RP974 V5 Arab Republic of Egypt Ministry of Electricity and Energy Egyptian Electricity Holding Company Egyptian Electricity Transmission Company Restructuring Wind Power Development Project To Implement Qussair – North Hurghada 220/66 KV Substations and its Interconnections Project And Upgrade of Existing 5 Transmission Lines Project Supplementary Resettlement Policy Framework May 2014 0 LIST OF ACRONYMS AND ABBREVIATIONS AP Affected Persons ARP Abbreviated Resettlement Plan CAPMAS Central Agency for Public Mobilization and Statistics EA Environmental Assessment EEAA Egyptian Environmental Affairs Agency EETC Egyptian Electricity Transmission Company EIA Environmental Impact Assessment ESA Environmental and Social Assessment ESIAF Environmental and Social Impact Assessment Framework GRM Grievance and Redressal Mechanism IR Involuntary Resettlement LGU Local Governmental Unit NUPG National Unified Power Grid NGO Non Governmental Organization OHTL Overhead Transmission Line PAF Project Affected Family PAP Project Affected Persons PIU Project Implementation Unit RAP Resettlement Action Plan RPF Resettlement Policy Framework SDO Social Development Officer TORs Terms of Reference WB World Bank 1 Contents 1 INTRODUCTION ...................................................................................................... 12 1.1 The Project and the Role of the RPF.................................................................................12 1.2 Objective of Framework .........................................................................................................15 1.3 Key Principles ............................................................................................................................15 2 LEGISLATIVE FRAMEWORK FOR RESETTLEMENT ........................................... 17 2.1 Government of Egypt Relevant Legislation .........................................................................17 2.1.1 Administrative Authority’s Decision Making Responsibilities .......................................... 17 2.1.2 Legal and Administrative Procedures for Transfer of Ownership and Compensation ............... 19 2.1.3 Disputes ............................................................................................................. 21 2.1.4 Temporary Expropriation of Real Estate .................................................................... 21 2.1.5 Introduction of New Articles to the Law on Property Expropriation for Public Benefit No. 10 of 1990 22 2.2 World Bank Safeguard Policies ...............................................................................................23 2.3 Gaps between Egyptian Regulations and World Bank Policies.........................................23 2.4 EETC Current Procedures for Land Acquisition and Crop Compensation ...................25 3 ELIGIBILITY CRITERIA FOR AFFECTED PERSONS ............................................ 26 3.1 Defining Affected Persons ......................................................................................................26 3.2 Eligibility Criteria.......................................................................................................................26 3.3 Estimated potential resettlement impacts .............................................................................27 4 METHODS OF VALUATION OF AFFECTED ASSETS AND COMPENSATION .. 30 4.1 Asset Valuation ..........................................................................................................................30 4.2 Compensation ............................................................................................................................30 5 ENTITLEMENT MATRIX ......................................................................................... 31 5.1 Organizational Arrangements and Procedures for Delivery of Entitlements .................40 5.1.1 Institutional and Organizational Arrangement ..................................................... 40 5.2 Preparation of Resettlement Action Plans ............................................................................40 5.3 RAP Review and Approval ......................................................................................................41 5.4 RAP Implementation................................................................................................................41 5.5 Signing Compensation Contract and Compensation payment ..........................................42 5.6 Grievance Redress Mechanisms .............................................................................................42 5.7 Vulnerable Groups ....................................................................................................................43 5.8 Resettlement Monitoring and Evaluation Arrangement .....................................................45 6 Public Consultation and Disclosure ............................................................................... 46 6.1 Consultation carried out during RPF preparation ...............................................................46 6.1.1 Consultations with Stakeholders for the rehabilitation of the existing OHTL: ...................... 46 2 6.1.2 Consultations with Stakeholders for the Substation and their interconnection: ....................... 50 6.2 Consultations arrangements during project implementation .............................................54 6.3 Information disclosure and local access to information .....................................................55 7 BUDGET AND SOURCES OF FUNDING RAPS ...................................................... 56 3 GLOSSARY. Census: Household survey that covers all Project Affected Persons irrespective of entitlement or ownership. It provides a complete inventory of all project affected persons and their assets. It can be used to minimize fraudulent claims made by people who move into the area affected· by the project in the hope of being compensated and/or resettled. Project Affected Persons: Persons who are affected by the involuntary taking of land and I or the involuntary restriction of access to legally designated parks and protected areas. Environmental Impact: An effect (both positive and negative) on an environmental resource or value resulting from infrastructure development projects. Environmental and Social Impact Assessment (ESIA): A systematic procedure for enabling the possible environmental and social impacts of development projects to be considered before a decision is made as to whether the project should be given approval to proceed. Involuntary: Actions that may be taken without the displaced person's informed consent or power of choice. Involuntary Resettlement (IR): The unavoidable displacement of people and/or impact on their livelihood, assets and common property resulting from development projects that create the need for rebuilding their livelihood, sources of income and asset bases. Monitoring: The process of repeated observations and measurements of environmental and social quality parameters to assess and enable changes over a period of time. Public Involvement: The dialogue encompassing consultation and communication between a project proponent and the public. It includes dissemination, solicitation and presentation of information. Rehabilitation/Resettlement: A term often used to describe the process of reestablishing lifestyles and livelihoods following resettlement. The term is also used to describe construction works that bring a deteriorated structure back to its original conditions. Resettlement Action Plan (RAP): A time-bound action plan with a budget, setting out resettlement strategy, objectives, options, entitlements, actions, approvals, responsibilities, monitoring and evaluation. Social Impact: An effect (both positive and negative} on a social issue resulting from infrastructure development projects Stakeholders: Those who have an interest in project development and who will be 4 involved in the consultative process, and includes any individual or group affected by, or that believes it is affected by the project; and any individual or group that can plan a significant role in shaping or affecting the project, either positively or negatively, including the host community/population. Vulnerable Groups: Distinct groups of people who might suffer excessively from resettlement effects, such as, the old, the young, the handicapped, the poor, isolated groups and single parents. 5 Executive Summary The Samallout I Suez Gulf I Jabal EI-Zayt 500 kV Electrical Interconnection Project is an integral part of the Egyptian Electricity Sector's on-going program to enhance transmission capacity for meeting the ever increasing demand for electricity generation. In March 2014, a project restructuring has been planned to use the savings of the project by introducing number of new components to serve in meeting the overall objective of the project. Since some of the sub-components under the project savings may result in land acquisition, OP 4.12 on Involuntary Resettlement could be triggered. For the original Wind Development Project, a Resettlement Policy Framework (RPF) has been prepared in 2010 with the aim of establishing resettlement objectives, organizational arrangements and funding mechanisms for any resettlement operation that may be necessary. When the exact extent of land acquisition becomes known during implementation, a Resettlement Action Plan (RAP) or Abbreviated Resettlement Action Plan (A RAP)- depending on the scale and severity of impacts - will be prepared. In the meantime, and for the purpose of the new components to be financed by the savings of the project, this supplementary RPF is updated with the same objectives above to cover the new sub components. The description of the planned components under the project savings are outlined below: 1) Upgrading the existing Overhead Transmission Lines (OHTL) In Alex & West Delta Zone 220kV, OHTL, Menouf/ Tahrir Badr with a length of 35Km 220kV, OHTL, Menouf/ Basous with a length of 32 Km. In the Delta Zone 220kV, OHTL, Menouf/ Basous with a length of 45Km. In Canal Zone 220kV, OHTL, El-Manayef/ Abu-Soltan with a length of 40 km 220kV, OHTL, Suez2/ Badr with a length of 80 km Around 160 km of the total 232 km targeted routes are located in agriculture land, while 80 km are desert areas. The rehabilitation of the existing OHTL will not involve any need for additional land. The process will only include temporary disturbance for the cultivation activities due to the use of the rehabilitation machines/equipment in the farms. In case damaging crops proved unavoidable, EETC will prepare a RAP/ARAP and will be paying compensation to PAPs based on the requirements of OP 4.12 on Involuntary Resettlement and the Egyptian legislations. 2) Hurghada North GIS Substation and its interconnections The component includes constructing a 2×125+ 2×40MVA, 220/66kV GIS substation in the west coast of Red Sea (North Hurghada) 6 The substation is located in plain desert area north Hurghada City, off the OHTL of Gabal El Zeit Hurgahda South which is under construction. The total area of the land is 300 m x 300 m and the land was owned by the Governorate and the ownership was transferred to EETC. The in/out opening from the substation was observed in terms of lengths to be less than 0.5 km to be crossing the road and pass through plain desert area until it connects to transmission line of Gabal El Zeit Hurgahda South. 3) Al-Qusair GIS Substation and its interconnections The component includes constructing a 2×75+ 2×25MVA, 220/66kV GIS substation in the in the west coast of Red Sea (North Hurghada) with the following scope. The substation is located in plain desert area west El Qusseir City off Qeft road. The total area of the land for the substation is 225 m x 375 m and the land was owned by the Governorate and the ownership was transferred to EETC. The initial routing for the 90 km length OHTL has been determined in coordination with the Military authorities and it will be located in a distance that will vary between 500m to 3 km from the main road and inside the desert/ mountainous areas. It is quite unlikely that the OHTL will affect any of these residential and tourism communities. Objective of the Framework This RPF has been prepared as a supplementary document for the RPF of Samalout/ Suez Gulf/ Jabal El Zeit RPF that has been prepared in 2010 and cleared by the Bank. The main purpose of this supplementary RPF is to build on the existing RPF and extend its scope to cover the additional components that will be financed under the project savings. This framework shall cover all the project’s activities, and shall apply to all displaced persons regardless of the total number affected, the severity of impact, and whether or not the affected persons have legal title to the land. Since resettlement often affects the most vulnerable and marginalized groups (economically, politically, and socially), the RPF shall be particularly sensitive to the affects which displacement may have on these groups, including the poor, landless, elderly, women, children, ethnic minorities, or persons with specific mental or physical disabilities. The principles outlined in the World Bank’s OP/BP 4.12 have been adopted in preparing this supplementary RPF. Legislative Framework For Resettlement Resettlement and land acquisition issues under the proposed Project savings and subsequent subprojects will be addressed under the guidance of the laws governing the Arab Republic of Egypt to this regard and the World Bank’s OP 4.12. The RPF represents the reference to be used in managing land acquisition issues and addressing the involuntary resettlement and displacement of people related to WB financed projects. EETC shall be committed to complying with the national and WB laws and policies and to any future amendments to them. It is the Government of Egypt’s policy to pay compensation or offer assistance to people whose lands and properties are affected by projects undertaken by the Government. In accordance with Article 35 of the constitution developed and agreed upon during the 7 referendum 14-15 of January 2014 "The private ownership is guarantee and the inheritance is validated for. It is not allowed to suspend the ownership unless certain conditions mentioned by a Law. No expropriation might take place but for the public benefit. Fair compensation should be paid in advance according to the Law." As well as, article 63 of the Constitution: “All types of