China - Smallholder Cattle Development Project : resettlement action plan

RP-22 CHINA SMALLHOLDER CATTLE DEVELOPMENT PROJECT (CN-PE-45264) LAND REQUISITION AND RESETTLEMENT REPORT Prepared by: Environmental Impact Assessment Center China Agricultural University Beijing, China Reviewed by: Rapeepun Jaisaard and Brian Brandenburg, Task Team Co-Leaders EASRD August, 1999   CHINA SMALLHOLDER CATTLE DEVELOPMENT PROJECT LAND ACQUISITION AND RESETTLEMENT REPORT 1. Introduction. This resettlement report was compiled by the Environmental Impact Assessment Center of the China Agricultural University in Beijing, China from data received by the Project provinces of Hebei, Henan, Shanxi and Anhui. The report covers all four provinces under this Project and for each province employs a resettlement issues matrix, a listing of all Project sites and uses, and detailed compensation budgets. At the time of preparation no voluntary or involuntary resettlement was scheduled under this Project. The Project is designed to maximize the use of land and facilities already in use for cattle production, rather than acquiring new sites or facilities. Since beef cattle raising does not require expensive arable land, most of the incremental Project land sites have been specifically selected on non-inhabited, non-cultivated waste lands or on land already owned by the sponsoring production units. No persons are scheduled for resettlement. Compensation plans as recorded in this report, apply only to compensation for newly acquired land to be occupied for project activities. Aside from this new land, all other land to be used for project activities is already owned by the project sponsors and does therefore not require compensation. The total estimated incremental land use for Project activities, including land already owned; to be rented; or purchased; is 57.6 ha (864 mu) and is distributed as follows: Table 1 - Summary of Land Use (in ha) under the Proposed Project Province Feedlots Processing Service Cattle Feed Provincial Centers Markets Mills Total Hebei 2.4 4.3 0.0 0.0 0.7 7.4 Henan 4.8 0.0 0.0 0.0 0.0 4.8 Shanxi 1.4 0.0 8.7 1.4 0.0 11.5 Anhui 25.4 0.0 7.5 1.0 0.0 33.9 Total 34.0 4.3 16.2 2.4 0.7 57.6 The Project would support integrated household-based cattle production, genetic cattle improvement, marketing and processing. To this end, 294,000 head of cattle would flow at full production from households to feedlots and markets, and from there to processing plants or to other households for breeding purposes. A technical support veterinary, forage and insemination services system, operating from service centers, offices and laboratories, would be upgraded and expanded to support this effort. The final environmental impact report for this Project, which has been rated an impact category B, has been cleared by ASUEN, as has this report. This report also includes the resettlement guidelines framework for project implementation.  3 A. RESETTLEMENT REPORT FOR HEBEI PROVINCE 2. This inforantion is provided by Hebei Provincial Animal Husbandry Bureau which guarantees its accuracy and will inform the World Bank if any resettlement occurs that has not been foreseen in this document. 3. Investigations into the proposed feedlots, markets, service stations and slaughterhouses have been carried out according to the World Bank Mission's requirement and suggestions concerning resettlement issues. Table 2 indicates that no resettlement is planned to take place in Hebei project areas. 4. Feedlots. All 53 feedlots are to be built or wasteland or are expansions of existing feedlot sites. Of 22 feedlots with a 300-cattle capacity, ten are to be expanded on wasteland and 12 are to be extended on the existing sites of feedlots. Of the 31 feedlots with a 100-cattle capacity, 14 are to be built on wasteland, the others are to be expanded on existing cattle farms. No resettlement is needed in the construction or expansion of the feedlots. Table 2 - Resettlement Issues Outline for Hebei Province Subproject Amount of Current Number of Loss of Loss of Compensa Agency(ies) d Quantity land land use persons dwellings income tion plan in responsible required affected place _ _ _ _ _ _ _ (ha)_ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ 52 feedlots 13.5 see Table 3 0 N N Y rent to be paid to village committees l_________ ._________ _____________ at Y550/m u/yr I market 3.0 existing 0 N N land owned by the market land CountyrTownship Animal Husbandry __________ _____________ ~~~~BuTeaus lI Qinhuangdao 4.3 storage sites 0 N N Land already sold to Abattoir for building Huaxing by solid wastes Qinhuangdao municipal Government for .________ _ _Y4.3 million. 44 county 3.7 state-owned 0 N N Land owned by service centers land County Service _____ ____ ____ ____ ____ __ __ ____ ___ _ ____ _________ ____ _____ ____ ____ C enters 72 township 112.5 state-owned 0 N N Land owned by service centers land Township Service ___________ _______________ C enters 1 feed mill 0.7 state-owned 0 N N Sold to feed mill by land High-tech Development Zone of Shijiazhuang for .