lao pdr: water supply and sanitation sector project

Social Monitoring Report Project Number: 45301-002 Compensation Payment Completion Report July 2021

Lao PDR: Water Supply and Sanitation Sector Project (Additional Financing)

Subproject: Namthouam District, Luang Prabang

Province

Prepared by Project Implementation Assistance, Department of Water Supply, Ministry of Public Works and Transport, Lao PDR for the Asian Development Bank.

This social monitoring report is a document of the borrower. The views expressed herein do not necessarily represent those of ADB's Board of Directors, Management, or staff, and may be preliminary in nature. In preparing any country program or strategy, financing any project, or by making any designation of or reference to a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.

ADB – MPWT: Water Supply and Sanitation Sector Project – Additional Financing Updated Land Acquisition and Compensation Plan – Lamam Subproject

Grant LAO-0604

Ministry of Public Works and Transport Department of Water Supply

Water Supply and Sanitation Sector Project – Additional Financing

Final Compensation Payment Completion

Report

Namthouam

Subproject

Luang Prabang Nam Bak District

June 2021

Project Implementation Assistance Lao Consulting Group Consortium

ADB – MPWT: Water Supply and Sanitation Sector Project – Additional Financing Final Compensation Payment Completion Report – Namthouam Subproject

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TABLE OF CONTENTS

List of Tables .................................................................................................................................. (ii)

List of Figures ................................................................................................................................. (ii)

List of Attachments ......................................................................................................................... (ii)

Selected Acronyms ......................................................................................................................... (iii)

Selected Units ................................................................................................................................. (iii)

Currency ......................................................................................................................................... (iii)

1. EXECUTIVE SUMMARY ................................................................................................. 1

2. PROJECT BACKGROUND ............................................................................................. 1

2.1 WSSP-AF ........................................................................................................................ 1 2.2 Namthouam Subproject ................................................................................................... 1

3. LACP DEFINED COMPENSATION REQUIREMENTS ................................................... 3

3.1 Land Requirements ......................................................................................................... 3 3.2 Planned Compensation for Affected Household .............................................................. 3

4. COMPLETED COMPENSATION .................................................................................... 5

4.1 Provision of Compensation Payments to AHs ................................................................. 5 4.2 Conducted AH Compensation Consultation ..................................................................... 5

5. CONCLUSION ................................................................................................................ 5

LIST OF TABLES Table 1: Overview of private asset acquisition & compensation budget ............................................ 3 Table 2: Final Updated LACP Surveys – affected private assets: ...................................................... 4 Table 3: Verification on compensation payments .............................................................................. 5

LIST OF FIGURES Figure 1: DED stage - aerial images & superimposed subproject scheme layout ..................... 2

ATTACHMENTS Attachment 1 Nam Bank District Preparatory Steps

Attachment 2 Documentation of Compensation Payments to AHs


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USED SELECTED ACRONYMS

ADB Asian Development Bank

AH Affected Household

AP Affected Person

CPCR Compensation Payment Completion Report

DED Detailed Engineering Design

DMS Detailed Measurement Survey (at detailed design stage)

DPWT District Department of Public Works and Transport

DWS Department of Water Supply

GoL Government of Lao PDR

IA Implementing Agency

IOL Inventory of Loss

IR Involuntary Resettlement

LACF Land Acquisition and Compensation Framework

LACP Land Acquisition and Compensation Plan

MPWT Ministry of Public Works and Transport

PNP Provincial Nam Papa (provincial water supply company)

PPWT Provincial Department of Public Works and Transport

RCS Replacement Cost Survey

RoW Right of Way

WTP Water Treatment Plant

UNITS

ha hectare/s

km kilometres

km2 square kilometres

lpcd liters per capita per day

l/s liters per second

m meter

m2 square meter

m3 cubic meter

m3/day cubic meter per day

sqm square meter

CURRENCY

LAK Lao currency unit Kip

US$ US Dollar

Note: Applied exchange rate: US$ 1.00 = LAK 9,400.00


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1. EXECUTIVE SUMMARY

1. This Compensation Payment Completion Report (CPCR) has been prepared to document the status of provision of compensation. This concerns three (3) Affected Households (AHs) as agreed in the Final Updated Land Acquisition and Compensation Plan (LACP) dated March 2021 and published by ADB in April 2021.

