` Contents Acronyms ...................................................................................................................................................... 3 Glossary ......................................................................................................................................................... 4 Executive Summary....................................................................................................................................... 7 1. Introduction ........................................................................................................................................ 11 2. Project Description.............................................................................................................................. 13 Project Objective..................................................................................................................................... 13 Project Components ............................................................................................................................... 13 Component 1: Agriculture Production and Marketing (US$ 42 million)............................................. 13 Component 2: Water for Agriculture (US$ 92 million) ....................................................................... 14 Component 3: Project Management (US$ 6 million) .......................................................................... 14 3. Baseline Socio-Economic Conditions of Hot-Spot Sectors .................................................................. 16 Country Overview ................................................................................................................................... 16 Profile of Project Hot-Spot Areas ............................................................................................................ 16 Ampara................................................................................................................................................ 18 Batticaloa ............................................................................................................................................ 18 Trincomalee ........................................................................................................................................ 18 Kilinochchi ........................................................................................................................................... 19 Mullaitivu ............................................................................................................................................ 19 Anuradhapura ..................................................................................................................................... 20 Puttalam .............................................................................................................................................. 20 Kurunegala .......................................................................................................................................... 21 Moneragala ......................................................................................................................................... 21 Hambantota ........................................................................................................................................ 21 Polonnaruwa ....................................................................................................................................... 22 4. Potential Social Impacts of the Project ............................................................................................... 23 Potential Project Benefits ....................................................................................................................... 23 Socio-economic Benefits ..................................................................................................................... 23 Gender and Inclusion .......................................................................................................................... 23 Citizen Engagement ............................................................................................................................ 24 Potential Adverse Impacts ...................................................................................................................... 24 Loss of land ......................................................................................................................................... 25 Loss of income sources or means of livelihood .................................................................................. 26 Loss of assets and/or access to assets ................................................................................................ 26 Construction-related Impacts ............................................................................................................. 27 Impacts on women and vulnerable groups ........................................................................................ 27 Risks of Adverse Impacts from Labour Influx ...................................................................................... 27 5. Purpose of the Resettlement Policy Framework ................................................................................ 29 6. Policy and Regulatory Framework on Involuntary Land Acquisition and Resettlement .................... 31 National Legal and Regulatory Framework on Land Acquisition ............................................................ 31 Land Acquisition Act No. 9 of 1950 ..................................................................................................... 31 Land Acquisition Regulations 2008 ..................................................................................................... 33 National Involuntary Resettlement Policy 2001 ................................................................................. 33 Land (Restrictions on Alienation) Act, No. 38 of 2014 ........................................................................ 34 National Policy for the Payment of Compensation............................................................................. 34 Land Acquisition Regulations 2013 ..................................................................................................... 34 State Lands Act No. 13 of 1949 ........................................................................................................... 35 State Lands (Recovery of Possession) Act No. 7 of 1979 .................................................................... 35 Land Development Ordinance No. 19 of 1935 ................................................................................... 35 Prescription Ordinance No. 22 of 1971............................................................................................... 36 Law of Compensation for Improvements ........................................................................................... 36 Temple and Devalagam Act ................................................................................................................ 36 World Bank Social Safeguards Polices .................................................................................................... 37 Involuntary Resettlement Policy (OP/BP 4.12) ................................................................................... 37 Gap Analysis of National and World Bank Safeguard Requirements ..................................................... 38 7. Resettlement Planning ........................................................................................................................ 42 Screening, Identification and Categorization of Impacts ........................................................................ 42 Social Impact Assessment ....................................................................................................................... 42 Preparation of Mitigation Measures....................................................................................................... 42 Procedures for Land Acquisition ............................................................................................................. 43 Procedure for Utilizing State-owned Land .............................................................................................. 43 Procedure for Voluntary Land Donation................................................................................................. 44 Procedure for Private Land Acquisition .................................................................................................. 45 8. Consultation, Participation and Grievance Redress Mechanism ........................................................ 46 1 Project-level Consultation Strategy ........................................................................................................ 46 Consultations and Participation Relating to Resettlement Planning ...................................................... 47 Grievance Redress Mechanisms ............................................................................................................. 49 9. Implementation and Monitoring Arrangements ................................................................................ 50 Overall Implementation Arrangement of the CSIAP ............................................................................... 50 Implementation Arrangements for Social Safeguard Management....................................................... 50 10. Safeguards Monitoring Arrangements ........................................................................................... 52 Annex I: Entitlement Matrix (EM) ............................................................................................................... 53 Annex II: Sample of Social Screening Checklist ........................................................................................... 57 Annex III: Sample Questionnaire for Census Survey ................................................................................... 60 Annex IV: Sample Terms of Reference for Carrying out Social Impact Assessment and Preparing Social Safeguard Action Plans ............................................................................................................................... 66 Annex V: Outline of Resettlement Action Plan (RAP) ................................................................................. 71 Annex VI: Outline of Abbreviated Resettlement Action Plan (A-RAP) ........................................................ 76 Annex VII: Template for Legal Contract for Voluntary Land Donations ..................................................... 77 Annex VIII: Key Issues/Concerns Raised During Consultations on the RPF ................................................ 78 2 Acronyms CSIAP Climate Smart Irrigated Agriculture Project CBO Community Based Organization CSA Climate Smart Agriculture DDR Due Diligence Report DPD Office Deputy Project Director’s Offices DOA Department of Agriculture DAD Department of Agrarian Development EM Entitlement Matrix FO Farmer Organizations GoSL Government of Sri Lanka GRM Grievance Redress Mechanism GRC Grievance Redress Committee GRS Grievance Redress Service GND Grama Niladari Division ID Irrigation Department IDP Internally Displaced Persons IEE Initial Environmental Examination IP Indigenous People LGA Local Government Authority LA Land Acquisition LAA Land Acquisition Act MLAR Management of Land Acquisition and Resettlement MIWRM Ministry of Irrigation and Water Resource Management MOA Ministry of Agriculture NIRP National Involuntary Resettlement Policy NGO Non-Governmental Organization OP Operational Policy PAA Project Approving Agency PDPDO Provincial DPD Offices PAP Project Affected Persons PAH Project Affected Households PDO Project Development Objective PMC Project Management Committee PMU Project Management Unit RAP Resettlement Action Plans RPF Resettlement Policy Framework SMF Social Management Framework SSR Social Screening Report EAMF Environmental Assessment and Management Framework 3 Glossary Affected Persons: Any person, group, community, people who, as a result of the implementation of project affected by loss of the right to own, use or otherwise benefit from land (residential, agricultural, commercial), water, livelihood, annual or perennial crops and trees, a built structure, or any other fixed or movable assets, either in full or in part, permanently or temporarily. Census: Complete enumeration based on household questionnaire survey that covers all affected persons, irrespective of ownership and entitlement, and their assets. It can be used to minimize fraudulent claims made by people who move into the project affected area in the hope of being compensated or resettled. Compensation: Payment in cash or in kind for an asset or a resource that is acquired or affected by a project, at the time the asset needs to be replaced. Cut-off date. The ‘date of the start of the census survey’. The cut-off date will be publicly announced and provided in all the RAPs. The Cut-off date for eligibility for entitlement for the titleholders however, is the date of notification under the Land Acquisition Act (LAA). Persons who encroach on the area after the cutoff-date are not entitled to claim compensation or any other form of resettlement assistance. Encroacher: Someone who has illegally expanded, or extended the outer limit of his private premises beyond the approved building line or agricultural land and has occupied public space beyond his/her plot or agricultural land. Entitlement: A variety of measures comprising compensation, income restoration, transfer assistance, income substitution, relocation and other benefits which are due to affected people, depending on the nature of the their losses, to restore their economic and social base. Gender Equity: Recognition of both genders in the provision of entitlements, treatment and other measures under the Social Management Action Plan or Resettlement Action Plan. Indigenous People: “Indigenous Peoples” is used generically to refer to a distinct, vulnerable, social and cultural group possessing the following characteristics to varying degrees: (a) self-identification as members of a distinct indigenous cultural group and recognition of this identity by others; (b) collective attachment to geographically distinct habitats or ancestral territories in the project area and to the natural resources in these habitats and territories; (c) customary cultural, economic, social, or political institutions that are separate from those of the dominant society and culture; and (d) an indigenous language, often different from the official language of the country or region. Involuntary Resettlement: Resettlement is involuntary when it occurs without the consent of the displace persons or if they give their consent without having the power to refuse resettlement. Income Restoration: Re-establishing income sources and livelihoods of people affected. Land Lot: A land lot refers to a portion of land belongs to a household or government institution. The department of surveys, defines a lot as the basic unit of land after demarcation of their boundaries. 4 Land Owners: Owners of land with or without trees, crops or structures affixed to the land with clear title in government records. In some exceptional cases, a person who owns land/s within the project-affected areas regardless of proof of such ownership will also be entitled, provided that such ownership is recognized under law. Non-Resident Land and Structure Owners: Legal land owners who are not in possession of their land either because they have rented or leased out their said land and property affixed to it, or such land has been taken possession of by any other person. Non-title holder- Person who has no legal ownership right to the property he/she occupied. OP 4.12: World Bank’s OP. 4.12 safeguard objective is to avoid or minimize involuntary resettlement and where it is not feasible, assist displaced persons in improving or at least restoring their livelihoods and standards of living in real terms relative to pre-displacement levels or to levels prevailing prior to the beginning of project implementation, whichever is higher. Project Affected Household: Any household or family that faces an impact as result of project implementation, loses the right to own, use or otherwise benefit from a built structure, land (residential, agricultural, commercial) annual or perennial crops and trees, or any other fixed or movable assets, either in full or in part, permanently or temporarily that could affect livelihood. Protected Tenants: Tenants occupying a legal property, commercial, or residential and are protected under the Rent Act of 1972 or its later amendments which prevents the land owners from evicting them or increase the rent at their own will. Relocation: Rebuilding housing, assets including productive land, and public infrastructure in another location. Rehabilitation: Re-establishing incomes, livelihoods, living and integration with social system. Replacement Cost: The rate of compensation for lost assets should be calculated at full replacement cost. The replacement value is the cost that is adequate to purchase similar property of same quality in the open market and cover transaction cost. In applying this method of valuation depreciation is not taken into account. For losses that cannot be easily valued or compensated attempts are made to establish access to equivalent and culturally appropriate resources and earning opportunities. Resettlement: A process to assist the displaced people and communities to replace their lost land, houses, assets and restore access to assets and services, and improve their socioeconomic and cultural conditions. It includes settlement of displaced people on buildable land or houses/ apartments in the same locality with barrier-free access to basic amenities. Resettlement Action Plan: The document in which a project sponsor or other responsible entity specifies the procedures that it will follow and the actions that it will take to mitigate adverse effects, compensate losses, and provide development benefits to persons and communities affected by an investment project. Resident Land and Structure Owners: Owners with clear title deeds for the land and structures which they are currently occupying for their own use, residential, commercial, cultural or religious purposes. 5 Stakeholders: Any and all individuals, groups, organizations and institutions interested in and potentially affected or benefitted by a project having the ability to influence a project. Squatter: Someone who has occupied public or private land, developed structures on it and put such land into residential, agricultural or commercial use without obtaining development permission and formal title under law. Tenants and Lessees: Occupants that have legally taken any land or properties or both on rent or lease for a specific period with registered papers recording agreed terms and conditions as permitted under law. Vulnerable Groups: People who by virtue of gender, ethnicity, age, physical or mental disability, economic disadvantage, or social status may be more adversely affected by resettlement than others and who may be limited in their ability to claim or take advantage of resettlement assistance and related development benefits. 6 Executive Summary Sri Lanka is vulnerable to recurring climate-related natural disasters that have major economic impacts. Long-term, annual losses for housing, infrastructure, agriculture, and relief from natural disasters are estimated at LKR 50 billion (USD 327 million). This is equivalent to 0.4 percent of GDP or 2.1 percent of government expenditures. Thus, the GOSL has been undertaking key measures to improve the competitiveness of the agriculture sector and is now looking towards building upon these achievements along with climate smart practices integrated in to programs. In this context, the GOSL acknowledges that a greater focus on the modernization of the sector, with increased commercialization and diversification is required. Moving forward, innovative approaches, such as integrated watershed planning and management, climate risk management, and agriculture modernization — all recently embraced by the GOSL—should be streamlined across government water and agriculture institutions and other stakeholders to achieve more sustainable and competitive agriculture. The proposed project is aligned with all three pillars of the CPF and with the Bank’s Climate Change Action Plan (CCAP) in the South Asia Region (SAR). It also aims at contributing significantly to the Government’s efforts to increase production and productivity, as well as alleviate extreme poverty and malnutrition. The Government’s national program for food production aims at increasing agriculture production and productivity with the overall purpose to reduce dependency on food imports and improve the sector’s value added and its contribution to the national economy. The proposed project seeks to reinforce the reengagement of the Bank in the agriculture sector started through the on-going Agriculture Sector Modernization Project and also to promote climate adaptation and mitigation, and generate climate co- benefits. Project Description: The Project Development Objective is to improve the productivity and resilience of smallholder agriculture in selected “hot-spot” areas. The main components and sub-components of the Project are as follows: Component 1: Agriculture Production and Marketing (US$ 42 million). The objective of this component is to improve agriculture productivity and diversification through the adoption of CSA practices and improved on-farm water management. The sub-components include: - Sub-component 1.1: Climate-Smart Agriculture and Water Technology (US$ 21 million) - Sub-component 1.2: Marketing (US$ 21 million) Component 2: Water for Agriculture (US$ 92 million). The objective of this component is to facilitate (a) planning for water and other infrastructure necessary to support climate-resilient irrigated agriculture, (b) construction of the planned infrastructure; and (c) co-management of this infrastructure by central/provincial governments and the local community. Sub- components include: - Sub-component 2.1: Rehabilitation of Irrigation Systems (US$ 86 million) - Sub-component 2.2: Operation and Maintenance of Irrigation Systems (US$ 6 million) 7 Component 3: Project Management (US$ 6 million). The objective of this component is to ensure the quality of overall project management, while ensuring smooth coordination of activity implementation by various agencies and strategic partners at national and subnational levels. Component 4: Contingent Emergency Response (US$ 0.0 million) Potential Social Impacts: The strategic components of the Project will create development and economic opportunities and benefit Sri Lankan citizens. Project beneficiaries will include over 470,000 smallholder farmers, producer organizations, productive alliances, and agribusiness entrepreneurs in eleven climatically vulnerable hot-spot areas (375,000 ha) in eleven administrative districts. However, under the construction of small-scale market infrastructure under Component 1, and activities under Component 2 and its sub component on construction of water and other infrastructure as well as rehabilitation of tank systems will involve activities that are likely to lead to adverse social impacts. These include: physical displacement (relocation or loss of shelter); economic displacement (loss of assets or access to assets that leads to loss of income sources or means of livelihood); restriction of access to legally designated protected areas and gazetted forests resulting in adverse impacts on the livelihoods of the displaced persons; impacts from labor influx potentially leading to risk of social conflict, illicit behavior, community dynamics, increased burden on and competition for public services, etc; construction-related impacts leading to dust pollution, noise pollution, traffic congestion, etc., that cause inconveniences to the general public; adverse impacts on women and vulnerable groups, particularly since resettlement impacts and other adverse impacts are known to have differential impacts on females, female-headed households, poor and other vulnerable groups; and lack of support from affected communities and other stakeholders. Legal Framework and Past Experience: Sri Lanka’s legal framework for safeguards consists of Acts of Parliament (environmental and social), Cabinet decisions, precedents created by Case Law and administrative procedures. The Land Acquisition Act (LAA) 1950 permits acquisition of private lands for public purposes, paying compensation and grievance redress. However, it does not address resettlement issues, including impacts on non-titleholders. NIRP 2001 provides for addressing resettlement and rehabilitation issues including payment of compensation at replacement cost. The Land Acquisition Regulations 2008 and 2013 incorporate many of NIRP principles and sets out refined procedures including payment of compensation based on market value for land, structures and crops affected by the project. The government has previous experience in managing projects involving LA and applying Rehabilitation and Resettlement (R&R) policies acceptable to external donors such as World Bank, ADB and JICA. Social Safeguards Management and Mitigation Measures: The RPF sets out principles and guidelines for assessing and mitigating social impacts caused due to CSIAP project activities in a manner consistent with Sri Lankan law and regulations, the National Policy on Involuntary Resettlement (NIRP) and the relevant World Bank Operational Policies. It lays down principles and procedures for providing entitlements, institutional arrangements for implementing social/resettlement action plans including grievance redress, consultation, participation, disclosure, monitoring and evaluation of progress and outcomes. Specifically, the Entitlement Matrix explains the category and type of loss and the eligible category for entitlements. 