(P169403) May 29, 2019 Central Sulawesi Rehabilitation and Reconstruction Project (P169403) ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP) May 29, 2019 Prepared By: Ministry of Public Works and Housing Republic of Indonesia 1|Page (P169403) May 29, 2019 Ministry of Public Works and Housing Central Sulawesi Rehabilitation and Reconstruction Project (P169403) ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN 1. The Republic of Indonesia is planning to implement the Central Sulawesi Rehabilitation and Reconstruction Project (the Project), with the involvement of the Ministry of Public Works and Housing (MPWH) through the Directorate-General of Housing Provision (DGHP) and Directorate-General of Human Settlements (DGHS). The International Bank for Reconstruction and Development (hereinafter the Bank) has agreed to provide financing for the Project. 2. Subject to further confirmation of the loan request, Republic of Indonesia, through MPWH will implement material measures and actions so that the Project is implemented in accordance with the World Bank’s Environmental and Social Standards (ESSs) under the World Bank’s Environmental and Social Framework (ESF). This Environmental and Social Commitment Plan (ESCP) sets out a summary of the material measures and actions. 3. Where the ESCP refers to specific plans or other documents, whether they have already been prepared or are to be developed, the ESCP requires compliance with all provisions of such plans or other documents. In particular, the ESCP requires compliance with the provisions set out in the environmental impact assessments (AMDAL or UKL-UPL), Stakeholder Engagement Plan, Labor Management Procedures, Resettlement Action Plan, any other documents that will be identified and developed for the Project. 4. The table below summarizes the material measures and actions that are required, as well as the timing of the material measures and actions. The Republic of Indonesia is responsible for compliance with all requirements of the ESCP even when implementation of specific measures and actions is conducted by the two project implementation units under MPWH. 5. Implementation of the material measures and actions set out in this ESCP will be monitored and reported to the Bank by Republic of Indonesia as required by the ESCP and the conditions of the legal agreement, and the Bank will monitor and assess progress and completion of the material measures and actions throughout implementation of the Project. 6. As agreed by the Bank and the Republic of Indonesia, this ESCP may be revised from time to time during Project implementation, to reflect adaptive management of Project changes and unforeseen circumstances or in response to assessment of Project performance conducted under the ESCP itself. In such circumstances, Republic of Indonesia will agree to the changes with the Bank and will update the ESCP to reflect such changes. Agreement on changes to the ESCP will be documented through an exchange of letters signed by the Bank and the Republic of Indonesia. The Republic of Indonesia will disclose the updated ESCP promptly. Depending on the project, the ESCP may also specify the funding necessary for completion of a measure or action. 7. Where Project changes, unforeseen circumstances, or Project performance result in changes to the risks and impacts during Project implementation, the Republic of Indonesia shall provide additional funds, if needed, to implement actions and measures to address such risks and impacts. 2|Page ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): MAY 29, 2019 Central Sulawesi Rehabilitation and Reconstruction Project [P169403] ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN DATE [Draft May 29, 2019] Summary of the Material Measures and Actions to Mitigate the Timeframe Responsibility / Authority and Date of Completion Project’s Potential Environmental and Social Risks and Impacts Resources/Funding Committed ESCP Monitoring and Reporting REGULAR REPORTING: Prepare and submit regular monitoring Six-monthly Project Implementation Units/PIUs It is proposed for reports on implementation of the ESCP. throughout Project (DGHP and DGHS of MPWH) recurring reporting implementation. (six-monthly Source: loan proceeds under throughout Project Project Implementation Support. implementation. INCIDENTS AND ACCIDENTS NOTIFICATION: Prepare and Prior to loan MPWH (DGHP and DGHS) Prior to loan implement an incident reporting procedure as part of a project- effectiveness. effectiveness level Environmental and Social Management Framework (ESMF), Maintain Source: loan proceeds under indicating details of the incident, institutional responsibilities, throughout Project Project Implementation Support. immediate measures to address the reported incident, and implementation. information requirements to be provided by