessment indicated that the land acquisition process lack livelihood restoration and rehabilitation initiatives. Managing such risk requires a dedicated capacity building and community development initiative in livelihoods restoration and rehabilitation. Therefore, the project has allocated US$1 million to support for community development initiatives will be based upon the needs assessment to be conducted to identify localized impact on household livelihoods in the project affected areas; and capacity building gaps will be identified. 8. Citizen engagement, gender aspects and grievance redress mechanism. The design of the project was informed by consultations and stakeholder involvement, particularly during the preparation of the RPF, ESIA, and due diligence assessment to promote community ownership, and transparency and enhance sustainability. The consultation process provided communities and stakeholders in Modjo the opportunity to make contributions aimed at strengthening the PDO while avoiding negative impacts as well as reducing possible conflicts. The consultation process with stakeholders will continue during implementation of the project to provide space for a feedback mechanism and decision making in the community development initiatives. 9. The project will ensure adequate gender representation in its working groups, committees, and project community development initiatives. The dedicated capacity building, employment opportunities, livelihood restoration and rehabilitation will have special targeting for women- headed households and vulnerable peoples in the project area. In addition, it will ensure disaggregation of data in the M&E framework. 10. Grievance redress. Communities and individuals in the ETLP operation sites who believe that they are adversely affected by the project can submit complaints to the project-level GRM to be put in place by the PIU or the World Bank s GRS. The ETLP GRM builds on Ethiopian grievance redress systems as part of a risk mitigation measure. The project will support prompt review and resolution of ETLP -related complaints or grievances in a formalized, transparent, cost-effective, and time-bound manner. Issues relating to project displacements and compensations, particularly with the PAPs, will be handled effectively to minimize chances of possible conflicts; and all PAPs will be informed about how to register grievances or complaints, including specific concerns on any ETLP activities. 11. Labor and working conditions. To minimize the impact of the influx of external labor on the community, such as (a) unfair wage paid by the contractor, (b) increased cost of living and food prices in local market, (c) risk of cultural misunderstandings/exploitation, (d) risk of sexual violence due to workers relations with local women/girls; and (e) risk of increase in local alcohol consumption, the project will put in place adequate risk mitigation measures such as (a) zero tolerance to sexual violence, and so on), (b) promotion of fair treatment, non-discrimination and equal pay for equal work for all project workers, and (c) having a code of conduct on the relationship with the local community including labor management procedures to prevent and address harassment, intimidation and/or exploitation and unwanted pregnancies. 12. Livelihood restoration and rehabilitation support. According to the client, the land was acquired in 2014 and the last compensation was paid in December 2015 before the initiation of the ETLP project with the World Bank. It cannot be ruled out that the land acquisition is not associated with the proposed project. Thus, the World Bank is taking adaptive risk management to address any legacy issues while assessing the use of good practice in land acquisition. Thus, a due diligence assessment was conducted and the findings of the assessment and proposed mitigation actions are included in the ESIA. One of the 34