8 Under the CSIAP, the acquired properties will be compensated at replacement cost based on the prevailing market rates, and those who incur income or livelihood losses will be provided with income assistance for several months or livelihood restoration assistance. The RPF also stipulates supplementary guidelines for a participatory approach aligned with the principles of social inclusion and accountability. Based on the RPF, social screening and impact assessment are carried out and social action plans prepared for sub projects. Information Disclosure, Consultations: The RPF provides a framework for information disclosure and consultation with participation of the relevant stakeholders in planning and implementing RAPs for various project components. Affected Persons (APs) will be informed of their rights and responsibilities from the planning stage to the implementation process, and consulted during the CSIAP prioritization, planning and implementation. Several rounds of consultations were also organized during the preparation of the RPF, including consultations on the draft RPF at the national level on 21 June 2018, and hot-spot area level on 18 June 2018. Implementation Arrangement: The overall responsibility for project implementation is with the Ministry of Agriculture (MOA). Accordingly, the PMU appointed by the MoA will be responsible for overseeing the implementation, management and monitoring of safeguards issues under the project. Specifically, the preparation of sub-project specific RAPs and other safeguards instruments will be overseen by a dedicated environmental and social safeguards person within the PMU. However, the safeguards issues and activities under the Project will be consulted and coordinated with supervised by the MoA, Irrigation and Water Resource Management (MIWRM), Department of Agriculture (DOA), Department of Agrarian Development (DAD) and Irrigation Department (ID), agencies under the Provincial Councils and other relevant public bodies or local government authorities. Grievance Redress Mechanism (GRM): A multi-stage GRM will be established. If an AP is not satisfied with the local level GRC’s decision, the grievance could be submitted to the Project level GRM. Monitoring & Evaluation: Internal as well as independent external monitoring and evaluation will be instituted for this project. Consultants will be hired to provide quarterly progress regular safeguards review reports. Structure of the RPF: The RPF has 10 chapters. The first three chapters provide information on the background of the project as well as baseline socio-economic conditions and the sectors that will potentially be covered under the CSIAP arrangements. Chapter 3 provides the baseline socio economic data while Chapter 4 includes potential social impacts of the project, including loss of land, assets, income/livelihoods; construction related impacts; and impacts on women and vulnerable groups. Chapter 5 outlines the objective of the RPF, and the national regulations, World Bank’s policy requirements and measures to be adopted to address the gaps between national legislations and World Bank requirements are elaborated in Chapter 6. Chapter 7 details the key steps in resettlement planning under the project, including social screening and categorization of the project; Social Impact Assessment; preparation of Project-Specific safeguards management instruments (e.g., Resettlement Action Plan); discussion on the eligibility, entitlements and entitlement matrix and approval process for resettlement plans. Chapter 8 is 9 on consultation and participation strategy for the project as well as the grievance redress mechanism developed for the project, in addition to World Bank’s Grievance Redress Services. Chapter 9 is on the implementation arrangements while Chapter 10 is on the monitoring framework and budget considerations for the safeguards instruments of the sub-projects implemented under CSIAP. 10 1. Introduction Sri Lanka is a lower middle-income country (per capita income USD 3,835, 2016) with a total population of 21.2 million people. Post civil war, the country has had a steady average growth rate of 6.2% during the period of 2010 – 2016. The economy is now transitioning, from a previously predominantly rural-based economy towards a more urbanized economy oriented around manufacturing and services. Hence the Government of Sri Lanka envisions to promote a globally competitive, export-led economy with an emphasis on inclusion. The Government also acknowledges that sustaining an annual GDP growth rate of 6.6% or more will require a greater focus on agriculture, improved integrated water resources planning, governance, development and management, and greater resilience. The country has also surpassed most of the MDG targets set for 2015 and was ranked 73rd in the Human Development Index in 2015. Although extreme poverty is rare, it is concentrated in geographical pockets in Northern, Eastern and Uva Provinces, and a relatively large share of the population subsists just above the poverty line and is thus at risk of falling back into poverty, for instance as a result of unexpected economic or climate shocks. To address these challenges, the Government of Sri Lanka (GOSL) through its Public Investment Programme (FY 2017– 2022) put forward an ambitious goal of generating one million jobs, enhancing incomes, developing rural economies and promoting land ownership. In 2017, the Government presented Vision 2025, a policy document encompassing structural reforms to address key economic challenges. This vision aims to ensure the transition to a more competitive and inclusive upper-middle income country. The agriculture sector remains the backbone of Sri Lanka’s culture and economy. The sector contributes 7.7 percent to GDP, though still employs approximately 27 percent of the population. Of the country’s approximately 2.3 million hectares of agricultural land, around 80 percent is under smallholder production, comprising cereal (mostly rice), fruits, vegetables and other crops. As such, GOSL has now placed agriculture sector development and water resources management at the forefront of its development agenda. However, Sri Lanka is vulnerable to recurring climate-related natural disasters that have major economic impacts. Long-term, annual losses for housing, infrastructure, agriculture, and relief from natural disasters are estimated at LKR 50 billion (USD 327 million), with the highest annual expected losses from floods (LKR 32 billion), cyclones or high winds (LKR 11 billion), droughts (LKR 5.2 billion) and landslides (LKR 1.8 billion). This is equivalent to 0.4 percent of GDP or 2.1 percent of government expenditures. Thus, the GOSL has been undertaking key measures to improve the competitiveness of the agriculture sector and is now looking towards building upon these achievements along with climate smart practices integrated in to programs. In this context, the GOSL acknowledges that a greater focus on the modernization of the sector, with increased commercialization and diversification is required. With rice self-sufficiency secured, a consensus has recently emerged within the Government that the country should take a more strategic approach to addressing climate change by (i) modernizing water resource infrastructure, minimizing flood damages and managing water allocation more efficiently and (ii) diversifying the agricultural sector away from relatively low value food crops towards high value and export-oriented commodities. Moving forward, innovative approaches, such as integrated watershed planning and management, climate risk management, and agriculture modernization — all recently 11 embraced by the GOSL—should be streamlined across government water and agriculture institutions and other stakeholders to achieve more sustainable and competitive agriculture. 12 2. Project Description Project Objective The Climate-Smart Irrigated Agriculture project approach is based on the successful experiences of agriculture interventions in the South Asia Region. Through a set of stakeholder brainstorming forums, a set of key problems were identified: (i) Sri Lanka is prone to climatic variability which severely impacts the agriculture sector, in particular in “hot spot” areas; (ii) The frequency and severity of climate events (floods, droughts) are increasing; and (iii) The agriculture sector is underperforming, leading to low productivity with smallholder farmers in rice dominated production systems. Inadequate access to irrigation water also limits farmers’ opportunities in dry season production. The Project Development Objective is to improve the productivity and resilience of smallholder agriculture in selected climate “hot-spot” areas.1 It includes four components: (i) Agriculture Production and Marketing; (ii) Water for Agriculture; (iii) Project Management and (iv) Contingent Emergency Response. In view of the complexity and innovativeness of the project and to learn lessons, the project will be implemented in three overlapping stages. The first stage (2018–2021) will cover three Hot-Spot Areas (Anuradhapura, Kurunegala and Kilinochchi districts), whereas the second (2020–2022) and third (2022– 2024) stages will cover the balance eight districts. Progress will be reviewed annually and prior to completion of every two years, to sanction the next stage of implementation. A breakdown of the project components is described below. Project Components Component 1: Agriculture Production and Marketing (US$ 42 million) The objective of this component is to improve agriculture productivity and diversification through the adoption of CSA practices and improved on-farm water management. Sub-component 1.1: Climate Smart Agriculture and Water Technology (US$ 21 million): This sub- component will support the adoption of CSA, and will focus on: (i) demonstrating the effectiveness of CSA practices in farmers’ fields through Farmer Business Schools and leveraging ICT for peer to peer learning and (ii) supporting the uptake of CSA practices by Producer Groups (PG). The key activities to be financed include: (i) technical assistance (TA) to carry out detailed assessments to identify appropriate technologies relevant to each mini-watershed, including climate impacts and gender analysis; (ii) TA to develop and deliver training on climate-resilient practices and technologies to extension agents of the government and private sector, including on the requirements for adoption; 1 A hotspot is a geographic area (~25,000 hectares on average) where farmers and farming livelihoods are highly exposed and vulnerable to increasing climatic variability assessed based on (i) drought and flood impacts including crop losses and expenditures on drinking water and relief supplies; (ii) current climate vulnerability based on income poverty, housing quality, source of drinking water and participation in safety net programs; and (iii) future climate vulnerability up to 2030 based on an index of forty-two indicators measuring exposure, sensitivity, and adaptive capacity. 13 (iii) the delivery of agronomic extension services to PGs through effective extension approaches (e.g. field demonstrations, training events, etc.) including the use of proven water management and ICT technologies to facilitate adoption of climate resilient practices and technologies; and (iv) capacity development for PGs and support to investments associated technology transfer to PGs on pilot basis. Sub-component 1.2: Marketing (US$ 21 million): This subcomponent aims to strengthen the linkages between PGs and the agriculture commodity markets by: (i) upgrading and/or rehabilitation of critical market infrastructure; and ii) supporting farmers to access markets and develop sustainable linkages to agri-business. The key activities to be financed are: (i) common infrastructure for agri-commodity marketing (markets, storage, access roads) and the construction and/or upgrading of Common Service Centers (CSCs); and (ii) TA to support PGs to commercialize and link with agribusiness in commodity value chains. Component 2: Water for Agriculture (US$ 92 million) The objective of this component is to facilitate (a) planning for water and other infrastructure necessary to support climate-resilient irrigated agriculture, (b) construction of the planned infrastructure; and (c) co- management of this infrastructure by central/provincial governments and the local community. Sub-component 2.1: Rehabilitation of Irrigation Systems (US$ 86 million). This sub-component will support the rehabilitation of irrigation systems based on plans derived from hydrologic modelling accounting for projected climate change in the project areas. The key activities to be financed include: (i) technical assistance to support hydrology modelling and the preparation of Hotspot Area Water Management Plans at three levels: hotspots (~25,000 ha); mini-watersheds within the hotspot areas (~4,000 ha), including tank cascade systems, stand-alone irrigation systems, and rainfed agriculture systems; and local administrative levels (DS Divisions and GN Divisions). (ii) rehabilitation, modernization and repair of existing cascade tanks and individual village tanks, construction of recharge wells in the tank beds, and flood protection infrastructure; and, (iii) field implementation of watershed treatment and water harvesting works; Sub-component 2.2: Operation and Maintenance of Irrigation Systems (US$ 6 million). This subcomponent aims to ensure the sustainable operation and maintenance of tank systems at the individual tank level and systemwide. The main activities to be financed are: (i) establish CMCs for each of the cascades of minor irrigation tanks within the watershed-based boundary of the hotspot areas; (ii) strengthen FOs that have been set up to manage each tank; and, (iii) design and implement a monitoring system for water use and availability. Component 3: Project Management (US$ 6 million) The objective of this component is to ensure the quality of overall project management, while ensuring smooth coordination of activity implementation by various agencies and strategic partners at national and subnational levels. This component will finance: 14 (i) the consultancy and operating costs of the PMU and DPD Offices and of different project executing agencies, including for fiduciary and safeguard aspects; (ii) the monitoring and evaluation of project activities at baseline, midterm and end of project, including geotagging of the assets created; and (iii) information, education and communication campaigns to make all stakeholders aware of the project Component 4: Contingent Emergency Response (US$ 0.0 million) This emergency response component will allow for rapid reallocation of project proceeds in the event of a natural or man-made disaster or crisis that has caused or is likely to imminently cause a major adverse economic and/or social impact. 15 3. Baseline Socio-Economic Conditions of Hot-Spot Sectors Country Overview Sri Lanka is an island of 62,705 Sq. km. in the Indian Ocean separated from South India by 28 km stretch of sea. At the Census of 2012, Sri Lanka recorded a total population of 20.4 MN, growing annually at 1.1% (1981-2012). The population is largely rural (77.4%) while the urban and the estate population are 18.2% and 4.4% respectively. It is made up of 75% Sinhalese, 11% Sri Lanka Tamils, 4% Indian Tamils, 9% Sri Lankan Moors and 0.5% others. About 71% are Buddhists, 12.6% Hindus, 9.7% Islam, 6.7% Roman Catholics and 1.4% other Christians. While all groups above are spread throughout the country, regional concentrations of majorities exist. Sri Lanka is a Lower Middle-Income country with a GDP per capita of USD 3,835 in 2016. Overall, poverty level of the country is 6.7%, and the rural sector contributes to 86.8% of total poverty. Rural poverty and estate poverty is almost four times and five times that of the urban sector respectively. In terms of unemployment, about 380,554 persons of Sri Lanka are unemployed. Youth unemployment is high, and it is much higher among women. Profile of Project Hot-Spot Areas The CSIAP oversees nine Hot-Spot areas: Ampara, Batticaloa, Trincomalee, Kilinochchi, Mullaitivu, Anuradhapura, Puttalam, Kurunegala, Moneragala, Polonnaruwa and Hambanthota Districts in the Eastern, Northern, North Central, North Western, Uva Provinces and Southern Provinces. The first stage (2018–2021) will cover three Hot-Spot Areas (Anuradhapura, Kurunegala and Kilinochchi districts), whereas the second (2020–2022) and third (2022–2024) stages will cover the balance eight districts 16 Figure 1: Hot-Spot area map Table 1 & 2 depicted below provide a set of key socio-economic indicators in the selected hot spot areas and their retrospective provinces, followed by a brief summary on each hot spot district. Table 1: District level Social Indicators Ethnicity Median Poverty Employment by Major Industry Group household Poverty head Contribution to Labor force District Population Sinhala Tamil income count index total poverty % participation % Agriculture % Industries % Services % Ampara 649,482 39% 17% 34,486 5.4 2.6 44.5 27.8 24.8 47.3 Batticaloa 526,567 1% 72% 28,297 19.4 7.5 44.5 24.8 29.4 45.8 Trincomalee 379,541 27% 31% 37,000 9 2.5 47.2 25 23.2 51.8 Kilinochchi 113,510 1% 97% 27,050 12.7 1.1 45.1 27 25.4 47.6 Mullaitivu 92,238 10% 86% 25,526 28.8 1.9 54.4 40.5 19 40.4 Anuradhapura 860,575 91% 1% 41,629 7.6 4.7 59.3 48.7 16.6 34.6 Puttalam 762,396 74% 6% 40,890 5.1 2.8 55.3 24.6 28.5 47 Kurunegala 1,618,465 91% 1% 42,287 6.5 7.6 59.1 30.4 29.3 40.3 Moneragala 451,058 95% 2% 35,835 20.8 6.8 58.9 48.9 15.6 35.4 Hambantota 599,903 97% - 42,539 1.2 0.9 57 36.6 26.2 37.2 Polonnaruwa 406,088 91 2% 44,180 2.2 1.1 54.7 39 24.9 36.2 Table 2: Province level Social Indicators Sector Age Group % Ethnic Group Unemployment by sex Sex ratio Unemployment Province Population Urban Rural Estate less than 15 years 15-59 Sinhala Tamil Sri Lanka Moor Male Female Eastern 1,555,510 25.1 74.9 94 30.4 61.8 23.2 39.2 36.9 50,018 64.1 35.9 Northern 1,062,315 16.7 83.3 93 27.7 61.4 3 93.8 3.1 39,716 52.8 47.2 North Central 1,266,663 4 96 96 26.6 64 90.9 1 8 25,100 57.3 42.7 North Western 2,380,861 4.1 95.5 0.4 93 25.4 62.4 85.7 3 11 48,820 58.1 41.9 Uva 1,266,463 5.5 81.7 12.8 95 26.8 64 80.8 14.7 4.3 31,162 52.7 42.8 Southern 2,477,285 10.6 87.7 1.7 93 25.1 60.9 95 1.7 2.9 79,069 55.7 44.3 17 Ampara Ampara district spreads over 4,415 Sq, km. The district is populated with 503 GN divisions, 17 Pradeshiya Sabhas, 4 Pradeshiya Sabha sub offices, 3 Urban & Municipal councils and 29 Agrarian Service Centers. The district has a population of 649,482 - with a composition of 314,352 males, 335,050 females and an ethnic breakdown of 39% Sinhalese, 17 % Tamil and 43% Sinhalese Moor. According to the 2016 Labor Force Participation Survey the district has a labor force participation rate of 44.5 % based on a household population (15 years and over). Between the agriculture, services and industrial sector, Ampara has a labor participation of 27.8 % in agriculture, 47.3% in services and 24.8% in the industrial sector. The paddy production statistics of 2014-2015 also indicate that the district of Ampara yields the countries second highest output of paddy at 617,000 metric tons. While the mean household income is at Rs. 43,821, the contribution from agricultural activities to income is only Rs. 3,339. The median household income of the district of Ampara is also 5% higher than the Eastern province median income. The district also has a poverty headcount index of 5.4% which is above the country index of 4.1 and below the hot-spot median of 7.6. Batticaloa The district of Batticaloa has an area spread of 2,854 Sq, km. The district is populated with 346 GN divisions, 9 Pradeshiya Sabhas, 5 Pradeshiya Sabha Sub Offices, 3 Urban & Municipal councils and 17 Agrarian Service Centers. The district has a population of 526,567 - with a composition of 250,676 males and 275,891 females and an ethnic breakdown of 1% Sinhalese, 72 % Tamil and 25% Sinhalese Moor. According to the 2016 Labor Force Participation Survey the district has a labor force participation rate of 44.5 % based on a household population (15 years and over) of 387,162. Between the agriculture, services and industrial sector Batticaloa retrospectively has a labor participation of 24.8 % in agriculture, 45.4% in services and 29.4% in the industrial sector. The paddy production statistics of 2014-2015 indicates that the district of Batticaloa yields a paddy output of 235,000 metric tons. While the mean household income is at Rs. 47,356, the contribution from agricultural activities to income is only Rs. 1,932. The median household income of the district of Batticaloa is also 13% less than of the Eastern Province median income. The district also has a poverty headcount index of 19.4% which strays further from the country index of 4.1 and the hot-spot median of 7.6 Trincomalee The district of Trincomalee has an area spread of 2,727 Sq, km. The district is populated with 230 GN divisions, 11 Pradeshiya Sabhas, 9 Pradeshiya Sabha Sub Offices, 2 Urban & Municipal councils and 22 Agrarian Service Centers. The district has a population of 379,541 - with a composition of 187,472 males and 192,069 females with an ethnic breakdown of 27% Sinhalese, 31 % Tamil and 41% Sri Lankan Moor. 18 According to the 2016 Labor Force Participation Survey the district has a labor force participation rate of 47.2 % based on a household population (15 years and over) of 271,940. Between the agriculture, services and industrial sector Trincomalee retrospectively has a labor participation of 25 % in agriculture, 51.8% in services and 23.2% in the industrial sector. The paddy production statistics of 2014-2015 indicates that the district of Trincomalee yields a paddy output of 215,100 metric tons. While the mean household income is at Rs. 46,138, the contribution from agricultural activities to income is only Rs. 3,352. The median household income of the district of Trincomalee is also 12% higher than of the Eastern Province median income. The district also has a poverty headcount index of 9% which is slightly above the country index and the hot-spot median. Kilinochchi The district of Kilinochchi has an area spread of 1,279 Sq, km. The district is populated with 95 GN divisions, 3 Pradeshiya Sabhas, 1 Pradeshiya Sabha Sub Office and 8 Agrarian Service Centers. The district has a population of 113,510 - with a composition of 55,783 males and 57,727 females and an ethnic breakdown of 1% Sinhalese and 97 % Tamil. According to the 2016 Labor Force Participation Survey the district has a labor force participation rate of 45.1 % based on a household population (15 years and over) of 80,217. Between the agriculture, services and industrial sector Kilinochchi retrospectively has a labor participation of 27 % in agriculture, 47.6% in services and 25.4% in the industrial sector. The paddy production statistics of 2014-2015 indicates that the district of Kilinochchi yields a paddy output of 97,500 metric tons. While the mean household income is at Rs. 31,576, the contribution from agricultural activities to income is only Rs. 2,239. The median household income of the district of Kilinochchi is also 22% less than of the Northern Province median income. The district also has a poverty headcount index of 12.7% which is above the country index of 4.1 and hot-spot median of 7.6. Mullaitivu The district of Mullaitivu has an area spread of 2,617 Sq, km. The district is populated with 127 GN divisions, 4 Pradeshiya Sabhas, 3 Pradeshiya Sabha Sub Offices and 10 Agrarian Service Centers. The district has a population of 92,238 - with a composition of 46,036 males and 46,202 females and an ethnic breakdown of 10% Sinhalese and 86 % Tamil. According to the 2016 Labor Force Participation Survey the district has a labor force participation rate of 54.4 % based on a household population (15 years and over) of 69,263. Between the agriculture, services and industrial sector Mullaitivu retrospectively has a labor participation of 40.5 % in agriculture, 40.4% in services and 19% in the industrial sector. The paddy production statistics of 2014-2015 indicates that the district of Mullaitivu yields a paddy output of 75,600 metric tons. 19 While the mean household income is at Rs. 31,868, the contribution from agricultural activities to income is only Rs. 5,474. The median household income of the district of Mullaitivu is also 26% less than of the Northern Province median income. The district also has a poverty headcount index of 28.8% which deviates far from the country index of 4.1% and the hot-spot median of 7.6% . Anuradhapura The district of Anuradhapura has an area spread of 7,179 Sq, km. The district is populated with 694 GN divisions, 18 Pradeshiya Sabhas, 4 Pradeshiya Sabha Sub Offices and 41 Agrarian Service Centers. The district has a population of 860,575 - with a composition of 420,100 males and 440,475 females and an ethnic breakdown of 91% Sinhalese and 1% Tamil. According to the 2016 Labor Force Participation Survey the district has a labor force participation rate of 59.3 % based on a household population (15 years and over) of 610,234. Between the agriculture, services and industrial sector Anuradhapura retrospectively has a labor participation of 48.5% in agriculture, 34.6% in services and 16.6% in the industrial sector. The paddy production statistics of 2014-2015 indicates that the district of Anuradhapura yields the countries third highest output of paddy at 539,000 metric tons. While the mean household income is at Rs. 58,326, the contribution from agricultural activities to income is only Rs. 7,538. The median household income of the district of Anuradhapura is also 1% less than of the North Cenreal Province median income. The district also has a poverty headcount index of 7.6% which is slightly above the country index of 4.1%. Puttalam The district of Puttalam has an area spread of 3,072 Sq, km. The district is populated with 548 GN divisions, 10 Pradeshiya Sabhas, 2 Municipal and Urban Councils and 18 Agrarian Service Centers. The district has a population of 726,396 - with a composition of 368,971 males and 393,425 females and an ethnic breakdown of 74% Sinhalese, 6% Tamils and 19% Sri Lankan Moor. According to the 2016 Labor Force Participation Survey the district has a labor force participation rate of 55.3 % based on a household population (15 years and over) of 576,392. Between the agriculture, services and industrial sector Puttalam retrospectively has a labor participation of 24.6% in agriculture, 47% in services and 28.5% in the industrial sector. The paddy production statistics of 2014-2015 indicates that the district of Puttalam yields has a paddy output of 111,800 metric tons. While the mean household income is at Rs. 61,981, the contribution from agricultural activities to income is only Rs. 9,128. The median household income of the district of Puttalam is also 3% less than of the North-Western Province median income. The district also has a poverty headcount index of 5.1% which is slightly above country index yet below hotspot median. 