Indonesia - Third national Program for Community Empowerment in Rural Areas Project : indigenous peoples plan

 IPP520 Safeguards Policy INDONESIA: Third National Program for Community Empowerment in Rural Areas (PNPM Rural III) Isolated and Vulnerable Peoples Planning Framework Introduction PNPM Rural III is the most recent in a series of projects that began with the Kecamatan Development Project (KDP) and have been cited as a model for the development of projects of this nature. The objective of the Project is that villagers in PNPM rural locations benefit from improved socio-economic and local governance conditions. This Isolated and Vulnerable Peoples Planning Framework benefits from continual refinement to incorporate lessons of experience and best practice and reflects a pool of direct experience extending back over more than a decade in the Indonesian context with PNM Rural projects I and II, and grant-funded activities that use the PNPM Rural planning and implementation processes, in particular PNPM Generasi Sehat dan Cerdas (PNPM – A Bright and Healthy Generation) and PNPM Green. This Framework serves as an umbrella guideline for the project to identify, consult and provide mechanisms to address potential positive and negative impacts that subprojects may have on Indigenous Peoples (IPs) or Isolated and Vulnerable Peoples (IVPs). It outlines the procedures put in place to ensure that all project activities are assessed and potential IVP issues are identified and addressed before an activity with the potential to affect IVPs commences. A. PNPM Rural and OP 4.10 This objective of this Framework reflects the stated objective of OP/BP 4.10, i.e.: • Ensure that Indigenous Peoples participate in and benefit from the project through a free, prior, and informed consultation; and • Avoid or minimize potentially adverse effects of the project on Indigenous Peoples’ communities. When avoidance is not feasible, minimize, mitigate, or compensate for such effects. Operational Policy/BP 4.10 on Indigenous Peoples (IPs) requires that planning measures be established to protect the interests of ethnic groups with a social and cultural identity distinct from the dominant society that may make them vulnerable to being disadvantaged in the development process. "Isolated and Vulnerable Peoples" is the term used officially by the Indonesian Government to describe groups that have the characteristics of "indigenous peoples" as used in OP/BP 4.10. This document will hereafter use the term "Isolated and Vulnerable Peoples" or IVPs. As characterized in OP/BP 4.10, IPs communities can be identified in particular geographic areas by the presence in varying degrees of the following characteristics: • A close attachment to ancestral territories and to the natural resources in these areas; • Self-identification and identification by others as members of a distinct cultural groups; • An indigenous language, often different from the national language; • The presence of customary social and political institutions; and 1  • Primarily subsistence-oriented production. Based on the above characteristics, there are many groups in Indonesia that may be classified as IVPs1, for example: 1. Small pockets of highly isolated and vulnerable groups such as the Mentawai or other small island populations. Such groups can easily be adversely affected by development projects because of unfamiliarity with modern market mechanisms, cultural and administrative prejudices against them, or inability to retain control over productive and natural resources. 2. Much larger ethnic populations which meet most of the World Bank’s typological requirements (own language, sense of identity, traditional attachments) but exhibit varying degrees of vulnerability, such as the so-called Dayak of Kalimantan or the tribal groups of East Nusa Tenggara. 3. Finally there are heterogeneous communities, where a segment of the population is culturally or economically marginalized. Several of the fishing populations of the eastern islands, for example, have unique identities and also occupy subordinate positions within local social structures. The project design of the PNPM Rural series and their predecessor, the Kecamatan Development Project (KDP), is structured to ensure the participation and inclusion of various groups (including women, the poor, and isolated and vulnerable peoples) in local level decision making over resource allocation. Specific measures in the project design (to be discussed in further detail below) include social mapping to identify target beneficiaries; village-level project facilitators and implementing teams elected by their communities; development of sub-village planning units; and verification by teams from outside the village on sub-project appropriateness and compliance with project rules. B. Experiences from the KDP and PNPM Rural series The project design of the PNPM Rural series and their predecessor, the Kecamatan Development Project (KDP), is structured to ensure the participation and inclusion of various groups (including women, the poor, and isolated and vulnerable peoples) in local level decision making over resource allocation. Specific measures in the project design (to be discussed in further detail below) include social mapping to identify target beneficiaries; village-level project facilitators and implementing teams elected by their communities; development of sub-village planning units; and verification by teams from outside the village on sub-project appropriateness and compliance with project rules. During the twelve-year history of the KDP and PNPM Rural series, no systematic adverse impacts on IVPs have been found. A number of test cases have been specifically supervised to assess impact on IVPs. In each case, the KDP and PNPM Rural project process proved highly adaptive to local cultures and able to work with local structures. Specific examples are below. • On Java, the Baduy, who as a rule reject outside development projects. The project did not enter the Baduy area until it was approached by traditional leaders and the terms of encounter negotiated and recorded by both sides. 1 A list of geographical distribution of IVPs (based on “Komunitas Adat Terpencil