Construction of 500 kV Jvari-Tskaltubo Overhead Transmission Line

 Energy Supply Reliability and Financial Recovery Project P P169117
                              Phase 2


            Resettlement Action Plan (Draft Version)




                             Tbilisi

                            June 2023
Georgian State Electrosystem (GSE)                                                                                                            June 2023
Resettlement Action Plan




Contents
I. Abbreviations .................................................................................................................................... 5
II. Glossary ............................................................................................................................................ 6
1 Introduction ...................................................................................................................................... 9
   1.1 Information About the Project .................................................................................................. 9
   1.2 Resettlement Action Plan Objectives ..................................................................................... 10
   1.3 Minimizing the Scale of Land Acquisition and Resettlement ............................................... 11
2. Description and Impact Assessment.............................................................................................. 12
   2.1 Introduction ............................................................................................................................. 12
   2.2 Impact on Land and Other Assets ........................................................................................... 12
       2.2.1 General Classification of Affected Land........................................................................... 12
       2.2.2 Land Category by Legal Status.......................................................................................... 13
   2.3 Impact on crops ........................................................................................................................ 16
   2.4 Impact on Trees ........................................................................................................................ 17
   2.5 Impact on buildings ................................................................................................................. 19
   2.6 Impact on Common Property .................................................................................................. 19
   2.7 Impact on Business and Employment ..................................................................................... 19
   2.8 Severely Affected Households ................................................................................................. 19
   2.9 Physical Relocation .................................................................................................................. 20
   2.10 Vulnerable Households .......................................................................................................... 20
3. Socio-economic Data ..................................................................................................................... 21
   3.1 Introduction ............................................................................................................................. 21
   3.2 Persons Affected by the Project .............................................................................................. 22
       3.2.1 Demographic Characteristics ............................................................................................ 22
       3.2.2 Socio-Economic Situation ff Households ......................................................................... 24
       3.2.3 Access to Infrastructure .................................................................................................... 25
       Table 3.7: Sources of Water Supply and Sewage System ......................................................... 25
4. Legal Framework............................................................................................................................ 27
   4.1. General Overview ................................................................................................................... 27
       4.2.1 Georgia Legislation and Regulations Related to Procurement and Accommodation ... 27
       4.2.2 Lenders’ Policies ................................................................................................................ 28
4.2.3 Comparison of Georgian Legislation and WB ESS .................................................................. 30
   4.3. Eligibility for Compensation and Eligibility Matrix ............................................................. 34

                                                                   Page 2 of 88
Draft version
Georgian State Electrosystem (GSE)                                                                                                        June 2023
Resettlement Action Plan
       4.3.1 Eligibility ........................................................................................................................... 34
       4.3.2 Determination of Entitlements......................................................................................... 34
       4.3.2 Compensation Eligibility Matrix ...................................................................................... 35
5. Valuation Methodology ................................................................................................................. 40
   5.1 Valuation and Compensation Calculation Methodology for Land Plots............................... 40
   5.1.1 Valuation of Land .................................................................................................................. 40
   5.2 Valuation of Structures. ........................................................................................................... 40
   5.3 Valuation Method of Annual Crops ........................................................................................ 41
   5.4 Valuation Method of Fruit-bearing Trees............................................................................... 41
6. Livelihood Restoration................................................................................................................... 42
   6.1 Livelihood Impacts and Associated Monitoring ..................................................................... 42
7. Institutional Arrangements ........................................................................................................... 44
   7.1 Introduction ............................................................................................................................. 44
   7.2 Land Registration Organizations ............................................................................................. 44
   7.3 Village and Self-governing Unit .............................................................................................. 44
   7.4 Sakrebulo .................................................................................................................................. 45
   7.5 Property Rights Recognition Commission (PRRC) ................................................................ 45
   7.6 Land Acquisition and Resettlement Organizations ................................................................ 45
       7.6.1 GSE – Georgian State Electrosystem ................................................................................ 45
       7.6.2 Municipal LAR Organization ........................................................................................... 46
   7.7 Other Organizations and Agencies ......................................................................................... 47
       7.7.1 Construction Contractor ................................................................................................... 47
       7.7.2 Consultants and Auditors ................................................................................................. 47
       7.7.3 Court of Georgia ................................................................................................................ 47
       7.7.4 Ministry of Finance ........................................................................................................... 48
       7.7.5 Ministry of Justice ............................................................................................................. 48
       7.7.6 Donor Organization World Bank ..................................................................................... 48
   7.8 Capacity Building on LAR ....................................................................................................... 48
8. Implementation schedule and the Steps of Resettlement Action Plan ....................................... 50
9. Public Consultation, Engagement and Disclosure........................................................................ 56
   9.1 Introduction ............................................................................................................................. 56
   9.2 Consultation Process and Methodology.................................................................................. 56
   9.3 Consultation meetings with the PAPs during RAP Preparation ........................................... 56
   9.4 Consultation and Participation Plan ....................................................................................... 57
   9.5 Disclosure of information ........................................................................................................ 57
                                                                 Page 3 of 88
Draft version
Georgian State Electrosystem (GSE)                                                                                                          June 2023
Resettlement Action Plan
10. Grievance Redress Mechanism .................................................................................................... 57
   10.1 Introduction ........................................................................................................................... 57
       10.1.2 Grievance process ............................................................................................................ 58
11. Cost and Financing....................................................................................................................... 64
   11.1 Financing ................................................................................................................................ 64
   11.2 Compensation for Land.......................................................................................................... 64
   11.3 Compensation of Buildings .................................................................................................... 65
   11.4 Compensation of Crops .......................................................................................................... 65
   11.5 Compensation for Trees ......................................................................................................... 66
   11.6 Impact on Business and Employment ................................................................................... 69
   11.7 Allowance ............................................................................................................................... 69
   11.8 Administrative Costs .............................................................................................................. 69
   11.9. RAP Cost and Cash Flows..................................................................................................... 70
12. Monitoring, Reporting and Evaluation ....................................................................................... 71
   12.1. Internal Monitoring .............................................................................................................. 71
   12.2 External Monitoring .............................................................................................................. 75
Annex 1............................................................................................................................................... 77
   Public Consultations ...................................................................................................................... 77
       Public Consultations on the Resettlement Action Plan for the "Jvari Tskaltubo" 500kV
       Power Line Construction Project .............................................................................................. 77
       Event-specific information ........................................................................................................ 77




                                                                  Page 4 of 88
Draft version
Georgian State Electrosystem (GSE)                      June 2023
Resettlement Action Plan

I. Abbreviations
CLO Community Liaison Officer
EA Executing Agency
EIA Environmental Impact Assessment
EMA External Monitoring Agency
ESF Environmental and Social Framework
ESIA Environmental and Social Impact Assessment
ESS Environmental and Social Standard
FS Feasibility Study
GPS Global Positioning System
GRC Grievance Redress Commission
GRM Grievance Redress Mechanism
GSE Georgian State Electrosystem
IA Implementation Agency
IDP Internally Displaced Person
IFI International Financial Institution
IMA Independent Monitoring Agency
KV Kilovolt
LAR Land Acquisition and Resettlement
NAPR National Agency of Public Registry
NGO Non-Governmental Organization
OHL Overhead Transmission Line
PAH Affected Households
PAP Affected Person
RAP Resettlement Action Plan
ROW Right of Way
RPF Resettlement Policy Framework
RU Resettlement Unit
TL Transmission Line
WB World Bank




                                         Page 5 of 88
Draft version
Georgian State Electrosystem (GSE)                                                             June 2023
Resettlement Action Plan

II. Glossary
 Term                           Definition

 Compensation                   Payment in cash or in kind of the replacement cost of the acquired
                                assets.

 Cut-off date                   In this case, the cut-off date is set as the date of the census and
                                assets inventory of PAP. Persons occupying the Project area after
                                the cut-off date are not eligible for compensation and/or
                                resettlement assistance. Similarly, fixed assets (such as built
                                structures, crops, fruit trees, and woodlots) established after the
                                cut-off date will not be compensated.

 Easement                       An easement is the right held by GSE and granted by landowners to
                                access and use occasionally, at one time, and indefinitely the future,
                                the strips of land necessary to install, operate, maintain and repair
                                overhead and underground transmission lines. This right implies
                                that GSE can access this land occasionally, and therefore may have
                                implication on the use of land by the landowners. For example, it
                                will not be possible to build a structure on a piece of land included
                                in an easement for the overhead line or an underground cable,
                                because it may be necessary to access this overhead line or
                                underground cable for maintenance purposes.

 Economic displacement          Economic displacement is the loss of land, assets, access to assets,
                                income sources, or means of livelihoods as a result of: (i)
                                involuntary acquisition of land, or (ii) involuntary restrictions on
                                land use or on access to legally designated parks and protected
                                areas.

 Entitlement                    Range of measures comprising compensation, income restoration,
                                transfer assistance, income substitution, and relocation which are
                                due to Project Affected People, depending on the nature of their
                                losses, to restore their economic and social base.

 Improvements                   Structures constructed (dwelling unit, fence, waiting sheds, animal
                                pens, utilities, community facilities, stores, warehouses, etc.) and
                                crops/plants planted by the person, household, institution, or
                                organization.

 Land Acquisition               Land acquisition refers to all methods of obtaining land for Project
                                purposes, which may include outright purchase, expropriation of
                                property and acquisition of access rights, such as easements or
                                rights of way. Land acquisition may also include: (a) acquisition of
                                unoccupied or unutilized land whether or not the landholder relies
                                upon such land for income or livelihood purposes; (b) repossession
                                of public land that is used or occupied by individuals or households;
                                and (c) project impacts that result in land being rendered unusable
                                or inaccessible. ‘Land’ includes anything growing on or
                                permanently affixed to land, such as crops, buildings and other
                                improvements.

                                               Page 6 of 88
Draft version
Georgian State Electrosystem (GSE)                                                               June 2023
Resettlement Action Plan

 Term                           Definition

 Livelihood restoration         Livelihood restoration comprises a set of measures which will be
                                implemented to address economic displacement in order to
                                improve or, at a minimum, restore livelihoods and standards of
                                living of PAP to pre-displacement levels.

 Negotiated settlement          Legal arrangement, initiated and completed outside of the formal
                                judicial process; without the involvement of courts and judges,
                                between a buyer (GSE) and a seller (land and property owners) to
                                undertake the land acquisition transactions necessary for the
                                Project.
                                However, in the context of the Project, the buyer can resort to
                                expropriation or impose legal restrictions on land use if negotiations
                                with the seller fail.

 Residual land                  Unacquired parts of a land parcel which are left unusable or
                                undevelopable (either temporarily or permanently) as a result of
                                the project or expropriation.

 Project-Affected               All members of a household residing under one roof and operating
 Household (PAH)                as a single economic unit, are adversely affected by the Project. It
                                may consist of a single nuclear family or an extended family group.

 Project-Affected Person        Project Affected Person (PAP), in the context of involuntary
 (PAP)                          resettlement, are any person, firms, or private institutions who are
                                physically displaced (relocation, loss of residential land, or loss of
                                shelter) and/or economically displaced (loss of land, assets, access to
                                assets, income sources, or means of livelihoods) as a result of:
                                (i) involuntary acquisition of land, or (ii) involuntary restrictions on
                                land use or on access to legally designated parks and protected
                                areas.

 Rehabilitation                 Allowances paid and compensatory measures provided under the
                                LARCF on involuntary resettlement other than payment of the
                                replacement cost of acquired assets.

 Relocation/ Physical           The physical relocation of a PAP/PAH from his/her pre-project
 displacement                   place of residence.

 Replacement Cost               Replacement cost is defined as the market value of the assets plus
                                the transaction costs related to restoring such assets. Depreciation
                                of structures and assets is not taken into account. For land,
                                replacement cost is based on the following elements: (i) fair market
                                value; (ii) transaction costs; (iii) interest accrued; (iv) transitional
                                and restoration costs; and (v) other applicable payments, if any.
                                Compensation at full replacement value is sufficient for the affected
                                person to replace project affected land, structures and other assets
                                to the same or better standard in another location.




                                               Page 7 of 88
Draft version
Georgian State Electrosystem (GSE)                                                             June 2023
Resettlement Action Plan

 Term                           Definition

 Resettlement Action            The document in which the Project specifies the procedures it will
 Plan                           follow and the actions it will take to mitigate adverse effects,
                                compensate losses and provide development benefits to persons and
                                communities affected by the Project.

 Resettlement process           All measures taken to mitigate any and all adverse impacts of the
                                Project on PAP’s property and/or livelihood, including
                                compensation, relocation (where relevant), and rehabilitation of
                                the damaged/removed infrastructure and installations.

 Right of Way                   The protection zone around an overhead transmission line as
                                defined by Decree 366 (Government of Georgia, 2014) where
                                buildings and trees are prohibited as described in section 3.3.1,
                                Volume 2.

 Sakrebulo                      This is the representative body of local self-government. The
                                representative branch of Municipality level is the local- level
                                Councils and the executive branch is represented by Mayor. The
                                representative and executive branches of self-government are
                                represented accordingly by the Local Council (Sakrebulo) and the
                                Representative of Mayor from the municipal level. The exclusive
                                responsibilities of self-government include land-use and territorial
                                planning, construction permits and supervision, housing, and
                                communal infrastructure development.

 Vulnerable household           A vulnerable household is any that might suffer disproportionately
                                or face the risk of being marginalized by the effects of resettlement.
                                Examples of vulnerable households are those comprising: (i)
                                female-headed households with dependents; (ii) households with
                                members of persons with disabilities (iii) poor households as
                                defined by the official poverty line; (iv) elderly households with no
                                labour or means of support; (v) Internally Displaced Persons (IDPs)

 Informal Settlers              Non-legalizable PAHs/APs losing land plot used without
                                authorization, for living and/or provision of source of income
                                for the AH/AP.
 Severe affected HHs            PAPs permanently losing (e.g., due to tower footprints) more than
                                10% of affected agricultural land (including registered owners,
                                legalizable and non‐legalizable users, Renters are not eligible)

 Permanent impact:              The right of land is fully transferred to the project owner.


 Partial Impact                 The land is not taken and is left in a possession of the private
                                owner; however certain limitations are imposed on the
                                mentioned land plots in terms of admissible land use.




                                               Page 8 of 88
Draft version
Georgian State Electrosystem (GSE)                                                         June 2023
Resettlement Action Plan

1 Introduction
1.1 Information About the Project
JSC "Georgian State Electrosystem" ("GSE") is a 100% state-owned company and provides
dispatching and transmission of electricity throughout the territory of Georgia. "GSE" is
implementing the Energy Supply Reliability and Financial Recovery project financed By the
World Bank.
Project includes the construction and operation of approximately 80-kilometer 500 kiloVolt (KV)
overhead transmission line (OHL) between Jvari and Tskaltubo and a new 500 kV substation near
an existing substation in Tskaltubo (collectively, “the Project”). The new transmission line is
intended to serve two main purposes. First, it will improve the reliability of the existing grid. To
accomplish this, it will provide necessary backup for existing Imereti and Zekari lines. and will
help ensure a steady energy supply to east Georgia and the Akhaltsikhe-Borchkha export line to
Turkey. The new line will provide an alternative route for electricity in case there are
interruptions on the 500kV lines between Zestafoni and Akhaltsikhe and between Akhaltsikhe
and Gardabani. Second, the new Jvari-Tskaltubo OHL and Tskaltubo substation will increase the
capacity for electricity transmission from western Georgia to eastern Georgia, which will further
improve reliability of existing supplies.
GSE will be responsible for the construction and operation of the 500KV transmission line and
substation. GSE hired a contractor to complete the final design and construct the transmission line
and a second contractor to design and construct the substation. GSE will also hire a third company
to serve as the supervising engineer, responsible for overseeing the contractors’ design and
construction; Support GSE compliance with environmental and social policy requirements under
the project.

The project is divided into three sections, Total area of the project is 77 km. The present RAP
covers the following sections:
     •    Section I - From the existing Tskaltubo 200kV substation to the under
          construction Tskaltubo 500kV substation covering the village Khuntsi, Martvili
          Municipality which is 24 km and.
     •    Section III - From the village Salkhino of Martvili Municipality to the existing Jvari
          substation covering 41 km.
The RAP for Section II in Martvili (12 km) will be developed separately as soon as the detailed
designed for the designated area is finalized.




                                           Page 9 of 88
Draft version
Georgian State Electrosystem (GSE)                                                         June 2023
Resettlement Action Plan
Picture1. Project Area




1.2 Resettlement Action Plan Objectives
In order to manage the process of Involuntary Displacement according to IFI standards and
policies, GSE has developed the generalized approach Resettlement Policy Framework (RPF) for
construction and operation of the 500 KV Jvari-Tskaltubo transmission line and Tskaltubo
substation in 2019. The Framework describes the policies, procedures and processes that will be
followed in order to mitigate the adverse social impacts among people whose land, properties, or
other assets will be needed for completion of the project, whether they have legal title to the land
and property or not. The Resettlement Policy Framework has been prepared to guide land
acquisition and potential resettlement in accordance with Georgian law and World Bank
Environmental and Social Standard 5, “Land Acquisition, Restrictions on Land Use, and
Involuntary Resettlement”.

As stipulated in ESS5 and as described in this RAP all project related impacts should be identified
through the relevant studies undertaken during RAP preparation and addressed accordingly,
meaning that all project affected persons will be provided with relevant compensation and other
assistance required for relocation, prior to displacement, and preparation and provision of
resettlement sites with adequate facilities, where required. In particular, effective taking of land
and material impact on any assets may take place only after compensation has been paid and,
where applicable, resettlement sites and moving allowances have been provided to the displaced
persons.



The primary objectives of the resettlement program include:
                                         Page 10 of 88
Draft version
Georgian State Electrosystem (GSE)                                                           June 2023
Resettlement Action Plan
(i)      Minimizing or avoiding involuntary resettlement
(ii)     Compensation/Rehabilitation provisions to ensure the maintenance of the PAPs’ pre-
         project standards of living.
(iii)    Compensation is to be paid at full replacement cost, without deductions for depreciation
         or other purposes.
(iv)     PAPs to be fully informed and consulted on compensation options.
(v)      Lack of legal title not to obstruct the compensation and/or rehabilitation.
(vi)     Particular attention to be paid to households headed by women and other vulnerable
         groups and appropriate assistance to be provided to help them improve their status.
(vii)    Resettlement Action Plan to be conceived and executed as a part of the project, and the
         full costs of compensation to be included in project costs and benefits.
(viii)   Compensation and resettlement subsidies will be fully provided prior to clearance of right
         of way/ ground levelling and demolition.
(ix)     An accessible, transparent and free of cost grievance mechanism has to established and
         information on the existence of this mechanism to be disclosed.
(x)      PAPs, local communities, and local governments will be provided with opportunities to
         participate in the planning, implementation, and monitoring of the resettlement program,
         including development and implementation of procedures for determining eligibility for
         compensation benefits and development assistance, and for establishing appropriate and
         accessible grievance mechanisms.
(xi)     When owners of land to be acquired cannot be located or consulted, payments will be
         deposited in an interest-bearing account until such owners or heirs are located; if they
         have not been located within two months, GSE will initiate proceedings to expropriate the
         land for acquisition or use, but will leave the account in place. Efforts to identify owners
         and/or heirs will include public notices, records searches, interviews of knowledgeable
         people, and other means. All such efforts will be documented.



1.3 Minimizing the Scale of Land Acquisition and Resettlement

The project was divided into two distinct phases. In the initial phase, the registration of land plots
within the projected impact area was conducted, which allowed to ascertain the extent of the
impact. Subsequently, during the design preparation, extensive fieldwork was undertaken by the
design team joined by the GSE Social Division. Collaboratively, the area was examined to avoid
any suspected zones of physical relocation. The request to steer clear of these sensitive areas was
duly acknowledged and diligently incorporated into the project's detailed design, while the
project’s technical requirements remained wholly uncompromised. The project will not affect any
kind of business and will not result in physical displacement. While considerable efforts were
invested in exploring various alternatives and solutions, due to the geographical location of the
project it was not possible to fully avoid the impact on some kinds of auxiliary buildings. Also,
economic displacement (loss of land) could not be avoided.
                                            Page 11 of 88
Draft version
Georgian State Electrosystem (GSE)                                                          June 2023
Resettlement Action Plan

2.Description and Impact Assessment
2.1 Introduction

This impact assessment describes the loss of land, buildings and other assets. Compensation and
rehabilitation measures have been worked out based on these impacts. A detailed inventory of
all the impacts has been done following the final alignment of the transmission line corridor and
tower locations.

Digital cadastral maps were collected from the National Agency for Public Records (NAPR) and
updated based on actual field surveys. In parallel with the field survey implementation, a detailed
measurement survey (DMS) and a census of affected persons were carried out. These studies were
conducted from January 2023 to March 2023. Along with this, a Socio-Economic Survey (SES) of
PAHs was conducted in the project-affected areas to identify the socio-economic status of the
project affected persons (PAP). The date of commencement of the detailed surveys and census of
PAPs is considered as the beginning of the reporting period for eligibility for compensation under
the project.

