Grant Recipient: Royal Government of Bhutan Project Implementing Entity: Druk Green Power Corporation Limited Sustainable Hydropower Development Project DRAFT ENVIRONMENTAL and SOCIAL COMMITMENT PLAN (ESCP) November 11, 2021 1|Page ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN 1. The Royal Government of Bhutan is implementing the Bhutan Sustainable Hydropower Development Project (the Project), with the involvement of the Druk Green Power Corporation Limited (DGPC) as the implementing entity and the Department of Hydropower and Power Systems of the Ministry of Economic Affairs. The International Development Association (hereinafter the Association) has agreed to provide financing for the Project. 2. The Royal Government of Bhutan will implement material measures and actions so that the Project is implemented in accordance with the Environmental and Social Standards (ESSs) of the World Bank and any applicable domestic laws. This Environmental and Social Commitment Plan (ESCP) sets out material measures and actions, any specific documents or plans, as well as the timing for each of these. 3. The Royal Government of Bhutan will also comply with the provisions of any other environmental and social (E&S) documents required under the Environment and Social Framework (ESF) and any applicable domestic laws and referred to in this ESCP, such as the updated Environmental and Social Impact Assessment (ESIA) and Environmental and Social Management Plan (ESMP), updated Resettlement Action Plan (RAP) and Stakeholder Engagement Plan (SEP), and the timelines specified in those E&S documents. 4. The Royal Government of Bhutan is responsible for compliance with all requirements of the ESCP even when implementation of specific measures and actions is conducted by the Ministry, agency or unit referenced in 1. above. 5. Implementation of the material measures and actions set out in this ESCP will be monitored and reported to the Association by the Royal Government of Bhutan as required by the ESCP and the conditions of the legal agreement, and the Association will monitor and assess progress and completion of the material measures and actions throughout implementation of the Project. 6. As agreed by the Association and the Royal Government of Bhutan, this ESCP may be revised from time to time during Project implementation, to reflect adaptive management of Project changes and unforeseen circumstances or in response to assessment of Project performance conducted under the ESCP itself. In such circumstances, Royal Government of Bhutan, through Druk Green Power Corporation Limited, and the Association will agree to the changes and will update the ESCP to reflect such changes. Agreement on changes to the ESCP will be documented through exchange of letters signed between the Association and Royal Government of Bhutan, through Druk Green Power Corporation Limited, and Royal Government of Bhutan, through Druk Green Power Corporation Limited, will promptly disclose the updated ESCP. 7. While it is not anticipated that there would be any Project changes, unforeseen circumstances, or Project performance resulting in changes to the risks and impacts during Project implementation, in the event that such risks and impacts materialize, the Royal Government of Bhutan shall implement actions and measures to address such risks and impacts. 2|Page THE WORLD BANK - ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): VERSION 2.0 – July 2019 MATERIAL MEASURES AND ACTIONS TIMEFRAME RESPONSIBILE ENTITY/AUTHORITY MONITORING AND REPORTING A REGULAR REPORTING Prepare and submit to the World Bank regular monitoring reports on Quarterly progress reporting Druk Green Power Corporation Limited the progress of various environmental and social planning tasks under the Technical Assistance (TA) project, including but not limited to the implementation of the ESCP, status of preparation and implementation of E&S documents required under the ESCP, stakeholder engagement activities, etc. B INCIDENTS AND ACCIDENTS Promptly notify the World Bank of any incident or accident related to Notify the World Bank within 48 hours after Druk Green Power Corporation Limited the TA Project which has, or is likely to have, a significant adverse effect learning of the incident or accident and on the environment, the affected communities, the public or workers. provide the World Bank a subsequent Provide sufficient detail regarding the incident or accident, indicating report on the details of the incident and immediate measures taken or that are planned to be taken to address actions taken as requested by the World it, and any information provided by any contractor and supervising Bank entity, as appropriate. Subsequently, as per World Bank’s request, prepare a report on the incident or accident and propose any measures to prevent its recurrence. ESS 1: ASSESSMENT AND MANAGEMENT OF ENVIRONMENTAL AND SOCIAL RISKS AND IMPACTS 1.1 ORGANIZATIONAL STRUCTURE Establish and maintain an organizational structure with qualified Within 2 months from Project effectiveness. Druk Green Power Corporation Limited Environmental Specialist and Social Development Specialist to support the assessment and management of E&S risks for the TA project. 