___________ __________ _________ ____ ____ __________ ___Y 3.96 m illion. Note: N denotes nil; Y denotes yes; NA - not applicable.  4 5. Details on the location and land requirements of the 52 feedlots under the Project are presented in Table 3. Of the 91 mu (6.1 ha) required for feedlot expansion, 2.4 ha (36 mu) of additional land would be required and 3.4 ha (51 mu) is already in use by existing feedlots. Table 3 - Location and Land Requirement of 52 Proposed Hebei Feedlots City/County Township/Town Land Extra land Land already in Required required use (mu) \a (mu) \a (mu) \a 20 feedlots with 300-cattle capacity 1. Shijiazhuang 25 5 20 Gaocheng Wulizhuang, Lianzhou 5 5 Zhaoxian Beilitan, Nanbaishe 5 5 Xinji Dongludajie, Xinji 5 5 Jinzhou Miamnacangku, Jinzhou 5 5 2. Baoding 30 30 0 Anguo Nongyeju, Xifuluo 5 5 Rongcheng Xiyeqiao, Nanzhang 5 5 Qingyuan Sipingzhuang, Wuyi 5 5 Wangdu Dongnanjiao, Xiancheng 5 5 Gaobeidian Liangjiaying 5 5 3. Langfang 20 5 15 Wenan Xiancheng, Wenan 5 5 Xianghe Wubaihuxiang 5 5 Dacheng Zusicun, Wangcun 5 5 Guan Dongchang, Lirangdian 5 5 4. Tangshan 25 10 15 Fengnan Dazaizhuang, Yinfeng 5 5 Qianan Ruoyuan, Kouhulai 5 5 Laoting Jiaxuzhan, Chengguan 5 5 Qianxi Dongguan, Santunying 5 5 Zunhua Zhushanzhuang, Xiliuchun 5 _ 5 5. Qinhuangdao 10 10 Changli Datianzhuang, Anshan 5 5 Lulong Dadaowangzhuang, Yinzhuang 5 5 Total 110 50 60 28 feedlots with 100-cattle capacity - _ 1. Shijiazhuang 18 0 18 Gaocheng Mafang, Nanguanzhen 3 3 Qiutou, Zhenliyang 3 3 Zhaoxian Qiandazhang, Qiandazhang 3 3 Xinji Luxiangkou, Zhonglixiang 3 3 Jinzhou Minghezhuang, Taoyuan 3 3 2. Baoding 21 15 6 Anguo Dongcheng 3 3 Rongcheng Dongzhanchu, Jiaguan 3 3 Qinyuan Beigoutou, Qinyuan 3 3 Wandu Zhuangcun 3 3 Gaobeidian Hancun, Xinlizhuang 3 3 Zhuozhou Zhaojiapu, Sunzhuang 3 3  5 3. Lanfang 24 9 15 Wenan Degui 3 3 Xiaozhao, Wenan 3 3 Xianghe Datong, Liusong 3 3 Wubaihu 3 3 Dacheng Nanzhao 3 3 Dongma, Guangan 3 3 Guan Baosheng, Lirangdian 3 3 Gongnan, Gongcun 3 3 4. Tangshan 18 12 6 Fengnan Xiaowushe, Daqi 3. 3 Qianan Yejituo 3 3 Laoting Luhe 3 3 Qianxi Fuqingwu 3 3 Zunhua Dongjiuzhai 3 3 5. Qinhuangdao 12 0 12 Changli Jingan 3 3 Anshan 3 3 Lulong Mujing 3 3 _-lHaxiang 3 3 4 Feedlots with 500 cattle Changli Jingan Fengnan Xiaowushe, Daqi 3 3 Qianxi Fuqingwu 3 3 Wenan Degui 3 3 Total . 105 42 63 \a - 15 mu equals 1 ha; 1 mu equals 0.067 ha or 667 m2. 6. Support Services System. A total of one county cattle market and 96 county veterinary stations are to be expanded. They are all meant to improve the service functions of existing centers and stations, without building any new ones. No additional land would be needed. 7. Feed Mill. The expansion of one feed mill is included in the Project. The proposed expansion needs 0.7 ha of new land beyond the feed mill 's existing yard, and was purchased for Y3.96 million from the Qinhuangdao High-Tech Development Zone Authority. 8. Qinhuangdao Slaughterhouse. The newly-built Huaxing Beef Processing Plant would use 4.3 ha (64.5 mu) of land. This site was formerly used to store solid wastes by a building company and is not inhabited. This site would be acquired from Qinhuangdao municipality for Y 3.4million.  6 B. RESETTLEMENT REPORT FOR HENAN PROVINCE 9. This information is provided by Henan Provincial Animal Husbandry Bureau which guarantees its accuracy and will inform the World Bank if any resettlement occurs that has not been foreseen in this document. 10. Investigations into the proposed feedlots, markets, service stations and slaughterhouses have been carried out according to the World Bank Mission's requirement and suggestions concerning resettlement issues. Results show that no resettlement is to take place in Hebei project areas. Table 4 - Resettlement Issues Matrix for Henan Province Subproject Amount of Current Number of Loss of oss of Compen- Agency(ies) land land use persons dwellings income sation plan responsible required affected in place _____ ____ (h a)__ _ _ _ __ _ _ ___ _ _ _ _ 51 feedlots 15.0 see Table 5 0 N N Y Feedlot companies to pay rent of Y1000/mu to land owners: village committees and veterinary l __________ ___________ __________ stations. 1 market at 26.7 existing 0 N N NA Land owned by prefecture market land Provincial Animal level Husbandry Bureau 2 slaughter- 40 existing beef 0 N N NA Land owned by ouses processing Zhoukou Beef plant Processing Plant 1 provincial 50 state-owned 0 N N NA Land owned by reeding land Provincial Breeding center Center 1 prefecture 3.3 state-owned 0 N N NA Land owned by reeding land Nanyang Breeding center _ Center 101 Vet. 0 existing 0 N N NA Land owned by Service service Technical Service Centers centers Centers Note: N denotes nil; Y denotes yes; NA - not applicable. 11. Feedlots. In the 51 feedlots proposed for expansion or upgrading, 36 would use wasteland as their site and 15 would expand on existing cattle farms. No resettlement is expected to occur. The 51 feedlots would require 10.2 ha (153 mu) of land, of which 5.4 ha (81 mu) is already in use as existing feedlots, and 4.8 ha (72 mu) would be required as additional land, which is classified as uninhabited, uncultivated waste land. Locations and land use details are presented in Table 5.  