Resettlement policies in Laos.pdf

8/10/2019 Resettlement policies in Laos.pdf

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Resettlement

Policies

andPracticesinLaoPDR

Jointly Presented by: Mr. Daovong Phonekeo, Director General, Department of Energy

Policy and Planning, Ministry of Energy and Mines Mrs. Bouakeo Phounsavath, Director of Legislative Division,

Department of Environmental and Social Impact Assessment

(DESIA), Ministry of Natural Resources and Environment(MoNRE), Lao PDR.


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Lao

PDR:

National

Energy

Policy

and

the

history

Country Background

Population of 6.4 mil or ~27 people/square kilometers; Per capita GNI of US$ 1,026 and GDP is expected to grow at an average rate of 7.7%

during 2011-2015; Electrification ratio reached 80% or 1,060,413 households in 2012, increased from 19% in

1996; Per Capita Electricity Consumption of 470 Kwh/a but has been growing at an average rate

of more than10% in the last 15 years; Electricity export ~ 15% of total countrys export revenues; Power sectors contribution to GDP is projected to increase to ~16% in 2020;

Installed capacity is 3,200 Mw in 2012 and will be 12,500 Mw in 2020, substantially all hydro and about 85% is planned for export; Hydro potentials in Laos is about 26,000 Mw High demand for electricity supply from neighboring countries, Thailand for 7,000 MW and Vietnam 5,000 MW, Cambodia 200 MW by 2020 Hydropower development is, therefore one of the most rapidly growing sectors in Laos

The government of Lao PDR (GoL) is in process of liberating its country from the status of least developed country by 2020. National Policy on Environmental and Social Sustainability of the Lao Hydropower Sector

was issued in 2006;


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Map of OperationDam and Planned

Hydropower in LaoPDR 2012


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Data Source: Government of Laos (2011a)

Total number of PowerProjects in Laos


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Lao PDR: National Energy Policy

o Maintain and expand affordable, reliable andsustainable electricity supply to promote

economic and social development. ElectrificationRatio to exceed 90% by 2020;

o Improve and expand transmission networks tosupport the industrialization and modernization

policy, and to integrate the power sector in theASEAN community through its power exchangeprograms;

o Tap the countrys large hydropower potentials

with the participation of private developers;o Promotion of Renewable Energy to reach 30% by

2025 with reasonable feed-in tariff.


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The total number of affected people by Hydropower projects in Lao PDR

No. Name of ProjectInstalled

Capacity

Social Environment / People and household affected by theproject

# Village # household # People

1ExpansionTheun Hinboun

280 MW 11 800 4,800

2Selabam 5 MW No resettlement

3Se Xet 2 (State Utility) 76 MW No resettlement

4Se Xet 1 45 MW No resettlement

5Nam Mang 3 40 MW Resettlement = 1,200 Peoples

6Nam Lik 1-2 100 MW 7 ? 3,127

7Nam Ngum 1 155 MW Resettlement = 3,242 Peoples

8Nam Ngum 2 615 MW 16 1,099 6,234

9Nam Ngum 5 (IPP) 120 MW 1 49 994

10Nam Theun 2 1070 MW 16 1,300 6,200

Total: 2,726 MW 51 3,248 25,797

Data Source: www.poweringprogress.org


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On-going Efforts to Address the

Environmental and Social Challenges

Institutional Arrangements:

o Ministry of Natural Resource and Environmental (MoNRE

Contractual agreement (CA) negotiation and monitoring toensure that Standard Environmental and Social Obligations(SESOs) are incorporated into the CA and complied ) throughDepartment of Environmental and Social Impact Assessment

(DESIA), established to develop and disseminate policies andlegal framework and review ESIA compliance

o Ministry of Energy and Mines in charge of energy promotion anddevelopment promotion and by the project developers.

o Provinces through PoNREs and PEMO responsible for SIA andresettlement compliance monitoring and reporting to theirrespective ministries (MoNRE and MEM)


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On-going Efforts to Address theEnvironmental and Social Challenges

Legal framework:

o The Environmental Protection Law (EPL), dated 1999 and the Decree on

the implementation of the EPL, 2001o EIA Regulation No 1770, dated 3 October, 2000

o Decree No 192/PM, dated 7 July, 2005 on the Compensation andResettlement of People Affected by Development Projects

o

Regulations No2431/STEA for Implementing the Decree 192/PM onCompensation and Resettlement (C & R)of People Affected byDevelopment Projects

o Technical Guidelines, 2005 on Compensation and Resettlement inDevelopment Projects.

o General Guidelines on Public Involvement in Development Projects (2013)o Decree on the establishment of Environmental Protection Fund (EPF),

2005


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Number Electric

Step Amount IEE EIA TOR

Annex

CA

1 Operational 14 2 7

2 Under

Construction 10 2 8 9

3 Planning

Stage 24 1 14 4 34 MOUFeasibility 37 4 7 5

85 9 36 9

Where are we now ?


