RP1459 v7 MINISTRY OF TRANSPORT DIRECTORATE FOR ROADS OF VIETNAM PROJECT MANAGEMENT UNIT 3 ================= COMPENSATION, ASSISTANCE AND RESETTLEMENT POLICY PROPOSED FOR VIET NAM ROAD ASSET MANAGEMENT PROJECT (VRAMP) Prepared by: HA NOI BRANCH OF INVESTMENT AND ENVIRONMENT PROTECTION CONSULTATION COMPANY E.P.C Phone: (84).46.673.5808 - (84).43.748.0373 Email: hanoiepc@gmail.com Compensation, Assistance and Resettlement Policy proposed for VRAMP ABBREVIATION DCRC District Compensation Assistant Resettlement Committee DMS Detailed Measurement Survey EIA Environmental Impact Assessment EMP Environmental Management Plan GOV Government of Viet Nam HH Household LURC Land Use Right Certificate MOT Ministry of Transport NH National Highway RNIP Road Network Improvement Project OP Operational Policy PC Public Consultation PCC Provincial Compensation Committee PDOT Provincial Department of Transport PID1 Project Implementation Division 1 PMU3 Project Management Unit No 3 PPC Provincial People’s Committee RP Resettlement Plan ROW Right-of-way USD or $ United States Dollars VND Vietnamese Dong WB World Bank (including IDA) Prepared by: Hanoi Branch E.P.C Co., Ltd 1 Compensation, Assistance and Resettlement Policy proposed for VRAMP GLOSSARY Project impact means any consequence immediately related to the taking of a parcel of land or to restrictions in the use of legally designated parks or protected areas. People directly affected by land acquisition may lose their home, farmland, property, business, or other means of livelihood. In other words, they lose their ownership, occupancy, or use rights, because of land acquisition or restriction of access. Displaced people refers to individuals, organizations or businesses that are directly affected socially and economically by Bank-funded projects caused by the involuntary taking of land and other assets that results in (i) relocation or loss of shelter; (ii) loss of assets or access to assets; or (iii) loss of income sources or means of livelihood, whether or not the affected persons must move to another location. In addition, displaced person is one for whom involuntary restriction of access to legally designated parks and protected areas that result in adverse impacts on livelihoods also. Cut-off-date The date of completion of inventory of losses during preparation of the RP. Displaced Persons and local communities will be informed of the cut-off date for each project component, and that anyone moving into the Project Area after that date will not be entitled to compensation and assistance under the Project. Eligibility means any person who at the cut-off-date was located within the area affected by the project, its sub-components, or other sub- project parts thereof, and would have their: (i) standards of living adversely affected, (ii) rights, titles, or claim in any land (agricultural, grazing or forest), house or structure (be it residential, commercial permanent or temporary), or (iii) production assets such as business, occupation, place of work, residence, or habitat, or (iv) access to assets adversely affected (e.g. fishing rights). Replacement cost is the method of valuation of assets that helps determine the amount sufficient to replace lost assets and cover transaction costs. For agricultural land, it is 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. For land in urban areas, it is 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. For houses and other structures, it is the market cost of the materials to build a replacement house/structure with an area and quality similar to or better than those of the affected house or structure, or to repair a partially affected house/structure, plus the cost of any labor and contractors’ fees Prepared by: Hanoi Branch E.P.C Co., Ltd 2 Compensation, Assistance and Resettlement Policy proposed for VRAMP plus the cost of any registration and transfer taxes. In determining the replacement cost, depreciation of the asset and the value of salvage materials are not taken into account, nor is the value of benefits to be derived from the project deducted from the valuation of an affected asset. Where domestic law does not meet the standard of compensation at full replacement cost, compensation under domestic law is supplemented by additional measures so as to meet the replacement cost standard. In applying this method of valuation, depreciation of houses/structures and assets should not be taken into account. For losses that cannot easily be valued or compensated for in monetary terms (e.g., access to public services, customers, and suppliers; or to fishing, grazing, or forest areas), attempts are made to establish access to equivalent and culturally acceptable resources and earning opportunities. Such additional assistance is distinct from resettlement assistance to be provided. Resettlement in Bank