2. The Final Updated LACP has been correctly implemented. The in-cash compensation has fully been paid to these 3 AHs in April and May 2021. This has also been properly documented. There are no outstanding compensation issues. The Namthouam Subproject meets the compensation related involuntary resettlement safeguard requirements.

3. Therefore, the permission for start of construction work can be given by ADB. This should be done as soon as possible, as the contracting conditions with a civil contractor have been completed and mobilization can take place immediately.

2. PROJECT BACKGROUND

2.1 WSSP-AF

4. This Water Supply and Sanitation Sector Project – Additional Financing (WSSP-AF or the Project) will improve the performance of provincial water utilities, called provincial nam papas (PNPs), and expand access to safe piped water supply and sanitation for urban residents in small towns in the Lao PDR. It will contribute to the government’s urban sector targets (90% coverage for piped water supply and 100% coverage for sanitation by 2030). The Project will expand water and sanitation services to small district towns, provincial capital towns and their peri-urban areas in accordance with the Government’s urban water supply and sanitation strategy, 2013–2030, and water supply investment plan, 2012–2020. The impact will be expanded access to quality and reliable piped water supply and sanitation services for the urban population in the Lao PDR. The outcome will be improved performance of PNPs in delivering water supply and sanitation services.

2.2 Namthouam Subproject

5. This subproject is one of the two subprojects selected for Phase V in Luang Prabang Province. The development plan for the Namthouam subproject in the Nam Bak District includes a new piped water supply system with individual house connections in 15 core villages. Their core service areas and future extension areas have populations of 30,951 in the year 2022 and projected treated water demand of 9,500 m3/day in the year 2037. The development plan provides for an intake and water treatment plant (WTP) designed for a 15-year timeframe and a distribution system designed for a 20-year time frame, as per WSSP-AF and previous project design guidelines. One raw water source (just below the joining point of Nammong & Namkhan streams) at Namkhan 2 stream, was identified as the most financially and technically viable.

6. The proposed development includes: (i) a tower intake on the Namkhan 2 river; (ii) with medium-head pumping via 200 m raw water transmission main to the pre-sedimentation tank at the WTP; through public land owned by District Department of Public Works and Transport (DPWT); (iii) 9,500 m3/day capacity WTP comprising pre-sedimentation, flocculation, sedimentation with allowances for lamella technology, rapid gravity filtration with semi-auto backwashing system, air blower, backwashing pumps and chlorine dosing facilities, laboratory and polyaluminum chloride dosing facilities, sludge transfer pumping station and detention ponds; (iv) 900 m3 clear water ground reservoir at the WTP; (v) 25 km gravity-fed distribution network within the core service area including 900 m3 capacity elevated balancing tank (viii) 60 km of HDPE DN63 rider mains. A Branch Nampapa office with separate storage facility will be constructed at the village Phonsavanh.

7. Figure 1 shows the aerial images and superimposed subproject scheme layout.


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Figure 1: DED stage - aerial images & superimposed subproject scheme layout


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3. LACP DEFINED COMPENSATION REQUIREMENTS

3.1 Land Requirements

8. The detailed engineering design (DED) considered components of a water supply scheme, which requires land for proposed intake, WTP, reservoir, PNP office and access roads. For the main and distribution networks only existing Right of Way (RoW) of public roads have been selected for pipe alignments.