involuntary relocation using force or excessive violence is banned and whoever violating this article will be brought to court" Other relevant laws governing expropriation and consequent compensation procedures include:  Law 577/54, which was later amended by Law 252/60 and Law 13/162, lays down the provisions pertaining to the expropriation of real estate property for public benefit and improvement,  Law No. 27 of 1956, which stipulates the provisions for expropriation of districts for re-planning, upgrading, and improvement, and the amended and comprehensive Law No.10 of 1990 on the expropriation of real estate for public interest. Article 1 of Law 252/60 (amended by Law 577/54) states that the determination of public benefit for the expropriation of private real estate property is subject to Presidential Decree. On the other hand, according to Article 2 of Law 27/1956, the determination of public interest for the expropriation of districts for re-planning and upgrading is subject to a Decree from the Cabinet of. The steps for ownership transfer include: 1 Preparation of a census of all property 2 Preparation of statements and evacuation warnings 3 Transfer of ownership 4 Compensation assessment: Temporary Expropriation of Real Estate The right of the public authority to expropriate needed real estate property also includes the right to temporarily occupy / take over this privately owned property. Law No. 577 of 1954, Law No. 27 of 1956, and the new Law No. 10 of 1990 pertaining to property expropriation, include provisions regarding temporarily occupying property: Law on Property Expropriation for Public Benefit No. 10 of 1990 The new amendment of this law states that the authority requesting the property expropriation shall be responsible for the payment of compensation value and in representing itself in legal litigations before the jurisdiction. World Bank Safeguard Policies The WB’s policy on Involuntary Resettlement sets forth all the resettlement requirements and principles which will be well considered and fully applied in the proposed project. The RPF also examined the gaps between Egyptian regulations and World Bank policies and the measures to bridge these gaps. 8 Eligibility Criteria for Affected Persons Project affected persons (PAPs) are defined in this policy framework as individuals who may be subjected to adverse economic, social, or cultural impacts by the WB’s assisted projects. These impacts may constitute anything from the loss of physical assets such as land, farm lands, crops, commercial properties, homes, personal belongings, sources of income, and cultural / historical / religious sites, to nonphysical assets such as social capital and cultural networks and activities. Moreover, adverse impacts also include the loss of access to the physical and non-physical assets and the involuntary restriction of access to legally designated parks and protected areas. All APs who suffer a complete or partial loss of assets or access to assets shall be eligible for some kind of assistance, according to their legal rights to the land, if it can be proven that they occupied the land before the claim cut-off date. The Bank OP4.12 specifically proposes three general categories for eligibility Estimated potential resettlement impacts The field observations, consultation with EETC teams on the level of the HQ and zones revealed that the main potential resettlement impacts, if any, might associate to the rehabilitation of the exiting OHTL in the form of limited temporary impacts on crops as a result of temporary change in the land use in the project area. Before the start of any civil works and in case damaging crops proved unavoidable, EETC should prepare a RAP/ARAP and all resettlement impacts should be handled as stipulated by the RAP which should be approved by the Bank. EETC will be paying compensation to PAPs based on the principles of OP 4.12 on Involuntary Resettlement and the Egyptian legislations. Methods of Valuation of Affected Assets and Compensation The valuation of losses in physical assets will be carried out by assessing the market value of the assets, if known, and estimating the replacement cost. Replacement cost is calculated as the cost of replacing the lost assets plus any transaction costs associated with brining the asset to pre-displacement value. However, the valuation of crops will rely upon the price lists developed by the Agriculture directorate and revisited annually. Compensation will be provided to all individuals whose assets or access to assets are affected or damaged, as a consequence of land acquisition or any other activities undertaken by the projects. The compensation for the loss of physical and nonphysical assets will vary depending on the type of loss, and eligibility of the PAPs. Compensation may come in the form of cash compensation, in-kind compensation, and/or assistance. Each RAP should develop a resettlement matrix that identifies the expected negative impacts from the project, the eligible persons for compensation, and the compensation policy that will be applied. Organizational Arrangements and Procedures for Delivery of Entitlements The institutional set up within EETC has been developing since the preparation of the RPF for this project in 2010. EETC has developed ToRs and assigned a team of social 9 development officers (SDO). As part of the process of the implementation the RAP and the delivery of entitlement, EETC team of SDOs will be in charge of key responsibilities that are stipulated in the RPF. The project will be implemented in 3 of EETC zones, namely Canal Zone, Delta Zone and Alexandria and West Delta Zone. SDOs on the level of these zones and the HQ will be in full charge of implementing the resettlement plan under the management of the PIU. EETC has prepared a RAP for the transmission line of Samalout Gulf of Suez as part of the Wind Power Development Project. This RAP has been approved by the Bank and was disclosed locally and in the infoshop. In case any of the project components under the project savings require the preparation of a RAP, EETC will be using the same developed and approved RAP as guide along with this supplementary RPF. Grievance Redress Mechanisms As part of Samalout Gulf of Suez RAP which has been prepared under the Wind Power Development Project, a GRM has been designed and disclosed locally along route of the OHTL. EETC should be using the same designed GRM after tailoring it to the new project components. EETC should ensure that the GRM is published locally to PAPs through various locally appropriate methods. GRM disclosure should be completed prior to the construction phase. Resettlement Monitoring and Evaluation Arrangement In line with World Bank requirements, monitoring the implementation of the resettlement activities will be carried out by the social officers of the zones under the supervision of the social officer on the HQ level. External Monitoring might be required to ensure that the overall objective of the resettlement plan is achieved in an equitable and transparent manner and ensure the effectiveness of the monitoring and evaluation activities carried out by the social officers of EETC. Public Consultation and Disclosure Consultation carried out during the preparation of the supplementary RPF In order to conduct consultation process for updating the ESIA and the RPF, EETC has carried out a number of field activities with the aim of engaging with stakeholders. For the component of the rehabilitation of the existing OHTL, EETC has been consulting sample of the farmers and agriculture associations along the targeted existing OHTL. Inviting and collecting the farmers have been done in coordination with the agriculture associations and the interviews were mostly conducted in small discussion groups. For the 2 substations and their interconnections, EETC cooperated with the Red Sea Governorate and affiliate local units to announce for and host one public consultation in Hurghada City. Diverse group of stakeholders were involved in the consultation. EETC has prepared Arabic material including brief on the projects and has distributed to the participants of the consultation event. The content of this brief has been also verbally explained to farmers who participated in the consultation for the rehabilitation of the 10 OHTL. The findings of the consultations were integrated in the supplementary ESIA and this supplementary RPF as one dedicated chapter and along the other ESIA chapters and the RPF chapters as relevant. Views and concerns of farmers and other stakeholders for issues related to temporarily change in land use as part of the OHTL rehabilitation and the associated compensation were also incorporate in the RPF. Consultations arrangements during project implementation During project implementation, when resettlement impacts are involved and a RAP needs to be prepared, consultations with affected persons should be carried out by EETC or through an independent consultant that will be contracted for the RAP preparation process. It is crucial that the PAPs and other primary stakeholders are involved in the project from the very early stages, and that relevant and adequate information about the subproject and its activities is provided to them in a timely manner. EETC should take steps to ensure that affected persons and communities can obtain relevant information relating to the project in general and the land acquisition and resettlement arrangements in particular. Budget and Sources of Funding RAPs As soon as the activities triggering IR have been identified and approved by EETC, and the World Bank, realistic cost estimates shall be calculated based on the data collected from the socioeconomic survey on the estimated number of PAPs that are likely to be affected by the subprojects and the quantity and types of affected assets. The budget shall consider all of the anticipated impacts under the sub-project and calculate the cost (compensation, administrative costs and monitoring.... etc) according to actual replacement costs (at market value). EETC is fully responsible for any compensation. 11 1 INTRODUCTION 1.1 The Project and the Role of the RPF The Samallout I Suez Gulf I Jabal EI-Zayt 500 kV Electrical Interconnection Project is an integral part of the Egyptian Electricity Sector's on-going program to enhance transmission capacity for meeting the ever increasing demand for electricity generation. The project includes evacuation of the generated electricity to the National Unified Power Grid (NUPG) via interconnecting Overhead Transmission Lines (OHTL). These interconnecting transmission lines will connect the electricity users and consumers to the National Electricity Network. In the meantime, in March 2014, a project restructuring has been planned to use the savings of the project by introducing number of new components to serve in meeting the overall objective of the project and to further support development of the planned 220kV ring network in the Gulf of Suez. Since some of the sub-components under the project savings may result in land acquisition, OP 4.12 on Involuntary Resettlement could be triggered. For the original Wind Development Project, a Resettlement Policy Framework (RPF) has been prepared in 2010. The RPF was the instrument to be used because the nature and extent of land acquisition resulting from the above infrastructure were not known at appraisal. Later across the project cycle, and more specifically pre the implementation phase, a Resettlement Action Plan (RAP) has been prepared as per the RPF. This was only possible when the nature and extent of the land acquisition became clearer after the finalization of the design. The purpose of the RPF is to establish resettlement objectives, organizational arrangements and funding mechanisms for any resettlement operation that may be necessary. When the exact extent of land acquisition becomes known during implementation, a Resettlement Action Plan (RAP) or Abbreviated Resettlement Action Plan (A RAP)- depending on the scale and severity of impacts - will be prepared. The various steps in preparing a RAP have been outlined in this document. It should also be emphasized that the resettlement process should be completed prior to the start of physical works. In the meantime, and for the purpose of the new components to be financed by the savings of the project, this supplementary RPF is updated with the same objectives above to cover the new sub components. The description of the planned components under the project savings are outlined below: 1) Upgrading the existing Overhead Transmission Lines (OHTL) The objective of this component is to increase the transmission Capacity through the rehabilitation of conductors for the transmission lines with thermal conductors, in order to meet the load demand and to increase the OHTL capacity and reduce the bottlenecks of the existing transmission lines with single conductor, in addition to evacuate generated power from new and extended power stations and to overcome the right of way problems. The details of the lines to be rehabilitated is as follows: In Alex & West Delta Zone 12 220kV, OHTL, Menouf/ Tahrir Badr with a length of 35Km 220kV, OHTL, Menouf/ Basous with a length of 32 Km. In the Delta Zone 220kV, OHTL, Menouf/ Basous with a length of 45Km. In Canal Zone 220kV, OHTL, El-Manayef/ Abu-Soltan with a length of 40 km 220kV, OHTL, Suez2/ Badr with a length of 80 km Land issues related to this component Around 160 km of the total 232 km targeted routes are located in agriculture land, while 80 km are desert areas. The existing OHTL was constructed by the ends of sixties of the last century over desert land. Later on, agriculture activities expanded in the areas including the areas where the towers and the OHTL are located. The rehabilitation of the existing OHTL will not involve any need for additional land. The process will only include temporary disturbance for the cultivation activities due to the use of the rehabilitation machines/equipment in the farms. EETC indicated that they will be closely coordinating work with farmers in order to minimize the impacts on crops. In case damaging crops proved unavoidable, EETC will prepare a RAP/ARAP and will be paying compensation to PAPs based on the requirements of OP 4.12 on Involuntary Resettlement and the Egyptian legislations. 2) Hurghada North GIS Substation and its interconnections The objectives of this component are:  To evacuate the power produced from the existing and Future wind farms along the western coast of the Suez Gulf.  