Social Monitoring Report...SOFRECO, Bit Com Services GMBH, Engineering General Consultants (EGC) Pvt Ltd, and TECHNO Legal Consultants Pvt Ltd, has been engaged up-to June, 2018 to

Social Monitoring Report

__________________________________________

Bi-annual External Social Monitoring and Evaluation Report

January - June 2017

PAK: Power Distribution Enhancement Investment

Program, Tranche 1

Prepared by Pakistan Electric Power Company (PEPCO) for the Asian Development Bank.

NOTES

(i) The fiscal year (FY) of the Government of the Islamic Republic of Pakistan and its

agencies ends on 30 June.

(ii) In this report “$” refer to US dollars.

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.

Facility Management Consultant (FMC), Power Distribution Enhancement Investment Program

(In association with SOFRECO, Bit Com Services Gmbh, Engineering General

Consultants (EGC) Pvt. Ltd., and TECHNO Legal Consultants Pvt. Ltd.)

Loan No. 2439 (SF)-PAK: Consultancy Services for Facility

Management Consultant (FMC): Power Distribution Enhancement

Investment Program

Six Monthly External Social Monitoring and Evaluation Report

of Land Acquisition and Resettlement Plans (LARPs) - Revised

Implementation of Tranches: 1, 2, 3 & 4

(January- June 2017)

For:

Asian Development Bank (ADB)

Ministry of Water and Power, Government of Pakistan

PEPCO

September 29, 2017

Six Monthly External Environmental Monitoring and Evaluation Report of LARPs Implementation Tranches – 1, 2, 3 and 4

Facility Management Consultant (FMC): Power Distribution Enhancement Investment Program i

TABLE OF CONTENT

TABLE OF CONTENT i

INTRODUCTION 1

1.1 General 1

1.2 Scope of subprojects 2

1.3 External Monitoring 2

METHODOLOGY AND APPROACH 3

2.1 Objectives of the External Monitoring and Evaluation (E M&E) 3

2.2 External Monitoring and Evaluation (EM&E) Indicators 3

2.3 Approach Adopted for External Social Monitoring 3

SCOPE OF WORK OF FACILITY MANAGEMENT CONSULTANT (FMC) FOR EXTERNAL

SOCIAL MONITORING 4

SOCIAL & ENVIRONMENTAL CLAUSES FOR BIDDING DOCUMENTS / CONTRACT

AGREEMENTS OF CIVIL WORKS UNDER ADB FINANCING PROJECTS 6

PHYSICAL WORK AND LARP STATUS OF THE SUBPROJECTS UNDER TRANCHE – 1, 2,

3 AND 4 8

5.1 Physical Work Status of the Sub-Projects under Tranche-1 8

5.2 Physical Work Progress of the Sub-Projects under Tranche-2 8



ASSESSMENT OF LARP PROCESSES 10

6.1 Preparation of Revised LARP(s) 10

6.2 Subproject Cut-off Dates 11

6.3 Eligibility and Entitlement for Compensation 11

6.4 Compensation for Crops, Trees and other Assets 12

6.5 Institutional Arrangement to implement LARPs 12

6.6 Staff Support 13

6.7 Transport 13

COMPLIANCE STATUS OF LAND ACQUISITION AND RESETTLEMENT PLANS

IMPLEMENTATION 14

7.1 Status of LARPs Implementation 14

7.2 Status of LARPs/DDRs under savings 15

7.3 LARPs Compensation 16

7.4 LARP Disclosure 16

7.5 Participation 17

7.6 Monitoring of Socio-Economic Surveys and Profiles 17

7.7 Grievance Redress Mechanisms 18

7.8 Internal Monitoring System 19

7.9 LARPs Conclusions 19


Facility Management Consultant (FMC): Power Distribution Enhancement Investment Program ii

7.10 Project issues 20

7.11 Findings / Observations 21

7.11.1 Faisalabad Electric Supply Company Limited (FESCO) 23

7.11.2 Gujranwala Electric Power Company Limited (GEPCO) 25

7.11.3 Hyderabad Electric Supply Company Limited (HESCO) 27

7.11.4 Islamabad Electric Supply Company Limited (IESCO) 29

7.11.5 Lahore Electric Supply Company Limited (LESCO) 31

7.11.6 Multan Electric Power Company Limited (MEPCO) 34

7.11.7 Peshawar Electric Supply Company Limited (PESCO) 37

7.11.8 Quetta Electric Supply Company Limited (QESCO) 38

STAFFING IN DISCOs 39

CAPACITY BUILDING 41

CONCLUSION AND RECOMMENDATIONS 42

10.1 Earlier Reported Observations 42

10.2 Proposed Corrective Actions 43

ANNEXURE – I: EXTERNAL ENVIRONMENTAL AND SOCIAL MONITORING VISIT

SCHEDULE 45

ANNEXURE – II: PHOTOGRAPHIC PROFILE 47


Facility Management Consultant (FMC): Power Distribution Enhancement Investment Program iii

LIST OF TABLES

Table 1: Timetable for Loan Proceedings .......................................................................................................................... 1

Table 2: Description of Revised Tranche 2 LARPs .......................................................................................................... 10

Table 3: Description of Revised Tranche 3 LARPs .......................................................................................................... 10

Table 4: Description of Tranche 4 LARPs ........................................................................................................................ 11

Table 5: Logistic Availability ............................................................................................................................................. 13

Table 6: Details of Incomplete LARP subprojects under Tranche 2 ................................................................................ 14

Table 7: LARPs and DDRs Reviewed by FMC ................................................................................................................ 15

Table 8: Summary - Compensation Status of DISCOs Tranche-2 .................................................................................. 16

Table 9: Monitoring of Socio-Economic Profile Indicators ............................................................................................... 17

Table 10: Details of Grievance Redress Committee (GRC) ............................................................................................ 18

Table 11: Internal Monitoring of DISCOs ......................................................................................................................... 19

Table 12: Tranche-2 Pending LARP Completion Reports ............................................................................................... 20

Table 13: Total Turnkey Subprojects and Total Completed Turnkey Subprojects updated up-till September 2017 ....... 22

Table 14: FESCO Sub-projects LARP Implementation Status ........................................................................................ 23

Table 15: GEPCO Sub-Projects LARP Implementation Status ....................................................................................... 25

Table 16: HESCO Sub-projects LARP Implementation Status ........................................................................................ 27

Table 17: IESCO Sub-projects LARP Implantation Status .............................................................................................. 29

Table 18: LESCO Sub-projects LARP Implantation Status ............................................................................................. 31

Table 19: MEPCO Sub-projects LARP Implantation Status ............................................................................................ 34

Table 20: PESCO Sub-projects LARP Implementation Status ........................................................................................ 37

Table 21: QESCO Sub-projects LARP Implementation Status ........................................................................................ 38

Table 22: E&SS Cells Staffing Capacity .......................................................................................................................... 39

Table 23: Previously Reported Observations and Comments ......................................................................................... 42


Facility Management Consultant (FMC): Power Distribution Enhancement Investment Program iv

ABBREVIATIONS

ADB Asian Development Bank

AJ and K Azad Jammu and Kashmir

BPI British Power International

DISCO Distribution Company

E&SS Environmental and Social Safeguard

EA Executing Agency

EIA Environmental Impact Assessment

EMP Environmental Management Plan

EPA Environmental Protection Agency

EPD Environmental Protection Department

FESCO Faisalabad Electric Supply Company

FMC Facility Management Consultant

GEPCO Gujranwala Electric Power Company

GMD General Manager Development

GOP Government of Pakistan

GRC Grievance Redressal Committee

GS or G/S Grid Station

HESCO Hyderabad Electric Supply Company

IA Implementing Agency

IEE Initial Environmental Examination

IESCO Islamabad Electric Supply Company

KV Kilo – Volt

LARP Land Acquisition and Resettlement Plan

LESCO Lahore Electric Supply Company

MEPCO Multan Electric Power Supply Company

MoW and P Ministry of Water and Power

MFF Multi – Tranche Financing Facility

PMU Project Management Unit

NOC No Objection Certificate

PDEIP Power Distribution Enhancement Investment Program / Project

PEPA Pakistan Environmental Protection Act

PEPCO Pakistan Electric Power Company

PESCO Peshawar Electric Supply Company

QESCO Quetta Electric Supply Company

STG Secondary Transmission and Grid Station

TL Transmission Line or Transmission Lines


Facility Management Consultant (FMC): Power Distribution Enhancement Investment Program 1

INTRODUCTION

1.1 General

The Government of Pakistan requested the Asian Development Bank (ADB) to support the Power Distribution Enhancement Investment Program-1 for rehabilitation and augmentation of the existing power distribution system across the country of Pakistan and provide financing through a Multi-tranche Financing Facility (MFF) of US$ 810 million over a 10-year-period. MFF would continue up to June 30, 2018.

The Project is being implemented by the following eight Power Distribution Companies (DISCOs) with Pakistan Electric Power Company (PEPCO), acting as the Executing Agency (EA) for the Investment Program.

Faisalabad Electric Supply Company Limited (FESCO) Gujranwala Electric Power Company Limited (GEPCO) Hyderabad Electric Supply Company Limited (HESCO) Islamabad Electric Supply Company Limited (IESCO)

Lahore Electric Supply Company Limited (LESCO) Multan Electric Power Company Limited (MEPCO) Peshawar Electric Supply Company Limited (PESCO) Quetta Electric Supply Company Limited (QESCO

The following lists the timetable for the loan proceedings:

Table 1: Timetable for Loan Proceedings

Loan Support

Component Tranche-1 Tranche-2 Tranche-3 Tranche-4

Loan No. 2439(SF)-PAK 2438-PAK 2727- PAK 2972- PAK 3096- PAK

Loan Signing date 29-Nov-08 29-Nov-08 28-Jan-11 9-Sep-13 30-April-14

Loan Effectiveness date 28-Jan-09 13-Jan-09 5-Oct-11 10-Dec-13 18-July-14

Physical Completion Target date (Original)

30-June-18 30-Dec-11 31-Mar-15 30-Sep-16 31-Mar-17

Loan Closing date (Original) 31-Dec-18 30-June-12 30-Sep-15 31-Dec-16 30-June-17

Physical Completion Target date ( Revision 1)

30-June-12 30-Sep-16 31-Oct-17 31-Mar-18

Loan Closing date (Revision 1) 31-Oct-12 31-Dec-16 31-Jan-18 30-June-18

Physical Completion Target date ( Revision 2)

31-Dec-17 31-Mar-18

Loan Closing date (Revision 2 ) 31-Mar-18 30-June-18

Status

Ongoing Facilitation

{up-to June 2018}

Completed Ongoing Ongoing Ongoing

The works are progressing on Tranches 2, 3 and 4. ADB had approved additional subprojects from the identified

savings by DISCOs of Tranches 2, 3 and 4 in August 2015. As a result, the loan closing dates of Tranches-2 and

3 had been extended from 30-09-2015 to 31-12-2016 and from 31-12-2016 to 31-01-2018, respectively.

Through letters of 04-07-2016, 23-02-2017 and 20-09-2017, ADB has further extended the loan closing date of

Tranche-2 up-to 31-03-2018, of Tranche-4 from 30-06-2017 to 30-06-2018 and of Tranche-3 from 31-01-2018 to

30-06-2018 respectively, allowing the inclusion of supplementary subprojects identified by HESCO, LESCO,

IESCO and PESCO for financing by utilization of surplus loan proceeds.