9. The subproject will involve physical changes through earth moving, but also in constructing the water supply infrastructure. This has been confirmed through the DED. The land acquisition concerns sites for intake, WTP, reservoir, PNP office and access roads of linear nature with a total required area of rounded 5.15 ha. The DED considered components of a water supply scheme, which require with 99% mainly government land (5.10 ha) and only to a very minor portion of 1% private land acquisition (0.05ha). The installation of mains and distributors with a rounded total length of 136 km will be along the RoW of public roads and concerns a trench related area of about 9,13 ha. Except for land needed for the main components, there are no other adverse impacts.

3.2 Planned Compensation for Affected Household

10. The planned compensation has been summarized in Table 1. The Final Updated LACP confirmed 2 AHs caused by loss of private assets. These acquisition requiring assets are (a) limited to one case of a private area of 524 m2 and another case of 47 private teak tress on government land, (b) relates otherwise only to temporary disruption to private, communal and/or public premises, but (c) does not cause restriction of community/public services, and (d) will not lead to loss of income sources or means of livelihoods. There are also (e) no requirements for relocation. The subproject, however, has a specific third AH case of a private user of a government plot of the size of 3,455 m2, of which 400 m2 have been allocated for the construction of a new water reservoir. This 400 m2 have not been used or improved by the private user, however, the related payment for transfer or land use rights has to be reimbursed by the subproject to the private user. The inventory of loss in Table 2 provides the details.

Table 1: Overview of private asset acquisition & compensation budget

Item Description Amounts

[LAK] Comments

Loss of land 524 sqm private prod. land 11,746,974 1 case: compensation for lost private asset

Loss of houses No cases No costs

Loss of crops

Loss of trees 47 private teak trees 1,738,507 1 case: compensation for lost private asset

Loss of user rights 400 sqm government land 684,015 1 case: reimbursement for lost land use rights

Loss of common property resources

No cases

Potential temporary loss of business income

Income restoration

Additional assistance

Compl. Measures

Sub-Total 1: Mitigation 14,169,496

LACP and safeguard implementation

Administrative matters. Separately budgeted.

Through GoL and/or Project funding. Monitoring & Evaluation

Sub-Total 2: Implementation Separately budgeted

Contingencies (10% of subtotals 1) n.a.

Contingencies (10% of subtotals 2) n.a.

Sub-Total 3: Contingencies 0

TOTAL LAK TOTAL US$ (1 US$ = 9.400 LAK)

14,169,496 1,507


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Table 2: Final Updated LACP Surveys – affected private assets:

Updated inventory of loss for 2 AHs based on inflation rates adjusted unit rates:

Updated reimbursement payment for 1 AH based on inflation rates adjusted unit rates:


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4. COMPLETED COMPENSATION

4.1 Provision of Compensation Payments to AHs

11. The compensations calculated and paid are listed in Table 3.

12. The approvals for the use of the compensation budget are enclosed in Attachment 1. The payments of compensation have been completed to all AHs as documented in Attachment 2.1 to 2.3.

Table 3: Verification on compensation payments

Affected Household Compensation Completion

Calculated Paid Date Status

Ser. No Name [LAK]

1 Mr. Chiengonchanh 1,738,507 ✓ 21 April 2021 Completed

2 Mr. Khurm 11,746,974 ✓ 14 May 2021 Completed

3 Mr. Chieng Thongphanh 684,015 ✓ 14 May 2021 Completed

TOTAL LAK 14,169,496

4.2 Conducted AH Compensation Consultation

13. In the context of the compensation payment, the consultation with AHs from previous subproject stages continued. The feedback from the 3 AHs corresponds with the general opinion of the villagers by indicating their appreciation of the subproject implementation in their villages, as they expect from the reliable treated water supply a better living standard in their villagers. It has been noticed that the 3 AHs are also very motivated to cooperate with the subproject.

14. Concerning compensation payments, the 3 AHs did not raise concerns. Clarification was only required on the scope of affected private assets and land use. Under Attachment 2.4. a summarizing AH compensation consultation sheet has been prepared.