7 Table 5 - Location and Land Requirements of 51 Propo ed Henan Feedlots City/County Township/Town Land Extra Land Land already required Required in use (mu) (mu) \a (mu) Neixiang Baligan, Shigong 3 3 ._________ Xiezai, Yuguan 3 3 Xichuang Xitou, Shangii 3 3 Houying, Gaoping 3 3 Sheqi Rundiangang, Taihe 3 3 Zhangchangzhuang, Qiaotou 3 3 Tanghe Lisongzhuang, Dongzaipu 3 3 Xiaochenzhuang, Shangtun 3 3 Xinye Shouyizhan, Wanji 3 3 Majicun, Shangzhuang 3 3 Yucheng Shouyizhan, Dianji 3 3 Licaiyuan, Duji 3 3 Shanggiu Dulizhuang, Luhe 3 3 Houcaolou, Fenggiao 3 3 Suixian Xumuzhan, Bailou 3 3 Qianji, Youjitun 3 3 Xiayi Beijie, Huiting 3 3 Xiaohuqiao, Qihe 3 3 Tuocheng Chengzhuang, Chenji 3 3 Yuwangzhuang, Qitai 3 3 Cuiloucun, Huxiang 3 3 Yongcheng Xingiaocun, Xinqiao 3 3 Jilincun, Jiangkou 3 Shanshui Shouyizhan, Bacun 3 3 Lincun, Shuzhuang 3 3 Taikang Niuchang, Wangji 3 3 Luzhuang, Machang 3 31 Luyi Taiginggong 3 3 Kaifaqu, Xuanwu 3 3 Chenlou, Chengjiao 3 3 Huaiyang Zhouzhuang, Bankou 3 3 Beitou, Anliang 3 3 Shengiu Liufucun, Liufu 3 3 Liuyingcun, Zhaodeying 3 3 Queshan Gonglou, Humiao 3 3 Hulou, Yifeng 3 3 Biyang Jizhuang, Yangce 3 3 Erpucun, Yangjiaji 3 3 Suiping Lixianglou, Huaishu 3 3 Nongchang, Chayashan 3 3 Runai Laocun, Luodian 3 3 Zhanglizhuang, Shuitong 3 3 Pingyu Weiloucun, Litun 3 3 Xindiancun, Xindiancun 3 3 Xincai Yuhuanglu, Huanglou 3 3 Zhenbei, Ligiao 3 3  8 Wancheng Xiawanzhuang, Xindian 3 3 l____________ Changdouying, Hongniwan 3 3 l____________ Guodian, Lihe 3 3 Nanzhao Xudian, Nanhedian 3 3 _ l L_____________ Zhengzhuang, Huangludian 3 3 |Total 153 72 81 \a - 15 mu equals 1 ha; I mu equals 0.067 ha or 667 m2. 12. Other subprojects. The following subprojects are to be rebuilt or expanded within their existing borders: Zhoukou Beef Processing Plant, the four planned cattle markets at prefecture or township level, the Provincial Breeding Center, the Nanyang Breeding Center, and Service Centers or stations at prefecture, county, township or village levels. No incremental land would be needed for these subprojects and no resettlement would be involved. C. RESETTLEMENT REPORT OF SHANXI PROVINCE 13. This information is provided by Shanxi Provincial Animal Husbandry Bureau which guarantees its accuracy and will inform the World Bank if any resettlement occurs that has not been foreseen in this document. 14. Investigations into the proposed feedlots, markets, service stations and slaughterhouses has been carried out according to the World Bank Mission's requirement and suggestions concerning resettlement issues. Results show that no resettlement is to take place in Shanxi project areas. see Table 6. Table 6 - Resettlement Issues Matrix for Shanxi Province Subproject Amount of Current Number of Loss of Loss of Compen- Compensation or and Quantity land land use persons dwellings income sation plan agencies required affected /a responsible _ _ _ _ _ _ _ _ _ _ (h a )_ _ _ _ _ _ _ _ _ _ _ _ _ _ _ __ _ _ _ _ _ _ _ _ _ _ _ _ _ 12 feedlots 8.6 see Table 7 0 N N Y 7.2 ha land owned by lOfeedlot companies; 1.4 ha land purchased by two feedlots for _________ __ _______ ___ _____ _____ ___ _______Y 2.1 m illion. 5 markets 4.0 existing 0 N N NA Land owned by market land Husbandry Bureau Provincial Beef 0.5 flood land 0 N N Y Rented from Fenhe Cattle Service municipality for Center Y12001mu/yr. 3 prefectural 0.7 flood land 0 N N NA Land owned by mal service centers . Husbandry Bureau 12 county, 1 0 state-owned 0 N N NA Land owned by refect. service land Centers center____ __ 100 township 0 state-owned 0 N N NA Land owned by service centers land Township Service ___________ ~~~~~~~~~~~~~~Centers 1 feed mill 0 state-owned 0 N N NA Land owned by the land Feed mill Note: N denotes nil; Y denotes yes; NA - not applicable.  9 15. Feedlots. Of the 12 feedlots which are proposed to be built, ten would be located on existing cattle farms and two would use 1.4 ha of additional, uninhabited wasteland. Locations and land use details are presented in Table 7. Of the total 8.6 ha (129 mu) of land required 7.1 ha (107 mu) of land is already in use for this purpose, and 1.4 ha (21 mu) of waste land would be acquired for feedlot expansion, to be purchased from local village committees for Y2.1 million. This land has no present human habitation or cultivation. Table 7 - Location and Land Requirements for 12 Shanxi Feedlots City/County Township/Town Land Extra Land already required land in use (mu) (mu) /b required Daixian Nanguan, Yangmingpu 10 10 Fanzhi Xiangnan, Xingyuan 10 10 Wutai Dongye 12 12 Xinzhou Yongmaozhuao, Boming 15 15 iyang Nongchang, Duzhuang 9 _ Shouyang Yousengzhuan, Pingtou 10 I 1 Pingyao ULijiaqiao, Wanjiazhua10 1 Qixian Taicun, Xiliuzhi 13 13 Hongdong Xingwang, Dicun 9 9 Xiangfen Niuchang, Xijia 11 I I Anze Lingnancun, Hechun 10 1 Linfen Liangcun, Tunli 10 __1( Total 129 22 107 \b - 15 mu equals I ha; I mu equals 0.067 ha or 667 m2. 