Alborz Integrated Land andWater Management Project (AILWMP) Supplementary Environmental and Social Assessment Executive Summary September 2004 0-11 9/16/2004 TABLE OF CONTENTS 0 EXECUTIVE SUMMARY III 0.1 INTRODUCTION 1 0.2 REGULATORY AND ADMINISTRATWE FRAMEWORK 3 0.3 PROJECT DESCRIPTION 7 0.4 ENVIRONMENTAL AND SOCIAL BASELINECONDITIONS 12 0.5 ASSESSMENT OF ENVIRONMENTAL AND SOCIALIMPACTS 24 0.6 PUBLIC CONSULTATIONS ON THE A I L W P 32 0.7 ENVIRONMENTAL AND SOCIAL~ " A G E M E N T PLAN (ESMP) 34 Annex A: EnvironmentalandSocial Management Plan (ESMP) fox AILWMP Annex B: ResettlementPlan and Frameworks 0-111 9/16/2004 LIST OFACROYNMS AILWMP Alborz IntegratedLand and Water Management Project ANOVA Analysis o f Variance a.s.1. above sea level ASC Agricultural Service Centers BOD Biological Oxygen Demand BP Bank Procedure (World Bank) BWC Basin-Wide Committee BWF Basin Water Fund BWMF BasinWater Management Fund CAS Country Assistance Strategy CDD Community DrivenDevelopment CEP Caspian Environmental Program CHO Cultural Heritage Office CLO Central Liaison Office COD Chemical OxygenDemand CWRAS Country Water Resources Assistance Strategy DDT dichlorodiphenyltrichloroethane DO Dissolved Oxygen DOE Department of Environment EA Environmental Assessment E A W Eastern Anatolia Watershed RehabilitationProject (World Bank) EC Electric Conductivity EFS Extension and Farming Systems EIA Environmental Impact Assessment EMP Environmental Management Plan EPP Emergency Preparedness Plan ESA Environmental and Social Assessment ESMP Environmental and Social Management Plan FFS Farmer Field School FRWO Forest, Rangeland and Watershed Organisation (of MOJA) GIS Geographic Information System GO1 Government o fthe Islamic Republic o f Iran GPS Global Positioning System GSRC Government Stakeholder Representation Committee GW Groundwater ha Hectares IAS InterimAssistance Strategy (of World Bank) I&D Irrigationand Drainage I M S InformationManagement System I P M Integrated Pest Management IPPPM IntegratedPest and Plant Protection Management I.R. Islamic Republic IUCN International Union for Conservation o fNature & Natural Resources IWMV Integrated Water Resources Management IWRM Integrated Water Resources Management INMU IntegratedWater Management Unit TUCN International Union for Conservation o fNature and Natural 0-IV 9/16/2004 Resources km Kilometer LO Liaison Office LUP Land Use Planning M&E Monitoring and Evaluation mcm Million cubic meters MCC Main Conveyance Canal MEF MinistryofEconomyandFinance MDOE MazandaranProvincial Department o f Environment MDOFA MazandaranDepartment of Fisheries and Aquaculture MGCE Mahab Ghodss Consulting Engineers meq Micro-equivalent MGCE Mahab Ghodss Consulting Engineers MGRWC Mazandaran and Golestan Regional Water Company MGW Mega Watts MIS Management Information Systems Unit MJAD Mazandaran Jihad and Agriculture Department mm Millimeter MNA Middle EasVNorth Africa MOE MinistryofEnergyandWater MOH MinistryofHealth MOEF MinistryofEconomics andFinance M O H MinistryofHealth MOJA MinistryofJihad Agriculture MPO Management & PlanningOrganization (Govt. o f I.R.Iran) O&M Operation and Maintenance MPPO Mazandaran Plant Protection Office OMC Mazandaran Operation and Maintenance Company (irrigation) MR Million Rial MRWA MazandaranRegionalWater Authority NCAP National Caspian Action Plan NDB National Development Budget NGO Non-governmental Organization O&M Operation and Management OP Operational Policy (of the World Bank) OMC Operation and Maintenance Company PCB Polychlorinated Biphenyls PDRI Plantpest and Disease Research Institute PH Chemistry potential o f Hydrogen PIPP Priority Investment Project Portfolio PIC Prior Informed Consent PIU Project ImplementationUnit PMF Probable Maximum Flood POE Panel o f Experts PPD Plant Protection Directorate PPDR Pest and Disease Research Institute POP Persistent Organic Pollutants PPO Plant Protection Organization (of MOJA) PSI Pollution Standard Index RP Resettlement Plan RPF Resettlement Policy Framework 0-v 9/16/2004 SAP Strategic Action Program SPSS Standard Procedure of Scientific Studies STD Socio-institutional Development Teams TDA Transboundary Diagnostic Oxygen TDS Total Dissolved Solids TSS Total Suspended Solids UNDP UntiedNations Development Program UNEP United Nations Environment Program US$ UnitedStates Dollars WB World Bank WHO World Health Organization WQ Water Quality WUA Water User Association WUG Water User Group 0-VI 9/16/2004 0 EXECUTIVE SffMMXRY 0.1 INTRODUCTION This Executive Summary presents the mainfindings of the Supplementary Environmental and SociaZAssessment (SA) of the Alborz Integrated Land and Water Management Project (AILWMP). An Environmental Impact Assessment (EIA) of the Alborz