THE WORLD BANK - ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP) PT Perusahaan Listrik Negara (PLN) Indonesia Sustainable Least-cost Electrification Technical Assistance (ISLE TA) Project Draft ENVIRONMENTAL and SOCIAL COMMITMENT PLAN (ESCP) August 2020 Disclaimer This documents are in draft stage and will be updated based on technical consultation with relevant units in PLN, further development, engagement and consultation will be conducted as part of the finalization of the document. Please refer to PLN website for the latest updated document that will be available after the grant agreement signed 1|Page THE WORLD BANK - ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP) ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN 1. PT Perusahaan Listrik Negara (Persero) (PLN), will implement the Indonesia Sustainable Least-cost Electrification (ISLE) Technical Assistance (ISLE TA) project (the Project). The International Bank for Reconstruction and Development, acting as Implementing Entity of the Clean Technology Fund (CTF) and administrator of grant funds under the Energy Sector Management Assistance Program (ESMAP), (Bank) has agreed to provide financing for the Project. 2. PLN will implement material measures and actions so that the Project is implemented in accordance with the Environmental and Social Standards (ESSs). This Environmental and Social Commitment Plan (ESCP) sets out material measures and actions, any specific documents or plans, as well as the timing for each of these. 3. PLN will also comply with the provisions of any other E&S documents required under the ESF and referred to in this ESCP, specific Environmental and Social Management Plans (ESMP), Resettlement Plan (RAP), Stakeholder Engagement Plan (SEP), and the timelines specified in those E&S documents. 4. PLN is responsible for compliance with all requirements of the ESCP. 5. Implementation of the material measures and actions set out in Table 1 of this ESCP will be monitored and reported to the Bank by PLN as required by the ESCP and the conditions of the legal agreement, and the Bank will monitor and assess progress and completion of the material measures and actions throughout the implementation of the Project. 6. As agreed by the Bank and PLN, this ESCP may be revised from time to time during Project implementation, to reflect adaptive management of Project changes and unforeseen circumstances or in response to the assessment of Project performance conducted under the ESCP itself. In such circumstances, PLN and the Bank will agree to the changes and will update the ESCP to reflect such changes. Agreement on changes to the ESCP will be documented through the exchange of letters signed between the Bank and PLN. PLN will promptly disclose the updated ESCP. 7. Where Project changes, unforeseen circumstances, or Project performance result in changes to the risks and impacts during Project implementation, PLN shall provide additional funds, if needed, to implement actions and measures to address such risks and impacts. 2|Page THE WORLD BANK - ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): VERSION 2.0 – July 2020 Table 1 Material Measures and Actions of the ISLE TA MATERIAL MEASURES AND ACTIONS TIMEFRAME RESPONSIBILE ENTITY/AUTHORITY MONITORING AND REPORTING A REPORTING: Prepare and submit to the Bank regular monitoring reports on the Six-monthly throughout Project PLN/Nominated PLN Units environmental and social aspects of the project, including but not limited implementation. to implementation of the ESCP, status of preparation and implementation of Identified Investment specific E&S documents required under the ESCP, stakeholder engagement activities, functioning of the grievance mechanism(s), and other reporting as required by relevant E&S instruments. B INCIDENTS AND ACCIDENTS: Promptly notify the Bank of any incident or accident related to the Notify the Bank within 48 hours after PLN/Nominated PLN Units technical assistance (TA) which has adverse effects on staff and learning of the incident or accident. A consultants, including any risk in the context of the Covid-19 pandemic. report shall be provided within a timeframe In addition, any incident or accident related to the TA to the acceptable to the Bank, or as requested. community. Provide sufficient details regarding the incident or accident, indicating immediate measures being taken or that are planned to be taken to address it, including any other information provided by PLN, as appropriate. Subsequently, as per the Bank’s request, prepare a report on the incident or accident and propose any measures to prevent its recurrence. ESS 1: ASSESSMENT AND MANAGEMENT OF ENVIRONMENTAL AND SOCIAL RISKS AND IMPACTS 1.1 ORGANIZATIONAL STRUCTURE: Establish and maintain an organizational structure with qualified staff Project implementation PLN/Nominated PLN Units and resources to support the management of E&S risks, including hiring consultants or a firm with qualified environmental and social specialists Consultant/firm for the E&S instruments to with at least 10 years of experience to support the management of E&S have been hired and commenced by no risks under the feasibility study and to prepare relevant risk later than 12 months after the effectiveness management documents and E&S instruments. of the Grant Agreements. 