1.2 ENVIRONMENT AND SOCIAL PANEL OF EXPERTS Establish and maintain an independent Environmental and Social Panel Within 4 months from Project Effectiveness. Druk Green Power Corporation Limited of Experts (ESPoE) acceptable to the World Bank. The ESPoE will be comprised of a highly qualified and competent Environmental Specialist and a Social Development Specialist with experience in advising and assessing risks and impacts of hydropower projects. 3|Page THE WORLD BANK - ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): VERSION 2.0 – July 2019 MATERIAL MEASURES AND ACTIONS TIMEFRAME RESPONSIBILE ENTITY/AUTHORITY 1.3 MANAGEMENT TOOLS AND INSTRUMENTS Develop TORs for the updating of the Environmental and Social Impact Within 2 months from TA Project Druk Green Power Corporation Limited Assessment (ESIA) and Environmental and Social Management Plan effectiveness but before issuing bidding (ESMP), including Cumulative Impact Assessment (CIA) and submit them documents for the conduct of the to the World Bank for review and clearance. The ToRs will subsequently assessments and planning be disclosed for stakeholder consultations further outlined in section 10.3 of ESS10. The ToRs will be disclosed prior to issuing the bidding documents for conduct of the assessments and preparation of plans. 1.4 ENVIRONMENTAL AND SOCIAL ASSESSMENT Update the ESIA and ESMP, including integrating pertinent parts of the Updated ESIA/ESMP to be finalized, Druk Green Power Corporation Limited CIA into the ESIA, according to the TOR agreed in 1.3 above. approved and disclosed prior to the end of the TA Project Disclose acceptable draft E&S documents (ESIA, ESMP, RAP, SEP) for stakeholder consultations further outlined in section 10.3 of ESS10. 1.5 ENVIRONMENTAL AND SOCIAL INSTRUMENTS Carry out environmental and social planning based on the updated ESIA, Acceptable drafts to be disclosed for Druk Green Power Corporation Limited and in line with relevant domestic laws and ESF. Environmental and consultations and thereafter finalized, social Instruments to be updated/prepared include: approved and redisclosed prior to the end • ESIA and ESMP including gender and vulnerability action plan, of the TA Project. gender-based-violence (GBV) action plan, etc. • Cumulative impact assessment (CIA) • Labor Management Procedure • Resettlement Action Plan • Stakeholder Engagement Plan 4|Page THE WORLD BANK - ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): VERSION 2.0 – July 2019 MATERIAL MEASURES AND ACTIONS TIMEFRAME RESPONSIBILE ENTITY/AUTHORITY 1.6 INSTITUTIONAL CAPACITY ASSESSMENT Submit, as part of the ESIA TOR detailed in section 1.3, requirements for Within 2 months from TA Project Druk Green Power Corporation Limited an institutional capacity assessment of DGPC in terms of environment, effectiveness social, health and safety staffing, capacity and performance, and environmental and social management system. As part of the ESIA/ESMP for the Dorjilung HPP, prepare an To be delivered by the end of the TA. Environmental and Social Capacity Assessment and Capacity Building Action Plan consistent with the requirements of the ESF, in a manner acceptable to the World Bank ESS 2: LABOR AND WORKING CONDITIONS 2.1 LABOR MANAGEMENT PROCEDURES The TA Project will not involve any civil works. Therefore, a Labor Management Procedure (LMP) related to contracted workers are not relevant as there will be no contracted workers to employed. The TA Project activities will require services of direct workers and Maintained throughout implementation of Druk Green Power Corporation Limited consultants to carry out the updating of feasibility studies and ESF the TA documents. For this, the contracts for the consultants and direct workers will ensure that relevant aspects of ESS2 apply to TA Project workers, as appropriate, in accordance with the type of workers involved in the TA Project, including, inter alia, by adopting and enforcing contracts that include