Dam, includingthe irrigation and drainage network, was prepared in1997by Mahab Ghodss Consulting Engineers of Iranand, after several revisions, approved by the Department of Environment (DOE)in2003. An English translation of the EIA was prepared in2002. As part of the preparation of the AILWMP, the Government of Iran (GOI)has decided to conduct further studies and complement the original EIA with a SupplementarySA,31March2004; the two reports together constituting afulZ environmentd and sociaZ assessment. An electronic version of the original EIA (onCD-ROM) i s available together with this Supplementary ESA. This Executive Summary is intended to be a self-contained, stand-alone document that canbe relied uponto provide major information necessary to understand the environmental and social sensitivities, potentially significant impacts, and mitigationmeasures to be undertaken under the proposed project. The reader i s referred to the mainbody of the ESA and/or original EIA for specific information or further details not presented indepth inthis summary, inparticular for a description of the existing social and ecologicalenvironment as well as relevant baseline data. The Project is proposedfor partialfinancing by the World Bank and as such will have to comply with World Bank guidelines relative to environmental andsocial safeguard policies as well as applicable laws andregulations of the GOI. The ESA was prepared onbehalf of the GO1by Mahab Ghodss Consulting Engineers, with the assistance of several consultants listed inthe ESA. 0.1.1 Background The Alborz Damis beingconstructed on the Babol River and is locatedjust downstream of the confluence of the tributaries Azar, Karsang and Eskelim. The main purpose of the Alborz D a mi s to provide a reliable supply of water for irrigationof the agricultural plains between the Alborz Mountains and the Caspian Sea inMazandaranProvince. The construction of the dam commenced in1999withfundingfromthe GO1anditis expectedto becompletedin2006. 0-1 9/ 16/2004 While the Alborz Damis exclusively funded andconstructedby the GOI, the GO1 has requested a loanfrom the World Bank to support the construction of an irrigationand drainage network to beirrigated by the daminMazandaran. The GO1agreed to integrate this irrigation and drainage network into a comprehensive project introducing integratedwatershed planningand management inIran. This integratedproject i s referred to as the A I L W P . 0.1.2 Supplementary Environmental and Social Assessment As described above, as part of the preparationof the AILWMP, the GO1has decided to conduct further studies andcomplement the original EIAwith a supplementary ESA.The Supplementary ESA covers the entire area of the AILWMP (including the upper catchments, middle sectionand lower lands) and addresses issues that were not fully covered inthe original EIA. The Supplementary ESA i s also consistent with the recommendations of the Country Water Resources ManagementStrategy (CWRAS) recently prepared by the World Bank, which indicated that many damprojects have not produced positive impacts on the ground due to uncoordinated downstream irrigationand on-farm management practices, and poor upper watershed management leading to the rapid siltation of dam reservoirs. Although the Alborz Damis not financed by the AILWMP, it falls within the project area and therefore the aforementioned EIA was reviewed for compliance withthe Bank environmental and social safeguardpolicies. The Supplementary ESA covers a larger project area than the original EIA, itconsiders all aspects of an integratedwater basin approach (rather than a stand-alone damwater storage project), andit provides supplemental social and environmental mitigation, monitoring andcapacity buildingmeasures, as will be fully described below. With regards to the World Bank safeguard policies, several major issues have been addressed within the Supplementary ESA. For example, the GO1recently established the DamSafety Panelof Experts (POE) inorder to examine the soundness of the design, construction plan, and operation andmaintenance aspects, as outlined inOperational Policy (OP)4.37 Safety of Darns. The D a m Safety POE provided its findings and recommendations inorder to secure the safety of the dam as well as optimized operation and sustainable reservoir management. The GO1also prepared three resettlement instruments inaccordance with the Bank's OP 4.12 Involuntary Resettlement, which included mechanisms for those who have already beenrelocatedwith compensation according to Iranianlaw, andfor retrospective compensation. These are examples where World Bank support has provedbeneficial for all stakeholders, particularly the poor livingin the upper watershed who are frequently left without adequate compensation. 