International Bank for Reconstruction and Development International Development Association FIRST PROGRESS REPORT ON THE IMPLEMENTATION OF MANAGEMENT’S ACTION PLAN IN RESPONSE TO THE INSPECTION PANEL INVESTIGATION REPORT (REPORT# INSP/97705-KE) ON THE KENYA ELECTRICITY EXPANSION PROJECT (P103037) April 4, 2018 Kenya ABBREVIATIONS AND ACRONYMS CAC Council of Elders EIB European Investment Bank EIB-CM EIB Complaint Mechanism GCHM Grievance and Complaints Handling Mechanism GRS Grievance Redress Service IPN Inspection Panel KEEP Kenya Electricity Expansion Project KeRRA Kenya Rural Roads Authority MoU Memorandum of Understanding MW Megawatt NYS National Youth Service PAP Project affected people RAP Resettlement Action Plan RAPIC RAP Implementation Committee SCC Stakeholder Coordination Committee Electricity Expansion Project Contents Abbreviations and Acronyms ..................................................................................................... ii I. INTRODUCTION ............................................................................................................ 1 II. IMPLEMENTATION OF THE MANAGEMENT ACTION PLAN .............................. 2 III. COMMUNITY COMMITMENTS UNDER THE MEDIATION AGREEMENT (NOT PART OF THE MAP) ......................................................................................... 18 IV. NEXT STEPS ................................................................................................................. 18 Annex 1: Pictures ...................................................................................................................... 19 iii Electricity Expansion Project I. INTRODUCTION 1. This is the first Progress Report to the Board of Executive Directors (the Board) on the implementation of the Management Action Plan (MAP) in response to the Inspection Panel Investigation Report No. 97705-KE on the Kenya Electricity Expansion Project (P103037). 2. The Kenya Electricity Expansion Project (KEEP or the Project) was designed to increase capacity and efficiency of electricity supply and expand access to electricity in urban, peri-urban and rural areas. KEEP was approved by Executive Directors on May 27, 2010 for US$330 million equivalent financing. An Additional Financing for the Project for US$68 million equivalent was approved on June 16, 2016. Component A of the Project involved the construction of the Olkaria IV 140MW power plant, which is situated within the Hells Gate National Park, near Naivasha, in Nakuru County. The component also included construction of another 140MW plant at the existing Olkaria I site; steam gathering facilities to supply 4x70MW units (280MW) at the Olkaria I and IV power plants; a 10-kilometer road to the Olkaria IV power plant within the national park, and laboratories and offices (known as the Geothermal Complex) outside the park. The Kenya Electricity Generation Company Ltd. (KenGen), a partly privately-owned company, is the implementing agency. The Olkaria IV plant was taken over by KenGen from the contractor on September 12, 2014, and was officially commissioned on October 17, 2014. The Project closed on December 31, 2017. KEEP is successfully supplying 280MW of low-cost green energy into Kenya’s national grid system. 3. On November 13, 2014, a Request for Inspection submitted by members and representatives of a Maasai community resettled due to the Project-supported geothermal developments in the Greater Olkaria Geothermal Area was registered by the World Bank’s Inspection Panel (IPN Request RQ 14/06). The same concerns brought to the Panel were raised with the European Investment Bank Complaint Mechanism (EIB-CM) as the Project is co-financed by the EIB. 4. Management submitted its Response to the Request on December 19, 2014. Following Board approval of the Panel’s Recommendation on February 13, 2015, the Inspection Panel undertook to investigate the allegations. The Inspection Panel submitted its Investigation Report to the Board on July 2, 2015. On September 17, 2015, Management submitted its Report and Recommendation (MRR) in response to the Inspection Panel’s findings. Given that EIB had initiated a mediation process to help resolve the identified issues, Management proposed to the Board to participate in the EIB-sponsored mediation process, through the Bank’s Grievance Redress Service (GRS) as co-facilitator, instead of undertaking consultations on remedial actions in parallel. 5. On October 20, 2015, the Executive Directors considered both reports and approved the Bank’s participation in the mediation process. The Board welcomed the Bank’s commitment to work through mediation to resolve outstanding issues and asked Management to return to the Board within one year to present the results of the mediation and an Action Plan for Board approval. 6. The mediation parties (representatives of the Maasai community and KenGen, the implementing agency) finalized and signed the mediation agreement on May 28, 2016. Fifteen of 1 Kenya sixteen community representatives signed the agreement. One community representative decided not to sign the agreement but did not explain why. After the conclusion of the mediation session, at a Baraza (public community meeting) on June 10, 2016, the agreement was presented to the whole community, a clear majority of which supported it, as recorded in the minutes of the meeting and confirmed by observers from the Bank. 7. An addendum to the Management Report and Recommendation, dated October 30, 2016, was approved by the Executive Directors on February 16, 2017. The addendum contained Management’s Action Plan (MAP) to address Panel findings. The addendum also described the preparation for and outcome of the mediation process. II. IMPLEMENTATION OF THE MANAGEMENT ACTION PLAN 8. The MAP is aligned with the outcome of the mediation. It addresses issues of noncompliance identified by the Panel, based on the areas Management identified at the time of the MRR, and also includes steps agreed during the mediation. Table 1 below provides the implementation status of the actions covered in the MAP as of end February 2018. 