The cut-off date for eligibility for compensation in the Project is January 23, 2023. In the initial
stages of land registration that started in 2020, PAPs were provided with details about the
significance of the cut-off date, including its essential aspects and the methods through which its
announcement would be carried out. During the public consultations conducted on January 23,
it was communicated that an aerial survey would be conducted to meticulously record the assets
owned by all PAPs. Additionally, it has been duly apprised that subsequent to the designated cut-
off date, a comprehensive census-inventory would be executed. Consequently, any properties or
assets not duly recorded during this process would no longer be eligible for compensation.



2.2 Impact on Land and Other Assets
2.2.1 General Classification of Affected Land

The impacts on land have been distinguished as a both permanent (with full or partial land take –
such as easements) and temporary impacts on land are anticipated. Temporary impacts are related
to the usage of private land during the construction period. In addition, it is predicted that during
the construction period the temporary usage of private land will be required: namely for
construction activities and for maintenance and storage during the operation phase. The exact
scope of impact is not presently fully clear; however, all avoidance and minimisation principles
will be applied the same compensation approach and entitlements will be used in these cases as
stated in the Entitlement Matrix.

Permanent partial impact means that the land is not taken and is left in a possession of the private
owner, however certain limitations are imposed on the mentioned land plots in terms of admissible
land use. The limitations comprise prohibition of growing trees higher than 4m within the RoW
                                           Page 12 of 88
Draft version
Georgian State Electrosystem (GSE)                                                                            June 2023
Resettlement Action Plan
and prohibition of presence of structures and buildings in the RoW (which is 30 meters for the
500 kV line)1.

Permanent full impact is related to the land plots where towers will be located or to the land plots,
on which the residential houses are situated. (For additional information see the chapters 2.5
Impact on buildings

2.9 Physical Relocation)

The land plots for erection of towers needs to be acquired. As all the structures within the RoW,
including residential houses, should be demolished, the mentioned land plots lose their value as a
residential land, respectively the land plots and affected structures will be compensated at full
replacement cost and this land will be permanently acquired by the project, as well as the land
plots under the towers. The land plots imposed to partial impact will remain in the ownership of
PAHs, and the PAHs will be compensated for the partial impact (limitations on land use) through
the Easement Agreement. The cost to be paid as a compensation for partial impact will reflect the
loss of real estate value of the affected land plots due to the imposed limitations. As asset inventory
and detailed measurement surveys are completed, the full replacement cost of affected assets and
lands have been evaluated. This was done by the independent accredited valuator, following the
methodologies indicated in Chapter 5

In total, 523 land plots are affected by the project; 251 land plots are non-compensable as they are
under state ownership and are not used informally. Initially, 272 land plots2 were identified as
compensable, however, they had to be split into two and sometimes three parcels to be fully
acquired (40 plots to accommodate 41 towers)3 and subject to easement (272 plots). Thus,
eventually, the ‘final’ number of the affected plots became 315. 315 affected land plots are
owned/used by 207 PAHs. Table 2.1 presents both partially and permanently affected lands.
2.2.2 Land Category by Legal Status

Category 1. Private land plots with full and valid registration. There are 138 (287 399 sq.m.)
category 1. land plots under the power transmission line. Out of this number 27 land plots (4 928
sq.m) will be permanently impacted and these lands need to be acquired, while 138 plots (282
471sq.m.) will be partially affected and subject to easement. The land plots where the towers will
be erected are subject to division into two or three plots (one to be acquired due to permanent
impact and the other to be compensated under the easement agreement due to partial impact).

Category 2. Lands rightfully used or occupied by PAHs (who have legally recognized rights to
these land plots) that are subject to registration and compensation. There are 134 (263 411 sq.m.)


1 The Decree No 366 of the Government of Georgia of 24.12.2013 about protection rules and protection zones of the
Electric Transmission Lines Linear Facilities
2 2 land plots out of 272 are owned by the State, but has a formal leaseholder. So, they are included in the total number

of compensable land plots.
3 . For this particular RAP, it is necessary to accommodate two towers on a single plot spanning two hectares.

Consequently, the plot is subdivided into three distinct parts.

                                                    Page 13 of 88
Draft version
           Georgian State Electrosystem (GSE)                                                                               June 2023
           Resettlement Action Plan
           category 2. land plots under the power transmission line. Out of this number the towers will be
           located on 15 land plots (3007 sq.m) resulting in permanent impact and thus these lands need to
           be acquired, while 134 plots (260 404 sq.m) will be partially affected. The land plots where the
           towers will be erected are subject to division into two or three plots (one to be acquired due to
           permanent impact and the other to be compensated under the easement agreement due to partial
           impact).

           Category 3. Non-legalizable plots of land that are informally used. Non-legalizable land, generally
           state owned, land used informally by local community members. This category includes all private
           users of lands that cannot be privately registered under the current legal framework. For the time
           being Category 3 plots are not identified as the process of land registration is ongoing. Some of the
           land plots of Category 2 which will not be entitled to be registered in the private ownership will
           be moved to Category 3 and registered as state owned. Informal users will not be compensated for
           land but will get compensation for any other assets.

           Category 4. State-owned land plots illegally used by private users (squatters). A detailed inventory
           of all the impacts has been done and actual field surveys have been conducted to identify any
           impact by illegal users. The analysis of the inventory data does not depict the existence of Category
           4 land.

           Category 5. State-owned land plots that are not used by private users. There are 251 (1,953,224
           sq.m). Category 5 land plots under the line.

           Table 2.1: Land Category by Legal Status

                                                                                                       Initial    Final
                                                                                Partial               number     numbe
                                                                                                                            Total area
                                           Permanent Land Claim                 impact                   of        r of
                                                                                                                            of affected
                                             (land for purchase)           (Land Plots within         affected   affecte
                                                                                                                               land
                                                                          the RoW/Easement)             land     d land
                                                                                                        plots     plots
                                                                                                                 Numbe                    %
                                           Number of          Area        Number          Area        Number                   Area
Tenure Categories                                                                                                  r of
                                             plots           (sq.m.)      of plots       (sq.m.)      of plots                (sq.m.)
                                                                                                                  plots
Compensable land

Category 1. Private registered
                                                27            4 928          138       282 471         1384       166        287 399      26%
plots
Category 2. Rightfully owned                                                                                                              26%
                                                15            3 007          134       260 404          134       149        263 411
land Plots subject to registration
Compensable subtotal                            41            7 935          272       542 875          272       315        550 810      52%
Non-compensable land

Category 3. Land plots that are not subject to registration                                                0            0         0        0
Category 4. State-owned land used by private individuals – illegal                                         0            0         0        0



           4   As one land plot is affected by the two towers, it will be divided into three parts.
                                                                   Page 14 of 88
           Draft version
          Georgian State Electrosystem (GSE)                                                                               June 2023
          Resettlement Action Plan
Category 5. State-owned land, not used by private individuals                                          251
Non-compensable subtotal                                                                               251                              48 %
                                                                                                                                         100
Total                                                                                                  523
                                                                                                                                          %



          2.2.3 Categorization by Land Use

          Type 1 – Non-Agricultural land plot. 9 plots of Type1 (29 808 sq.m; owned by 3 PAHs) fall
          between the towers (partial impact) and are subject to easement compensation. 1 land plot (3 sq.m;
          owned by 1 PAH) impacted by a tower will be acquired. In total, the number of plots of Type 1
          will be 10 (total area affected 29 811 sq.m.), as certain plot is to be divided in two (2) separate plots
          (one to be acquired due to permanent impact and the other to be compensated under the easement
          agreement due to partial impact).

          Type 2 - Agricultural Pastureland plot. 1 plot of Type 2 (14 695 sq.m; owned 1 PAHs) falls between
          the towers (partial impact) and are subject to easement compensation. The same number of land
          plots (256 sq.m; owned by 1 PAHs) impacted by a tower will be acquired. In total, the number of
          plots of Type 2 will be 2 (total area affected 14 951 sq.m.), as certain plot is to be divided in two
          (2) separate plots (one to be acquired due to permanent impact and the other to be compensated
          under the easement agreement due to partial impact).

          Type 3 - Agricultural Arable land plot. 256 plots of Type 3 (486 508 sq.m; owned 198 PAHs) fall
          between the towers (partial impact) and are subject to easement compensation.37 land plots (7570
          sq.m; owned by 39 PAHs) impacted by a tower will be acquired. In total, the number of plots of
          Type 3 will be 2965 (total affected area 494 0788 sq.m.), as certain plot is to be divided in two or
          three separate plots (one to be acquired due to permanent impact and the other to be compensated
          under the easement agreement due to partial impact).

          Type 4 - Agricultural Residential land plot6. 6 plots of Type4 (11 864 sq.m; owned 6 PAHs) fall
          between the towers (partial impact) and are subject to easement compensation. 1 land plot (106
          sq.m; owned by 1 PAHs) impacted by a tower will be acquired. In total, the number of plots of
          Type 4 will be 7 (total affected area 11 970 sq.m.), as certain plot is to be divided in two separate
          plots (one to be acquired due to permanent impact and the other to be compensated under the
          easement agreement due to partial impact).




          5As 1 land plot is affected by the two towers, it will be divided into the parts.
          65 out of 6 Residential land plots are vacant (there are no structures). 1 residential land plot with the house is affected
          by the project of area 129 sq.m out of 12 500 sq.m. Distance between the house and the protection zone is 90m.
                                                               Page 15 of 88
          Draft version
          Georgian State Electrosystem (GSE)                                                                          June 2023
          Resettlement Action Plan



          Table 2.2: Categories by Land Use
                                                                                        Initial       Final
                                                                 Partial                                          Total
                                                                                       number        number
                                    Permanent Land               impact                                          amount
                                                                                          of            of
                                     Claim (land for        (Land Plots within                                      of
                                                                                       affected      affected
                                       purchase)                   the                                           affected
                                                                                         land          land
                                                             RoW/Easement)                                         land
                                                                                         plots         plots
Categories by Land Use             Number Area Number                        Area      Number        Number        Area
                                   of plots (sq.m.) of plots                (sq.m.)    of plots      of plots     (sq.m.)
Compensable land                                                                                                                  %

Type-1.                                 1            3          9            29 808        9           10         29 811          3%

Type-2.                                 1           256         1            14 695        1            2         14 951          0%

Type-3.                                37           7 570     256           486 508      256           293       494 078      94%

Type-4.                                 1           106         6            11 864        6            7         11 970          2%

Total                                  40           7 935     272           542 875      272           312       550 810      100%



          2.3 Impact on crops

          Affected crops on the project affected agricultural land plots are corn, pumpkin, beans, Soy, Oats
          and Hay. Hay is the most cultivated plant occupying 122 156 sq.m of land. In total, 122 households
          grow the specified crops on their 146 land plots of 324 707 sq.m. area7 (see Table 2.3).

          All PAPs regardless of legal status of ownership will be eligible for crop compensation.

          Table 2.3: Affected agricultural crops

                     Culture           Plots of land          Area in sq.m.           Number of PAHs

              Corn                             67                100 724                       57

              Pumpkin                          67                   46 760                     57
              Bean                             67                   46 765                     57

              Soy                              24                122 156                       19
              Oats                             2                    1 088                       1

              Hay                              79                122 156                       73

              Total                          146                 324 707                       122



          7As per entitlement matrix: when possible, PAPs will be given enough time to harvest existing crops. Crop
          compensation will be paid at gross market value of actual or expected harvest. Compensation for this item will be
          provided in case of non-standing crops and even if the crops were harvested.
                                                             Page 16 of 88
          Draft version
Georgian State Electrosystem (GSE)                                                                            June 2023
Resettlement Action Plan



2.4 Impact on Trees

In total, 5 213 trees (owned by 71 PAHs) are affected by the project, the distribution of which by
species and age groups is presented in Table 2.4. Also, tea plantation is affected (owned by 3
households), this crop is occupying 10 090 sq.m of the affected land. All PAPs regardless of legal
status of ownership will be eligible for the tree compensation.8

It is prohibited to plant trees within the RoW and the existing trees should be cut (but not all, as
explained further). The inventory studies identified 5 213 privately owned fruit and timber trees
and 10 090 sq. m area of tea plantation within the RoW. The actual number of the trees to be cut
will be determined before the civil works, the inventory will be conducted by GSE in the presence
of the owner of the trees and civil work contractor. As per N366 Ordinance of the GoG, defining
the OHL protection and cutting zones, where only the trees higher and lager than 4 meters, the
trees under the towers and located on the temporary access roads or the area required for the
stringing activities will be cut. The affected timber trees are mostly state owned and are not
included in the inventory list. The timber trees as well as timber from fruit bearing trees that will
be cut on private land plots will be passed in a possession of the owners9: they may use it as timber
material; this is an addition to the compensation for trees as per the Entitlement Matrix. On most
land plots several species of trees are grown. In total 71 PAHs lose trees. The details of the impacts
on trees is given in table 2.4.



Table 2.4. Impact on trees
                                                                  Number of trees inside the Number
                       Number of trees inside the Cut
        Spec                                                            protection zone      of PAH
                                   zone
                                                                       (Except Cut zone)
                                                                                   11-
     Age group         (<5)       6-10       11-20       20+      (<5) 6-10              20+
                                                                                   20
      Sub-total       157         416        1237         77      207      775 2253 91          71
       Cherry            3         19          16         3         9       22     25     2      5
        Grape            0           3         6          0         0        0      1     0      2
        Apple            5           4         16         2        26       23     23     0     18
       Mespilus          0           0         0          1         0        1      1     0      1
    Blueberry            0         194         0          0         0      401      0     0      1
      Hazelnut          86         37        1003         2        152      89    1906    0     40
       Walnut            1         10          28         55        1       48     25     65    19


8 The census-inventory form, signed by the PAP, distinctly differentiates the trees situated within the cutting and
protection zones. Throughout the course of public consultations as well as census-inventory process, explicit
clarification was provided to the PAPs, that the trees within the cutting zone would unequivocally be subject to logging,
while those within the protection zone would be contingent upon the necessities of the project. Consequently,
compensation would solely be rendered for trees that are cut.
9 Timber trees cut on unregistered land will be moved to the possession of the state/local municipality and will be

distributed the local population.
                                                     Page 17 of 88
Draft version
Georgian State Electrosystem (GSE)                                                           June 2023
Resettlement Action Plan
                                                            Number of trees inside the Number
                      Number of trees inside the Cut
       Spec                                                      protection zone       of PAH
                                  zone
                                                                (Except Cut zone)
                                                                            11-
   Age group         (<5)       6-10     11-20      20+     (<5) 6-10             20+
                                                                            20
   Sub-total         157        416      1237        77     207     775 2253 91           71
  Persimmon                                                                                5
   (Khurma)           54         66       65          0          0   89    81    6
     Quince            0             0     3          1          7   0     0     2       2
       Fig             0             4     8          2          4   5     34    4      11
    Avocado            0             0     1          0          0   0     0     0       1
   Mulberry            1         25       51          7          0   26    85    7      20
      Pear             4             2     3          1          4   3     17    0      14
  Wild plum
   (Tkemali)           1         32       25          2          4   37    41    2      22
      Plum             1             0     0          0          0   0     0     0       1
   Chestnut            0             0     1          1          0   4     9     0       5
     Apricot           0             0     0          0          0   0     1     0       1
 Pomegranate           1             1    11          0          0   0     3     0       2
  Bladdernuts          0             4     0          0          0   17    0     0       3
 Cherry Laurel         0             0     0          0          0   1     0     0       1
   Boxwood             0             0     0          0          0   0     0     3       1
  Eriobotrya
    japonica           0             0     0          0          0   2     0     0       1
     Laurel            0             0     0          0          0   0     1     0       1
   Aleurites           0         15        0          0          0   7     0     0       1




                                                 Page 18 of 88
Draft version
Georgian State Electrosystem (GSE)                                                                  June 2023
Resettlement Action Plan



2.5 Impact on buildings

The majority of structures affected by the project are 95 fences, the others are 1 auxiliary building,
2 sheds, 1 cattle shed, a pigsty and a storage. Domestic structures described below are subject to
demolition/compensation. Detailed information of structures is provided in table 2.5.

Table 2.5. Impact on Buildings
 N          Type of Structure        N of Affected Land Plot     Area of the Fence   HHs

 1          Fences                   95                          13 245              81

 2          Auxilary                 1                           15                  1

 3          Shed                     2                           18                  2

 4          Cattle Shed              1                           22                  1

 5          Pigsty                   1                           13                  1
 6          Storage                  1                           30                  1

            Total                    9510                        13 343              81

2.6 Impact on Common Property

The project will not affect any kind of state land used by the local community.

2.7 Impact on Business and Employment

The project will not affect any kind of business.

2.8 Severely Affected Households

Detailed measurements showed that there are 4 PAHs that permanently lose 10% or more than
10% of agricultural land under the project impact or assets generating income and thus should be
considered severely affected. The households imposed to partial impact are not considered to be
severely affected, as they do not lose permanently their agricultural land and other sources of
income.


Table 2.6: Severely affected households

                                                                             Affected area
      #      PAH ID              Plot ID             Total area (sq.m)                          %
                                                                                (sq.m)
          1 28            029                                         2470               272   11.0%
          2 44            049                                         2850               442   15.5%


10   Without double counting
                                                 Page 19 of 88
Draft version
Georgian State Electrosystem (GSE)                                                                        June 2023
Resettlement Action Plan
      3 59                 064                                          1504                 155     10.3%

      4 178                222                                          2897                 361     12.5%


2.9 Physical Relocation

Great efforts have been made to prevent physical displacement, as a result, there is no need for
physical relocation.

2.10 Vulnerable Households
A vulnerable household is any that might suffer disproportionately or face the risk of being
marginalized by the effects of resettlement. Examples of vulnerable households are those
comprising: (i) female-headed households with dependents; (ii) household with members of
persons with with disabilities t; (iii) poor households as defined by the official poverty line11; (iv)
elderly households with no labor or means of support; (v) IDPs.

As a result of the census conducted in the area of impact of the project, 27 households were
identified, which according to the SES belong to the vulnerable category.

Table 2.7: Vulnerable Households
                                                                                                Number of PAH
     N                      Type of vulnerability                       Number of PAH
                                                                                                  members
      1.        Female-headed PAH with dependents                                5                       6

      2.        PAH below the poverty line                                      11                      47
                Elderly households with no labor or means of
      3.                                                                         7                      11
                support
                Household with members of persons with
      4.                                                                         2                       9
                disabilities
      5.        IDPs                                                             2                      11

 Total without double counting12                                                27                      84




11 The poverty line of PAHs is defined in Ordinance of the Government of Georgia N145, July 28, 2006. PAHs that
obtain less than 65001 scores or households with less than 120001 scores with a family member younger than 16 years
old, are entitled to allowance.
12 Some households may fall in several categories at the same time. The compensation will be given under one

category.
                                                 Page 20 of 88
Draft version
Georgian State Electrosystem (GSE)                                                            June 2023
Resettlement Action Plan

3. Socio-economic Data
3.1 Introduction
The OHL crosses three municipalities of the Samegrelo region and two municipalities of the
Imereti region. The total population in these five municipalities is approximately 140 thousand.
As most rural areas in other parts of Georgia, all of the five municipalities are quite poor. While
there is no municipal level data on poverty, analysis of the Targeted Social Assistance (TSA)
database13 is that the share of the population who receive state support is quite high. For example,
the share of the population who have a score of 100 thousand or less (making them eligible for
most state support programs) is 29%, with Martvili (35%) and Tsalenjikha (40%) having
particularly high rates. The national average is slightly less than 20%. The Social Services Agency
(SSA) is quite effective in identifying vulnerable groups and providing monetary assistance.
However, relying on social assistance is extremely challenging and the poverty levels are very high
in the country, especially in the regions.

Most of the population in the target municipalities rely on subsistence agriculture. Maize,
hazelnuts, and Laurus leaves are particularly widespread, and farmers manage to sell them in small
quantities to retailers. Households usually have around 1 hectare of land, which is fragmented and
not viable for commercial agriculture. Households also sometimes have 1 or 2 heads of livestock
mostly for making cheese and other dairy products for home consumption. Households use nearby
territories as grazing areas. Usually, these lands are not registered, or belong to the state.

In Georgia, especially in rural areas, there is a strong presence of bonding social capital,
characterized by high levels of trust and cooperation within closely connected communities.
Georgians demonstrate remarkable generosity in their mutual support, readily offering and
receiving assistance from family members, friends, and neighbors, often prioritizing the well-
being of others over their own.14

A socio-economic survey was carried out within the framework of the project, 127 out of 206
(62%) PAH participated in the survey. There was no need for the sampling because it was planned
by the survey team that a census of 100% of the directly affected PAHs available on site would be
conducted to enumerate the PAPs. In case of unavailability of the desired interviewee (for
instance, the interviewee is busy, is not at home) the interviewer, according to the instruction,
tried to contact the non-respondent three times. In case of the non-respondent’s flat refusal or
failure to contact him/her for the third time, the interview would mark them as “failed interview”
and the selected interviewees were replaced by others.