ADB issued a special fund, to support DISCOs in the implementation of the Power Distribution Enhancement Investment Program. A Facility Management Consultant (FMC) – SMEC International Pty Ltd in association with



SOFRECO, Bit Com Services GMBH, Engineering General Consultants (EGC) Pvt Ltd, and TECHNO Legal Consultants Pvt Ltd, has been engaged up-to June, 2018 to implement this investment.

1.2 Scope of subprojects

Under the scope of Tranche-1, and Tranche-2 implementation, 302 subprojects on the Secondary Transmission and Grid system (STG) and 40 subprojects on the lower voltages are being covered. It includes the latest addition of 19 subprojects under Tranche-2, identified for implementation by employing significant portion of the balance against interest during construction and commitment charges. Tranche-1 stands complete. The most of works under Tranche-2 are also finished.

Tranches-3 and 4 contain 128 and 327 sub-projects (including spare Transformers for emergency needs), respectively. Mostly, the subprojects being implemented under Tranche-3 are turnkey whereas, Tranche-4 covers subprojects for augmentation/ extension of existing grid stations. The above list includes 11 additional subprojects approved by ADB in February 2017 against Tranche 4. The inclusion of new turnkey subprojects under Tranche-4 has changed its category from “C” to “B” as construction of new grid stations and transmission lines triggers the need for LARPs and IEE. Recently, ADB has authorized 11 additional subprojects under Tranche-3. Many of contracts for turnkey projects and material procurement have been awarded under Tranches-3 and 4. Physical implementation is progressing.

There are total 109 turnkey subprojects in Tranches 2, 3 and 4. [Refer Table: 13 for number of turnkey subprojects in each Tranche and their completion status].

1.3 External Monitoring

The FMC supports four main tasks: project development of Tranches-3 and 4; project implementation of Tranches 1, 2, 3 and 4; external monitoring; and capacity building.

Under external monitoring, FMC is required to provide bi-annual external environment and social monitoring reports of all tranches to monitor the DISCOs compliance with ADB's policies for implementation of Land Acquisition and Resettlement Plan (LARP) and Environmental Monitoring Plan (EMP). The FMC Environment and Resettlement specialists conduct widespread field visits twice a year to all DISCOs prior to submission of Reports on External Monitoring and Evaluation. Accordingly, the FMC Environment and Social team has conducted site visits to all DISCOs during May–July, 2017 (Refer Annex-I) to check the compliance of ADB Environmental and Social Policy and data collection for 10th bi-annual external social monitoring report for the period January till June, 2017, on the Project. These contain the implementation status of ongoing activities, compliances and compensations, etc. against Tranches-2, 3 and 4. In addition to bi-annual monitoring, the FMC also visit sites during the intervening period. Cogently, interaction has been maintained with all DISCOs on regular basis to address earlier reported shortcomings, and to monitor activities.

Adhering to above, this Consultant’s report is prepared by the FMC setting out the status of implementation up-to July, 2017 of Tranches 1, 2, 3 and 4 of the ADB loans and measuring the level of activities performed by DISCOs in line with the social and environmental ADB’s covenants.



METHODOLOGY AND APPROACH

2.1 Objectives of the External Monitoring and Evaluation (E M&E)

FMC has organized E M&E of Tranches-1, 2, 3 and 4 subprojects to fulfil following objectives:

- To assess whether the methodology (census & surveys) to collect LARP information is correct; - To provide an independent periodic assessment of safeguards’ implementations and impacts; - To verify internal monitoring, reporting, planning and implementation processes; - To assess whether resettlement objectives have been met; - To appraise the LARP efficiencies, effectiveness, impact/ sustainability and draw lessons from the

evaluations; - To ascertain whether the key stakeholders, especially the DPs, are fully consulted throughout the sub-

projects’ development and implementation.

2.2 External Monitoring and Evaluation (EM&E) Indicators

FMC utilized the following indicators in the External Monitoring & Evaluation study of subprojects:

- LARP Status- (Date, Validity & Revision) - Subproject cut-off dates - Institutional Arrangements to Implement LARPs - Logistic Support (Transport) - LARP Disclosures - Replacement costs - Disclosure & Participation - Grievance Redress Mechanisms - Resettlement Budgets - Implementation Schedules

2.3 Approach Adopted for External Social Monitoring

The employed external monitoring methodology is mainly based on, but not limited to the following tasks:

- Review of Land Acquisition and Resettlement Plans (LARPs), Review of Compensation status.

- Meeting/discussion with DISCOs E&SS Cells.

- Compensation verification through public consultation.

- Review the revision of LARP process where needed, because of alteration in Scope of Work.

- Review, monitoring and updating of LARP process.

- Collection of relevant information from DISCOs through e-mail and telephonic communication.

Moreover, FMC plays its role as a member of the Grievance Redressal Committee (GRC) in resolution of any

raised complaint and contributes to build capacity of DISCOs’ GSC and E&SS staff with reference to ADB Safeguard Policy Statement 2009 by practicing effective liaison, coordination and follow-up on the issues, events

and on-going activities.

During the implementation process, the FMC facilitated DISCOs in assessment of initial/revised LARPs, organized meetings with staff of Environment Social Safeguards Cells (E&SS)- PMU, Supervision Consultants/ Contractors and conducted field visits of DISCOs. Detailed information as collected on LARP implementation progress is given ahead under Section 7.



SCOPE OF WORK OF FACILITY MANAGEMENT CONSULTANT (FMC) FOR EXTERNAL SOCIAL MONITORING

The resettlement specialist of the FMC extends facilitation to DISCOs in monitoring all turnkey subprojects

with resettlement impacts under all Tranches of the MFF. Specific tasks of the resettlement specialist

include:

i. Review all LARPS and IPDPS prepared for subprojects under the tranches

ii. Carry out field-visits and verify through a .review of available documents and stakeholder consultation

that each RP/IPDP is both operationally and financially ready for implementation. If necessary

recommend additional coordination between involved agencies, training and finance allocation.

iii. Assist the DISCOs in carrying out the modifications needed.

iv. Ensure that LAR/IP-related conditionalities to civil works implementation are reflected in the contracts

and well understood by contractors.

v. Assist DISCOs with LARP and IPDP implementation tasks with regular fieldwork and stakeholder

consultation.

vi. Ensure the DlSCOs have established the required Grievance Redress Committees and they are

functioning.

vii. Assist the DISCOs with internal monitoring tasks i.e. Prepare the LARP and IPDP sections of the

quarterly reports.

viii. Assist as needed PEPCO; ensure that they provide timely reports and that these are timely sent to the

DISCOs and to ADB.

ix. At the end of the implementation of each LARP or IPDP verify the affected people satisfaction and that

the plans were carried out in compliance with ADD policy, government law and the provisions of the

RF.

x. Ensure that subproject specific social mitigation measures are incorporated into contract documents.

xi. Support the PMU and participating DISCO to set-up and strengthened project's social cells, including

the roles of deputed/in house of land acquisition collectors.

xii. Conduct supervision for PMU's staff on safeguard measures, including implementation of updated

Land Acquisition and Resettlement Plans (LARPs).

xiii. Conduct on the job training (together with the local resettlement consultant) for PMUs staff responsible

for preparing, designing, implementing and reporting safeguard measures for all subprojects. This

includes training for concerned district governments on the requirements of ADB's resettlement policy.

xiv. Monitor and supervise resettlement and other social impact mitigation activities, as defined in the

approved and final LARPs.

xv. Assist PMU to ensure no civil works to be done unless the applicable provisions of the LARPs,

including in particular the timely delivery of compensation to affected families have been complied with.



xvi. Assist the DISCO through the relevant PMU for establishing a grievance mechanism procedure for the

subprojects.

xvii. Assist the SDC staff to conduct and develop internal monitoring and evaluation reporting system of the

LARPs implementations. The report will also include any change in the implementation schedule,

problems or difficulties encountered and work to be carried out in the next period in accordance with

procedures and details acceptable to ADB.

xviii. Support the PMU to select the External Monitoring Agency (EMA) of the Project.



SOCIAL & ENVIRONMENTAL CLAUSES FOR BIDDING DOCUMENTS / CONTRACT AGREEMENTS OF CIVIL WORKS UNDER ADB FINANCING PROJECTS

The clauses broadly illustrate the following:

i. The Initial Environmental Examination (IEE) and Land Acquisition & Resettlement Plan LARP (s) are the

part of the Contract Agreement and the contractors will be responsible for the implementation of the

same, no any extra payment will be paid by DISCO for implementation of IEE & LARP (s).

ii. Contractor (s) should also ensure the implementation of Environmental Management Plan (EMP), Land

Acquisition & Resettlement Framework (LARF) ; Land Acquisition & Resettlement Plan (LARPs)

prepared for DISCO’s Power Distribution Enhancement Investment Project under Asian Development

Bank (ADB) financing.

iii. Contractors will strictly follow & ensure the implementation of the works in accordance with IEE, Land

Acquisition & Resettlement Framework (LARF)/ Land Acquisition & Resettlement Plan LARP(s). The

WAPDA’s Safety Code will also be strictly followed by the Contractors.

iv. Field data collection and their analysis (such as Laboratory [Physical, Chemical, Biological Analysis of

Groundwater, Soil, Surface water, Oil, Air etc.), will be responsibility of the Contractor (s) and proper

record should also be maintained & same will be provided to the client (DISCO) accordingly; for these

analysis, no extra payment will be paid by the client (DISCO) to the contractor (s).

v. Arranging the Environmental & Social Trainings will also be the responsibility of contractors for which no

extra payment will be paid to the contractors. The documentary and photographic record of such

trainings should be maintained to the client (DISCO) from time to time.

vi. Implementation of Grievance Redressal Mechanism will be made by the contractors.

vii. In-order to ensure the compliance with proposed mitigation and monitoring measures required under

EMP, the Contractors will close liaise and coordinate with DISCO Environmental and Social Safeguard

Cell.

viii. In case of non-compliance with IEE, EMP & LARF/LARP, the work will be stopped and contractors will

be liable to pay penalty to the determined/finalized by the Competent Authority of DISCO. Moreover if

the Project is being delayed as a result of stoppage due to non-observance of EMP & LARF/LARP, the

penalty for Liquidated Damaged will also be recovered from the Contractors along with aforesaid

penalty.

ix. The contractors will ensure that all the formalities and compensation necessary for the fulfillment of

Land Acquisition and Resettlement Framework (LARF)/ Land Acquisition and Resettlement Plan

(LARP) has been fully met before the commencement of physical work at any site of construction.

x. Environmental and Social Monitors (ESM) (at least qualified Graduate Engineer with relevant

experience) as per field requirement will be appointed by the contractor, for which no any payment will

be made by DISCO.

xi. Soft Copy and Hard Copy of the periodic reports along-with photographic record regarding compliance

of EMP, Land Acquisition and Resettlement Framework (LARF) / Land Acquisition and Resettlement

Plan (LARP) on monthly basis and / or as and when required by the client (HESCO) will be furnished by

the contractor.

xii. Contractors will ensure compliance with Labor laws of borrower and pertinent Occupational Health and

Safety Regulation.

xiii. All contractor (s) will,

a. Use their best efforts to employ women living in the vicinity of the project area,



b. Disseminate information at worksites on the risks of sexually transmitted diseases and HIV/AIDS

for those employed during construction and takes measures to protect workers form potential exposure

to sexually transmitted disease.

c. Do not differentiate between men and women’s wages or benefits for work of equal value. d. Abstain from child labor and

e. Contractors are also bound to follow and implement the approval / NOC, issued by Environmental

protection departments (EPDs).