9. The Bank team has closely followed up on the progress of the Project and this MAP. A Bank mission, including the Bank’s Grievance Redress Service, visited the Project site May 1–6, 2017, and February 26–March 1, 2018 to monitor the progress in the implementation of the MAP. Most of the actions have been completed. Selected issues are discussed in detail below. Status of Selected Issues 10. Identification of Project affected people (PAPs) and post-resettlement clinic results. A post-resettlement clinic held October 24 – 28, 2016 reviewed cases of people who claimed to have been excluded during the 2009 census survey. An evaluation committee comprising the three mediators and the Deputy County Commissioner for Naivasha carefully reviewed each of the 236 individual cases and held interviews with the applicants as well as their witnesses in addition to reviewing the available information and evidence applicants submitted together with official records available. In total, the committee reviewed 236 cases. Of these, 114 applicants appeared for an interview in person. The committee also reviewed the information available for the remaining 122 applicants who did not attend the clinic.1 The evaluation committee determined that out of the 236 cases reviewed, five PAPs were deemed eligible for resettlement compensation in kind (houses) and three for cash compensation for structures, in accordance with the compensation package in the Resettlement Action Plan (RAP) and Memorandum of Understanding (MoU) between KenGen and the PAPs community. There was a significant number of applicants who could not produce any kind of evidence that they ever lived in the affected villages, and there were applicants who previously had already received compensation under the RAP. All applicants received a written notification explaining in detail the decision made in their case as to whether or not they are eligible for further compensation under the RAP. Both Banks have reviewed the final report of the post-resettlement clinic which describes each individual case. The three PAPs eligible for cash compensation for structures were paid on November 21 and 24, 2017. Construction of 1 From the documentation reviewed the committee found that out of those 122 applicants 18 had been already resettled under the RAP and one was compensated as a land tenant. None of the 122 applicants were found eligible under the criteria set out in the RAP. 2 Electricity Expansion Project five houses in RAPland (the name designated by the Maasai community for the resettlement site) for those identified as eligible for resettlement compensation in kind is underway. The recent Bank mission visited four of the five houses under the construction to verify progress of works. The contract for the construction was awarded in January 2018; the houses are about 45 percent complete and expected to be completed in May 2018. KenGen is closely monitoring the works to ensure quality of the construction and timely completion. 11. Livelihood restoration. Agreed studies related to capacity building of PAPs for livelihood restoration and a feasibility study and business plan for a Cultural Center were completed in December 2017. In January 2018 they were disclosed, and consultations were carried out. Trainings for women traders and PAPs on sustainable production of wares, advertising and marketing were carried out in March 2017. Over 70 PAPs participated in the trainings. KenGen informed the Bank that it would advise and support PAPs to advertise and market their wares when the PAPs reestablish the Cultural Center as their business location. KenGen consulted with each of the eleven households identified as vulnerable in a December 2016 assessment, on the assessment’s recommendations, and provided tailor-made support agreed with the families. The assistance included cash grants for starting income-generating activities, which were paid out on November 21-24, 2017, and employment of identified members of the families. Training sessions on available opportunities for vulnerable people, such as a women’s empowerment fund, a youth fund, and social security funds, were conducted in March 2017. Additionally, KenGen has continued to provide scholarships for secondary school education of children of PAPs who meet the academic qualification criteria in the MoU. 12. Water supply. Damaged sections of the water pipeline constructed by KenGen for water supply to the PAPs were repaired and the measures to protect the pipeline from more damage were completed in 2017. Some water pressure challenges remain in parts of RAPland, however, due to illegal connections to some households. Works to construct a 200,000-liter storage tank dedicated to the community and construction of a redesigned water supply line to the “cultural center� community are underway, with an initial expected completion date of April 2018. However, the works were slowed down by the heavy rainfall received in the area in March 2018 and a change in the water tank design; they are now expected to be completed by June 2018. In the interim, KenGen has been using its water bowser to supply water to PAPs in areas with weak water pressure and to the communal water kiosks (each household has been provided with a 200-liter tank). During its visit to RAPland, the recent Bank mission noted that while water was widely available in some areas, others lacked sufficient water. This is likely linked to water management practices of the community itself. It was observed that water was consistently flowing out of a cattle dip that had been vandalized and no visible repair or water collection measures were put in place by the users. In addition, some houses have crops and gardens that appear to have been heavily irrigated, at the potential expense of water availability for other households. To encourage sound water management practices and enable the community to take full responsibility for the water supply at RAPland, KenGen has facilitated training of the community water sub-committee and the community on water conservation and harvesting, and is assisting the community to form a water management committee. 