clear terms and conditions of employment, and adequate occupational, health and safety measures. As part of the TA project, a draft LMP will be prepared for the Dorjilung The LMP will be developed as soon as HPP. possible, but no later than by the end of the TA. 5|Page THE WORLD BANK - ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): VERSION 2.0 – July 2019 MATERIAL MEASURES AND ACTIONS TIMEFRAME RESPONSIBILE ENTITY/AUTHORITY 2.2 GRIEVANCE MECHANISM FOR PROJECT WORKERS The existing Grievance Redress System of DGPC will be applied to direct Maintained throughout implementation of Druk Green Power Corporation Limited workers to be employed under the TA Project. the TA Develop a Grievance Mechanism for project workers as part of the LMP Developed as part of the LMP to be for the Dorjilung HPP. prepared as part of action 2.1 2.3 OCCUPATIONAL HEALTH AND SAFETY (OHS) MEASURES For the TA project, the contracts for the consultants and direct workers Maintained throughout implementation of Druk Green Power Corporation Limited will ensure that relevant aspects of ESS2 apply, including, inter alia, the TA adopting clear terms and conditions of employment, and adequate occupational, health and safety measures. As part of updating the ESIA/ESMP to be supported by this TA project, To be delivered by the end of the TA. prepare an occupational, health and safety (OHS) action plan consistent with the assessments conducted in the E&S documentations and consistent with the World Bank Group Environmental Health and Safety Guidelines (EHSGs) and Good International Industry Practice. ESS 3: RESOURCE EFFICIENCY AND POLLUTION PREVENTION AND MANAGEMENT 3.1 RESOURCE EFFICIENCY AND POLLUTION PREVENTION AND MANAGEMENT Develop resource efficiency and pollution prevention and management To be delivered by the end of the TA. Druk Green Power Corporation Limited plan (including construction resource material management, disposal and management of waste and hazardous materials) for the Dorjilung HPP as part of the updated ESIA/ESMP to be prepared with the support of the TA. Conduct a greenhouse gas emissions analysis as part of the ESIA update. ESS 4: COMMUNITY HEALTH AND SAFETY 4.1 TRAFFIC AND ROAD SAFETY: Develop measures and actions to assess and manage traffic and road To be developed by the end of the TA, and Druk Green Power Corporation Limited safety risks as part of the ESMP for the Dorjilung HPP. included in the ESMP 6|Page THE WORLD BANK - ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): VERSION 2.0 – July 2019 4.2 COMMUNITY HEALTH AND SAFETY: Prepare measures and actions, as part of the ESMP, to assess and To be completed and delivered by the end of Druk Green Power Corporation Limited manage specific risks and impacts to the community arising from the the TA which will be annexed to the Dorjilung HPP. ESIA/ESMP. 4.3 GENDER-BASED VIOLENCE (GBV) AND SEXUAL EXPLOITATION AND ABUSE/SEXUAL HARASSMENT (SEAH) RISKS Prepare a GBV Action Plan to assess and manage the GBV/SEAH risks as To be completed and delivered by the end of Druk Green Power Corporation Limited part of the ESMP for the Dorjilung HPP. the TA. 4.4 SECURITY PERSONNEL This is not applicable for the TA project as there will be no security personnel to be employed during the implementation of the TA. As part of the ESIA/ESMP for the Dorjilung HPP, prepare a Security To be completed and delivered by the end of Druk Green Power Corporation Limited Personnel Management Plan consistent with the requirements of ESS4, the TA. in a manner acceptable to the World Bank 4.5 DAM SAFETY Create a Dam Safety Panel of Expert acceptable to the World Bank to Within 4 months from effectiveness of the Druk Green Power Corporation Limited advise DGPC on dam safety measures, design, and plans. TA project Prepare the following plans and framework documents for the Dorjilung To be completed and delivered by the end of HPP including: the TA. • construction supervision and quality assurance plan • outline of an operations & maintenance plan • framework for emergency preparedness plan and, • framework for an instrumentation plan ESS 5: LAND ACQUISITION, RESTRICTIONS ON LAND USE AND INVOLUNTARY RESETTLEMENT 7|Page THE WORLD BANK - ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): VERSION 2.0 – July 2019 5.1 RESETTLEMENT PLANS: Develop TOR for the updating of the Resettlement Action Plan (RAP) Within 2 months from TA Project Druk Green Power Corporation Limited and submit them to the World Bank for review and clearance. The ToR effectiveness will subsequently be disclosed for stakeholder consultations further outlined in section 10.3 of ESS10. To be completed and delivered by the end of Update the RAP of the proposed Dorjilung HPP in accordance with ESS the TA. 5. 