39 key findings of the due diligence assessment was lack of livelihood restoration and rehabilitation package. The proposed mitigation action included a livelihoods needs assessment and subsequent livelihood restoration and rehabilitation program, monitoring and technical support with a total budget of ETB 22,528,000, which is equivalent to US$1 million. The livelihood restoration and rehabilitation program will be effected during the implementation period. 13. Community development initiatives. ESLSE and EMAA have made commitments to discharge their corporate social responsibility through enhancing the basic social services at the local level in the Modjo Dry Port hosting areas. These include, provision of potable water, continued support on firefighting services to local communities and other actors, and support for Kolba Gode kebele of Modjo, through construction of kebele administration offices with a total budget of ETB 10,350,000.00, which is equivalent to US$450,000. Preconstruction Phase Impacts Identified Impacts Enhancement/Mitigation Measures Responsible Body Compensation was paid per hectare of land Households who have user rights and lost without taking into account family size and the number of dependents on the household. The households with relatively larger number of family members (greater than six) are affected and suffering from loss of their farmland, which subsequently affected their livelihoods Special support and assistance was not arranged during land acquisition for vulnerable groups such as youths, women headed households, terminally ill and elderly people There is high proliferation of drug houses such as Khat (Catha edulis) shops, shisha smoking houses, and prostitution that would cause the risk of high spread of Create or facilitate employment opportunities with priority given for households with large family size and number of dependents Engage in livelihood restoration and rehabilitation Employment opportunities should be facilitated for vulnerable groups who have the capacity to work in the dry port The project should support the construction of small business shades that will serve as shops, coffee house, cafeteria, and so on, near the gate of or around the port Provide income generating start-up capital (seed money) and/or link them with credit providing institutions Strictly control Khat (Catha edulis) shops, shisha smoking houses, and prostitution Conduct joint regular inspection of shisha smoking houses by stakeholder like police, who have institutional mandate ESLSE, Modjo Dry Port, and Contractors ESLSE, Modjo Dry Port and Woreda/City administration, and Contractors Modjo Woreda Administration, Modjo Town Police, Town Administration, and so on 35

40 Preconstruction Phase Impacts Identified Impacts Enhancement/Mitigation Measures Responsible Body HIV/AIDS in Modjo Increase in road accidents Resource should be allocated for continuous awareness raising and training on HIV/AIDS and availing condoms on regular bases for construction workers and the larger community Erect proper traffic signs and warning posts using local languages on accident prone areas Put in place speed reduction/calming structures like humps inside the port premises Ensure provision for pedestrian crossing both inside the port premises and in the cities Improve visibility by removing sight limiting obstacles; provision of reflective studs and painting of zebra crossings Construction Phase Impacts HAPCO, Modjo Dry port, ESLSE, and Contractors ESLSE, Modjo Dry Port, and Contractors Identified Impacts Enhancement/Mitigation Measures Responsible Body Estimated cost (ETB) Modjo: Livelihoods restoration and rehabilitation activities were not conducted for the affected people (most of the displaced persons have lost money paid as compensation and are currently in a desperate situation) Conduct detailed livelihood restoration need assessment in Modjo, with identification of possible intervention and develop a livelihood restoration plan ESLSE, Modjo Dry Port, Woreda/City/Kebele administrations 7,150,

41 Construction Phase Impacts Identified Impacts Enhancement/Mitigation Measures Responsible Body Estimated cost (ETB) Modjo: Compensation was paid per hectare of land that households lost without taking into account family size and the number of dependents in the household. The households with larger number of family members are affected and suffering from loss of their farmland. Employment opportunities need to arranged and priority should be given for households with large family size and number of dependents Given that the current association of loaders and unloaders is going to finish its term soon, opportunity should be given preferentially to these groups and unemployed youth in the affected kebele These groups should be targeted for livelihood restoration and rehabilitation ESLSE, Modjo Dry port, Modjo Town municipality/ Lume Woreda/ Kolba Gode Kebele administration These groups will be targeted in livelihood restoration in addition to employment opportunity Modjo: Special support and assistance was not arranged to the vulnerable groups during land acquisition such as youths, women headed households, terminally ill and elderly people Employment opportunities should be facilitated/created for vulnerable groups who have the capacity to work in the dry port; Provide support to vulnerable groups particularly, youths, women headed households, and the elderly to involve in income generating activities such as poultry, cattle fattening, and so on, providing training on life skill and marketing. Arrange ways in which the educated youth, especially in those project affected kebeles are prepared for employment opportunities with special affirmative action such as without requiring experience. Organize the uneducated youths (with appropriate training) to be employed as service providers to the port in activities such as loading and unloading, waste disposal. Provide skill training to the youth to prepare them unlock employment opportunities in the dry port. Provide livelihood restoration support. ESLSE, Modjo Dry Port, and Woreda/City/Kebele administrations These groups will be targeted in livelihood restoration in addition to employment opportunity. 37