13. Roads. RAPland roads were upgraded to all weather conditions and are under maintenance by KenGen for one year before being handed over to the relevant government authority. Currently, 3 Kenya road repair works to rehabilitate some identified gullies that could cause damage to the road are progressing. No houses in RAPland are now isolated or cut off from access. 14. Land productivity assessment, improvement and stabilization study. The four major gullies identified by the community were rehabilitated. Rehabilitation works are being undertaken in additional gullies identified by KenGen that required stabilization. The works were initially planned to be completed by March 2018, but were delayed due to heavy rainfall experienced during the month and an increase in the scope of work compared to the volume in the contractual bill of quantities. Currently, 2,800 gabions have been constructed and rehabilitation of nine gullies is over 90 percent complete. Construction of storm water drainage channels and work on one more gulley have recently started and all works are expected to be completed at the end of June 2018. 15. A RAPland Productivity Assessment and Soil Stabilization Study was completed in December 2017. KenGen has expressed commitment to implement the identified activities to stabilize roads and valley road intersections. These actions are in addition to the 2,800 gabions constructed and rehabilitation of nine gullies which are almost complete. Construction of storm water drainage channels and work on additional gullies recently started. 16. Status of the land title transfer. The title transfer forms for the 1,500 acres in RAPland and the cattle dip were signed by the PAPs’ nine trustees on February 16, 2018. Both transfer forms were lodged with the Ministry of Lands on March 5, 2018 for registration and issuance of the new title to the PAPs. These title transfers are expected to be completed by the end of May 2018. The transfer of the 14 acres for the Cultural Center is pending as it took significant time to agree upon the boundaries of the land. Following agreement on these boundaries, a survey was carried out and the survey files submitted to Survey of Kenya in November 2017. KenGen is following up with the Director of Survey and transfer of the 14 acres for the Cultural Center will commence once the approvals are obtained from the Survey. This transfer is expected to be completed by June 2018. 17. Request for conversion of the land title from leasehold to freehold. The Bank discussed with KenGen’s legal department the feasibility of the community’s request to convert the land titles from leasehold to freehold, within the existing legal framework in Kenya (particularly, the Constitution, the 2012 Land Act and the 2016 Community Land Act). The Bank also consulted with a Kenyan land rights expert and further obtained the opinion of a reputable Kenyan law firm to advise on this matter. All parties confirmed that the existing legal framework in Kenya does not explicitly foresee the possibility of a title conversion from leasehold into freehold and, as such, they were not aware of any precedent for such a conversion. The land rights expert consulted by the Bank advised that given the legal uncertainties surrounding the possibility of land title conversion and the timelines for such conversion, the community should quickly secure land titles in their current form as leaseholds and, if possible, explore the feasibility of a conversion to freehold afterwards. KenGen also informed the Bank that it is willing to continue to support the community to pursue the possibility of the conversion or waiver of the land rent and rates even after the transfers to the community are completed. In this regard, the Ministry of Energy wrote to the Ministry of Lands on November 22, 2017, requesting the conversion from leasehold to freehold or a waiver of land rents and rates. The Ministry of Energy and KenGen have been following up with the Ministry of Lands, to secure a response, including through a letter of March 12, 2018, but no response has been received so far. 4 Electricity Expansion Project 18. Fencing of RAPland and the Cultural Center land. Fencing of RAPland and the Cultural Center land is advancing, and completion stands at about 65 percent and 45 percent, respectively. The works were initially planned to be completed by April 2018 but were delayed and are now expected to be completed in May 2018. 5 Kenya Table 1. MAP Implementation as of end February 2018 Issue/ Action Category Action Action implemented/timeline A) Identification of Project Affected Persons 1) Ensure that Project - KenGen will convene a post- Completed Affected Persons who RAP clinic where the cases of Notices were issued for the clinic in believe that they have the 200 individuals whose Kiswahili, English and Maa languages to all been left out or wrongly names were submitted by the the Olkaria villages and announced in all categorized understand complainants will be re- churches on October 9, 2016. that they can bring examined and a decision on forward such claims their entitlements made on a Completed. case by case basis. This will be KenGen convened a post-resettlement clinic witnessed by representatives on October 24-28, 2016. All the complainants of: the Council of Elders that appeared for the clinic were interviewed (CAC), RAP Implementation individually by the evaluators and given the Committee (RAPIC), KenGen, opportunity to present witnesses and GIBB Consultants, EIB-CM, evidence. The evidence and witness World Bank, and