3|Page THE WORLD BANK - ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): VERSION 2.0 – July 2020 MATERIAL MEASURES AND ACTIONS TIMEFRAME RESPONSIBILE ENTITY/AUTHORITY 1.2 ENVIRONMENTAL AND SOCIAL ASSESSMENT: A preliminary Environmental and Social Assessment is included in the Project implementation PLN/Nominated PLN Units project activities as part of the Feasibility Study (FS) for each Identified Investment. The results of this assessment will be considered in developing Identified Investment’s ESMP, RAP, and IPP (if necessary), and SEP preparation. 1.3 MANAGEMENT TOOLS AND INSTRUMENTS Develop E&S management instruments for the project including Project implementation PLN/Nominated PLN Units Identified Investment specific ESMP, Labor Management Plan - LMP (as part of ESMP), RAP, IPP, and SEP, as applicable, and other E&S documents required by national laws and regulations, including AMDAL/UKL-UPL/SPPL. ESS 2: LABOR AND WORKING CONDITIONS 2.1 LABOR MANAGEMENT PROCEDURES: PLN/Nominated PLN Units Labor Management Procedures will be developed for the Project in Labor management procedures for project compliance with national laws and regulations and ESS2. Employment workers is developed no later than 1 month contracts for all workers hired by the project will be in compliance with after the effectiveness of the Grant national laws and regulations. Incorporate relevant provisions of ESS2 Agreements and implemented throughout (which is broadly consistent with the requirements of national laws for Project implementation the purposes of this type of work) in all consultancy contracts. Labor Management Plan for each Identified Investment will be developed as part of the Identified Investment specific ESMP. Where Project implementation relevant, ensure the proper integration of requirements consistent with ESS2 (to avoid, minimize, reduce/mitigate and compensate ESS2 related impacts) and satisfactorily implement them. 4|Page THE WORLD BANK - ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): VERSION 2.0 – July 2020 MATERIAL MEASURES AND ACTIONS TIMEFRAME RESPONSIBILE ENTITY/AUTHORITY 2.2 GRIEVANCE MECHANISM FOR PROJECT WORKERS: Establish and maintain a grievance mechanism for Project workers, as GRM procedure for project workers is PLN/Nominated PLN Units part of labor management procedures as regulated in the national laws established no later than 1 month after the and regulations and consistent with ESS2. effectiveness of the Grant Agreements and maintained throughout Project implementation GRM to be disseminated to all project workers prior to commencing any works and maintained throughout the project implementation. Include the development of GRM for all Identified Investments as part Project implementation PLN/Nominated PLN Units of Identified Investment’s LMPs (to be included in Identified Investment specific ESMPs) 2.3 OCCUPATIONAL HEALTH AND SAFETY (OHS) MEASURES: Include the OHS measures in the LMPs of the Identified Investment- Project implementation PLN/Nominated PLN Units specific ESMPs ESS 3: RESOURCE EFFICIENCY AND POLLUTION PREVENTION AND MANAGEMENT 3.1 RESOURCE EFFICIENCY AND POLLUTION PREVENTION AND MANAGEMENT: To be assessed in each Identified Investment-specific FS and to be Project implementation PLN/Nominated PLN Units included in the Identified Investment-specific ESMP that will be prepared during project implementation – see ESS1. ESS 4: COMMUNITY HEALTH AND SAFETY 4.1 TRAFFIC AND ROAD SAFETY: To be included in the Identified Investment-specific ESMP for each Project implementation PLN/Nominated PLN Units Identified Investment that will be prepared during Project implementation – see ESS1. 5|Page THE WORLD BANK - ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): VERSION 2.0 – July 2020 4.2 COMMUNITY HEALTH AND SAFETY: To be included in the Identified Investment-specific ESMP that will be Project implementation PLN/Nominated PLN Units prepared during Project implementation – see ESS1. 4.3 GBV AND SEA RISKS: A Gender-based violence (GBV) code of conduct will be applied for FS Project implementation PLN/Nominated PLN Units and E&S consultants involved in the TA and will also be included in ESMP of each Identified Investment. 