42 Construction Phase Impacts Identified Impacts Enhancement/Mitigation Measures Responsible Body Estimated cost (ETB) Modjo: Meet some expectations of local communities and woreda/kebele administrations Kebeles hosting dry ports did not gain any special benefit. Kebele Chairpersons have indicated that they are disappointed and complained about the service provisions and gained nothing in spite of hosting the dry ports. This could have its own impact and will threaten the sustainability of the port Provide some CSR support such as supplying potable water to needy local communities; keeping up fire-fighting services to local communities and other actors; and providing some support for the Kolba Gode kebele of Modjo, Upgrade kebele offices hosting the dry ports and equip them with basic facilities Upgrade and equip the existing basic infrastructures in project kebeles such as the health post, primary school, hand dug well, and so on. Negotiate with the woreda/city and kebele administrations to come up with a mutually agreed development project to support community development ESLSE, Modjo Dry Port, Woreda/Kebele administrations Modjo Dry Port has already allocated ETB 10 million for local development projects including the watershed management. There is high proliferation of drug houses such as Khat (Catha edulis) shops, shisha smoking houses, and prostitution that would cause the risk of high spread of HIV/AIDS in Modjo Strictly control khat (Catha edulis) shops, shisha smoking houses, and prostitution Conduct joint regular inspection of shisha smoking houses by stakeholders like Police Resource should be allocated for continuous awareness raising and training of HIV/AIDS and avail condoms on regular bases for workers, visitors, and the larger community Lume Woreda/ Modjo Town Municipality/ Kolba Gode Kebele administration, Lume Woreda and Modjo Town Police, ESLSE, Modjo Dry port. 450, Use the mini media of the dry ports to raise awareness of visitors and workers 38

43 Construction Phase Impacts Identified Impacts Enhancement/Mitigation Measures Responsible Body Estimated cost (ETB) 5,544, EMAA: One senior officer: 50,000 x 12 x 3= 1,800,000 ESLSE: Institutional capacity Reorganization of the safety and security units (divisions, departments, and teams) at EMAA, ESLSE, and the dry ports, to sufficiently accommodate environmental and social issues Recruitment of staff members to address Environmental and Social issues in the dry ports and monitor and/or implement the Environmental and Social Management Plan (ESMP) and RPF EMAA One coordinator: 20,000x12x3= 720,000 Two experts: 15,000x2x12x3= 1,080,000 Dry ports One Officer per port: 12,000x12x3x2= 864,000 Two for Modjo: 10000x3x12x3= 720,000 Monitoring Cost Monitoring Parameters Enhancement/Mitigatio n Measures Institutional Responsibility Schedule and Frequency Indicators Cost, ETB Institutional capacity Safety and security units (divisions, departments, and teams) at EMAA, ESLSE, and the dry ports are reorganized to sufficiently accommodate environmental and social issues EMAA Design and construction phases New names of the environmental units in ESLSE and the dry ports 39

44 Monitoring Cost Monitoring Parameters Enhancement/Mitigatio n Measures Institutional Responsibility Schedule and Frequency Indicators Cost, ETB Staff members are recruited to address environmental issues in the dry ports and monitor and/or implement the ESMP New staff members of the units on payrolls RPF and RAP (if prepared) monitoring Conduct monitoring of the implementation of RPF and RAP ESLSE and EMAA Implementatio n phases Regular meeting reports and minutes 0 Livelihood restoration (visits and interviews with the PAPs) Conduct needs assessment of the PAPs and allocate resources to help them restore their livelihoods and benefit from project activities EMAA, ESLSE, and Lume Woreda administrations Construction and implementatio n phases Copy of general assessment report 500, (100,000 per year for 5 years) Livelihood Restoration Plan audit Proper implementation of the Livelihood Restoration Plan will be audited ESLSE or external consultant as needed Immediately after the implementatio n of the plan Audit reports 250, Special Support to Vulnerable Groups Vulnerable Groups (visits and interviews with the PAPs) Employment opportunities should be facilitated for vulnerable groups and unemployed youth, who have the capacity to work in the dry port either permanently or temporarily. Organize the uneducated youths, and provide them with skills training ESLSE, EMAA, and Lume Woreda administrations, and Local Labor and Social Affairs offices Construction and implementatio n phases Number of people employed in the ports from the vulnerable groups and unemployed youth Number of income generating activities created for vulnerable groups Covered under livelihood restoration support 40