PHYSICAL WORK AND LARP STATUS OF THE SUBPROJECTS UNDER TRANCHE – 1, 2, 3 AND 4

5.1 Physical Work Status of the Sub-Projects under Tranche-1

Tranche-1 was substantially completed in October 2012.The construction works of all the subprojects under Tranche-1 had been completed and a completion report was submitted to the client in May 2013.

5.2 Physical Work Progress of the Sub-Projects under Tranche-2

Tranche-2 initially included 142 subprojects with 31 turnkey subprojects. 26 LARPs and 8 DDRs for these turnkey subprojects were prepared by PEPCO’s Consultant M/s British Power International (BPI) and approved by ADB.

The implementation of Tranche-2 is progressing. For the subprojects approved in August 2015 from savings, the DISCOs had floated additional tenders for procurement of needed materials. Most of the contracts had been signed and subprojects moved into implementation phase. In addition, ADB approved the utilization of savings on July 04, 2016 for additional subprojects (all non-turnkey), bringing the total from 142 to 162. Accordingly, the loan closing date has been extended up-to 31-03-2018.

Overall, 111 out of 162 subprojects including 27 turnkey subprojects were completed by the end of July 2017. In some DISCOs, compensation payments are still pending. The pending payments are either stuck in verification of assessment of damages or in finance department for preparation of cheques. The details for compensation status of each subproject can be seen in Section 7.11.


At the conclusion of the Feasibility Study, total 106 subprojects with 68 turnkey subprojects were included in Tranche-3. ADB had authorised 11 subprojects including 6 turnkey subprojects through the saving component in August 2015. Recently, in September 2017, 11 more subprojects including 1 turnkey subproject has been included in Tranche 3, increasing the total number of subprojects to 128 with 75 turnkey subprojects. To-date, all the DISCOs have awarded a significant number of turnkey contracts and procurement contracts from Tranche-3.

Initially, 8 DDRs (one for each DISCO under Tranche 3) and 33 LARPs of all 68 turnkey subprojects were prepared by FMC and approved by ADB in 2012.

2 LARPs were prepared for transmission lines subprojects in MEPCO and QESCO out of the 6 new turnkey sub-projects, introduced due to savings under Tranche-3 in August 2015 by the concerned DISCOs and reviewed by FMC. These LARPs have been approved by ADB. After the inclusion of LARPs due to savings subprojects, total LARPs for Tranche 3 stretched to 35. A separate DDR was prepared for LESCO, Shalamar II underground cabling subproject introduced under savings in September, 2017, increasing the total number of DDRs to 9.

During the course of implementation, the category of 7 subprojects has been altered from turnkey to non-turnkey. The scope was confined to material procurement for those subprojects. The conversion has reduced the quantum of turnkey subprojects from 75 to 68 under Tranche-3.

Overall, 63 out of the 128 subprojects including 26 turnkey subprojects under Tranche-3 were completed by the end of July 2017.




The processing of Tranche-4 Feasibility Study was completed in August 2013. A total of 290 non-turnkey subprojects were included in the Feasibility Study. Initially, 8 DDRs (one for each DISCO) were prepared and these have been approved by ADB. In August 2015, from Tranche-4 savings, ADB approved an additional 26 subprojects including 10 turnkey subprojects in FESCO, LESCO and MEPCO. With the inclusion of turnkey subprojects, Tranche-4 has been changed from category “C” to “B” requiring new LARPs and IEEs. 4 LARPs and 4 DDRs for the Tranche-4 savings subprojects were prepared by the concerned DISCOs and reviewed by FMC (refer Table 4 ). These LARPs have been approved by ADB. The updated status is mentioned under Section 7.11 ahead.

On February 23 2017, ADB has approved 11 additional non-turnkey subprojects for HESCO, LESCO, PESCO and IESCO to utilize savings; hence, increasing the total number of subprojects up-to 327.

The physical activities have also been started at sites. 127 out of 327 subprojects under Tranche-4 have been completed by the end of July 2017. As of now, none of turnkey subproject is complete.



ASSESSMENT OF LARP PROCESSES

FMC has examined the methods and approaches adopted by the DISCOs in the preparation, revision and implementation of LARPs. In addition, important LARP indicators including: (i) development of safeguard protocols (staffing, devising safeguard formats); (ii) data collection and reporting procedures and devising feedback mechanism, etc.; (iii) cut-off dates, (iv) Capacity Building (training needs) and (v) Logistic Support (Transport) are monitored to assess the soundness of program implementations. Information regarding these indicators was collected for LARPS of sub projects prepared by the DISCOs and are set out below.

6.1 Preparation of Revised LARP(s)

The LARPs of Tranche-2 sub projects were prepared 4 to 5 years ago. LARPs are required to be revised as per approved line route profile and must be revised accordingly for any subsequent change in line route. Accordingly, LARPs of all DISCOs have been revised in most of the cases. However, the works on transmission lines are still not completed in HESCO, LESCO and GEPCO. LARPs may call for the revision of the ongoing transmission lines subprojects.

The implementation against Tranches-3 and 4 is in progress. LARPs are being revised after getting approval of transmission line profiles. However, LARP revision is a continuous process as the number of effected personals varies with the work progress.

Table 2: Description of Revised Tranche 2 LARPs

Name of DISCO

LARP(s) Submitted to ADB (Date)

Total No. of LARPs

Revised LARP(s) Received

Remarks

Original Revised

FESCO -- -- -- -- Tranche-2 only includes augmentation subprojects. These sub-projects are of category 'C', therefore, no LARP exists.

QESCO -- -- -- -- --do--

GEPCO Nov, 2010 April, 2013 10 10

HESCO Nov, Dec

2009 April, 2013 7 7

IESCO April, 2010 April, 2013 3 3

LESCO Sep, 2010 June 2014 2 2

MEPCO June, 2010 April, 2013 3 3

PESCO Dec, 2009 April, 2012 1 1

Table 3: Description of Revised Tranche 3 LARPs

Name of DISCO


Total No. of

LARPs


Remarks

Original Revised

FESCO Oct 2012 May 2015

5 --

QESCO Oct 2012 -- 2 + 1

(Savings) --

Line profile is approved in sections. After approval of each section, LARP is being revised accordingly. Final revised LARP will be compiled and submitted to ADB after complete line profile approval



Name of DISCO


Total No. of

LARPs


Remarks

Original Revised

GEPCO Oct 2012 April, 2013

4 -- Transmission lines are being constructed from DISCO’s own sources

HESCO Oct 2012 Sept., 2015

6 --

IESCO Oct 2012 April, 2016

7 3

LESCO Oct 2012 -- - -- No LARPs required, as project falls in category ‘C’

MEPCO Oct 2012 Aug, 2015

7 + 1 (Savings)

-- LARP revision under process for 132kV Yazman grid station allied transmission line

PESCO Oct 2012 -- 2 -- LARP revision in progress for 132/11 kV G/S Feed for Kulachi and 132/11 kV G/S Feed for Daraban

Table 4: Description of Tranche 4 LARPs

Name of DISCO


Total No. of LARPs


Remarks

Original Revised

FESCO Aug, 2015 -- 1 -- LARP for 132/11 kV G/S Ahmad Pur Sial and allied transmission line was prepared on approved line route

MEPCO Aug, 2015 -- 3 --

Transmission line route profiling is in progress for feeding the following grid station subprojects: - 66/11 kV G/S Choti - 132/11 kV G/S Buch Villas Housing

Society Multan - 132/11 kV G/S Sanjar Pur Sadiqabad

6.2 Subproject Cut-off Dates

Census, DMS and socio-economic surveys were carried out to determine the nature and type of DPs and to estimate the extent of impacts and economic losses. The setting of project cut-off dates was done at the completion of these surveys. Normally, the last day of the census date is taken as cut-off date for the sub project. The Cut-off date is very important in any sub-project because it determines that there can be no further changes from community on the land. It also determines the over-run period for compensation.

Against Tranche 2 subprojects, the cut-off dates as per revised LAPRs for all sub projects of DISCOs had been updated to reflect revised project timelines.

Tranches-3 and 4 are under Implementation. The cut-off dates will be revised as necessitated with revision of LARPS.

6.3 Eligibility and Entitlement for Compensation

Eligibility and entitlements for compensation have been well described in all LARPs these include: (i) DPs eligible for compensation provisions under the Investment Program, (ii) Compensation listed under the Entitlement Matrix, (iii) Valuation & replacement cost of assets, and (iv)In-kind compensation.



Eligibility and Entitlements are described in accordance with ADB’s SPS in the LARPs. The updated LARPs include changes in the eligibility and entitlements. The eligibility and entitlements are primarily for landowners and sharecroppers for crops and trees and other affected assets.

6.4 Compensation for Crops, Trees and other Assets

Replacement costs used in valuing DPs assets intend to replace losses at market value or the nearest equivalent. It is the amount of cash or in-kind needed to replace an asset in its existing condition without deduction of transaction costs or any material salvaged.

The source for estimation of replacement costs were provided in all the revised LARPs. All DISCOs have the latest rates of compensation based on 2015-16 compensation rates.

DISCOs operate in large territorial area as summarized below:

LESCO = 5 Districts GEPCO = 6 Districts FESCO = 8 Districts IESCO = 8 Districts MEPCO = 9 Districts PESCO = KPK Province HESCO = Sindh Province except K – Electric QESCO = Baluchistan Province

To establish the DPs and compensation, E&SS staff used (i) resettlement field surveys (RFS) design, indicating the layouts of sites and (ii) drawings showing line profiles of transmission lines and spotting of bases for towers. Actual on site demarcation of corridors of impact (COI) are being carried out. However, field demarcation, which should have been done before collecting Census, DMS, or Socio-Economic Profile data / information, was not performed.

6.5 Institutional Arrangement to implement LARPs

Institutional arrangements should include: (i) Institutional responsibilities and mechanisms for carrying out LARPs; (ii) Capacity Building; (iii) participation of DPs representatives; and (iv) involvement of women in planning and implementation. Institutional arrangements for LARP revision and implementation need to be well defined. However, it has been observed during the monitoring visits that following groups play major role in LARP implementation:

- Environment & Social Safeguards Cell (E&SC) - GSC staff (surveyors, patwaris and LAO) - Contractor’s Environmental and Social Safeguard Staff

Coordination between these sections is not satisfactory, and could be improved by (i) clearly defining the roles of each section, (ii) increasing the interaction with each direct or indirect stakeholder in LARP implementation activities including review of progress, and (iii) building consensual decision making to undertake corrective actions. E&SS should act as a focal entity in building up coordination. With the passage of time, continual reporting and recommendations from FMC and complaints raised during project execution have improved the coordination between GCS and E&SS in some DISCOs. However, a gap still exists with respect to timely information sharing regarding RoW and change in scope of work, between E&SS, GSC and contractors which hinder the smooth execution of subprojects. It has been observed that GSC overlooks the noncompliance reported by E&SS cell in most DISCOs.



6.6 Staff Support

The E&SS is led by a Deputy Manager (Environment) under whom one Assistant Manager (Environmental Safeguards) and one Assistant Manager (Social Safeguards) are deputed. E&SS staff is assisted by Surveyors (Qanugo, Patwari and LAO) of PD (GSC) for collecting resettlement related field surveys. Surveyors are not well skilled and have less expertise in carrying out sociological surveys. It is recommended that qualified and experienced field enumerators should be attached with the cell on permanent or on as-required basis. Furthermore, all the socio-economic and socio-demographic data should be collected under the supervision of A.M social.