To meet the increase of load in Hurghada City and to relieve the loading of the 220/66 kV Hurghada South substation  To improve the voltage profile in this area. The component includes constructing a 2×125+ 2×40MVA, 220/66kV GIS substation in the west coast of Red Sea (North Hurghada) with the following scope. - Voltage Ratio 220/66/22 kV GIS Type:  220kV switchgear 7 GIS Bay (4 Feeder Bays + 2 Transformer Bays + 1 Bus Coupler Bay).  66kV switchgear 11 GIS Bay (6 Feeder Bays + 4 Transformer Bays+ 1 Bus Coupler Bay).  2×125MVA 220/66/22kV Power Transformers ONAN/ONAF 1/ ONAF 2.  2×40 MVA 66/22 kV Power Transformers. - Interconnection:  Opening of 220kV, Double Circuit, OHTL Gabal El-Zait/ Hurghada South in/out for Hurghada North with about 2×2km length. 13 Land issues related to this component The substation is located in plain desert area north Hurghada City, off the OHTL of Gabal El Zeit Hurgahda South which is under construction. The total area of the land is 300 m x 300 m and the land was owned by the Governorate and the ownership was transferred to EETC (official letter was obtained and copy is attached in Annex 1). The in/out opening from the substation was observed in terms of lengths to be less than 0.5 km to be crossing the road and pass through plain desert area until it connects to transmission line of Gabal El Zeit Hurgahda South which is currently under construction. 3) Al-Qusair GIS Substation and its interconnections The objectives of this component are:  To evacuate the power produced from the existing and Future wind farms along the western coast of the Suez Gulf.  To supply the electrical power distribution network for consumers' loads, residential, commercial and tourism establishments. The component includes constructing a 2×75+ 2×25MVA, 220/66kV GIS substation in the in the west coast of Red Sea (North Hurghada) with the following scope. - Voltage Ratio 220/66/22 kV GIS Type:  220kV switchgear 7 GIS Bay (4 Feeder Bays + 2 Transformer Bays + 1 Bus Coupler Bay).  66kV switchgear 9 GIS Bay (4 Feeder Bays + 4 Transformer Bays+ 1 Bus Coupler Bay).  2×75MVA 220/66/22kV Power Transformers.  2×25 MVA 66/22 kV Power Transformers. - Interconnection:  Constructing a new 220kV, Double Circuit, OHTL Safaga/ El-Qusair with about 90km length. Land issues related to this component The substation is located in plain desert area west El Qusseir City off Qeft road. The total area of the land for the substation is 225 m x 375 m and the land was owned by the Governorate and the ownership was transferred to EETC (official letter was obtained and copy is attached in Annex 1). EETC prepared an access road to the land. The land is very far from any near future urban expansion and the nearest urban/constructed location is El Qussier which is around 6 km far. According to EETC technical team from the Canal zone, the initial routing for the 90 km length OHTL has been determined in coordination with the Military authorities and it will be located in general in a distance that will vary between 500m to 3 km from the main road and inside the desert/ mountainous areas. Although number of villages and touristic resorts are located along the road, it is quite unlikely that the OHTL will affect any of these communities. 14 1.2 Objective of Framework This RPF has been prepared as a supplementary document for the RPF of Samalout/ Suez Gulf/ Jabal El Zeit RPF that has been prepared in 2010 and cleared by the Bank. The main purpose of this supplementary RPF is to build on the existing RPF and extend its scope to cover the additional components that will be financed under the project savings. The RPF is setting down the principles for resettlement impact mitigation, as well as to clarify the organizational arrangements. This includes compensating all project affected persons (PAPs) for the loss of lands, properties, and livelihoods resulting from displacement and resettlement, as well as assisting these people in relocation and rehabilitation. A resettlement action plan or abbreviated resettlement action plan will be prepared by following the RPF whenever any of the project’s activities entail the acquisition of land and / or the displacement of people, causing the loss of land, property, assets, access (to land, property, and assets), income, or sources of livelihood. As explained in the RPF of the original project, this framework shall cover all the project’s activities, and shall apply to all displaced persons regardless of the total number affected, the severity of impact, and whether or not the affected persons have legal title to the land. Since resettlement often affects the most vulnerable and marginalized groups (economically, politically, and socially), the RPF shall be particularly sensitive to the affects which displacement may have on these groups, including the poor, landless, elderly, women, children, ethnic minorities, or persons with specific mental or physical disabilities. 1.3 Key Principles The principles outlined in the World Bank’s OP/BP 4.12 have been adopted in preparing this supplementary RPF. In this regard the following principles would be applied: (a) Acquisition of land and other assets, and resettlement of people will be minimized as much as possible. Where land acquisition is unavoidable, the project will be designed to minimize adverse impact on the PAPs, especially the vulnerable groups; (b) All PAPs will be compensated, relocated and rehabilitated, if required, so as to improve their standard of living, income earning capacity and production capacity, or at least to restore them to pre-Project levels; (c) All PAPs residing in, or cultivating land, or having rights over resources within the components area of the socioeconomic survey are entitled to compensation for their losses and/or income rehabilitation. Lack of legal right to the assets lost will not bar the PAP from entitlement to such compensation, rehabilitation and relocation measures; (d) The rehabilitation measures to be provided are (i) compensation at full replacement cost for houses and other structures; (ii) compensation for land acquisition and resettlement subsidy for the affected villages and farmers; (iii) dislocation allowance and transition subsides; (iv) full compensation for crops, trees and other similar agricultural products at market value; and (v) other assets, and appropriate rehabilitation measures to compensate for loss of livelihood; (e) Replacement house-plots, place of business and agricultural land will be as close as possible to the land that was lost, and acceptable to the PAPs; (f) Land-for-land is the preferred option. Land-for-land may be substituted by cash provided that: (i) land is not available in the proximity of the subproject area; (ii) 15 PAP willingly accept cash compensation for land and all assets on it; and receive full replacement value without any deductions for depreciation; and (iii) cash compensation is accompanied by appropriate rehabilitation measures which together with project benefits results in restoration of incomes to at least pre- subprojects levels; (g) The resettlement transition period will be minimized, land-for-land and/or cash compensation provided to the PAP completed prior to the expected start-up date of works in the respective components. (h) Resettlement plans will be implemented following consultations with the PAPs, and will have the endorsement of the PAPs; (i) The previous level of community services and access to resources will be maintained or improved after resettlement; (j) Any acquisition of, or restriction on access to resources owned or managed by PAP as common property will be mitigated by arrangements ensuring access of those PAP to equivalent resources on a continuing basis; (k) Financial and physical resources for resettlement and rehabilitation will be made available as and when required; (l) Resettlement program will include adequate institutional arrangements to ensure effective and timely design, planning and implementation of resettlement and rehabilitation measures; (m) Adequate arrangements for effective and timely internal and external monitoring will be made on implementation of all resettlement measures; 16 2 LEGISLATIVE FRAMEWORK FOR RESETTLEMENT Resettlement and land acquisition issues under the proposed Project savings and subsequent subprojects will be addressed under the guidance of the laws governing the Arab Republic of Egypt to this regard and the World Bank’s OP 4.12. The RPF represents the reference to be used in managing land acquisition issues and addressing the involuntary resettlement and displacement of people related to WB financed projects. EETC shall be committed to complying with the national and WB laws and policies and to any future amendments to them. 2.1 Government of Egypt Relevant Legislation It is the Government of Egypt’s policy to pay compensation or offer assistance to people whose lands and properties are affected by projects undertaken by the Government. This section pertains to the means, causes, and the competent authorities entrusted with the implementation of the provisions and rules of the administrative law, civil law, in addition to the law related to the expropriation of private property for public interest. In addition, this section also covers the restrictions, the conditions of the legality of procedures applied by the administration at its disposal, and the consequences of property expropriation, in addition to the legal procedures for the possession of private property. 2.1.1 Administrative Authority’s Decision Making Responsibilities The main objective of the state, represented by its executive authority through the issuance of administrative decisions for the public benefit, is to achieve public interest. The state (administrative authority) uses various means to exercise this diversified activity that is readily perceived in the administrative affairs and reflected in the legal affairs. In accordance with Article 35 of the constitution developed and agreed upon during the referendum 14-15 of January 2014 "The private ownership is guarantee and the inheritance is validated for. It is not allowed to suspend the ownership unless certain conditions mentioned by a Law. No expropriation might take place but for the public benefit. Fair compensation should be paid in advance according to the Law." As well as, article 63 of the Constitution: “All types of involuntary relocation using force or excessive violence is banned and whoever violating this article will be brought to court" According to this article, it is understood that amicable procedures for the private property expropriation is guarantee by law. The competent jurisdiction shall be entitled to take cognizance of the lawsuits raised by individuals against the administration for appropriate compensations. Other relevant laws governing expropriation and consequent compensation procedures include:  Law 577/54, which was later amended by Law 252/60 and Law 13/162, lays down the provisions pertaining to the expropriation of real estate property for public benefit and improvement, 17  Law No. 27 of 1956, which stipulates the provisions for expropriation of districts for re-planning, upgrading, and improvement, and the amended and comprehensive Law No.10 of 1990 on the expropriation of real estate for public interest. The general provisions guiding expropriation of private property (according to Law 577/54, Law No. 27 of 1956, Law No. 252 of the year 1960) include the following: 1 Property expropriation shall be only on tangible real estate property, there shall be no expropriation of movable possessions. 2 Applicable only to property privately owned by individuals, thus, public property is excluded from the procedures. 3 The expropriation shall include land and constructions (structures). 4 The purpose of expropriation shall only be for realizing public interest. 5 The administrative authority has the right to assess the circumstances related to expropriation as well as the authority for implementation of property expropriation, which is justifiable by the objective of achieving public benefit. The administrative authority may not be challenged or judged on the grounds that it could have chosen more appropriate real estate property to achieve public benefit than the one that it has already chosen. 6 The administration shall estimate the area it sees necessary for the establishment of a project. This right shall not be only restricted to the real estate property required for the project; but the legislator empowered the administration to also include expropriated property. According to Article 23 of Law 577/1954: “If the purpose of the property expropriation is the establishment of a squares, streets, or their expansion, modification, demarcation, or the establishment of a new district, or for its improvement/ upgrading or beautification, or for any health related matter; property expropriation may include, in addition to the real-estate property needed for the project, any other real-estate property which the administration in charge seems to be necessary to achieve the project’s objective or any other property whose current state (whether in size or form) is not consistent with the required improvement. Moreover, the first article of Law No. 27 of 1956 allows for the expropriation of districts for their improvement, upgrading, re-planning, and reconstruction. Article 24 of Law 577/54 also stipulates that in case only partial expropriation of real estate property is required, and the remaining un-expropriated part will not be of benefit to the owner; the owner shall be given the right to submit a request within 30 days (beginning from the date of final disclosure of the list of the expropriated property) for the purchase of the entire area. It should be noted that the new law has not restricted the right to request the purchase the remaining un-expropriated portion of real estate to buildings only, but it was also extended to include land as well. Law No. 252 of the year 1960, amended by Law 577/54 was promulgated to equilibrate the rights and guarantees for individuals with the rights of the state in expropriating private property. Moreover, this law has stipulated that the assessment of public benefit / interest, which justifies property expropriation, shall be emanated in all cases by a Presidential Decree, while previously it was made by the competent minister. 