5.2 GRIEVANCE MECHANISM Develop an overall grievance redress mechanism for the Dorjilung HPP To be developed and delivered by the end Druk Green Power Corporation Limited and document it in the Stakeholder Engagement Plan. of the TA. ESS 6: BIODIVERSITY CONSERVATION AND SUSTAINABLE MANAGEMENT OF LIVING NATURAL RESOURCES 6.1 BIODIVERSITY RISKS AND IMPACTS Submit, as part of the ESIA TOR detailed in section 1.3, requirements for Within 2 months from TA Project Druk Green Power Corporation Limited an aquatic and riparian assessment and terrestrial biodiversity effectiveness assessment, including critical habitat assessment, for the World Bank’s review and clearance. 6.2 BIODIVERSITY MANAGEMENT PLAN Druk Green Power Corporation Limited Prepare a Biodiversity Management Plan in accordance with the To be completed and delivered by the end requirements of ESS6 as detailed in the ESIA TOR. The outputs of the of the TA. biodiversity assessments will be integrated into the ESIA/ESMP. ESS 7: INDIGENOUS PEOPLES/SUB-SAHARAN AFRICAN HISTORICALLY UNDERSERVED TRADITIONAL LOCAL COMMUNITIES 7.1 INDIGENOUS PEOPLES PLAN As part of updating the ESIA, assess whether there are indigenous The analysis and planning if required will be Druk Green Power Corporation Limited people, per the definition of ESS7, in the project area and recommend completed and delivered by the end of the whether ESS7 will be relevant to the Dorjilung HPP. If considered TA. relevant, an indigenous people plan will be developed for Dorjilung HPP, in line with relevant domestic laws and ESS7. 8|Page THE WORLD BANK - ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): VERSION 2.0 – July 2019 7.2 GRIEVANCE MECHANISM If ESS7 is determined as relevant, the project grievance redress To be delivered by the end of the TA Druk Green Power Corporation Limited mechanism in the SEP will be updated to include considerations and depending on the outcome of 7.1. measures specifically tailored for engagement with indigenous communities. ESS 8: CULTURAL HERITAGE 8.1 CHANCE FINDS Update the analysis of impacts of the Dorjilung HPP on cultural heritage To be completed and delivered by the end of Druk Green Power Corporation Limited in line with relevant domestic laws and ESF and develop required the TA. measures. These will be documented in the ESMP. ESS 10: STAKEHOLDER ENGAGEMENT AND INFORMATION DISCLOSURE 10.1 STAKEHOLDER ENGAGEMENT PLAN PREPARATION For the TA project, ensure that technical assistance provided Maintained throughout the implementation Druk Green Power Corporation Limited incorporates stakeholder engagement and information disclosure in a of the TA manner consistent with ESS10, including the preparation of a Stakeholder Engagement Plan for the Dorjilung HPP. Prepare and disclose a Stakeholder Engagement Plan (SEP) for the To be completed and delivered by the end of proposed Dorjilung HPP. the TA. 10.2 PROJECT GRIEVANCE MECHANISM Design a grievance mechanism for the Dorjilung HPP and describe it in To be developed and delivered by the end of Druk Green Power Corporation Limited the SEP. the TA. 10.3 CONSULTATION ON E&S DOCUMENTS Conduct stakeholder consultations on all E&S documents (ESIA, ESMP, When draft documents are available and Druk Green Power Corporation Limited RAP, SEP) that will be prepared under the TA project in line with the prior to finalizing the E&S documents requirements of ESS10. Describe how the feedback of the stakeholders will be taken into account in the finalized version of the E&S documents. CAPACITY SUPPORT (TRAINING) 9|Page THE WORLD BANK - ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): VERSION 2.0 – July 2019 CS1 TRAINING TO THE PROJECT IMPLEMENTING ENTITY Provide training to DGPC PIU staff on stakeholder mapping and Training Plan to be developed within 2 Druk Green Power Corporation Limited engagement, grievance redress mechanism, occupational health and months from TA Project effectiveness and safety, specific aspects of supervising the environmental and social thereafter delivered throughout the assessment and planning, and other aspects based on an agreed upon implementation of the TA training plan by DGPC and the World Bank. CS2 COMMUNITY AWARENESS Conduct community capacity building to heighten awareness of risks To be delivered throughout the Druk Green Power Corporation Limited and impacts and to mitigate impacts following the mechanism outlined implementation of the TA in the SEP 10 | P a g e