16. Other subprojects. The following subprojects are all to be rebuilt or expanded within their existing borders: one Service Center at the prefecture level; 12 service centers at county level; 100 service centers at township level; and one feed mill . No incremental land would be needed for this subproject development. The expansion of the Provincial Beef Cattle Service Center requires 7.5 mu of additional land. for which a piece of unused flood land along the Fenhe River has been selected as the expanded site. This land would be rented from the municipality for Yuan 1,200/mu/year. The 12 county-level cattle markets would require a combined 1.4 ha (21 mu) of incremental land which comprises uninhabited wastelands owned by the county governments. This land would be purchased for a total of Y2.1 million. No human resettlement would be involved.  10 D. RESETTLEMENT REPORT OF ANHUI PROVINCE 17. This information is provided by the Anhui Provincial Animal Husbandry Bureau which guarantees its accuracy and will inform the World Bank if any resettlement occurs that has not been foreseen in this document. 18. Investigations into the proposed feedlots, markets, service stations and slaughterhouses have been carried out according to the World Bank Mission's requirement and suggestions concerning resettlement issues. Results show that no resettlement is to take place in Anhui project areas. See Table 8. Table 8 - Resettlement Issues Matrix for Anhui Province Subproject Amount of Current Number Loss of Loss of Compensati Agency(ies) land land use of dwellings income on plan responsible required persons (ha) _ affected 17 feedlots 25.4 wasteland or 0 N N Y rent: Y2000/mu unused kiln paid to village yards committee Service centers 0 existing 0 N N NA Land owned by Center land service centers. 2 livestock 1 existing 0 N N Y rent: Y2000/mu markets market land; paid to village hilly committee wasteland Expanding 1 0 existing N N NA Land owned by slaughter-house plant yards slaughter houses. Note: N denotes nil; Y denotes yes; NA - not applicable. 19. Feedlots. Seventeen feedlots are to be built on 25.4 ha (318 mu) of land, to be rented from the village committees. This land is presently unused wasteland containing, old kilns or factories. The land would be rented by the feedlot management and this income becomes part of the financial revenues of the village committees which legally own the land. Details of the feedlot project sites are presented in Table 9. Table 9 - Location and Land Requirements for 12 Feedlots Location of feedlot Number of Feedlot Total land Comments /a feedlots Capacity required for (no. cattle) Feedlots (ha) Suixi County 6 500 2.7 disused kiln yard wasteland 1 500 2 state farm-owned Suxian Prefecture 9 500 20 rented village land for Y2000/year/mu Hefei City 1 500 0.7 rented village land I________________ for Y2000/year/mu Total 17 1,6001 25.4  11 20. Service centers. The Provincial Breeding Center and the Fuyang Breeding Center are to be reconstructed on existing land without any land expansion. Township service stations are to be improved at existing locations. Veterinary service centers would require an incremental 7.5 ha (112.5 mu) of land for expansion. 21. Cattle markets. The Liulin Market in Mengcheng County and the Wuyu Market in Sixian County are to be rebuilt within their existing borders. The Sanhe Market in Changfeng County, Hefei City is to be expanded, renting 1 ha (15 mu) of uninhabited, hilly wasteland land not suitable for farming. 22. Slaughterhouse. The Yumei Processing Plant is to be expanded within its original plant yard.  12 RESETTLEMENT FRAMEWORK GUIDELINES FOR PROJECT IMPLEMENTATION A. Introduction 1. The project would assist the government's policy of developing its beef cattle sub-sector in response to emerging market demand for quality beef. The project would put special emphasis on assisting the smallholder level in the inland provinces of Henan, Hebei, Anhui and Shanxi. These areas have surplus labor and natural resources, but productivity and quality of cattle are low due to lack of technology and infrastructure. The project aims to increase production and improve quality and marketability of smallholder cattle production in order to enhance farmer incomes and reduce poverty. These objectives would be achieved through: (a) introduction of improved breeding, feeding and production technologies; (b) development of commercial infrastructure which would provide the linkages between production and markets; (c) increasing value-added to cattle production through processing; (d) strengthening animal husbandry institutions to better provide support services to farmers; and (e) upgrading of regulatory services to include market incentive-driven grading and quality control. The project would promote the effective use of existing, low-value crop residues and other natural resources, foster the development of commercial cattle production and encourage the participation of women in production. 