45 Monitoring Cost Monitoring Parameters Enhancement/Mitigatio n Measures Institutional Responsibility Schedule and Frequency Indicators Cost, ETB Provide support to vulnerable groups particularly, youths, women headed households, and the elderly to involve in income generating activities such as poultry, cattle fattening, and so on, providing training on life skills and marketing. Number of skills trainings offered to unemployed youth CSR Support (visits to new initiatives as a result of the CSR support from the ports) Provide some CSR support such as supplying potable water to needy local communities; keeping up fire-fighting services to local communities and other actors; and providing some support for the Kolba Gode kebele of Modjo, ESLSE, EMAA, and Woreda administrations Regularly until action is effected during the construction and implementatio n phases CSR support of ETB 10 million for Modjo indicated in annual activity and financial reports Copy of Ministry of Agriculture with woreda/ city/kebele administrations Acknowledgemen t letters from local entities Part of supervisio n cost Covered under livelihood support Create/facilitat e employment opportunity (interviews with the contractor/s The contractor should be advised towards local labor preference for appropriate jobs (with preference and encouragement to Supervisor, Local Labor and Social Affairs Office, Modjo Dry Port, ESLSE, Continuous during recruitment process during the construction Number and type of local labor in the work force; and number of women in the work force Covered under the livelihood support 41

46 Monitoring Cost Monitoring Parameters Enhancement/Mitigatio n Measures Institutional Responsibility Schedule and Frequency Indicators Cost, ETB and employees) households with large family size and number of dependents, and women depending on the suitability of the jobs). The project should also support the construction of small business shades that will serve as shops, coffee house, cafeteria, and so on, near the gate of or around the port. and EMAA and implementatio n phases Number of small business shades used by targeted households Communicable Diseases Prevention and Control Regular inspection needs to be conducted on shisha smoking houses by stakeholder like police A firm (such as a local nongovernmental organization) should be given a subcontract for activities (ranging from awareness creation to conducting voluntary counselling and testing- VCT) to prevent and control of the spread of HIV/AIDS at workplaces Contractor, Supervisor, Local Administration, Local Health Office, and Local police Contractor and Supervisor on continuous basis; local authorities on intermittent basis or as required (during the construction and implementatio n phases) Number of condoms distributed; Number of awareness raising events organized Number of workers receiving voluntary counselling and testing services Part of supervisio n cost Total Estimated Social Cost 14. The total estimated cost of social development related issues (excluding costs of those measures that are part and parcel of the design, and regular operation and supervision activities) is estimated in table 7.2. Table 7.1. Total Estimated Social Cost Cost, ETB Total Social Management 19,730, Total Social Monitoring (5%) 750, Total Social Cost 20,480, % Contingency 2,048, Grand Total 22,528,

47 Annex 2: ARAP Household Socio-economic (Census Sheet) and Asset Inventory Questionnaire A. General Information 1. Questionnaire Code 2. Date of survey: Day Month Name of Region Woreda town Kebele Sub-kebele 4. Name of household head 5. Sex of household head: Male=1 Female=2 6. Distance from main road (km) Distance from woreda center (km) Distance from nearest bus station/stop (km) 7. Household type: nuclear family extended family 8. Total number of dependent old age/elderly (Male Female ) 9. Total number of household members: (Male Female ) 10. In the last one year, does this household a financial difficulty: Yes=1 No=2 To be signed after the survey sheet is completed Name of the HH Head (Providing the Data): Signature: Date: Name of Interviewer/Completing the Form: Signature: Date: 43