terminology, covers all direct economic and social losses resulting from land taking and restriction of access, together with the consequent compensatory and remedial measures. Resettlement is not restricted to its usual meaning- physical relocation. Resettlement can, depending on the case, include (a) acquisition of land and physical structures on the land, including businesses; (b) physical relocation; and (c) economic rehabilitation of displaced persons (DPs), to improve (or at least restore) incomes and living standards. Vulnerable groups distinct groups of people who might suffer disproportionately or face the risk of being further marginalized by the effects of resettlement and specifically include: (i) women headed household (single, widow, disabled husband) with dependents, (ii) disables (loss of working ability), the elderly alone, (iii) poor people according to the criteria issued by the MOLISA, (iv) the landless, and (v) ethnic minority groups. Livelihood Livelihood is defined as a set of economic activities including freelance and salaried work by using endowments (both human and material) in order to meet the requirements of the self and his/her household on a sustainable basis with dignity. The activities are usually carried out repeatedly. Prepared by: Hanoi Branch E.P.C Co., Ltd 3 Compensation, Assistance and Resettlement Policy proposed for VRAMP 1. Introduction The Government of Viet Nam expects to have a credit from the World Bank for the implementation of Viet Nam Road Asset Program (VRAMP). The purposes of the project is to establish a financial basis, sustainable institutional arrangements in order to manage and upgrade the road system, develop for the economy in the North and Central regions of Viet Nam. The project would be implemented in Thai Binh, Hai Duong and Hung Yen Provinces and include of four components: Component A: Road Asset Management This component aims to setting-up of the road database framework, development of comprehensive road asset management system. Component B: Road Asset Preservation. The Project will finance for the road preservation program including NH 2, NH 5, NH 6, NH 18, and NH 48 with diversified contract forms including Traditional maintenance Contracts, Performance-based maintenance Contracts. Some Performance-based maintenance Contracts have been implemented in the Road Network Improvement Project (RNIP). The project also finance for completion of PBC legal framework and comparing the effectiveness of maintenance methods. Component C: Road Asset Improvement The project will finance the improvement of some key national highways in the north including NH38, NH39, NH39-1 and 04 bridges of over 25m on NH38B those have already been in the investment list under RNIP but have not been implemented due to a shortage of funds. Comprehensive investment on these bridges will help to increase the effectiveness of routes that have been upgraded through RNIP. Component D: Institutional Strengthening Program. Component D will finance the necessary technical assistances for the reforms and renovation of human resource for DRVN, Implementation of Road Fund, and Development of standard drawings on infrastructure facilities. This component also includes audit services for the project. In which, the component C - Road Asset Improvement would require land acquisition for the project construction, other components would not require land acquisition. Resettlement Policy for VRAMP is prepared to implement compensation, assistance, resettlement and likelihood restoration for affected people by project. The objective of Resettlement Policy is reconcilement of regulations on compensation, support and resettlement of Vietnam Government and WB policies on involuntary resettlement. This Resettlement Policy is based on summary resettlement policy OP 4.12 of the WB and Laws, Prepared by: Hanoi Branch E.P.C Co., Ltd 4 Compensation, Assistance and Resettlement Policy proposed for VRAMP Decrees, Guideline Circulars on compensation, assistance and resettlement of the Vietnam Government, with reference to the results on social impact assessment and stakeholder consultation during project preparation. This Resettlement Policy will be applied to all subprojects in VRAMP required land acquisition, compensation and resettlement (as defined above). 2. Legal basis Compensation, assistance and resettlement policy proposed for the VRAMP is based on Laws, Decrees, Guideline Circulars and Decision of compensation and resettlement of the Vietnam Government and involuntary resettlement policy of the World Bank OP 4.12. 