18 2.1.2 Legal and Administrative Procedures for Transfer of Ownership and Compensation The procedures taken to this regard are administrative, with no judicial interference except in the assessment of the compensation amount. Article 1 of Law 252/60 (amended by Law 577/54) states that the determination of public benefit for the expropriation of private real estate property is subject to Presidential Decree. On the other hand, according to Article 2 of Law 27/1956, the determination of public interest for the expropriation of districts for re-planning and upgrading is subject to a Decree from the Cabinet of Ministers. Enclosed with the decree is:  A memorandum demonstrates that the required project shall be considered of public benefit / interest (to be published with the Decree in an official newspaper and in relevant local administrative units).  A map delineating the project scope.  Two weeks following the publication and promulgation, the official commissioned to the expropriation property procedures is permitted to enter into the real estate to perform the technical and surveying operations and all the necessary demarcations of the expropriated real estate. The steps for ownership transfer are highlighted below: 5 Preparation of a census of all property: The census shall be performed by commissions which consist of a delegate of the entity commissioned to perform the expropriation (i.e. the Governorate, Ministry of Agriculture, etc.) and one of the local officials from the Governorate. A registered notice shall be sent to notify the concerned person. All owners and those with rights or entitlements to the expropriated property shall meet up with the commission in the project area during the census process in order to guide the commission members with regards to their property rights. The commission shall report the minutes of the procedures, which shall include all property and their owner names and addresses. The members of the commission and the owners shall sign the census report. If anyone refuses to sign, this will be noted in the minutes of the session by justifying the reason for refusal. Entering the expropriated properties from then on shall be subject to the notification of the concerned person. 6 Preparation of statements and evacuation warnings: The expropriating entity shall prepare statements with the number and types of property that shall be expropriated, their size, location, owner’s names and addresses, and compensation values (as per the census report). These statements shall be published in an official newspaper. The owners and tenants shall be warned that they must evacuate the property within a period of maximum 5 months. The owners shall be given a period of 30 days (from the date of submission of the statements) to present their complaints or grievances regarding the data in the statement. If the complaints were not submitted during this 30-day period, the data included in the statements shall be considered conclusive and shall not be subject to any litigation or claim, and in this case the compensation amounts indicated in the statements shall be sent to the identified owners. 7 Transfer of ownership: For those owners with no complains or contestations, the 19 transfer of ownership is simply made by having them sign specific forms for ownership transfer. For property which the owners have not signed the proper forms, the competent minister shall emanate a decision to expropriate the property. The forms and the Ministerial decrees shall then be deposited in the relevant Notary Office. This deposit regarding the real estates shall generate the effects caused by the declaration of the sale contract. According to it, the property shall be transferred to the administrative authority that expropriates the property, and the rights incumbent on the real estates shall be transferred to the compensation amounts. 8 Compensation assessment: Property expropriation shall only be made against a fair compensation in accordance to constitutional provisions. The legislator has put forth some principles which should be taken into consideration with regards to compensation assessment: a. The compensation assessment for property expropriation shall not include structures, plants / crops, improvements / additions, or tenant agreements if it has been proved that the aforementioned acts were performed in order to acquire higher compensation. The legislator has provisioned that every act taken to this regard, after the publication of the decision for expropriation for public benefit in the official newspaper, shall be considered as an act performed for increasing the compensation value. Accordingly, these acts should be ruled out in the assessment of the compensation amount (Article 25: Law No. 577 of 1954, and Article 7: Law No. 27 of 1956). b. If the compensation amount for the un-expropriated part, in projects other than urban planning, increases or decreases (due to activities causing general public benefit), the increase or decrease in amount should be taken into consideration so that the amount to be added or reduced shall not exceed 50% of the compensation value of the expropriated property (Article 19: Law No. 577 of 1954). c. If the value of the property subject to expropriation for the upgrading or re- planning of districts /cities is increased as a result of the implementation of a public benefit project, the increase in value shall not be calculated in the compensation assessment if the property expropriation is performed within 5 years from the date of implementation in the previous project (Article 20: Law No. ٥77 of 1954). d. For real estate subject to improvement due to public benefit works (district/city re-planning and upgrading projects), the owners shall be obliged to pay for the improvements, provided that the payment does not exceed 50% of the actual expenses for establishing or expanding the street or square which resulted in the improvement. This provision shall also be applicable if only part of the property within the district/city re- planning/upgrading projects is expropriated, and the authority in charge has deemed that that keeping part of the real estate by the owner does not conflict with the purpose of the intended project. The assessment of the aforementioned charges made by the authority in charge of organizing affairs shall not be subject to any appeal (Law No. 577 of 1954). In order to avoid delays, which may prevent owners from acquiring their compensation in due, time, Law No. 14 of 1962 has provided for a new provision in Article 21', which states that “Half of the value of the expropriated property that has entered into the 20 improvements areas shall be disbursed, while the second half of the value shall be deposited in the trust funds of the competent authority, until the owner submits a certificate issued from the competent authority that demonstrates the payment in return for the improvements made to the property. 2.1.3 Disputes The procedures for expropriation are administrative by nature and usually rapidly implemented. Accordingly, the abrogation proceedings, compensation disputes, and all actions related to the expropriation property will not stop the expropriation procedures nor prevent its consequences; rather, the owner’s right for compensation is addressed (Article 26: Law No. 577 of 1954). However, the rapidity of these procedures should not prevent the owners and concerned persons from claiming and ensuring their rights. Accordingly, the legislator has distinguished two different redress mechanisms: 1 For compensations not related to the compensation assessment: Such as those pertaining to the actual right of the expropriation. In this case, the authority in charge of the expropriation process shall be responsible for investigating these disputes in order to pay the due compensation value (Article 11: Law No. 11 of 1954 and Law No. 11 of 1956). 2 Disputes over compensation assessment: These disputes are subject to legal jurisdiction as follows: The authority in charge of the expropriation procedures shall refer the disputes over the compensation assessment submitted to court. The court shall examine the complaint quickly and its judgment shall be conclusive. 2.1.4 Temporary Expropriation of Real Estate The right of the public authority to expropriate needed real estate property also includes the right to temporarily occupy / take over this privately owned property. Law No. 577 of 1954, Law No. 27 of 1956, and the new Law No. 10 of 1990 pertaining to property expropriation, include provisions regarding temporarily occupying property: Summarized below are the legal provisions for two particular cases: 1- Occupation of Real Estate Property Prior to Expropriation: If the administration resorts to interim or temporary occupation of privately owned real estate, the time frame should be identified. However, if the temporary occupation is conclusive, the administration shall resort to the regular expropriation procedures (mentioned above). In order to save time, the new legislation has allowed the administration to occupy prior to the completion of the expropriation procedures (Article 16: Law No. 577 of 1954). According to the amendment of Law No. 252 of 1960, “except in emergencies and hasty cases that require the occupation of real estates to perform necessary reparation works, upgrading, and other work, temporary occupation of real estate for public benefit is subject to a Presidential Decree (to be published in an official newspaper). The legislator has included some provisions guiding this case: a. The administration cannot resort to this before the issuance of the decision that the expropriation of this specific property is considered to be of public benefit. b. The real estate owner has the right to compensation for not being able to get access or us his / her property, starting from the date of actual occupation until the payment of the due compensation as a result of the property expropriation. c. The owner of the real estate has the right to dispute / contest the value of the assessed compensation, for preventing him/ her from using or gaining access to his / her property, through the same process for grievance redress on the assessed compensation for property expropriation. In this case, it will not be allowed to 21 remove any structures or buildings (which have been occupied) until the re- estimation of value has been conclusively made. d. In the case of expropriation of districts, the property and buildings will not be expropriated until alternative dwellings have been provided for those who lost their homes. e. Temporary Occupation: If the administration needs to manage a real estates for an interim / temporary period that does not justify the expropriation of the property, and accordingly the administration takes over only the management while the ownership remains with its official owner. Summarized below are the legal provisions for two particular cases:  Necessity (Hastiness / Rapidity): As stated in Article 17 “…in case of sinking, or severing of a bridge, or the outbreak of an epidemic, and in all emergency cases, it is permissible to temporarily take over / occupy the needed real estates to perform reparation works, prevention, or other kinds of work”.  Public Benefit Project: Law No. 577 of 1954 states that the occupation decision in both cases aforementioned shall be issued by the “Director” or the Governor (Article 17), while Article 2 of the previous law concerning the occupation decisions identified the Governor as the person in charge issuing temporary occupation decisions in case of emergency / hastiness. In any other case, the aforementioned law designates a Presidential Decree for the implementation of temporary occupation.  Procedures: Real estate temporary occupation only requires that a representative from the competent entity to identify the type f real estate, size, and condition upon occupation. If this is done, the competent entity is then able to occupy the real estates without having to take other measures.” To simplify the procedures to the previous figure, that could be justified in the occupation case for emergency or rapidity.  Compensation: Within a week of the occupation date, the competent authority shall determine the compensation value for the concerned persons / owners in return for losing access and use to their property temporarily. The owners shall have the right to dispute the assessed compensation as previously noted.  Occupation Period: The maximum period for temporary occupation is 3 years, beginning from the actual occupation date. If the administration deemed it necessary to extend the occupation period for over 3 years, this may be done through agreement with the owner. However, if no agreement is reached the property shall be expropriated and the administration shall be responsible for returning the property to the owner in its original status, at the time of occupation, along with compensation for any of spoilage or decrease in its value. 2.1.5 Introduction of New Articles to the Law on Property Expropriation for Public Benefit No. 10 of 1990 The legislator deemed it necessary to amend the law to reflect new developments that have occurred, beginning from the administrative decentralization process in the local governance system and the transformation of many public entities into separate public bodies, each being a separate legal entity, independent from the state, and a budget, independent from the public budget. The new amendment of this law states that the authority requesting the property expropriation shall be responsible for the payment of compensation value and in representing itself in legal litigations before the jurisdiction. 22 Article 2 of the Law No. 10 of 1990 has identified public benefit activities to be:  Construction of roads, streets, squares, or their broadening, modification, paving, or the constructing of entirely new districts.  Sanitary drainage and water projects  Irrigation and drainage projects  Electricity / power projects  Construction of bridges and the surface paths (slides, lower passages, or modifying them)  Transportation projects  Urban / rural planning and improvement of infrastructure  All activities that are considered to be of public benefit as per any other law  Other public benefit activities may be added as per Cabinet of Ministries Decree(s)  The decision ruling public benefit activities shall be in accordance with a Presidential decree and shall have a memorandum of the project enclosed. The new law has introduced / specified, through Article 6, the members of the compensation assessment commission. The commission is made at the Governorate level, upon a Decree by the Minister of Water Resources and Irrigation, and consisting of a delegate from the Ministry’s Surveying Body (as President), a delegate from the Agricultural Directorate, a delegate from the Housing and Utilities Directorate, and a delegate from the Real Estate Taxes Directorate in the Governorate. The compensation shall be estimated according to the prevailing market prices at the time of the issuance of the Decree for Expropriation. 