Ministry of statements were evaluated by the panel to Energy and Petroleum. The reach a conclusion. In total 236 cases were Deputy County Commissioner analyzed, including those who appeared for Naivasha Sub-county or his during the clinic without their names having representative, will preside been mentioned during the mediation or over the clinic. appearing in the lists presented during the - KenGen will publicly clinic. announce the dates and venue Evaluators convened a validation session to of the clinic in Kiswahili and collect more evidence from complaints of Maa languages at least 2 weeks interest from November 28 to December 2, in advance to the community 2016. Eight complainants who were through complainants’ determined to have succeeded in their appeal representatives, RAPIC, were interviewed and their names submitted Mediators, World Bank, and to KenGen. The results of the post- EIB-CM. resettlement clinic were communicated to RAPIC on May 5, 2017 and community representatives for the mediation on May 4, 2017. KenGen delivered letters to all the 114 individual complainants who appeared during the clinic; complainants whose names were received during mediation and did not appear for the clinic will receive feedback upon request. 2) Review claims and - KenGen commits to provide Ongoing. confirm or revise the additional houses at RAPland Five (5) eligible PAPs wrongly omitted from entitlements where for those Project affected housing entitlements were identified. The justified people who were found eligible third and final phase of the clinic, which and who were wrongly involved interviews with each of the five (5) omitted, based on the outcome PAPs eligible for resettlement compensation of the verification (under A 1). in kind (houses), was concluded on January 25, 2017. The disclosure of summary report 6 Electricity Expansion Project Issue/ Action Category Action Action implemented/timeline to RAPIC and other stakeholders was done during the week of May 4, 2017. The five plots at RAPland for five additional houses were identified and pegged on May 17, 2017 by RAPIC and CAC. KenGen’s Board of Directors also approved construction of the additional five (5) houses and a budget was provided. The contract was awarded on January 5, 2018 for the construction of the five houses, following a competitive procurement process, with a completion period of 4 months. The houses are about 45 percent complete and are expected to be completed in May 2018. - KenGen commits to provide Completed any cash compensation for The 3 PAPs found eligible for cash those Project affected people compensation for loss of structures in who were found eligible and accordance with the compensation package in who were wrongly omitted, the RAP/MoU were fully compensated on based on the outcome of the November 21, 2017. Monitoring of the verification (under A 1). vulnerable PAPs is ongoing until closure of the RAP process. B) Consultation, Participation and Grievance Redress 1) Review the Grievance - KenGen will update and Completed and Complaints improve the current grievance Consultative meetings with the Bank were Handling Mechanism redress structure to ensure that held to discuss the weaknesses of the GCHM (GCHM) and discuss it is independent and effective. and ways of addressing the gaps to ensure its with Project affected - KenGen will also consider independence and effectiveness were agreed. people possible community proposals for the adjustments to improve Completed design of the grievance redress its functionality. structure to ensure that The community presented a proposal for traditional community strengthening of the GCHM on February 15, structures are reflected in such 2018. The proposal was adopted and GCHM a mechanism. KenGen will will henceforth have 13 members (an increase reach out to community of 5 members). representatives to obtain such proposals. 2) Facilitate participation - KenGen will promote Completed of Project affected enhanced representation of Elections for members of a new SCC for the people, including youth in future Stakeholder upcoming Olkaria V and Olkaria I Additional women and youth, in Coordination Committees Unit 6 projects were completed on January community committees (SCC) to facilitate 30, 2017. These projects are not Bank and facilitate access to communication on job financed. The elected members included 7 livelihood restoration opportunities as they arise. women and 8 youths. The new SCC was opportunities RAPland youth will be launched on February 2, 2017. An induction 7 Kenya Issue/ Action Category Action Action implemented/timeline mobilized to nominate their program was implemented on March 17, representative and forward the 2017. name to KenGen for inclusion into the SCC membership. This will enhance youth participation in Project implementation. - KenGen will engage with the Completed National Youth Service Sensitization for RAPland youth by the NYS (NYS)2 to seek to create a was done on April 6, 2017. The RAPland partnership for RAPland youth were offered four (4) positions in NYS, youths; the National Youth two youths from the RAPland village were Service, a government picked and are currently undergoing training. department, will ensure the Sixty-nine (69) persons from the RAP youth have access to technical community attended the sensitization skills training and meetings NYS programs. apprenticeships in different fields, leading to job placement opportunities. - KenGen will promote Completed enhanced representation of The SCC for the Olkaria I and IV had 56 women in future SCC to community representatives, out of which enhance their participation and seven were women and only one was a youth to facilitate communication on representative. The current SCC for the job opportunities as they arise. Olkaria V project has fewer community KenGen will reach out to representatives at 38. However, the number RAPland women to nominate of women representatives