The non-response follow-up procedure was described (date & time of each visit, reason for non-
response, etc.) in a specially developed form as a remark for each HH.

The socio-economic survey, as well as the inventory, was conducted from January 2023 to March
2023.The special inventory form and final questionnaire were developed for semi-structured
interviews. The purpose of the socio-economic survey was to obtain and document the baseline




13   https://ssa.moh.gov.ge/statistik.php?lang=1&id=202212070000144333422303&v=0
14   http://crrc.ge/uploads/tinymce/documents/Completed-projects/CRRC_Social_Capital_Briefing_Paper.pdf
                                              Page 21 of 88
Draft version
Georgian State Electrosystem (GSE)                                                            June 2023
Resettlement Action Plan
information about the socio-economic status of the affected population. The collected data was
entered into the Excel spreadsheet and analyzed.


The characteristics specified in this chapter are obtained according to the results of this socio-
economic survey. The SES of 127 PAHs fully (100 %) covers all vulnerable PAHs as well as 50%
of PAPs residing permanently in the affected villages. There are several stages to ensure the
information regarding vulnerable HHs: (1) Before starting the field works, special inventory form
was elaborated for HH survey, which includes the questions about the types of vulnerability.
During the field survey all interviewed HHs were asked for information if there are vulnerable
members in HHs and also if they are aware about the other villagers with vulnerable status. (2) In
addition, the Local Government and the Ministry of IDPs from the Occupied Territories, Labour,
Health and Social Affairs of Georgia was asked to provide the information regarding the vulnerable
HHs under the project impact. (3) After receiving the list of HHs this information was double-
checked with the representative of municipalities in each village under the project impact. After
implementing all these stages, complete information regarding the all the vulnerable categories
under the project impact were obtained, therefore all PAH/HHs who indicated any types of such
impact were 100% covered by SES.


Below is presented the socio-economic information of the affected population, which was obtained
as a result of the census and socio-economic survey.


3.2 Persons Affected by the Project
3.2.1 Demographic Characteristics
The survey covered 508 PAPs from 127 interviewed PAHs. The census of identified households
shows that 51% (259 persons) are women and 49% (249 persons) are men. Average family size is
4 members. Demographic data of affected households are detailed in Table 3.1.

Table 3.1: Demographic Profile of the Population Which Participated In Census

                                               Woman                  Man                  Total
                  Age group
                                          Quantity        %   Quantity       %     Quantity        %

 Children (0-5 years)                         14       5%        4          2%        18         3,5%

 Children (6-17 years old)                    42       16%       37         15%       79        15,6%
 Adults (men aged 18-65 and women
                                             132       51%      167         67%      299        58,9%
 aged 18-60)
 Retirement age (65 years and above for
 men and 60 years and above for               71       27%       41         16%      112        22,0%
 women)
 Total                                       259       100%     249         100%     508        100,0%



                                          Page 22 of 88
Draft version
Georgian State Electrosystem (GSE)                                                            June 2023
Resettlement Action Plan
The socio-economic survey of PAPs over 6 years revealed that 30% of the population has higher
education. 12% Technical / professional, 46% secondary, 10% elementary (see the table 3.2 below).
There is no significant difference in the data between the education levels of women and men,
number of men with high education is around 3 percentage points lower than women, also the
number of men without education is more than 2 percentage points higher than women.

Table 3.2: Education level of the affected population (adults)

                                            Woman                    Man                  Total
                Education
                                     Quantity       %        Quantity       %     Quantity         %

 Without education                      1           0%          2          1%        3            1%

 Preschool                              0           0%          0          0%        0            0%

 Elementary                             0           0%          2          1%        2            0%

 Secondary education                    92        45%          106         51%      198           48%

 Technical / professional               32        16%          28          13%      60            15%

 High education                         78        38%          70          34%      148           36%

 Total                                 203        100%         208         100%     411           100%


Regarding the marital status of adult PAPs, 61 % of the PAPs are married, and 25 % are not
married. Details are given in Table 3.3.

Table 3.3: Marital Status of The Affected Population

                                            Woman                    Man                  Total
           Marital status
                                     Quantity       %        Quantity       %     Quantity         %

 Married                               123        61%          126         61%      249           61%

 Unmarried                             38         19%           64         31%      102           25%

 Divorced                               4           2%          5           2%       9             2%

 Widow                                 38         19%           13          6%       51           12%

 Total                                 203        100%         208         100%     411           100%




                                             Page 23 of 88
Draft version
Georgian State Electrosystem (GSE)                                                           June 2023
Resettlement Action Plan
3.2.2 Socio-Economic Situation of Households
In all 60% of the surveyed households have more than one source of income. Pension is the most
common source of income. The households have the highest monthly income from employment
in the private sector, PAHs receive significant income from money transfer abroad. Some
households receive income from private business. The average monthly income is 657 GEL.




Table 3.4: Source of Income of the Affected Households

                  Sources of income                Quantity of          Average monthly income
                                                     PAHs                       in GEL

 Salary from the public sector                            30                     855

 Salary from the private sector                           26                    1312
 Income from agriculture                                  25                     391

 Pension                                                  79                     447
 Social allowance                                         22                     277
 Financial allowance received from relatives              1                      200

 Private business income                                  6                     1083
 Temporary jobs                                           16                     600

 Money transfers from abroad                              3                     1233
 Other                                                    3                      173

 Average monthly income                                                          657


The basic expenses of an average household in GEL are as follows: The monthly expenditure on
meals or food is approximately 484 GEL, Clothing expenses amount to around GEL 113 per month.
For communal services, including utilities and housing-related expenses, the average monthly
expenditure is 101 GEL. Services expenses, which may include various subscriptions and other
miscellaneous costs, amount to 74 GEL per month. Medicines, including healthcare expenses, have
an average monthly expenditure of 163 GEL. Lastly, education expenses, which encompass
educational fees and related costs, average 217 GEL per month. Transportation costs, covering
travel and commuting expenses, are around 80 GEL per month.


Table 3.5. Expenses
                                                               quantity of     Average monthly
                         Basic expenses
                                                                 PAHs         expenditures in GEL

 meal/food                                                         84                  484

 Clothes                                                           43                  113
                                          Page 24 of 88
Draft version
Georgian State Electrosystem (GSE)                                                       June 2023
Resettlement Action Plan
 communal                                                        64                101

 Services                                                        31                 74

 Medicines                                                       77                163

 Education                                                       19                217

 Transportation                                                  53                 80


More than half of the surveyed households (54%) do not have loans. For the remaining PAHs the
most common way is to borrow money from the banks (40%) (Table 3.6). The PAHs can use several
sources, so the sum of answers distribution is more than 100%.

Table 3.6: Credit consumption by households

                 Credit consumption                Quantity of
                                                                           %
                                                     PAHs
 Has no loan                                              68            54%

 Loan from the bank                                       51            40%

 Loan from a private person                               0               0%
 Loan from a micro-finance organization                   9               7%
3.2.3 Access to Infrastructure
The main source of water for the surveyed households is tap water inside the house and inside the
yard. Some households use their own well (9%). The PAHs can use several sources, so the sum of
answers distribution is more than 100%.

64% of surveyed households use pits for sewage purposes, and 37% use sewage system. Some PAHs
have both sewage systems available.

Table 3.7: Sources of Water Supply and Sewage System
                                               Quantity
      Water supply and sewage system                                  %
                                                PAHs
 Tap water in the yard                            50                  39%
 Tap water inside the house                       118                 93%

 Spring water                                      2                  2%

 Own well                                         11                  9%
 Common use well                                  26                  20%

 Moving water tank                                 0                  0%

 Sewage pit                                       81                  64%

 Central sewage                                   47                  37%




                                          Page 25 of 88
Draft version
Georgian State Electrosystem (GSE)                                                        June 2023
Resettlement Action Plan
Electricity stands as the most accessible energy option, being available to 100% of households.
Following closely is natural gas, which is accessible to 80% of households. Liquid gas is available
to 14% of the PAHs, while wood serves as an energy source for 51% of the households.

Table 3.9: Availability of energy sources

         Energy sources              Quantity         %

 Electricity                           127           100%

 Natural gas                           102           80%

 Liquid gas                            18            14%

 Wood                                  65            51%




                                             Page 26 of 88
Draft version
Georgian State Electrosystem (GSE)                                                                             June 2023
Resettlement Action Plan

4. Legal Framework
4.1. General Overview
The legal and policy framework of the project is based on national legislation and norms related
to Land Acquisition and Settlement (LAR) in Georgia and IFI requirements. Project-related LAR
principles were developed based on the requirements of applicable legal norms and policy analysis.

4.2.1 Georgia Legislation and Regulations Related to Procurement and Accommodation
       In Georgia, the legislative acts given below15 regulate the issues of obtaining State ownership
       rights to privately owned land parcels based on the necessary public needs established due to
       road construction activities:
        (i)        Civil Procedure Code of Georgia.
        (ii)       Law of Georgia on the Procedure for the Expropriation of Property for Pressing
                   Public Needs.
        (iii)      General Administrative Code of Georgia.
        (iv)       Administrative Procedural Code of Georgia;
        (v)        Constitution of Georgia;
        (vi)       Civil Code of Georgia;
        (vii)      Organic law of Georgia on Agricultural Land Ownership Law of Georgia;
        (viii)     Law of Georgia on Recognition of Property Rights of the Parcels of Land Possessed
                   (used) by Natural Persons and Legal Entities under Private Law;
        (ix)       Law of Georgia on the State Property;
        (x)        Law of Georgia on the Public Register;
        (xi)       Law of Georgia on the Improvement of Cadastral Data and the Procedure for
                   Systematic and Sporadic Registration of Rights to Plots of Land;
        (xii)      Tax Code of Georgia;
        (xiii)     Law of Georgia on the Entrepreneurship;


Overall, the above laws/regulations provide that the principle of compensation at full replacement
cost is reasonable and legally supported. The laws also identify the types of damages eligible for
compensation and indicate that compensation is to be given both for loss of physical assets and for
the loss of income. Finally, these laws place strong emphasis on consultation and notification to
ensure that the APs participate in the process. Income loss due to loss of harvest and business
closure will be compensated to cover net loss. The above-listed laws and regulations allow for the
application of the following legal mechanisms related to property rights:

(i)   Obtaining the right on way without expropriation through the payment of due
compensation (on the basis of a contract or agreement) prior to commencement of the activities.
(ii)       The Law of Georgia ‘On the Rules for Expropriation of Ownership for Necessary Public
Need’ allows expropriation which gives the possibility of obtaining permanent right to land and/or
other real estate property on the basis of Eminent Domain Law and a court decision through the




15For the purposes of this LARP, the versions of the legislative acts are deemed those that are valid by the time of
preparation of this LARP
                                                    Page 27 of 88
Draft version
Georgian State Electrosystem (GSE)                                                             June 2023
Resettlement Action Plan
payment of due compensation. Additionally, Civil Code (articles 180 and 247) regulates The Right
of Way of Necessity and Easement right which is granted by the court decision.

4.2.2 Lenders’ Policies
The Lenders’ Policies that are relevant to land acquisition and compensation are as follows:

•    E&S standards of the WB Group (WB ESS) within the framework of donor harmonisation
     (Paris Declaration).

Specific World Bank requirements concerning resettlement are contained in the ESS5 on
Involuntary Resettlement that is based on the following principles:

•    To avoid involuntary resettlement or, when unavoidable, minimize involuntary resettlement
     by exploring project design alternatives.
•    To avoid forced eviction.
•    To mitigate unavoidable adverse social and economic impacts from land acquisition or
     restrictions on land use by: (a) providing timely compensation for loss of assets at replacement
     cost and (b) assisting displaced persons in their efforts to improve, or at least restore, their
     livelihoods and living standards, in real terms, to pre-displacement levels or to levels prevailing
     to the beginning of project implementation, whichever is higher.
•    To improve living conditions of poor or vulnerable persons who are physically displaced,
     through provision of adequate housing, access to services and facilities, and security of tenure.
•    To conceive and execute resettlement activities as sustainable development programs,
     providing sufficient investment resources to enable displaced persons to benefit directly from
     the project, as the nature of the project may warrant.
•    To ensure that resettlement activities are planned and implemented with appropriate
     disclosure of information, meaningful consultation, and participation of affected households.

ESS5 contains the obligation to provide support and assistance in the course of the compensation
and resettlement process, during and following the resettlement process.
Assistance during the compensation and resettlement process shall include:
•        Assistance during the relocation of personal belongings.
•        Maintenance, transport, and/or sale of materials from the old facility.
•        Transport of household members with medical assistance where required; and
•        Assistance with the entering into possession of new real property.
As part of the quoted World Bank Policy, particular attention is paid to vulnerable groups of the
population. These are groups of people who, under the impact of the Project, by virtue of gender,
ethnicity, age, physical or mental disability, economic status, or social status may be more
adversely affected by resettlement caused by the Project than other population groups, or who
may be limited in their ability to claim or take advantage of resettlement assistance.
The following categories of persons will be eligible for different types of mitigation measures under
the elaborated RAP:
a)       Persons who have legal formal rights to land (including legal title or customary and
statutory rights of occupancy recognized under the Law),

b)       Persons who do not have formal legal rights to land at the time the census begins but have

                                             Page 28 of 88
Draft version
Georgian State Electrosystem (GSE)                                                          June 2023
Resettlement Action Plan
a claim to such land or assets provided that such claims are recognized under the national law or
become recognized through a process identified in the resettlement and compensation plan,

c)       Persons who have no claim to land they are occupying or using.
Persons covered under a) and b) above are to be provided compensation for land they lose, and
other assistance in accordance with the policy. Persons covered under c) above are to be provided
with resettlement assistance instead of compensation for the land they occupy or use, and other
assistance, as necessary, to achieve the objectives set out in this policy, if they occupy or use the
project area prior to a cut-off date established by the appropriate authorities and acceptable to the
WB. All persons included in a), b) or c) above are to be provided with compensation sufficient for
purchasing alternative assets to those that were lost and that are other than land.
The associated facilities will involve land acquisition and economic displacement and could
potentially also require involuntary resettlement. As most of these developments are financed by
international financing institutions, they will apply international policies on land acquisition and
involuntary resettlement, such as EBRD PR5 or similar. Therefore, the eligibility and entitlement
should not differ between the Project and these associated facilities. To avoid substantial gaps in
entitlements and the valuation of unit rates for cash compensation at full replacement cost, each
detailed RAP implemented by the Project will include a review of the compensation rates
established for the associated facilities and coordinate with their developers.




                                           Page 29 of 88
Draft version
  Georgian State Electrosystem (GSE)                                                                    June 2023
  Resettlement Action Plan
  4.2.3 Comparison of Georgian Legislation and WB ESS

  In Georgia, entitlements for payment for the exchange of land are based on registration of
  ownership. However, under the Lenders’ involuntary resettlement policies, affected persons are
  entitled to some form of compensation whether or not they own a registered land title, if they
  occupy or use the land prior to the cut-off date. The focus of the Lenders’ policies is to mitigate
  the adverse impacts of poverty, where any adverse impacts occurring are directly or indirectly
  attributable to activities funded by the project. In cases where PAP have no ownership or tenure
  rights according to Georgian law due to lack of registration, the provisions of the Lenders’
  requirements will be applied in terms of their rights for compensation, consultation, and grievance
  mechanisms. Where there is a difference between the compensation requirements of the laws of
  Georgia and Lenders’ requirements, the more beneficial to the affected people, will be employed
  in order for the Lenders to support and fund the project.

  Table below provides an analysis of the differences between Georgian Laws and Lenders’
  requirements.

  Table 4.1: Comparison of Georgian laws/norms and Lender’s policy

     Issue         Georgia laws and regulations         WB land acquisition, involuntary       Measures taken by the
                                                         resettlement and livelihood            GSE to Bridge Gaps
                                                           restoration requirements            Between Georgian law
                                                                                                   and Lenders’
                                                                                                   requirements
Resettlement      As per the Law of Georgia on         Development of a resettlement and      RAP will be prepared for
Planning          the Rules for Expropriation of       land acquisition plan or framework     each project (see Section
                  Ownership for Necessary              is obligatory for involuntary          8)
                  Public Need, the State of            resettlement. The process includes a   The RAP should include
                  Georgia has a constitutional         socioeconomic survey with gender       meaningful consultation
                  right to carry out acquisition       disaggregated data and a               with PAP (see Section 9),
                  of property through                  vulnerability assessment.              socio-economic surveys
                  expropriation (Clause 21).           Lenders require that measures are      and consideration of
                  The preparation of a RAP             taken to address the needs of          vulnerability (see Section
                  (including socio-economic            female-headed households and that      3)
                  survey, census of the                both men and women can access
                  population affected by the           compensation and assistance.
                  project, monitoring and
                  reporting of the process) is not
                  required by Georgian
                  legislation.
Displacement      Does not specifically call for       Actively seek to avoid displacement    The Project will seek to
avoidance         avoidance of displacement            by exploring project and design        avoid physical and
                  whenever possible.                   alternatives to minimise adverse       economic displacement
                                                       impacts. Where not possible to         or minimise these if
                                                       avoid or minimise all displacement     avoidance is not possible.
                                                       impacts, a project must identify
                                                       mitigation measures.
Eligibility       Compensation only required           Lack of formal ownership does not      See Section 4.3
                  for registered land owners or        preclude compensation to bona fide     Displaced persons
                  others with rights recognised        occupants or affected parties.         without titles to land or
                  by law. If land registrations                                               any recognizable legal

                                                     Page 30 of 88
  Draft version
 Georgian State Electrosystem (GSE)                                                                       June 2023
 Resettlement Action Plan
    Issue         Georgia laws and regulations        WB land acquisition, involuntary          Measures taken by the
                                                       resettlement and livelihood               GSE to Bridge Gaps
                                                         restoration requirements               Between Georgian law
                                                                                                    and Lenders’
                                                                                                    requirements
                 are in the process of being         Displaced persons without titles to       rights to land are eligible
                 issued, compensation can be         land or any recognizable legal rights     for resettlement
                 paid after completion of the        to land are eligible for resettlement     assistance and
                 regularisation process.             assistance and compensation for loss      compensation for loss of
                                                     of non-land assets.                       non-land assets at
                                                                                               replacement cost.
Compensation     Article 19.3 of the                 Land-for-land to be preferred in          Cash compensation
for land         Constitution allows the             land-based economies, Cash                agreements will be based
                 expropriation of the private        compensation is only acceptable if        on full replacement cost.
                 ownership only according to         land for land is not feasible and if
                 the Court Decision on basis of      loss of land does not undermine the
                 the appropriate and fair            livelihoods of PAPs.
                 reimbursement.                      Community assets to be
                 Cash payment to individuals is      compensated at community level.
                 the usual option, but land-for-     Cash compensation based on
                 land compensation may be            replacement cost and technical
                 made with owner’s agreement.        assistance and monitoring provided
                 No community level                  to ensure cash compensation is used
                 compensation measures are           appropriately and livelihood
                 specifically required, although     restoration is completed. In cases
                 compensation for community-         where affected persons reject
                 owned and – registered lands        compensation offers that meet
                 would presumably be                 Lenders’ requirements and, as a
                 required.                           result, expropriation or other legal
                                                     procedures are initiated, the Project
                                                     owner will explore opportunities to
                                                     cooperate with the responsible
                                                     government authority, and if
                                                     permitted by the authority, play an
                                                     active role in the resettlement
                                                     planning, implementation and
                                                     monitoring
                                                     Timing of compensation: The
                                                     Project owner should promptly
                                                     compensate economically displaced
                                                     persons for loss of assets or access to
                                                     assets. This process should be
                                                     initiated prior to displacement.
                                                     Where compensation is to be paid
                                                     by a responsible government
                                                     agency, the Project should
                                                     collaborate with the agency to help
                                                     accelerate the payments
Complaints       Article 42 of the Constitution      There must be an independent              The GSE had established
and              protects citizens and               objective appeal mechanism that is        a transparent and
grievances       encourages appealing to the         open to the public and reported           accessible grievance
                 court for protection of their       openly.                                   mechanism for PAPs to