20 Kurunegala The district of Kurunegala has an area spread of 4,816 Sq, km. The district is populated with 1610 GN divisions, 19 Pradeshiya Sabhas, 41 Predeshiya Sabha Sub Offices, 2 Municipal and Urban Councils and 55 Agrarian Service Centers. The district has a population of 1,618,465 - with a composition of 777,201 males and 841,264 females and an ethnic breakdown of 91% Sinhalese, 1% Tamil and 7% Sri Lankan Moor. According to the 2016 Labor Force Participation Survey the district has a labor force participation rate of 59.1% based on a household population (15 years and over) of 1,237,558. Between the agriculture, services and industrial sector Kurunegala retrospectively has a labor participation of 30.4% in agriculture, 40.3% in services and 29.3% in the industrial sector. The paddy production statistics of 2014-2015 indicates that the district of Kurunegala yields has a paddy output of 496,700 metric tons. While the mean household income is at Rs. 59,661, the contribution from agricultural activities to income is only Rs. 6,497. The median household income of the district of Kurunegala is also 1% higher than of the North-Western Province median income. The district also has a poverty headcount index of 6.5% which slightly above country index yet below hot-spot median Moneragala The district of Moneragala has an area spread of 5,639 Sq, km. The district is populated with 319 GN divisions, 10 Pradeshiya Sabhas, 1 Predeshiya Sabha Sub Office and 18 Agrarian Service Centers. The district has a population of 451,058 - with a composition of 224,168 males and 226,890 females with an ethnic breakdown of 95% Sinhalese, 2% Tamil. According to the 2016 Labor Force Participation Survey the district has a labor force participation rate of 58.9% based on a household population (15 years and over) of 340,980. Between the agriculture, services and industrial sector Moneragala retrospectively has a labor participation of 48.9% in agriculture, 35.4% in services and 15.6% in the industrial sector. The paddy production statistics of 2014-2015 indicates that the district of Moneragala yields has a paddy output of 200,700 metric tons. While the mean household income is at Rs. 48,842, the contribution from agricultural activities to income is only Rs. 13,057. The median household income of the district of Moneragala is also 2% lower than of the Uva Province median income. The district also has a poverty headcount index of 20.8% which deviates further from the country index of 4.1 and the hot-spot median of 7.6. Hambantota The district of Hambantota has an area spread of 2,609 Sq, km. The district is populated with 576 GN divisions, 10 Pradeshiya Sabhas, and 17 Agrarian Service Centers. The district has a population of 599,903- with a composition of 294,736 males and 305,167 females with an ethnic breakdown of 97% Sinhalese, 1% Malay. 21 According to the 2016 Labor Force Participation Survey the district has a labor force participation rate of 57% based on a household population (15 years and over) of 455,842. Between the agriculture, services and industrial sector Hambantota retrospectively has a labor participation of 36.6% in agriculture, 37.2% in services and 26.2% in the industrial sector. The paddy production statistics of 2014-2015 indicates that the district of Hambantota yields has a paddy output of 262,900 metric tons. While the mean household income is at Rs. 59,932, the contribution from agricultural activities to income is only Rs. 7,331. The district also has a poverty headcount index of 1.2% which is significantly lower than the country index of 4.1 and the hot-spot median of 7.6. Polonnaruwa The district of Polonnaruwa has an area spread of 3,293 Sq, km. The district is populated with 295 GN divisions, 7 Pradeshiya Sabhas, and 11 Agrarian Service Centers. The district has a population of 406,088 with a composition of 200,780 males and 205,308 females with an ethnic breakdown of 91% Sinhalese, 2% Tamil. According to the 2016 Labor Force Participation Survey the district has a labor force participation rate of 54.7% based on a household population (15 years and over) of 292,355. Between the agriculture, services and industrial sector Polonnaruwa retrospectively has a labor participation of 39% in agriculture, 36.2% in services and 24.9% in the industrial sector. The paddy production statistics of 2014-2015 indicates that the district of Polonnaruwa yields has a paddy output of 630,100 metric tons. The district also has a poverty headcount index of 2.2% which is lower than of the country index and hot-spot median. 22 4. Potential Social Impacts of the Project The project components are aligned to oversee four areas: (1) agriculture production and marketing; (2) efficient water management for agriculture; (3) project management and (4) contingent emergency response. At large, the above strategic components will create development and economic opportunities and benefit Sri Lankan citizens. Project beneficiaries will include over 470,000 smallholder farmers, producer organizations, productive alliances, and agribusiness entrepreneurs in eleven climatically vulnerable hot-spot areas (375,000 ha) in eleven administrative districts. However, under the construction of small-scale market infrastructure under Component 1, and activities under Component 2 and its sub component on construction of water and other infrastructure as well as rehabilitation of tank systems will involve activities that are likely to lead to adverse social impacts. Some of the benefits and adverse impacts could be broadly categorized under the following headings: Potential Project Benefits Socio-economic Benefits The main socio-economic benefits of the projects will stem from: - Increases in area under production and crop productivity through improved irrigation systems - Diversification away from food grain into climate adaptive and higher value agriculture products - Improved past harvest management, value addition and marketing - Establishment of Producer Groups and private sector linkages which will increase income levels of beneficiaries through: (a) higher prices for the agricultural produce through better aggregation and new market channels, also resulting from improved market information; (b) potentially reduced input prices resulting from procurement by the PGs in bulk; and (c) increased value addition through Common Service Centers (CSCs) established by the PGs for postharvest activities, including aggregation, cleaning, grading, sorting, and processing - Potential employment generation from increased demand for wage workers in handling, processing and marketing high value agriculture products - Investments in irrigation modernization and rehabilitation works which will generate further employment opportunities during project implementation - Flood protection with regard to potentially avoidable damages and losses Gender and Inclusion Women play a key role in agricultural production and processing, both in family and farms outside. The contribution from women to farming operations is over 38%, yet they tend to have limited access to key agricultural assets and services. Women commonly face gender specific constraints that limit their access to productive inputs, assets and services, while gender gaps have been observed for land, farm, labor, extension of services, financial services and technology. As such, the project will ensure that gender 23 considerations are addressed across all components, and female beneficiaries access across all components will be captured under KPI 5, which will disaggregate direct project beneficiaries by gender. Selected steps taken towards gender inclusion under CSIAP are highlighted below: - The project will, as a part of preparing the hot-spot area development plans, assess the multi- faceted dimensions of the gender gap and incorporate measures to address these. - Strategic and operational design efforts will be made to recognize women from farming households as ‘farmers’ and as leaders for adopting climate resilience. To that effect, the project design accounts for two-fold interventions: (i) internalizing at planning stage all gender dimensions and risk associated with knowledge and technology dissemination, and (ii) promoting during implementation specific capacity building by sensitizing and building the capacity of project implementers, and women practicing agriculture at the cascade, tank and village levels. - The climate-resilient agricultural technologies will be screened to ensure that they are gender- neutral and similarly, the identification of lead/contract farmers will be gender balanced. - Increasing women's engagement in decision making in Farmer’s Organizations and Producer’s Groups through the inclusion of quotas for women will be facilitated to ensure the gendered needs and vulnerabilities are addressed. - Under the Gender Action Plan structures and procedures will be created which support women's roles as caregivers and female heads of households, as such they are expected to bridge gaps in women's access to agricultural assets and services eg: promoting gender sensitive methodologies for women to access to credit schemes and strengthen market linkages; child care services and flexible working hours. Citizen Engagement - The project recognizes that the role of citizen engagement is critical to improve development outcomes. Therefore, the project takes on a robust citizen engagement approach that is considered to have a deeper engagement with citizens/beneficiaries as the project plans to engage local communities in both planning and implementation of the project. - The specific mechanism for citizen engagement will include participatory planning and implementation with corresponding institutions including planning and coordinating committees, producer groups or organizations, local business associations. - The project also includes plans to build the capacity of local government and implementing partners to engage local communities (social audits, participatory methods, etc.), and to train the local communities themselves in project planning and implementation activities. - In the short run the projects citizen engagement is results-focused, context-specific and confined to the involvement in the project period and within the project scope. In the long term, however, it is geared to gradually strengthening the local systems including the formal institutions of governance and development administration, and community organizations. Potential Adverse Impacts 24 While the project benefits are likely to be significant, some of the project interventions are likely to trigger potential adverse impacts, especially through land acquisition and construction-related activities. The potential impacts can be anchored to the interventions of Component 1 and 2. Respectively, interventions of the aforementioned components will facilitate : (a) investments in small scale market infrastructure, (b) planning for water and other infrastructure necessary to support climate-resilient irrigated agriculture, (c) construction of the planned infrastructure and (d) co-management of this infrastructure by central/provincial governments and the local community to ensure adequate water storage and delivery and thus ensure that agricultural production in the Hot Spot area - especially on small and marginal farms - is more resilient to the impacts of increased climatic variability. Potential adverse impacts include: physical displacement (relocation or loss of shelter); economic displacement (loss of assets or access to assets that leads to loss of income sources or means of livelihood); restriction of access to legally designated protected areas and gazetted forests resulting in adverse impacts on the livelihoods of the displaced persons; impacts from labour influx potentially leading to risk of social conflict, illicit behavior, community dynamics, increased burden on and competition for public services, etc; construction-related impacts leading to dust pollution, noise pollution, traffic congestion, etc., that cause inconveniences to the general public; adverse impacts on women and vulnerable groups, particularly since resettlement impacts and other adverse impacts are known to have differential impacts on females, female-headed households, poor and other vulnerable groups; and lack of support from affected communities and other stakeholders. Of these potential risks and impacts, management of risks and impacts issues that do not result from land taking, and are associated with OP/BP 4.01, are included in the EAMF prepared separately under the Project. This RPF is focused primarily on the issues concerning World Bank’s OP/BP 4.12 on Involuntary Resettlement. In other words, it addresses the direct economic and social impacts that are caused by (a) the involuntary taking of land that results in: (i) relocation or loss of shelter; (ii) loss of assets or access to assets; or (iii) loss of income sources or means of livelihood, whether or not the affected persons must move to another location; or (b) the involuntary restriction of access to legally designated parks and protected areas resulting in adverse impacts on the livelihoods of the displaced persons. In this regard, social safeguards risks associated with ‘Involuntary Resettlement’ under the Project are outlined below. Loss of land Depending on the nature of the component within the one of the nine designated climatically vulnerable hotspot areas, the requirements for land acquisition will vary. Of concern under the Project is also the nature of land tenure. There are cases where villagers have cleared land for housing and agriculture in the catchment area or transferred what was originally chena land for permanent agriculture and housing. For this development, these individuals have obtained ‘permits’, annually renewable, from the government. The extents vary among individual farmers although, overall, they add up to a large extent in village context. Occupants of ‘permit lands’ expect to obtain deeds of transfer from the government someday. However, the government has a norm for individual allotments, and this often is significantly less in size relative to the developed individual land extents. Unlike the ‘unpermitted lands’ which are included for 25 fertilizer subsidy from the government, the ‘permit lands’ are not recognized as collateral for bank loans. Further, in the paddy lands located below the village tanks, farmers have often responded to the need for increased demand for rice from an increasing population by expanding the paddy holding into the canal reservations. Thus, encroachment (called anavasara idam or ‘unpermitted land’) is a common phenomenon observed in the paddy lands although the extent of encroached land is small. In any case, land acquisition requirements and involuntary resettlement will be avoided to the greatest extent possible in the siting of new facilities. Where land acquisition – either through acquiring state- owned land, voluntary land donation or the acquisition of privately owned land is unavoidable, the project will follow appropriate measures to ensure safeguards compliance in line with government legal framework and Bank policies as laid out in this RPF, including minimizing the impacts from land acquisition to the extent possible and compensation in accordance with entitlement matrix included in this RPF. Loss of income sources or means of livelihood Activities under Component 1 and 2 might also have temporary or permanent impacts on people’s income sources or means of livelihood, especially through different forms of land-taking. The project activities involve rehabilitation of irrigation structures and water retention structures including wells and realignment of irrigation canals and drainage structures, construction of bunds etc. for cascade treatment, rehabilitation of existing service centers such as Agrarian Service Centres, farm road improvement works, storage facilities and other technical interventions with impacts on livelihoods, though temporarily. While both officers and farmers agree that encroached reservations of irrigation structures will have to be re- claimed, the livelihood impacts can be significant. Under the project, each affected person whose income or livelihood is affected will be assisted to improve or at least restore his/her income to pre-project level regardless of the nature of their tenure. Income restoration schemes to be prepared under the project will be designed in consultation with affected persons, and in consideration of their resource base and existing skills. Loss of assets and/or access to assets The scope and extent of land acquisition under the project, whether permanent or temporary, will largely determine the impacts on assets or access to assets. In this regard, some loss of structures and shelters (e.g., dwelling areas, kiosks, offices, garage, store, etc.), and other fixed assets such as compound walls, gates, etc., are to be expected. Under the project, land and other assets will not be acquired at less than replacement cost. The valuation method defined under the Resettlement Action Plan (RAP) or the Abbreviated Resettlement Action Plan (A-RAP) will be followed to determine full replacement cost. Depreciation for structures and other assets will not be considered while determining the replacement costs. In case of loss of common resources, structures and facilities as defined in the Entitlement Matrix, the same will be restored or reinstalled or access to lost facilities provided at a new place in consultation with the community or appropriate authority. 26 Construction-related Impacts Anticipated social impacts during construction phase of the project could include restrictions of access to roadside commercial establishments and residential buildings; shifting of utility services like electricity poles, water connections, etc; dust and noise pollution; traffic congestion; etc., that cause inconveniences to the general public. However, these impacts are considered to have minimal and limited impacts, and also temporary and site-specific in nature. Measures for addressing some of these construction-related disturbances will include implementation of traffic control and safety measures, signage and educational campaigns. Impacts on women and vulnerable groups Beneficiary farmers in the agriculture sector are generally organized into Farmer Organizations that focus on irrigated paddy cultivation, water management issues and matters concerning distribution of subsidized fertilizer. However, not all farmers are paddy farmers. And, paddy cultivation is undertaken when the farmers are sure of the availability of sufficient water in the tank. The scope of activities to include high land farming is expected with the relevant amendment of the Agrarian Development Act. Farmers who occupy ‘permit lands’ are willing to get organized into producer groups around a common source of water such as a common well, and give up a piece of land to allow for construction. However, officially these lands belong to the State. Further, there could be instances of individuals fencing in after the construction of facilities rather than permitting or transferring the rights to organizations and institutions. Usually, the landholdings are large by local standards and water management is likely to be an issue if not appropriate mechanism is devised and agreed upon. Further, farming communities includes women landowners and women farmers. However, the existing Farmer Organizations generally are male-dominated, although, in some instances, women farmers perform the role of a Treasurer or Secretary. Although within the village surroundings, women attend to agricultural activities, due to their household and care responsibilities, their representaoitn in community and groups, are limited. To address these issues, Women Farmers’ Societies have been formed under the patronage of the Department of Agrarian Development. These community level organizations have drawn members from among the young adult women school leavers as well. Adverse impacts on women and vulnerable groups, particularly since resettlement impacts and other adverse impacts are known to be hard on females, female-headed households, poor and other vulnerable groups. Already, the employment structure is characterised by male dominance. Conflict affected areas of Sri Lanka have significant number of female headed households and population of working women. Risks of Adverse Impacts from Labour Influx Component 1 & 2 of this project will involve construction of civil works for which the required labour force and associated goods and services may not be able to source locally for a number of reasons, among them worker unavailability and lack of technical skills and capacity. The labour force (total or partial) may need to be brought in from outside the project area. In many cases, this influx is compounded by an influx of 27 other people (“followers”) who follow the incoming workforce with the aim of selling them goods and services, or in pursuit of job or business opportunities. On the one hand, an appropriately managed labour influx can provide potential benefits for the community, including economic opportunities through employment and/or training by the project, contributions to the local economy by selling goods and services, the provision of local infrastructure (such as access roads, power, or water connection) which is developed for the project and which serves the community beyond the project duration. However, the rapid migration to and settlement of workers and ‘followers’ in the project area can affect project areas negatively in terms of: risks of social conflict between the local community and the construction workers, and also between different groups within the labour force; increased risk of illicit behaviour and crime; discontent amongst the local community on the engagement of outsiders in the project, especially in terms of job opportunities and crowding out of locals; increased burden on and competition for public service provision, such as water, electricity, medical services, transport, education, and social services; local inflation of prices; increased risk of communicable diseases and burden on local health services, including sexually transmitted diseases; Gender-based violence, particularly in the form of inappropriate behaviour; child labour and school dropout, especially following the increased opportunities for the host community to sell goods and services to the incoming workers; risks of exploitation of labourers, etc. The potential for these risks is more likely in project sites that are in isolated areas and/or in areas where the scope of construction work is large and the possibilities for hiring local labourers is limited, thus requiring labourers and workers to be brought in from outside. To address the above-mentioned impacts from labour influx on local communities, the Project will: i. Reduce labour influx by tapping into the local workforce, to the extent possible; ii. Assess and manage labour influx risks based on appropriate instruments; and iii. Incorporate social and environmental mitigation measures into the civil works contract. 28 5. Purpose of the Resettlement Policy Framework As discussed in earlier sections, interventions under the CSIAP are aimed at improving the productivity and resilience of smallholder agriculture in selected climate “hot-spot” areas in Sri Lanka. The systemic benefits of the project will be spread across the public and private sector. The primary beneficiaries of the project will include smallholder farmers, producer organizations, productive alliances, and agribusiness entrepreneurs. However, some adverse social impact arising from loss of land, assets and restrictions of access to sources of livelihoods, are expected from Component 1 and 2 of the project. At this stage precise details of the interventions under Component 1 and 2 are yet to be crystalized, hence it is necessary to prepare a RPF that would guide the GOSL in managing the risks of the proposed components. To safeguard against these risks of impoverishment, World Bank’s OP 4.12 on Involuntary Resettlement requires that: involuntary resettlement is avoided where feasible, or minimized, exploring all viable alternative project designs; where it is not feasible to avoid resettlement, resettlement activities should be conceived and executed as sustainable development programmes; displaced persons should be meaningfully consulted and provided with opportunities to participate in planning and implementing resettlement programmes; and such persons should be assisted in their efforts to improve their livelihoods and standards of living or at least to restore them, in real terms, to pre-displacement levels or to levels prevailing prior to the beginning of project implementation, whichever is higher.2 Based on these policy principles, the objective of the RPF is to ensure that the planned activities and related social impact assessments, management instruments and processes, will be implemented in compliance with the national legislation of Sri Lanka as well as the Bank’s operational policy, OP 4.12 on Involuntary Resettlement, and are duly and diligently implemented to ensure social sustainability of the CSIAP. Specifically, this RPF sets out principles and guidelines to identify and assess the potential social impacts and risks, prepare mitigation plans as part of sub-project preparation, institutional arrangements and processes to be followed for the CSIAP. This includes: (i) principles and procedures for screening and assessing impacts; (ii) the criterion and due diligence processes based on risks, including the provisions for entitlements and eligibility criteria; (iii) guidelines for preparing time-bound action plans to assure compliance; (iv) institutional arrangements for implementing resettlement action plans; (v) guidance for public consultation process and disclosure of safeguard documents; (vi) mechanisms for grievance redress, monitoring and evaluation of process and outcomes; and (vii) responsibilities of the GoSL and WB in relation to the preparation, implementation and progress review of social safeguards documents for the various CSIAP sub-projects. In addition to this RPF, a separate Environmental Assessment and 2 If the impacts include physical relocation, the resettlement plan is required to ensure that the displaced persons are: (i) provided assistance (such as moving allowances) during relocation; and (ii) provided with residential housing, or housing sites, or, as required, agricultural sites for which a combination of productive potential, locational advantages, and other factors is at least equivalent to the advantages of the old site. 29 Management Framework (EAMF) has been prepared as part of safeguards instruments to be adopted under the project.3 3At this stage the specific nature of the sub-projects and designs of the various interventions are not available, hence a sub project specific environmental and social impact assessments cannot be conducted. 