the contractor or supervision engineer as appropriate. SUMMARY ASSESSMENT ESS 1: ASSESSMENT AND MANAGEMENT OF ENVIRONMENTAL AND SOCIAL RISKS AND IMPACTS 1.1 ORGANIZATIONAL STRUCTURE: The Project Management Unit Prior to loan MPWH (DGHP and DGHS) Prior to loan (PMU) to hire at least two personnel as qualified environmental effectiveness. effectiveness, E&S and social specialists with at least five years of relevant Maintain Source of financing: staff to be retained professional experience, to be embedded in the PMU. throughout Project a. MPWH existing budget before until the project’s implementation. effectiveness completion. b. Loan proceeds under the Project Implementation Support 1.2 ENVIRONMENTAL AND SOCIAL ASSESSMENT AND Prior to loan MPWH (DGHP and DGHS) Prior to loan MANAGEMENT INSTRUMENTS: effectiveness. effectiveness Prepare a project-level ESMF which establishes requirements for Implementation of Source of financing: screening and/or to guide the development of specific projects the ESMF will be a. Loan proceeds under Project and sub-projects which may require specific environmental and maintained Implementation Support 3|Page ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): MAY 29, 2019 Central Sulawesi Rehabilitation and Reconstruction Project [P169403] ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN DATE [Draft May 29, 2019] Summary of the Material Measures and Actions to Mitigate the Timeframe Responsibility / Authority and Date of Completion Project’s Potential Environmental and Social Risks and Impacts Resources/Funding Committed social assessments or management plans. The project-level ESMF throughout Project b. Contractors’ E&S budget will have specific requirements on the need for management implementation. plans at project and sub-project levels, such as but not limited to Construction Environmental and Social Management Plans (CESMPs) and Environmental Codes of Practices (ECOPs). 1.3 ENVIRONMENTAL PERMIT AND AUTHORIZATIONS: Prior to MPWH (DGHP and DGHS) Prior to procurement Under Components 1 and 2, obtain relevant environmental procurement of of construction works permits and/or update existing permits in conjunction with the construction works Source of financing: loan proceeds GoI’s environmental permitting requirements, such as AMDAL or under Project Implementation UKL-UPL where relevant. Support The above environmental permits shall be subject to the World Bank’s due diligence. On the basis of which, the World Bank may require the implementing agencies to implement remedial and/or gap filling measures to fully address key provisions under the applicable Environmental and Social Standards (ESSs). 1.4 THIRD PARTY MONITORING: Prior to loan DGHP of MPWH Prior to loan Prepare a Terms of Reference (TOR) under the project’s ESMF for effectiveness effectiveness independent E&S audits for Component 1, indicating the scope, Source of financing: loan proceeds timing, reporting processes and feedback loops. under Project Implementation Support ESS 2: LABOR AND WORKING CONDITIONS 2.1 LABOR MANAGEMENT PROCEDURES: Prior to loan MPWH (DGHP and DGHS) Prior to loan As part of the ESMF specified in 1.2, develop Labor Management effectiveness and effectiveness Procedures (LMP) in accordance with GoI’s legal framework and updated during Source of financing: the ESS 2. This LMP is applicable to direct workers, contracted implementation loan proceeds under Project workers, community workers and primary supply workers. Implementation Support. 4|Page ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): MAY 29, 2019 Central Sulawesi Rehabilitation and Reconstruction Project [P169403] ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN DATE [Draft May 29, 2019] Summary of the Material Measures and Actions to Mitigate the Timeframe Responsibility / Authority and Date of Completion Project’s Potential Environmental and Social Risks and Impacts Resources/Funding Committed a. Loan proceeds under Project Implementation Support b. Contractors’ E&S budget 2.2 GRIEVANCE REDRESS MECHANISM (GRM) FOR PROJECT Initial design for MPWH (DGHP and DGHS) Prior to loan WORKERS: GRM prior to loan and contractors effectiveness As part of the LMP specified in 2.1, develop and maintain a GRM effectiveness. for direct and contracted workers as well as community workers. Source of financing: GRM to be a. Loan proceeds under Project operational and Implementation Support disseminated to b. Contractors’ E&S budget project workers following recruitment and maintained throughout project implementation. 