                                                   Page 31 of 88
 Draft version
 Georgian State Electrosystem (GSE)                                                                      June 2023
 Resettlement Action Plan
    Issue         Georgia laws and regulations        WB land acquisition, involuntary          Measures taken by the
                                                       resettlement and livelihood               GSE to Bridge Gaps
                                                         restoration requirements               Between Georgian law
                                                                                                    and Lenders’
                                                                                                    requirements
                 rights and freedom in any           The Project owner should establish        use throughout the land
                 claim dispute.                      a grievance mechanism as early as         acquisition process.
                 In case of dispute over             possible in the process to receive/       See Grievance
                 expropriated land value, both       address in a timely manner the            Resolution Mechanism
                 the landowner and GSE can           concerns related to physical/             presented in GSE
                 bring a lawsuit.                    economic displacement.                    Stakeholders
                 Only the regional court has                                                   Engagement Plan
                 authority to decide disputes
                 over land value and
                 compensation.
                 The Georgian legislation does
                 not necessitate setting up a
                 grievance mechanism for the
                 affected people and businesses,
                 though there is a 30-day
                 period in which the list of
                 affected assets can be rejected
                 in the case of a material
                 mistake in the case of
                 customarily owned lands
Consultation     No requirement for                  All affected and impacted people          See Sections 9 and 10
with PAP to      consultation with affected          must be consulted prior to                All impacted people will
be               parties.                            agreements. Compensation must be          be consulted prior to
compensated                                          agreed prior to handover of assets        agreements.
                                                     and prior to civil works                  Compensation will be
                                                     commencing in affected area.              agreed prior to handover
                                                                                               of assets and prior to
                                                                                               civil works commencing
                                                                                               in affected area.
Livelihood       No provisions for livelihood        Requires that affected people be in       The RAPs will assess if
Restoration      restoration.                        equal or better socioeconomic             there is a need for
                                                     condition as a result of the project      livelihood restoration
                                                     activities.                               measures to restore or
                                                     The Project owner must provide            improve the
                                                     assistance that will offset any loss of   socioeconomic
                                                     a community’s commonly held               conditions of the
                                                     resources.                                affected people. It this
                                                                                               need is identified,
                                                                                               livelihood restoration
                                                                                               measures will be defined
                                                                                               and implemented.
                                                                                               See section 6
Livelihood       No requirement for                  Proper monitoring, evaluation and         Compensation and
restoration      monitoring of compensation          reporting of livelihood restoration       livelihood restoration
mitigation/      measures.                           mitigation measures are required.         will be monitored during
monitoring                                                                                     project implementation
                                                                                               via internal and external
                                                                                               monitoring, completion
                                                   Page 32 of 88
 Draft version
 Georgian State Electrosystem (GSE)                                                                  June 2023
 Resettlement Action Plan
    Issue         Georgia laws and regulations        WB land acquisition, involuntary      Measures taken by the
                                                       resettlement and livelihood           GSE to Bridge Gaps
                                                         restoration requirements           Between Georgian law
                                                                                                and Lenders’
                                                                                                requirements
                                                                                           report and independent
                                                                                           audits.
                                                                                           See section 12
Vulnerable       No specific provision.              Vulnerable people who warrant         The RAPs will define
People                                               specific assistance must be           vulnerability criteria and
                                                     identified and supported              identify affected
                                                     throughout the resettlement           vulnerable persons (see
                                                     compensation process. Lenders         Section 9)
                                                     require that measures are provided    Affected households
                                                     to enable poor and vulnerable         categorized as vulnerable
                                                     people (including women) who are      will receive specific
                                                     physically displaced or affected by   assistance (see Section 6)
                                                     economic displacement to improve
                                                     their incomes to at least national
                                                     minimum standards.
Public           No direct provision for public      Public consultation and               See Section 10
consultation     consultation in Georgian laws       participation of affected people      Consultation with key
and              pertaining to land acquisition,     required throughout project process   stakeholders and PAPs
disclosure       but there are information and       from planning through                 regarding resettlement
                 disclosure requirements.            implementation, including public      aims for a participatory
                                                     notifications of activities and       approach.
                                                     consideration of the needs of         Vulnerable groups were
                                                     vulnerable groups. Resettlement       considered in the
                                                     documentation should be disclosed.    implementation of
                                                                                           consultation activities.
                                                                                           Resettlement
                                                                                           documentation will be
                                                                                           disclosed.
Monitoring       No requirement.                     Monitoring and evaluation to be       See Section 12
and                                                  clearly defined in the resettlement   Internal and external
evaluation                                           planning instrument. Monitoring       monitoring are defined
                                                     and evaluation to confirm             by the LARCF.
                                                     attainment of equal or better         Completion reports, and
                                                     conditions than pre-project or        external completion
                                                     recommend measures to attain          audits will assess if the
                                                     those conditions.                     objectives of the LARCF
                                                     External monitoring for projects      have been achieved. If
                                                     classified as high social risk.       this is not the case,
                                                                                           corrective actions will be
                                                                                           defined and
                                                                                           implemented.

 To reconcile the gaps between Georgia laws/regulations and WB Policy, GSE has prepared the
 Resettlement Policy Framework and this RAP, for the Project, ensuring compensation at full
 replacement cost of all items, the rehabilitation of informal settlers, and the provision of subsidies
 or allowances for the PAHs to be relocated, suffer business losses, or those severely affected.

                                                   Page 33 of 88
 Draft version
Georgian State Electrosystem (GSE)                                                          June 2023
Resettlement Action Plan
4.3. Eligibility for Compensation and Eligibility Matrix
4.3.1 Eligibility
PAPs entitled for compensation or at least rehabilitation provisions under the Project are:

(i)      All PAPs losing land are either covered by legal title/traditional land rights, Legalizable,
or without legal status.
(ii)     Tenants and sharecroppers whether registered or not.
(iii)    Owners of buildings, crops, plants, or other objects attached to the land; and
(iv)     (iv) PAPs losing business, income, and salaries

Compensation eligibility is limited by the cut-off date. In the initial stages of land registration,
PAPs were provided with details about the significance of the cut-off date, including its essential
aspects and the methods through which its announcement would be carried out.For this RAP cut-
off date was established as January 23, 2023. It was clearly communicated to the PAPs during the
public consultations conducted in each municipality on 23-24 January 2023, with the participation
of representatives of GSE and Aligator LTD, the residents of the Project affected villages in
Dedalauri Community of Khoni Municipality, Jvari and Maglki communities of Tskaltubo
Municipality and Sachino community of Tsalenjikha Municipality.

Persons who settle in the project area after this date will not receive compensation, although they
will be notified in advance to vacate their residences and dismantle the affected structures before
the project is implemented. The materials of the dismantled buildings will not be subject to
confiscation, and these persons will not be subject to any fines or sanctions.

4.3.2 Determination of Entitlements
The Land Acquisition and Resettlement process started in 2019 for the Project and was conducted
in two phases.

Phase 1 consisted in the assistance to registration of land plots in the RoW of the Project and
establishment of the organizational processes for the land acquisition and resettlement process in
accordance with the Project Resettlement Policy Framework (RPF) and WB requirements. This
process included assistance to landowners within the identified Right of Way of the Project lines,
based on existing Feasibility Study and Preliminary Designs of the Overhead Lines to complete
registration of their properties. Local municipality, Ministry of Justice, National Agency of Public
Registry were involved in this process. Public consultations were held several times and as a result,
all the effort was made to identify and reach all the PAHs.

Phase 2 consists of preparation and implementation of Resettlement Action Plan (“RAP”), in
compliance with WB ESS requirements and the Project RPF. The RAP is based on the Detailed
Design studies which were completed in 2022.

Entitlement provisions for PAPs losing land, houses, and income and rehabilitation subsidies will
include provisions for permanent or temporary land losses, buildings losses, crops and trees losses,
a relocation subsidy, and a business losses allowance based on tax declarations and/or existing
minimum market rates. These entitlements are detailed below:



                                            Page 34 of 88
Draft version
  Georgian State Electrosystem (GSE)                                                                      June 2023
  Resettlement Action Plan
  Agricultural and Non-agricultural land: Titled settlers will be compensated at full replacement
  cost free of depreciation. Legalizable settlers will be legalized, registered in NAPR and
  compensated as titled PAPs. Non-titled landowners with non-legalizable land will be compensated
  with one-time self-relocation allowances in cash equal to 1 year of minimum salary in case the
  land that they lose is the only land plot used and provides main source of income for PAH. In case
  of absentee owners, the compensation amount for their affected assets will be allocated to an
  escrow account and be readily available when the absentee owner reappears.

  •    Houses, buildings, and auxiliary structures (fences, toilets, etc.): will be compensated in cash
       at full replacement cost free of deductions for depreciation, and transaction costs irrespective
       of the registration status of the affected land. Construction materials remaining after the
       demolition of the structures will be deemed as ownership of the PAH.
  •    Trees: Cash compensation at replacement value based on type, age and productivity of trees.
  •    Loss of wages/employment: if an employee loses their wages due to the project interventions,
       they will be compensated in the form of assistance equivalent to 3 months of minimum salary.
  •    Relocation/Shifting Allowance: APs forced to relocate will receive a relocation subsidy.
       sufficient to cover transport costs and living expenses for 3 months.
  •    Vulnerable people Livelihood: Vulnerable PAH (below poverty line, women headed or with
       members with disabilities or pensioners) will receive an allowance equivalent to 3 months of
       minimum salary and will be prioritized for employment in scopes of the project.

  4.3.2 Compensation Eligibility Matrix

  Project tasks will be carried out according to the authority and authority structure for
  compensation, in accordance with Georgian laws and WB policies. A summary of the
  authorization form is presented in Table 4.2 below which defines the categories of affected people
  eligible for compensation and other resettlement assistance and their entitlements. It should be
  noted that due to the nature of the impact not all the entitlement will be materialized within the
  project.

  Table 4.2: Entitlement Matrix
Type of Loss            Application       Definition of PAPs      Compensation Entitlements

                                                      Land
Permanent loss of       PAPs              Registered owner        Registered owner will receive cash compensation
agricultural land       permanently                               at full replacement cost at current market value
(e.g.tower footprint,   losing land                               without deduction of transaction fees.
enhancement of          regardless of                             If residual plot becomes unusable the GSE will
access roads)           impact severity                           acquire it in full if the PAP so desires.
                                          Legalizable owner       These PAPs will be assisted to legalize their land
                                                                  right and then will be provided with cash
                                                                  compensation at full replacement cost of land.
                                                                  If residual plot becomes unusable the GSE will
                                                                  acquire it in full if the PAP accepts.
                                          Renters / Leaseholder   Non-eligible for land compensation; only for
                                                                  other losses of assets indicated in the Entitlement
                                                                  Matrix will be compensated.
                                          Non-legalizable owner   Non‐legalizable PAPs losing arable land plot,
                                                                  without any formal legal right to it will not be

                                                 Page 35 of 88
  Draft version
  Georgian State Electrosystem (GSE)                                                                           June 2023
  Resettlement Action Plan
Type of Loss            Application          Definition of PAPs       Compensation Entitlements
                                                                      compensated for the land itself but will be
                                                                      eligible for compensation on the assets sitting on
                                                                      the land (e.g. structures, productive trees, crops).
                                             Agricultural tenants     These PAPs will receive a rental allowance in
                                             and sharecroppers        cash for 3 months + assistance to identify and
                                                                      rent or ease a replacement property
Permanent loss of       PAPs                 Registered owner         Registered owner will receive cash compensation
non-agricultural land   permanently                                   at full replacement cost at market value without
(residential-           losing non-                                   transaction fees.
commercial)             arable land          Legalizable owner        These PAPs will receive cash compensation as
                        regardless of                                 legalized owners after their title will be legalized
                        impact severity                               and registered at the public register.
                                             Renters/ Leaseholder     Non-eligible for land compensation; only for
                                                                      other losses indicated in the Entitlement Matrix
                                                                      will be compensated.
                                             Non-legalizable owner    Non‐legalizable PAPs losing agricultural land
                                                                      plot, without any formal legal right to it will not
                                                                      be compensated for the land itself but will be
                                                                      eligible for compensation on the assets sitting on
                                                                      the land (e.g. structures, productive trees, crops).
                                             Agricultural tenants     Non-eligible for land compensation; only for
                                             and sharecroppers        other losses indicated in the Entitlement Matrix
                                                                      will be compensated.
Permanent               PAPs not losing      Registered owner         These PAPs will receive a lump sum easement
restrictions on use     their land falling                            fee. Such a fee is established on base an
land (e.g. easement     within RoW but                                independent valuation expert.
for transmission line   land use             Legalizable owner        These PAPs will be legalized and the owner will
Right of Way)           restrictions                                  receive easement fee determined by an
                        imposed                                       independent valuation expert.
                        (prohibition of
                        constructing         Non-legalizable user     Non-eligible for easement fee for land‐use
                        structures and                                restriction; only for other losses of assets
                        planting/growing                              indicated in the Entitlement Matrix will be
                        trees)                                        compensated.
                                             Agricultural tenants     Non-eligible for land compensation; only for
                                             and sharecroppers        other losses indicated in the Entitlement Matrix
                                                                      will be compensated.
Temporary use of        Lease of land for    All PAPs                 Contractor will lease land required temporarily
land during             project purposes                              during construction on voluntary basis for at least
construction            (e.g. camps,                                  one year. Landowner will have right to refuse the
                        storage, access                               offer. Lease rates to be paid should not be less
                        road, working                                 than lease at current market rates, plus
                        space)                                        compensation for any loss of crops or trees.
                                                                      Reimbursement of harvest will be made for the
                                                                      same period as the missed season on the affected
                                                                      lands. Affected trees and crops will be
                                                                      compensated in cash according to RAP fees. It is
                                                                      also required that lands (or other assets) be fully
                                                                      cleared and restored following use.
                                                Buildings and Structures




                                                     Page 36 of 88
  Draft version
  Georgian State Electrosystem (GSE)                                                                          June 2023
  Resettlement Action Plan
Type of Loss             Application         Definition of PAPs      Compensation Entitlements
Loss of residential      PAPS losing         Registered owner        In addition of compensation for loss of land,
buildings                residential                                 PAPs will receive compensation and replacement
                         building within                             value (without depreciation) for the house and
                         the Right of Way                            will be offered to be provided with resettlement
                                                                     assistance to ensure that the PAPs are relocated
                                                                     to a new house with access to services and
                                                                     security of tenure.
                                             Legalizable owner       The buildings of these PAPs will be legalized and
                                                                     in addition to compensation for loss of land,
                                                                     PAPs will receive compensation and replacement
                                                                     value for the house and will be offered to be
                                                                     provided with resettlement assistance to ensure
                                                                     that the PAPs are relocated in a new house with
                                                                     access to services and security of tenure.
                                             Renter/ Leaseholder     Non-eligible for compensation for the house. The
                                                                     PAPs will be informed well in advance of
                                                                     requirement to move and will receive the
                                                                     equivalent of 3 (three) months’ rent and support
                                                                     to transport belongings to new location.
                                             Non-legalizable user    If the building was built and is occupied by the
                                                                     PAP, the building is eligible for compensation at
                                                                     full replacement cost plus support to transport
                                                                     belongings to a new location.
                                                                     If the building was not built by the PAP, PAP
                                                                     will be notified well in advance (at least three
                                                                     months) and will receive three months’ rent for a
                                                                     similar dwelling and assistance to moving their
                                                                     belongings to new location.

Loss of non-             PAPs having         Registered owner        Compensation at full replacement cost for lost
residential structures   non-residential                             structures, in addition to compensation for loss of
(e.g. sheds, barns,      structure within                            land.
fences,)                 the Right of Way    Legalizable owner       These PAPs will be legalized and then will
                                                                     receive compensation at full replacement cost for
                                                                     lost structures, in addition to compensation for
                                                                     loss of land
                                             Renter/Leaseholder      Non-eligible for compensation of the non-
                                                                     residential structure they are renting, but eligible
                                                                     for affected ancillary structures they have built or
                                                                     own.
                                             Non-legalizable user    Eligible for compensation at full replacement cost
                                                                     of all structures built by the non-legalizable user.


                                Community Infrastructure/Common Property Resources
Loss of common           Community/          Community/              Reconstruction of the lost structure or
property and/or          Public assets       Government              reestablishment of lands temporarily used, in
resources                                                            consultation with community and restoration of
                                                                     their functions
Graves and               Graves located in   Families of the         Payment for relocation of the graves, and any
cemeteries               the footprints of   deceased                costs associated with ceremonies to be agreed
                         the permanent                               with the affected people.
                         structures
                         (towers,
                         substations)



                                                     Page 37 of 88
  Draft version
  Georgian State Electrosystem (GSE)                                                                              June 2023
  Resettlement Action Plan
Type of Loss              Application           Definition of PAPs        Compensation Entitlements
                          (if not possible to
                          avoid)
                                                   Income and Livelihood
Crops                     Removal of            All PAPs regardless of    When possible, PAPs will be given enough time
                          standing crops        legal status (including   to harvest existing crops. Crop compensation will
                          or loss of            registered owners,        be paid at gross market value of actual or
                          planned crop          legalizable, non‐         expected harvest. Compensation for this item will
                          incomes               legalizable users,        be provided in case of non-standing crops and
                                                renters and               even if the crops were harvested.
                                                sharecroppers)

Trees                     Removal of            All PAPs regardless of    Registered and legalizable owners will be
                          trees from the        legal status (including   compensation at full replacement cost:
                          Right of Way          registered owners,        compensation at market rate on the basis of type,
                                                legalizable, non‐         age, market price of product and the productive
                                                legalizable users, and    life of the trees.
                                                renters)                  non‐ legalizable users, and renters will be
                                                                          compensated if these trees are planted by them.

Business/Employment       Business/             Business owner            (i) (permanent impact) cash indemnity of one-
                          Employment loss                                 year net income; (ii) (temporary impact) cash
                          (entire Right of                                indemnity of net income for months of business
                          Way, where                                      stoppage (up to maximum 12 months).
                          deployment of                                   Assessment to be based on tax declaration or, in
                          business                                        its absence, minimum subsistence income wage
                          structures is                                   for average consumer.
                          prohibited)
                                                Workers/employees         Indemnity for lost wages equal to Six-month
                                                                          subsistence wage for an average consumer.

Loss of access to         Affected              All affected households   Loss of access to communal resources, such as
communal natural          community             traditionally using the   logging areas and pastures, will be mitigated by
resources                 members               lost resources            restoring access to those resource areas as soon as
                                                                          practicable.

Temporary loss of         Loss of access or     Land owners and/or        Alternative temporary access will be set up by
income or mean of         interruption of       land users, business      the Design and Build Contractors
livelihood due to loss    access to land        owners
of access to land or to   parcel or
businesses because of     business
temporary project         activities
activities during
construction
                                                 Specific assistance measures
Severe impacts            10% or more of        PAPs permanently          Additional allowance equivalent to market value
                          permanent loss        losing (e.g., due to      of two-year yield from affected land or
                          of productive         tower footprints)         compensation for Six-month subsistence wage for
                          lands                 10% and more than         an average consumer (whichever is greater).
                                                10% of affected           Specific livelihood restoration measures to be
                                                agricultural land         defined in the Resettlement Action Plan.
                                                (including registered
                                                owners, legalizable and
                                                non‐legalizable users,
                                                Renters are not
                                                eligible)



                                                        Page 38 of 88
  Draft version
  Georgian State Electrosystem (GSE)                                                                            June 2023
  Resettlement Action Plan
Type of Loss              Application          Definition of PAPs        Compensation Entitlements
Physical                  Transport/           All PAPs to be            Physically Displaced households are eligible for
displacement/             transition costs     physically relocated      an allowance covering transport expenses and
Transportation of                              (including registered     livelihood expenses for the transitional period
personal belongings                            owners, legalizable,      equal to Six-month subsistence wage for an
to new location (new                           non‐ legalizable users,   average consumer.
house)                                         and renters)

Vulnerable people         Impact on            Economically              One-time allowance equal to subsistence
allowance                 vulnerable           Disadvantaged (under      minimum unit rate for three-month period and
                          people               poverty line) PAHs,       employment priority in project-related jobs for
                                               single women headed       capable members of all vulnerable households
                                               household, Persons
                                               with Disabilities or
                                               elderly (as defined in
                                               each RAP)
                          This applies to
                          damage caused
                          due to
                          construction
Extension of
                          contractor’s
construction period
                          failure to comply
due to the
                          with its
construction
                          contractual                                    Compensation for such damages during
company’s failure to
                          obligations and                                construction and extension of construction
complete on time or                            All PAPs
                          normal good                                    period due to the constructor is a contractor’s
damages during
                          practice, such as,                             responsibility. Compensation will be assessed and
rehabilitation works
                          for example, the                               paid per procedures and rates of the RAP.
caused by
                          unintentional
construction
                          destruction of
contractor’s activities
                          assets situated on
                          the property
                          outside the
                          ROW.
Tax liabilities, registration and financial transaction related costs caused by the project implementation will be covered
by the project and included in the accounting. Compensation will be provided in net, as determined by an independent
and licensed valuator, following the principles and methodology of international valuation standard, and elaborated in
formulas in respective RAP. No tax deductions will be applied to the compensation amount. In the event that taxes apply
to the compensation amount, the appropriate tax amount will be topped up and covered by the project.