6.7 Transport

E&SS in QESCO and PESCO lack availability of independent transport facilities. The E&SS are provided transport on demand; however, they often have to postpone their scheduled activities due to unavailability of transport. This practice causes delay in several activities regarding revision/updating of LARPs and issues related to compensation. Furthermore, the transport provided to FESCO is not suitable for the difficult terrain in its region and require four-wheel drive vehicle.

Table 5: Logistic Availability

Name of DISCO Transport Availability

Independent On Demand

FESCO --

GEPCO --

HESCO --

IESCO --

LESCO --

MEPCO --

PESCO --

QESCO --



COMPLIANCE STATUS OF LAND ACQUISITION AND RESETTLEMENT PLANS IMPLEMENTATION

In pre-construction and construction phases, meetings were arranged by Environment and Social Safeguard (E&SS) Cells in all the DISCOs to discuss the procedures for revision of LARPs during the execution of civil work at transmission lines. Accordingly, DISCOs have been briefed for completion of LARPs as per actual details of affected person and compensation once the project is completed and compensation is paid for all stages.

FMC utilizes the following indicators in the External Social Monitoring & Evaluation study of subprojects:

i. LARP Status- (Date, Validity & Revision)

ii. Subproject cut-off dates

iii. Institutional Arrangements to Implement LARPs

iv. Logistic Support (Transport)

v. LARP Disclosures

vi. Replacement costs

vii. Disclosure & Participation

viii. Grievance Redress Mechanisms (GRM)

ix. Resettlement Budgets

x. Implementation Schedules

7.1 Status of LARPs Implementation

For the External Social Monitoring purpose, a number of turnkey subprojects were visited to record the compliance of Social Safeguards and public consultation for verification of compensation payments.

In Tranche 2, total 26 LARPs were prepared out of which 21 LARPS have been completed. LARPs in LESCO, HESCO, IESCO and GEPCO stand incomplete, due to pending stringing stage compensation in GEPCO, IESCO and LESCO, remaining civil work for foundations in GEPCO & HESCO and line route profile approval in LESCO. Refer Table 6 for details.

Table 6: Details of Incomplete LARP subprojects under Tranche 2

DISCO Project Name Status Remarks

LESCO

132/11 kV G/S Central Park Housing Scheme

Transmission Line work has not started so far.

Line profiling in process

132/11 kV G/S Doula Chuchak *(Spare

Transformers)

Project has been completed and energized

Compensation for foundation and erection stages has been completed. Compensation for stringing stage has been paid partially from tower no. 76 till 95. Payment is pending from tower no. 1 till 75.

GEPCO

132 kV Sahuwala – Pasrur

Foundation and Erection work is in progress

Compensation has been paid for foundation and erection stage

132/11 kV G/S Godh Pur

Transmission line work is in progress

Compensation for all three stages has paid for completed work.

IESCO 132kV Hattain – Bagh Transmission line has Assessment of damages has



DISCO Project Name Status Remarks

been energized on 07-04-2016.

been completed for stringing stage compensation. Payment of compensation for stringing stage is in disbursement phase

132kV Mangla – LB Mangla – Rajar

Transmission line has been energized in May

17

Compensation for foundation stage is paid. Erection and

stringing stage compensation is partially paid. Finance dept. is

preparing cheques for the remaining compensation

payments.

HESCO 132 kV Dadu N-Mehar-

Larkana Transmission line work is in progress

Compensation for completed foundations had been paid.

In Tranche 3, total 35 LARPs were prepared out of which 18 LARPs stand complete as 26 turnkey subprojects under Tranche 3 have been completed uptill July 2017. Compensation payment is in progress for different stages for all DISCOs.

4 LARPs were prepared under Tranche 4 savings out of which civil work on Ahmadpur Sial subproject in FESCO has been started. Assessment of damages is in progress and compensation will be paid subsequently. Civil work will soon be initiated on the remaining 3 LARP subprojects in MEPCO.

It was observed, that there is lack of coordination among GSC and E&SS cell regarding project activities. Minor RoW issues are not reported to E&SS cell by GSC staff which ultimately turns into major disputes. Finance department also needs to accelerate the payments of compensation for timely disbursement.

The delay in disbursement of payments also results in creating RoW as this creates distrust of community regarding the compensation. Project affectees, who had earlier allowed the DISCO for civil work of foundation or erection, create hurdles for remaining work due to non-payment of compensation.

7.2 Status of LARPs/DDRs under savings

During the recent past, the FMC contributed its efforts in reviewing the LARPs/DDRs, prepared by DISCOs, of Tranche-3 and Tranche-4 savings subprojects. The following table lists the subprojects for reviewed LARPs/DDRs:

Table 7: LARPs and DDRs Reviewed by FMC

Sr. No.

DISCO Tranche Project Title

1 QESCO T3 Savings

Conversion of Four (04) Grid Stations (66kV to 132kV) along with 183Km 132kV

associated Transmission Line:

Dera Murad Jamali, Rojhan Jamali, Usta Muhammad and Jhal Magsi (LARP)

2

LESCO

T3 Savings Laying of 132 KV Double Circuit Power Cable betweeen 220 kV Shalamar GIS

and 132 kV Shalamar II GIS (DDR)

3 T4 Savings Laying of 132 KV U/G Copper Cable between McLeod Road-Qartaba Grid

Stations (DDR)

4 T4 Savings Construction of 132KV GIS Grid Station Punjab University (DDR)

5 T4 Savings Laying of 132 KV U/G Copper Cable between Sunny View-McLeod Road (DDR)

6

IESCO T4 Savings

Conversion of 66 to 132 KV D.S Bilawal Grid Station with feed (LARP)

7 Conversion of 66 to 132 KV Tamman Grid Station with feed (LARP)

8 Conversion of 66 to 132 KV Jand Grid Station with feed (LARP)

9 Conversion of 66 to 132 KV Lakamar Grid Station with feed (LARP)



7.3 LARPs Compensation

Funds are available in all DISCOs for compensation. All DISCOs are compensating the DP’s in three stages i.e. (i) Foundation stage, (ii) Erection Stage and (iii) Stringing stage, as per LARPs to ensure continued access to the affected properties. Against Tranche-2, IESCO, GEPCO, HESCO and LESCO are paying compensation to DP’s. HESCO and IESCO are facing some problems in paying compensation as their finance departments are delaying payments. PESCO and MEPCO have completed compensation for all three stages. The summary of compensation provided by DISCOs for Tranche-2 is shown in following Table.

Table 8: Summary - Compensation Status of DISCOs Tranche-2

Name of DISCO

Total No. of DPs

Total No. of DHHs

Compensated DHHs As of 31-12-2016

Compensated DHHs As of 30-06-2017

Remaining DHHs

FESCO There are no DPs. Therefore, project falls in category ‘C’

QESCO There are no DPs. Therefore, project falls in category ‘C’

GEPCO 5504 741 713 713 28

HESCO 4116 397 219 219 178

IESCO 7769 795 768 768 27

LESCO 1459 179 96 96 83

MEPCO 1389 148 148 148 0

PESCO 64 7 7 7 0

TOTAL 20301 2267 1951 1951 316

For Tranche-3 sub-projects, compensation payments are being paid in FESCO, HESCO, IESCO and

MEPCO. Assessment of damages is in progress at PESCO and QESCO.

It may be noted that ADB’s SPS 2009, states that the compensation payment for crops, trees and other assets should be made prior to start of civil works. The Affected Persons should be involved in census and

detailed measurement surveys to build consensus on the losses/damages. DISCOs prepare the inventories

of crops, trees and other assets that have been affected due to civil works on transmission lines and believe

that payment compensation before commencement of civil works would give way to DPs to create issues.

The assessment of damages is done in consent with the affected persons and compensation is made as per

Government rates for assets for the relevant fiscal year. The FMC sent a format to each DISCO, asking

them to provide plans for compensation on monthly basis to assess compliances.

7.4 LARP Disclosure

A participation mechanism facilitates the consultative process and includes information sharing with DPs and

other stakeholders. According to ADB’s SPS, The DISCOs’ project management should share all aspects of the project namely: conception, planning and design, alternative options, implementation, etc. with the

stakeholders.



LARPs of Tranche-2 and 3 were prepared in the year 2008-10 and November 2012 respectively. At that time

both English and Urdu versions of LARPs were posted on the ADB and DISCO’s websites. These were placed in the local offices and contractors’ site offices as well. The same process has been tracked for the subprojects approved under saving component.

During the recent visits of FMC at various randomly selected subprojects, it has been noticed that no copy of

LARP was available at running Tranche-2 subproject sites in any DISCO. For Tranche-3 No LARP was

found at any subproject site or camp office of the contractor at MEPCO, IESCO and QESCO. Physical work

has been started at 2 conversion subprojects in PESCO. The LARP was not available at site for allied

transmission lines. Line route profiling is being done. The irregularities were discussed with the DISCOs.

Public consultation is being conducted in all DISCOs during different phases of work.

7.5 Participation

Consultation with stakeholders at different stages of the subproject is required by ADB’s SPS as set out in the LARF. All DISCOs held participatory Resettlement Field Surveys (RFS), semi-structured discussions

aiming community awareness and provision of consultations regarding the project’s likely impacts with the small groups of men and women along with proposed transmission lines. However, these discussions and

meetings occur without prior notices.

7.6 Monitoring of Socio-Economic Surveys and Profiles

The socio-economic profiles include: (i) field methodology, (ii) general information on DHHs, (iii) social

groups, (iv) indigenous people, (v) size of DHs, (vi) gender composition, (viii) income by livelihood sector

(viii) literacy, (ix) vulnerability/poverty, (x) impact on women and (xi) social amenities.

These are well described in revised LARPs of various sub-projects. Hence comments for all DISCOs are similar and are shown in the table below:

Table 9: Monitoring of Socio-Economic Profile Indicators

Aspects Status

Remarks Proper Weak Wrong

Field Methodology

-- -- Instead of census use 25% sample

General Information on DHs

-- -- --

Social Group -- -- --

Indigenous People

-- -- --

Data of DHs

i) Size of DHs -- -- Does the size agree with that reported in Population Census Reports which for most districts is of the range of 6.5 to 8 persons against 9 to 14 persons reported in various LARPs?

ii) Age & Gender

-- --

iii) Housing -- -- Report No. of DPs by different dwellings.



Aspects Status

Remarks Proper Weak Wrong

Livelihood Sector

-- -- --

Literacy -- -- Include children

Vulnerability / Poverty

-- --

Pakistan’s 2005-6 Official Poverty Line of Rs. 849/- per DPs per month. It is used for LARPs prepared during 2009 & 2010. Should have been computed for the cut off dates (2008, 2009 or 2010) and now 2013, whichever is the case. Moreover, it varies according to size of DHs of a locality so should be worked out separately for each sub-project of each DISCO.

Impact on Women

-- -- -- Not included

Social Amenities

-- -- -- Not included

7.7 Grievance Redress Mechanisms

Grievance Redress Committees (GRCs) and Grievance Resolution Processes (GRPs) are well developed in

all DISCOs. All DISCOs have constituted GRC for complaint resolution. Only QESCO has constituted the

GRC as per LARF. Most of DISCOs have not included community representatives who must be a part of

GRC for efficient working. Complainants prefer to consult court rather than presenting their issues to GRC

due to distrust

In GEPCO, at Sahuwala – Gohdpur TL, the line route was altered due to proposed power house near the

220 kV Sahuwala Grid. One of the affected people on new line route filed a complaint to court regarding the

horizontal clearance from his furniture showroom building. The honourable Court dismissed his wright after

which the complainant directly complained to ADB without following the GRM. Therefore, no GRC meeting

was held. ADB team, FMC and GEPCO consulted the complainant and concluded that GEPCO would

redress the complaint by purchasing the land adjacent to the proposed site. This issue was resolved by May

2017 after payment of agreed amount to the affectee.