5. CONCLUSION

15. The implementation of the approved Final Updated LACP has been correctly completed.

16. All payments to the AHs were planned and provided by the executing and implementing agencies. Provided compensation payments were witnessed by village authorities. The amounts paid in the 2nd quarter 2021 to the 3 AHs are corresponding with the amounts as calculated in the approved Final Updated LACP. Therefore, there are no outstanding compensation payment issues.

17. Subsequently, ADB can provide its non-objection to the commencement of civil works as soon as possible. The contact with contractor/s has already been signed on 24 May 2021 so that mobilization can start.


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ATTACHMENT 1.1: NAM BAK DISTRICT PREPARATORY STEPS: PROPOSAL LETTER FROM DONRE TO DISTRICT GOVERNOR

Non-literal English translation

Lao People`s Democratic Republic

Peace Independency Democracy Unity Prosperity

Nam Bak District No. 228/donre

DONRE Date 12 /4/ 2021

Proposal Letter To: Governor of Nam Bak District.

Subject: Request for an approval budget of compensation for impacts from construction of WSSP in Namthouam Subproject.

- According to Land Law No. 70/NA; Date on 21 June 2019.

- According to the Agreement of the Luang Prabang Governor No. 74/G-LP; dated 15 July 2019 on unit rates for compensation of affected persons from the development project.

- Based on the Notice Letter from the Office of Administration Luang Prabang Province No. 170/OLP dated 10 March 2021.

District Natural Resource and Environment of Nam Bak District requests to the district governor of Nam Bak the approval budget to pay compensation to affected persons from the development of the Water Supply and Sanitation Project in the cluster Namthouam for the construction of intake, access road to the storage tank in Ban Nam Khan, reservoir in Ban Nam Thouamtai at 3 locations:

1. In village (ban) Pakmong one affected person Mr. Chieng Onchanh; Impact on 47 teak trees; DAFO and district resettlement committee had conducted a detailed measurement survey and made a IOL to pay compensation and took a minute of meeting on 23/01/2021.

2. The land for the access road to the storage tank in ban Namkhan; as the land of Mr. Khurm's has a total impact of 524 m2, and DORE and district resettlement had conducted a detailed measurement survey, a payment agreement has been made on 22/01/2021 to compensate him.

3. Concerning the land for the reservoir in Ban Namthouamtai Mr. Chiengthongphanh occupied the government land, and the district will pay him compensation for loss of user rights from 2015 to 2020.

Therefore, as this request for approval to be implemented for the project.

Head of DONRE Stamp& Sign

Siphai SITTHIVONG


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ATTACHMENT1.2: NAM BAK DISTRICT PREPARATORY STEPS: GOVERNOR AGREEMENT ON COMPENSATION PAYMENT




Nam Bak District No. 151/nambak

Date 4 May 2021

Agreement of Nambak District Governor on

Compensation Payment to Affected Persons from WSSP



- Based on proposal letter from the District Natural Resource and Environment office No. 228/DONRE dated 02 June (6) 2021.

District Governor of Nam Bak agreed on:

Article 1: Agreement on compensation payments to affected person from WSSP of Namthouam cluster as below:

- Compensate to Mr. Onchanh for 47 teak trees in Ban Pakmong the total amount of 1.738.507 Kip.

- Compensate to Mr. Khurm for the access road to the storage tank in Ban Nam Khan total amount 11.746.974 Kip.

- Compensate to Mr. Chiengthongphanh for lost payment of user rights total amount 684.015 kips.

Article 2: Handing over to DONRE: Administration District Office together with stakeholders to proceed following the rules and regulations.

Article 3: All party–state organization and other stakeholders to recognize and simultaneously implement the tasks to get the required results.