30 6. Policy and Regulatory Framework on Involuntary Land Acquisition and Resettlement All activities under the proposed project will be consistent with Sri Lanka’s applicable laws, regulations and notifications that are relevant in the context of the resettlement efforts. It is the responsibility of the Ministry of Agriculture (MoA) to ensure that project activities are consistent with the legal/regulatory framework of Sri Lanka and aligned with the World Bank policies and guidelines. This section discusses the applicable national policy and regulatory framework, World Bank safeguards applicable to the Projects, and gaps between World Bank’s safeguards policies and national regulations. This framework accordingly addresses the gaps to ensure conformity to the WB safeguard policies while adhering to the national policies. National Legal and Regulatory Framework on Land Acquisition The current Sri Lankan laws governing matters relating to land, such as land acquisition, recovery of state lands, claiming rights of acquisitive prescription, declaration of reservations, compensation for property losses, and compensation for improvements in Sri Lanka are contained in a number of laws, regulations, and policies, including those in the section below. Land Acquisition Act No. 9 of 1950 Land acquisition for public purposes is guided by the provisions and procedures outlined in the Land Acquisition Act No. 9 of 1950 (LAA). The LAA provides a framework for facilitating land acquisition within the country, guarantees that no person is deprived of land except under the provisions of the LAA, and entitles Project Affected Persons (PAPs) to a hearing before acquisition. The LAA discourages unnecessary acquisition and requires that the land should be used for the purpose for which it is acquired. The LAA provides for compensation for lands and other fixed assets built and grown on them (structures, trees, orchards, and crops). It also provides for compensation for loss of income for those able to prove their income losses by documentary proof up to a maximum of average net profit for the three years immediately preceding the publication of section 7 notice under the LAA. Usually, the land acquisition is time consuming and takes anywhere between a few months to about 2-3 years to complete the process. A major cause for delay in land acquisition arises with respect to the compensation procedure with attendant legal proceedings. There is also provision under section 38A of the LAA to acquire lands under an urgency clause. The law discourages unnecessary acquisition, as lands acquired for one purpose cannot be used for a different purpose, and lands that remain unused are required to be returned to the original owners. Several progressive provisions have been introduced in the LA Regulations of 2008, such as the provision of compensation for affected land at market rates, reconstruction cost of structure without depreciations, valuation for whole plot of land for determining proportional unit cost for the affected land parcel, business losses, and relocation assistance. 31 One of the challenges relating to the LAA is that the onus to prove ownership or interest in, demonstrate clear title to, gather all information and submit a compensation claim in respect of, land to be acquired, is on the affected persons. Often displaced persons are not aware of their rights or time frames to be observed under the LAA, or they are aware but are ill-equipped to deal with the procedures required and are also not experienced in dealing with various officials and documentation. To counter this, the PMU or the DPD offices will assist displaced persons in making their claims under the LAA as part of the consultation and participation process, which has been discussed in the chapter related to implementation arrangements. The Community Development Officers (CDOs) and the Civil Society Organisations (CSO) will play a facilitative role in assisting the APs in accessing their entitlements. Displaced persons may face serious delays in the land acquisition process as such, in order to speed up the process; the PMU will seek the advice of a Land Officer to provide coordination support. The provisions of the LAA together with the compensation listed in the LAR 2008 largely meet the requirements of the OP 4.12 with regard to paying compensation. However, the LAA does not address all aspects of losses due to involuntary resettlement, especially that of, for example, squatters or others without legal title to the lands they live or work on, as per the OP. In particular, the law is indifferent to the landowner’s present socio-economic conditions or the long-term adverse impacts on incomes and livelihood that the acquisition may cause on the affected people. For the purpose of the determination of compensation, the market value of a land is generally the amount which the land might be expected to have realized if sold by a willing seller in the open market as a separate entity on the date of publication of the notice in the gazette. Strips of land on canal reservations were earlier assessed as narrow “separate entities” realizing a low market value. For marshy lands and encroached lands, the encumbered value was computed realizing a low market assessment. The situation changed with the LAR 2008, which provide that, the unit value of the land shall be calculated by taking into consideration the whole plot of land and not the narrow strip required for the project. The Ministry of Lands and Parliamentary Reforms is responsible for undertaking land acquisition. The Valuation Department is responsible for valuation. The law stipulates compensation only for the affected persons who are in possession of valid titles and such titles registered in the respective land registries. It does not recognize the rights of the non-title holders, such as squatters, who do not possess legal title to the lands they live on or are make a living from. Therefore, there is no provision to mitigate the adverse impacts they suffer under the LAA. However, the Entitlement Matrix (EM) provided in the RPF prepared under the Project offers compensation and Resettlement and Rehabilitation (R&R) assistance to the affected non-title holders. The LAA provides for compensation for lands and other fixed assets built and grown on them (structures, trees and orchards and crops). And for loss of income for those who could prove their income losses by documentary proof up to a maximum of average net profit for the three years immediately preceding the publication of section 7 notice under LAA. The Land Acquisition Regulations (LAR) of 2008 has introduced provisions for loss of income and other impacts which can be compensated on furnishing of other evidence in lieu of documentary evidence in proof of payment of income tax by the AP. The 2008 regulations however do not cover people who cannot produce evidence to claim compensation for loss of income. 32 Land Acquisition Regulations 2008 The Land Acquisition Regulations 2008 (LAR 2008), created under the Section 63(2)(f) of the LAA, came into effect on 17 March 2009. Several progressive provisions were introduced in the LAR 2008, including the provision of statutory payments of compensation for affected land at market rates, reconstruction cost of structure without depreciations, valuation for whole plot of land for determining proportional unit cost for the affected land parcel, business losses, relocation assistance. The LAR 2008 provisions for loss of income and other impacts which can be compensated on furnishing of other evidence in lieu of documentary evidence in proof of payment of income tax by the PAP. However, the LAR 2008 does not cover people who cannot produce evidence to claim compensation for loss of income. The LAR 2008 provides for payment of compensation beyond ‘market value’ by incorporating compensation for injurious affection and severance (equivalent to the full cost of damage based on the market value of land acquired), and disturbances (based on the ‘value to owner’ of the property affected as per the written claims submitted by the PAP), permitting for reconstruction cost calculation without depreciation, and valuation for the whole plot of land for determining proportional unit cost for the affected land parcel, business losses, relocation assistance. It also provides for the PAPs to be entitled for a hearing before land is acquired. However, the compensation due to affected parties is to be exclusively determined by the Valuation Department. The regulations stipulate minimum time periods for specific tasks, elements, and the procedures for land acquisition. National Involuntary Resettlement Policy 2001 The National Involuntary Resettlement Policy (NIRP) 2001 was approved by the Cabinet of Ministers to address the shortcomings of the LAA and treat PAPs in a fair and equitable manner. It called for a protective framework for the people who are displaced due to development projects to ensure their rights are respected and they are not impoverished or do not suffer unduly as a result of public or private project implementation. Through the NIRP, displaced persons are assured of a living standard comparable to that at the time of displacement. The main principles or features of the NIRP are: - Minimization and mitigation of negative impacts. Steps are to be taken to avoid involuntary resettlement by reviewing alternatives to the project; - Guarantee adequate compensation to the affected persons in a timely manner. Compensation is based on full replacement value including transaction costs, and is calculated to include loss of land, structures, other assets, and income. Compensation is not limited to the persons with documentary evidence of their interest in land. The policy provides for the authorities to re- establish livelihoods and income of the PAPs; and - Inclusion of the PAPs in the relocation and resettlement process. The policy provides for resettlement action plans of varying levels of details depending on the number of people being displaced, to be published and to be made publicly available. RAPs are prepared for any project requiring displacement of 20 or more persons. If PAPs are less than 20, a RAP with less details are prepared. Further, it provides for the PAPs to be fully involved in the selection of sites of relocation. Through this process the PAPs are made stakeholders of the entire process. 33 The NIRP ensures that (i) PAPs are adequately compensated, relocated, and rehabilitated; (ii) delays in project implementation and cost overruns are reduced; and (iii) better community relations are restored. It also establishes a framework for project planning and implementation to meet international best practices in involuntary resettlement. The responsibility for reviewing and approving RAPs is vested with the Ministry of Lands and Parliamentary Reforms. The NIRP is yet to be adopted into the legislation. Implementing agencies are not obliged to apply the principles enshrined in the NIRP. Therefore, PAPs are unable to rely on the NIRP principles, as a matter of right, in case their land is being acquired. Full compliance requires the government to amend the existing laws. However, the NIRP is official and workable, and under conditions of political will, is capable of offering durable solutions and a way out of ethical and practical dilemmas in land acquisition and involuntary resettlement. Land (Restrictions on Alienation) Act, No. 38 of 2014 Under this Act, the transfer of title of any land situated in Sri Lanka is prohibited to: (a) to a foreigner; or (b) to a company incorporated in Sri Lanka under the Companies Act where any foreign shareholding in such company, either direct or indirect, is fifty per cent or above; or (c) to a foreign company, unless exempted as provided in Act. The exemptions for transfer to a foreign entity, as provided in Section 3 of the Act, include: transfer to a Diplomatic Mission of another State, International, Multilateral or Bilateral Organization; condominium parcel situated on or above the fourth floor of a building; any land the title of which is transferred to a foreign investor in consequent to a decision of the Cabinet of Ministers taken prior to January 1, 2013; any land where the title is transferred to a next of kin (who is a foreigner); land the title of which is transferred to a dual citizen of Sri Lanka, bank licensed under the Banking Act, in which any foreign shareholding is fifty per cent or above, finance leasing institution. National Policy for the Payment of Compensation In November 2008, the Cabinet of Ministers approved a national policy to establish a uniform system of compensation payment. It superseded all other ad hoc and special compensation packages that existed as at the Cabinet approval date. Land Acquisition Regulations 2013 The Land Acquisition Regulations 2013 (LAR 2013) provides for a comprehensive compensation package that goes beyond that prescribed in LAR 2008, including ex gratia and non-statutory payments of compensation through the LARC and Super LARC systems, to aggrieved parties who are dissatisfied with the statutory payments and/or who are excluded from statutory payments under the LAR 2008. However, the payment of compensation under the LAR 2013 is permitted only for development projects that are designated as ‘specified projects’ by the Ministry of Lands. The CSIAP so far has not been designated the ‘specified project’ status to date and hence the provisions contained in this regulation would not apply for the Project. 34 State Lands Act No. 13 of 1949 This Act provides for the grant and disposition of state lands in Sri Lanka; for the management and control of such lands and the foreshore; for the regulation of the use of the water of lakes and public streams; and for other matters incidental to or connected with the matters aforesaid. This Act comprises of 14 parts. Section 51 stipulates that title to state reservations cannot be acquired by possession or usage. Section 53 exempts state from liability to pay compensation for improvements effected on reservations. It states that no person shall be entitled to any compensation from the state in respect of any improvements effected at any time after the commencement of this Ordinance on any State land reservation; nor shall any claim for any such compensation be at any time entertained by any court. Section 54 provides for summary ejectment of offenders in unlawful possession of state reservations. Section 103 of the State Lands Act provides that no person can by possession or user of land acquire any prescriptive title against the Crown if such land is (a) after the commencement of the ordinance declared to be the property of the crown under the Land Settlement Ordinance, or (b) after such date acquired by the Crown under the LAA, or (c) after such date resumed by the crown under the Land Redemption Ordinance and has at any time prior to or after the declaration, acquisition or redemption been land marked with boundary marks by or under the authority of the Surveyor General. State Lands (Recovery of Possession) Act No. 7 of 1979 The provisions for the recovery of possession of State lands from persons in unauthorized possession or occupation thereof are contained in the State Lands (Recovery of Possession) Act No. 7 of 1979. Further Section 10 stipulates that no appeal is maintainable against an order of eviction by a Magistrate. Section 13 provides for reasonable compensation for the damage sustained by reason of his having been compelled to deliver up possession of such land. While provisions under this Act will apply for the CSIAP, under no circumstances will there be forced eviction under the Project, irrespective of the status of land ownership. Land Development Ordinance No. 19 of 1935 This Ordinance deals with the systematic development and alienation of Crown Land of Ceylon and comprises 12 chapters. Chapter 7 of the Land Development Ordinance (LDO) sets out the procedure for cancellation of a state land given on a permit or grant for non-compliance of the conditions of permit. Section 106 gives notice to permit holder where there has been a breach of the condition of permit. If a person failed to appear before the inquiring officer, provision has been made under Section 109 of the said Ordinance to cancel the permit. Section 110 lays down the procedure where permit holder appears and shows cause for the failure to develop the land as per provision of the permit given to him. Section 112 prescribes the order of Government Agent to be served on the permit holder and to be posted on land. Section 113 provides for an appeal to the Land Commissioner against the order of the Government Agent. The procedure for ejectment (eviction) of a person in occupation of a state land given on a grant is spelt out in Chapter 9 of the LDO. Section 168 of the LDO stipulates the offences in regard to state land. It says that if any person without the permission of the Government Agent clears or breaks up for cultivation any 35 state land or erects any building or structure on any state land, fells any trees standing on such land or otherwise encroaches on such land is guilty of an offence and subject to fine and imprisonment. Thus, the rights of a mala fide possessor are not recognised for compensation for improvement under the laws of Sri Lanka. Notwithstanding the above provisions relating to reservations on state lands and recovery of state lands, no person affected by the Project will be ejected from his/her residence or business irrespective of his/her status without, if eligible, being provided with appropriate RR&R assistance as spelt out in the EM provided in this RPF. Prescription Ordinance No. 22 of 1971 This is an Ordinance to confirm rights on people through a legal process who had unencumbered possession of private lands for over 10 years. However, under Section 15 of the Prescription Ordinance, prescription does not run against the State. Prescription Ordinance No 22 of 1971 made express provision with respect to the means by which a person may acquire the ownership of a block of land through the peaceable and uninterrupted possession of it for a period of ten years. Section 3 of the Ordinance provides as follows: “Proof of the undisturbed and uninterrupted possession by a defendant in any action, or by those under whom he claims, of lands or immovable property, by a title adverse to or independent of that of the claimant or plaintiff for ten years previous to the bringing of such action, shall entitle the defendant to a decree in his favor with costs.” Law of Compensation for Improvements A person who enjoys possession can be either bona fide or mala fide. A mala fide possessor is one who knows that the land is not his property and that his possession is unlawful. The rights and remedies of a mala fide possessor in respect of improvements differ from that of a bona fide possessor. The general rule is that a mala fide possessor is not entitled to compensation for useful improvements. Thus, Sri Lanka’s laws such as the Land Development Ordinance do not recognise the right to compensation for improvements done by a mala fide possessor or occupier of a state reservation. Notwithstanding these legal provisions, the Entitlement Matrix provides for extending appropriate R&R assistance to the eligible residential and commercial non-title holders, who may be legally classified as mala fide possessors of state land. This means, the affected mala fide possessors of state land, that are affected by the Project shall not be evicted under law without being provided with R&R benefits as per this RPF. Temple and Devalagam Act This Act deals with lands donated to the temples and Devalas (Places of religious significance) by rulers under a deed of dedication, sometimes by ‘Sannasas’ (Order) for the maintenance of such institutions. “Rights of the custodian of temples and devalas for the receipt of compensation in the event of land acquisition for public purposes are spelt out in this Act in addition to the other provisions. 36 World Bank Social Safeguards Polices The RPF seeks to ensure a due diligence process to avoid exacerbating social tensions and to guarantee unfailing treatment of social issues across all development interventions. All projects funded by the WB must comply with the Bank’s social safeguards. Specifically, to avoid or reduce the adverse effects of developmental projects, the WB has two social safeguard policies: - OP/BP 4.10: Indigenous Peoples - OP/BP 4.12: Involuntary Resettlement In the context of this project, the World Bank’s OP/BP 4.10 does not apply since there is no information indicating there are indigenous people in Sri Lanka that would be affected by the project interventions. OP/BP 4.12 on Involuntary Resettlement is however applicable to the Project. In particular, OP/BP 4.12 on Involuntary Resettlement is one of the most important safeguards guiding land acquisition and related resettlement or compensation issues associated with the project. Involuntary Resettlement Policy (OP/BP 4.12) Involuntary resettlement covers situations where there are risks and impacts associated with loss of land, other assets, livelihood, or standard of living. The World Bank operational policies seek to: (a) avoid where feasible or minimize involuntary resettlement, exploring all viable alternative project designs; (b) if not feasible, carry out resettlement activities as sustainable development programmes that provide sufficient resources to enable displaced persons to share in project benefits; (c) ensure that the displaced persons are informed about their options and rights pertaining to resettlement; (d) meaningfully consult the displaced persons and provide them with opportunities to participate in the planning and implementation of resettlement programmes; (e) assist the displaced persons in their efforts to improve their standards of living or at least to restore them to pre-displacement levels or to levels prevailing prior to the beginning of project implementation, whichever is higher. In situations where there are risks and impacts associated with the aforementioned losses, the Bank requires that the borrower prepares a Resettlement Plan or a Resettlement Policy Framework (RPF). The RPF, for projects of this nature where the sub-projects that have not been fully prepared could potentially have a negative effect on people’s assets and livelihoods. Since some components and sub-components of the project are likely to involve land acquisition and/or involuntary resettlement, a decision has been taken to adopt a framework approach for the management of social impacts under this Project. Accordingly, this RPF, sets out principles for safeguards management; procedures to screen and assess social impacts and prepare Resettlement Action Plan (RAP) or Abbreviated Resettlement Action Plan (A- RAP) to mitigate the same; lays down entitlements with eligibility criteria for providing compensation and resettlement benefits; implementation arrangements necessary to implement the action plans to mitigate impacts; and a monitoring framework. The required measures to address the impacts resulting from involuntary taking of land including: ensuring that the affected persons are informed about their options and rights pertaining to resettlement; consulted on and provided with technically and economically feasible resettlement alternatives and 37 provided compensation at full replacement cost. Where the impacts include physical relocation, the RPF includes measures to ensure that the displaced persons are provided moving allowances and provided with residential housing. The policy also states that in cases where impacts on the entire displaced population are minor, or fewer than 200 people are displaced, an abbreviated resettlement plan (A-RAP) may be agreed with the borrower. Impacts are considered “minor” if the affected people are not physically displaced and less than 10 per cent of their productive assets are lost. Gap Analysis of National and World Bank Safeguard Requirements Sri Lanka has a complex legal system to manage land acquisition and regulate land use. It has an advanced system for valuation of properties, both in specialised and non-specialised categories involving different methods as mentioned earlier in this chapter. The existing legal provisions come close to meeting the WB’s safeguard requirements in respect of land acquisition and involuntary resettlement. Specifically, the GOSL’s NIRP and the LAR of 2008 and 2013 seek to address gaps thus bringing the process cl oser to the Bank’s safeguards polices. However, the NIRP while being largely consistent with OP 4.12, is nevertheless a statement of policy intention without specific rules and prescriptions to guide safeguards implementation. In this context, this RPF provides an Entitlement Matrix and specific guidelines to address risks associated with involuntary resettlement in compliance with the Bank OP 4.11 and 4.12. Whereas the LAA will remain the main legal procedure for acquiring any private land required for the project, the APs and households will receive eligible compensation and resettlement benefits as per the EM given in this RPF irrespective of their title or occupancy status prior to losing shelter, business, assets, and incomes due to this Project. As per the LAA, the Ministry of Land is responsible for undertaking land acquisition, through the acquisition officers appointed by the Minister of Lands and published in the Government Gazette for information of the public. All Divisional Secretaries are ex-officio Acquisition Officers, whereas the Valuation Department is responsible for valuation. The law stipulates compensation only for the affected persons who are in possession of valid titles and such titles registered in the respective Land Registries. It does not recognise the rights of those, such as squatters, who do not possess legal title to the lands they live in or make a living from. There is thus no provision to mitigate the adverse impacts they suffer under the LAA. However, the Entitlement Matrix (EM) provided in this RPF offers compensation and Resettlement and Rehabilitation (R&R) assistance to the affected squatters as well. The LAA provides for compensation for lands, other fixed assets built and grown on them (structures, trees and orchards and crops), and for the loss of income for those who can prove their income losses by documentary evidence up to a maximum of average net profit for the three years immediately preceding the publication of Section 7 Notice under LAA. The LAR 2008 has introduced provisions for loss of income and other impacts that can be compensated on furnishing of other evidence in lieu of documentary evidence in proof of payment of income tax by the Affected Persons. The 2008 regulations however do not cover people who cannot produce evidence to claim compensation for loss of income. In addition to 38 offering compensation and R&R assistance to people who experience loss of income, regardless of their ability to provide evidence or not (as provided in the EM), the RPF also includes measures for restoring livelihoods of the affected persons. Table 3 below presents gaps between national regulations and World Bank’s policy requirements, and measures that will be taken to address these gaps. Table 3: Gaps between National Regulations and World Bank’s Safeguards Policy Requirements World Bank’s OP/BP National Laws/Policies Measures to bridge the gap 4.12 Involuntary LAA: Discourages unnecessary acquisition and No difference between OP 4.12 and NIRP on resettlement should be requires that the land should be used for the purpose this principle avoided wherever for which it is acquired possible and minimized NIRP: Involuntary resettlement should be avoided or by exploring project reduced as much as possible by reviewing and design alternatives alternatives to the project as well as alternatives within the project. Early screening to LAA: No stipulation for the identification of affected During project preparation, early identification identify social impacts people through initial baseline survey. of potential impacts will be carried out through and risks; Survey/ social screening, and Social Impact Assessment census of displaced NIRP: comprehensive Resettlement Action Plan is will be carried out to assess precise impacts to persons to determine required if 20 or more families are affected. If less scope of resettlement than 20 families, are affected, the policy still applies assess physical and