A complaint was raised at TGA-Digri TL in HESCO, regarding the diversion in line route. Complainant

approached Federal Ombudsman (Wafaqi Muhtasib) and court of law. Both forums referred the complainant

to the concerned DISCO. The complainant directly logged a complaint to ADB instead of following the GRM.

After initial screening of the complaint, ADB referred the complainant to the concerned DISCO. HESCO

convened a GRC meeting to resolve the issue. FMC Social specialist attended the meeting as a member of

the GRC. During the meeting, GRC was assisted for possible solutions regarding complaint resolution with

respect to ADB Safeguards Policy Statement 2009. The details of the meeting were reported in the 9th

External Monitoring report (submitted on February 03, 2017). The issue was resolved in June 2017 and

transmission line has been completed.

Detailed formation of GRC is shown in the table below:

Table 10: Details of Grievance Redress Committee (GRC)

DISCO GRC Constitution date Remarks

FESCO 13 – 07 - 2016 No Tehsildar



GEPCO 08 – 04 – 2013 Representative from affected persons must be included. No Tehsildar

HESCO 03 – 08 – 2015 No Tehsildar

IESCO 11 – 07 – 2009 No Tehsildar

LESCO 22 – 06 – 2016 Representative from affected persons must be included. No Tehsildar

MEPCO 25 – 07 – 2009 Representative from affected persons must be included. No Tehsildar

PESCO 25 – 10 – 2011 Representative from affected persons must be included. No Tehsildar

QESCO 09 – 03 – 2015 Complete Formation

7.8 Internal Monitoring System

There is an acquiescent Environment and Social Internal Monitoring System in all the DISCOs to fulfil both

ADB policies and regulatory requirements. To date, 10 Internal Monitoring Reports have been submitted by

each DISCO on bi-annual basis. However, the DISCOs are facing difficulties in submitting the reports due to

unavailability of sufficient staff.

Table 11: Internal Monitoring of DISCOs

DISCO No. of IMRs

submitted as of 30-06-2017

Interval Submission Dates

FESCO 10 Bi-annual (Ending every June and December ) June 29, 2017

GEPCO 10 Bi-annual (Ending every June and December ) July 23, 2017

HESCO 10 Bi-annual (Ending every June and December ) July 28, 2017

IESCO 10 Bi-annual (Ending every June and December ) July 24, 2017

LESCO 10 Bi-annual (Ending every June and December ) July 28, 2017

MEPCO 10 Bi-annual (Ending every June and December ) July 17, 2017

PESCO 10 Bi-annual (Ending every June and December ) August 16, 2017

QESCO 10 Bi-annual (Ending every June and December ) July 28, 2017

7.9 LARPs Conclusions

Most of turnkey subprojects have been commissioned under Tranche-2. It is expected that remaining

subprojects would be completed within the 2nd half of 2017. The following table depicts the Original, Revised

and Final stages of LARPs Implementation. A few subprojects have been completed with respect to

construction activity and payment of compensation but their LARP completion reports are still to be

documented. FMC is following up with DISCOs to finalize the LARPs. Other tranches are under progress.



Table 12: Tranche-2 Pending LARP Completion Reports

Name of DISCO

Name of Sub-Projects Original LARP

Revised LARP

Final LARP

Remarks

GEPCO

In-Out 500 kV, Garhi 132 DC TL at Garhi

November 2010

May 2013 October

2015 Compensation paid

Conversion of Kolu Tarrar GS (66 to 132 kV) and DC TL.

November 2010

May 2013 October

2015

DISCO has compiled LARP completion report despite non-payment of stringing stage compensation

Conversion of Jalal pur Nau GS (66 kV to 132 kV) & DC-TL

November 2010

May 2013 October

2015

DISCO has compiled LARP completion report despite non-payment of stringing stage compensation

In-Out 500 kV Nokhar GS of 132 kV Terri Sansi-College Road Gujranwala & Therri Sansi-Hafizabad Road, Gujranwala TL.

November 2010

May 13 October


132 kV Khiali Bypass GS S November

2010 May 2013

October 2015

Compensation paid

New Daska 132 kV GS & DC-TL November

2010 May 2013

October 2015

Compensation paid

In-out Existing Nokahr-Hafizabad TL (CCT No1) 132 kV DC-TL

November 2010

May 2013 October


IESCO Choa Saiden Shah to Noor Pur Sethi 132 kV TL

November 2012

April 2013 -- Compensation paid. LARP completion report in progress

PESCO Gomal University (DI Khan) New GS & TL

June 2009 April 2012 -- Compensation paid. LARP completion report in progress

MEPCO

Fateh Pur 132 kV GS & TL June 2009 April 2013 -- Compensation paid. LARP completion report in progress

Alipur 132 kV Conversion of GS & TL

May 2009 April 2013 -- Compensation paid. LARP completion report in progress

Miran pur 132 kV GS & TL June 2009 April 2013 -- Compensation paid. LARP completion report in progress

HESCO

Jacobbabad-II New Grid Station & TL

June-13 July 2013 -- Compensation paid. LARP completion report in progress

Sukker City 132 kV New GS & conversion from 66 to 132 kV TL

Sept-08 April 2013 -- Compensation paid. LARP completion report in progress

Conversion of Larkana Old & TL -do- May 2013 -- Compensation paid. LARP completion report in progress

Conversion of Talhar GS & TL July-09 April 2013 -- Compensation paid. LARP completion report in progress

Kandiaro-Sanghar-Kandiaro-Mirpur Khas TL

-do- April 2013 -- Compensation paid. LARP completion report in progress

Shikarpur -Larkana 132 kV New TL

-do- May 2015 -- Compensation paid. LARP completion report in progress

7.10 Project issues

DISCOs have been facing a number of issues regarding delay or under payment of compensation and RoW during the line profiling and construction phases in all Tranches. Such issues mainly arise in urban areas where the land costs are very high. These problems were largely resolved at preliminary level through public consultation. However, some individuals took the matter to court of law without following the



Grievance Redressal Mechanism proposed by DISCOs. This caused unexpected delays in project proceedings in GEPCO, HESCO, MEPCO, IESCO and FESCO.

- In GEPCO, at Sahuwala – Gohdpur TL, the line route was altered due to proposed power house near the 220 kV Sahuwala Grid. One of the affected people on new line route filed a complaint to court regarding the horizontal clearance from his furniture showroom building. The honourable Court dismissed his wright after which the complainant directly complaint to ADB without following the GRM. ADB team, FMC and GEPCO consulted the complainant and concluded that GEPCO would redress the complaint by purchasing the land adjacent to the proposed site. This issue was resolved by May 2017 after payment of agreed amount to the affectee.

- In LESCO, an issue was raised at central park transmission line route in Tranche-2, due to water logged area and unsuitable conventional foundation design. LESCO has yet to finalize the design for this subproject

- Transmission Line route for Shah Sadar Din subproject was changed from Shadan Lund to D G Khan prior to start of work and the LARP was revised accordingly. After start of civil works, the line route has been altered again which may now be diverted to 500 kV grid station D G Khan. The LARP needs to be revised as per changes.

- Site for Bahara Kahu Grid station has not been finalized so far. The LARP/DDR for this subproject will be prepared after finalization of the grid site

- A complaint was raised at TGA-Digri TL in HESCO, regarding the diversion in line route. Complainant approached Federal Ombudsman (Wafaqi Muhtasib) and court of law. Both forums referred the complainant to the concerned DISCO. The complainant directly logged a complaint to ADB instead of following the GRM. After initial screening of the complaint, ADB referred the complainant to the concerned DISCO. HESCO convened a GRC meeting to resolve the issue. FMC Social specialist attended the meeting as a member of the GRC. The details of the meeting were reported in the previous External Monitoring report (submitted on February 03, 2017). The issue was resolved in June 2017 and transmission line has been completed.

During the site visits, meeting with affected persons and reviewing the compensation record available with E&SS, it was observed that compensation payments for final stage (Stringing) is being avoided by DISCOs. Stringing compensation for Tranche 2 is still pending in GEPCO, IESCO and LESCO despite completion of subprojects a long ago. The matters were discussed to resolve the payment issues.

7.11 Findings / Observations

FMC Social & Environmental Team conducted extensive site visits across the country during May – August 2017. The visit schedule is attached as Annexure-I. Turnkey subproject sites were visited to evaluate the compliance status of ADB Safeguard Policy Statement 2009. The work progress and LARP implementation status at each turnkey subproject are depicted as under.

Annexure –II represents sample site photographs



Table 13: Total Turnkey Subprojects and Total Completed Turnkey Subprojects updated up-till September 2017

Tranche-2

DISCO FESCO GEPCO HESCO IESCO LESCO MEPCO PESCO QESCO Total Completed Total Subprojects

New Substation 4 1 5 2 1

Conversion 2 3 1 3

TL 5 1 3

Total 11 5 4 5 5 1 27 31

Tranche-3


New Substation 2 1 3 4 2 2

Conversion 4 4 3 6 2 4

TL 5 4 5 5 8 2 2

Total 11 4 8 8 9 16 6 6 26 68

Tranche-4


New Substation 1 4

Conversion 1 1

TL 2 1

Total 1 3 6 0 10

G. Total 53 109



7.11.1 Faisalabad Electric Supply Company Limited (FESCO)

Table 14: FESCO Sub-projects LARP Implementation Status

Sr. No.

Name of Sub-Project Tranche Scope of

Work LARP/DDR

LARP Survey Period

Work Progress Remarks

1 132/11 kV GIS G/S Faisalabad

T3 New

Substation DDR

N/A

More than 90% civil work has been completed at Faisalabad (GIS) grid station. Part of electrical equipment has been shifted to site.

Combine DDR prepared of Tranche 3

2 132/11 kV G/S Shahbaz Khel Mianwali

T3 New

Substation DDR

More than 95% civil work has been completed at Shahbaz Khel grid station. Part of electrical equipment has been shifted to site.

-do-

3 Rakh Dagran T3 Conversion

N/A N/A

The civil works have been started at grid stations. The civil works progress is around 88%, 70%, 60% and 90% at 18 Hazari, GM Raja, Rakh Dagran & Kala Bagh grid stations, respectively

LARP was prepared for associated transmission line

4 18 Hazari T3 Conversion

5 GM Raja T3 Conversion

6 Kala Bagh T3 Conversion

7 132 kV Grid TT Singh to HB Shah

T3 TL LARP Aug-12

All the 226 tower foundations and erections have been completed. Earlier, the work was held up till arriving at solutions. The court proceedings have been settled. The stringing works across 222 tower spans have also been accomplished. The subproject is expected to be completed during the upcoming quarter.

Compensation for Stringing stage is being paid.

8 132 kV Piplan Bhakkar in and out (F/F Rakh Dagran)

T3 TL LARP Oct-12

The work on the transmission line feed for Rakh Dagran grid station has been completed. The commissioning of

Compensation is paid for all three stages



Sr. No.


Work LARP/DDR

LARP Survey Period


subproject will be carried out upon conversion of Rakh Dagran grid station to 132 kV level.

9 132 kV D/C HB Shah to 18 Hazari

T3 TL LARP Aug-12

All the 94 foundations and tower erections have been completed on Hazari- HB Shah Transmission line. The stringing works have been started and across 90 tower spans have been completed. RoW problems have been resolved.