Article 4: This decision enters into force from the date of its signature. Governor of Nam Bak District

Stamp& Sign

Mr. Somvang PHONEKHAMVONGSA;


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ATTACHMENT 2.1-1: AH NO. 1 - MR. CHIENGONCHANH COMPENSATION PAYMENT AND CERTIFIED AGREEMENT CONCERNING AFFECTED TREES




Nam Bak District

Pakmong village Date 21/4/2021

Payment Compensation Certification Letter with Mr. Chiengonchanh



- According to the minute of meeting between district resettlement and Mr. Chiengonchanh on 23 January 2021.

At 9:00 am; date on 21 April 2021 at Ban Pakmong meeting room; the district resettlement

committee had handed over the cash-amount with a total of 1.738,507 Kip (One million seven

hundred and thirty-eight thousand five hundred and seven kip) to Mr. Chiengonchanh; as an affected person from the WSSP of Namthouam cluster. Through the Pakmong village authority’s administration (Pakmong cluster) Nam Bak District.

Therefore, this required need to make this note of handing-over and receipt of money as required evidence.

Village Chief’s Pakmong Owner of assets District Resettlement committee

Stamp & Signature Signature Signature.

Mr. Khamsenf Souriphon Mr. Chiengonchanh 1. Mr. Somphanh

2. Mr. Hadsady


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ATTACHMENT 2.1-2: AH NO. 1 - MR. CHIENGONCHANH PHOTOGRAPHED DOCUMENTATION

Date: 21 April 2021

Persons from left to right:

1st Mr. Vonphone; Village Mediation Committee

2nd Mr. Bounchuer; Village Mediation Committee

3rd Mr. Somvanh Phommalichanh Head of DAFO

4th Mr. Chienghonchanh; Owner of affected trees

5th Mr. Seng Souriphom Deputy village chief

6th Mr. Kham; village authority


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ATTACHMENT 2.2-1: AH NO. 2 - MR. KHURM COMPENSATION PAYMENT AND CERTIFIED AGREEMENT CONCERNING AFFECTED LAND




Nam Bak District

Certification Letter Payment Compensation Agreement to Affected Person from WSSP

According to Land Law No. 70/NA; the date on 21 June 2019.

According to the Agreement of the Luang Prabang Governor No. 74/G-LP; the date on 15 July 2019 on unit rate for compensation tor Affected Person from the development project.

the date on 14 /5/ 2021; District Natural Resource and Environment as the representative from the district authorities together with village authorities and the landowner; has given money to compensate for the land impacted from the construction access road to the storage at Ban Namkhan; through village authorities and witness as below:

➢ Mr. Khurm resident at Ban Namkhan, of a total amount of 11.746.974 Kip, (Eleven million seven hundred and forty-six thousand nine hundred and seventy-four kip)

➢ Mr. Khurm, who is the landowner, has received money already.

Therefore, this required need to make this note of handing-over and receipt of money as required evidence. And without resorting to violence, coercion, or other illegal measures, and in understanding of reading this memorandum to the participants and having agreed together afterwards to sign or thumbprint as evidence.

At Ban Nam Khan; date 14/5/2021

Witnessed Receiver Given Recorder

1. Signed Mr. Khamkeo Signed/Thumbprint Signed Signed

2. Signed Mr. Viengkeo Mr. Khurm Mr. Siphai Sitthivong Mr. Xayyakhone

3. Ms. Bouakhai

Nam Khan’s Village Chief

Stamp & Sign

Mr. Air XAYYASITH


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ATTACHMENT 2.2-2: AH NO. 2 - MR. KHURM PHOTOGRAPHED DOCUMENTATION

Date: 14 May 2021


1st Mr. Viengkeo; Deputy village chief

2nd Ms. Bouakhai; Head of women village’s

3rd Mr. Syphai Siththivong; Head of DONRE

4th Mr. Khurm; Owner of affected land

5th Mr. Air; Sayyasith; Village chief

6th Mr. Khamkro; Deputy village chief


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ATTACHMENT 2.3-1: AH NO. 3 - MR. CHIENG THONGPHANH COMPENSATION PAYMENT AND CERTIFIED AGREEMENT CONCERNING AFFECTED LAND USE RIGHTS




Certification Letter

Payment Compensation Agreement to Affected Person from WSSP

- According to Land Law No. 04/NA; date 21 October 2003.