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However, review of ESIA compliance and on the ground compliance

monitoring remain a challenge;

Legal reinforcement and monitoring capacity of the nationalimplementing agencies particularly the provinces are still

relatively weak to manage the rapid growth of the hydropowerdevelopment projects;

Lack of independent (third party) monitoring agencies and heavilyreliance on overseas TA and expertise;

Lack of legal awareness among local people and their participation.


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On-going and pipeline projects to strengthen

SIA and resettlement managemento Lao Social and Environmental Project, (LEnS) 2006-2013 supported by the

WB through EPF aiming to assist the GoL (MoNRE, provinces, NUOL,LFNC) to strengthen the management of environmental and social issues

associated with the sustainable use of natural resources in Lao PDR.

o Technical Assistance for Hydropower and Mining Sectors (HMTA) to MEMsupported by the WB, 2010-2014.

o Strengthening Environmental Management Project (SEM II), supported by

SIDA, years 2008-2011.o Environmental Management support Program (EMSP), supported by

Finland (2012 - 2015).

o Strengthening and Use of Country Safeguards Systems (TA 97566-REG)supported by ADB 2011.

o Project for Strengthening Natural Resources, Environmental Social ImpactManagement to be expectedly multi-donor trust funded current underconcept discussion.

o NT2 Hydropower project as a learning model of ESIA and resettlement


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Lao experience in

resettlement in thehydropower sector in the

past decadewith the case of NT2


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A Cornerstone for Poverty Reduction in Laos

Major revenues to GOL during NT2 project operation

Royalties, taxes and dividends increasing from 25 to 140 MUS$ per year,with a total of 2000 MUS$ over the 25 years concession period (as from2010 7% to 9% of the country budget )

Revenues to be used for poverty reduction in Laos within a GOL revenue

management scheme Project transferred to Government of Laos after 25 years of operation by

NTPC

Direct benefits for local people

270 Km of roads built or upgraded

Major improvement in living condition for the 6500 people resettled

A 76 MUSD environmental and social program

Employment for up to 8000 Lao workers during construction

1 MUS$ per year, paid by the project, for the protection of the NBCA (fromFC till end of concession = 31 MUSD in total)

Benefits for Thailand and Lao PDR

Competitive energy Saving over 200MT of CO2 over the concession period


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Legal framework for NT2Resettlement

GoL Resettlement Policy for NT2 and otherGoL Decrees

Concession Agreement (CA)

Social Development Plans (SDPs)(The parties to the CA agreed that the

SDPs would be used for the purpose of

identifying and addressing the Project Impacts)


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Resettlement Objectives

Ensure that Resettlers have their income

earning capacity enhanced and achievethe Household Income Target;

Materially improve Resettler livelihoods on

a sustainable basis; Apply special measures to improve the

socio-economic status of ethnic minoritiesand vulnerable persons;


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Household Income target (HIT)

The greater of:

- The then current National Poverty Line,multiplied the number of persons in thehousehold; and

- LAK 1,420,800 per person, multiplied by the

number of persons in the household ( whichis equivalent to USD 1,200 per averagehousehold in June 2002)

- CA states that HIT should be measured at theend of year 5 of the RIP;


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Major improvement of living

conditions for families

resettled on Nakai Plateau


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Livelihoods Support

Agricultural plots - 0.66ha/household

Fisheries, with boats and

equipment supplied by NTPC Improved livestock techniques


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Village Forestry Association

and off-farm income

Livelihoods Support


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Public Health Program

Infrastructure / equipment / vehicles /medicines

Training and capacity building (morethan 1,000 people trained)

Health education & awareness (morethan 30,000 people involved)

Public health monitoring and surveillance


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Thank You

Resettlement policies in Laos.pdf

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