2.1. Laws, Decrees, Circulars and Decision of compensation and resettlement of the Vietnam Government Laws, juridical documents of the Socialist Republic of Vietnam and Decisions of Project provinces People’s Committee applied are as follows: - Constitution of the Socialist Republic of Vietnam dated April 15, 1992; - Land law dated November 26, 2003; - Decree No.181/2004/ND-CP of the Vietnam Government dated October 29, 2004, guiding the implementation Land Law; - Decree No.188/2004/ND-CP of the Vietnam Government dated November 16, 2004, on methods of determining land prices and land price framework; - Decree No. 197/2004/ND-CP of the Vietnam Government dated December 03, 2004 on compensation, assistance and resettlement when the State acquires land; - Decree No. 198/2004/ND-CP of the Vietnam Government dated December 03, 2004 on colection of of land use fee; - Decree No. 38/2013/ND-CP dated April 23, 2013 of the Government, on management and use of official development assistance (ODA) and concessional loans of donors, replacing Decree No.131/2006/ND-CP dated November 09, 2006; - Decree No. 84/2007/ND-CP of the Vietnam Government dated May 25, 2007on additional regulations on granting land-use rights certificates; land acquisition; implementing land-use rights; settling land claims; and orders and procedures for compensation and resettlement when the State acquires land; - Decree No. 123/2007/ND-CP of the Vietnam Government dated July 27, 2007 on amendment and supplement of a number of articles in Decree No. 188/2004 on Nov 16, 2004 on determination methods of land prices and land price frame; - Decree No. 69/2009/ND-CP of the Vietnam Government dated August 13, 2009 on additional regulations on land use planning, land prices, land acquisition, compensation, assistance and resettlement; Prepared by: Hanoi Branch E.P.C Co., Ltd 5 Compensation, Assistance and Resettlement Policy proposed for VRAMP - Circular No. 114/2004/TT-BTC of the Finance Ministry dated November 26, 2004 on guidelines on Decree No. 188/2004/ND-CP of Nov 16, 2004 on identification methods of land prices and land price frame; - Circular No. 06/2007/TT - BTNMT issued on June 15, 2007 of the Ministry of Natural Sources and Environment on the implementation guidelines of Decree No.84/2007NĐ-CP issued on 25th May 2007 regarding additional regulations on granting land using certificate, land acquisition, implementation of land using, procedures for compensation, assistance and resettlement when the State acquires land and redress grievances about land acquisition; - Circular No.145/2007/TT-BTC dated December 6, 2007 guiding on the implementation of Decree No.188/2004/ND-CP dated November 16, 2004 on methods of determining land prices and land price frame; - Circular No.14/2009/TT-BTNMT dated January 10, 2009 of the Ministry of Natural Resource and Environment, regulating detailed regulations on compensation, assistance and resettlement and procedures of land acquisition, land allocation and land lease; - Decree No.11/2010/ND-CP dated 24 February 2010 of the Government on the management and protection for the roads. - The Prime Minister’s Document No.1665/TTg-CN, dated 17/10/2006 on the implementation of the management of site clearance and demining to serve traffic construction projects. - Policies of the project provinces (Thai Binh, Hai Duong and Hai Hung) on Land Acquisition, Compensation, Assistance and Resettlement. 2.2. The World Bank’s policy on Involuntary Resettlement The experience of the World Bank shows that impact of involuntary resettlement under development projects are not minimized, it often cause severe impacts on economy, society and environment such as destroying production system, damages on material and immaterial assets (i.e.: building, land, forest resource, cultural destinations, economic assets and cultural and social activities). Such impacts may be permanent or temporary. Therefore, the WB’s policy OP 4.12 and the guidelines include safeguard measures to resolve and minimize these risks. The overall objectives of the Bank's policy on involuntary resettlement are the following: (a) Involuntary resettlement should be avoided where feasible, or minimized, exploring all viable alternative project designs. (b) Where it is not feasible to avoid resettlement, resettlement activities should be conceived and executed as sustainable development programs, providing sufficient investment resources to enable the persons displaced by the project to share in project Prepared by: Hanoi Branch E.P.C Co., Ltd 6 Compensation, Assistance and Resettlement Policy proposed for VRAMP benefits. Displaced persons should be meaningfully consulted and should have opportunities to participate in planning and implementing resettlement programs. (c) Displaced persons should be assisted in their efforts to improve their livelihoods and standards of living or at least to restore them, in real terms, to pre-displacement levels or to levels prevailing prior to the beginning of project implementation, whichever is higher. 