                                                       Page 39 of 88
  Draft version
Georgian State Electrosystem (GSE)                                                             June 2023
Resettlement Action Plan

5. Valuation Methodology
This section describes the methodology that will be followed to determine compensation rates for
property losses. This section only addresses the valuation of lost assets. The valuation of affected
assets and establishment of compensation unit rate have been undertaken by an independent
accredited valuator, following International Valuation Standards (IVS). Assets have been evalued
at replacement cost based on the average market value. The independent valuator has considered
the principles described hereafter. Compensation for all land use and assets in cash, as guided by
the entitlement matrix, is required for: Land that is used temporarily or permanently, land with
restrictions on future use, residential buildings, structures, cultivated crops, perennial crops, fruit
trees or timber trees, businesses (formal or informal) and loss of wages.

5.1 Valuation and Compensation Calculation Methodology for Land Plots
    5.1.1 Valuation of Land

•    The value of the land plots affected by the Project has been determined by market or sales
     comparison approach that valuate the object in comparison to available valuation of other
     objects (for example, land acquisition is done, the land was recently sold or have been
     advertised for sale).
•    The Market or Sales Comparison Approach values a land plot in comparison to the market value
     of other lands that have recently been sold or have been declared for sale. In accordance with
     this standard, a consistent approach was applied to determine the market value of land to be
     acquired: Market data of land sales, similar to the one to be valued, have been collected and
     analyzed. The market has been studied in detail, through obtaining reliable information on the
     factors affecting the cost of land to be valued. The relative unit of comparison was determined,
     the comparative analysis was made and the market value of the land to be acquired was
     determined.
•    The difference between the established market values is caused by the location, area,
     accessibility, proximity to settlements, and utility proximity to the land plots to be evaluated.
     Accordingly, land plots located close to roads and utilities, and characterized by easy access
     have a higher value than land plots located away from roads, settlements, and utilities, in hard-
     to-reach locations. We also clarify that the market value of the land plots located in the same
     village, at the same location, for example, can vary significantly due to differences in the
     physical characteristics of the plot. The difference between the prices of the plots located in the
     neighboring villages is caused not only by the difference in their physical characteristics, but
     also by the difference in the prices of the plots put up for sale and alienable plots.



5.2 Valuation of Structures.

Full replacement cost of houses, commercial buildings and other structures (for example, barn,
fences, summer-house and other auxiliary constructions, outdoor kitchens, cattle-shed or others)
will be determined based on construction type, cost of materials, transportation, types of
construction, land preparation, labour, and other costs at current rates. The value identified is the

                                              Page 40 of 88
Draft version
Georgian State Electrosystem (GSE)                                                         June 2023
Resettlement Action Plan
value necessary for the construction of a comparable building or structure, i.e. the cost today for
the construction of a building of similar parameters. No deduction for depreciation will be applied.
The detailed methodology for determining valuations and compensation rates is included in Annex
4.



5.3 Valuation Method of Annual Crops

The market value of annual crops was determined as the net market rates at the farm gate for the
first-year crop. In the event that more than one year’s compensation is due to the PAPs, the crops
after the first year will be compensated at gross market value.



5.4 Valuation Method of Fruit-bearing Trees

Fruit trees will be compensated differently if they are productive or yet to become productive.
Productive trees will be compensated based on the future income lost for the years needed to re-
grow a tree to the same age/production potential at which it was cut. Productive trees will be
compensated based on the price of a seedling plus the income of the productive tree for the years
needed to grow from the one-year seedling. The price of the seedling also includes the cost of
fertilizers, water and other expenses.




                                           Page 41 of 88
Draft version
Georgian State Electrosystem (GSE)                                                             June 2023
Resettlement Action Plan

6. Livelihood Restoration
6.1 Livelihood Impacts and Associated Monitoring
Permanent land acquisition for towers involves small pieces of land and usually in similar projects,
landowners experience no impact to their livelihoods. Restrictions to the corridor can involve
impacts to livelihoods in orchard-based agriculture, which is not the case here. In transmission
line projects, livelihood impacts in rural areas are typically associated with the following
components:

    •    Any physical displacement that either the towers or the restrictions in the line corridor
         may entail.

It is also useful to mention that none of the PAPs that were interviewed in socio-economic surveys
or that participated in public meetings mentioned that they would require support in restoring
affected livelihoods. During the RAP implementation and preparation of Completion Report the
socio-economic conditions of PAPs will be double-checked and if the living conditions of HHs
will be in worse as before project started, additional livelihood restoration measures will be
elaborated based on PAPs needs and the approach listed below.

As a result, no livelihood restoration impacts are envisioned, and no specific livelihood restoration
activities are planned apart from the specific provided by the compensation entitlement matrix.
However, on-going monitoring of PAPs will allow to detect any adverse impact to livelihoods
should such be experienced, and ad-hoc support would then be provided. This could include one
of the following activities:

    •    Support to identification of alternative agricultural land;
    •    Support to transaction and to registration of new land;
    •    Technical agricultural support;
    •    Financial and legal advice to help PAPs in investing their compensation in a longterm
         perspective rather than contributing to a household boom and bust, caused by spending
         the compensation payment in an unplanned manner.

Only four households will lose more than 10% of their productive land and will be compensated
accordingly. Usually, based on the experience of similar projects in Georgia, the population has
strong preference for monetary compensation. This may be explained by the fact that for small
parts of their land plots, it is unfeasible to find or use a similar or slightly larger land plot. Also,
land market is not developed in the target communities, so purchasing similar land for
compensation can’t be arranged. Finally, as the unit price per sq.m. is adequate, people like to
generate monetary income either from land sales (usually, around 200-250 sq. m. for erecting a
tower) or easement (for land under the cables).

In regards of natural resource use, it was checked with representatives of local municipalities that
the Project will not impede any use of forest or other natural resources that might entail livelihood
impacts.

If new circumstances emerge during the RAP implementation affecting livelihood, specific
measures will be applied. This might be the case in situations where:
                                            Page 42 of 88
Draft version
Georgian State Electrosystem (GSE)                                                        June 2023
Resettlement Action Plan
    •    Collective customary right of use cannot be legally recognized on some areas of land, such
         as some grazing areas in remote mountainous areas; or
    •    Where significant livelihood impacts appear in regards of permanent or temporary land
         take (e.g., towers, areas dedicated to construction).




                                           Page 43 of 88
Draft version
Georgian State Electrosystem (GSE)                                                         June 2023
Resettlement Action Plan

7. Institutional Arrangements
7.1 Introduction

The Georgian State Electrosystem (GSE) is the implementing agency (IA) for the Project. GSE is
responsible for OHL construction as well as land acquisition and resettlement of the PAPs.

GSE is assisted by a number of other government departments and private agencies in the design,
construction and operation of the Project. Pursuant to the active legislation, the National Agency
of Public Registry (NAPR) within the Ministry of Justice is in charge of the recognition of
ownership rights of rightful owners and registration of ownership rights. The local NAPRs are
also responsible for registration of ownership rights to land plots the GSE acquires from
landowners on the basis of relevant sales agreements. The local governments at municipal levels
are involved in the legalization of land plots, land acquisition and resettlement. The Ministry of
Environmental and Natural Resources Protection is responsible for environmental issues.

Various features/sections of the OHL Project are located in the following municipalities:
Tsalenjikha, Martvili, Khoni, Tskhaltubo. All corresponding Sakrebulo, Mayors Territorial
Registration Offices will be involved in LAR. Local Sakrebulos and Representative of mayor in
villages are involved for local level LAR activities.

7.2 Land Registration Organizations

The National Agency of Public Registry (NAPR) plays an important role both, in developing and
realizing the resettlement action plan. At the stage of developing the resettlement action plan,
when the land owners/users are identified and their property rights are specified, the documents
proving the property are to be obtained. Some of these documents (books of homesteads and the
like) were kept with the archives in the past. At present, the regional archives are at the disposal
of the territorial registration offices of the National Agency of Public Registry. The materials
preserved with the archives of the territorial registration offices are an important source for the
owners who have to legalize their rights to property, but have no full supporting documentation
at hand, to obtain the documents proving their land property rights. The role of the National
Agency of Public Registry in realizing the resettlement action plan is even more important, as
under the Law of Georgia ―On Public Registry, the National Agency of Public Registry is the
registering body discharging the public and legal authorization set forth by the law, which
registers the property right of the lands of the affected persons (PAPs) (termed as the Primary
registration’ as per the resettlement action plan terminology) and registering the legal act of
transferring the property right from the owner to the state (‘Secondary registration’).

7.3 Village and Self-governing Unit

The self-governing unit is the executive branch of self-government headed by Representative of
Mayor. The representative of mayor has the primary role in the process of legalization and
registration of land plots. Representative of mayor confirms ownership of affected land plots,
parameters of land plots and endorses the cadastral maps and related data prepared for case of

                                             Page 44 of 88
Draft version
Georgian State Electrosystem (GSE)                                                                            June 2023
Resettlement Action Plan
legalization16. Representative of mayor plays important role for legalization of non-rightful owners
(owners in possession before the enactment of current law on privatization of land in Georgia
without prior permission of the government). Self-governing unit has power to authorize17 details
of the occupied land plot and verify its usage pattern as the first-hand verification and authorization
for further consideration in the Property Rights Registration Commission (PRRC) as a basic step for
registration with the Public Registry.

7.4 Sakrebulo

Sakrebulo is the representative branch of self-government at municipal and village level. The
village/municipal level of Sakrebulo has now less involvement in the process of legalization of
legalizable land plots.

7.5 Property Rights Recognition Commission (PRRC)

Under the Law of Georgia on Recognition of the Property Ownership Rights Regarding the Land
Plots Owned (Used) by Physical Persons or Legal entities, PRRC verifies and authorizes
application of ownership for registration with the NAPR. PRRC authorizes application of only
those PAPs, who are not registered but have residential land or agricultural plots adjacent to the
residential land (non-rightful land owners, according to definition of Georgian regulations).

7.6 Land Acquisition and Resettlement Organizations
7.6.1 GSE – Georgian State Electrosystem

GSE has the overall responsibility of project design, land acquisition and resettlement,
construction, construction monitoring and supervision of the Jvari-Tskaltubo project. This also
includes financing and executing land acquisition and resettlement tasks and cross-agency
coordination. GSE will exercise its functions through its existing Resettlement Management
Team (RMT), which consists of representatives of Social Affairs and Environmental Division and
Legal Department of GSE. A Resettlement Management Team (RMT) having specific experience
and skills in land acquisition and resettlement (LAR), is responsible for LAR activities related
to the project. RMT is responsible for supervision of all technical work to accomplish RAP
preparation and implementation tasks and coordination within the GSE, as well as at central
and local government levels.

The specific tasks of the GSE RMT will be to (I) Prepare RAP following appropriate
procedures as per LARCF/RPF and send to WB for approval, (II) supervise preparation of RAP
for construction contracts and implement it after approval from donor IFI; (III) establish
land acquisition and resettlement (LAR) capacity at the regional level; (iv) ensure proper
internal monitoring; and (v) hire, following the donor IFI recommendation the RAP monitoring


16   Owners for legalization of their unregistered land plots, in normal procedure, use the services of private mapping
     agencies and experts on payment for preparation of land details (maps and plot parameters). In case of this
     project, the consultants have been assisting in preparing basic documents like maps and plot details.

17   This is not mandatory but one of the possible procedures for legalization of the non-rightful owners.

                                                     Page 45 of 88
Draft version
Georgian State Electrosystem (GSE)                                                        June 2023
Resettlement Action Plan
consultant. RMT will also provide all necessary documentation to ensure the prompt allocation
of land acquisition and resettlement budgets to the PAPs and will maintain the coordination
of all land acquisition and resettlement related activities.

The GSE is responsible for ensuring that an independent agency/company for RAP preparation
is engaged to conduct any survey and documentation, including cadastral survey, PAPs census,
inventory of affected assets, assessment of losses, and valuation of land and assets for
replacement value. RAP will be updated based on findings of the surveys following the final
OHL RoW as per detailed engineering design.

Based on the GSE's decision and the values for land acquisition and easements, the offer of
purchase of land plots shall be undertaken. If PAP agrees on the acquisition, he/she will confirm
such agreement in writing by signing the Sales/Purchase Agreement that will be registered
with the Public Registry. This agreement will serve as the basis for compensation payment
processing and release. If agreement is not reached between the PAP and the GSE Resettlement
Management Team later will take decision to start expropriation.

7.6.2 Municipal LAR Organization

Municipal LAR Organization will be an informal group established through participation of
municipal and village authorities and PAPs in order to provide technical assistance to the GSE
in the preparation and implementation of the RAP. The assistance includes identification of the
affected landowners and users, obtaining data on ownership, relations with PAPs, settling
disputes in an informal way, ensuring unimpeded legalization of legalizable land plots, etc.
Municipal LAR Organization comprises the Municipal Team (at the municipal level) and LAR
Working Groups at the village level. The municipal level team is           represented by the
Representative of mayor, representative of the local office of NAPR (National Agency of
Public Registry), and representatives of affected villages and Resettlement Management Team
(RMT) of the GSE. By instructions of the Municipal LAR Team, LAR Working Groups comprising
village representatives, RU representatives shall be established in each village. LAR Working
Groups shall assist the Consultant hired by the GSE in identification of PAPs and communication
with the local community. The staff of NARP local office and social service agency shall
collaborate with the LAR Working Groups assisting them in obtaining archive documents,
determining the social status of the PAPs and registration of their property. Based on the LARP
recommendations RMT of the GSE shall start negotiations with the PAPs on the purchase of
affected land plots and other assets in order to compensate their losses. In case of agreement
PAPs will sign contract, agreement indicating that they accept the compensation provided to
them and the contract shall be registered at NAPR. During the negotiations and property
registration the Resettlement Team of the GSE shall be assisted by LAR group (both working
groups and municipal team) members, including the representative of mayor in village, NAPR
local office staff, etc. A purchase agreement is the basis for compensation payment. If the
negotiation between a PAP and LAR team fails, the LAR team shall notify the GSE which will
start the expropriation process. At the same time LAR Team shall inform the PAPs about the
availability of grievance redress mechanism, which can be used for informal pre-litigation

                                            Page 46 of 88
Draft version
Georgian State Electrosystem (GSE)                                                            June 2023
Resettlement Action Plan
resolution of disputes.

7.7 Other Organizations and Agencies
7.7.1 Construction Contractor

A Construction Contractor will be responsible for mitigating impacts resulting from the
construction activities. Based on the RAP and the Technical Design, the plot of land that will be
identified and acquired as part of OHL ROW will be demarcated to clearly delineate it from the
remaining non-acquired parts. The construction activities shall be monitored closely by the GSE
and the implementation consultant to ensure compliance with the temporary mitigating measures.

7.7.2 Consultants and Auditors

The RAP consultant will be responsible for preparation and GSE for implementation of RAP. The
international RAP Consultant will support the National RAP Consultant and GSE in preparation and
implementation of RAP construction supervision consultant will be in place to supervise
construction.

(i)     RAP Consultant: The RAP consultant has an international social development and
        resettlement specialist and a national resettlement / social specialist for finalizing RAP for
        each construction stage. The RAP consultant has a survey team for land acquisition and
        resettlement survey and documentation including census, socioeconomic survey and
        inventory of losses. RAP consultant has engaged the certified independent valuator for
        valuation of land and assets for replacement value. Final RAP will be prepared based
        on findings of the surveys following the final OHL routing as per detailed engineering
        design.

(ii)    International RAP Support Consultant: will oversee implementation of RAP and will
        prepare reports before the construction start.

(iii)   The Supervision consultant will oversee temporary or unforeseeable resettlement impacts
        arising during the construction.

7.7.3 Court of Georgia

The Court of Georgia shall be the last step for issues and concerns regarding the implementation
of the RAP. In case there is no agreement between the GSE and the PAPs concerning the
acquisition of private properties, the GSE with the mandate for expropriation based on existing
legislations will submit to the Court a request for expropriation. The GSE will get the targeted
assets after obtaining the expropriation right and implementing respective procedures. Upon its
approval and following prescribed procedure, GSE will then take over the concerned property
after having been given by the Court the right of the Expropriator.

Furthermore, in cases where complaints and grievances regarding RAP implementation and
compensation are not solved at the various levels as prescribed in the agreed Grievance Redress



                                             Page 47 of 88
Draft version
Georgian State Electrosystem (GSE)                                                          June 2023
Resettlement Action Plan
Mechanism, the PAPs will have the right to appeal the case to the Court as a last step. Its decision
shall be final and executory.

7.7.4 Ministry of Finance

The budgets for the RAP implementation will be provided to GSE by the Ministry of Finance
following its official approval. The RAP budget will be allocated on the accounts of GSE (or its
fiscal agent) that is responsible for the financial management of the project.

7.7.5 Ministry of Justice

The Ministry of Justice is responsible for legal matters regarding land ownership, and National
Agency of Public Registry (NAPR) within the Ministry of Justice is in charge of the registration
of land ownership and its transfer through purchase agreement from landowners to the GSE, as
well as registration of the easement agreements.

7.7.6 Donor Organization World Bank

Besides financing and supervising the Project periodically, WB will review RAP and provide no-
objection to contract awards signing and initiation of construction under the Project.

An organization chart showing all the concerned institutions to be involved in the LAR activities
is depicted in Chart 1.

7.8 Capacity Building on LAR
Initial level of capacity building exercise in the relevant agencies was carried out during the
preparation of RAP at the feasibility study. Close consultations were held with all the
concerned departments. GSE has established Resettlement Management Team dealing with
land acquisition and resettlement. Training will be provided by the consultant’s resettlement
specialist to the officials on the requirements of WB ESS5 policy and how to develop a
balanced compensation package fulfilling the requirements of PAPs, Government, GSE, donor
IFIs. Capacity building training will also be initiated through a series of consultations and
informal training sessions in the local administration level. The representatives of GSE at
regional level are also responsible for the planning of LAR activities and for coordinating with
the municipal administration. Municipal level LAR Teams will be formed at each municipality that
will be responsible for LAR activities assisting the LARC of the GSE in the process of RAP
implementation.

In terms of capacity and manpower resources within Resettlement Team of the GSE, some
expansion of the capacity on LAR had been done to allow an effective execution of all LAR related
tasks for the project. The Social Affairs Division was established within GSE in 2019. Currently,
besides the head of the Division, there is one social safeguards specialist in the staff. The
Resettlement Team is assisted by two resettlement consultants – Social Safeguards Consultant and
Local Resettlement Consultant (LRC). Additional training for Resettlement Team staff and engaged
Consultants has been done in the framework of ESMS. Training was provided for capacity building
of executive agencies on involuntary resettlement. Training covered the following topics:


                                           Page 48 of 88
Draft version
Georgian State Electrosystem (GSE)                                                      June 2023
Resettlement Action Plan
 (i)       Principles and procedures of land acquisition (WB, EBRD and GOG);

 (ii)      Stakeholders of the project;

 (iii)     Organizations involved in the process of land acquisition and resettlement and their
           roles;

 (iv)      Public consultation and participation process;

 (v)       Entitlements and compensation disbursement mechanisms;

 (vi)      Grievance redress;

 (vii)     Monitoring of resettlement operations.


Chart1




                                            Page 49 of 88
Draft version
Georgian State Electrosystem (GSE)                                                             June 2023
Resettlement Action Plan

8. Implementation schedule and the Steps of Resettlement Action
Plan
After preparing a detailed design the land take areas are defined by the RAP Consultant elected.
The identification of land take areas will be prioritized by the Design & Build Contractor based on
its construction schedule and methods. The RAP Consultant will plan its RAP preparation
schedule according to this information.

Information about the process and land registration according to the recent practice, the land
registration at an early stage has started in 2019 to reduce the first phase of RAP process.

The objective of the second phase is to provide initial information to the affected communities and
undertake the land registration of all land not registered in the transmission line corridor.

The RAP consultant, with the assistance of the MLARO will identify all land plots to be affected
by the Project (those in the lines Rights of Way, in the lines corridors and all land needed
permanently or for temporary purposes). GSE provides free registration of land plots to the
landowners of land plots not already registered that can be registered according to the legal
framework. After land registration is started/ongoing, the RAP Consultant will start the
preparation of the RAP.

The RAP Consultant conducted the census of affected persons and households, with the assistance
of the MLARO. The census listed all affected households’ members and their basic information
allowing them to determine their entitlements as well as their phone number.

The RAP Consultant also conducted a cadastral survey to identify affected registered and non-
registered land plots. A detailed measurement survey has been done for all land plots and
structures, regardless of their legal status. The asset inventory and detailed measurement survey
has been conducted by the RAP Consultant in presence of (i) the PAPs or their representative and
(ii) the head of Community representing the Municipal authorities.

Specific surveys on informal and/or customary rights of use in highlands areas
During the RAP preparation, additional attention was paid to address the specificities of the local
land tenure practices and of the informal grazing rights, the RAP included a survey to identify
customary or informal rights of the affected people to the seasonal activities in the affected areas.
The survey results showed that the representatives of local municipalities confirmed that the
affected people are not dependent on the informal collective or customary rights of use on the
affected areas. Therefore, individual and/or collective livelihood restoration activities are not
applied.