2. The Government and the Bank have identified the need for land acquisition and resettlement of affected people under the cattle production, marketing linkages and infrastructure strengthening components. The project's fourth component (breed and feed improvement component) does not require land acquisition or resettlement. 3. The cattle production component involves the expansion of 131 feedlots in the four provinces; the marketing linkages component involves the establishment or expansion of eight pilot cattle markets on existing market sites, and one beef processing plant; the infrastructure strengthening component involves the expansion and upgrading of 113 veterinary technical stations and 1 12 artificial insemination stations. In order to cover the eventuality of unanticipated land acquisition in any of the project's components, and to mitigate any adverse impacts of project activities, comprehensive resettlement actions plans, RAP principles and implementation guidelines are outlined indicated in Sections C and D below. These RAPs include: (a) detailed surveys results of people and assets affected; (b) description of legal framework for addressing land acquisition, resettlement and compensation requirements; (c) organizational responsibilities; (d) detailed cost estimates and funding requirements; (e) comrmunity participation. consultation and grievance procedures; and (f) monitoring and evaluation programs to be carried out by the project and an independent external group. 4. Land available for the development of feedlots, markets and service facilities under the production and infrastructure development components would be commercial land which does not currently have any occupants or dwellings. In the event that agro-business enterprises (cattle slaughtering houses or meat processing plants under the marketing linkages component) would be located on farmland, crop compensation and relocation costs would be paid to farmers, with the amount dependent on the value of the crops grown. RAPs would then need to be prepared on the basis of policies and principles acceptable to the Bank, if any additional resettlement would be necessary under the project, to be reviewed and approved by the Bank.  13 5. In order to effectively carry out the RAPs under the cattle production, marketing linkages and infrastructure development components and to address any unexpected changes that may result in involuntary resettlement in these or other project components, the Government of China and the World Bank have agreed on the following guidelines to ensure equitable and effective treatment of resettlement issues under the Project. B. Legal Framework 6. The "Regulations on the Requisition of Land for State Construction" (1982) provides for compensation based on the requirements for restoring income. 7. The "Land Administration Law" (1986) and related amendments (1988) require that incomes and assets be protected during resettlement and that affected communities be consulted during the project design stage. In addition, resettlers are given the specific right to challenge resettlement decisions in the courts. The law gives affected cities, counties, and collectives responsibility for implementing resettlement and provides guidance on resettlement principles, organization, and compensation. Provinces are required to draw up implementing regulations that conform to the national legislation, which define more precisely resettlement procedures and compensation for various types of land and other property. Provinces may also give cities and counties the right to enact additional resettlement regulations confirming to national and provincial law. These local laws have gained added significance with the decision of the state Council in 1992 to end the previous blanket exemption of national projects from local resettlement regulations, provincial, city, and county regulations. C. Resettlement Principles for the Project 8. At appraisal, no resettlement was identified. In case, however, that resettlement should become necessary, the Chinese Government and the Bank have agreed on the following principles to be employed. Resettlement may include the movement of people away from feedlots or processing plants. * Involuntary resettlement will be avoided or minimized where feasible; to this end, all viable alternative project designs will be explored; * Beneficiary participation is an integral part of project design. Affected persons will thus participate in decisions that might entail resettlement activities. In such cases, they will be clearly informed of the resettlement activities required and their options and legal rights prior to the initiation of any resettlement activity. Institutionalized arrangements will be established to facilitate communication during the planning and implementation of resettlement; and an effective and well understood grievance process will be developed. * Affected persons will be resettled within their original village whenever possible. If this is not possible, they will be resettled as closely as possible to their original village. The principles for selecting relocation sites will be: (a) within the same village; (b) to adjacent villages within the same county; and (c) other villages within the same county.  