2.3. Gap Analysis and Gap-Filling Measures Because there are main gaps between the WB’s Policy on Involuntary Resettlement and Viet Nam’s legislation, Project summarized and analyzed the different between policies with participation of project provinces, and proposed measures to address the differences, are outlined in Table 1 below. Prepared by: Hanoi Branch E.P.C Co., Ltd 7 Compensation, Assistance and Resettlement Policy proposed for VRAMP Table 1: MAIN GAPS BETWEEN COMPENSATION, ASSISTANCE AND RESETTLEMENT POLICIES OF GOVERNMENT’S AND WORLD BANK’S AND PROPOSED POLICIES FOR PROJECT. World Bank ‘s Comments of People’s Policy Proposed policy for Committee of Thai Binh, Policy GoV’s Policy Notes the Project Hai Duong, Hung Yen (OP 412) Province Land/ Property Policy DP (Displaced Resettlement site and its Livelihood, income People’s Committee of Comments of Hai Duong PPC will objectives People) should be infrastructure should have sources and assets Hai Duong province: be not meet objectives of WB assisted to restore or equal or better are restored to equal Unable to accomplish policy on Involuntary Resettlement improved their living development conditions or better than before Income restoration and OP4.12. standards to the pre- than the existing one. the project. Rehabilitation assistance project levels. (Article 35, Decree policy. 197/2004/ND-CP). Treatment of Rehabilitation In case of land is not Rehabilitation People’s Committee of According to WB’s Policy (OP informal or not assistance to all eligible to compensation, assistance to all DPs, Hung Yen province: 4.12): legal land displaced persons to PPC will consider to regardless of their Affected informal or not Rehabilitation assistance to all DPs users achieve the policy assist. (Article 6, Decree legal status. legal land users will be not to achieve policy objectives. objective. 197/2004/ND-CP). compensated for land, but will be compensated or assisted for assets on land and supported life stabilization. Models of assistance will be identified after preparing resettlement plan and consulting affected households. Prepared by: Hanoi Branch E.P.C Co., Ltd 8 Compensation, Assistance and Resettlement Policy proposed for VRAMP World Bank ‘s Comments of People’s Policy Proposed policy for Committee of Thai Binh, Policy GoV’s Policy Notes the Project Hai Duong, Hung Yen (OP 412) Province Compensation Compensation at Depending on the severity Assistance at People’s Committee of Comments of Thai Binh PPC are for illegal replacement cost for and legality of land, replacement cost for Thai Binh province: not meet WB’s requirement. structures all structures houses and buildings to be all structures, and Recommend applying the Comments of Hai Duong PPC are regardless of legality compensated, the provided regardless current policy of Vietnam not meet WB’s requirement. status. maximum assistance by of legal status. on compensation, assistance 80% of the compensation Comments of Hung Yen PPC are for illegal structures on not meet WB’s requirement on cost as stipulated in land. Article 19 of Decree Involuntary Resettlement OP4.12. 197/2004/ND-CP (Article People’s Committee of According to Decree 20, Decree 197/2004/ND- Hai Duong province: No.38/2013/ND-CP dated 23 April CP) Recommend applying local 2013 of the Government, if there is evaluation for compensation gaps between policies, the agencies (demolished structures), managing the project must report easy to implement and such to the Prime Minister for ensure the rights of DPs. consideration and decision. Compensation for trees, After approved proposed policy, crops and assets on land: the Client and Safeguard Recommend to apply Consultant will coordinate with compensation rates by local authorities to train, guide and 100% as unit price enacted check compliance when implement by the province. this policy. People’s Committee of Hung Yen province: Recommend applying the Gov’s Policy. Prepared by: Hanoi Branch E.P.C Co., Ltd 9 Compensation, Assistance and Resettlement Policy proposed for VRAMP World Bank ‘s Comments of People’s Policy Proposed policy for Committee of Thai Binh, Policy GoV’s Policy Notes the Project Hai Duong, Hung Yen (OP 412) Province Compensation Methods for Compensation for lost Compensation for lost Independent People’s Committee of 1. Acknowledged comments of determining land and other assets land is calculated at price appraiser identifies Thai Binh province: Thai Binh province and added compensation should be paid at full close to transferring the market price as a 1. Interviewing people to definitions: replacement costs for replacement cost. land use right in the reference for PPC to the agricultural land is transfer rates replacement cost survey on market. (Article 11, define compensation agricultural land will not price for the same purpose. Decree 69/2009/ND-CP). price. give accurate results, 2. Compensation at replacement because most of the transfer cost is required in WB’s policy of agricultural land to be OP4.12. Appraiser will identify used for agricultural market price and PPC will appraise purposes is very little before carrying out compensation. (mainly to other purposes). 