- Based on the Socio-economic development plan of the district from 2020-2025

The administration district office of Nam Bak District had handed over money of the total amount of 684.015 Kip (Six hundred and eighty-four thousand and fifteen Kip) to Mr. Chieng Thongphanh Souvanhphone; resident in Ban Nam Thouamtai; Nam Bak District; Luang Prabang Province; to compensate for the protection and payment of land tax in reimbursement for him from the year 2015 to 2020. As the district acquisition to construction reservoir of the WSSP of Namthouam cluster village.

Therefore, this required need to make this note of handing-over and receipt of money as required evidence.

Nam Bak District; date 14 May 2021.

Receiver Given Money/District Office Stamp & Signed Signed

Mr. Somly Mr. Vanhpheng OUTTHAVISACK

Certify by Head of Village

Nam Thouamtai

Stamp & Sign

Mr. Chiengonesy XAYSOMBOUN


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ATTACHMENT 2.3-2: AH NO. 3 - MR. CHIENG THONGPHANH PHOTOGRAPHED DOCUMENTATION

Date: 14 May 2021


1st Mr. Vanhpeng Outhvisack ; Head of Cabinet District office

2nd Mr. Somly (Son of Mr. Chiengthongphanh; AP) ; Owner of affected land use rights

3rd Mr. Syphai Siththivonf ; Head of DONRE

4th Ms. Sengvone; Deputy village chief

5th Mr. Liar Porthor; Deputy village chief

6th Mr. Thongphanh; Village land authority


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ATTACHMENT 2.4: SUMMARIZING AH COMPENSATION CONSULTATION SHEET Item Description

Continuous consultation ▪ The disclosure of LAC information, consultation and participation of residents in the subproject started in May 2019 at FS stage and continued in March 2020 at DED stage. In addition, individual meetings were held with the AHs between Dec. 2020 and Feb. 2021 combined with transect walks. This is documented in the approved Final Updated LACP.

▪ Concerning compensation payments meetings took place between Feb. and May 2021.

Meetings with APs on compensation and payment

▪ Meetings related to compensation payments: - Village office (see Attachment 2.1-2 and 2.3-2). - At AH residency (see Attachment 2.2-2).

▪ Complementary compensation related consultation took place for all 3 AHs. This involved the implementing provincial and district agencies, local administration and authorities, and the owners of the affected assets and user rights. Exemplary for the different types of meetings which were applied for all AHs, the following ones have been listed: - In village meeting hall with committees, village representatives and AH (see example AH 1). - At site group-verification of provincial and district staff, village representatives and AH (see example AH 2). - Individual discussion with AH (see example AH 3).

AH 1: Mr. Chiengonchanh AH 2: Mr. Khurm AH 3: Mr. Chieng Thongphanh

Discussion about private tree compensation with AH during a meeting in the meeting room

of the village Pakmong

Private land compensation clarification in a group meeting at the affected site in the village

Nam Kham

Individual discussion with AH on the use of gov. land and compensation in

the village Namthouamtai

Provision of compensation ▪ The APs appreciated the provision of compensation.

Compensation rates/amount ▪ The APs discussed and agreed on the unit rates. ▪ In addition, they acknowledged the adjustments of unit rates through applied inflation rates, as this increased the values

of assets to be compensated.

Compensation payment ▪ The APs see the received payments as a big achievement for them, as they did not make this experience before. ▪ The subproject implementing agency staff shares this opinion about that accomplishment of the subproject.

Satisfaction ▪ The APs expressed their high satisfaction on the compensation payment. ▪ The subproject implementing agency staff regards this also as a very good fulfilment of the subproject.

Other items ▪ The APs underlined their already shown motivation to collaborate with the subproject.

Open items ▪ None.

lao pdr: water supply and sanitation sector project

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