2.2 World Bank Safeguard Policies The WB’s policy on Involuntary Resettlement sets forth all the resettlement requirements and principles which will be well considered and fully applied in the proposed project. 2.3 Gaps between Egyptian Regulations and World Bank Policies The gaps between Egyptian regulations and World Bank policies are summarized in Table 2-1: 23 Table 2-1: Comparison of Egyptian regulations with World Bank policies Topic Egyptian legislative requirements World Bank policy requirement Measures to bridge the gaps Calculation of According to prevailing prices in the Full replacement cost In most cases, prevailing market price can Compensation affected area and assessed by a reflect the replacement cost of affected specialized committee for that purpose assets. In case, there is no market price as reference for some affected assets, the compensation rate will be determined based on actual cost in consultation with affected persons Squatters Not included in the legislation Are to be provided resettlement This has to be clearly considered in any assistance (but no compensation for resettlement action and offered options (Applied cases for resettlements revealed land) whether through alternative shelters or that squatters have been compensated as a fair compensation that enables them to result of political sensitivity) find other shelter. Resettlement Not included Affected people are to be offered Specific assistance will be designed and assistance support after displacement, for a included in the Resettlement Action transition period. Plan. Vulnerable Groups Not Included Particular attention to be paid to Provisions on assistance to vulnerable vulnerable groups, especially those groups will be included in the below the poverty line, the landless, the resettlement action plan.. elderly, women and children, indigenous peoples, ethnic minorities. Information and Displaced persons are provided timely Displaced persons and their Affected groups should get access to full Consultation and relevant information. communities are provided timely and information about the resettlement relevant information, consulted on process and options for compensation. Not consulted on resettlement options resettlement options, and offered Not able to participate in planning, opportunities to participate in planning, Participatory planning and decision making implementing and monitoring resettlement will be applied in resettlement options and implementing, and monitoring compensation resettlement. Grievances Specialized committees for that purpose Appropriate and accessible grievance The affected groups are offered the and time mechanisms to be established. direct channel for grievance and receive redress in proper time prior to One month to object to the decision of resettlement. resettlement Four months to object to the compensation value 24 2.4 EETC Current Procedures for Land Acquisition and Crop Compensation The RPF of the Wind Development Project presented the procedures that EETC is following for land acquisition and crop compensation. This has also been elaborated further in the prepared RAP for the same project. EETC will be using the same approach and procedures for planning and implementing any resettlement activities related to the project savings. 25 3 ELIGIBILITY CRITERIA FOR AFFECTED PERSONS 3.1 Defining Affected Persons Project affected persons (PAPs) are defined in this policy framework as individuals who may be subjected to adverse economic, social, or cultural impacts by the WB’s assisted projects. These impacts may constitute anything from the loss of physical assets such as land, farm lands, crops, commercial properties, homes, personal belongings, sources of income, and cultural / historical / religious sites, to nonphysical assets such as social capital and cultural networks and activities. Moreover, adverse impacts also include the loss of access to the physical and non-physical assets and the involuntary restriction of access to legally designated parks and protected areas. |Table 3-1 highlights some of the key losses that may arise from land acquisition. Table 3-1: Possible Losses from Land Acquisition Land  Agricultural land (rented or owned)  Access to land Structures  Houses or living quarters (rented or owned)  Other physical structures (rented or owne Income  Income from crops  Income from wage earnings  Income from affected business  Access to formal employment opportunities Communal1  Public Schools  Public Hospitals  Markets  Cemeteries  Social capital: networks, activities, relationships Environmental  Access to natural resources  Negative environmental impacts resulting from land acquisition or from the project itself 3.2 Eligibility Criteria All APs who suffer a complete or partial loss of assets or access to assets shall be eligible for some kind of assistance, according to their legal rights to the land, if it can be proven that they occupied the land before the claim cut-off date. The Bank OP4.12 specifically proposes three general categories for eligibility as illustrated in Table 3-2 Table 3-2: Criteria for Eligibility (OP 4.12) Displacement Category Entitlement 1 The projects should not be permitted to infringe on or damage in any way public cemeteries or private graveyards or graves physical assets. If extremely necessary, such cases shall be subject to the laws of the Government of Egypt to this regard. 26 Individuals who have formal  Compensation for loss in land and assets at full replacement legal rights to land (including cost. customary and traditional  In case of physical relocation, provide assistance during rights recognized under the relocation (i.e. moving allowances) and residential housing and laws of Egypt) / or agricultural sites with productive and location advantages equivalent to the lost sites.  Support after displacement, until livelihoods and standards of living are restored to pre-displacement levels.  Development assistance in addition to compensation measures (i.e. land preparation, credit facilities, training, job opportunities). Individuals who do not have  Compensation for loss in land and assets at full replacement formal legal rights to land, but cost. have a claim to such land or  In case of physical relocation, provide assistance during assets (provided that such relocation (i.e. moving allowances) and residential housing and claims are recognized under / or agricultural sites with productive and locational advantages Egyptian laws or become equivalent to the lost sites. recognized through a process  Support after displacement, until livelihoods and standards of living are restored to pre-displacement levels. identified in the resettlement  Development assistance in addition to compensation measures plan) (i.e. land preparation, credit facilities, training, job opportunities). Individuals who have no  Resettlement assistance as appropriate (i.e. land, assets, cash, recognizable legal right or employment, etc.). claim to the land they are occupying (i.e. squatter settlements, disputed ownership). In addition, all individuals in possession of properties (i.e. land, houses, structures) that may be adversely affected by any of the projects’ activities (i.e. construction, rehabilitation, etc.) shall also be eligible for some sort of compensation which shall be identified in the resettlement plan depending on the type of damage. 3.3 Estimated potential resettlement impacts The field observations, consultation with EETC teams on the level of the HQ and zones revealed that the main potential resettlement impacts, if any, might associate to the rehabilitation of the exiting OHTL in the form of limited temporary impacts on crops as a result of temporary change in the land use in the project area. According to EETC, the length and description of the OHTL to be rehabilitated is described in the table below: 27 Table 3 -3 Summary of land nature within the routes of the existing OHTL to be rehabilitated Name of Length (km) Route nature Route nature now Transmission Line during construction 220kV, OHTL, 35 Desert land Cultivated land Menouf/ Tahrir Badr 220kV, OHTL, 32 Desert land Cultivated land Sadat/El-Bostan 220kV, OHTL, 45 Desert land Cultivated land Menouf/ Basous 220kV, OHTL, El- 40 Desert land Cultivated land Manayef/ Abu- Soltan 220kV, OHTL, 80 Desert land Desert land Suez2/ Badr Total 232 Source: Report on “Upgrading Exiting Overhead Transmission Lines” EETC, April, 2014 As indicted above, around 160 km of the total 232 km targeted routes are located in agriculture land. The targeted OHTL was constructed by the ends of sixties of the last century. No compensation had been provided as part of constructing this OHTL because the land was mostly of desert nature with no users. EETC indicated that the process of replacing conductors has very special characteristics in terms of the speed and efficiency of the process. These existing OHTLs are connected to the National Grid and loaded with critical loads which are difficult to shut-down. The National Electricity Control Center work to minimize the impact of the shutting down by limiting the works to specific days (weekends and holidays… etc) and very limited number of hours. Work has to be accomplished efficiently in order for the line to return back to service as quickly as possible. EETC indicted also that the technology used in changing the conductors limits the damage to the crops. From their side, EETC will be using all possible efforts to avoid the occurrence of negative impacts on crops by carrying out the work in full consultation with farmers and trying to work after harvesting the crops when the land is free of any occupations. EETC indicated that they will be closely coordinating work with farmers in order to minimize the impacts on crops. Before the start of any civil works and in case damaging crops proved unavoidable, EETC should prepare a RAP and all resettlement impacts should be handled as stipulated by the RAP/ARAP which should be approved by the Bank. EETC will be paying compensation to PAPs based on the principles of OP 4.12 on Involuntary Resettlement and the Egyptian legislations. EETC is quite familiar with the RAP preparation process. Moreover, crop compensation as part of OHTL projects has been a common practice for EETC in case any damage to the crop takes place. This will be done as per the process explained in the RPF of 28 the Wind Power Project and the price list published by the local agriculture associations whose members will be representative in the valuation committee. No potential involuntary resettlement impacts are expected to result for the other 2 components, namely Hurghada North GIS Substation and its interconnections and Al- Qusair GIS Substation and its interconnections. As explained in Chapter 1, the land of the 2 sub-stations is officially state owned land and has been allocated by the Red Seas Governorate for the project. The transmission line and the associated towers will be located in desert area with no impacts expected on any land or structures form the establishment of this transmission line. 29 4 METHODS OF VALUATION OF AFFECTED ASSETS AND COMPENSATION 4.1 Asset Valuation The valuation of losses in physical assets will be carried out by assessing the market value of the assets, if known, and estimating the replacement cost. Replacement cost is simply calculated as the cost of replacing the lost assets plus any transaction costs associated with brining the asset to pre-displacement value. However, the valuation of crops will mainly rely upon the price lists developed by the Agriculture directorate and revisited annually. Replacement cost will differ depending on the type of asset, as illustrated in Table 4-1. Table 4-1: Replacement Cost for Tangible Assets Asset Replacement Cost Agricultural Land Equals the pre-project or pre-displacement, whichever is higher, market value of land of equal productive potential or use located in the vicinity of the affected land, plus the cost of preparing the land to levels similar to those of the affected land, plus the cost of any registration and transfer taxes. Urban Land Equals the pre-displacement market value of land of equal size and use, with similar or improved public infrastructure facilities and services and located in the vicinity of the affected land, plus the cost of any registration and transfer taxes. Houses / Other Equals the market cost of the materials to build a replacement structure Structures with an area and quality similar to 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 the cost of any labor and contractors’ fees, plus the cost of any registration and transfer taxes. Source: WB OP 4.12 For intangible losses that cannot easily be valued in monetary terms (i.e. access to employment opportunities, public services, natural resources, social capital), the subprojects should attempt to establish access to equivalent resources and earning opportunities that are acceptable to the PAPs. 4.2 Compensation Compensation will be provided to all individuals whose assets or access to assets are affected or damaged, as a consequence of land acquisition or any other activities undertaken by the projects. The compensation for the loss of physical and nonphysical assets will vary depending on the type of loss, and eligibility of the PAPs. Compensation may come in the form of cash compensation, in-kind compensation, and/or assistance. 30 All PAPs will be entitled to monetary compensation at replacement cost, at market value (at the entitlement cut-off date) for affected tangible assets. Another option may be in-kind compensation where the affected assets would be replaced with an asset of similar size, value, and quality. The decision on which type of compensation is used should be jointly agreed upon between the project staff and the PAPs and shall be subject to the availability of replaceable assets. Moreover, development and resettlement transitional assistance needed to restore the livelihood and standard of living of PAPs under the subproject to pre-project levels shall also be part of the compensation component of any resettlement plan (i.e. short- term jobs, subsistence support, moving allowance, salary maintenance, food assistance, etc.). It should be noted here that compensation for losses in communal property shall only be in- kind for the community as a whole, and shall take the form of reconstruction of the affected or damaged facility (i.e. public school buildings, markets, etc.) to - at least - the same standard it was on prior to the project’s implementation. 