14 * Affected persons will be resettled in similar livelihoods: where possible, agriculture workers will be resettled with agricultural jobs, industrial workers will be resettled with industrial jobs. If this is not possible, affected persons will be ensured suitable employment in an endeavor other than that of their previous employment, and will receive retraining where necessary to render them suitable for such employment. * Affected persons will be resettled as groups whenever possible to reduce social disruptions. * The affected enterprises and individuals must be ensured to at least regain if not improve their present production and living standard. The new houses will be built by affected persons themselves, but persons With difficulties will be helped by the local government to build new houses. * The affected persons will be consulted regarding the resettlement plan, their choice of resettlement sites, standard and area, their option regarding the type of rehabilitation preferred by them and compensation rates of land acquisition. * Individuals affected by land acquisition in collectives will be able to regain access to land through land distribution. * All of the affected persons, including floating population (persons without permanent local residence registration certificates), if any, will be paid compensations for all the affected assets at replacement value of those assets. Depreciation will not be deducted from the current replacement prices for computing the compensation payable. * Affected persons, even those without legal title to land (including herdsmen, etc.), are entitled to assistance and compensation if adversely affected in their customary usage of land for grazing or other purposes. * All affected enterprises will be paid compensations and allowances according to the compensation policies, with payment of all costs associated with the resettlement completed within three months of resettlement. All affected enterprises in need to be relocated close to their existing location and all the affected workers will be employed in the same reconstructed enterprises. The relocated enterprises will restore production scope and conditions so as to let affected workers' living standard be rehabilitated or improved. Salary compensation and work stoppage allowance will be paid. * People affected by loss of houses will all get compensation at replacement rates. There will be no deduction for depreciation or the cost of salvageable materials. Valuation of lost assets will be made at full replacement cost. * The total level of compensation will ensure that the living standards, income earning capacity, and production levels are improved, or at least do not deteriorate, as a result of their resettlement. * Payment of compensation and resettlement of the affected persons will be completed at least one month before construction is initiated, otherwise construction of the project cannot be commenced.  15 * Objections of affected persons will be given adequate consideration during the resettlement process and their problems will be solved through consultation. * Grievance redress mechanisms will be applied with the opportunity for the affected persons to appeal to secure full protection of their rights. D. Implementation Arrangements 9. Planning and Organizational Responsibilities. The Provincial Project Management Offices (PPMOs) in the project provinces of Henan, Hebei, Anhui and Shanxi will have overall responsibility for planning, supervising and monitoring the implementation of all resettlement plans. The prefecture and county PMOs will be responsible for the preparation and approval process, and monitoring of resettlement plans. The implementation of all resettlement plans will be subject to the approval and clearance of such plans by the relevant local authorities. The PPMO and prefecture and county PMOs will coordinate closely with these authorities with respect to the monitoring of approved resettlement plans. The agencies responsible for the implementation of each project component will be responsible for the preparation, approval processing, and monitoring of resettlement plans. Local governments with authority over the subcomponent project site may, where applicable, share in the amelioration of resettlement through the provision of land, buildings, or other assets lost in land acquisition of loss of dwellings. 10. If more than 200 people are adversely affected in any one subcomponent, prior approval of a resettlement plan is required by the World Bank before initiation of the civil works on any (sub)component involving resettlement. Retrofit planning and implementation will be required in the event that resettlement impacts are discovered after civil works are initiated. 