economic displacement as planning but a plan can be prepared to a lesser level of detail. well as other types of permanent and temporary impacts carried out prior to site possession and start of civil works Carry out free, prior LAA: Consultation with affected population is not Consultations will be a be a continuous process and informed required at all stages of the project cycle such as design consultation NIRP: Affected persons should be fully involved in stage, implementation and post implementation phase including monitoring selection of relocation sites, livelihood compensation phase. and development options at the earliest opportunity; resettlement should be planned and implemented with full participation of provincial and local authorities; to assist those affected to be economically and socially integrated into host communities, participatory measures should be designed and implemented Public disclosure LAA: Statutorily imposes all communication to be This RPF and the CSIAP component/sub- requirements public announced through legal notifications in print component specific RAPs will be disclosed in- media, and through GN Officers; No stipulation country and available at a place accessible to regarding disclosure of RAP displaced persons and local NGOs, in a form, manner, and language that are understandable NIRP: If the project is subject to an IEE or EIA, the to them. In addition, the RPF and the individual report should be available for the information for RAPs will also be made available to the public public comments; no stipulation regarding disclosure through InfoShop after they have been of RAP reviewed and cleared by the Bank. Establishment of LAA: Provisions for formal appeals in the country’s GRC will be established at the local level where Grievance Redress legal system project will be implemented and also at the Mechanism to receive Project level to address grievances that are escalated to higher levels. Information about and facilitate resolution of 39 World Bank’s OP/BP National Laws/Policies Measures to bridge the gap 4.12 complaints and NIRP: To make all affected people aware of processes GRM will be widely disseminated, and a system grievances available for redress of grievances that are easily for tracking complaints will be established. accessible and immediately responsive Improve or at least NIRP: The livelihoods of the displaced persons should No difference between OP 4.12 and NIRP on restore the livelihoods be reestablished and the standard of living this principle. The RPF includes measures, of all displaced improved,no impoverishment of people shall result including monitoring framework, for ensuring persons in real terms as a consequence of compulsory land acquisition for that the livelihoods of affected persons is relative to pre-project development purposes by the State levels improved or at least restored LAR 2008: Transition period considered, and provides expenses for finding alternative accommodation and other payments for disturbances Eligibility of non- LAA: Only titleholders and tenants protected under The NIRP broadly concurs with WB on the titleholders to the Rent Act 1972 are eligible for compensation issue, though less explicitly. The process for resettlement assistance NIRP: Affected people who do not have documented verification of impacts and establishing the title to land should receive fair and just treatment eligibility of different categories of APs and compensation for (including non-titled APs) is outlined in the RPF. losses of non-land The EM provides for compensation to all assets affected persons whether physically or economically displaced irrespective of their legal status. The date of the census survey and the notification of Section 2 of the LAA will be considered as the cutoff date and affected persons listed on the cut-off-date will be eligible for assistance regardless of their ownership Preparation of NIRP: The Project Executing Agencies (PEAs) will be NIRP and WB policy do not differ on this resettlement plan responsible for complying with all the requirements though NIRP mentions these under different focusing on for planning and implementing resettlement headings. The RPF for the Project is prepared in displaced persons’ according to the NIRP; PEAs that have significant accordance with WB’s OP 4.12 which provides entitlements, income resettlement in their projects will establish and livelihood Resettlement Units with adequately trained staff; a clear guidelines on the structure/outline of restoration strategy, system of internal monitoring should be established RAP/A-RAP institutional by PEAs to monitor implementation of Resettlement arrangements, Action Plans, including budget, schedule and delivery monitoring and of entitlements, consultation, grievances and reporting framework, benefits; a further system of external monitoring and budget and timebound evaluation implementation by an independent party should be established to schedule assess the overall outcome of resettlement activities Payment of NIRP: Replacement land should be an option for NIRP does not mention that compensation and compensation at compensation in the case of loss of land; in the entitlements are to be paid or provided before replacement cost, absence of replacement land, cash compensation physical or economic displacement. and provide other should be an option for all APs; Compensation for The RPF provides for a census survey and an resettlement loss of land, structures, other assets and income inventory of income and livelihood losses; it entitlements before should be based on full replacement cost and should also provides for compensation as per the EM physical or economic be paid promptly. This should include transaction for both physically and economically affected displacement. costs persons, prior to displacement. LAR 2008: Provides for valuation at replacement cost The RPF and EM requires compensation for the loss of land and other assets, including for any improvements on the land, will be at full replacement cost. 40 World Bank’s OP/BP National Laws/Policies Measures to bridge the gap 4.12 Implement measures NIRP: Resettlement should be planned as a No difference between OP 4.12 and NIRP on to minimize and development activity for the affected people; this principle. Measures are included in RPF for mitigate adverse Vulnerable groups should be identified and given minimizing impacts as well as targeted economic and social appropriate assistance to substantially improve their approaches for maximizing participation and impacts, particularly living standards; Gender equality and equity should upon poor and be ensured and adhered to. benefits for women, poor and vulnerable vulnerable groups. groups Monitor and assess NIRP: Provisions related to internal RPF has detailed provision for a monitoring resettlement monitoring and external monitoring and evaluation; system. The PMU as well as the DPD offices outcomes, their monitoring and evaluation reports should be responsible for implementing the project will impacts on the reviewed by PEA, CEA and Ministry of Land be responsible for monitoring implementation standards of living of Development displaced persons (MLD) and action taken to make improvements of resettlement plans and internal monitoring, and whether where indicated; Affected persons and other and verification by external monitors is also objectives are stakeholders should be provided for. The RPF also details the process achieved by taking into consulted in monitoring and evaluation. for continuous monitoring and reporting of account baseline resettlement activities. conditions and results of resettlement monitoring. 41 7. Resettlement Planning Screening, Identification and Categorization of Impacts The DPD offices at the provincial or the district levels will carry out the screening of subprojects for assessing their potential involuntary resettlement impacts using the Sample Social Screening Checklist given in Annex II. The screening and categorization of impact on involuntary resettlement will be initiated by the concerned DPD offices, either with its own social specialists and other relevant staff or, if there are no such skills, with the help of external consultants. Accordingly, the social screening reports will be prepared and submitted to the PMU for clearance. The Social Specialist at the PMU will finally endorse the social screening and safeguard categorisation of the proposed sub-project. Social Impact Assessment If the Social Screening indicates that the sub-project will lead to adverse social impacts arising from land acquisition, the PMU or the DPD offices will carry out the SIA including 100% census survey of affected households (Sample Questionnaire for Census Survey is included in Annex III). The PMU or the DPD offices can do this with their own staff or through consultants depending on the expertise needed, nature, type, urgency and scale of the assignment. For large works, external consultants may be hired (Annex IV includes a Sample ToR for conducting SIA and resettlement planning). The SIA will provide information on loss and damage suffered by individuals or families, and communities, impact on women and vulnerable communities. Preparation of Mitigation Measures Based on the broader impact assessment depicted above, a safeguards management plan will be prepared for the potential interventions of Component 1 and 2. Specifically, measures for addressing and mitigating non-land related social impacts will be included in the Social Impact Mitigation Plan (SIMP) as mentioned in the accompanying EAMF prepared for the Project. For land-related impacts, whether in the form of physical displacement or economic displacement, a sub-project specific Abbreviated Resettlement Action Plan (A-RAP) or a full Resettlement Action Plan (RAP) will be prepared based on the level of impacts as identified in Table 4 below. Refer to Annex V for RAP and Annex VI for A-RAP. 42 Table 4: Type of Social Safeguard Documents Required for the Project Coverage of Negative Social Impacts Type of Documents Required Sub-projects with no impacts SSR, and SIMP For sub-projects with minor impacts, including: - Affect (displacement of) less than 200 individuals; - Do not lead to any physical displacement; and SSR, SIA, SIMP, and Abbreviated RAP (Outline of an - Affected persons lose less than 10% of their productive (income- Abbreviated Resettlement Action Plan is provided in generating) assets Annex VI). For sub-projects with significant impacts, including: - Affect (displacement of) more than 200 individuals; - Cause physical displacement; and SSR, SIA, census survey, RAP with R&R assistance - Lead to affected persons losing more than 10% of their productive and income restoration measures (Outline of the assets Resettlement Action Plan is shown in Annex V), SIMP All steps will be taken to ensure that the project affected people and households are: (a) kept informed of the compensation policies and resettlement options, (b) consulted meaningfully, (c) compensation paid at full replacement cost and promptly. Procedures for Land Acquisition To the extent possible, the project will avoid private land acquisitions, and any targeted constructions, expansions and development of project facilities will be confined to government/state lands. However, the extent of land requirements will be known only during the intervention design stage of Component 1 and 2. As such, the project will have the following four options for taking the possession of land for sub- component interventions (Table 5). Table 5: Land use options for subproject implementation Land Taking Options Estimated amount and procedures This is the main method to obtain lands for project investment it is expected around 90% of the land requirement will be covered through this option. Such land vested with the Divisional Secretary or any other State agency can be Use of Government/State transferred to the Project Implementing Agency through a memorandum of Lands understanding/legal land transfer agreement. Acquire private land through If government land is not available, private land can be acquired for a public LAA purpose though government’s land acquisition procedure prescribed in LAA. Past project experience shows that this is viable strategy to obtain small plots of land in rural areas to widen /improve agriculture roads and irrigation Voluntary land donations infrastructure development etc. Procedure for Utilizing State-owned Land Utilization of state - owned land will be in accordance with the State Lands Act No 13 of 1949. This Act deals with the provision for the grant and disposal of State lands in Sri Lanka; for the management and control of such lands and the foreshore; for the regulation of the use of the water of lakes and public 43 streams; and for other matters incidental to or connected with the matters aforesaid. Section 53 exempts State from liability to pay compensation for improvements effected on reservations. However, the social screening checklist will be administered to ensure that the land to be utilized is free of encumbrances (i.e., there are no squatters and encroachers). If some encumbrances are found, a Social Impact Assessment will be carried out and the concerned individuals will be provided with assistance and compensation as presented in the Entitlement Matrix of this RPF (Annex I). Procedure for Voluntary Land Donation The experience from previous rural sector, local government and CDD projects suggest that small plots of lands were largely made available through voluntary donations or from government owned lands where the public agency is prepared to transfer such small lands to the community organizations (e.g. donation of private and transfer of public lands for rural roads, small irrigation system development, local market complexes, rural water supply schemes were the common methods adopted for obtaining small land plots under Gemidiriya project, Reawakening Project, and NELSIP). Although project does not encourage voluntary donations in principle, the community based organizations, farmer producer organizations and other local institutions participating in project activities have the right to accept or decline voluntary land donations from beneficiaries. In case of voluntary land donation, the Project will ensure the following: • The land to be obtained through voluntary donation is free of any structures or assets • The land size will be a small area (less than 10% of total land owned by individual owner) that its donation does not negatively impact on the livelihood of the owner • The voluntary nature of donation will be fully and independently verified • Impact on donor household will be marginal, i.e., it will not involve more than 10 percent of the land holding and there will be no physical relocation • The land is unencumbered of squatters, tenants, sharecroppers or any other dependents and conflicting claims • The remaining assets of the household donating land will be economically viable to ensure livelihood and shelter • That a local/community level grievance redressal system is available • The land will be transferred in the name of the recipient institution through a legal process The community based mitigation measures will be acceptable and a consent letter from the land owner will be obtained granting permission for the use of the land for project activities, and a legal contract will be instituted which would include details of the land being donated; formal consent of the land owner/interested parties, and the witnesses. Template for legal agreement on land donation is provided in Annex VII. The DPD offices at the provincial or district levels will be responsible for ensuring that the above conditions regarding land donation are fulfilled by visiting the sub-project site, consult land donors, and other local stakeholders to verify that the donation is marginal and that it was not coerced. 44 Procedure for Private Land Acquisition Acquisition of privately owned land will be in accordance with the Land Acquisition Act (LAA) No 9 of 1950, Land Acquisition Regulations of 2008, the National Involuntary Resettlement Policy (NIRP) of 2001 and the World Bank’s OP/BP 4.12. The key steps in land acquisition and resettlement planning will include: social screening, SIA, announcement of cut-off date, inventory and valuation, determining eligibility and entitlements, consultation and disclosure of findings, preparation of resettlement instruments (abbreviated or full resettlement action plan), consultation and finalisation of the RAPs, development of resettlement sites, disclosure of the final RAP (impacts, entitlements, implementation agencies and schedule, list of eligible APs, grievance redress mechanisms (GRMs), initiation of the land acquisition process; disbursement of compensation and the Rehabilitation, Reconstruction & Resettlement entitlements, relocation planning and actual relocation, resolution of grievances if any, site clearance, site handover to contractor for civil works; post resettlement support measures, monitoring and evaluation. The A-RAPs and RAPs prepared will be submitted to the World Bank for clearance, and disclosed in- country and World Bank’s external website. 45 8. Consultation, Participation and Grievance Redress Mechanism Several rounds of consultations were carried out during the preparation of this RPF, including a national- level consultation held on 21 June 2018 and another held at the local level, the Anuradhapura District hotspot area, on 18 January 2018 (see Annex VIII for details). Beside these, consultation with the affected parties will be carried at the beginning of a participatory process for designing and implementation of component specific interventions. These will be organized in different forms, such as organising public meetings, holding focus group discussions or carrying out household surveys or even having direct one to one consultations. Project-level Consultation Strategy Thus far, project-level consultation strategy has included consultations with the local farming communities, provincial authorities, divisional level authorities, national level authorities and political authorities. Observation visits were made to selected villages that are dependent on village tank cascades to obtain an initial feedback and gain an understanding of the system. A visit was also undertaken in August 2017 to a cascade system that has been rehabilitated recently with assistance from UNDP/IUCN (Kapiriggama cascade consisting of 18 small tanks in Kallanchiya, off Rambewa, Anuradhapura district). In November 2017, another community consultation was held with farmer organizations in one Agrarian Service Centre at Tirappane, Anuradhapura where the divisional and village level officers also participated. A visit to minor irrigation tanks was undertaken in the company of farmer leaders. In addition, two additional consultations were held at the provincial level with senior officials. Furthermore, several consultations were conducted with the officials of the Department of Agriculture at its head office in Kandy. Several consultations with the relevant Ministries (in particular, Agriculture, Irrigation, Disaster Management), research institutes such as IWMI and the Faculty of Agriculture of Peradeniya University. The community or stakeholder engagement strategy will be further developed by stakeholder mapping and needs assessment, it would focus on full transparency through a periodic release of information on the status of projects (Table 6). This would allow the CSIAP to deal with issues proactively. Specifically, stakeholder mapping will be undertaken taking the relative power dimension of various actors and players into account. Approach to stakeholder identification and analysis is summarised below. 46 Table 6 Identification of Stakeholders Broad Sub Category Types of Individuals Category Those who Those involved in project Ministry of Agriculture (MOA), Ministry of Irrigation and Water Resource affect the delivery Management (MIWRM), Department of Agriculture (DOA), Department of project Agrarian Development (DAD), Irrigation Department (ID), the Project Management Unit (PMU) established under the MOA, a Deputy Project Directors Office (DPD Office) established under MIWRM, DOA, DAD & ID, Provincial DPD Offices setup under each province, and District Units of the DPD Office established under the District Secretary. Those who Directly affected, potentially Smallholder farmers, producer organizations, productive alliances, and are affected, directly or agribusiness entrepreneurs. affected by indirectly depending on the the project context Those Who Environmental and Social Campaigning organizations; National non-government organisations, international may be non-government organisations, business community organisations/federations, academics and researchers, Interested media, potential clients and users of future projects A carefully planned consultation and participation process needs to be formed with the stakeholders thereafter, agreeing on an information dissemination strategy. Furthermore, a platform will be created in order to engage the public and various interest groups to inform the approach to be adopted for the specific interventions and address sensitive issues. Consultations and Participation Relating to Resettlement Planning Consultation is mandatory for the resettlement planning, including drawing up plans for mitigation of impacts including resettlement of APs. The draft RPF prepared by the Ministry of Agriculture was the focus of consultation held on 18 June 2018 at the Office of the Chief Secretary, North-Central Province, where the initial community consultations had also been carried out. This meeting was attended by relevant senior officials of the District Secretariat, the Department of Agrarian Development, and the Provincial Council, as well as the divisional level officers of the selected pilot project areas. Prior to finalizing the draft RPF, another round of consultation was held in Colombo at a national level workshop on 21 June where the participants included representatives from MoA, NPD, MNPEA, Ministry of Sports, NCP, Department of Agriculture, MSPCLG, etc. During the consultations, the description of the Project as well as key social safeguard issues such as negative impacts on productive assets such as land, irrigation structures, land uses, income and livelihood, access to services of the offices located in Agrarian Service Centres, farmer groups, gender, institutional roles and responsibilities, mitigation measures, resettlement and resettlement assistance, compensation, eligibility, grievance redress mechanism, and other concerns such as social data, documentation, capacity building and reporting mechanisms, were covered. Overall, the participants agreed that it is much better to have a framework in place to facilitate identification of social issues, involve and consult people and prepare for addressing social safeguard needs in a systematic way. The need for capacity building was endorsed whilst emphasizing on the need for additional resources in the divisional offices of the pilot 47 areas and the adoption of simple and people-friendly systems and procedures that will facilitate solving the village problems within the village itself as much as possible (Highlights of the consultation provided in Annex VIII). Based on this RPF, instrument specific RAPs will be prepared following a series of consultations held with stakeholders including other GOSL Ministries, agencies and departments involved in the implementation of specific interventions. Consultations will be driven by the recognition of the unique social, cultural and institutional context of each instrument. As mentioned in Table 6 above, the interventions may have multiple stakeholders who have diverse and sometimes conflicting interests. Any stakeholder consultation will therefore adopt the principles of transparency, participation, equity, consultation, social learning, local knowledge incorporation, integration and collaboration. Under this project, the PMU and the DPD offices, will ensure stakeholder consultation and engagement throughout the project cycle. APs will be fully informed of their rights and responsibilities from the very beginning of the process to achieve transparency and understanding between the APs and the project implementers. Consultation and participation will be ensured at the different stages of the project and the specific activities undertaken are presented in Table 7. Table 7: Consultation Activities for Various Stages in Project/Instrument Cycle Project Stage Consultation Activities - Identify project stakeholders (primary and secondary); Project/Instrument - Involve stakeholders in the consultation process; identification - Organise information material and plans for dissemination stage - Organise and document public meetings; and - Identify needs for a social programme if Involuntary Resettlement impacts to be expected. - Convene and record meetings with potential displaced persons and/or potential host Project/Instrument population; Planning and - Consultations with APs on relocation alternatives and income restoration options; Designing Stage - Involve APs in assessing project impacts; - Institutionalise a participatory framework for compensation, income restoration and resettlement; - Obtain inputs from potential displaced persons, hosts, CBOs on selection and development of resettlement sites; - Establish Grievance Redress Committee (GRC) procedures, representatives of APs; - Involve potential displaced persons to Review Participatory Mechanisms given in the Resettlement Plan. - Organise participation of the potential displaced persons in implementation of the Implementation Resettlement Plan; Stage - Involve CBOs and other suitable institutions in resettlement efforts; - Support from CBOs and Stakeholders/Private Sector in livelihood and income restoration efforts; - Involve APs in decision-making committees; - Ensure that GRC procedure is functional; and - Involve APs in monitoring and evaluation. 48 In order to achieve the goals of ensuring free, prior and informed consultation, information relating to the project will be made accessible and understandable and where necessary, information will be translated into the preferred languages of the affected population. These activities relating to consultation and participation aim at obtaining stakeholder cooperation and community engagement throughout the life cycle of an instrument where both primary and secondary stakeholders have opportunities to meaningfully contribute to the development process. Grievance Redress Mechanisms The project will establish a Grievance Redress Mechanism (GRM), which will be transparent, objective and unbiased to address any issues or grievances related to both environmental and social safeguards. The GRM will operate at three different levels. The lowest level of the GRM is at the district level where the District Unit of the Deputy Project Directors Office (DPD Office) will keep a feedback register and receive complaints, comments or suggestions from the public, civil society representatives, farmers and local level stakeholders. The middle tier will operate at a provincial level DPD Office. This second tier of GRM will seek to resolve an issue quickly and transparently out of courts in order to facilitate activities to move forward. It will respond to grievances brought to their notice by the general public, social audit committees, farmer producer organizations and other stakeholders. All grievances received will be entered in a dedicated database and updated regularly at the PMU level. A database will include information on the date of receipt of grievance, type of grievance and resolution and the date of resolution. The GRM will be monitored regularly, as it provides feedback on the functioning of the project interventions. The PMUs will submit regular progress reports on the number of grievances received and resolved by different participating institutions as part of the overall safeguards monitoring of the project. 