has been their representative and maintained at seven, and youth provide the names for inclusion representatives increased to eight. into the SCC. - KenGen will consider Completed. additional Project affected KenGen facilitated community meetings in people from existing October, November and December 2016, to community sub-project discuss the need to submit to RAPIC committees for inclusion in Chairman, proposals for additional RAPIC; these will be drawn representatives from the existing community from among youth and women sub-project committees to be included in to enhance their representation RAPIC, with preference for women and in RAPIC. youth. KenGen wrote to the community through RAPIC Chairman on March 15, 2017 to submit additional names, preferably women and youth, for ratification and inclusion in RAPIC membership; so far KenGen has not received any proposal from the community. Since RAPIC will be 2 The National Youth Service is a government department. The purpose is to alleviate youth unemployment by providing necessary skills. 8 Electricity Expansion Project Issue/ Action Category Action Action implemented/timeline dissolved with the completion of the resettlement process, this action is no longer relevant. - KenGen will ensure that every Completed. Project affected person has KenGen has identified vulnerable PAPs and access to the measures created a database, with priority given to proposed above and them on employment opportunities. KenGen specifically that the most arranged extensive trainings of PAPs by vulnerable are given priority several government ministries, departments access to unskilled and semi- and bodies and a financial institution on a skilled employment and wide variety of topics such as livestock training programs conducted management, entrepreneurship and business by KenGen. management skills, welfare and cooperative societies management, water systems operations, opportunities in youth and women government funds, youth opportunities under NYS, government safety nets for the vulnerable, public health, available government procurement opportunities for youth and women, among other aspects. The trainings were carried out by the ministries/departments such as Labour and Social Protection; Youth Enterprise Development Fund; Women Enterprise Fund; Industrialization, Trade and Co-Operatives; Water; Livestock; Veterinary; Health; NYS; and Equity Bank. The vulnerable PAPs were also trained on financial literacy by the consultancy firm that was engaged for capacity building programs. C) Adequacy of Resettlement Site and Infrastructures and Amenities 1) Ensure finalization of Land Titles: Ongoing. the land titling process - KenGen will transfer titles for 1,500 acres Community Land: for the 1,700 acres3 at 1,500 acres at RAPland and 14 RAPland and for 14 The title for the 1,500 acres of community acres at the Cultural Center to land has been ready for transfer to the acres for the Cultural the Project affected people. Center community since November 2016. The KenGen will complete the transfer process was awaiting the PAPs’ process of title transfer once Welfare Society’s election of its registered the community has nominated trustees, which took place in January 2018. and registered the trustees The Welfare Society trustees signed the holding the land on behalf of transfer forms for the 1,500 acres and for the the community. cattle dip on February 16, 2018. The transfers were lodged with the Ministry of Lands for registration and issuance of titles on March 5, 33 1,500 acres of community land and 200 acres of social amenities, e.g., roads, school, dispensary, social hall, etc. 9 Kenya Issue/ Action Category Action Action implemented/timeline 2018. Titles are expected to be issued by May 2018. Ongoing. 14 acres Cultural Center Land: The title for the 14 acres of community land has been ready for transfer to the community since November 2016. The Cadastral Survey and placement of beacons have been completed and the data survey files were submitted to the Survey of Kenya for approvals and production of deed plans. Next steps by May 2018: • - Approval of the Deed Plan by the Survey of Kenya • -Application to the Land Control Board for Consent to transfer title for the 14-acre parcel to Welfare Society • - Lodging documents required for transfer and registration of titles. - Transfer and registration of title deeds for Cultural Center land (14 acres) in the name of Ewang’an Sinyati Welfare Society through the trustees. - KenGen will process and hand Ongoing. out subdivided titles for public Olkaria primary school, Baptist church, and facilities on RAPland, such as dispensary have applied to National Land road network, health facility, Commission for allotment of land. school, and other registered social amenities (e.g., Olkaria secondary school, Gospel assembly churches). and Open Gate church have not applied as they are still pursuing registration of the respective institutions. - KenGen will provide RAPIC Completed. with the RAPland map sheet and accounts for the 200 acres of social amenities. - KenGen will revisit and Completed. confirm with surveyors and community members the boundaries of the 14 acres of Cultural Center land. - KenGen will fence the 14 acres Ongoing. of the Cultural Center and The works are 45 percent complete; as of provide signs to protect against March 2018. Initial completion date was April 2018, but has now been revised to May 10 Electricity Expansion Project Issue/ Action Category Action Action implemented/timeline encroachment, unauthorized 2018. Signage design, fabrication and access and theft. mounting is expected to be completed as soon as fencing works are complete. - KenGen will support Completed. community efforts to ensure complete vacation of the Cultural Center, and jointly inspect the situation upon completion. 