5 ENTITLEMENT MATRIX Each RAP should develop a resettlement matrix that identifies the expected negative impacts from the project, the eligible persons for compensation, and the compensation policy that will be applied. Since the detailed activities under this project have not yet been specifically identified, Table -5 is entitlement matrix that may serve as a generic tool for identifying the possible losses arising from the expected projects and the respective entitlement benefits of the PAPs. 31 Table 5-1: Entitlement Matrix for Affected Persons Type of Level of Entitled Person(s) Compensation Policy & Standards Remarks Losses Impact Agricultural Land Loss of Permanent Farmers / Individuals  Provide cash compensation at  arable and (complete who have formal legal replacement cost for the lost land2 grazing or partial) ownership rights to plus the cost of preparing the land agricultural loss of land to levels similar to those of the land or arable and affected land, plus the cost of any access to it grazing land registration and transfer taxes. located in  Provide cash compensation for the project loss of crops or trees at site replacement cost. Farmers / Individuals  Provide development and who do not have transitional assistance in locating formal legal new replacement lease land. ownership rights to  Provide cash compensation for land but have loss of crops or trees at temporary or leasing replacement cost. rights Farmers / Individuals  No compensation for land. who do not have any  Provide landless PAPs with recognizable legal resettlement assistance in securing right or claim to the temporary or lease rights to land replacement land  Provide cash compensation for loss of crops or trees at replacement cost. Temporary3 Farmers / Individuals  No compensation for land if  If the temporary loss continues for (complete who have formal legal returned to owner in less than one more than one year, PAPs will be or partial) ownership rights to year. given a choice of either continuing 2 Calculated at entitlement cut-off date. 3 Temporary here refers to a period of up to 3 year maximum (in conformance to the Government of Egypt’s Legislation). 32 Type of Level of Entitled Person(s) Compensation Policy & Standards Remarks Losses Impact loss of all or land  Provide cash compensation with the temporary arrangements, part of equivalent to the replacement cost or selling the affected land to the arable and at market price of renting the land project at full replacement cost at grazing land during the temporary use. current market value located in  Provide cash compensation for  Provision of development the project loss of crops or trees at assistance to enable farmers / land site replacement cost and owners to restore land to its compensation for loss of net previous condition or better quality income from subsequent crops that by providing measures to improve cannot be planted for the duration land quality in cases of land being of the lease. adversely affected. Farmers / Individuals  No compensation for land if who do not have returned to owner in less than one formal legal year. ownership rights to  Provide cash compensation land but have equivalent to the replacement cost temporary or leasing at market price of renting the land rights during the temporary use.  Provide cash compensation for loss of crops or trees at replacement cost and compensation for loss of net income from subsequent crops that cannot be planted for the duration of the lease. Farmers / Individuals  No compensation for land if  Provision of development and who do not have any returned to owner in less than one resettlement assistance to landless recognizable legal year. PAPs with no legal rights. right or claim to the  Provide cash compensation for land loss of crops or trees at replacement cost. Urban Land (Residential and /or Commercial) Loss of Permanent Individuals who have  Provide cash compensation at  urban (complete formal legal replacement cost of land of equal 33 Type of Level of Entitled Person(s) Compensation Policy & Standards Remarks Losses Impact residential or partial) ownership rights to size and use, with similar or or loss of land improved public infrastructure commercial urban facilities and services and located in non-arable residential the vicinity of the affected land, land or or plus the cost of any registration access to it commercial and transfer taxes. non-arable  In the case that there are structures land on the land, provide cash compensation at replacement cost for the materials used to rebuild the structures or to partially repair an affected structure. Individuals who do  In the case that there are structures not have formal legal on the land which have been built ownership rights to by the users, provide cash land but have compensation at replacement cost temporary or leasing for the materials used to rebuild rights the structures or to partially repair an affected structure.  Provide development and transitional assistance in locating new replacement lease land Individuals who do  Provide no compensation for land. not have any  In the case that there are structures recognizable legal on the land which have been built right or claim to the by the users, provide cash land compensation at replacement cost for the materials used to rebuild the structures or to partially repair an affected structure.  Provide landless PAPs with resettlement and transitional assistance in securing alternative commercial or residential land and 34 Type of Level of Entitled Person(s) Compensation Policy & Standards Remarks Losses Impact to restore their livelihoods. Temporary Individuals who have  No compensation for land if  If the temporary loss continues for (complete formal legal returned to owner in less than one more than one year, PAPs will be or partial) ownership rights to year. given a choice of either continuing loss of land  Provide cash compensation with the temporary arrangements, urban equivalent to the replacement cost or selling the affected land to the residential at market price of renting the land project at full replacement cost at or during the temporary use current market value commercial  Provide cash compensation for  Provision of assistance to enable non-arable loss of crops, trees, or structures at the land users owners to restore land replacement cost land to its pre-subproject condition Individuals who do  No compensation for land if by providing measures to improve not have formal legal returned to owner in less than one land quality in cases where land is ownership rights to year. adversely affected land but have  Provide cash compensation temporary or leasing equivalent to the replacement cost rights at market price of renting the land during the temporary use  Provide cash compensation for loss of crops, trees, or structures at replacement cost Individuals who do No compensation for land if  Provision of resettlement assistance not have any returned to owner in less than one to landless PAPs with no legal recognizable legal year. rights right or claim to the  Provide cash compensation for land loss of crops, trees, or structures at replacement cost Structures or Buildings (Commercial, Business, Industrial, or Residential) Loss of Permanent Individuals who have  Provide cash compensation at  structures or (complete formal legal replacement cost which equals the access to or partial) ownership rights to market cost of materials used to them loss of the structures build a replacement structure with structures similar area and quality, or to repair 35 Type of Level of Entitled Person(s) Compensation Policy & Standards Remarks Losses Impact a partially affected structure, plus the cost of transporting building materials to the construction site, plus the cost of any labor and contractors’ fees, plus the cost of any registration and transfer taxes. Individuals who do  Provide assistance in moving and  A 3-months notice - at least - to be not have formal legal finding similar and affordable given to the tenants. ownership rights to rental accommodation (this may land but have include moving allowance and temporary or leasing rental allowance for a transitional rights (tenants) period). Individuals who do  Provide cash compensation at  The Environmental and Social not have any replacement cost for the structures Officer may look into the recognizable legal if they were built by the users. possibilities of formalizing the right or claim to the  Provide assistance in moving and structures following their repair. land (squatters and finding similar and affordable persons in ownership rental accommodation (this may dispute) include moving allowance and rental allowance for a transitional period). Standing Crops, Trees, and Plants Loss of Permanent Farmers or individuals  Provide cash compensation for  standing crops, (complete or who cultivate the land loss of crops, trees, or plants at trees, or plants partial) loss of and who have formal replacement cost. or access to standing legal ownership rights to them crops, trees, or the land on which the plants crops are Farmers or individuals  Provide cash compensation for who do not have formal loss of crops, trees, or plants at legal ownership rights to replacement cost. land on which the crops are but have temporary or leasing rights (tenants) 36 Type of Level of Entitled Person(s) Compensation Policy & Standards Remarks Losses Impact Farmers or individuals  Provide cash compensation for who do not have any loss of crops, trees, or plants at recognizable legal replacement cost. right or claim to the land on which the crops are Income or Access to Income (Commercial, Business, and Industrial Activities) Loss of Permanent Owner or workers in  Provide transitional cash  A list of available commercial, source of loss of formal registered compensation until new permanent industrial, and business activities in income or income businesses employment is secured based on each affected commune access to source or net income (for a maximum period  A list of PAP and entitled persons. source of access to it of 6 months).  The Environmental and Social income  Provide development assistance to Officer shall assist in the provision PAPs (i.e. training in specific areas) of development assistance to in order to help them to maintain severely affected PAPs and and/or improve their income vulnerable groups (i.e. design generation potential and access to training programs, formalizing gainful employment. informal activities, access to credit, Owner or workers in  Provide transitional cash including them in the project’s informal unregistered compensation until new contractors’ specifications wherever businesses employment is secured based on possible). minimum wage per month in the respective district (for a maximum period of 6 months)  Priority shall be given to severely affected PAPs in the provision of any relevant employment in the activities related to the project. Temporary Owner or workers in  Provide cash compensation for the loss of formal registered duration of business/income income businesses generation that is disrupted based source or on net income. access to it Owner or workers in Provide cash compensation for the informal unregistered duration of business/income generation 37 Type of Level of Entitled Person(s) Compensation Policy & Standards Remarks Losses Impact businesses that is disrupted based on the minimum wage per month in the respective district. Community Resources Loss of Permanent All members of the  Affected land will be replaced in community (complete community areas identified in consultation with assets or or partial affected communities and relevant access to loss) of organizations and authorities. them community  Provide alternative or similar physical resources to compensate for the assets loss of access to community physical resources Temporary All members of the  Restoration of affected community (complete community buildings and structures to original or partial or better condition loss) of  Provide alternative or similar community resources to compensate for the physical temporary loss of access to assets community physical resources Loss of Permanent All members of the  Provide development assistance to  Identify different forms of social socio- (complete community enable community members to capital from PAPs’ point of view economic or partial take advantage of income (i.e. social credit, networks, social and/or loss) of restoration measures noted above. cohesion, etc.) social- community  Provide alternative or similar  Consultation with PAPs to identify cultural non- resources to compensate for the measures to rectify the permanent relationships physical loss of access to community social or partial losses in social capital. / networks assets capital. or access to Temporary All members of the  Provide development assistance to them (complete community enable community members to or partial take advantage of income loss) of restoration measures noted above. community  Provide alternative or similar non- resources to compensate for the physical temporary loss of access to 38 Type of Level of Entitled Person(s) Compensation Policy & Standards Remarks Losses Impact assets community social capital. 39 5.1 Organizational Arrangements and Procedures for Delivery of Entitlements 5.1.1 Institutional and Organizational Arrangement The institutional set up within EETC has been developing since the preparation of the RPF for this project in 2010. EETC has been preparing and implementing a number of RAPs for the Wind Development Project and other projects. Assigning a team of social development officer on the level of the headquarter and the zones has become an obvious necessity. EETC has developed ToRs and assigned a team of social development officers (SDO) to be in charge of the following main responsibilities:  Writing ToRs for the consultancy assignments related to social assessments including resettlement planning.  