Valuation of affected assets

After the completion of the inventory and detailed measurement surveys, the full replacement
cost of affected assets and lands was evaluated. This was done by the independent accredited
valuator, following the methodologies described in Chapter 5.

Assessment of impacts and need for additional livelihood restoration measures.
                                           Page 50 of 88
Draft version
Georgian State Electrosystem (GSE)                                                            June 2023
Resettlement Action Plan
After collection of information on the PAP and their losses, the RAP Consultant assessed the
impacts of physical and economic displacement, gender specific issues, the vulnerability status,
severely affected households.

Gender considerations

Women have important economic roles in the project area and engage in a wide range of income
generating activities in the agricultural and other sectors. The project will pay particular attention
to ensure that women are the recipients of compensation that is relevant and at least proportional
to their activities and ensure that women who are de facto household heads are clearly listed as
beneficiaries of compensation and assistance. Beyond considering women-headed households as
vulnerable, the means to accomplish this include:

                •   Including women in the inventory team as impact enumerators
                •   In the process of constructing profiles of affected people and households,
                    disaggregating groups and families by gender to pinpoint how many women are
                    likely to be affected and identified as heads of households. (See the detailed info
                    in chapter 2.10)
                •   Women in consultations and as survey respondents.
                •   Where joint ownership title is held (e.g., by husband and wife), deliver
                    compensation to both owners or ensure the written agreement of one owner to
                    transfer compensation to the other
                •   Ensuring that monitoring of resettlement is attentive to women’s issues and
                    whether additional measures are required to ensure the objectives of the program
                    are met for affected women.

Consultation with PAPs about the compensations

The disclosure of information and consultation with the PAP during the RAP preparation was
conducted. The RAP Consultant organized a meeting to announce general compensation rates.
Focus group meetings were conducted with the vulnerable groups to ensure appropriate
consultation. The results of the Public Consultations already held is provided in annex 1. Base of
this consultations some provisions were explained in entitlement matrix developed for this RAP.

Resettlement Action Plan preparation and disclosure

The draft RAP was prepared by the Local RAP Consultant. This draft RAP documents all the steps
conducted to date and was submitted to the GSE, and to the WB. After approval by the GSE and
the Lenders, the final RAP will be disclosed on GSE website and on the Lenders’ websites. Hard
copies of the draft RAP will also be available in the Municipality Town hall.




                                              Page 51 of 88
Draft version
Georgian State Electrosystem (GSE)                                                          June 2023
Resettlement Action Plan
RAP implementation

Signing and documentation of Compensation Agreements

After the time given to the PAPs to consider the compensation offer, the RMT will proceed to the
signature of the compensation agreement with the affected persons. The timing for payment will
be indicated in the agreement. If the PAPs refuse the compensation offer, then the expropriation
process will be initiated.

Payment of compensation and relocation notice

Compensation will be paid prior to acquisition of land or possession of assets. Payment of
compensation will be made by GSE by bank transfer to the PAPs in his or her bank account.
Relocation notices will be given to the PAP by the RMT at the time of payment.

Resettlement and livelihood restoration
Once all compensation has been paid, the PAP will be resettled. The PAP will have the
authorization to salvage their structures’ materials. Livelihood restoration measures will be applied
if new circumstances or needs appear.

Start of construction works.
On each working site, the work will not be initiated before PAPs have been compensated,
relocated and permission given to the Design & Build Contractor by the RMT.

Completion report

After payment of compensations, an External and Internal Monitoring Consultant appointed by
GSE will undertake an assessment of if the objectives of the RAP have been achieved and produce
a close out audit/completion report. The internal monitoring will be conducted by GSE during the
RAP implementation and presented to Lenders in quarterly reports, also relevant evaluation will
be prepared as a completion report, which will be submitted to the Lenders.

The duration of the entire project covers a period of 2 years, out of which 8 months is allocated
for the preparation and implementation of RAP. The construction works are planned to start in
August 2023. Table 8.1 describes the main steps of RAP implementation.




                                           Page 52 of 88
Draft version
Georgian State Electrosystem (GSE)                                                                  June 2023
Resettlement Action Plan
Table 8.1 RAP Preparation and Implementation Process


  Steps     Actions                                                 Responsibilities


                                      Phase 1: Planification of the land take

            Preparation of the preliminary design to
    1       avoid/minimize physical and economic                    Design Consultant
            displacement

            Selection of providers for the development and
    2                                                               GSE
            implementation of the phase 1 of RAP

            Definition of the Land take schedule,
                                                                    GSE Resettlement Management Team,
    3       coordination between RAP consultant and Design
                                                                    Design Contractor, RAP consultant
            Consultant

                         Phase 2: Information about the process and Land registration

            Initial information about the Project at the
    4                                                               RAP Consultant; GSE
            Municipality and Community levels

            > Establishment and training of Municipal LAR
            Offices and Community level working groups.             > GSE Resettlement Management Team
    5       > Training and capacity building of the Municipal
            LAR Offices and Community level working                 > RAP Consultant
            groups.

            Establishment of the local level Grievance Redress      GSE Resettlement Management Team
    6
            Mechanism (GRM)                                         and RAP Consultant

                                                                    RAP consultant, MLARO team, Property
            Registration of land not already registered in the      Right Recognition Committee and the
    7
            line corridor.                                          National Agency for Property
                                                                    Registration.

                                            Phase 3: RAP preparation

                                                                    > GSE Resettlement Management Team +
            > Definition of cut-off date
                                                                    RAP Consultant
    8       >Information and communication about the
                                                                    > RAP Consultant + Municipal LAR
            Project – announcement of cut-off date
                                                                    Offices

    9       Census and asset inventory                              RAP consultant / MLARO team


    10      Socioeconomic survey                                    RAP consultant

            Specific surveys on informal and/or customary
    11                                                              RAP consultant
            rights of use in highlands areas

                                                                    RAP consultant + accredited independent
    12      Valuation of affected assets
                                                                    valuator




                                                  Page 53 of 88
Draft version
Georgian State Electrosystem (GSE)                                                                June 2023
Resettlement Action Plan

  Steps     Actions                                             Responsibilities

            Assessment of impacts and of need for additional
    13                                                          RAP consultant
            livelihood restoration measures

    14      Consultation with PAPs about the compensations      RAP consultant

            > Draft Resettlement Action Plan preparation        > RAP consultant
    15      > RAP approval                                      > GSE, Lenders
            > Final RAP disclosure                              > GSE, Lenders

                                          Phase 4: RAP Implementation

            Signing and documentation of Compensation
    16                                                          RAP consultant/MLARO team
            Agreements

    17      Payment of compensation and relocation notice       GSE Resettlement Management Team

                                                                Affected persons / Livelihood restoration
            Relocation of Affected Structures/Assets and
    18                                                          consultants (hired by GSE, see Section
            livelihood restoration
                                                                9.2)

    19      Start of construction works                         GSE Resettlement Management Team

                                                                External Monitoring consultant (hired by
    20      Completion report
                                                                GSE)



Circumstances arising during the implementation stage may require an increase in the time
allocated for each activity. Such circumstances may include delays in detailed design, time
required to resolve complaints, seasonal factors, social and economic problems, support staff
training and financial issues. The implementation schedule will be constantly updated.
The activities in the schedule below are divided into three main parts. The individual activities of
project preparation, implementation and monitoring and evaluation are described in RAP
schedule Table 8.2




                                                Page 54 of 88
Draft version
Georgian State Electrosystem (GSE)                                           June 2023
Resettlement Action Plan
Table 8.2 – RAP Schedule
                                                                              202
                                                             2023
       Activity                                                                4
                                          1 2    3       4 5 6 7 8 9 10 11 12 1 2
  A    Preparation of RAP
     Description and socio-economic
   1
     plan
     Valuation of land, buildings and
   2
     crops
     Preparation of eligibility matrix
   3
     for compensation
   4 Public consultations
       Completion of the RAP
   5
       preparation
   6 Submission of RAP

   7 Approval of RAP by Lender
   8 Disclosure of Final RAP

  B    Implementation of RAP

   9 Legalization of land
  10 Updating the RAP if necessary
  11 Addressing complaints

  12 Payment of compensations
  13 Construction




                                         Page 55 of 88
Draft version
Georgian State Electrosystem (GSE)                                                          June 2023
Resettlement Action Plan

9. Public Consultation, Engagement and Disclosure
9.1 Introduction
Consultation and participation are a process through which stakeholders impact and share
control over development initiatives, and the decisions and resources that affect them. It is a two-
way process where the executing agencies, policy makers, beneficiaries and PAP discuss and
share their concerns in a project process. Consultation and participation have been a major
principle in the planning and preparation of the detailed design of the Project. Lenders
involuntary resettlement policy requires that a high priority has to be given to public
consultation and participation to enhance the community voice and assure incorporation of
community’s views in design and implementation of a socially and environmentally compliant
project.

The focus of these consultations are to ensure that the PAPs and other stakeholders are informed,
educated, consulted and allowed to participate actively in the process of road development and
preparation of social and resettlement plan; reducing public resistance to change; helping
mitigate and minimize any probable negative impact and bringing in the benefit of the project to
the people. The project design and preparation of land acquisition and resettlement plans,
therefore, attempted consultation and participation of the PAPs and communities to incorporate
their views, needs and aspirations into the Project components. The consultation process has
started at an early stage of design preparation and will be continued through public consultation
meetings and individual contacts during land acquisition and resettlement surveys in January -
March 2023.

9.2 Consultation Process and Methodology
The public consultation process entailed clearly explaining the project and its impacts to the
community through introducing the project and its impacts through leaflets in local language,
clearly explaining to the communities in informal and formal consultation meetings and individual
level discussion during the census and detailed measurement surveys of land and propert.

Specifically, for this RAP the PAPs were consulted through individual contact during the census
survey at the basic stage, all likely PAP persons were consulted through community level
meetings and through individual contact at the time of census, socioeconomic survey and detail
measurement survey.



9.3 Consultation meetings with the PAPs during RAP Preparation

Consultation Process is completed: meetings in all affected municipalities have been carried
out and information leaflets distributed. The MoM of these consultations prepared by the RAP
consultant are provided annex 1.




                                           Page 56 of 88
Draft version
Georgian State Electrosystem (GSE)                                                          June 2023
Resettlement Action Plan
9.4 Consultation and Participation Plan

RMT on behalf of GSE pursues information disclosure for effective implementation and timely
execution of RAP. Village level consultations with PAPs will be conducted during the
implementation process. For the benefit of the community in general and PAPs in particular,
RAP will be made available in concerned offices at municipality. An information leaflet (in
Georgian) was distributed among the PAPs and their community. A copy of the English version
of RAP Leaflet is attached in Annex 2.

For continued consultations, the following steps are envisaged in the project:

   (i)     Final RAP will be disclosed upon receiving approval from the WB;

   (ii)    GSE will conduct public meetings and will apprise the communities about the progress
           in the implementation of resettlement, and social activities; GSE will be supported by the
           local community leaders to encourage the participation of the PAPs in RAP
           implementation;

   (iii)   GSE through its RMT will organize public meetings to inform the respective
           communities about the compensation and assistance to be paid. Regular update of the
           progress of the resettlement component of the project will be placed for public
           display at the local level GSE office and at local Municipal Office;

   (iv)    All monitoring and evaluation reports of RAP component of the project will be
           disclosed to the community;

   (v)     Attempts will be made to ensure that vulnerable groups understand the process and
           to take their specific needs into account;

   (vi)    All PAPs should be provided a contact information of the person from local
           municipality/GSE who will provide feedback on all the issues concerning the project.

9.5 Disclosure of information
Electronic version of the Final RAP will be placed on GSE web-site in both English and Georgian.
The summary of the RAP will be translated into local language (Georgian) and will be disclosed to
PAPs at local level. The copy of the RAP (Georgian version) will be available at the concerned
offices of affected Municipality. Hard and soft copies of RAP will be delivered to municipalities.
After the adoption of the of the RAP, GSE representatives will disclose the unit rates publicly
during the public meetings.




10. Grievance Redress Mechanism
10.1 Introduction
The Grievance Resolution Mechanism (GRM) addresses grievances in an efficient, timely and cost-
effective manner, that arise as a result of the Project, either the result of actions by GSE or the
                                             Page 57 of 88
Draft version
Georgian State Electrosystem (GSE)                                                         June 2023
Resettlement Action Plan
Contractor employed by GSE, from affected communities and external stakeholders. GSE is
responsible for managing the GRM, but many of the grievances on the Project will likely relate to
the actions of the Contractor and likewise will need to be resolved by the Contractor. GSE will
administer the GRM process deciding whether they or the Contractor is responsible and determine
the best course of action to redress the compliant. GSE with the support of the implementation
consultant will monitor the contractor if the grievance is redressed accordingly.

Typical grievances for transmission line projects include those related to:

•        Land acquisition and physical displacement;
•        Construction damages;
•        Environmental impact;
•        Indirect social impacts.


10.1.2 Grievance process
The two-tiered grievance resolution process involves the following main steps:

(I) receipt of complaints;

(II) screening for standing;

(III) Grievance Resolution Committee (first tier) and;

(IV) GSE Grievance Redress Commission (GRC) (second tier);
(V) Closure of grievances; and
(VI) Grievance records and documentation.

10.1.2.1 Receipt of complaints
Anyone from the affected communities or anyone believing they are affected by the Project can
raise a grievance:

•    By completing a written grievance registration form that will be available (I) in the
    administrative office of the local municipalities and in the affected villages and by local CLOs
    (Community Liaison Officers) (i.e.) those within proximity of construction activities), (II) at
    the entrance of each construction site, (III) on the GSE’s website and (IV) at the Project’s
    headquarters in Tbilisi. An example of a grievance registration form is provided in Appendix.
    The Project’s Community Liaison Officer of each Municipality will review these registers
    complaints.
• By contacting the GSE Community Liaison Officer, GSE Head of Social Affairs Division, or the
   environmental coordinator and community relationships managers of the Contractor, either
    by phone, or in person. Grievances received verbally will be written down by the Community
    Liaison Officer on the grievance registration form and logged into the Grievance Register. A
    copy of the logged grievance will be forwarded to the complainant, giving them the
    opportunity to alert GSE if the grievance has not been noted down correctly.

The Community Liaison Officers will explain the possibilities and ways to raise a grievance to local
communities or GSE Head of Social Affairs Division during meetings organised in each affected

                                           Page 58 of 88
Draft version
Georgian State Electrosystem (GSE)                                                         June 2023
Resettlement Action Plan
area at the time of disclosure. The GRM will be disclosed through the GSE’s website18. Information
material on the GRM will also be made available at the Municipalities City halls.

All grievances will be registered, reported and tracked by GSE in the Grievance Register by special
person responsible for grievances redressing and logging. Once a grievance is logged, the related
event(s) that caused the grievance will be tracked to prevent similar grievances (if the local
community have similar grievances such as, effect of electromagnetic field, unit rates etc. the
additional public consultation meetings with relevant explanations will be conducted). The status
number and trends of grievances will be discussed between GSE, the Contractor and the
Implementation Consultant during E&S meetings at the construction phase.

10.1.2.2 Screening for Grievances

The resolution of grievances of all types will follow the same steps, but the stakeholders involved
will depend on the nature of the complaint. All grievances will be handled through the system
described hereafter, involving respectively GSE, the Contractor's grievance resolution
representative. Complaints related to resettlement (land take and its consequences) will also
involve Resettlement Action Plan (RAP) consultant in the resolution of grievances related to land
acquisition and resettlement.

Grievance information will be recorded in a grievance log by GSEs staff member, who is
responsible for grievance logging and management. The following information will be recorded:
(¡) Name and contact details, (II) Nature of the grievance and how and when it was submitted,
acknowledged, responded to and closed out. All grievances will be acknowledged by GSE within
10 days (Acknowledgement letter will be prepared by GSE’s appropriate manager and send to
PAP); and responded (response letter will be prepared by GSE’s appropriate manager and send to
PAP) to PAP no later than 30 days. Once a grievance is logged, the related event(s) that caused the
grievance will be tracked to ensure proper close-out of the grievance and prevent similar
grievances.

If the grievance is deemed as ineligible, the GSE Community Liaison Officer will record the reason
and document that the complainant has been informed of this decision and the basis for this is
explained. Ineligible cases will generally be those that GSE are confident have not occurred as a
result of GSE or the Contractor’s actions. If the complainant is not satisfied with this outcome,
they can pursue further action by submitting their case to the appropriate court of law.

GSE will determine whether the resolution of the grievance is the responsibility of the Contractor,
GSE or ESIA, RAP preparation Consultant. If the grievance is the responsibility of the Contractor
or the ESIA, RAP Preparation Consultant, GSE shall review, comment and approve any corrective
actions. After logging the grievance, the GSE Permissions Department Manager will inform the
complainant in writing within 10 days.

Grievance resolution is a two-stage process, including:

Stage 1 – informal (oral) review of the PAP’s complaint (whether written or oral). At this stage
the PAP’s complaint is reviewed in an informal (oral) way and the Committee make and sign the

18   https://www.gse.com.ge/projects/Grievance-Redress-Mechanism
                                                 Page 59 of 88
Draft version
Georgian State Electrosystem (GSE)                                                            June 2023
Resettlement Action Plan
minutes on the matter. If at Stage 1 the PAP’s complaint is not resolved the PAP is informed
about grievance resolution procedures of Stage 2. An PAP has the right to use the procedures of
Stage 2 without applying to Stage 1 procedures. Timeframe for resolving the stage 1 grievance is
10 days. The GRC shall gather as per necessity (but at least once a month) and shall include eight
members.

Stage 2 –If PAP’s complaint is not resolved at stage 1 by local committee, it will be presented to
Grievance Redress Commission (GRC), GRC reviews the written complaints of PAPs, which
were not satisfied at Stage 1.

Grievance redress procedure of Stage 1 is an informal tool of dispute resolution allowing PAPs
and the project implementation team to resolve the disagreement without any formal procedures,
procrastination and impediments. The international experience of different projects shows that
such informal grievance redress mechanism helps to solve most of the complaints without formal
procedures (i.e., without using the procedures specified in the Administrative Code or litigation).
This mechanism enables unimpeded implementation of the Project and timely satisfaction of
complaints. If the PAP is not satisfied, the grievance redress mechanism should assist him/her in
lodging an official complaint in accordance with the procedures of Stage 2 (the plaintiff should
be informed of his/her rights and obligations, rules and procedures of making a complaint, format
of complaint, terms of complaint submission, etc.).

The grievance redress mechanism deals with the issues of land and other assets acquisition (e.g.
amount of compensation, suitability of residual land plots, loss of access roads, etc.) as well as the
losses and damages caused by the construction works, any direct or indirect environmental and
social impacts. Therefore, the grievance redress mechanism has to be in place by the time the
GSE started preparation of RAP, ESIA and shall function until the completion of the construction.

At the relevant document’s preparation stage during the consultations meetings and
negotiations the PAPs have to be fully informed of the grievance redress mechanism, its
functions, procedures, contact persons and rules of making complaints through oral information
and booklets. Care is always taken to prevent grievances rather than going through Stage 2.
The achievement of this goal can be ensured through active participation of PAPs, effective
consultations, proper communication and coordination among local communities, GSE and local
authorities.

Tier 1: Grievance Resolution Committee
A local Grievance Resolution Committee (GRC) will be established in Municipality, with an
office in the municipal building. Once a grievance has been logged, the corresponding local GRC
will be engaged to define a solution to solve the grievance. The composition of each GRC is
described in below. Special provisions will be made for any complaints of a confidential nature.


Composition of the local grievance resolution committee
   1) Georgian State Electrosystem (GSE) representative as a committee coordinator;
   2) Regional/municipal representative as a committee member;
   3) Representative of a Project Affected People (PAP) as a committee member;

                                            Page 60 of 88
Draft version
Georgian State Electrosystem (GSE)                                                        June 2023
Resettlement Action Plan
   4) Woman – representative of the Project Affected Household (PAH) as a committee member;
   5) Representative of local non-government organization (NGO) taking into account the
        grievance character – as a committee member;
   6) Local specialist of social and environmental safeguards from the Supervision Consultant –
        as a committee member;
   7) Local specialist of social and environmental safeguards from the Construction Company –
        as a committee member.


The GSE Head of Social Affair Division will act as secretary of the GRC (creation, coordination,
and documentation). Members of the GRC will be invited by them in accordance with the types
of complaints to be addressed. The meeting will by the review of all PAP complaints received and
to propose a solution to all grievances within the past one or two weeks. Then, the GRC will
welcome the complainants whose complaint had been reviewed during the previous meeting to
discuss the proposed solution.

For each complaint, the GRC will determine whether additional investigations are warranted. If
so, the additional information will be collected before the GRC meeting with the PAP complainant
and will be provided to the PAP before the meeting. The GRC will then inform the PAP about the
date, time and place of its review meeting, and invite the PAP accordingly.