3. In OP 4.12 there are acquiring 2. Recommend to apply unit 10% or less and acquiring more price enacted by PPC on than 10% of agricultural land area. compensation, assistance Project proposed two levels: lose for agricultural land. 20% (10% for vulnerable group) or 3. Recommend to define by less and more than 20% (10% for regulations assistance for vulnerable group) of agricultural land. agricultural land acquisition, in which classified into two levels: acquiring from 10% to 30% and acquiring more than 30% of total agricultural landholdings. Prepared by: Hanoi Branch E.P.C Co., Ltd 10 Compensation, Assistance and Resettlement Policy proposed for VRAMP World Bank ‘s Comments of People’s Policy Proposed policy for Committee of Thai Binh, Policy GoV’s Policy Notes the Project Hai Duong, Hung Yen (OP 412) Province People’s Committee of Hung Yen province: Recommend applying unit price enacted annually by PPC on compensation, assistance for agricultural land; recommend supporting life stabilization for individual households losing 10% or more of agricultural land. Compensation All income losses Income loss is assisted All income losses People’s Committee of Comments of Hai Duong PPC will for income should be only for registered are to be Hai Duong province: be not meet objectives of WB loss compensated. business. (Item 2, Article compensated and Impacts on income and policy on Involuntary Resettlement 20, Decree 69/2009/ND- restored. business: Recommend to OP4.12; Item 2, Article 1, Decree CP and Item 2, Article 28, apply local regulations. 197/2004/ND-CP specified: Where Decree 197/2004/ND-CP). the international agreements which Vietnam has signed or acceded to contain provisions different from those of this Decree, the provisions of such international agreements shall apply and provisions in Decree No.38/2013/ND-CP dated April 23, 2013 of the Government on management and use of official development assistance (ODA) and concessional loans of donors, replacing Decree No.131/2006/ND- CP dated November 09, 2006. Prepared by: Hanoi Branch E.P.C Co., Ltd 11 Compensation, Assistance and Resettlement Policy proposed for VRAMP World Bank ‘s Comments of People’s Policy Proposed policy for Committee of Thai Binh, Policy GoV’s Policy Notes the Project Hai Duong, Hung Yen (OP 412) Province Compensation It is good practice for It is not addressed. Social assessment for indirect the borrower to undertaken and impact caused undertake a social measures taken to by land or assessment and minimize and structures implement measures mitigate adverse taking to minimize and impacts, particularly mitigate adverse upon poor and economic and social vulnerable groups. impacts, particularly upon poor and vulnerable groups. Livelihood Provision of Livelihood restoration and Provision of restoration and livelihood restoration assistance measures are livelihood assistance and assistance to provided. Not a follow up restoration and achieve the policy for full livelihood assistance to achieve objectives. restoration after the policy resettlement completion. objectives. Consultation Stakeholders Is limited mostly to Participation and disclosure participate in planning information sharing and designed and and implementation disclosure. (Article 30 and implemented to specially confirming 31, Decree 69/2009/ND- achieve policy the eligibility criteria CP). objectives for compensation and assistance and access to Grievances Mechanisms. Prepared by: Hanoi Branch E.P.C Co., Ltd 12 Compensation, Assistance and Resettlement Policy proposed for VRAMP World Bank ‘s Comments of People’s Policy Proposed policy for Committee of Thai Binh, Policy GoV’s Policy Notes the Project Hai Duong, Hung Yen (OP 412) Province Grievance and Grievance and redress The same body makes Independent redress mechanisms should decisions on grievance and mechanisms be independent compensation, redress mechanisms resettlement and initial to be established. handling of grievances. Stakeholders will be (Article 40, Decree provided enough 69/2009/ND-CP). information and documents on independent grievance and redress mechanisms. Monitoring & Internal and External There is no explicit Both internal and Evaluation independent requirement on external monitoring monitoring are monitoring, including both are defined. required. internal and independent (external) monitoring. 