Assessment of damages has been completed. Compensation is being prepared.

10 132 kV Hydropower - 220 kV Kala Bagh

T3 TL LARP Aug-12

The work on transmission line feeds for Kala Bagh grid station has been completed. All the 14 foundations, tower erections and allied stinging (except across 1 structure at one segment) have been completed on transmission line. The commissioning of subproject will be carried out upon conversion of Kala Bagh grid station to 132 kV level.

Assessment of damages has been completed. Compensation is being prepared

11 132 kV D/C 18 Hazari- GM Raja

T3 TL LARP Aug-12

All the 141 foundations have been concreted and 140 towers have been erected on Hazari- GM Raja transmission line segment. The stringing works are under progress and across 140 tower spans are complete.

Compensation is being paid

12 132/11 kV G/S Ahmad Pur Sial

T4 Savings

Conversion LARP Aug -15

Civil works started at site. About 70% material has been shifted to site.

Foundation and Erection work of transmission line is complete. Compensation is being paid



7.11.2 Gujranwala Electric Power Company Limited (GEPCO)

Table 15: GEPCO Sub-Projects LARP Implementation Status

Sr. No.


Work LARP/DDR

LARP Survey Period


1 132/11 kV G/S Godh Pur T2 New

Substation LARP

Mar.09

The 132 kV new grid stations at New Daska, GIS Sheranwala Bagh, Khiali Bypass and Gohad Pur had been energized on 28-11-2014, 9-05-2015, 19-05-2015 and 10-07-2017, respectively.

Compensation has been partially paid for completed foundations and erected towers. Assessment of damages is in progress for remaining work.

2 132/11 kV G/S Daska – New T2 New

Substation LARP Mar-09

Compensation has been paid to GS Land Owners. TL work not included in ADB’s scope of work

3 132/11 kV G/S Khiali By Pass (Gujranwala) T2 New

Substation LARP Oct-08

Compensation of GS has been paid to Land Owner

4 132/11 kV G/S Sheranwala Gate (Gujranwala) GIS T2 New

Substation DDR N/A Combine DDR for Tranche-2

5 66/11 kV G/S Kolu Tarrar T2 Conversion LARP Mar-09

The conversions of Kolo Tarar and J.P. Nau grid stations from 66 kV to 132 kV along-with associated transmission lines were commissioned on 17-04-2014 and 19-05-2014 respectively.

Compensation has been paid for all three stages but some DPs have not received compensation due to late submission of documents.

6 66/11 kV G/S Jalal Pur Nau T2 Conversion LARP Feb-09

Compensation has been paid for all three stages but some DPs have not received compensation due to late submission of documents.

7 132/11 kV Gujranwala 500 kV (Naukhar) – (In & Out – Hafizabad Rd. Sansi at Gujranwala)

T2 TL LARP Feb-09 23.3 km 132 kV transmission line was energized on 30-07-2015.

Compensation has been completed

8 132 kV Sahuwala – Pasrur T2 TL LARP Feb-09

175 out of the 212 foundations are complete; however, 37 foundations were delayed because of right–of- way issues. The route plan of last segment of transmission line has been modified.

Compensation being carried out



Sr. No.


Work LARP/DDR

LARP Survey Period


9 132 kV Gujranwala – New (500kV Nokhar). Hafizabad-II (Alternate Feed for Hafizabad-II)

T2 TL LARP Feb-09 28.4 km 132kV transmission line was energized on 20-09-2106.


10 132 kV In-Out Gakhar-Hafizabad CCT No.1 (Feed for Hafizabad-II)

T2 TL LARP Oct-08 16.5 km 132kV transmission line was energized on 27-03-2014.


11 132kV In-Out Gujranwala-New – Their Sansi at Garhi (Feed for Hafizabad-II)

T2 TL LARP Feb-09 15.4 km 132kV transmission line was energized on 28-08-2014.


12 66/11 kV G/S Daska T3 Conversion

LARP Aug-12

More than 98% civil works have been completed on all the grid stations. Testing and commissioning of all grid stations are underway and expected to be completed in August 2017.

Transmission Line is not included in ADB’s scope of work

13 66/11 kV G/S Malikwal T3 Conversion

14 66/11 kV G/S Head Marala T3 Conversion

15 66/11 kV G/S Siranwali T3 Conversion



7.11.3 Hyderabad Electric Supply Company Limited (HESCO)

Table 16: HESCO Sub-projects LARP Implementation Status

Sr. No.


Work LARP/DDR LARP Survey Period Work Progress Remarks

1 132/11 kV G/S Jacobaabad-II

T2 New

Substation LARP June-13

Grid station along-with 0.5 km feeding transmission line was energised on 04-09-2014.

Compensation has been paid

2 66/11 kV G/S Sukkur City

T2 Conversion LARP Sept-08

The grid station and associated 7 km transmission line were commissioned on 09-08-2014 and 26-06-2014, respectively.


3 66/11 kV G/S Larkana Old

T2 Conversion LARP Sept-08 The grid station along-with 1.97 km associated transmission line was commissioned on 23-09-2014.


4 66/11 kV G/S Talhar T2 Conversion LARP July-09 The grid station along-with 0.9 km associated transmission line was energized on 23-07-2014.


5 132 kV Dadu N-Mehar-Larkana

T2 TL LARP Jul-09

218 and 202 (out of 498) tower foundations including 19 and 13 pile foundations and 179 and 71 tower erections have been completed. The stringing work is not started. The materials for 267 out of 498 towers with stubs and 90 km conductor have also been delivered to sites.

Compensation has been paid for completed foundations. Line route has been altered. LARP needs to be revised

6 132/11 kV G/S New Matli

T3 New

Substation LARP

The grid station has been energized on 09-06-2017.

LARP was prepared for associated transmission line

7 66/11 kV G/S TG Ali T3 Conversion LARP The conversion of all the 3 grid stations has been accomplished on 10-06-2017, 12-06-2017 and 14-06-

-do-

8 66/11 kV G/S Digri T3 Conversion LARP -do-



Sr. No.


Work LARP/DDR LARP Survey Period Work Progress Remarks

9 66/11 kV G/S T. Jan Muhammad

T3 Conversion 2017 at TG Ali, Digri and Jan Muhammad grid stations, respectively.

-do-

10 TM Khan 132 kV new Matli (Feed for New Matli)

T3 TL LARP Aug-12 Work has been completed and transmission line energized. Compensation paid for all three stages.

11 132 kV newTG Ali-New Matli(Feed for New Matli)

T3 TL LARP Aug-12

RoW problems at 5 tower locations have been resolved. All the 102 tower foundations, tower erections and stringing works have been completed.

Compensation paid for all three stages.

12 TG Ali 132 kV Digri (Feed for TJM)

T3 TL LARP Aug-12

All the 98 tower foundations, tower erections and stringing works have been completed on TG Ali- Digri transmission line.


13 132 kv Digri 132kV T Jan Muhammad (Feed for TJM)

T3 TL LARP Aug-12 All 55 tower foundations, tower erections and stringing works have been completed.




7.11.4 Islamabad Electric Supply Company Limited (IESCO)

Table 17: IESCO Sub-projects LARP Implantation Status

Sr. No.


Work LARP/DDR

LARP Survey Period


1 66/11 kV G/S Noor Pur Sethi T2 Conversion -- --

The grid was energized on 09-06-2014.

LARP was prepared for allied transmission line. Compensation paid for all three stages.

2 132kV Choa Saiden Shah - Noorpur Sehti T2 TL LARP May-09 The 45.13 km transmission line was completed and energized on 09-06-2014.

3 132kV Hattain – Bagh T2 TL LARP May-09

The 26.72 km transmission line had been energized on 07-04-2016.

Assessment of damages has been completed. Payment in disbursement process

4 132kV Mangla – LB Mangla – Rajar (Wolf to Rail on new tower ZM)

T2 TL LARP May-09

All the physical works had been completed along the transmission lines. Earlier, except one disputed span, transmission line was energized on 04-03-2017. However, the final commissioning of line has recently been accomplished during May 2017.

Compensation for erection stage is partially paid and rest in process. Stringing phase compensation is being prepared

5 132/11 kV G/S Chakri Road T3 New

Substation -- --

The civil works at yard foundations and control house building at new Chakri Rd grid station are under progress.

LARP was prepared for allied transmission line

6 132/11 kV G/S Bhara Kahu T3 New

Substation -- --

The approval of site for Bara Kahu grid station is under process.

LARP will be prepared after finalization of GS site

7 132/11 kV G/S Sangjani T3 New

Substation -- --

Civil work at Sangjani-II grid station has been started on control house building.




Sr. No.


Work LARP/DDR

LARP Survey Period


8 Replacement of Sangjani Zeropoint Line with new Double Circuit

T3 TL LARP Sept-12

The subproject on replacement of Sanjani-Zero Point transmission lines was commissioned in March 2017.

Compensation preparation in process

9 Feed for Barakhu GS T3 TL -- --

Route profile for feeding Bara Kahu grid station will be prepared after acquisition of land for construction of grid station.

Not Initiated so far

10 Feed from chakri Road GS for Adyala T3 TL LARP Sept-12

50 out of 65 tower foundations have been concreted and out of those, 45 towers have been erected. The stringing work has not been started. RoW issues exist on the line.

Compensation is partially paid for completed foundations and rest is in process.

11 Feed for 132 kV Sangjani-2 GS T3 TL LARP Sept-12 Route profile for feeding Sanjani-II grid station has been submitted for approval.

Line profile approval in process

12 KTM- Chakri Road T/Line T3 TL LARP Sept-12

51 out of 55 tower foundations have been concreted and out of those, 38 towers have been erected. The stringing work has not been started. RoW issues exist at 3 tower locations.

Assessment of damages has been completed for erection stage while compensation for completed foundation has been paid.



7.11.5 Lahore Electric Supply Company Limited (LESCO)

Table 18: LESCO Sub-projects LARP Implantation Status

Sr. No.


Work LARP/DDR

LARP Survey Period


1 132/11 kV G/S DHA Rahber (Audit and Acct. Housing Scheme)

T2

New Substation

DDR

N/A

The work on grid station is complete. The transmission feed is remaining as line route is being slightly altered. The subproject is scheduled for commissioning by August 2017.

Combined DDR prepared for Tranche 2

2 132/11 kV G/S Jubliee Town Housing Scheme

T2

New Substation

DDR

The grid station had been partially commissioned in January 2016. One of the two power transformers has not been energized due to shortage of transformer oil.

-do-

3 132/11 kV G/S Central Park Housing Scheme

T2

New Substation

LARP Mar-09

Electrical equipment has been installed in the switchyard. The work is held up at Central Park grid station. The contract variation is under process. In addition, the transmission line route plan (13.8 Km, in-out Raiwind- Kasur transmission line) to feed Central Park grid station has not been still approved.

TL work not started

4

132/11 kV G/S Press Club Housing Scheme Harbanspura (Shaffi Colony)

T2 New

Substation DDR N/A

The Press Club grid station has been energized with one power transformer.

Combined DDR prepared for Tranche-2

5 132/11 kV G/S Doula Chuchak *(Spare Transformers)

T2 New


The grid station has been partially energized by installing one 10/13 MVA power

Compensation for stringing stage has been paid partially from tower 76-95. Payment pending from towers 1-75.



Sr. No.


Work LARP/DDR

LARP Survey Period


transformer instead of two 20/26 MVA power transformers. The associated transmission line for Doula Chuchak (20.26 Km, in-out Habib Abad transmission line) was energized on 16-11-2015.