11. The resettlement plan's scope would be consistent with agreed upon guidelines, based on the criteria outlined in section E below. The resettlement plans would be based on baseline surveys in the affected areas. Any resettlement needs would be identified within the participation framework outlined in the Project Implementation Plan. The objective of public participation and consultation is to ensure that the resettlement actions when completed reflect the actual needs of the affected individuals and institutions, to guarantee the implementation of the resettlement plan and to ensure the benefits of the affected individuals and institutions. 12. Affected individuals and institutions would thus participate in the resettlement project identification stage as well as in the compilation stage of the resettlement and relocation plans. This would include identification of the site, scale, degree and impact of the resettlement project as well as investigations into the physical indicators of resettlement, investigation into the social and economic status of the affected populations and establishment of compensation standards for the relocation and relocation scheme. 13. Any arrangements necessary for physical relocation of people are to be completed before they are displaced. 14. Resettlement Plans. A resettlement plan will be prepared for each and every case that involves land acquisition or displacement of people. The content and level of detail of the resettlement plan will vary with the magnitude of the resettlement. When more than 200 individuals  16 are affected in a (sub)component, a comprehensive resettlement plan for thatsubcomponent will be prepared that addresses the following issues: * organizational responsibilities; * community participation and integration with host populations; * socio-economic survey; * legal framework; * alternative sites and selection; * valuation of and compensation for lost assets; * land tenure, acquisition, and transfer; * access to training, employment, and credit; * shelter, infrastructure, and social services;' * environmental protection and management; * implementation schedule, monitoring, and evaluation; and * detailed cost estimates. 15. When 200 or fewer individuals are affected in a (sub)component, a summary resettlement plan for that subcomponent will be prepared that addresses the following issues: - organizational responsibilities; * community participation and integration with host populations; * valuation of and compensation for lost assets; * implementation schedule, monitoring, and evaluation; and * detailed cost estimates. 16. The measures and indicators to be attached to such a plan would include the following: Measures Indicators Organizational responsibilities Resettlement group established within project management office Community participation and integration with Survey results of community interviews host populations Valuation of and compensation for lost assets Documentation of valuation and compensation Implementation schedule, monitoring, and Timebound resettlement schedule, follow-up evaluation and evidence of M&E Detailed cost estimates Documentation of cost estimates and payment of same 17. World Bank Review of Resettlement Plans. The World Bank's prior approval of resettlement plans will be required for any resettlement plan for a (sub)component in which more than 200 persons are affected. All other resettlement plans will be subject to ex-post review by World Bank supervision missions.  17 18. Sources of Funding for Resettlement. The project provinces of Henan, Hebei, Anhui and Shanxi will be financially responsible for any resettlement obligations as described in this Framework. The determination of resettlement costs will be based on the principles of land acquisition and resettlement, and will be implemented in accordance with existing local land administration and other resettlement laws. E. Compensation/Resettlement Policies 19. Land acquisition and resettlement will be implemented in accordance with the provisions of the respective Resettlement Action Plans. In the following, some general policies are described. 20. Compensation for loss of houses and other structures. For compensation of houses and other structures the following guidelines will apply: * Compensation for affected houses and buildings, owned by enterprises or individuals will be paid at replacement rates as to be determined in the Resettlement Plans. No deduction in compensation will be made for depreciation or the cost of salvageable material. - Resettlement offices in the county and will be set up to organize the resettlement work uniformly and conclude agreements with relocated persons on house areas, compensation rates and costs. The affected houses will be removed only after the affected persons move into their new houses. * Land for new houses will be provided by the village and the cost will be paid by the project provinces. 