2) Ensure finalization of Water supply: Completed. RAPland infrastructure,- KenGen will continue to The water line re-routing and rehabilitation including water supply ensure reliable interim water works were completed in January and and roads supply through KenGen water February 2018, which improved water supply bowsers while the RAPland significantly. However, low water pressure waterline is being restored. continues to be a challenge due to inadequate storage and illegal connections by households. To address this challenge, KenGen is constructing a 200,000-liter storage tank dedicated to PAPs, which will be completed by June 2018. KenGen supplies water to RAPland when supply challenges occur. - KenGen will repair and extend Completed. a permanent water pipeline in RAPland. - KenGen will support the Completed. establishment of a Water RAPland water sub-committee trained on Resource Users Association in March 15, 2017 and awareness created for the the community to ensure wider PAP community on water conservation sustainability of the water lines initiatives. and systems and ownership by Project affected people of water management and conservation initiatives. - KenGen will procure a Completed. consultant to train Project The RAPland water sub-committee has been affected people on water trained on maintenance and management of harvesting (e.g., collection the water line, and the wider community from roofs and storing in sensitized on water conservation and tanks) and conservation, and harvesting. on maintenance of water line systems. - KenGen will re-route main Completed. water pipeline away from the Repair and extension works are completed. road sides and build bridges to support the pipes over the 11 Kenya Issue/ Action Category Action Action implemented/timeline gullies to avoid recurring damage to the line. - KenGen will repair the main Ongoing. water storage tank at Olkaria KenGen is constructing a 200,000-liter water IV and install one additional storage tank dedicated to the community and water tank. a diversion for the Cultural Center, which is expected to be completed by June2018. Roads: Ongoing. - KenGen will repair the road to Gully rehabilitation is ongoing. There have unreachable houses beyond the been 2,800 gabions constructed and school. rehabilitation of nine gullies is over 90 percent complete. Construction of storm water drainage channels and work on one more gulley have recently started. Completion of all works is expected by June 2018. - KenGen will provide short- Completed. term solutions for flood related road conditions, such as creating temporary routes while the main road is under repair. - KenGen will upgrade RAPland Completed. The rehabilitation works for the roads to all-weather condition, carriage way are complete. according to the standards of Kenya Rural Roads Authority (KeRRA). - KenGen will register and hand Ongoing. over the roads to KeRRA to KenGen initiated discussions with KeRRA on ensure government inspection, handover and maintenance maintenance 1 year after program upon receipt of completion receipt of the completion certificate. certificate. - KenGen will review feasibility Completed. of using box culverts across The review suggests there may be some gullies, as suggested by scope for box culverts in selected locations, community. and this is being discussed further. - KenGen will maintain roads Ongoing. for at least one year after completion of works (receipt of the completion certificate), prior to handing over to KeRRA. - KenGen will identify the areas Completed. where additional road repairs Repairs have been carried out in high priority locations and others are being scheduled. 12 Electricity Expansion Project Issue/ Action Category Action Action implemented/timeline are needed and carry out such repairs. Others Completed. - KenGen will provide The Bookshelves were delivered and bookshelves for school library. installed. - KenGen will deliver remaining Completed. medical clinic equipment. The remaining medical clinic equipment was delivered. - KenGen will provide clinic Ongoing. shelves, repair fence, fabricate Clinic shelves were completed. Works for and install Kraal gates, and fabrication of 345 Kraal gates and fence discuss staffing issues with repairs at RAPland were completed on July county government to achieve 30, 2017. KenGen wrote to the Ministry of improved staffing of the Health, Naivasha Sub-county to consider county-run clinic. providing additional support staff to the clinic and a response is still awaited. An additional clinical officer had been posted to the clinic in late March 2018. 3) Ensuring - KenGen will identify four Ongoing. rehabilitation/restoration major gullies that require 2,800 gabions were constructed and of land at resettlement stabilization and procure a rehabilitation of nine gullies is over 90 site contractor to undertake the percent complete. Construction of storm required works. water drainage channels and work on one more gulley recently started. Completion of all works is expected in June 2018. - KenGen will undertake studies Completed. with technical experts to assess RAP productivity assessment done and and recommend practical and activities for implementation by KenGen, sustainable interventions to community and the local government improve soil stability, erosion recommended. prevention, productivity of pasture and smallholder agriculture, as well as the below actions: a) Procure a Consultant to undertake RAPland Improvement Studies. b) Mapping of key environmental Completed. The study, which was problematic areas (highly completed in December 2017 has eroded areas/ unstable areas). identified additional measures that KenGen, the community and the local government could implement to improve land productivity and soil stabilization. KenGen has expressed commitment to 13 Kenya Issue/ Action Category Action Action implemented/timeline implement the activities specifically identified for KenGen. c) Soil testing for purposes of Completed. determining appropriate vegetation and