4.4 GBV AND SEA RISKS DURING PROJECT IMPLEMENTATION : Develop a GBV Code of Conduct to be signed by all TA staff and Project implementation PLN/Nominated PLN Units consultants involved in the TA. Include protocol to avoid and prevent GBV in each Identified Investment Project implementation PLN/Nominated PLN Units ESMP. ESS 5: LAND ACQUISITION, RESTRICTIONS ON LAND USE AND INVOLUNTARY RESETTLEMENT 5.1 RESETTLEMENT PLANS: In the event that involuntary resettlement is envisaged for the purpose Once the Identified Investment location is PLN/Nominated PLN Units of land acquisition, develop Resettlement Plans consistent with the identified and confirmed by PLN and during requirements of the Government of Indonesia’s laws and regulations as project implementation well as ESS5. The plan will include details of consultations and engagement with affected people, livelihood restoration measures and available GRM processes to affected people. Compliance with the willing buyer – willing seller (voluntary land Project implementation PLN/Nominated PLN Units transaction) and voluntary land donation protocol for such scheme application. 5.2 GRIEVANCE MECHANISM: Include a GRM in the Identified Investment specific Resettlement Plans Project implementation PLN/Nominated PLN Units for potentially affected people as a result of land acquisition (if any). ESS 6: BIODIVERSITY CONSERVATION AND SUSTAINABLE MANAGEMENT OF LIVING NATURAL RESOURCES 6|Page THE WORLD BANK - ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): VERSION 2.0 – July 2020 6.1 BIODIVERSITY RISKS AND IMPACTS: To be assessed in Identified Investment-specific FS and to be included in Project Implementation PLN/Nominated PLN Units the Identified Investment specific ESMP that will be prepared during project implementation – see ESS1. The Identified Investment specific ESMP will contain related information to biodiversity assessment, management and conservation. ESS 7: INDIGENOUS PEOPLES/SUB-SAHARAN AFRICAN HISTORICALLY UNDERSERVED TRADITIONAL LOCAL COMMUNITIES 7.1 INDIGENOUS PEOPLES PRESENT OR COLLECTIVELY ATTACHED TO PROJECT AREA: Screen for the presence of indigenous peoples for each Identified Following identification of project locations PLN/Nominated PLN Units Investment and if so, conduct an assessment in conjunction with Environmental and Social Assessment of the Identified Investment specific FS to understand the nature and degree of the expected direct and indirect economic, social, cultural and environmental impacts on community groups identified as Indigenous Peoples who are present in, or have a collective attachment to, the Identified Investment’s area and other footprints 7.2 INDIGENOUS PEOPLES PLAN: Develop and implement an Indigenous Peoples Plan (IPP) in the event Once the Identified Investment location is PLN/Nominated PLN Units that there is a presence of Indigenous Peoples in the Identified identified and confirmed by PLN and after Investment target areas as informed by the screening process specified screening (if there is a presence of in 7.1. IPP can be a stand-alone document or integrated with the Indigenous peoples) Identified Investment ESMP. 7.3 Engage an independent specialist (can be part of the IPP Consultant) to Once the Identified Investment location is PLN/Nominated PLN Units, consultant ensure a Free, prior, and informed consent (FPIC) if there are adverse identified and screening risk shows impacts on land and natural resources subject to traditional ownership potential communal land will be affected and to assist in the identification of the project risk and impacts 7.4 GRIEVANCE MECHANISM: Include the GRM section in the IPP document for Identified Investment Project implementation PLN/Nominated PLN Units (if applicable). ESS 8: CULTURAL HERITAGE 7|Page THE WORLD BANK - ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): VERSION 2.0 – July 2020 8.1 CHANCE FINDS PROCEDURE: To be included in the ESMPs for each Identified Investment. Project implementation PLN/Nominated PLN Units ESS 9: FINANCIAL INTERMEDIARIES – Not applicable ESS 10: STAKEHOLDER ENGAGEMENT AND INFORMATION DISCLOSURE 10.1 STAKEHOLDER ENGAGEMENT FRAMEWORK UPDATES: Update Stakeholder Engagement Framework (SEF), as needed, that describes Project implementation PLN/Nominated PLN Units principles outlining general principles and engagement process guiding the preparation of SEP. The SEF will also provide guidance on engagement for the FS and E&S work under the TA. 10.2 STAKEHOLDER ENGAGEMENT PLAN PREPARATION AND IMPLEMENTATION: Develop Identified Investment-specific Stakeholder Engagement Plans Project implementation PLN/Nominated PLN Units (SEP) based on Stakeholder Engagement Framework (SEF). The SEPs will include and describe a grievance mechanism. 10.3 PROJECT GRIEVANCE MECHANISM: PLN/Nominated PLN Experts Prepare, adopt, maintain and operate a grievance mechanism of the GRM procedure is established no later than project, as described in the SEF. 1 month after the effectiveness of the Grant Agreements and maintained throughout Project implementation CAPACITY SUPPORT (TRAINING) CS1 E&S training will be delivered (as appropriate) by PLN E&S Specialists Project Implementation PLN/Nominated PLN Experts and E&S consultant for all nominated PLN staff as well as all PLN’s staff involved in Project implementation, especially PLN Regional, under Component 2 of the Project. 8|Page