The GRC will receive the complainant and discuss with them a solution to their grievance. The
committee shall draw up and sign the minutes of their discussion on the matter. If the complaint
is satisfactorily resolved, the PAP will also sign the minutes in acknowledgement of the agreement.
In cases where the project has agreed to put in place additional measures, these will be specified,
with a timetable for delivery, in the minutes of the meeting.

Tier 2: GSE Resolution at Central Level

If any aggrieved PAP is unsatisfied with the GRC decision, the next step will be to lodge the
grievance with GSE at the central level. The GRC should assist him/her in lodging an official
complaint. GSE shall then review the complaint at the grievance resolution commission. The
complainant shall be informed of the decision within a maximum of 30 days.

The complainant shall be informed in writing of GSE’s decision. If GSE’s decision fails to satisfy
the aggrieved affected persons, they can pursue further action by submitting their case to the
appropriate court of law.

Composition of the Grievance Redress Commission (grc) at GSE Level

    1. General Director of Georgian State Electrosystem (GSE) as a Head of Commission;
    2. First Deputy Director General / Member of the Board of Directors / Director of Project
         Management;
    3. Member of the Board of Directors / Director of Legal, Environmental, Social Affairs and
         Permits;
    4. Member of the of Directors/ Director of Financial Affairs;
    5. Member of the Board of Directors / Director of Technical Affairs;
    6. Member of the Board of Directors / Director of Procurement and Logistics;
                                       Page 61 of 88
Draft version
Georgian State Electrosystem (GSE)                                                         June 2023
Resettlement Action Plan
    7. Deputy Head of Legal and GNERC Relations Department;
    8. Head of the of Environmental, Social and Permits Department;
    9. Deputy Head of the of Environmental, Social and Permits Department;

    10. Head of Operations and Maintenance Department;
    11. Head of Construction and Repairs Department;
    12. Deputy Head of International Projects and Reporting Department (Member-Secretary of
           the Commission);
    13. Head of International Project Planning and Technical Supervision Department;
    14. Head of Internal Audit Department;

    15. Head of Energy Policy and Investment Projects Department of Ministry of Economy and
           Sustainable Development of Georgia.

Closure of Grievances

A grievance will be considered “resolved” or “closed” when a resolution satisfactory to both parties
has been reached, and after corrective measures has been successfully implemented. When a
proposed solution is agreed between the Project and the complainant, the time needed to
implement it will depend on the nature of the solution. However, the actions to implement this
solution will be undertaken within one month of the grievance being logged and will be tracked
until completion. Once the solution is being implemented or is implemented to the satisfaction of
the complainant, a complaint closes out form will be signed by both parties (GSE Environmental
and Social Manager and the complainant), stating that the complainant considers that its complaint
is closed. This form will be archived in the Project Grievance database.

In certain situations, however, the Project may “close” a grievance even if the complainant is not
satisfied with the outcome. This could be the case, for example, if the complainant is unable to
substantiate a grievance, or it is obviously speculative or fraudulent. In such situations, the
Project’s efforts to investigate the complaint and to arrive at a conclusion will be well documented
and the complainant advised of the situation. GSE will not dismiss grievances based on a cursory
review and close them in their grievance record unless the complainant has been notified and had
the opportunity to provide supplementary information or evidence.

Grievance Records and Documentation

The GSE Grievance Redress Specialist will manage a database to keep a record of all complaints
recorded. The database will contain the name of the individual or organization lodging a grievance;
the date and nature of the complaint; any follow-up actions taken; the solutions and corrective
actions implemented by the Contractor or other relevant party; the final result; and how and when
this decision was communicated to the complainant.

Supervisor and construction companies with monthly reports will provide information on
grievance management. Monitoring and reporting and in the six-monthly and annual public
reports.

                                           Page 62 of 88
Draft version
Georgian State Electrosystem (GSE)                                                       June 2023
Resettlement Action Plan

Company Contacts Information

The point of contact regarding the management of grievances by the Project and the local
stakeholder engagement activities is GSE Environmental and Social Manager:

       Description                   Contact details

 Company:                            Georgian State Electrosystem (GSE)

 To:                                 GSE General Director

 Address:                            2 Baratashvili street, Tbilisi 0105, Georgia

 E-mail:                             info@gse.com.ge

 Website:                            www.gse.com.ge

 Telephone:                          +995 555 111 444


Information on the Project and future engagement programmes will available on the GSE’s
website, and will be posted on information boards in key villages in the Project area. Information
can also be obtained from the Community Liaison Officers.




                                               Page 63 of 88
Draft version
Georgian State Electrosystem (GSE)                                                           June 2023
Resettlement Action Plan

11. Cost and Financing
11.1 Financing
All RAP preparation and implementation costs, including cost of compensation and RAP
administration, will be considered an integral part of Project cost and will be contributed as a
counterpart fund by the Georgia Government, in particular GSE. Each RAP will include a budget
section indicating (i) unit compensation rates for all affected items and allowances, (ii)
methodology followed for the computation of unit compensation rates, and (iii) a cost table for all
compensation expenses including administrative costs and contingencies (20%). Items of LAR cost
estimate under the RAP are as follows:

    •    Compensation for land at replacement value
    •    Easement payments for imposed limitation on land use (prohibition of planting trees or
         construction of buildings within the ROW)
    •    Compensation for structures and buildings at replacement cost
    •    Compensation for crops and trees
    •    Assistance for severely affected PAHs
    •    Assistance for vulnerable groups for livelihood restoration
    •    Cost for implementation of RAP.

Being the project owner, GSE is responsible for the timely allocation of the funds needed to
implement the RAPs. As per the RAP finances flow the budget for compensation and
rehabilitation will be directly disbursed by GSE to the AP.



11.2 Compensation for Land
Compensation and easement value for land has been derived based on the feedback from the
project affected people and from the independent evaluator. The costs for various categories of
land loss are given in Table 11.1.

Table 11.1 Compensation for permanently impacted land
                                                        Compensation value of 1
                            Permanent impact of                                       Total value of
                                                       sq.m. plot of land - for the
                           land (plot for purchase)                                   affected Plot
                                                        foundation of the towers

                                      Area
  Types of land use                                               GEL                     GEL
                                     (sq.m.)

 Type 1                               3443                        10.45                  35 979

 Type 2                               1426                        3.05                    4349

 Type 3                               1633                        4.10                    6695

 Type 4                               361                          2.0                     722

 Type 5                               1072                        3.20                    3430


                                               Page 64 of 88
Draft version
Georgian State Electrosystem (GSE)                                                              June 2023
Resettlement Action Plan
          Table 11.2 Compensation for partially affected land
                                                                           Compensation
                                        Compensation                                        Total value of
                                                             Total value      value of 1
                             Partial   value of 1 square                                     affected land
                                                             of affected    square meter
                             Impact    meter plot of land                                  (assuming 20%
                                                                land       including 20%
                                          - easement                                            income)
                                                                               income
           Types of           Area
           land use                             GEL                GEL         GEL              GEL
                             (sq.m.)
           Type 1            250 934            5.25          1 317 403        6.5625         1 646 754
           Type 2            112 052            1.50          168 078          1.875          210 097
           Type 3            90 257             2.05           185 026        2.5625          231 283
           Type 4             2 716              1.0            2 716          1.20            3395
           Type 5            86 916             1.60           139 065           2            173 832
           Total                                              1 812 290
                             542 875                                                          2 265 362

11.3 Compensation of Buildings
Compensation of structures is based on the current market price of materials, transportation and
construction works needed for construction of similar structure-buildings. Condition of bearing
structures, roof, materials, sanitation, water and power supply, external lighting systems are
considered. Provided costs include expenses on relocation of the movable facilities. The cost approach
is used to determine the compensation which ensures that calculated amount is sufficient for
constructing the exact kind of property.

Table 11.3: Compensation for buildings and structures
                                                                                 Compensation for
 N              Type of Structure           N of Affected Land Plot
                                                                                 structure
 1              Fences                      95                                   78 873

 2              Auxilary                    6                                    35 045

 3              Structures                  8                                    20 355
                                                                                 134 273
                Total                       9519




11.4 Compensation of Crops
Crop compensation will be provided to all affected persons at the full market rate. Details of crop
compensation are given in Table 11.4

Table 11.4 Compensation of agricultural crops

19   Without double counting
                                                   Page 65 of 88
Draft version
Georgian State Electrosystem (GSE)                                                                     June 2023
Resettlement Action Plan
                                           Compensation
      Type of                                                                              Total
                          Number of        for harvest per
    agricultural                                                   Area (sq.m.          compensation
                            plots              1 sq.m.
      culture                                                                              (GEL)
                                             GEL/sq.m.)
 Corn                           67                0.8                100 724                80 579
 Pumpkin                        67                 5                 46 760                233 800
 Bean                           67                0.5                46 765                 23 383
 Soy                            24                0.9                 7214                   6 493
 Oats                            2               0.35                 1 088                   381
 Hay                            79                0.3                122 156                36 647
 Total                          146                                  324 707               381 282


11.5 Compensation for Trees
The non-productive young fruit trees will be compensated at the price of seedling. Productive trees
will be compensated at aggregated cost of seedling price and fruit income calculated based on
productivity of productive tree and compensation years needed to grow up the same age tree from
the seedling of age starting productivity. 5 213 trees (belonging to 71 households) are affected by the
project, valued at 719 500 GEL and tea at 10 090 GEL. Tables with the calculation of trees costs are
given in Table 11.5 below.


Table 11.5: Compensation of Trees
                                                                                      Sub total
                                                             N in the     Sub total   in
                                 Compensation    N in the    protection   in cut      protection
 Tree               Age          for a tree      cut zone    zone         zone        zone         Total
                1           2                9          10           11          12           13            14
                    seedling
 Cherry             (<5)                   35            3           9          105         315        420
                    5-10                   75           19          22         1425        1650       3075
                    10-20                 150           16          25         2400        3750       6150
                    20+                   115            3           2          345         230        575
                    seedling
 Grape              (<5)                    12          0            0            0           0              0
                    5-10                    35          3            0          105           0            105
                    10-20                   55          6            1          330          55            385
                    20+                     48          0            0            0           0              0
                    seedling
 walnut             (<5)                   80            1           1         80            80         160
                    5-10                  535           10          48       5350         25680       31030
                    10-20                1235           28          25      34580         30875       65455
                    20+                  1510           55          65      83050         98150      181200
                    seedling
                    (<5)                   15           0            7            0         105            105
 qvince             5-10                   80           0            0            0           0              0
                    10-20                 160           3            0          480           0            480
                    20+                   110           1            2          110         220            330
                    seedling
                    (<5)                    25          4            4          100         100            200

                                                 Page 66 of 88
Draft version
Georgian State Electrosystem (GSE)                                                   June 2023
Resettlement Action Plan
 Pear              5-10              120         2            3    240      360      600
                   10-20             415         3           17   1245     7055     8300
                   20+               270         1            0    270        0      270
                   seedling
                   (<5)               25         1           0      25        0        25
 Plump             5-10               45         0           0       0        0         0
                   10-20              90         0           0       0        0         0
                   20+                60         0           0       0        0         0
                   seedling
                   (<5)               25         1            0     25        0        25
 Mulberry          5-10               50        25           26   1250     1300      2550
                   10-20              90        51           85   4590     7650     12240
                   20+                70         7            7    490      490       980
                   seedling
                   (<5)               30        86          152    2580     4560     7140
 Hazelnut          5-10               55        37           89    2035     4895     6930
                   10-20              90      1003         1906   90270   171540   261810
                   20+                75         2            0     150        0      150
                   seedling
                   (<5)               40         1            4     40       160      200
 wild plum         5-10              130        32           37   4160      4810     8970
                   10-20             255        25           41   6375     10455    16830
                   20+               200         2            2    400       400      800
                   seedling
                   (<5)               20        54            0   1080         0     1080
 Persimmon         5-10               44        66           89   2904      3916     6820
                   10-20             128        65           81   8320     10368    18688
                   20+                86         0            6      0       516      516
                   seedling
                   (<5)               20         5           26    100      520       620
 Apple             5-10              110         4           23    440     2530      2970
                   10-20             295        16           23   4720     6785     11505
                   20+               170         2            0    340        0       340
                   seedling
                   (<5)                3         0           0       0        0         0
 Laurel            5-10               10         0           0       0        0         0
                   10-20              20         0           1       0       20        20
                   20+                28         0           0       0        0         0
                   seedling
                   (<5)               25         0            4      0      100      100
 Fig               5-10               65         4            5    260      325      585
                   10-20             190         8           34   1520     6460     7980
                   20+               130         2            4    260      520      780
                   seedling
                   (<5)                5         0           0       0        0         0
 Laurocerasus      5-10                8         0           2       0       16        16
                   10-20              16         0           0       0        0         0
                   20+                12         0           0       0        0         0
                   seedling
                   (<5)               12         0            0      0        0        0
 Staphylea         5-10               50         4           17    200      850     1050
                   10-20              70         0            0      0        0        0

                                           Page 67 of 88
Draft version
Georgian State Electrosystem (GSE)                                                     June 2023
Resettlement Action Plan
                   20+                 60         0           0         0        0        0
                   seedling
                   (<5)                25         0           0         0        0        0
 Apricot           5-10               105         0           0         0        0        0
                   10-20              180         0           1         0      180      180
                   20+                140         0           0         0        0        0
                   seedling
                   (<5)                20         0           0         0        0        0
 Mespilus          5-10                70         0           1         0       70       70
                   10-20              130         0           1         0      130      130
                   20+                100         1           0       100        0      100
                   seedling
                   (<5)                25         0           0         0        0        0
 Eriobotrya
 japonica          5-10                90         0           1         0       90       90
                   10-20              170         0           0         0        0        0
                   20+                140         0           0         0        0        0
                   seedling
                   (<5)                24                               0        0        0
 Blueberry         5-10                50       194          401     9700    20050    29750
                   10-20              130         0            0        0        0        0
                   20+                100         0            0        0        0        0
                   seedling
                   (<5)               110         0           0         0        0        0
 Chestnut          5-10               350         0           4         0     1400     1400
                   10-20             1050         1           9      1050     9450    10500
                   20+               1150         1           0      1150        0     1150
                   seedling
                   (<5)                35         1           0        35        0       35
 Pomegranate       5-10                85         1           0        85        0       85
                   10-20              250        11           3      2750      750     3500
                   20+                170         0           0         0        0        0
                   seedling
                   (<5)                35         0           0         0        0        0
 Avocado           5-10               400         0           0         0        0        0
                   10-20              800         1           0       800        0      800
                   20+                500         0           0         0        0        0
                   seedling
                   (<5)                 5         0           0         0        0        0
 Boxwood           5-10                50         0           0         0        0        0
                   10-20              150         0           0         0        0        0
                   20+                200         0           3         0      600      600
                   nergi
                   (<5)                10         0           0         0        0        0
 Aleurites         5-10                25        15           7       375      175      550
                   10-20               65         0           0         0        0        0
 Tea               1 sq.m.              1     10090                 10090             10090
                                               1887         3326   288884   440706   729590




                                            Page 68 of 88
Draft version
Georgian State Electrosystem (GSE)                                                                  June 2023
Resettlement Action Plan
11.6 Impact on Business and Employment
None of the businesses are affected by the project.

11.7 Allowance
Based on available data, the subsistence minimum for a family of five has been consistently calculated
at 2.25 times the amount of a subsistence minimum for an average consumer. Given this, the updated
allowance unit rate per month using updated Geostat data as of March 2023, is 223,1*2,25=501.966
GEL per month; 1505.9 GEL for 3 months, 3011,8 GEL for 6 months, and 6 23.6 for 12 months.

There are two type of allowances being provided to the PAHs. These are: (i) Severe Impact
Allowance, and (ii) Allowance for vulnerable groups, (iii) Relocation Allowance is not applicable for
this RAP. Following are the description of each category of unit rates proposed for various
allowances.

The allowance for vulnerable PAHs is three months of subsistence minimum for an average consumer
at the unit rate for three months as per 1505,9 Gel. Total allowances for 27 vulnerable PAHs are equal
to 40659.3 GEL.

4 PAHs are considered to be severely affected due to loss of 10% and more than 10% of their
productive agricultural land. No one of PAHs is losing their jobs and related incomes.

Relocation allowance covering transport expenses and livelihood expenses for the transitional period
for 3 months is equal to 3 months subsistence minimum for an average consumer. 200 GEL as vehicle
hire charge + 1505,9 Gel = 1705,9 GEL per PAH..

Detailed information on different types of assistance is provided in Table 11.6.


Table 11.6: Allowances
  N                  Unit                Unit price (GEL)         Quantity          Amount (GEL)

   1       Severe impact of PAH               1505,9                      4                6023.6

   2       Vulnerable households              1505,9                     27            40659.3

   3       Physical displacement                 0                        0                  0

           Total compensation                                            31            46682.9



11.8 Administrative Costs
GSE will need to employ one independent monitoring consultant for external monitoring of RAP
implementation for a period of 12 months. Miscellaneous expenses have been kept as a provision to
cover the administrative cost as may be incurred during implementation of the RAP. Details of the
RAP implementation management cost is given in Table 11.7

Table 11.8 Administrative costs
       N                      Unit                   Period   Quantity        Unit price         Amount
                                                                                                  (GEL)


                                            Page 69 of 88
Draft version
Georgian State Electrosystem (GSE)                                                         June 2023
Resettlement Action Plan
     1          External monitoring of RAP           Month          12     2000        24000

                Miscellaneous administrative                                             6000
     2                                               Month          12     500
                expenses
                Total compensation                                                     30000


11.9. RAP Cost and Cash Flows
The total cost calculated for the implementation of this RAP equals 4 669 000 GEL (USD 1 680 454).
The summary LAR cost estimate is given in Table 11.8.


Table 11.9: RAP Cost and cash Flows
    N                               Unit                                    Cost (GEL)
    A       Compensations
     1          Compensation for purchased land                                          51 176

                Compensation of the easement for partially affected land             2 265 362
     2
                plots
                                                                                       134 273
     3          Compensation for Structures

                                                                                     381 281.9
     4          Crop compensation

     5          Compensation for trees                                                 729 590
 Subtotal A                                                                          3 561 684

     B          Allowances
     1          Severe impact of PAH                                                   6 023.6
     2          Vulnerable households                                                 40 659.3

     3          Physical displacement                                                        0
 Subtotal B                                                                           46 682.9

     C          Implementation costs

     1          External Monitoring of RAP                                               30 000

                                                                                      85 800.0
     2          Miscellaneous administrative expenses

 Subtotal C                                                                            115 800
 Total cost (A+B+C)                                                                   3 724166
 D. 20% contingency fee                                                                744 833
 Total in GEL                                                                        4 669 000


1 USD = 2,6594 GEL (January 23, 2023)




                                               Page 70 of 88
Draft version
Georgian State Electrosystem (GSE)                                                             June 2023
Resettlement Action Plan

12. Monitoring, Reporting and Evaluation
12.1. Internal Monitoring
       Internal monitoring of RAP implementation will be carried out by GSE during implementation
       of the RAP. The key person in this process will be the Local Resettlement Consultant which has
       been hired by GSE during the RAP implementation. The RAP preparation and implementation
       process will be supported by the RAP Consultant. The results will be communicated to the LAR
       Team monthly and to the Bank according to agreed schedule. Indicators for internal monitoring
       will be those related to process, immediate outputs and impacts. Monitoring will also include
       the tracking of measures taken for livelihood restoration for severely affected, vulnerable and
       physically relocated PAHs if any. This information will be collected directly from the GSE
       representatives in the municipal level LAR Teams and Working Group and reported to LAR
       Consultant to assess the progress and results of RAP implementation, and to adjust the work
       program, if necessary. The monthly reports will be quarterly consolidated in the standard
       supervision reports.

       The overall objectives and tasks of the internal monitoring process are to:


         •       Set up a system that will regularly respond to monitoring findings on an ongoing basis,
                 by adapting existing management measures or by modifying implementation processes
                 of the RAP; and
         •       Create a mechanism to capture and analyse data in a consistent and structured fashion
                 against the pre-resettlement baseline at appropriate intervals and by means of suitable
                 indicators.


       A system is in place for reporting. Since 2022, the GSE has implemented a comprehensive
       software solution designed to centralize and manage essential data and information across
       various domains, including Forestry, Environmental Protection, Permits, and the Social
       division.

       Specifically, within the social division, designated personnel are responsible for inputting both
       preliminary and finalized data related to RAP into the software platform. This includes
       comprehensive details about agreements with PAP, as well as pertinent documentation, all of
       which are stored in electronic formats.

       In order to ensure accuracy and reliability, GSE has implemented an internal monitoring
       system. This system systematically validates and cross-verifies all uploaded data to prevent
       errors or discrepancies.

       Furthermore, the software incorporates information regarding grievances. This encompasses
       key details such as the originator of the grievance, the underlying reason, the nature of the
       request, the date of submission, and the current stage revision by GRM.

       The data obtained by GSE internal Monitoring System can be used during the implementation
       of internal as well as external monitoring.