fodder crop species for the area. d) Raising of fodder crops and Completed. other plant species at KenGen KenGen will provide seedlings by mid-2018. tree nursery. e) Identification of land Completed. rehabilitation and improvement measures, including soil stabilization and soil control measures, and land productivity improvement measures. f) Technical assessment of soil Completed. stability and recommendations on sustainable interventions (productivity of pasture and smallholder agriculture) and supervision. D) Livelihood Restoration 1) Have an independent - KenGen will share with the Completed. post-relocation survey community representatives the done to determine the criteria used for assessing overall post-relocation vulnerability with RAPIC by impacts on the Project June 30, 2016. affected persons, in - KenGen will reassess the status Completed. particular, vulnerable of the six individuals whose and poor people KenGen received nine names from the names were submitted in community and vulnerability assessment was affected by the Project addition to the eight completed on December 2, 2016; only three individuals already identified met the vulnerability criteria. This was by KenGen and communicate disclosed to RAPIC on May 4, 2017. the result of this re-assessment. 2) Formulate tailor-made - KenGen will continue support Ongoing. programs to ensure of RAPland Olkaria Primary As of 2017, KenGen had granted six livelihood activities for Pupils through scholarships. secondary school scholarships that cover the vulnerable and the school fees, uniforms and other expenses to very poor among the the RAP community: three girls and three Project affected persons boys who met the criteria agreed in the MoU. (as identified through In 2018, only one student met the the survey) are requirements for the scholarship and he was enhanced. supported. Continue to work with - KenGen will support the Completed. disabled Project affected vulnerable Project affected Targeted information session by the 14 Electricity Expansion Project Issue/ Action Category Action Action implemented/timeline persons to ensure people by linking the elderly Government line ministries on existing accessibility of houses and orphans to the national opportunities – such as the social safety and facilities provided government social safety nets programs, Uwezo funds, Women at RAPland as well as linking the Naivasha Empowerment trust fund, Youth Fund – was Sub-county Medical Officer conducted between March 14 and 18, 2017. Health with the Kenya The community members were also advised Palliative Care Society to train about the offices where they can obtain more and build capacity of the local support. health unit and community to administer palliative care. - KenGen will consult with Completed. every vulnerable household The recommendations of the vulnerability head and identify sustainable assessment reports have been implemented actions for the identified (November 21–24, 2017). vulnerable Project affected people and agree to Completed. implement them. KenGen received only one access issue from a handicapped PAP, and a ramp from her - KenGen will review the access issues raised by handicapped house to the toilet was constructed. community members at RAPland with a view to either relocate them inside RAPland or make needed adjustments to their housing, for better access. 3) Formulate training and - KenGen will procure a Completed. other programs and consultant to undertake a The feasibility study and proposed advise Project affected feasibility study to assess business plan has been completed and people on income potential business and provided to the PAPs restoration options, employment opportunities. including for youth and Based on the study’s findings women the consultant will carry out training needs assessments, develop and deliver the required training for: - Women. Train, advise and Completed. support women traders and The trainings are complete, final training Project affected people on report has been submitted to the Bank. sustainable production of wares, advertising and marketing of wares, and alternative incomes beyond livestock and tourism, e.g., agricultural production, entrepreneurships, craftworks, etc. - Cooperatives. KenGen will Completed. deliver the training for forming 15 Kenya Issue/ Action Category Action Action implemented/timeline trading groups and An officer from the Cooperative Department cooperatives. was brought in by KenGen to conduct the training for groups on March 16, 2017. - Marketing. KenGen will Ongoing. advise and support Project Once the PAPs reestablish the Cultural affected people to advertise Center, KenGen will advise and assist in and effectively market their marketing. wares. - Micro-finance facility. Completed. KenGen will explore Preliminary discussions with microfinance possibilities of starting a micro banks occurred. PAPs were informed about finance facility to ensure possibilities to access the Youth Fund and the access to small business Women Empowerment Fund on March 16, finance at RAPland 2017. Equity Bank, a local microfinance institution, sensitized the RAPland community on available microfinance opportunities. - 4) Support provided to the KenGen will fence the Cultural Ongoing. Cultural Center Center land and provide Works are 45 percent complete. Signage signage to protect from design and fabrication is expected to be encroachment. completed on completion of fencing, - KenGen will support Completed. community efforts to ensure Cultural Center is vacated and facilitate a joint inspection of the situation at the Cultural Center. - KenGen will support Completed. preparation of a feasibility The final report has been submitted to the study on potential business Bank and KenGen. development plan for the Cultural Center (i.e., identify The reports have been disclosed to PAPs. existing businesses, their performance, challenges, and ways of improving, and identify feasible ecotourism business options). 