2.3 OHS MEASURES: Prior to loan MPWH (DGHP and DGHS) and Prior to loan As part of the ESMF specified in 1.2, develop and implement effectiveness and contractors effectiveness occupational, health and safety (OHS) measures for project maintained workers in accordance with the ESS 5. throughout Source of financing: project a. Loan proceeds under Project implementation. Implementation Support b. Contractors’ E&S budget 2.4 EMERGENCY PREPAREDNESS AND RESPONSE: Prepare Prior to initiating MPWH (DGHP and DGHS) and Prior to initiating Emergency Preparedness and Response Plan under Components construction works contractors construction works 1 and 2 for the construction period and operation stage. Ensure and maintained (for the construction 5|Page ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): MAY 29, 2019 Central Sulawesi Rehabilitation and Reconstruction Project [P169403] ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN DATE [Draft May 29, 2019] Summary of the Material Measures and Actions to Mitigate the Timeframe Responsibility / Authority and Date of Completion Project’s Potential Environmental and Social Risks and Impacts Resources/Funding Committed workers and contractors are trained and implement the plan in throughout project Source of financing: period). Prior to coordination with measures under 4.4 where relevant. implementation a. Loan proceeds under Project facility handover (for Implementation Support the facility operation b. Contractors’ E&S budget 2.5 PROJECT WORKERS’ TRAINING: Implement training of Project Prior to and during MPWH (DGHP and DGHS) and Prior to and during Workers to heighten awareness of OHS risks as well as construction works contractors construction works community and health safety risks to mitigate impacts on local communities. Source of financing: a. Loan proceeds under Project Implementation Support b. Contractors’ E&S budget ESS 3: RESOURCE EFFICIENCY AND POLLUTION PREVENTION AND MANAGEMENT 3.1 MANAGEMENT OF WASTE AND HAZARDOUS MATERIALS: As Prior to loan MPWH (DGHP and DGHS) and Prior to loan part of the ESMF specified in 1.2, develop and implement effectiveness and contractors effectiveness measures and procedures for the management of waste and maintained hazardous materials during demolition, including dismantling and throughout project Source of financing: disposal activities. implementation. a. Loan proceeds under Project Implementation Support b. Contractors’ E&S budget ESS 4: COMMUNITY HEALTH AND SAFETY 4.1 TRAFFIC AND ROAD SAFETY: In consultation with host Prior to contract Contractors with oversight from Prior to contract communities, develop and implement road safety management award. Maintained PIUs. award measures as part of the ESMF. Contractors will develop road throughout safety management plans as part of the CESMP to address the construction Source of financing: contractors’ impacts on local communities from moving construction activities E&S budget equipment and the transport of workers to the site. 6|Page ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): MAY 29, 2019 Central Sulawesi Rehabilitation and Reconstruction Project [P169403] ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN DATE [Draft May 29, 2019] Summary of the Material Measures and Actions to Mitigate the Timeframe Responsibility / Authority and Date of Completion Project’s Potential Environmental and Social Risks and Impacts Resources/Funding Committed 4.2 COMMUNITY HEALTH AND SAFETY: Prior to contract MPWH (DGHP and DGHS) and Prior to contract a. Develop and implement a noise and vibration management award. Maintained contractors award plan to mitigate disturbance of local communities in the ESMF throughout and in the case of construction by contractors, CESMP. The construction Source of financing: plan will require limited after-hours and weekend traffic and activities a. Loan proceeds under Project Independent experts other activities, emitting noise and vibrations that could affect Implementation Support to be contracted communities. b. Contractors’ E&S budget before detailed design b. Develop and implement measures and actions to assess and is finalized, and manage specific risks and impacts to the community arising before completion of from Project activities, including in relation to Project Workers construction. and any risks of labor influx. c. Engage independent experts to review the design and construction of the infrastructure financed under the project. 