Supervising and supporting the consultant during the preparation of social assessment and RAP  Review the prepared social assessment and RAPs  Implement the various measures stipulated in the assessments and action plans. As part of the process of the implementation the RAP and the delivery of entitlement, EETC team of SDOs will be in charge of the following main responsibilities:  Lead the process of consultation with PAPs and informing them about their entitlement.  Participate (as members) in the compensation committees  Raise PAPs awareness of the project  Ensure GRM is established and published on the local level.  Maintain grievance records and work to resolve complaints  Disclose information to PAPs on the local level using locally appropriate methods.  Report to EETC management and the Bank on the progress made in resettlement. The project will be implemented in 3 of EETC zones, namely Canal Zone, Delta Zone and Alexandria and West Delta Zone. SDOs on the level of these zones and the HQ will be in full charge of implementing the resettlement plan under the management of the PIU. 5.2 Preparation of Resettlement Action Plans Any activity under the project saving that shall entail the acquisition of land or may result in the involuntary resettlement of people or loss or restriction of access to private or communal resources will require the preparation of a RAP or abbreviated RAP depending on the number of people affected or the significance of the resettlement impacts. It is worth noting here that EETC has prepared a RAP for the transmission line of Samalout Gulf of Suez as part of the Wind Power Development Project. This RAP has been approved by the Bank and was disclosed locally and in the infoshop. In case any of the project components under the project savings require the preparation of a RAP, EETC will be using the same developed and approved RAP as guide along with this supplementary RPF. 40 EETC will either contract an independent consultant to prepare the RAP or will prepare it in- house with contributions from the HQ and the zones Social Development Officers. The commencement of the census to be conducted under the RAP will be the cut -off date. This will be announced to the public and only the PAPs included in the results of the inventory will be considered as eligible for compensation. The RAP should assess the number of PAPs, propose alternative locations for the sub- projects if possible, identify the eligibility criteria, include provisions for compensation and assistance, and address the means by which the sub-project monitoring and evaluation will take place to ensure that the PAPs receive their compensation and that their grievances are heard and addressed. The mitigation measures and compensation policies proposed in the RAP shall be disclosed to the PAPs for feedback and comments. More specifically, the RAP should include:  A description of the sub-project  Identification of potential impacts  Objectives of RAP  Relevant findings of the socio-economic study  Legal framework  Institutional framework  Eligibility criteria and eligible PAPs  Valuation and compensation for losses  Resettlement measures  Site selection, site preparation, and relocation  Housing, infrastructure, and social services  Environmental protection and management  Community participation  Integration with host populations  Grievance procedures  Organizational responsibilities  Implementation schedule  Costs and budget  Monitoring and evaluation 5.3 RAP Review and Approval The RAP, including the proposed mitigation measures within the plan, will need to be reviewed and approved prior to making a decision on whether or not the sub-project shall be implemented. The RAP will be reviewed by EETC before sending to the World Bank for final review and approval. 5.4 RAP Implementation 41 Once the RAP is approved by the Bank, it will be translated into Arabic and disclosed locally as well as in InfoShop at the Bank. EETC team is responsible for implementation of the RAP . 5.5 Signing Compensation Contract and Compensation payment PAPs will be consulted on their compensation preferences and they will be formally informed through written or verbal notification. In case some of the PAPs are illiterate they are notified in the presence of at least one public official who is mainly one of the agriculture association representatives. The Social Officers of EETC will arrange meetings with the PAPs to document the lands acquired (if needed) by the sub-project throughout the implementation period and discuss the compensation process. The PAP will be required to sign a contract detailing the acquired land plots and / or partially or completely affected structures and/ or the amount and type of the affected crop and the corresponding types of compensation (i.e. cash or in-kind) that have been agreed upon. The signature of the compensation contracts as well as the actual payments and in- kind transfers shall be made in the presence of at least one public official from the village authorities. The contracts may also include contracts on possible transitional or developmental assistance and income restoration measures that will be given to the PAPs including, provision of skills training, access to credit, and sub-project related job opportunities. 5.6 Grievance Redress Mechanisms Since the resettlement work will be carried out with the full participation of the PAP, it is expected that no major grievance issue will arise. However, to ensure that the PAP have avenues for redressing their grievance related to any aspect of land acquisition and resettlement, EETC should work to ensure that a grievance system is fully functioning to respond to any grievance on the local level without allowing cases to escalate. The objective is to respond to the complaints of the PAP speedily and in a transparent manner, without resorting to complicated formal channels to the extent possible. As part of Samalout Gulf of Suez RAP which has been prepared under the Wind Power Development Project, a GRM has been designed and disclosed locally along route of the OHTL. EETC should be using the same designed GRM after tailoring it to the new project components. EETC should ensure that the GRM is published locally to PAPs through various locally appropriate methods. GRM disclosure should be completed prior to the construction phase. The designed GRM included 3 tiers for the complainant to use. The first tier is through the Social development officers in the zone. The second tier is the General Manager of Transmission Substation who is based in the zone office. The third tier is EETC HQ Social Officer. The complainant is free to select the suitable tier for him/her and the feedback 42 from each of the 3 tiers should be within a period of two weeks. The designed GRM includes multiple intake points including submission by hand, mail or by email. The complainant through the use of the complaint tracking number, can follow up on their complaints through range of methods including mail, e-mail, phone or by visiting the person in charge, Moreover, and as stipulated by the Egyptian law, the Compensation Committee is responsible for preparing the crop compensation register in coordination with the agricultural association. The crop compensation register is made publicly disclosed in the agricultural association office for a period of 30 days. Any grievances related to the posted crop compensation information should be submitted within 30 days to be investigated by the Compensation Committee. If his grievance was not appropriately solved, the submitting party would be able to raise their complaint to court. However, this will not affect the implementation plan of the project. 5.7 Vulnerable Groups The Egyptian regulation does not specifically state any privileges for those vulnerable groups. However, the World Bank OP 4.12 emphasizes the need to give special attention to the right of vulnerable groups to make sure that they are not excluded from any adopted measures within the overall resettlement actions. By conventional definition, the vulnerable population, are those groups of people who are typically excluded, disadvantaged or marginalized based on their economic, ethnic, social, or cultural characteristics, Various groups could fit within this description (e.g., women, youth, people with disabilities, refugees), there is always a need for a more specific and focused identification for them within the context of the project. Specific attention should therefore be paid to the needs of the following vulnerable groups, including:  Persons below the poverty line,  The landless,  Project affected persons who may not be protected through national land compensation legislation. Vulnerable people will be identified at socio-economic survey stage. And according to the vulnerability of these groups, each RAP developed will identify the following:  Vulnerable people;  The project impact on them;  The required assistance at the various stages of the process: negotiation, compensation, moving,  Necessary measures to assist the vulnerable person,  Means of monitoring and evaluating the continual assistance after resettlement and/or compensation. Assistance provided to vulnerable persons differs depending upon their individual needs and preferences. In general, assistance falls under one or more of the following forms: 43 a. Assistance in the compensation payment procedure (e.g., going to the bank with the person to cash the compensation check), b. Assistance in the post payment period to secure the compensation money and reduce risks of misuse/robbery 44 5.8 Resettlement Monitoring and Evaluation Arrangement In line with World Bank requirements, monitoring the implementation of the resettlement activities will be carried out by the social officers of the zones under the supervision of the social officer on the HQ level. Monitoring should be carried out regularly and the results and findings should be included in the quarterly project progress report. The report will mainly cover resettlement policies and compensation standards, resettlement progress, delivery of resettlement compensation, provision of development and transitional assistance to PAPs (especially vulnerable groups), implementation schedule, fund disbursements, land or structure allocation, and grievances and redress. External Monitoring might be required to ensure that the overall objective of the resettlement plan is achieved in an equitable and transparent manner and ensure the effectiveness of the monitoring and evaluation activities carried out by the social officers of EETC. Monitoring indicators are shown in the following table. Table 5-2: Verifiable Indicators for Monitoring and Evaluation Implementation of Resettlement Activities Monitoring Evaluation Percentage of individuals selecting cash or Proposed use of payments a combination of cash and in-kind compensation Payment of compensation to PAPs in Conformance to compensation policies various categories described in the RAP Number of grievances Timeliness and quality of decisions made on grievances Delivery of technical assistance, Facilitation of access to technical and relocation, payment of transitional development assistance and transitional subsistence and moving allowances allowances Delivery of income restoration and Ability of individuals and households to development assistance re-store sources of income Public information dissemination and Timeliness, quality, and effectiveness of consultation procedures consultation and information disclosure 45 6 Public Consultation and Disclosure 6.1 Consultation carried out during RPF preparation 6.1.1 Consultations with Stakeholders for the rehabilitation of the existing OHTL: As part of the project components, EETC will carry out rehabilitation of ACSR conductors by thermal conductors as indicted earlier in this report Methodology In order to conduct consultation as part of the ESIA and the RPF, EETC has carried out a number of field activities with the aim of engaging with stakeholders. The following are the main objectives of the consultation activities:  Make an announcement and introduction to the project at the targeted areas (Arabic summary was distributed and explained)  Present the various impacts of the project and the mitigation measures suggested to handle these impacts.  Listen to the concerns of stakeholders and incorporate, when feasible, in the ESIA and the RPF. EETC process was a good opportunity to make an announcement about the project at the targeted area. It also raised the sense of ownership of the local people about the project. It was explained during the different meetings with the beneficiaries and stakeholders that the public hearing is very crucial for the development and planning of each project as it will help in forecasting the possible mitigation measures for having better impacts on both the environment and social life. The discussion and used tools helped in understanding the socio-economic characteristics of each community as well as the current conditions of the utilization of electricity. It also ensured the inclusion of different groups inside the community especially the vulnerable and marginalized groups and obtain their views to be integrated in the current study. Key findings from the stakeholders' consultation For the component of the rehabilitation of the existing OHTL, EETC have been consulting sample of the farmers and agriculture associations along the line (List of the names of the interviewed famers in the 2 zones, namely Canal Zone and Delta and West Delta Zone along with key findings from the consultations are attached in Annex 2 and Annex 3). Inviting and collecting farmers have been done in coordination with the Agriculture Associations and community leaders. In general farmers and landowners welcomed the project out of their understanding for the crucial need to enhance electricity provision and solve this critical problem in Egypt. They also indicated that the areas is in need to expand the available power capacity. The rehabilitation of OHTL will 46 meet the increasing demand of energy and reduce the frequent electricity interruptions. The project can provide indirect benefits to these areas through improving the livelihood and creating new job opportunities and later causing flourishing of the economic activities at the area. Summary of the consultation for the rehabilitation Venue: Individual Meetings and in depth interviews through the OHTL Objective: To explain the importance of the project and explain the expected impacts for the project on