3. Entitlement matrix for the affected persons under VRAMP. The Entitlement matrix for the affected persons under VRAMP is shown in the Table 2 below. Prepared by: Hanoi Branch E.P.C Co., Ltd 13 Compensation, Assistance and Resettlement Policy proposed for VRAMP Table 2: An Entitlement Matrix Type of Impact/Loss Eligibility/ application Entitlement 1. LOSS OF 1.1 Owners of land The affected land is (i) Cash compensation for their acquired land at 100% replacement cost. AGRICULTURAL with (i) LURC or less than 20% of the (ii) Compensation for affected assets at 100% replacement cost. LAND (ii) in the process of total land area or less than 10% for (iii) Cash assistance per m2 as set out in PPC’s policies. acquiring LURC or vulnerable group. (iii) are eligible to obtain LURC The affected land is (i) As priority, compensation "land for land" with equivalent productive from 20% of total land capacity at a location acceptable to the APs, or, if requested by the or from 10% for DPs, or if "land for land" is not available, cash compensation for the vulnerable group. lost land at replacement cost. (ii) Compensation for affected assets at 100% replacement cost. (iii) Cash assistance per m2 as set out in PPC’s policies. (iv) Receive income restoration assistance and other assistances. 1.2. Land user are not eligible to legalize (i) Will not be compensated for land but will be compensated for loss of assets on land such as structures, crops and trees at 100% replacement cost. (ii) If DP is mainly earning income from agriculture, local authorities could consider allocating land for the DP based on the conditions of locality. 1.3. Agricultural lands that are rented between Compensation for land will be paid to Land use owner but compensation at households or individuals. 100% replacement cost of the assets will be paid to the land-users. Prepared by: Hanoi Branch E.P.C Co., Ltd 14 Compensation, Assistance and Resettlement Policy proposed for VRAMP Type of Impact/Loss Eligibility/ application Entitlement 2. LOSS OF 2.1. Owners of land Fully affected (i) Relocation options are to be provided to DPs: RESIDENTIAL LAND with (i) LURC or (Includes DPs whose - Self-relocate: Beside of compensation for acquired land at (ii) in the process of remaining area is not replacement cost, DPs are entitled to receive an allowance for acquiring LURC or enough for reconstruct preparing and levelling ground floor at the new resettled place as (iii) are eligible to of their houses). regulated in Decree 69/2009/ND-CP or obtain LURC: - Allocated land in the resettlement sites with full infrastructure. (ii) Compensation for affected assets at 100% replacement cost. (iii)Provision of allowances due to relocation of house, as regulated in item 9 below. Partially affected (i) Cash compensation for their acquired land at 100% replacement cost. (DPs whose remaining (ii) Compensation for affected assets at 100% replacement cost. area is enough to rebuild the house) 2.2. Land users are not eligible for (i) Compensation for affected assets at 100% replacement cost. compensation (illegal land users). (ii) If the land-user is not eligible for compensation and has no other place to reside, the user will be assisted to buy a plot or an apartment in a tenement house or with cash equivalent. 3. IMPACT ON Regardless of ownership/usage conditions. (i) DPs will be compensated for their affected structures by 100% STRUCTURES replacement cost without deduction of salvage material or depreciation. Impact on Houses and building facilities and (ii) The compensation prices are calculated based on the actual affected Impact on other structures. areas. Each structure should be evaluated individually. 4. COMPENSATION Renters of Project affected houses and land - A transportation allowance provided to tenants. TO LOSS OF RENTAL - Assistance in finding a new rental house if required will be provided STATUS Whenever possible, DPs should be given choices among several options. Renters of State or organization’s houses - Provided with new apartment for rent, if possible, or - Assisted at 60% of replacement cost for the market value of the rented land and houses Prepared by: Hanoi Branch E.P.C Co., Ltd 15 Compensation, Assistance and Resettlement Policy proposed for VRAMP Type of Impact/Loss Eligibility/ application Entitlement 5. GRAVES/TOMBS Households whose graves/tombs are affected DPs are fully compensated for the moving expenses, reburial and other by the Project. related costs. 6. AFFECTED Persons having crops/trees damaged. Compensation is paid to DPs currently in cultivation at the market price of CROPS/TREES crops/trees and/or at the replacement cost of damaged crops/trees. 7. IMPACTS ON Eligible owners of registered business (i) Compensation for loss of income for business registered will be at INCOME AND 50% of income after tax of one year (equivalent 100% of income after BUSINESS tax of six months) according to average income in previous 03 years. (ii) To provide a support equal to 70% of the basic salary for permanent laborers for economic establishments, production and households. The period to calculate support must not exceed 6 months. (iii)To provide compensation for the loss of business structures, production materials at full replacement costs of the structures, excluding depreciation. Eligible owners of non- registered business Compensation for loss of income for business registered will be at 50% of income after tax of six month (equivalent 100% of income after tax of three months) according to average income in previous 03 years. 