49 9. Implementation and Monitoring Arrangements Overall Implementation Arrangement of the CSIAP The key design features incorporated in the institutional and implementation model include: multi- stakeholder approach - different stakeholders involved in the field of climate resilient irrigation and agriculture are expected to contribute to project implementation from national to sub-national levels; coordinated approach - stakeholders are expected to share knowledge and resources in collaborative manner at each level; citizen engagement - local small holder farmers, medium sized agribusiness owners, common interest groups, producer organizations, individual entrepreneurs and their customers will be involved in the planning & implementation of project activities, along with government counterparts, NGOs, academia and private sector. Overall project implementation is the responsibility of the Ministry of Agriculture (MOA). Since, the institutional capacity of MOA is limited and special skills are required to implement the complex project activities, the project will draw expertise from the Ministry of Irrigation and Water Resource Management (MIWRM), the Department of Agriculture (DOA), the Department of Agrarian Development (DAD) & the Irrigation Department (ID) as well and also acquire outside expertise, including consulting services. The project is fully integrated in the GOSL administration and the implementation is designed to capitalize on existing government agencies at national, provincial, district, divisional and Grama Niladari Division levels. A Project Management Unit (PMU) will be established under Ministry of Agriculture, whereas Deputy Project Director’s Offices (DPD Offices) will be established under the Ministries of Irrigation & Water Resources Management and Ministry of Provincial Councils and Local Government. At provincial level, there will be Provincial DPD offices set up under the Chief Secretaries in Killinochchi, Kurunegala, Anuradhapura, Trincomalee, Hambantota and Monaragala Districts, and they will cover the district level activities of the respective districts. In addition, a District Unit of the DPD Office will be established under the District Secretary at the Office of the Assistant Commissioner of Agrarian Development in Puttalam, Batticaloa, Mullaitivu, Polonnaruwa and Ampara Districts to coordinate all agencies operating at district level. Implementation Arrangements for Social Safeguard Management The overall responsibility for project implementation is with the Ministry of Agriculture (MOA). Accordingly, the PMU appointed by the MoA will be responsible for overseeing the implementation, management and monitoring of safeguards issues under the project. In particular, the PMU and DPD offices’ main role will be to ensure operational compliance as per the World Bank safeguard operational polices as defined in the Project Appraisal Document, Financing Agreement, RPF, EAMF and Government policies as applicable. The preparation of sub-project specific RAPs and other safeguards instruments will be overseen by a dedicated environmental and social safeguards person within the PMU. The CSIAP will recruit a qualified 50 Social Safeguards Specialist to manage the project related social safeguards and other social development issues such as gender, citizen engagement, etc. Specifically, the Social Safeguard Specialist will be responsible for ensuring that the PMU, DPD offices, PAT, etc., responsible for the CSIAP components and sub-components follow the necessary social safeguard due diligence as well as measures adopted for enhancing positive social outcomes from the project. This will also require coordination and consultations of safeguards issues with the MoA, Irrigation and Water Resource Management (MIWRM), Department of Agriculture (DOA), Department of Agrarian Development (DAD) and Irrigation Department (ID), agencies under the Provincial Councils and other relevant public bodies or local government authorities. 51 10. Safeguards Monitoring Arrangements Sri Lanka has demonstrated good capacity for implementing and monitoring environmental and social safeguards in Bank-financed projects. Implementation capacity will be spread between the PMU, DPD Offices, Provincial DPD Offices and District Units. The Bank will also be providing capacity building training on safeguards for the above monitoring units, which will also be staffed each with a dedicated social safeguards specialist each who will be responsible for social safeguards implementation and supervision under the respective project components and sub-components in compliance with project regulations. The social safeguards specialists will have overall responsibility to coordinate and oversee implementation of the social mitigation plans stipulated in safeguards documents such as Screening Reports, DDR and RAPs. These positions have been fully costed in the project’s detailed cost tables. The monitoring and evaluation (M&E) and reporting system is integral to social safeguards. The Project will establish an M&E and reporting system to ensure the efficient and effective implementation of the project and its compliance with social safeguards. The M&E and reporting system will also ensure that proposed mitigation measures are implemented effectively to realize their intended results. The M&E system will include guidelines and terms of reference, monitoring indicators, mechanisms and methodologies, frequency, documentation and reporting arrangements. Associated cost with safeguards monitoring have been included in the project cost. Monitoring will be conducted at both internal and external levels. Internal monitoring will be carried out by the PMU, DPD Offices, Provincial DPD Offices at provincial level and District Units at district level. Internal monitoring will focus on timely execution of safeguard activities in compliance with the SMF, including the conduct of screening, impact surveys, mitigation planning, implementation of Resettlement Action Plans, if any, disclosure and consultation, grievance registration and resolution, disbursement of entitlements, gender mainstreaming activities, and citizen participation and consultation. The PMU will also establish an external monitoring process with an independent qualified consultant appointed to review and monitor the project’s compliance with safeguard measures and to identify the strategies required for strengthening the social safeguards, including social safeguards, gender mainstreaming, community participation and citizen engagement, functioning of GRMs, and socioeconomic benefits of various project interventions on poverty reduction, in particular its impact on local farmer communities and their livelihood. 52 Annex I: Entitlement Matrix (EM) Table 8 of this RPF presents the general EM that will be used to prepare project-specific RAP during implementation. The EM is governed by applicable Sri Lankan laws, regulations and the NIRP, and is in compliance with the WB’s safeguard policies. The EM offers compensation for loss of land and structure, structure loss at replacement cost, compensation including to non-title holders (squatters or encroachers) for structure loss, priority to avail shops on long-term lease for displaced shopkeepers, assistance for informal business owners, assistance for temporary loss of incomes, additional benefits for vulnerable displaced households, re-establishment of community facilities, and mitigation measures for temporary impacts. Table 8: Entitlement Matrix (EM) No. Type of Loss Application Definition of Entitled Compensation Policy Person 1. Loss of private Private land Legal titleholder(s) For titleholders: Compensation at replacement cost land Tenants/leaseholders or land-for-land where feasible, according to PAPs’ choice;4 In addition, fees, taxes, and other charges related to replacement land; For tenants/leaseholders: Assistance towards temporary accommodation for up to three months or rental assistance as per prevalent rate in the form of grant to cover up to three-month rentals, whichever is higher; Refund for rental deposit or unexpired lease from owners’ total compensation package upon submission of documentary evidence; For both: Relocation assistance (cost of shifting5 and livelihood restoration assistance); Additional compensation for vulnerable households (item 9). 2. Loss of private Private land Non-title holder(s) Compensation for lost assets and other land (informal settlers) improvements made to land at full replacement cost; Relocation assistance (cost of shifting6 and livelihood restoration assistance); Additional compensation for vulnerable households. 3. Loss of Structures Legal titleholders Replacement of affected structure/shelter with structures and on Informal settlers similar/improved facilities; shelters (e.g., government Non-title holders Provision of alternative space/ facilities for similar dwelling -owned use as at present, during period of areas/houses, land; demolition/reconstruction; kiosks, offices, Structures If reconstruction is not possible due to staff quarters, on private insufficient/unavailability of land to build: store, garage, land - New structure in the relocation area, or 4 Including option for compensation for non-viable residual portions. 5 To be provided to APs relocating to a new AP-determined site, equivalent to a day’s hire of a truck, including shifting within a 50-km radius (estimated to be LKR 8,000). 6 To be provided to APs relocating to a new AP-determined site, equivalent to a day’s hire of a truck, including shifting within a 50-km radius (estimated to be LKR 8,000). 53 No. Type of Loss Application Definition of Entitled Compensation Policy Person etc.) and other - Replacement value of structure; fixed assets Where actual loss of structure is partial and the (compound remaining portion is not viable for use, walls, tube compensation for whole structure, otherwise, wells, pumps compensation only for affected structure; shed, store Free transport facility or shifting assistance of Rs. etc.) 8,000 (one-time payment) to the new location; Right to salvage material from existing structure For tenants and non-titleholders: Compensation for structures erected by tenants/squatters and encroachers to be paid directly to these them 4. Loss of Livelihood Legal titleholder(s); Assistance for lost income for three months at net livelihood licensed vendor, average adjusted profit of the three years Tenant/leaseholder(s); immediately preceding the publication of Section 2 Non-title holder(s); of the LAA on production of tax declaration Hawkers, vendors, documents; employees of Assistance for lost income at LKR 15,000 for three commercial structure, months after the publication of Section 2 of the wage labourers LAA if books of accounts or tax declaration cannot be produced; Additional compensation for vulnerable households; Consideration for project employment; Development assistance, such as land development, credit facilities, training; Transitional allowance based on three months’ minimum wage rates 5. Temporary Livelihood Legal titleholders, Compensation for lost income at replacement cost disruption loss licensed vendors or a transitional allowance for the period of livelihood Tenants, leaseholders; disruption whichever is greater7 and Persons with non- recognisable claims (non- licensed hawkers, vendors, employees of shops, wage labour, etc.) 6. Damage Partial or Legal titleholders, Replacement cost of restoring to original or better caused to total Tenants, leaseholders; condition;9 government or damage to and Alternative sources of water made available during private permanent the construction period (if temporary disruption in property water supply service); 7 All businesses identified in the project-impacted areas (sections ready for construction) on the cut-off date will be entitled to compensation for lost income based on the tax record, or, in its absence, comparable rates from registered businesses of the same type with tax records, or for shops not qualifying under these categories (hawkers, vendors, etc.), the option of using the actual income based on survey followed by a verification of the income data based on comparable incomes in the project area. 9 The replacement cost of structures and other immovable properties will be determined on the basis of market cost of materials to build a replacement structure with an area or quality similar or better than those of the affected structure, or to repair a partially affected structure, plus the cost of transporting building materials to the construction site plus any labour and contractor’s fee. All costs to be current for the period of actual replacement. 54 No. Type of Loss Application Definition of Entitled Compensation Policy Person during structures Persons with non- Immediate replacement and restoration of construction and assets8 recognisable claims connection (if damage to connections during pipe (informal settlers) replacement/rehabilitation) 7. Temporary Temporary Legal titleholders, Replacement cost of the structure and other assets loss of or licenced vendors (or part of the structure and other assets, if structures in semi- Tenants, leaseholders; remainder is viable); the area of permanent and Shifting assistance from and back to the location; impact structures Persons with non- Right to salvage materials from structure and other or stalls and recognisable claims assets; other assets (informal settlers, non- Additional compensation for vulnerable licenced hawkers, households vendors etc.) 8. Loss or Common Local community, Restoration or replacement of access to lost temporary resources including non- facilities in areas identified in consultation with impacts on and titleholders using and affected communities and relevant authorities; common structures dependent on Provision of temporary services during resources, including land/common resources construction work to avoid inconveniences structures and service and facilities facilities roads, inner roads, places of worship, playgrounds /land, footpaths/tr ails, culverts, water points/conn ections, toilets, etc. 9. Temporary Temporary Legal titleholder; Public notice at the site informing the people acquisition adverse licenced vendor, about: work schedule, likely temporary impacts, and/or impacts of Tenant/leaseholder; signage; contact details of the officer in charge and impacts of civil civil works Non-titled; GRM; works (e.g., loss of Hawkers, vendors, Cash compensation for any assets affected (e.g., access, employees of boundary wall demolished, trees removed); damage to commercial structure, Necessary traffic management measures for property or wage labourers; facilitating mobility; land, safety Local communities Special measures to provide access for continuing hazards, trade/business impact on mobility) 9. Impacts on All impacts Vulnerable PAPs In case of income losses, vulnerable households vulnerable provided with additional 25% compensation over PAPs10 8 These could include tube wells, storage tanks, walls, fences, sheds, trees, any improvements made to land, etc. 10 Vulnerable APs consist of women-headed households, the very poor (those below the poverty line), the disabled, the elderly, landless families, and informal waste workers (including scavengers, waste pickers, and 55 No. Type of Loss Application Definition of Entitled Compensation Policy Person and above actual loss or minimum wage rate, whichever is higher; Vulnerable households given priority in project construction employment (unskilled labour) 10. Any other loss Legal titleholders, Unanticipated involuntary impacts will be not identified Tenants, leaseholders; documented and mitigated based on principles in and WB’s OP/BP 4.12 and OP/BP 4.01. Persons with non- recognisable claims (informal settlers, hawkers, vendors, employees of commercial establishments, wage labour, etc.) informal waste recyclers) whose livelihoods are dependent on informal waste-picking activities and scavenging. 56 Annex II: Sample of Social Screening Checklist 1. Name of Sub-Project: 2. Location: 3. Nature of Project: 4. Size/Scale: 5. Project Implementing Agency: 6. Description of Project Surroundings: ▪ Are there existing settlements in the project area? If yes, how many households/families?__________________________________________________________ _________________________________________________________ ▪ What is the demographics of the population (e.g., ethnicity, religion)____________________________________________________________________ _________________________________________________________ ▪ What is the ownership pattern of people in the area (e.g., squatters, titleholders, tenants)?___________________________________________________________________ _________________________________________________________ ▪ What are main sources of livelihoods? __________________________________ _________________________________________________________________ ▪ Are there any existing local organisations? _______________________________ __________________________________________________________________ ▪ Are there existing social infrastructures in the area (e.g., schools, health centres, hospitals, places of worships, roads, etc) ___________________________________________________________________________ _________________________________________________________ ▪ Are there any ongoing development projects in the area that involves civil works?_____________________________________________________________________ _________________________________________________________ ▪ Does the area have frequent visitors from outside?________________________ __________________________________________________________________ 7. Potential Impacts from the Sub-Project: Not Potential Impacts Yes No Details Known Land-Related Impacts 1 Will the sub project include any physical construction work? 2 Does the sub project include upgrading or rehabilitation of existing physical facilities? 57 Not Potential Impacts Yes No Details Known 3 Is the sub project likely to cause partially or fully damage to, or loss of housing, shops, or other resource use? 4 Is the site chosen for this work free from encumbrances and is in possession of the implementing agency? 5 If any land required for the work is privately owned, will this be purchased or obtained through voluntary donation? 6 If the Land parcel has to be acquired, is the actual plot size and ownership status known? 7 Is land for material mobilisation or transport for the civil work available within the identified work site / Right of way? Livelihoods Related Impacts 8 Are there waste workers currently operating in the site? If yes, how many, what are their backgrounds, are they registered? 9 Were there such workers who operated in the site earlier? If yes, how many, and is there any information on their current whereabouts? 10 Are there any non-titled people (Squatters) who are living/ or doing business who may be partially or fully affected because of the civil works? 11 Will there be damage to agricultural lands, standing crops, trees, etc.,? 12 Will there be any permanent or temporary loss of income and livelihoods as a result of the civil works? If so for what period? 13 Have these people/ businesses who may suffer temporary loss of incomes or livelihoods been surveyed and identified for payment of any financial assistance? 14 Will people permanently or temporarily lose access to facilities, services, or natural resources? 15 Are there any vulnerable households affected? 15 Will the affected land/structure owners likely to lose less than 10% of their land/structures area? 16 If so, are these land/structure owners willing to voluntarily donate the required land for this sub- project? 17 Will there be any impacts on cultural, community properties or facilities? 18 Will there be any other temporary impacts? please describe 19 Have measures been planned to mitigate temporary impacts including ease of access? Give details 20 Does the urban local body have its own procedures for land acquisition? Impacts from Labour Influx 21 How many workers will be needed for the sub-project, with what skill set, and for what period? 58 Not Potential Impacts Yes No Details Known 22 Can the project hire workers from the local workforce? 23 Will there be workers brought in from outside? 24 Will a camp be required to house these incoming workers? 25 Will the incoming workers be from a similar socio-economic, cultural, religious or demographic backgrounds? 26 Given the characteristics of the local community, are there any adverse impacts that may be anticipated? Estimates of Specific Impacts Private land required (sq. m) Total of households affected No. of individuals losing more than 10% of land area Government land required No. of houses affected No. of shops affected No. of utilities affected No. of workers to be brought from outside Decision on Categorisation: After reviewing the answers above, it is determined that the sub-project will have: [ ] High/substantial impacts [ ] Moderate impacts [ ] Low/No impact 59 Annex III: Sample Questionnaire for Census Survey Name of Sub Project: …………………………………………………………………………..... A. Administrative Information the affected household is located 1. DS Division 2. GN Division 3. House No: B. Details of the Landowners/Claimants 4. Name of the landowner/claimant 5. Current contact address of the landowner/claimant 6. National Identity Card No. (only for individuals) 7. Contact Telephone No/s 8. Email address C. Details of the land identified for purchase/acquisition 9. Name of the land 10. Lot No/s 11. Type of title document in possession of 11.1 Deed 11.2. Permit 11.3 Other 11.4 None the landowner/claimant (specify) 12. Registered No. of the deed/permit/other document 13. If no documents are available, any reason for missing documents 14. Type of ownership of the land 14.1 Single 14.2 Joint 14.3 Company 15. Who are the joint owners of the land 15.1 Spouse 15.2 Children 15.3 Siblings 15.4 Parents 15.5 Others (specify) 16. How was the ownership transferred to 16.1 Inherited from family 16.2 Bought by self 16.3 Other (specify) present owners/claimants 17. Total extent of the land owned by the Perches: landowner/s in the same location identified for purchase/acquisition (use Acres: the relevant row) 18. Extent of the land required for Perches: purchase/acquisition for this project Acres: (use the relevant row) 19. Proportion (%) of the land to be purchased/acquired from the total land of the landowners/claimants in the same location 60 20. Current use of land to be 19.1 19.2 19.3 19.4 19.5 19.6 Other purchased/acquired Fallow Scrubland Highland Plantations Tourism/ cultivation (Palmyrah) commercial 21. Dependents on the land to be 21.1 21.2 Tenants/ 21.3 21.4 21.5 Others purchased/acquired (write the Owners Lessees Sharecroppers Labourers (specify) numbers) /employees 22. Current market value of the land SLRs: D. Details of Structures situated on the land to be purchased/acquired (if any) 23. Type of structure 23.1 23.2 Commercial 23.3 23.4 23.5 Other Residential Industrial Religious (specify) 24. Exact location of the structure 24.1 Inside the land to be 24.2 In the adjacent land of the purchased/acquired owner/claimant 25. Would this structure be affected due to 25.1 Yes 25.2 No purchase/acquisition If affected, please include the following information 26. What is the degree of impact on the 26.1 Fully affected 26.2 Partially 26.3 26.4 Temporarily structure due to acquisition affected Permanently affected (Give the affected estimated proportion) 27. Condition of the structure 27.1 Fully 27.2 Partially completed 27.3 Temporary completed 28. Floor area of the structure (sq. feet) 28.1 Less than 450 28.2 450 - 1000 28.3 More than 1,000 29. Construction materials used for the 29.1 Type of the 29.2 Type of the Floor12 29.3 Type of the Roof13 structure (insert the relevant code No Wales11 given in the footnote) 11 (1) Bricks; (2) Wood; (3) Concrete; (4) Corrugated Iron sheet; (5) Other 12 (1) Floor Tiles; (2) Cement Floor; (3) Clay Floor; (4) Other 13 (1) Roof Tiles; (2) Asbestos Sheet; (3) Tin Sheet; (4) Other 61 30. Age of the structure 30.1 Less 30.2 10 – 20 years 30.3 Over 20 years than 10 years 31. Current use of the structure14 (insert the relevant code No given in the footnote) 32. Current ownership of the 32.1 32.2 Non-titleholder 32.3 Others (specify) structure Titleholder (encroacher/squatter) 33. Other persons 33.1 33.2 33.3 Labourers/ 33.4 Others associated with the Owners Tenants/Lessees employees (specify) structure (enter the No. persons in the relevant column) 34. Other Facilities 34.1 Power 34.2 Drinking 34.3 Sanitary Facilities17 34.4 Energy Supply15 Water Supply16 Source of 18 Cooking 35. Current market value of SLRs: the structure 36. Annual incomes received SLRs: by the owner/claimant from the structures (if any) E. Type of Trees & Crops grown on the land to be purchased/acquired Details Fruit-bearing Non-fruit bearing 37. Type of trees grown on the land to be purchased/acquired 38. No. of trees in each type 39. Average age of each tree type 40. Estimated value of a single tree (SLRs) 41. Annual incomes received SLRs: by the owner/claimant from the trees (if any) 42. Type of crops grown on the land to be purchased/acquired 14 (1) Residential; (2) Commercial; (3) Multiple use; (4) Abandoned; (5) Other 15 (1) CEB; (2) Solar Power; (3) Generator; (4) No Electricity 16 (1) Pipe into house; (2) Pipe into Yard or Plot; (3) Public Tap; (4) Protected Dug Well; (5) Unprotected Dug Well; (6) Rainwater Collection; (7) Other 17 (1) Public; (2) Neighbour; (3) Owned; (4) Other 18 (1) Gas Stove; (2) Kerosene Oven; (3) Electric Oven; (4) Other 62 43. Extent of the area cultivated with each crop 44. No. Seasons per year that each crop is cultivated 45. Annual yield in each crop 46. Annual incomes received SLRs: by the owner/claimant from the crops (if any) F. Other activities & facilities within the land to be purchased/acquired (if any) 47. No. Fisher Camps (Vadis) 48. No. Fishermen in fisher camps (Vadis) 49. Access roads 49.1 Yes 49.2 No 50. No. Wells (drinking/other) 51. Other activities/facilities (specify) G. Socio-economic profile of the landowner or claimant 52. Type of household 52.1 Male Headed 52.2 Women Headed 53. Composition of the 53.1 Nuclear 53.2 Extended household 54. Ethnicity 54.1 Tamil 54.2 Muslim 54.3 Sinhalese 54.4 Other 55. Family Details (Please use the code sheet to