the surrounding environment, as well as to informing that all affected farmers and landowners will be compensated the event of the occurrence of any damage, with obliging operators of the project complying with the instructions to avoid damaging crops whenever possible. During the consultation events , the farmers were also informed about the grievance mechanism that EETC established and will apply to this project. Table6.1: Main questions and comments raised during the farmers meetings Questions/ Comments Responses How we will compensate? According to the list Crops Prices at the agricultural association which reflect the crops market price. Crops under the tower will have During harvesting time farmers are allowed to harvest their dangerous effect. crops, yet, that will not prevent their right to receive the full compensation for their crops. Are there any impacts from the The project will not result in any shortage in the irrigation lack of water needed for water irrigation? What about the high price of the Rehabilitate of conductors for the transmission lines with electricity billing? thermal conductors, to meet the increasing demand and to increase the OHTLs' transmission capacity and reduce the bottlenecks, has no relation neither to the bills nor to the electricity price Will there be any expropriations Absolutely not of land or buildings as part of the project? What is the role of EETC EETC works in improving of the quality and liability of improving the surrounding area? electricity network on the country level. What is the benefits for us? This project is to strengthen the national electricity network, making a positive impact in solving the problem of power outages and load shading in general. How will EETC get rid of the old Sure, the old conductors will be collected from the sites and replacing conductors? transported to be recycled in the specialized factories. Will be collected from sites or be left neglected? What are the detailed No major environmental impacts are anticipated form the 47 environmental impacts of the project. There is no environmental effects except some dust project in a more specific raised as a result of the replacement which is temporary manner? effects and can be overcome by moisten the soil during work What can we do if the There is a Grievance Redress Mechanism have been compensation prescribed unfair published in farmers' gathering places can be referenced and and unsatisfactory for us? followed in the event of dissatisfaction with the compensation prescribed by the Compensation Committee (Detailed Explanation). Figure 6.1 : Photos for the meetings that have been held with farmers and landowners: 48 49 6.1.2 Consultations with Stakeholders for the Substation and their interconnection: In order to examine the social and environmental considerations about the new project in the South West Coast of Suez Gulf, a consultation process took place with different stakeholders. The consultation with stakeholders is merged in one stage (the consultation workshop after the completion of the first draft report of the ESIA). EETC targeted different relevant stakeholders at different area and community. Different groups including men, women, youth, elderly, officials and representatives from the EETC (HQ and existing substations), active Non-Governmental Organizations in the area, key directorates at the Municipality, adjacent sensitive receptors as well as members of the local community were consulted and were informed of the proposed project. The consultation process for the scoping phase took place on May 13, 2014. In order to hold accountability and transparency with the targeted groups, they were promised to disclose the information and the findings for them by EETC after finalizing the research and conducting the public consultation workshop, the outcomes of the public consultation were integrated into the contents of the Final ESIA to ensure the compliance with the WB guidelines Moreover, there will be consultation during the different phases of the project. As part of the information disclosure to the public about the main findings of the study, an Arabic non-technical summary of the ESIA will be printed out and distributed to relevant stakeholders and representatives from Non-Governmental Organizations. Also, the Arabic executive summary will be uploaded to EETC's website for disclosure. The consultation process was a good opportunity to make an announcement about the project at the targeted area. It also raised the sense of ownership of the local people about the project. It was explained during the different meetings with the beneficiaries and stakeholders that the public hearing is very crucial for the development and planning of each project as it will help in forecasting the possible mitigation measures for having better impacts on both the environment and social life. 50 Merging the consultation process into one stage as designed was necessary due to the shortage on time. The methodology considered the gender representation during the process and respected the cultural privacy of each community. In general the participants welcomed the project. They indicated that the area is in need to expand the available power capacity. The future expansions in Hurghada and the development of the area between Safaga and El-Qusair is expected to meet the increasing demand of energy in future, also. Reduce the frequent electricity interruptions. The project can provide indirect benefits to the area through improving the livelihood and creating new job opportunities as a result especially during construction activities and later causing flourishing of the economic activities at the area. Concerns raised by the surrounding sensitive receptors related to generated noise, dust and EMF are all minimal impacts limited to construction phase. And can be mitigated easily using the recommended mitigation measures. Summary of the consultation for the Substation and their interconnection Date: May 13th, 2014 Venue: Cabinet of the Red Sea Governorate - Hurghada Total number of participants: 30 participants (List of the consultation sign-up sheet is attached in Annex 4) Objective: as follows Presenting the findings of the ESIA study in order to provide impacted parties with adequate non- technical information in order to ensure their understanding of how the project might affect their life and enable them to express their views and concerns. This shall enable EETC to understand better issues related to the project and activities and better respond to them, and to develop a clear mechanism to respond to problems that cause concerns of people, suggestions and complaints. To establish the nature of significance of any stakeholders' interests in the project and to ensure appropriate consultation and participation is undertaken. The purpose of external communication ensuring continuous interaction with the target audience for information about the activities of the implementation of the project, expected benefits and impacts, measures to minimize negative impacts. The main purpose of organizing the public consultation workshop is to hold transparent and accountable information to the public regarding discussing all the details of the project components and activities. The workshop event was announced by EETC in coordination with Red Sea Governorate and (Hurghada, Safaga & El-Qusair municipalities) invited some of the stakeholders individually either by phone or through sending them formal invitations. Non-technical Arabic summary of the project 51 was presented to the invitees with the invitations and the executive summary will also be uploaded on EETC's website. The participants of the workshop have represented different categories and different stakeholders from the targeted areas, the participants have represented different Governmental organizations such as (EETC, Red Sea governorate, surrounding sensitive receptors, and Urban Planning Officers), different representatives from Non-Governmental Organizations session. The workshop started by an introduction about the objectives of the new planned project, and a detailed description for the project which was introduced by EETC. Then the findings of the ESIA study had been presented which was followed by allocating sufficient time for the participants to comment, discuss and raise any issues related to the ESIA study. It was explained before commencing the open discussion that the participants' comments and concerns will be incorporated into the final ESIA report. It was explained that the presentation cannot cover all what have been included in the study; therefore, an Arabic non-technical executive summary will be distributed among all workshop participants, and the EETC has announced that the final report will be made available to the public in the public gathering places, the local municipalities, as well as will be published in the website of the EETC. The discussions as well as the comments which have been raised by the participants have reflected that there are no significant objections on any of the components of any project. However, they emphasized on applying the mitigation measures as proposed in order to alleviate any negative impacts that may arise especially during the construction phase of the projects. The different issues raised during this workshop were highly considered during the production of this final version of the ESIA. The participants were asked to evaluate the workshop at the end of the day. The overall impression about the workshop was positive as most of the participants stated that the ESIA study was inclusive and responded to their main concerns. They were satisfied about the mitigation plan as well as the monitoring and evaluation plan. Some of the participants have emphasized that it is important to consider fair compensation schemes as well as hiring more people from the local communities. 52 Figure 6.2: Photos for the consultation event as part of the substations components: 53 The main comments that were raised by the participants included:- 1) What are the positive impacts of the project on the Local community of Red Sea Governorate? The project has many positive effects including but not limited to: - Increase the Available capacities in Hurghada and El-Qusair. - Improving the electricity feeding quality - Reduce the power outages & load shading periods - Create new job opportunities 2) What is the purpose of the project? As previously explained in the last question, in addition to increasing the capacity of transmission network to accommodate the evacuation of renewable energies (current and future) along the Red Sea Coast. 3) What are the negative effects of the project? The project does not have any negative Impacts, the project place has been selected away from populated areas, some minor temporary effects during the construction phase, such as noise and dust emissions can be considered as all the negative impacts of the project. 4) Will EETC rely on the local population during the work on the project? Of course, the reliance on local labor available is a general trend supported by the policies of the electricity sector, whether it is during the construction phase or the operation phase. 6.2 Consultations arrangements during project implementation During project implementation, when resettlement impacts are involved and a RAP needs to be prepared, consultations with affected persons should be carried out by EETC or through an independent consultant that will be contracted for the RAP preparation process. The SDOs should be working very closely to support and document the consultation process. Prior to or during the consultation, the PAPs should be well informed with the following information: - Project components - Project impacts - PAPs’ legal rights and entitlements - Compensation policies - Resettlement activities - Grievance and redress Mechanism - Implementation schedule - Public consultation and disclosure of information. - Organizational responsibilities. It is crucial that the PAPs and other primary stakeholders are involved in the project from the very early stages, and that relevant and adequate information about the subproject and its activities is provided to them in a timely manner, since this would: 54  Help to identify the project impacts and the affected individuals, households, and communities (especially the most vulnerable groups)  Allow for the collection of more accurate data for the socio-economic survey  Make the delivery of entitlement and services more transparent  Reduce the potential for conflicts and minimize the risk of project delays  Support the formulation and design of resettlement programs and rehabilitation measures that meets the needs and priorities of the affected people 6.3 Information disclosure and local access to information EETC should take steps to ensure that affected persons and communities can obtain relevant information relating to the project in general and the land acquisition and resettlement arrangements in particular. As a first step, the safeguards documents and RAP will be available to the public, in English and Arabic. Additionally, summary contents of the RPF and RAP, including compensation rates for all categories of land and assets, eligibility criteria for all modes of assistance, and information regarding the project grievance procedures, will be posted in an accessible and prominent place accessible to project affected persons. 55 7 BUDGET AND SOURCES OF FUNDING RAPS As soon as the activities triggering IR have been identified and approved by EETC, and the World Bank, realistic cost estimates shall be calculated based on the data collected from the socioeconomic survey on the estimated number of PAPs that are likely to be affected by the subprojects and the quantity and types of affected assets. The budget shall consider all of the anticipated impacts under the sub-project and calculate the cost (compensation, administrative costs and monitoring.... etc) according to actual replacement costs (at market value). EETC is fully responsible for any compensation for crop compensation. Since the size of IR resettlement is difficult to be knows at this stage, it is very difficult to estimate the requirements and sources for a budget associated with the implementation of the OP 4.12. In addition, EETC will be responsible any costs associated to the compensation. 56 ANNEX [1] 57 58 59 ANNEX [2] 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76 ANNEX [3] 77 78 79 80 81 82 83 84 ANNEX [4] 85 86 87