6 132/11 kV G/S Fruit Market

T3 New

Substation DDR N/A

The civil works are under progress. Combine DDR for Tranche-3.

7 132/11 kV G/S Barki (DHA Phase 6)

T3 New

Substation DDR N/A

The work kept suspended at Barki (DHA-6) grid station site against compliant and in consequence, an alternate site has been arranged by DHA.

-do-

8 132/11 kV G/S Sadhoki (Audit and Accounts Society)

T3 New

Substation DDR N/A

The civil works are under progress. -do-

9 132/11 kV G/S DHA 7 (Dera Chahel)

T3 New

Substation DDR N/A

The physical works for construction of control house building and equipment foundations are progressing.

-do-

10 132 kV Barki DHA Phase 6 (Number 3)

T3 TL

DDR

N/A

The transmission line profiles have been approved. The design related to civil works has been approved.

-do-

11 132 kV Barki DHA Phase 7 (Number 2)

T3 TL

DDR

Civil work has been completed -do-

12 132 kV Fruit Market to Kahna Wapda town

T3 TL

DDR

N/A

Contract signed on 01/08/2016 and approval of technical data and drawings are under approval with Design NTDC.

-do-

13 132 kV Sadhoki - Kahna T3 TL

-do-



Sr. No.


Work LARP/DDR

LARP Survey Period


14 New 132 kV underground cable 220 kV Shalamar to 132 kVShalamar II)

T3 (Saving) TL DDR N/A - Approved by ADB in September 2017

15 132KV GIS Grid Station Punjab University

T4 (Saving) New

Substation DDR

N/A

Bids are under evaluation. -do-

16 Sunny View to Mcleod Road Cable Laying

T4 (Saving) TL DDR

The contract has been signed on 22-03-2017 for construction of 132 kV underground cables.

-do-

17 Mcleod Road To Qartaba Cable Laying

T4 (Saving) TL DDR The contract has been signed on 22-03-2017 for construction of 132 kV underground cables.

-do-



7.11.6 Multan Electric Power Company Limited (MEPCO)

Table 19: MEPCO Sub-projects LARP Implantation Status

Sr. No.


Work LARP/DDR

LARP Survey Period


1 132/11 kV G/S Miran Pur (Galaywal)

T2 New


The grid station and associated transmission line were energized on 09-07-2015.

Compensation for all three stages has been paid

2 132/11 kV G/S Kamir T2 New

Substation -- --


Combined DDR prepared for Tranche 2

3 66/11 kV G/S Ali Pur T2 Conversion LARP Sept-08 The works on grid station and associated transmission lines are complete.


4 66/11 kV G/S Fatehpur T2 Conversion LARP Sept-08



5 66/11 kV G/S Noor Sar T2 Conversion -- -- The grid station was commissioned on 26-10-2015. Combined DDR prepared for Tranche 2

6 132/11 kV G/S Mubarakpur T3 New

Substation -- --

The grid station had been energized on January 13, 2017.

LARP for allied transmission line is prepared

7 132/11 kV G/S Chuna Wala T3 New

Substation -- --

The grid station has been completed on 14-07-2017, and likely to be commissioned within a month.

-do-

8 66/11 kV Chak 83/12 –L T3 Conversion --

--

Grid station work completed on 30-06-2106.

-do- 9 66/11 kV Dhara Wala T3 Conversion --

Grid station work completed on 26-10-2015.

10 66/11 kV Faqir Wali T3 Conversion -- Grid station work completed on 26-10-2015.

11 66/11 kV Fort Abbas T3 Conversion -- Grid station work completed on 26-10-2015.



Sr. No.


Work LARP/DDR

LARP Survey Period


12 66/11 kV Shah Sadar

T3 Conversion -- --

Work completed on 15-07-2106. Grid station will be energized upon completion of associated transmission line.

-do-

13 220kV B/pur-Ahmadpur East, Feed to Mubarikpur

T3 TL LARP Aug-12 The transmission feeder was completed in June 2016.

Compensation paid for all three stages

14 In/out from 132 kV Khanewal - kassowal Line

T3 TL LARP Aug-12 Transmission line completed on 30-06-2016.

Compensation paid for all three stages

15 132 kV Chishtian – Dharanwala T3 TL LARP Aug-12 Transmission line completed on 10-09-2016.

Compensation being paid

16 132 kV Haroonabad – Faqirwali T3 TL LARP Aug-12 Transmission line completed on 16-01-2017.


17 132 kV Faqir Wali - Fort Abbas T3 TL LARP Aug-12 Transmission line completed on 25-02-2017.


18 132 kV D.G Khan-II - Shah Sadar din

T3 TL LARP Aug-12

The transmission line subproject Shadan Lund- Shah Sadar-ud-Din (25km) was abandoned because of RoW issues. An alternate route from D.G khan grid station had been finalized. 106 out of 141 tower foundations and tower erections have been completed. The stringing works have also been completed along the transmission line. However, there were RoW issues at the substituted route, also. The work on remaining 35 tower foundations is suspended. MEPCO planned an alternate feed at its own resources to connect the transmission line under construction. As such, the work on awarded contract will be reduced to construction of transmission line across 106 structures. The transmission line has been energized in the foregoing month.

Line route may be realigned and LARP will be revised. Compensation for completed foundation has been paid.

19 132 kV Hasilpur-Chunnawala T3 TL LARP Aug-12 All the 99 tower foundations/erections and Compensation for completed foundation



Sr. No.


Work LARP/DDR

LARP Survey Period


allied stringing across 99 towers have been completed. The court case pertaining to RoW issue at one location has been resolved. Testing of TL is underway.

has been paid.

20 66/11 kV Yazman grid station T3

Savings Conversion

LARP Aug-15

The civil works on switchyard foundations and control house building of grid station have been started.

Assessment of damages is done. Compensation is being prepared

21 132kV Yazman grid station T3

Savings TL

The civil works on transmission line have been started. So far, 69 out of 81 foundations are concreted and 33 towers are erected along the transmission line route.

22 132/11 kV G/S Buch Villas Housing Society Multan

T4 Savings

New Substation

LARP Aug-15 Contract has been awarded

No work initiated so far

23 132/11 kV G/S Punjab Government Employees Housing Society

T4 Savings

New Substation

DDR Aug-15

The civil works on switchyard foundations and control house building have been started at Punjab Govt. Employees Housing Society grid station.

Grid Station civil work in progress

24 132/11 kV G/S Sanjar Pur Sadiqabad

T4 Savings

New Substation

LARP Aug-15 Contract has been awarded


25 132/11 kV G/S Peer Jughi Shah T4

Savings New

Substation - -

Tenders for Peer Jughi Shah grid station a/w associated transmission line are not still floated.

-do-

26 66/11 kV G/S Choti T4

Savings Conversion

LARP Aug-15 -

-do-

27 66/11 kV G/S Choti T4

Savings TL

-do-



7.11.7 Peshawar Electric Supply Company Limited (PESCO)

Table 20: PESCO Sub-projects LARP Implementation Status

Sr. No.


Work LARP/DDR

LARP Survey Period


1 132/11 kV G/S D.I. Khan Industrial (Gomal Unversity) with T/L 2.5 km

T2 New

Substation LARP. Aug-12 Grid station had been

completed on 22-05-2014. Compensation has been completed

2 132 kV Taru Jaba T3 New

Substation DDR

N/A

The civil works at Taru-Jaba grid station is around 94% complete. Most of the equipment has been shifted to site. The installation is under progress.

Combine DDR for Tranche was prepared

3 132 kV PESCO ColonySakhi Chashma (AIS)

T3 New

Substation DDR

The civil works at Sakhi Chashma grid station are around 75% complete. Most of the equipment has been shifted to site. The installation is under progress.

-do-

4 66/11 kV Kulachi T3 Conversion -- --

The civil works at Kulachi grid station is around 30% complete.


5 66/11 kV Daraban T3 Conversion -- The civil works at Darban grid station is around 70% complete.

-do-

6 132/11 kV G/S Feed for Kulachi T3 TL LARP Aug-12 The approval of technical data/ drawings is under process.


7 132/11 kV G/S Feed for Daraban T3 TL LARP Aug-12

102 out of 113 tower foundations are concreted on transmission line for feeding 132 kV Daraban grid station.

Compensation is being prepared for completed work



7.11.8 Quetta Electric Supply Company Limited (QESCO)

Table 21: QESCO Sub-projects LARP Implementation Status

Sr. No.

Name of Sub-Project

Tranche Scope of

Work LARP/DDR

LARP Survey Period


1 Khuzdar - Quetta Industrial

T3 TL LARP Aug-12

The number of foundations has been increased from 888 to 927. Around 191 Km stringing is completed by the end of July 2017. Moreover, the extension of Line Bays at 132/11 kV Mastung, Mangochar, Kalat and Surab grid stations are completed and so, Mastung-Mangochar, Mangochar -Kalat and Surab- Khuzdar transmission line segments have been energized.


2 Loralai-Quetta T3 TL LARP Aug-12

The number of foundations has been increased from 1135 to 1255. Around 195 Km stringing is completed by the end of July 2017. The civil works and erection for extension of Line Bays at 132/11 kV Muslim Bagh, Khanozai, Pishin and Yaru grid stations are progressing. Out of those, Loralai- Muslim Bagh transmission line segment has been energized.


3 Dera Murad Jamali

T3 Savings

Conversion LARP Jun-15

Evaluation for hiring the consultant for T/L work is in process

Line profile is being approved in sections. Civil work is in progress for approved sections. Assessment of damages is being done.

4 66/11 kV G/S Usta Muhammad

5 66/11 kV G/S Jhal Magsi

6 66/11 kV G/S Rojhan Jamali



STAFFING IN DISCOs

Effective implementation of social safeguard activities requires the placement of adequate and qualified staff

in Environmental & Social Safeguards Cells of PMU DISCOs. In general, the Cells lack the appropriate level

of human resources and skills. The DISCOs has engaged staff against the following sanctioned positions. It

may be noticed that a few of positions are still vacant. ADB / FMC have frequently advised DISCOs to fill

the vacant positions.

As the closing dates of all Tranches of MFF are tripped over towards tail so DISCOs need to fix up full

staffing in order to handle the accumulated works at conclusion of MFF. The following table depicts the

present status of hiring:

Table 22: E&SS Cells Staffing Capacity

Name of DISCO

Name of Post Status Experience

(in years)

Qualification

(Last Degree) Remarks

LESCO DM (Env.) Working 12 M.Phil. (Env.) -

AM (Env.) Working 03 MBA -

AM (Social) Working 7 M.A (Eco) -

MEPCO DM (Env.) Vacant - - Post vacant since Dec 2016

AM (Env.) Vacant - - Post vacant since Dec 2015

AM (Social) Working 05 M. Phill (Soc) -

IESCO DM (Env.) Working 08 M.Sc. (Env) -

AM (Env.) Working 05 M.Sc. (Env) -

AM (Social) Working 05 M.Sc. (Env) -

FESCO Manager (Env.)