fill-up the columns) No. Name of the family 55.1 Status 55.2 Sex 55.3 55.4 Civil 55.5 Education 55.6 Primary member (start from the in the Age status source of 19 head of the family family livelihood 1 2 3 4 5 6 7 8 9 10 19 If the member is a student, please indicate it 63 56. No. persons with disabilities in the family (if any) 57. No. dependents on the landowner/claimant 58. Extent of other land 58.1 Irrigated 58.2 Non-irrigated owned by the landowner/claimant Perches Perches (outside the area for Acres Acres purchase/acquisition) 59. No. Other assets owned 59.1 Houses 59.2 59.3 Industrial units 59.4 Other by the Commercial/ (specify) landowner/claimant business units (enter the number in the relevant column) 60. Estimated annual SLRs: income of the landowner/claimant from all sources If the landowner is a Company, please obtain the following information 61. Name of the Company 62. Year of Establishment 63. Location of the Company 64. Nature of Business 65. No. Employees 66. Annual SLRs Turnover/Revenue H. Willingness of the landowner/claimant to sell/for acquisition of the land 67. Willingness of the 66.1 Willing 66.2 Not willing 66.3 Needs consent of co- 66.4 Needs landowner/claimant to owners/Board time to sell the land decide 68. Willingness of the 67.1 Willing 67.2 Not willing 67.3 Needs consent of co- 67.4 Needs landowner/claimant for owners/Board time to acquisition of the land decide 69. How would the 68.1 No impact 68.2 Marginal impact (estimated 68.3 sale/acquisition of the proportion of impact) Substantial land impact on the impact livelihoods/incomes of (estimated the owner/ claimant proportion of impact) 64 70 What kind of impacts are 70.1 Full 70.2 Partial 70.3 Full 70.4 Partial 70.5 Loss 70.6 De-valuation anticipated due to loss of loss of loss of loss of of of remaining land sale/acquisition livelihoods20 livelihoods incomes incomes property 71. If willing to sell the land, SLRs: expected price per perch 72. If acquired, cash 72.1 Land 72.2 72.3 72.4 Crops 72.5 72.6 Other (SLRs) compensation expected (SLRs) Structures Trees (SLRs) Livelihoods for affected assets (SLRs) (SLRs) (SLRs) 73. Any other resettlement 73.1 Employment 73.2 Vocational training 73.3 Assistance to re-establish assistance expected in construction affected livelihoods work 20 This can include loss of employment as well. 65 Annex IV: Sample Terms of Reference for Carrying out Social Impact Assessment and Preparing Social Safeguard Action Plans 1. Description of Project Background 2. Project Location and Activities Based on the location where selected project components will take place 3. Objective of the assignment The areas of intervention towards achieving the project development objectives of the CSIAP has identified, and the basic framework, the Resettlement Policy Framework, comprising principles, procedures, principles and guidelines to identify and assess the potential social impacts and risks, prepare mitigation plans as part of sub-project preparation, institutional arrangements and processes to be followed for the CSIAP, have been prepared. In this context, the Government of Sri Lanka intends to hire well qualified professional consultants to carry out social safeguards measures including: (a) social assessment for the Project; (b) Social Screening/Social Impact Assessment (SIA), (c) Preparation of Social Impact Mitigation Plan (SIMP) for addressing non-land related social issues and adverse impacts, and (d) If needed as per the RPF prepared under the Project, a Resettlement Action Plan or the Abbreviated Resettlement Action Plan (RAP/A-RAP). The Social Assessment will help to understand key social issues, identify risks and impacts on populations, institutional and legal settings in which social safeguard measures will be planned and implemented. Based on the Social Assessment and technical design of the sub-project intervention, a Social Screening Report (SSR) will be prepared. The SSR will help determine the need for a detailed Social Impact Assessment (SIA) and other due diligence studies like the tracer survey, social audit, asset valuation as provided for in the SMF and the RPF prepared under the Project, and prepare SIMP and RAP/A-RAP, if deemed necessary. The study will be within the context of the GoSL’s previous experience in land acquisition and involuntary resettlement management, various policies and institutions in place, and meeting the safeguard requirements of the World Bank. 4. Specific Objectives: • To carry out as a part of the Social Assessment a rapid review of social issues involved and prepare a broad-based social assessment of the project (focusing on components and likely activities), highlighting potential positive and negative impacts of the project. To review policy and acts/ regulations of GoSL and the World Bank (OP 4.12) in order to identify applicable provisions in the proposed project and suggest ways to fill any gap between the GoSL and World Bank requirements. • To understand roles and responsibilities, and assess capacity of the Country institutions involved in the Project to manage social development issues including safeguards, offer guidelines for capacity development to address any gaps. 66 • To carry out social screening for the sub-project activities to see if there could be any adverse social impacts, and, if confirmed, carry out social impact assessment and other due diligence studies (tracer survey, social audit, asset valuation, due diligence report) • To develop a Social Impact Mitigation Plan (SIMP) for the sub-project implementation, and if required a RAP/A-RAP (fulfilling requirements of the SMF and the RPF and integrating participation and social accountability guidelines). 5. Tasks: The scope of services comprises, without being limited to, the following: Task - 1: Social Assessment. This will include the following: Situation Assessment: A rapid analysis of the developmental, socio-cultural and political economic context based on information available from the government, stakeholder consultations, primary and secondary sources, and media reports relevant to the project. This analysis will briefly describe the context for the CSIAP, including the historical context (e.g. post conflict/peace dividends) for the growth of the country/region/locality, overall institutional environment, political economic aspects, and any conflict risks. Analysis of Key Social Impacts, Risks and Opportunities: This section will discuss the socioeconomic and cultural profile of the people likely to benefit/be adversely affected, their interests and levels of influence on project outcomes; positive/negative impacts on the poor/ marginalized groups; role of civil society, opportunities to engage with them for better outcomes; any conflict risks that may affect implementation. Analysis of key social risks will include likelihood of involuntary resettlement, and issues of gender equality, social inclusion and social accountability. A Stakeholder Analysis will be conducted through consultations to identify and assess the role and influence various stakeholders including the impacted people. Analysis of Legislative and Regulative Frameworks. The consultant will describe the policy context with special attention to legislations on social dimensions relevant to the Project. The consultant will also review the World Bank safeguard provisions that need to be complied with and will suggest measures to fill any gaps between the Bank and government policies. Review of Experience in Social Management. The consultant will review the country experience in LA & R&R; vulnerable community development and social accountability in key participating institutions that will be responsible for the implementation of the Project. Institutional and Capacity Assessment. The consultant will review the existing institutional mechanisms and capacity of the involved institutions for social management including the existence of units/ focal points for addressing land acquisition, resettlement and other social dimensions; their powers, functions and effectiveness. Analysis of Social Inclusion and Social Accountability. The Consultant will make an analysis of prevalent social accountability policies and practices promoting demand for ―good governance’ (DFGG) involving downward accountability and explore opportunities for strengthening DFGG/social accountability through participation of community groups, impacted people, other stakeholders, civil society organisations (CSO) in planning, implementing and monitoring the project and the municipalities’ responsiveness and efficiency in meeting people’s needs. 67 Task - 2 Social Impact Mitigation Plan (SIMP). Building on the findings and recommendations of the Social Assessment, the SIMP will include (a) findings from the social screening, socio-economic survey, stakeholder consultations, impact categories, types of losses, etc; (b) plans and mitigation measures for addressing non-land related risks; (c) measures for strengthening social inclusion and accountability; (d) specific plans and actions relating to consultations, information disclosure and grievance redressal; (e) planning, implementation and monitoring arrangements to address social development issues and risks; (f) budget and timeline for implementation of activities in the SIMP with clear identification of tasks for the contractor, supervision consultant, project implementing partners, etc. Task -3 Social Impact Assessment and Resettlement Planning The Consultant will as per the SMF and the RPF undertake social screening/SIA of the sub-project, including other relevant due diligence studies (e.g., tracer survey, social audit, asset valuation, etc). Based on the findings of these reports, prepare RAP/A-RAP, as required. The RAP/A-RAP will include, at the least: • Principles and objectives governing resettlement preparation and implementation; • Findings from the social screening, socio-economic survey, stakeholder consultations, impact categories, types of losses; • Estimation of impact categories and affected population, and guidelines for recording additional impacts • Entitlements Matrix for provisioning compensation and rehabilitation assistance for losses to assist the affected people in various categories to re-establish their living conditions including shelter and livelihoods meeting the World Bank safeguard policy and country legal requirements. • Principles and criteria relating to: cut-off date for compensation; define criteria and authority for determining eligibility for different impacted categories of people to receive LA and R&R benefits; valuing the affected land and assets, • Guidelines for site selection, site preparation and relocation of displaced households; legal arrangements for regularizing tenure; • Guidelines for post-resettlement support including housing, infrastructure and social services to the relocated people and capacity enabling them to re-establish and sustain their living conditions; • Institutional arrangements including organisational procedures for delivery of the entitlements, including responsibilities of the government and other stakeholders including NGOs in the implementation process, linking resettlement implementation to civil works; and organisational responsibilities for planning, implementing and monitoring RAPs; sequencing activities with a flow chart outlining planning and implementation process • Procedures for consultation, information disclosure and grievance redress mechanism; • Process for approving, implementing and monitoring resettlement plans, with specific timeline and budget 6. Deliverables. The deliverables will include the following: • Inception Report, including a work plan presenting the methodology for Social Assessment, SMF and SIA for Stage 1 activities as per the ToR. (9 copies). • Social Assessment Report, along with a comprehensive consultation report as Annex describing all consultations held for this assignment, explaining methodology and types, key data on type of 68 meeting, stakeholder groups met, number of participants, date, location, photographs etc; key issues discussed. • Social Impact Assessment Report, and if relevant, other due diligence reports from the tracer survey, social audit and asset valuation. • Social Impact Mitigation Plan that is approved by the PMU and cleared by the Bank • Resettlement Action Plan or an Abbreviated Resettlement Action Plan (RAP/ARAP) that is approved by the PMU and cleared by the Bank 7. Methodology. The methodologies to be followed by the consultant in this assignment include review of relevant documents & secondary information, interactions and consultations with stakeholders; and field visits and community interactions. Consultant will develop detailed methodology and work plan in the inception report, which will be discussed and agreed with the client. The Consultant should pay special attention to the safeguard policies and practices adopted by GoSL for externally funded projects. 8. Duration of the service: The time period required for this assignment is envisaged to be 4 months. 9. Qualification of Expert: The consultant/s should include a team leader and Social Development experts with experience in resettlement, community development, and social inclusion/accountability, with higher degree in Social Sciences. In particular: Team Leader: a senior specialist, with at least ten years of experience in Social Development, He/ she should have delivered Social Assessment, SMF, RAP earlier for external donor funded projects. Experience in urban resettlement, community development shall be considered an added qualification. He/she should also have proven ability to command a team and ensure targets and deadlines are met and to ensure quality of outputs meet client expectation, and demonstrated proficiency in writing and speaking in English. He/she is expected to have experience with the application of good-governance tools such like citizen/community score cards, participative monitoring and evaluation, grievance redress and complaint handling, conflict mediation, information, education, communication, etc. Social Development Specialist, with at least 5 years’ experience in the field, working with poor urban communities, organizing surveys and managing interaction with communities and civil society. Prior experience with the application of good-governance tools such like citizen/community score cards, participative monitoring and evaluation, grievance redress and complaint handling, conflict mediation, information, education and communication is a plus. Social Development Analyst, with relevant degree in social science and demonstrated proficiency in writing and speaking in English The Consultant should explain in advance, in the inception report, the team it will mobilize to deliver the above tasks, especially the Task-3, which will require census survey. 10. Estimated input of professional time: The total estimated level of effort for this assignment is estimated to be 26 staff weeks (excluding the time of surveyors). Position SA SMF SIA for Phase I 69 Team Leader 4 weeks 6 weeks 2 weeks Social Development Specialist 2 weeks 2 weeks 2 weeks Social Development Analyst 4 weeks 2 weeks 2 weeks 11. Other Information: The consultants are advised to refer to the following World Bank policies in addition to any other resources that they may deem fit: OP 4.12 Involuntary Resettlement & OP 4.11 Physical Cultural Resources. Involuntary Resettlement Sourcebook; the consultant may refer to www.worldbank.org/socialanalysissourcebook. 70 Annex V: Outline of Resettlement Action Plan (RAP) The scope and level of detail of the resettlement plan vary with the magnitude and complexity of resettlement. The plan is based on up-to-date and reliable information about (a) the proposed resettlement and its impacts on the displaced persons and other adversely affected groups, and (b) the legal issues involved in resettlement. The resettlement plan covers the elements below, as relevant. When any element is not relevant to project circumstances, it should be noted in the resettlement plan. 1. Description of the project. General description of the project and identification of the project area. 2. Potential impacts. Identification of: a) the project component or activities that give rise to resettlement; b) the zone of impact of such component or activities; c) the alternatives considered to avoid or minimize resettlement; and d) the mechanisms established to minimize resettlement, to the extent possible, during project implementation. 3. Objectives. The main objectives of the resettlement program and the Resettlement Action Plan. 4. Socioeconomic studies. The findings of socioeconomic studies to be conducted in the early stages of project preparation and with the involvement of potentially displaced people, including a) the results of a census survey covering - current occupants of the affected area to establish a basis for the design of the resettlement program and to exclude subsequent inflows of people from eligibility for compensation and resettlement assistance; - standard characteristics of displaced households, including a description of production systems, labor, and household organization; and baseline information on livelihoods (including, as relevant, production levels and income derived from both formal and informal economic activities) and standards of living (including health status) of the displaced population; - the magnitude of the expected loss--total or partial--of assets, and the extent of displacement, physical or economic; 71 - information on vulnerable groups or persons for whom special provisions may have to be made; and - provisions to update information on the displaced people's livelihoods and standards of living at regular intervals so that the latest information is available at the time of their displacement. b) Other studies describing the following - land tenure and transfer systems, including an inventory of common property natural resources from which people derive their livelihoods and sustenance, non-title-based usufruct systems (including fishing, grazing, or use of forest areas) governed by local recognized land allocation mechanisms, and any issues raised by different tenure systems in the project area; - the patterns of social interaction in the affected communities, including social networks and social support systems, and how they will be affected by the project; - public infrastructure and social services that will be affected; and - social and cultural characteristics of displaced communities, including a description of formal and informal institutions (e.g., community organizations, ritual groups, nongovernmental organizations (NGOs)) that may be relevant to the consultation strategy and to designing and implementing the resettlement activities. 5. Legal framework. The findings of an analysis of the legal framework, covering a) the scope of the power of eminent domain and the nature of compensation associated with it, in terms of both the valuation methodology and the timing of payment; b) the applicable legal and administrative procedures, including a description of the remedies available to displaced persons in the judicial process and the normal timeframe for such procedures, and any available alternative dispute resolution mechanisms that may be relevant to resettlement under the project; c) relevant law (including customary and traditional law) governing land tenure, valuation of assets and losses, compensation, and natural resource usage rights; customary personal law related to displacement; and environmental laws and social welfare legislation; d) laws and regulations relating to the agencies responsible for implementing resettlement activities; e) gaps, if any, between local laws covering eminent domain and resettlement and the Bank's resettlement policy, and the mechanisms to bridge such gaps; and f) any legal steps necessary to ensure the effective implementation of resettlement activities under the project, including, as appropriate, a process for recognizing claims to legal rights to land-- including claims that derive from customary law and traditional usage 6. Institutional Framework. The findings of an analysis of the institutional framework covering a) the identification of agencies responsible for resettlement activities and NGOs that may have a role in project implementation; 72 b) an assessment of the institutional capacity of such agencies and NGOs; and c) any steps that are proposed to enhance the institutional capacity of agencies and NGOs responsible for resettlement implementation. 7. Eligibility. Definition of displaced persons and criteria for determining their eligibility for compensation and other resettlement assistance, including relevant cut-off dates. 8. Valuation of and compensation for losses. The methodology to be used in valuing losses to determine their replacement cost; and a description of the proposed types and levels of compensation under local law and such supplementary measures as are necessary to achieve replacement cost for lost assets. 9. Resettlement measures. A description of the packages of compensation and other resettlement measures that will assist each category of eligible displaced persons to achieve the objectives of the policy. In addition to being technically and economically feasible, the resettlement packages should be compatible with the cultural preferences of the displaced persons, and prepared in consultation with them. 10. Site selection, site preparation, and relocation. Alternative relocation sites considered and explanation of those selected, covering a) institutional and technical arrangements for identifying and preparing relocation sites, whether rural or urban, for which a combination of productive potential, locational advantages, and other factors is at least comparable to the advantages of the old sites, with an estimate of the time needed to acquire and transfer land and ancillary resources; b) any measures necessary to prevent land speculation or influx of ineligible persons at the selected sites; c) procedures for physical relocation under the project, including timetables for site preparation and transfer; and d) legal arrangements for regularizing tenure and transferring titles to resettlers. 11. Housing, infrastructure, and social services. Plans to provide (or to finance resettlers' provision of) housing, infrastructure (e.g., water supply, feeder roads), and social services (e.g., schools, health services); plans to ensure comparable services to host populations; any necessary site development, engineering, and architectural designs for these facilities. 12. Environmental protection and management. 73 A description of the boundaries of the relocation area; and an assessment of the environmental impacts of the proposed resettlement and measures to mitigate and manage these impacts (coordinated as appropriate with the environmental assessment of the main investment requiring the resettlement). 13. Community participation. Involvement of resettlers and host communities, a) a description of the strategy for consultation with and participation of resettlers and hosts in the design and implementation of the resettlement activities; b) a summary of the views expressed and how these views were taken into account in preparing the resettlement plan; c) a review of the resettlement alternatives presented and the choices made by displaced persons regarding options available to them, including choices related to forms of compensation and resettlement assistance, to relocating as individuals families or as parts of preexisting communities or kinship groups, to sustaining existing patterns of group organization, and to retaining access to cultural property (e.g. places of worship, pilgrimage centers, cemeteries); and d) institutionalized arrangements by which displaced people can communicate their concerns to project authorities throughout planning and implementation, and measures to ensure that such vulnerable groups as indigenous people, ethnic minorities, the landless, and women are adequately represented. 14. Integration with host populations. Measures to mitigate the impact of resettlement on any host communities, including a) consultations with host communities and local governments; b) arrangements for prompt tendering of any payment due the hosts for land or other assets provided to resettlers; c) arrangements for addressing any conflict that may arise between resettlers and host communities; and d) any measures necessary to augment services (e.g., education, water, health, and production services) in host communities to make them at least comparable to services available to resettlers. 15. Grievance procedures. Affordable and accessible procedures for third-party settlement of disputes arising from resettlement; such grievance mechanisms should take into account the availability of judicial recourse and community and traditional dispute settlement mechanisms. 16. Organizational responsibilities. The organizational framework for implementing resettlement, including identification of agencies responsible for delivery of resettlement measures and provision of services; arrangements to ensure appropriate coordination between agencies and jurisdictions involved in implementation; and any measures (including technical assistance) needed to strengthen the implementing agencies' capacity to 74 design and carry out resettlement activities; provisions for the transfer to local authorities or resettlers themselves of responsibility for managing facilities and services provided under the project and for transferring other such responsibilities from the resettlement implementing agencies, when appropriate. 17. Implementation schedule. An implementation schedule covering all resettlement activities from preparation through implementation, including target dates for the achievement of expected benefits to resettlers and hosts and terminating the various forms of assistance. The schedule should indicate how the resettlement activities are linked to the implementation of the overall project. 18. Costs and budget. Tables showing itemized cost estimates for all resettlement activities, including allowances for inflation, population growth, and other contingencies; timetables for expenditures; sources of funds; and arrangements for timely flow of funds, and funding for resettlement, if any, in areas outside the jurisdiction of the implementing agencies.6 19. Monitoring and evaluation. Arrangements for monitoring of resettlement activities by the implementing agency, supplemented by independent monitors as considered appropriate by the Bank, to ensure complete and objective information; performance monitoring indicators to measure inputs, outputs, and outcomes for resettlement activities; involvement of the displaced persons in the monitoring process; evaluation of the impact of resettlement for a reasonable period after all resettlement and related development activities have been completed; using the results of resettlement monitoring to guide subsequent implementation. 75 Annex VI: Outline of Abbreviated Resettlement Action Plan (A-RAP) An abbreviated plan will covers the following minimum elements: (a) Project Description 
 Identify Project location and its features. 