5) Offer support to manage - KenGen will provide Completed. the funds generated awareness raising among Information session carried out for wider from leasing out the bus Project affected people about PAP community and Welfare Society to ensure cost effective the Welfare Society to promote committee members on March 27, 2017. and affordable ownership and participation transportation for those among the community. The Welfare Society has been trained and sensitized by the Cooperatives officer. 16 Electricity Expansion Project Issue/ Action Category Action Action implemented/timeline - Project affected persons KenGen will provide training The Welfare Society was trained on whose income depends in corporate governance and accountability and governance by the on commuting accountability to the Project capacity building consultants in March 2017. affected people's Welfare Society to enhance its capacity to manage their assets (including bookkeeping, accounting, annual reporting trusteeship, society elections). - KenGen will convene a Completed. meeting with the participants The Welfare Society and the Cultural Center of the mediation process to Management Committee had an agreement consider community proposals which was implemented for only two months. to resolve the transport issue. Submit proposals to the The transport issue (not part of the MAP) mediators to resolve the remains unresolved, due to the continued transport issue at the June 3, deadlock in the Maasai Community, 2016 meeting. discussed below. - KenGen will participate in all Ongoing. further discussions and There is a stalemate on the transport issue. meetings as may be convened KenGen will participate in any discussions and required to resolve the initiated by the community or Welfare issue of maximizing the Society. availability of transport facilities for the community. E) Bank Safeguards Capacity and Supervision 6) Ensure strengthened - Management will retain Lead Completed. safeguards coverage of Safeguards Specialist based in the entire portfolio Nairobi to advise on complex social safeguards issues, support quality control, and advise on the country program. The specialist will also support coordination and monitoring of the safeguard performance of the country portfolio; - Management will hire additional specialist consultants to ensure effective supervision of safeguards; - Management will intensify training of safeguards specialists, specifically to strengthen skills in managing complex social issues; 17 Kenya III. COMMUNITY COMMITMENTS UNDER THE MEDIATION AGREEMENT (NOT PART OF THE MAP) 19. Nomination of Welfare Society trustees. In January 2018, the community elected nine trustees who would hold the land titles on behalf of the Welfare Society once the transfer is processed. The recent Bank mission spoke to two trustees about the selection process. The nine trustees were first each nominated by their respective groups/villages and their nomination later endorsed by the whole community in a public baraza. One of the trustees told the mission that he understands the role and function the trustees are expected to have, as well as their responsibilities vis-à-vis the community. 20. Grievance redress. The PAPs submitted a proposal to KenGen for revising the project- level GCHM. The community proposal entailed adding 5 members of the CAC to the GCHM committee, thus increasing the total number to 13. Based on the community’s proposal, however, the structure of the GRM would remain unchanged. 21. Transport (bus). The transport issue remains outstanding. As part of livelihood restoration activities under the Project, a 60-seater bus for the transportation of Project-affected people to and from their place of work was acquired. The community then decided to lease the bus to a private company, following which disputes arose regarding the use of the income generated. There appears to be a continued deadlock in the Maasai Community on resolving this issue, while at the same time the involvement of any external party on the matter has been repeatedly rejected. For the second consecutive year, the bus has remained parked inside the school premises and is not being used by PAPs. Allegedly, this was due to lack of insurance. The bus has not been appropriately maintained and is in deteriorating condition. The failure to resolve this issue affects primarily the Maasai women, some of whom are obliged to walk for 1.5 to 2 hours each way to the gorge site daily in order to sell their products and generate income. The recent Bank mission actively examined the issue but was not informed of any proposal or solution being discussed by the PAPs to solve this issue. Even though offers of external parties to help resolve this issue have been rejected to date, the Bank remains willing to provide suggestions as to how the issue could be resolved. IV. NEXT STEPS 22. Management will continue to monitor the outstanding items and will report back within 12 months, or once all are completed, whichever comes first. 18 Electricity Expansion Project ANNEX 1: PICTURES Picture # 1: Construction of one of the five additional resettlement houses Picture # 2: Construction of one of the five additional resettlement houses 19 Kenya Picture # 3: Construction of one of the five additional resettlement houses Picture # 4: Slope and road stabilization works 20 Electricity Expansion Project Picture # 5: Slope and road stabilization works Picture # 6: Slope and road stabilization works 21 Kenya Picture # 7: Fencing of Cultural Center land Picture # 8: Heavily irrigated vegetable garden in one section of RAPLand 22 Electricity Expansion Project Picture # 9: Vandalized cattle dip Picture # 10: Water in vandalized dip runs continuously for the cattle, with significant amounts of unused run-off 23 Kenya Picture # 11: The bus provided to the community remains parked outside the school, its condition deteriorating 24