48 B. Affected Household members Socio-demography No Full Name of HH Members Sex (male=1 Female= 2) Age (compl eted year) Education level (grade) Religiou s Affiliatio n Ethnic Group Relationship with HH Head No. Years lived in the area Have Legal entitlement to land? (yes/no) Main means of Income? Other Means of Income?

49 11. Number of household member who are absent in survey date No. Absent person Male Female total 11.1 Labour migrant 11.2 Studying 11.3 Visiting relatives 11.4 Other (specify) 12. Average monthly income of household head in birr No. Incomes in birr Income 12.1 Income from crop production sales 12.2 Income from livestock sales 12.3 Income from hay sales 12.4 Income from fisheries 12.5 Other sources of income, specify 13. Wage income, pension and benefits No Type Amount in birr 13.1 Wage 13.2 Support from relatives/educated family members 13.3 Remittance from abroad 13.4 Other, specify 14. Are there other household members who generate income to sustain the household? Yes=1 No=2 (if No, proceed to Land Asset Inventory) 15. If Yes to the above question, how many household members? household (s) 16. What is the activities household member (s) is/are engaged in? 17. On average, how much birr they earn per month? birr. 45

50 C. Land Asset Inventory 1. Land Asset/ Economic conditions of Household 1.1 Total landholding Size of HH Land type head in hectare(all lands under the HH) 1) Farmland 1.2 Total landholding Size of the HH in hectare (within project area) Rain-feed land Irrigated land 2) Grazing land (privately used/held) 3) Residence land 4) Other types of land (graveyards, wells, etc) Land type 1) Farmland 2) Grazing land (privately used/held) 3) Residence land 4) Other types of land (graveyards, wells, etc) Size in hectare size in hectare 1.3 Loss of assets Asset type size in hectare 1) Permanent structures (houses, fences, granary, etc) 2) Other types of land (graveyards, wells, etc) 1.5 Loss of annual crops Amount in Crop type Quintal 1) 2) 3) 4) 5) 1.6 Loss of Perennial crops Crop type Number 1) 2) 3) 4) 5) 1.7 Other types of losses Type of loss Size 1) Residence house (rented) Rain-fed 2) Farmland (Rented) Irrigated 3) Grazing land (commonly used/public) 4)Business loss 5) Income loss 6) Others losses 46

51 1.8 If you have lost any of types listed in section 1.7 in the table above, have you compensated? Yes = 1 No = If Yes to the above question, in what form? (List type of loss: ) No Type Amount 1 Cash 2 Land 2 Other specify 1.10 Have you rented out your farmland to other farmers? Yes = 1 No = 2 (if No, proceed to livestock section) 1.11 If Yes to the above question, in what form you rented the farmland? Cash=1 Share cropping=2 Other specify = If in cash in the above question, how much did you get for a hectare of farmland in birr? 1.13 How many hectare(s) of farmland you have been renting out? Hectare Have you lost farmland that you rented out for others to the project? Yes = 1 No = If Yes to the above question, how many hectares? hectare(s) Have you compensated for the land? Yes = 1 No = If yes to the above question, in what form? No Type Amount 1 Cash 2 Land 2 Other specify 2 Livestock and Poultry in the Household: 1. Do you have livestock? Yes = 1 No = 2 (if No, proceed to vehicle & machinery section) Type of livestock Number 2.1 Cows 2.2 Ox 2.3 Young cattle 2.4 Sheep 2.5 Goat 6. Horse 2.7 Donkey 2.8 Poultry 2.9 Beehives 2.10 Others 47