21. Compensation for loss of farmland For compensation of farmland the following guidelines will apply: * Adverse impacts on farmland and crops should be avoided at all cost. In the case that this is unavoidable, the affected persons will be provided with replacement land through land redistribution which is the responsibility of the township govemment. * Farmland, vegetable fields, woodland and orchards: The land compensation fee will be calculated as 5 times the annual average yield of the three-year-period prior to the acquisition. Compensation for standing crops will be paid at market price. * Grazing land: compensation for land is made by 4 times the annual average yield of the 3-year-period prior to the acquisition. * Residential land: compensation is made for land at 80% of the compensation standard set for farmland.  18 22. Compensationfor loss of crops. For the compensation of farmland the following guidelines will apply: * Farmland, vegetable fields, woodland and orchards: the compensation fee will be calculated as two times the annual average yield of the three-year-period prior to the acquisition. * Grazing land: compensation for young crops is made by two times the annual average yield of the three-year-period prior to the acquisition. 23. Compensationfor loss of trees. For the compensation of trees the following guidelines will apply: * Ordinary trees: 100 Yuan RMB/piece for trees with diameter above 20 cm; 70 Yuan RMB/piece for trees with diameter ranging from 5 cm to 20 cm; 3OYuan RMB for trees with diameter below 5 cm; * Fruit trees: 400 Yuan RMB/piece for production trees; 200 Yuan RMB/piece for non- production young trees. 24. Payment of Compensation. For payment of compensation the following guidelines will apply: C* ompensation for standing crops, houses and other private structures will be paid directly to the affected persons. * Compensation for affected land and public infrastructure and the resettlement subsidy will be paid by the prefecture or county government to collectives or production teams losing land, for arranging the resettlement and rehabilitation of the affected persons, and for replacing the affected infrastructure. * In case some enterprises agree to provide employment to the persons declared surplus labor, the resettlement subsidy will be paid directly to the enterprises. * Compensation for affected enterprises will be paid directly to the respective enterprises. In case of private enterprises, the compensation will be paid directlv to the owners. 25. Development of Civil Infrastructure. All civil infrastructure facilities will be fully replaced at the relocation sites. in case any private infrastructure facilities are affected, they will be compensated at replacement rates. The project will provide all basic infrastructure facilities at the resettlement sites. The Project provinces will be responsible for making special provisions, if necessary, to ensure that the standards of living of all categories of affected persons are fully restored after resettlement/relocation.  19 F. Monitoring and Evaluation 26. Monitoring Structurea A land acquisition monitoring structure, in accordance with ODs4.30 (monitoring infrastructure) and 10.70 (monitoring indicators and targets) will be set up as part of the overall project management infrastructure and will comprise, in hierarchical order, the Provincial PMO (PPMO) as the project's chief monitoring coordinator, in collaboration with prefecture and county PMOs. The PPMO will receive approved land acquisition plans, other relevant data, and progress reports directly from the lower level PMOs. Resettlement monitoring will provide an early warning system for project managers via the PPMO, which would ensure information objectivity through direct, in-house monitoring. A channel for resettlers to make known their needs would be established, from the local authorities or the subcomponent monitoring unit, directly to the PPMO. Monitoring progress reports would be submitted by the local PMO to the PPMO, as part of the routine semi-annual subcomponent progress reporting. During the first year of subcomponent implementation, the PPMO will have the right, where warranted, to request more frequent progress update reports. Baseline and implementation socio-economic surveys on resettlement plans involving over 200 persons will be carried out to compare the without and with-(sub)component effects of resettlement on affected persons. Bank review of the monitoring progress will be at semiannual intervals during the first year of (sub)component implementation and annually thereafter, throughout the project's implementation period. Annual progress reports, in tandem with Bank supervision missions, where feasible, will be received for Bank review thereafter, throughout the project's five-year life span. 27. Monitoring indicators for the project, to be reported to the Bank, will include: * Date of approval of resettlement proposals and compliance with these Guidelines. * Confirrmation that subcomponent monitoring structure is in place. * Confirmation that communications channel for affected persons to and from the PMO is in place. * Target date(s) for expected resettlement benefits to resettlers. - Target date for replacement of land, where applicable. * Date(s) of occupation of new or replacement housing. * Confirmation of equal replacement value of housing or land.