Working 04 M. Sc. (Civil) -

AM (Env.) Vacant - - Post vacant since Nov 2016

AM (Social) Vacant - - Post vacant since Aug 2015

GEPCO DM (Env.) Working 14 M.Phill (Env) -


AM (Social) Working 05 M.Phil. (Env) -

PESCO DM (Env.) Vacant - - -


AM (Social) working 07 MS (Urban & Regional Planning)

-

HESCO DM (Env.) Working 10 M.E (Env) -

AM (Env.) Working 02 M.E (Env) -



AM (Social) Working 02 M.A (Eco) -

QESCO DM (Env.) Working 21 B.E (Civil) Must have relevant qualification


AM (Social) Working 05 M.Sc. (Env) -


Facility Management Consultant (FMC), Power Distribution Enhancement Investment Program 41

CAPACITY BUILDING

Capacity Building of the DISCOs’ staff is essential part of projects’ implementation. The main objective is to enhance the handling capacity of the professionals including social safeguards, environment and construction staff of the Project Management Unit (PMU) of DISCOs. In general, the scope calls for thorough understanding of entire procedural framework that inter-alia includes:

- Preparation of Land Acquisition and Resettlement Policies (LARP) for the Power Distribution Sector

- Preparation of IEEs and EIAs for projects and their approvals.

- Preparation of Environmental Management Plans (EMPs)

- Effective implementation of Environmental Management Plan (EMP) and preliminary outline of Occupational Health & Safety (OHS) in the construction of Power Distribution Systems

FMC conducted Training Need Assessment (TNA) in March 2013. The results were forwarded to the PMU in mid-2013. It had been realized that intensive formal and on-site training is required in the realms of EMPs implementation. On-Job trainings and capacity building of the implementation agencies can play the most effective tool to achieve the target of best environmental management system.

FMC extends an on-job-training to strengthen the capacity of DISCOs staff in environmental and social safeguards domains in conjunction with monitoring visits to subproject sites organized for preparation of bi-annual monitoring reports on Environment and Social aspects. Tools for effective capacity building include group discussions, case studies followed by training evaluation and follow-up.



CONCLUSION AND RECOMMENDATIONS

This external social monitoring with respect to LARP implementation concludes that the compensation payment is the least preferred issue for DISCOs; this is due to shortage of staff for collection of documents for preparation and verification of damages assessed. Preparation and disbursement of compensation is also delayed by finance department is all DISCOs.

10.1 Earlier Reported Observations

Actions taken by DISCOs to address the Observations reported by FMC in the previous bi annual report are detailed in Table 23.

Table 23: Previously Reported Observations and Comments

Sr. No.

Observations Recommended Corrective

Actions by FMC Remarks

1

Compensation payments are delayed in most DISCOs despite completion of subprojects.

Compensation must be paid to those who failed to submit documents of ownership in time, for several subprojects of Tranche-2 in GEPCO as per Social Safeguard Policy of ADB.

GEPCO, MEPCO, IESCO and LESCO were lacking in final stage compensation during the reporting period (July – December 2016). MEPCO has paid the compensation. Compensation is still pending in GEPCO, LESCO and IESCO

2

DISCOs GSC staff does not share updates regarding the commencement of work at sub projects with E&SS staff. This lack of coordination results in compensation preparation and disbursement delay.

Coordination among GSC and E&SS needs to be enhanced for smooth functioning and better project implementation

The coordination among GSC and E&SS has improved to some extent but further improvement is required especially with respect to timely information sharing by GSC

3

Generally, most contractors have hired sub-contractors for civil work but no representative of the contractors was present during the site visits.

Contractor should always remain in the loop during project execution

Contractors for new and ongoing subprojects have been notified regarding this issue.

4

Shortage of staff in E&SS at MEPCO and FESCO is non-compliant with ADB’s SPS.

All vacant posts in Environment and Social Safeguards (E&SS) must be filled, especially in FESCO and MEPCO. E&SS staff must have relevant qualification; the staff with irrelevant qualifications must be replaced

Staff recruitment has not been initiated so far in FESCO and MEPCO

5

Finance Departments at DISCOs continue to delay the preparation of compensation

Compensation processes are slow. The finance department of concerned DISCOs must accelerate their payment processes

No improvement observed

6

Communities have concerns over the compensation amounts paid in all DISCOs. A complaint regarding under payment has

Grievance Redress Committees (GRC) must participate actively in complaint resolution. The

GRC meetings are rarely held because complaints are not formally registered.



Sr. No.

Observations Recommended Corrective

Actions by FMC Remarks

been lodged in HESCO. frequency of GRCs meeting should be at least once a month to sort out any outstanding issues.

7

Independent vehicle facilities must be provided to E&SS for smooth functioning and timely monitoring of sub projects in QESCO and PESCO.

Independent means of transport should be made available at PESCO and QESCO

Not addressed so far.

8

GSC’s support staff (Qanoongo, Patwari and LAO) is not well trained to carry out different types of sociological surveys that are essential to fulfil the LARP conditions.

Support Staff (Qanongo, Patwari, Surveyors) should be trained and number of positions may be increase in all DISCOs for smooth and effective functioning of E&SS

The available support staff is not sufficient to cover the widespread project activities. No improvement was observed in this reference

9

E&SS needs to be strengthened as mentioned in SOPs for smooth functioning.

DISCOs must strengthen E&SS by approving SOPs, for smooth functioning of E&SS

BOD of QESCO, GEPCO and LESCO have approved SOPs while other DISOCs are working on this

10.2 Proposed Corrective Actions

Following are some specific corrective actions that must be considered by respective DISCOs:

- Compensation must be paid to those who failed to submit documents of ownership in time, for several subprojects of Tranche-2 in GEPCO as per ADB Safeguard Policy Statement.

- Coordination among GSC and E&SS cell needs to be enhanced for smooth functioning and better project implementation. E&SS cell must be informed regarding change in scope of work for timely revision in safeguard documents i.e. LARPs or EIAs/IEEs.

- Complaint registration and resolution mechanism may be improved to avoid RoW issues.

- Grievance Redress Committees (GRC) must participate actively in complaint resolution. The frequency of GRCs meeting should be at least once a month to sort out any outstanding issues.

- GRCs may be reconstituted with a representative from the affected community where needed.

- Independent means of transport should be made available at PESCO and QESCO.

- Support Staff (Qanongo, Patwari, Surveyors) should be hired in all DISCOs for smooth and effective functioning of E&SS cell.

- Compensation processes are slow. The finance department of concerned DISCOs must accelerate their payment processes.

- All vacant posts in E&SS cell must be filled, especially in FESCO and MEPCO. E&SICs staff must have relevant qualification; the staff with irrelevant qualifications must be replaced.

- SOPs must be approved and adopted in DISCOs for smooth functioning of E&SS cell.



LIST OF ANNEXURE

Annexure-I DISCOs Visit Schedule for External Social Monitoring

Annexure-II Photographic profile of all DISCOs external monitoring visits



ANNEXURE – I: EXTERNAL ENVIRONMENTAL AND SOCIAL MONITORING VISIT SCHEDULE

Date Days DISCO Itinerary Sub-Projects/Visits

Team Members

02/05/2017

To

10/05/2017

Tuesday

To

Wednesday

GEPCO Lahore-Gujranwala-Daska-Malakwal –Head Marala-Lahore

Tranche-2:

All completed Subprojects

Tranche-3:

Siranwali, Head Marala, Daska Old, Malikwal GS

Mr. Muazzam Mukhtar

(Sociologist)

Ms. Umul Baneen Zafar

(Environmentalist)

11/05/2017

and

16/05/2017

Thursday

and

Friday

LESCO Lahore City and nearby Sub-Projects

Tranche-2:

Jubilee Town,

Tranche-3:

Dera Chahel, Fruit Mandi, Audits and Accounts

Mr. Muazzam Mukhtar

(Sociologist)


(Environmentalist)

02/07/2017

To

09/07/2017

Sunday

To

Sunday

HESCO Lahore-Khi-Hyd-Dadu-Sukker-Larkana-Khi-Lhr

*Travel Days (02/07/2017 and 09/07/2017)

Tranche-2:

All completed subprojects and Mehar-Dadu-Larkana TL

Tranche-3:

Matli GS and TL

Digri-Tando Jan Muhammad TL, Tando Ghulam Ali

Mr. Muazzam Mukhtar

(Sociologist)


(Environmentalist)

13/07/2017

To

15/07/2017

And 02/08/2017

To 03/08/2017

Tuesday

To

Saturday

and Wednesday-

Thursday

PESCO Lahore-Peshawar-Noshehra-Islamabad

*Travel Day (11/07/2017)

Tranche-2:

Gomal University New Grid Station

Tranche-3:

Sakhi Chashma, Taro Jabba, Kolachi, Daraban

Mr. Muazzam Mukhtar

(Sociologist)


(Environmentalist)

15/07/2017

To

21/07/2017

Saturday

To

Friday

IESCO Peshawar-Islamabad-Mangla-Bagh-Islamabad-Lahore

*Travel Days (15/07/2017 and 21/07/2017)

Tranche-2:

Mangla-Rajjar TL,

Bagh-Hattian TL

Tranche-3:

Chakri Road GS, Sangjani GS, Transmission Lines

Mr. Muazzam Mukhtar

(Sociologist)


(Environmentalist)



23/07/2017

To

29/07/2017

Sunday

To

Saturday

MEPCO Lahore-Multan-Bahawalpur-Lahore

Tranche-2:

Ali Pur

Tranche-3:

Chunawala, Mubarakpur, Fortabbas Faqirwali, Dahranwala

Mr. Muazzam Mukhtar

(Sociologist)


(Environmentalist)

31/07/2017

To

05/08/2017

Monday

To

Saturday

FESCO Lahore-Faisalabad-Bhakkar-Kala Bagh-18 Hazari-Lahore

Tranche-3:

Kala Bagh GS & TL, Rakh Dagran GS & TL, 18 Hazari-GM Raja TL, Toba Tek Singh-Haveli Bahadur Shah TL

Mr. Muazzam Mukhtar

(Sociologist)


(Environmentalist)

Facility Management Consultant (FMC), Power Distribution Enhancement Investment Program

ANNEXURE – II: PHOTOGRAPHIC PROFILE

Faisalabad Electric Supply Company (FESCO)

Figure-1: Public consultation at Ahmadpur Sial Transmission Line.

Figure-2: Bus bar disconnectors are being installed at Kala Bagh Grid Station

Gujranwala Electric Power Company (GEPCO)

Figure-1: Laobr at Head Marala Grid Station is being told about Health and Safety

Figure-2: Meeting with Affected person regarding payment of compensation at Kolo Tara Transmission Line



Hyderabad Electric Supply Company (HESCO)

Figure-1: Viewing changes in line route at Dadu-Mehar-Larkana Transmission Line.

Figure-2:Transmission line entering the switch yard at New Matli Grid Station

Figure-3: Switch yard and Out line at Digri Grid Station

Figure-4: Meeting with PD – GSC SEPCO regarding the timely payment of compensation and clearance of RoW issues



Islamabad Electric Supply Company (IESCO)

Figure-1: Civil work for foundation in under process at Ayala – Chakri Transmission Line (Feed for Chakri)

Figure-2: Poor waste management and material staking at Chakri Road Grid Station

Lahore Electric Supply Company (LESCO)

Figure-1: Backfilling of switch yard in DHA 6 (Dera Chahal) Grid Station in progress

Figure-2: Meeting with labor regarding use of PPEs at Fruit Market Grid Station



Multan Electric Power Company (MEPCO)

Figure-1: Labor preparing for erection of tower at Yazman Transmission Line

Figure-2: Stringing work completed at Hasilpur – Chonawala TL

Peshawar Electric Supply Company (PESCO)

Figure-1: View of erected tower at Transmission line feeding to Daraban Grid Station

Figure-2: Safety signs displayed at Sakhi Chashma Grid Station

Social Monitoring Report...SOFRECO, Bit Com Services GMBH, Engineering General Consultants (EGC) Pvt Ltd, and TECHNO Legal Consultants Pvt Ltd, has been engaged up-to June, 2018 to

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