52 3 Vehicle and Machineries in Household (if No, proceed to dwelling section) 1. Do you have vehicle for the household? Yes = 1 No = 2 2. If Yes to the above question, what type of vehicles your household own? No Type Number Purchase date? (Less than 2 years=1 3-5 years =2 More than 6 years=3) Approximate cost in birr Condition: new=1 good=2 old=2 4 Dwelling Types and Conditions of Household 1. How many square meters is the plot of land on which your house is built 2. How many square meters is the size of your house (m2) 3. How many houses do you have? 4. What is the type of house? One house without rooms= 1 One house with different rooms= 2 two house without rooms =3 two house with different rooms = 4 Others (specify) =3 5. What is the primary construction material of house? Mud with wood=1 bricks= 2 sand, cement, wood and mud= 3 stone= 4 Other, specify =5 6. When is the Construction time of your house? Less than 1 year =1 2-5 years= years=3 More than 10 years=4 7. Dwelling condition: Items Yes=1 Remark Number of rooms No=2 1 Has separate salon/dining room 2 Has separate bed room 3 Has bath/shower? 4 Has piped water? 5 Has electricity 6 Has kitchen separately 7 Has satellite dish 8 Other (specify) 8. If you would like build a house just like yours now, how much would it cost you? birr (I do not know) 9. Do you have any other properties (such as house and shop) other than this house? Yes=1 No=2 (if No, proceed to electric goods section) 48

53 10. If yes to the above question, specify type of house you have? From what materials is it made of? 11. If you would like to sell, how much it will be sold? birr 5 Durable Goods of the Household No Items Number 1. TV 2. Satellite dish 3. Mobile phone 4. Radio 5. Sofa Others 6 Household Perception of Economic Situation 1. How do you rate the economic situation of: 1. Your household in comparison with your neighboring? 2. Your village in comparison with neighboring? Low Middle high D. Basic Services of the Household 1. What is your source of heating in the house? Firewood=1 Electricity=2 Gas=3 dry dung = 4 Other (specify) =5 2. Do you have access to transport services? Yes=1 No=2 3. If yes to the above question, when you use the transport services? Traveling to work=1 Traveling to school=2 traveling to market=3 Other specify) =4 4. What is your main means of transport? Private bus=1 Public bus=2 taxi/ Bajaj=3 Other (specify) =4 5. How much do you pay for transport service to reach the nearest market or town? in birr 6. When you travel on foot to get access to the nearest market/town, how much time it takes? hour(s). 7. How many kilometers you/children travel to reach the nearest school? Elementary school high school 49

54 8. How many kilometers you travel to get the nearest health service? No. Type Traveled KM 1 Heath post 2 Health Center 3 Hospital 9. How many kilometers you travel to fetch potable water? KM E. Public Consultation 1. Are you aware of the proposed Project? Yes, I knew =1 No, I didn t know =2 2. If yes, how did you hear about the Project? Meetings organized by local officials =1 Land teams identifying the corridor and the affected parcels=2 Social meetings held in and around the community by people =3 Public meetings organized by the Project=4 Other (specify) =5 50

55 No F. Summary of Compensation Entitlements of PAPs (Compensation Estimate) Woreda: Kebele: Sub-Kebele/village: Compensation for Land Compensation for Compensation for crops structures (houses, fences, and trees buildings, etc) Name of HH Head Quanti ty (M 2 ) Unit price (Birr) per (M 2 ) Entitlem ent (Birr) Quanti ty (M 2 ) Unit price (Birr) per (M 2 ) Entitlem ent (Birr) Quanti ty (m2) Unit price (Birr) per M 2 Entitlem ent (Birr) Compensation for other assets and losses (graveyards, wells, business loss, etc) Quant ity (M 2 ) Unit price (Birr) per M 2 Entitlem ent (Birr) Tota l (Birr ) 51

56 Annex 3: Updated Unit for Estimation of Trees by Lume Woreda Administration Office 52