4.3 GBV AND SEA RISKS: Develop and implement measures and Prior to loan MPWH (DGHP and DGHS) and Prior to loan actions to assess and manage the risks of gender-based violence effectiveness. contractors effectiveness (GBV) and sexual exploitation and abuse (SEA) as part of the Maintained project’s ESMF specified in 1.2. throughout Project Source of financing: implementation. a. Loan proceeds under Project Implementation Support b. Contractors’ E&S budget 4.4 EMERGENCY RESPONSE MEASURES: Prior to loan MPWH (DGHP and DGHS) and Prior to loan As part of the ESMF specified in 1.2, develop and implement effectiveness. contractors construction measures to address emergency events during the construction Maintained and operation phases in coordination with measures under 2.4 throughout Project Source of financing: where relevant. implementation. a. Loan proceeds under Project Implementation Support b. Contractors’ E&S budget 7|Page ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): MAY 29, 2019 Central Sulawesi Rehabilitation and Reconstruction Project [P169403] ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN DATE [Draft May 29, 2019] Summary of the Material Measures and Actions to Mitigate the Timeframe Responsibility / Authority and Date of Completion Project’s Potential Environmental and Social Risks and Impacts Resources/Funding Committed 4.5 TRAINING FOR THE COMMUNITY: Conduct training for the Prior to and during All PIUs and contractors Prior to and during community designed to heighten awareness of risks and to construction works Source of financing: construction works mitigate impacts, including a GRM procedure available to them. a. Loan proceeds under Project Implementation Support b. Contractors’ E&S budget ESS 5: LAND ACQUISITION, RESTRICTIONS ON LAND USE AND INVOLUNTARY RESETTLEMENT 5.1 DUE DILIGENCE FOR LAND ACQUISITION: In the case that the Prior to initiating MPWH (DGHS and DGHP in Prior to initiating government has obtained land for the new sites for the construction works consultation with the Provincial construction works development of the new settlements for permanent housing,1 Land Agency and district and the PMU/PIUs shall carry out due diligence (or hence known as a municipal governments tracer assessment) to ensure that the legal status of the land is free of any encumbrances (‘clean and clear’). Provide evidence Source of financing: loan proceeds that any competing claims have been settled in accordance with under Project Implementation the provisions of ESS-5. Support 5.2 RESETTLEMENT POLICY FRAMEWORK (RPF): Develop an RPF as Prior to loan MPWH (DGHP and DGHS) Prior to loan part of the project’s ESMF specified in 1.2., describing policies, effectiveness effectiveness procedures and processes that will be followed throughout the Source of financing: loan proceeds project in the course of mitigating adverse social impacts due to under Project Implementation project-related land acquisition, restriction on land use and Support involuntary resettlement. 1 Suitability of land has been assessed by the government, BNPB, BPBD and experts that the areas are livable, habitable and safe and in accordance with the (revised) spatial development plan. 8|Page ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): MAY 29, 2019 Central Sulawesi Rehabilitation and Reconstruction Project [P169403] ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN DATE [Draft May 29, 2019] Summary of the Material Measures and Actions to Mitigate the Timeframe Responsibility / Authority and Date of Completion Project’s Potential Environmental and Social Risks and Impacts Resources/Funding Committed 5.3 RELOCATION PLANS (RP): Develop and implement Relocation Prior to MPWH (DGHP and DGHS) in Prior to construction Plans consistent with the requirements of Government of construction coordination with works and maintained Indonesia’s law and regulation as well as ESS5 for the works. Maintained district/municipal governments throughout relocation development of the permanent housing. The plan will include throughout project processes details of consultations and engagement with affected people, implementation Source of financing: loan proceeds livelihoods restoration measures and available GRM processes to (and possibly under Project Implementation both relocated and host communities. beyond) Support 5.4 MONITORING AND REPORTING: Appoint a qualified independent Appointment prior MPWH (DGHP and DGHS) in Prior to the monitor for the implementation of the Relocation Plans. Ensure to implementation coordination with implementation of that monitoring and reporting on land acquisition and of Relocation Plans district/municipal governments Relocation Plans and resettlement activities are conducted separately or as part of Monitoring maintained regular reporting. throughout the Source of financing: loan proceeds throughout relocation implementation of under Project Implementation processes Relocation Plans Support 5.5 GRIEVANCE MECHANISM: Develop and implement the GRM is operational MPWH (DGHS and DGPP) in After loan arrangements for the grievance mechanism for relocation (if and disseminated coordination with respective effectiveness and established separately from the grievance mechanism under after loan district/municipal governments implemented through ESS10) effectiveness Source of financing: loan proceeds relocation process under Project Implementation Support ESS 6: BIODIVERSITY CONSERVATION AND SUSTAINABLE MANAGEMENT OF LIVING NATURAL RESOURCES 6.1 BIODIVERSITY