 (b) Census Survey of Displaced Persons and Valuation of Assets 
 Potential displacement due to proposed sub-project, assets lost and people from homes or livelihood, and methodology to be used in valuing losses to determine their replacement cost. (c) Legal and Regulatory Framework Describe key national acquisition, compensation, policies and donor policies, entitlements. Explain how NIRP and WB safeguard policies will be achieved. (d) Eligibility, Description of Compensation and Other Resettlement Assistance to be provided Describe the packages of compensation and other resettlement measures and other assistances that will assist each category of eligible displaced persons to achieve the objectives. 
 (e) Consultations with affected persons 
 Discuss the consultation and participation process in the light of NIRP and WB safeguard requirements, including on issues about acceptable alternatives. (f) Institutional Responsibility for Implementation and Procedures for Grievance Redress Identify main tasks and responsibilities in planning, negotiating, consulting, approving, coordinating, implementing, grievance redress, financing, monitoring and evaluation of the resettlement and rehabilitation. 
 (g) Arrangements for Monitoring and Implementation, and 
 Specify the arrangements for M&E. (h) Timetable and Budget 
 An Implementation schedule will be prepared including all resettlement activities from preparation to implementation. 76 Annex VII: Template for Legal Contract for Voluntary Land Donations The following agreement has been made on...................day of ..............between Mr./Ms ........................................................................aged ...…………...... Resident of …………. GN........................District.....................the grandson/daughter of ............................ and son/daughter of ..................................... 1. That the land with certificate no............................is a part of ...................is surrounded from eastern side by .....................................western side by ........................................ on northern side, by ................................... and southern side by .................................. 2. That the owner holds the transferable right of ............................................ (unit of land) of land/structure/asset ........................................................................ 3. That the owner testifies that the land/structure is free of squatters of encroachers and not subject to any other claims. 4. That the owner hereby voluntarily grants to the......................................this asset for the construction and development of ....................in.....................................GN/Location, .............................. supported by the Agriculture Sector Modernization Project for the benefit of the community. 5. That the owner will not claim any compensation against the grant of this asset nor obstruct the construction process on the land in case of which he/she would be subject to sanctions according to law and regulations. 6. That the PMU/MoA/MoPI agrees to accept this grant of asset for the purposes mentioned and the voluntary nature of the transfer of the asset. That the agency (name of subproject executing agency)/..........……......shall construct and develop infrastructures under the project and take all possible precautions to avoid damage to adjacent land/structure/other assets. 7. That the provisions of this agreement will come into force from the date of signing of this deed. Signature of the Owner Signature of Grama Niladhari Signature of the Divisional Secretary/ Chairperson, Local Authority Witness:1 …………………………. Witness: 2…………………………. 77 Annex VIII: Key Issues/Concerns Raised During Consultations on the RPF I. Local-Level Stakeholder Consultation held in North-Central Province Date: 18 June 2018 Venue: Chief Secretary’s Office, North-Central Province Participants: Senior Officials from the District Secretariat, Provincial Council, and Divisional Secretariats Mr. HMP Bandara, Chief Secretary, North-Central Province Mr. PB Dayarathne, Chief Secretary / Planning, North-Central Province Mr. KVS Nayananada, Director/ Planning, District Secretariat, Anuradhapura Mr. DPD Gnanasinghe, Deputy Director, Department of Agriculture, Anuradhapura Mr. KRS Rajapakse, Divisional Officer, Department of Agrarian Development Mr. PGSK Wijerathne, Divisional Officer, Department of Agrarian Development Mr. NMP Nawarathne, Development Officer, Divisional Secretariat, Horowpothana Mr. RMWD Rathnayake, Assistant Secretary/ Provincial Planning Department Mr. HMJ Herath, Director, Provincial Irrigation Department Mr. SSM Sampath Rohana, Land Commissioner, North-Central Province Mrs. WMG Wijesinghe, Director/ Accounts Department, North-Central Provincial Council Mr. HGC Ariyarathne, Development Officer, Provincial Planning Department Issues/Concerns Raised By Whom Response Provided Irrigation canal reservations have Departments of - These considerations would be taken up while during been encroached and some Irrigation, Agrarian the technical design for the irrigation canals irrigation structures such as canals Development and - Efforts will be made to avoid and minimize, and may need realignment to withstand Agriculture if not, mitigate impacts storm-water drainage - Any individual affected by the canal, regardless of their land titles will be provided compensation at replacement cost - Awareness among farmers will be prioritized and carried out regularly. Entire cascade system should be Departments of - The selected hot-spots are the key concern; the included, not selected individual Irrigation, Agrarian relevant cascade will be identified for treatment. tank rehabilitation; Water retention Development and - The schemes/structures for rehabilitation will be selected through participatory process and the basis structures in forests should be Agriculture of their suitability for cultivation rehabilitated; some of these are - To the extent possible, government land will be family owned; some technical utilized or voluntarily obtained. Private land interventions such as small bunds in acquisition will be minimized to the extent possible the catchment may require private land acquisition Catchment area cleared for Departments of - This is common in NCP where land is available. With agriculture and human settlements Irrigation, Agrarian awareness building and engaging in dialogue, many Development and issues can be resolved, and this will be emphasized during the entire project cycle Agriculture Land and agriculture is often Departments of - State land transferred to the Provincial Council is no treated as a shared responsibility Irrigation, Agrarian issue; Already joint steering committees are in place 78 and complex subjects; Need for Development and to facilitate development. coordination Agriculture, - Large scale land acquisition is not expected since Director of most civil works will be carried out within the footprints of existing structures Planning from the - District Secretaries will be included in the Project District Secretariat Steering Committee; Provincial Council has own procedures and the project procedures will be made consistent with these, to the extent possible Farmers have no titles to the land Divisional Officers - Compensation will be provided at replacement cost but only a permit; some may not of the Department regardless of the land tenure/ownership have renewed them of Agrarian - Farmers will be organized in groups and consultations will be carried out during the entire duration of the Development project. The pilot areas are far away from Divisional Officers - Site-specific grievance redress mechanisms will be Anuradhapura; people will be of the Department established ensuring easy access of individuals and inconvenienced if they have to of Agrarian communities to such mechanisms travel to have their grievances Development redressed Some features of technical designs Provincial Director Consult people and conduct awareness – before and cannot be implemented due to of Irrigation during implementation opposition. For example, Galwala tank/ Agalawatte cascade development (UNDP project) designed by private firm included connecting farm road involving land taking but the owners protested, and finally only the canal was rehabilitated Officers are not knowledgeable Provincial Director - Awareness programs aiming not only at enhancing about the details of the project or of Planning; knowledge and awareness but also attitudinal changes safeguards management Director / District will be carried out. Planning - Project also includes plans to build the capacity of local government and implementing partners to engage local communities (social audits, participatory methods, etc.), and to train the local communities themselves in project planning and implementation activities Big contractors, some from outside Provincial Director - Bid documents will include provisions encouraging with own machinery and labour of Irrigation, contractors to use local resources, including local labor force, thus preventing job Director / District opportunities for local people Planning Women employment significantly Provincial Director - As part of hot-spot area development plans, the multi- reduced due to agriculture of Irrigation, faceted dimensions of the gender gap will be assessed modernization and vulnerability of Director / District and measures to address these will be incorporated into project design women due to indebtedness caused Planning - Creating employment opportunities for women will be by micro-credit institutions prioritized - Climate-resilient agricultural technologies will be screened to ensure that they are gender-neutral and 79 similarly, the identification of lead/contract farmers will be gender balanced. - Gender Action Plan will consider structures and procedures that will need to be created to support women's roles as caregivers and female heads of households, as such they are expected to bridge gaps in women's access to agricultural assets and services eg: promoting gender sensitive methodologies for women to access to credit schemes and strengthen market linkages; child care services and flexible working hours. Lack of voice for women in village Divisional Officer/ - Strategic and operational designs will consider women works / development DAD from farming households as ‘farmers’ and as leaders for adopting climate resilience practices. - Gender dimensions and risks associated with knowledge and technology dissemination will be consider during planning phase - Capacity building by sensitizing and building the capacity of project implementers, and women practicing agriculture at the cascade, tank and village levels, will be prioritized. - Increasing women's engagement in decision making in Farmer’s Organizations and Producer’s Groups through the inclusion of quotas for women will be facilitated to ensure the gendered needs and vulnerabilities are addressed. GOSL is expected to foot the Chief Secretary - This is possible to some extent under special safeguard budget before the circumstances and after consultation and negotiation; project is implemented but the but the request has to come first from the government treasury takes time and may be constrained that will create delays in project implementation. Can the World Bank provide funds 80 II. National-level Stakeholder Consultations in Colombo Date: 21 June 2018 Participants: Mr. Ruwan Chandra, Secretary, MNPEA Mr. B Wijeyeratne, Secretary, Ministry of Agriculture Mr. Kamal Pathmasiri, Secretary, Ministry of Sports, Provincial Councils and Local Government Mr. K. Mahesan, Additional Secretary - Development, MNPEA Mr. R. H. W. A. Kumarasiri, Additional Secretary - Planning, MNPEA Mr. N. Mendis, Additional Secretary, Development, MOA Mr. S. Mudalige, Director General, NPD, MNPEA Ms. Shiranthi Rathnayake, ADG, Department of National Planning, MNPEA Mr. Rohitha Wickramaratne, Director, Department of National Planning, MNPEA Dr. W.M.W. Weerakoon, Director General, Department of Agriculture Mr. H.M.P Bandara, Chief Secretary, NCP Mr. P.B. Dayaratne, DCS, Planning, NCP Ms. T.Y.L. Munasinghe, Assistant Director, NPD, MNPEA Ms. Nimalka Dias, Additional Secretary, M&E, Ministry of Agriculture Dr Ajantha De Silva, Director, Department of Agriculture (NRMC) Mr. Darsana Banda Samarakoon, Director – Planning, MSPCLG Mr. Dimuthu Ranathunge, Assistant Director – Planning, MSPCLG Mr. Prabath Witharana, Civil Engineer, Department of Agrarian Development Mr. Bandusiri Samarasinghe, Chief Finance Officer, Ministry of Agriculture Ms. Champika Dharmasena, Director – Programs, Ministry of Agriculture Ms. Janaki Meegastenna, Director – Irrigation, Department of Irrigation Mr. W. G. Gnanadasa, Director – Technical, Ministry of Irrigation, Water Resources and Disaster Management Mr. Sunimal Jayatunge, Director – Climate Change Secretariat, Ministry of Mahaweli Development and Environment The summary of issues discussed and responses provided is provided below: SN Issue Discussed Participants’ comments Response from the project 1 Implementation Selected interventions focus on diverse, local The focal point for the project is the arrangements for areas. Relative financial autonomy, MOA but implementation is hotspot implementation flexibility and adaptability devolved and decentralized as interventions required although policy direction, guidance much as possible, and most of the and monitoring from the center are needed. decisions are expected to be taken Provincial administration and plans are also at the sub national and divisional priorities for the officers attached to the level. Better coordination will provincial services. Existing mechanisms of support effective implementation. coordination have already established a Project will use and adapt to the working system of development project existing legal and institutional implementation monitoring with national, frameworks. provincial and local political authorities 81 working in coordination with administrative authorities 2 Roles and Same officers will have to work for both ASMP There are distinct differences responsibilities and CSIAP which look similar, and they have to between the two projects although work for other development programs and connections are acknowledged. projects as well. CSIAP focuses on climate change and adopts a long term prospects and involving small and marginal farmers as well. Thus, growth, poverty reduction, and climate resilience are key pillars. The project will support a combined PMU and coopting of officers. 3 Participation, water Farmer Organizations are tank based or The project will adopt a learning management and irrigation canal based, and their focus has approach that will permit pilot mechanism for been on paddy cultivation. Agrarian interventions in the first phase. It farmer Development Act has been amended to will encourage continued dialogue management of include highland cultivation as well. However, and engagement of all relevant hotspots whether one farmer organization can look stakeholders. Nothing will be after the hotspot is yet to be seen. There are imposed from the top. fishers’ organizations as well. Transformative leadership instead of transactional leadership will be promoted, fostered and encouraged. Further, the project will draw from previous experiences such as NELSIP project that succeeded in social auditing of project interventions for local infrastructure development. CSIAP will strengthen this mechanism through capacity building for community monitoring of climate smart agricultural technology adoption and redress of grievances at the community level. 4 Gender Women constitute a substantial section in More opportunities should be empowerment government offices. However, in village created for the economic development projects their participation is not advancement of women, and in the high partly due to the nature of work, use of identification and prioritization of machinery. Yet, in farm production their sub projects special attention contribution is high. In most of Farmer should be paid on the potential for Organizations they are in key positions and enhanced economic opportunities contribute to decision making. and quality of life of women and children. The project insists on 82 gender dis-aggregated data compilation. 5 Securing private It is a good and a necessary thing to involve Project will encourage formation of sector involvement the private sector. It is already happening in valued links with the private sector terms of forward contracts in the context of and form partnerships going trade and marketing. There were negative beyond the familiar concepts of experiences as well. They should be ‘out-growers’ or ‘suppliers’ and be encouraged to invest in processing and change agents instead or in storage. If invited, they will participate in sub addition. project identification in the areas where they are already involved. 6 Encroachment Farmers already access subsidized fertilizers - The project works within the legal on the production of a certification. However, framework of the government. the government has already supported the As the Resettlement Policy farmers on encroached government land in Framework developed by the terms of agro-wells, annual permits, electricity government for this project, to houses etc. They have been settled on these ‘legalizable’ or any documents lands for many years. They cannot be recognized by the government is considered strictly as encroachers. Probably acceptable as proof of claims. The they can be organized into groups or business project will not approve land firms and given a license / registration and be acquisition that causes people to brought within the ambit of the project. lose their houses and livelihoods. 7 Vulnerabilities The government has a general program for Other than climate change effects social welfare targeting the poor. There are on water and crops, it is very other assistance schemes as well. However, important to examine social prolonged drought has contributed to expand vulnerability in the context of and heighten vulnerability levels. It is a serious climatic vulnerabilities. This is problem for the officers to provide relief as exactly one of the principal areas of ‘targeting’ is strongly opposed. There are involvement of the CSIAP. different social groups engaged in various forms of land tenure. 8 Overall project This project should have come many years The project will go through phases design ago. It is a most welcome project that where learning and adaptations are addresses critical needs of the country and written into the project design. It is one that covers the rural poor people. to be conceived of not as a ‘project’ but a programme. 83