8 . TEMPORARY DPs having residential land temporarily (i) To compensate for all affected assets attached to land at the IMPACTS IN THE affected. replacement cost IMPLEMENTATION (ii) To restore the land to its original condition. PHASE DPs having agricultural land temporarily (i) To compensate for a crop of crops/ plants at the full market price. affected. (ii) To compensate for loss of income for the next crops during the time land is temporarily affected (iii) To restore the land to its original condition or improve land quality to equal or better levels prior to the project implementation. Prepared by: Hanoi Branch E.P.C Co., Ltd 16 Compensation, Assistance and Resettlement Policy proposed for VRAMP Type of Impact/Loss Eligibility/ application Entitlement Business householders temporarily affected. (i) To compensate and support for lost income of collectives, private or individual enterprises if they are directly affected during construction stage. (ii) To compensate for affected assets attached to land at the replacement cost. 9. AFFECTED PUBLIC Communes, wards, administrative units To restore or repair depending on each circumstance and the community ASSETS having public housing, structures, schools, do not have to pay for the expenses. bridges, factories, water sources, roads, For cultural structures, churches, communal dwelling houses, pagodas, wastewater systems, and irrigation systems hermitages, shrines under the local governance that need to be relocated, damaged. the Provincial People’s Committee shall make decisions based on proposals of the Resettlement and compensation Council and opinions of local authority and community in areas where there are affected structures. 10. ALLOWANCE All relocating households (i) Assistance for moving/resettlement: Relocated HHs will receive cash AND RESTORATION assistance for moving to the new place as per PPC’s regulation. SUPPORT (ii) Assistance for life stabilization: Relocated HHs will receive life stabilization support in cash, equivalent to 30kg of rice per person per month, at average market price at compensation time notified by Financial Department. Assistance for a period of 6 months for relocating to other places, and 3 months for reorganizing on the remaining land or repairing the remaining house. (iii)Assistance for renting house will be provided as per Provincial People’s Committee regulations. (iv) Assistance for Self-Relocation: DPs are entitled to receive an allowance for preparing and leveling ground floor at the new resettled place as regulated in Decree 69/2009/ND-CP. The amount will be provided as per Provincial People’s Committee regulations. Prepared by: Hanoi Branch E.P.C Co., Ltd 17 Compensation, Assistance and Resettlement Policy proposed for VRAMP Type of Impact/Loss Eligibility/ application Entitlement Loss of All DPs All affected households are entitled to monetary support for job retraining Income/Livelihood equivalent from 1.5 to 5 time of agricultural land price of recovered due to loss of agriculture land. The amount will be provided as per Provincial People’s productive land Committee regulations DPs that lose 20% or (i) DPs will be entitled to receive Life stabilization assistance as follows: more productive land a) Losing from 20% to 70% (or from 10% to 70% for vulnerable holding (or from 10% group). for vulnerable group) • 30 kg of rice per person per month for 6 months if not relocating • 30 kg of rice per person per month for 12 months if relocating b) Losing more than 70% • 30 kg of rice per person per month for 12 months if not relocating • 30 kg of rice per person per month for 24 months if relocating (ii) Other rehabilitation measures will be provided such as assistance with seeds or improved young animals, agricultural extension training, services, plant protection or veterinary services, technical assistance for business or non-farm production. The type of rehabilitation measures will be identified during the implementation of the RP in consultation with the DPs. Affected vulnerable groups Vulnerable households will receive life stabilization of 30 kg of rice/ person / month for 24 months at the time of compensation. Bonus for timely handover of land for all DPs. Households who hand-over their affected properties on time (partially or totally affected land) will be provided with bonus allowance. The amount will be in conformity with the locality's actual conditions. Prepared by: Hanoi Branch E.P.C Co., Ltd 18