RISKS AND IMPACTS: Prior to loan MPWH (DGHP and DGHS) and Prior to loan As part of the ESMF specified in 1.2, develop and implement effectiveness. contractors effectiveness, to be screening procedures to mitigate biodiversity risks and impacts Maintained revisited during resulting from the proposed infrastructure and guidelines for throughout project Source of financing: loan proceeds implementation (prior responsible timber sourcing in conjunction with the ESS 6 and the implementation. under Project Implementation to location selection) GoI’s legal framework. Support 9|Page ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): MAY 29, 2019 Central Sulawesi Rehabilitation and Reconstruction Project [P169403] ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN DATE [Draft May 29, 2019] Summary of the Material Measures and Actions to Mitigate the Timeframe Responsibility / Authority and Date of Completion Project’s Potential Environmental and Social Risks and Impacts Resources/Funding Committed ESS 7: INDIGENOUS PEOPLES/SUB-SAHARAN AFRICAN HISTORICALLY UNDERSERVED TRADITIONAL LOCAL COMMUNITIES 7.1 INDIGENOUS PEOPLES PRESENT OR COLLECTIVELY ATTACHED Prior to loan MPWH (DGHP and DGHS) Prior to loan TO PROJECT AREA: effectiveness and effectiveness, to be Conduct an assessment in conjunction with action 1.2 to screen maintained Source of financing: loan proceeds revisited during the presence of Indigenous Peoples as per-ESS 7 in the project throughout project under Project Implementation implementation areas and other relevant footprints (i.e., watershed) and implementation Support understand the nature and degree of the expected direct and indirect economic, social, cultural and environmental impacts on these community groups. 7.2 INDIGENOUS PEOPLES PLAN: Following MPWH (DGHP and DGHS) Prior to loan Confirm on the basis of the social assessment (action 7.1) completion of effectiveness, to be whether Indigenous Peoples are present and whether they will screening in the Source of financing: loan proceeds revisited during be adversely affected. In the event that adverse impacts are proposed sites. under Project Implementation implementation anticipated on the basis of a social assessment (action 7.1), Support develop and implement an Indigenous Peoples Plan (IPP) or In the event of Community Development Plan (CDP) consistent with the adverse impacts, requirements of ESS7. These plans will also include a separate implement IPPs GRM for these groups. prior to undertaking In the event that Indigenous Peoples’ presence can only be activities that confirmed during sub-project implementation, develop and could cause implement an Indigenous Peoples Planning Framework (IPPF) as material or part of the project’s ESMF specified in 1.2. significant adverse risks or impacts 10 | P a g e ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN (ESCP): MAY 29, 2019 Central Sulawesi Rehabilitation and Reconstruction Project [P169403] ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN DATE [Draft May 29, 2019] Summary of the Material Measures and Actions to Mitigate the Timeframe Responsibility / Authority and Date of Completion Project’s Potential Environmental and Social Risks and Impacts Resources/Funding Committed ESS 8: CULTURAL HERITAGE 8.1 CHANCE FINDS: Develop and implement a chance find procedure Prior to loan MPWH (DGHP and DGHS) Prior to loan as part of the ESMF specified in 1.2. effectiveness and effectiveness maintained Source of financing: throughout Project a. Loan proceeds under Project implementation. Implementation Support b. Contractors’ E&S budget ESS 10: STAKEHOLDER ENGAGEMENT AND INFORMATION DISCLOSURE 10.1 SEP PREPARATION: Develop a Stakeholder Engagement Plan Initial draft prior to MPWH (DGHP and DGHS) Prior to appraisal (SEP) that describes how information will be provided to and appraisal and received from stakeholders. The SEP will include and describe a updated prior to Source of financing: MPWH’s grievance mechanism. Board approval. (DGHP and DGHS) budget 10.2 SEP IMPLEMENTATION: Implement the Stakeholder Engagement SEP operational MPWH (DGHP and DGHS) and After loan Plan, including grievance mechanism, information dissemination after loan contractors effectiveness and and consultations regarding emergency preparedness and effectiveness and Source of financing: maintained response, and training of project workers and communities. maintained a. Loan proceeds under Project throughout project throughout project Implementation Support implementation implementation b. Contractors’ E&S budget Capacity Support Specify Training to be provided Specify Targeted Groups and Specify Training Completed Timeframe for Delivery To be identified during project implementation. To be identified during project To be identified during project implementation. implementation. 11 | P a g e