                                             Page 71 of 88
Draft version
Georgian State Electrosystem (GSE)                                                                   June 2023
Resettlement Action Plan
       The internal monitoring reports will contain: (i) accomplishment to-date, (ii) objectives
       attained and not attained during the period, (iii) problems encountered, and (iv) suggested
       options for corrective measures. The internal monitoring report will primarily be prepared by
       the Resettlement/Social Specialists and will be undertaken on a monthly basis, while impact
       monitoring by an external party (as discussed in sections that follow) will be conducted every
       six months.


Table 12-1 Preliminary Internal Monitoring Indicators
Indicator       Criteria             Frequency           Indicator
type
Activity/       Progress of          Monthly for first            • % completeness against the resettlement
outcome         resettlement and     year; bi-annually                schedule
indicators      delivery of          thereafter                   • % spend against the resettlement budget
                entitlements                                      • % of individual compensation
                                                                      agreements signed
                                                                  • % replacement housing under
                                                                      construction
                                                                  • % of completed and delivered
                                                                      replacement housing
                                                                  • % completed housing allocated to
                                                                      households
                                                                  • % of households who took occupation of
                                                                      dwellings
                                                                  • % of households that have been
                                                                      resettled
                                                                  • % of compensation that has been paid
                                                                      against entitlements
                                                                  • % completed community facilities
                                                                  • % completeness against the livelihood
                                                                      restoration plan
                                                                  • % % overall completeness against
                                                                      resettlement schedule
                Grievances           Monthly for first            • % of grievances resolved
                                     year; bi-annually            • Number of open grievances
                                     thereafter                   • Categories of grievances and trends over
                                                                      time
                                                                  • Average time for processing and closing
                                                                      of grievances
                                                                  • Gender and potential vulnerabilities of
                                                                      aggrieved individuals
                                                                  • Location of persons logging the largest
                                                                      number of grievances


                                                  Page 72 of 88
Draft version
Georgian State Electrosystem (GSE)                                                                   June 2023
Resettlement Action Plan
Indicator       Criteria             Frequency          Indicator
type
                Effectiveness of     6 monthly                   • % replacement land allocated
                livelihood                                       • Training proved on agricultural
                restoration                                         improvements
                                                                 • % of households engaged in livelihood
                                                                    restoration programmes
                                                                 • Revenue generation of the livelihood
                                                                    restoration programmes
                                                                 • Business re-establishment
                                                                 • Employment of business employees in
                                                                    re-established businesses
                                                                 • Success of individual programmes
                                                                    measured by return on investment
                                                                    and number of community members
                                                                    deriving an income from this
                Effectiveness of     Annual                      • % of implementation team members
                resettlement                                         appointed
                implementation                                   • Training/ capacity building undertaken
                management                                          as the implementation schedule for
                systems                                             these bodies
                                                                 • Schedule of meetings for all forums and
                                                                    community meetings up to date in
                                                                    terms of frequency proposed and
                                                                    minutes available
                                                                 • Grievances been lodged and tracked to
                                                                    close-out
                                                                 • Internal and external monitoring on
                                                                    schedule
                                                                 • % of findings that have been addressed
Impact          Equal or             Annual                      • % of household members experiencing
indicators      improved well                                       health conditions in the last year
                being                                            • % of household members contracting
                                                                    tuberculosis in the last year
                                                                 • % of households exposed to crime in the
                                                                    last year, including consideration of
                                                                    the prevalence of drug use within the
                                                                    households where possible
                                                                 • % of vulnerable households
                Equal or             Annual                      • % of households with increased
                improved                                            differential between household
                standard of living                                  income and expenditure

                                                 Page 73 of 88
Draft version
Georgian State Electrosystem (GSE)                                                                     June 2023
Resettlement Action Plan
Indicator       Criteria             Frequency           Indicator
type
                                                                  • % of households with a reliance on
                                                                      social grants and food vouchers
                                                                  • % of children in the households
                                                                      attending school if of school-
                                                                      attending ages
                                                                  • % of households reporting food
                                                                      shortages
                                                                  • % of households satisfied with service
                                                                      provision
                                                                  • % of households with title deeds to their
                                                                      properties i.e. security of tenure
                                                                  • % of households with one member or
                                                                      more engaged in permanent
                                                                      employment
                                                                  • % of households defining themselves as
                                                                      destitute
                Level of             Monthly for the              • % of households indicating satisfaction
                adjustment made first six months                      with their new life
                by the resettled     after                        • Qualitative assessment with households
                households           resettlement                     pre-and post-resettlement
                Effectiveness of     6 monthly                    • % replacement land allocated
                livelihood                                        • Training proved on agricultural
                restoration                                           improvements
                                                                  • % of households engaged in livelihood
                                                                      restoration programmes
                                                                  • Revenue generation of the livelihood
                                                                      restoration programmes
                                                                  • Business re-establishment
                                                                  • Employment of business employees in
                                                                      re-established businesses
                                                                  • Success of individual programmes
                                                                      measured by return on investment
                                                                      and number of community members
                                                                      deriving an income from this
                Grievances           Monthly for first            • % of grievances resolved
                                     year; bi-annually            • Number of open grievances
                                     thereafter                   • Categories of grievances and trends over
                                                                      time
                                                                  • Average time for processing and closing
                                                                      of grievances

                                                  Page 74 of 88
Draft version
Georgian State Electrosystem (GSE)                                                                  June 2023
Resettlement Action Plan
Indicator       Criteria             Frequency           Indicator
type
                                                                 • Gender and potential vulnerabilities of
                                                                     aggrieved individuals
                                                                 • Location of persons logging the largest
                                                                     number of grievances



12.2 External Monitoring
       According to the risk profile of the project , external monitoring will be carried out by a RAP
       Consultant hired by GSE. The tasks assigned to the RAP consultant will be the external
       monitoring of RAP implementation and the preparation at its end of a compliance report
       which will be the basis for WB to provide partial commencement to the start of construction.
       Key activities will be:

       (i) Assessment based on a review of the compensation tallies and interviews with the PAPs that
       all PAH have been compensated as specified in the RAP;

       (ii) Review and analysis of all complaint cases and of their resolution;

       (iii) An assessment of the satisfaction of the PAPs through a 75% survey.

       The following are the main indicators for the assessment to be carried out:

       (i)        Socio-economic conditions of the APs in the post-resettlement period;
       (ii)       Communications and reactions from APs on entitlements, compensation, options,
                  alternative developments and relocation timetables etc.;
       (iii)      Changes in housing and income levels;
       (iv)       Rehabilitation of informal settlers;
       (v)        Effectiveness of property valuation for rehabilitation purposes;
       (vi)       Effectiveness of Grievance procedures; and
       (vii)      Level of satisfaction of APs in the post resettlement period.

       Apart from the key aspects of the Compliance report Independent Monitoring will continue
       tracking the livelihoods of vulnerable people, non-legalizable land users and other groups
       affected by the project. Compliance report will incorporate results of the monitoring indicating
       whether the objectives of the RAP, i.e. livelihood restoration, were fully achieved and whether
       any corrective actions should be further planned and implemented. Another key function of
       resettlement monitoring is to take into account the impact of unforeseen external factors on the
       effectiveness of the resettlement programme. Such factors may include (but not limited to)
       natural disasters (e.g. droughts, flooding, crop failures, losses to wild animals); macro or regional
       economic change (e.g. high inflation, changes in commodity prices, changes in national or
       international market conditions, changes in taxation); political change (e.g. change in
       government, changes in policy settings); and local socio-economic change (e.g. cost of living
       changes, competition for services and natural resources, changes in the supply and demand of
       land, supply, demand and pricing of housing and labour, in-migration pressures and the like).

                                                 Page 75 of 88
Draft version
Georgian State Electrosystem (GSE)                                                              June 2023
Resettlement Action Plan
       Monitoring is critical for identifying such changes and identifying resettlement programme
       adjustments if necessary.


       Compliance Reviews
       The first compliance review, provided by the external monitor, must be conducted six months
       after the commencement of implementation. The timing of subsequent reviews will be
       determined by the findings of the first review. If there are no material review findings, the next
       review will take place after 12 months. However, should there be material findings, subsequent
       reviews will be conducted every six months, until the project is compliant and all findings have
       been resolved.


       Close-out Audit
       A Close-out Audit will be conducted within one year after completion of physical displacement
       and/ or the initiation of LR programmes. The purpose is to determine whether the
       implementation process was successful in meeting applicable standards and planning objectives,
       especially in terms of LR outcomes. To achieve close-out, criteria indicative of successful
       outcomes must be agreed with the GSE during planning. The Close-out Audit Report will
       specify if remedial plan is required or minor adjustments to current planning should be made.


       Reporting requirements
       Findings from M&E, compliance reviews, the close-out audit as well as development and
       progress against any remedial plans should be reported to the responsible parties. The frequency
       of reporting will depend on the type of reporting conducted, for example:
             • Internal M&E: monthly;
                •   External evaluation: every six months;
                •   Compliance reviews: every six months, or annually depending on findings;
                •   Close-out audit: at the end of the resettlement process; and
                •   Remedial plans: as required.




                                                Page 76 of 88
Draft version
Georgian State Electrosystem (GSE)                                                            June 2023
Resettlement Action Plan




Annex 1
Public Consultations


    Public Consultations on the Resettlement Action Plan for the "Jvari Tskaltubo" 500kV
                              Power Line Construction Project

   • On 23-24 January 2023, the representatives of GSE and Aligator LTD, held public consultations
     with the residents of the Project affected villages in Dedalauri Community of Khoni
     Municipality, Jvari and Maglki communities of Tskaltubo Municipality and Sachino community
     of Tsalenjikha Municipality. The goal of the consultations was to inform the local residents
     about the planned development and implementation of the RAP.
   • The following individuals attended the public consultations:
           o    GSE – Nino Mtsuravishvili (Deputy Head of Environmental, Social and Permits
                Department); Levan Bitsadze (Deputy Head of Environmental, Social and Permits
                Department); Nika Mikautadze (Head of the Social and Resettlement Office), Tornike
                Gelashvili (CLO); Mamuka Khoriashvili (CLO);
           o    Aligator LTD – Malkhaz Komladze;
           o    Representatives of local municipalities – Levan Tsivtsivadze (representative of the
                mayor in Dedalauri); Avtandil Kardava (representative of the mayor in Jvari); Mikheil
                Zhorzholiani (representative of the mayor in Maglaki); Bela Kvirkvia (representative of
                the mayor in Sachino).
   • Prior to the meeting GSE distributed leaflets covering information: a) about the RAP process,
     b) about GSE and its activities; and c) about a grievance management procedure applied in
       lender-funded projects.
   • Overall, public consultations were conducted in a fairly peaceful environment and residents
       were actively engaged in the meetings by posing the questions. The questions raised by the
       PAPs mainly concerned the compensation rates, easement resulted restrictions and EMF.


                                       Event-specific information


    1. January 23, public meeting in Dedalauri Community

Venue: Village Administrative building
Agenda: A presentation followed by questions.
Start time: 13:00             End time: 14:15
GSE Staff: Nino Mtsuravishvili, Levan Bitsadze, Nika Mikautadze (GSE), Tornike Gelashvili,
Mamuka Khoriashvili, Malkhaz Komladze (Aligator)
Presenter: Nikoloz Mikautadze (GSE) and Malkhaz Komladze (Aligator)
Participants: About 32 people
Number of women: 10



                                             Page 77 of 88
Draft version
Georgian State Electrosystem (GSE)                                                           June 2023
Resettlement Action Plan
    2. January 23, public meeting in Maglaki community

Venue: Village culture centre
Agenda: A presentation followed by questions.
Start time: 15:00             End time: 16:30
GSE Staff: Nino Mtsuravishvili, Levan Bitsadze, Nika Mikautadze (GSE), Tornike Gelashvili,
Mamuka Khoriashvili, Malkhaz Komladze (Aligator)
Presenter: Nikoloz Mikautadze (GSE) and Malkhaz Komladze (Aligator)
Participants: About 36 people
Number of women: 10

    3. January 24, public meeting in Sachino

Venue: Village Administrative building
Agenda: A presentation followed by questions.
Start time: 13:00             End time: 14:25
GSE Staff: Nino Mtsuravishvili, Levan Bitsadze, Nika Mikautadze (GSE), Tornike Gelashvili,
Mamuka Khoriashvili, Malkhaz Komladze (Aligator)
Presenter: Nikoloz Mikautadze (GSE) and Malkhaz Komladze (Aligator)
Participants: About 16 people
Number of women: 7

    4. January 24, public meeting in Jvari

Venue: culture centre
Agenda: A presentation followed by questions.
Start time: 15:00             End time: 16:15
GSE Staff: Nino Mtsuravishvili, Levan Bitsadze, Nika Mikautadze (GSE), Tornike Gelashvili,
    Mamuka Khoriashvili, Malkhaz Komladze (Aligator)
Presenter: Nikoloz Mikautadze (GSE) and Malkhaz Komladze (Aligator)
Participants: About 22 people
Number of women: 11




                                             Page 78 of 88
Draft version
Georgian State Electrosystem (GSE)                                                  June 2023
Resettlement Action Plan




   Consultations with Stakeholders on Resettlement issues in the Village Dadalauri, Khoni
                              municipality, January 23, 2023




                                        Page 79 of 88
Draft version
Georgian State Electrosystem (GSE)                   June 2023
Resettlement Action Plan




                                     Page 80 of 88
Draft version
Georgian State Electrosystem (GSE)                                                                  June 2023
Resettlement Action Plan




        Question/Comment               Sex               Author                         Answer


      Is it safe to live near the                                          Living outside the buffer zone is
 1                                    Male            Jambul Jaiani
           transmission line                                                 completely safe for humans.



                                                                        The amounts are unknown till the end
           What will be the
                                                                             of this stage. The audit has an
       easement amounts paid
                                      Male                               individual approach, and accordingly
 2     to us, if installation of a                   Giorgi Abashidze
                                                                            the prices will be different. The
        tower in the land plot
                                                                        compensation will be introduced to the
         becomes necessary?
                                                                                  citizens individually.
                                                                        Yes, the Project is already on place, and
        Is it known exactly          Female                              during the work, our teams will show
 3                                                    Naita Tvaladze
      where the lines will pass?                                          you the future exact location of the
                                                                                          lines.

        Will the construction
                                      Male              Avtandil         During the work safety rules will be
 4    process damage us in any
                                                       Gurabanidze      observed as much as possible. In case of
                way?
                                                                         damage, it will be fully compensated.



        Is it allowed to plant                                            Yes, any annual crop is safe to grow
 5                                    Male              Gela Jaiani
      anything under the lines?                                                     under the lines.




       Is it safe to let animals      Male                              Yes, it is safe for animals/cattle to graze
 6                                                    Ilia Abashidze
           under the lines?                                                      and stay under the lines.



                                                                         If it is confirmed that a PAP is using
        Will those who fail to                                            the asset existing on the land plot,
         register land plots,                                           he/she will be compensated. PAP will
 7                                                  Ioseb Bandzeladze
             receive any                                                  receive land compensation for the
                                      Male
           compensation?                                                 easement and acquisition of the plot
                                                                                only after the registration.




                Consultation with Stakeholders on Resettlement Issues in the village Magalaki


                                                Page 81 of 88
Draft version
Georgian State Electrosystem (GSE)                            June 2023
Resettlement Action Plan


                                     Tskaltubo municipality
                                        January 23, 2023




                                          Page 82 of 88
Draft version
Georgian State Electrosystem (GSE)                                                                  June 2023
Resettlement Action Plan




            Question/Comment                 Sex                   Author                    Answer


                                                                                   Yes, it is absolutely safe to
        Is it safe for humans to walk,       Male
  1                                                           Elguja Kashibadze   walk, drive or move under the
             drive under the lines?
                                                                                                lines




         What types of trees will be                                              Compensation will be given for
  2                                          Male              Guram Svanidze
              compensated?                                                           the fruit-bearing trees.




                                             Male                                 Tower areas vary depending on
  3    What is the area of the tower?                          Murad Svanidze
                                                                                           their type.




                                                                                  Construction on private plots
        When does the construction
  4                                         Female            Julieta Chirgadze   will start after compensations
                 start?
                                                                                             are issued.




                                                                                   No, if the house falls into the
  5     Can you live under the lines?        Male              Gizo Kashibadze     buffer zone, the government
                                                                                    will purchase the property.




       Is construction allowed under         Male                                   No, construction under the
  6                                                          Avtandil Tcholadze
                 the lines?                                                         buffer zone is not allowed.




                                                                                     When the field work is
         When will you start issuing                                                   completed and the
  7                                          Male              Jemal Jankhoteli
             compensations?                                                        Resettlement Action Plan is
                                                                                            prepared.




                           Consultation with Stakeholders on Resettlement Issues
                                                   Page 83 of 88
Draft version
Georgian State Electrosystem (GSE)                                               June 2023
Resettlement Action Plan


                                     Village Sachino, Tsalenjikha Municipality
                                                 January 24, 2023




                                                   Page 84 of 88
Draft version
Georgian State Electrosystem (GSE)                                                                June 2023
Resettlement Action Plan




          Question/Comment            Sex              Author                  Anwer
                                                                         Yes, based on social
          Is there any additional
                                     Male                            surveys, the social status of
   1       compensation for the                     Patiko Mikenia
                                                                       the PAP will affect the
             vulnerable PAPs?
                                                                      amount of compensation.



        How safe is living around                                    Residing out of the buffer
   2                                 Male           Tamaz Gvilava
              the towers?                                                   zone is safe



                                                                     The distance between the
                                                                      towers depends on the
           What is the distance      Male                            terrain. On a flat surface
   3                                               Romanoz Gvilava
           between the masts?                                        the distance between the
                                                                     masts is bigger than on a
                                                                             hilly one.

                                                                           The lines create
                                                                     electromagnetic field, the
                Do the lines emit    Male             Avtandzil      radiation emitted by them
   4
                   radiation?                         Janjghava       is less than the radiation
                                                                         emitted by ordinary
                                                                        household appliances.

                                                                     Only the construction of a
                                                                      building and growing the
                                     Female                          trees higher than 4 meters
         Can we work under the
   5                                                Tsiala Gvilava     is prohibited under the
                 lines?
                                                                        lines under the N-366
                                                                     ordinance of the Georgian
                                                                             government.

                                                                       Residents in the buffer
                                                                      zone are restricted from
        Will I be allowed to build   Male                             constructing buildings.
   6    a house in my plot in the                   Tamaz Gvilava
                                                                          There will be no
                  future?
                                                                       restrictions from GSE
                                                                      outside the buffer zone.


                                                                          No, the amount of
                                                                         compensation is not
          Are compensation rates                                     known until the field work
   7                                               Lebvan Abralava
           known for per sq.m?       Male                            is completed and the audit
                                                                     assesses the assets based on
                                                                          this information.


                                              Page 85 of 88
Draft version
Georgian State Electrosystem (GSE)                                             February 2023
Resettlement Action Plan



                     Consultations with Stakeholders on Resettlement Issues

                                     Jvari, Tskaltubo Municipality

                                           January 24, 2023




                                                                              Page 86 of 88
Georgian State Electrosystem (GSE)                                                     February 2023
Resettlement Action Plan




        Question/Answer               Sex       Author                      Answer

           Will damaged
                                     Male                          All assets damaged during
 1         raspberries be                     Phiruz Kurua
                                                               construction will be compensated.
           compensated?




                                                             Lines have their own protection zone;
     Is it safe to live near the     Female
 2                                            Irma Kardava   it is safe to live outside the protection
                 lines?
                                                                                 zone.




                                                              The state will pay compensation for
      Who will compensate
                                                             assets damaged during construction, if
       the infrastructure                       Malkhaz
 3                                   Male                      such an asset is common property
        damaged during                          Kardava
                                                             (road), the state will oblige the person
         construction?
                                                                 who damaged it its restoration.




                                                             The lines create electromagnetic field,
         Do the lines emit           Female                   the radiation emitted by them is less
 4                                            Keto Tordia
            radiation?                                           than the radiation emitted by
                                                                ordinary household appliances.




                                                                                     Page 87 of 88
Georgian State Electrosystem (GSE)                                                 February 2023
Resettlement Action Plan


         What will be the
                                                                 Easement will restrict the
      restrictions imposed by        Male
 5                                          SoSo Phiphia   construction of buildings and growing
             easement?
                                                               the trees higher than 4meters.




       Will we be notified in
       advance of the start of                             Yes, the PAPs will be informed about
                                     Male     Ramaz
 6    construction so that we                              the construction commencement date
                                             Gogokhia
         can dismantle the                                              in advance.
         fences ourselves?


       Will you still help us                              Within the framework of our project,
       with registrations or                               GSE takes over the registration of land
      should we wait for the                  Amirani      plots in the buffer zone, therefore the
 7     arrival of the public                 Kukhilava     registration process will continue for
             register?               Male
                                                             those who have not yet registered
                                                                       their land plots.




                                                                                  Page 88 of 88