0-2 9/ 16/2004 Inadditiontothe aforementioneddamsafety andresettlementaspects, theEIA review also concluded that a number of the expected joint environmental and social impacts of the Alborz DamProject andthe AILWMP were not covered in sufficient detail. The Supplementary ESA addressed the potentialimpacts of the AILWMP as is fully described below. 0.2 REGULATORYANDADMINISTRATIVE FRAMEWORK 0.2.2 National Legal Framework Iranhas a comprehensive legalframework guidingwater resources management .andenvironmental management andprotection. Arficle 50 of the Constitution of Islamic Republic ofIran declares the protectionof the environment a public obligation and therefore "economicand any other activity, which results in pollution or irremediable destruction of the environment, is prohibited". Important laws relevant to the AILWMP include: 0 The Plant Protection Act (1967) andthe Plant Protection Implementation Regulation e Law on the Protection of Forest and Rangelands (1967)l e Environmental Protection andEnhancement Act (1974) 0 Law for EndangeredSpecies of Wild Fauna andFlora (1974) e Law for Protection of the Natural Parks, ProtectedAreas and Sensitive Areas (1975) e LandAcquisition Law (1980) e Law for Proper Use of Water Resources (1982) e Law for Environmental Protection Against Water Pollution (1984) e Law on Economical, Cultural, Societal Development (1989) 0 Law for Protection Against Natural Environmental Damages (1991) 0 Law for EnvironmentalProtection and Development (1991) Furthermore, regulations under the current 3rd Five-Year Development Plan (2000- 2005) address relevant water and environmental aspects. The Executive Bylaw for Paragraph (c) of Articles 104 and134 include (i) the categorization of water bodies based on their environmental sensitivity; (ii) the establishment of national discharge standards; and (iii) the set-up of a n enforcement mechanismfor discharge standards compliance based onfines. Iranhas taken several measures to enhance international cooperation with relationto environmental affairs andhas accepted internationallegal responsibilities by adhering to a substantialnumber of international conventions. These include the Conventionon Biodiversity, the Convention on Wetlands ("Ramsar" 1The Law is presentlyunder reviewto makeroomfor morecommunity involvementandparticipation 0-3 9/ 16/ 2004 Convention), the World Heritage Convention, CITES, the Rotterdam Convention on the prior Informed Consent Procedurefor CertainHazardous Chemicals and Pesticides in International Trade, Stockholm Conventionon Persistent Organic Pollutants, and the Kyoto Conventionon Climate Change (since 1997). 0.2.2 National Policy Framework The AILWMP will be implemented under the overall policies and provisions of Iran's Five Year DevelopmentPlans, of which the fourth i s currently under preparation, and inaccordance with the GOI's environmental strategies. In1993, the National Sfrategyfor Environmental SustainableDevelopment was adopted. Its framework includeda n environmentally-oriented set of policies inthe 2nd Five- Year Development Plan (2994-2999) andfostered increasingpublic awareness o n issues related to sustainable development inthe country and their relationship to international environmental concerns. Intheforestry sector, the GO1ispursuingastrategyof multiple-use forest utilizationand is launching a vigorous national programto reclaim destore forests and rangelands, protect watersheds and manage naturaland man-made forests on a sustained-yield basis. The government is promoting the creation of forest cooperatives that are organized at the level of individualwatersheds and forested sub-catchments. The cooperatives are envisaged to enter into a contractual relationship with the GO1and obtain long-term concessions to carry out various forest management and rehabilitation activities at the watershed level. The GO1is also encouraging the private sector to get involved inlong-term concession management of large forest areas with the objective of sustainable commercial forestry. Interms of resettlement, the Ministry of JihadandReconstruction(MOJA)is responsible for resettlement. Order No.l948/SlO/V (1996) and the subsequent amendments of 2001 and2003 guide the resettlement process of forest dwellers, including the relocationof livestock herders f r o m degraded rangeland and forests. The Order i s applicable to all settlements and animalhusbandry units located within designated forests as approvedby the Forest, Range and Watershed Organization (FRWO) under MOJA. Compensation and other benefits prescribed under the Order willbe available to those who (i) participate inthe resettlement program; (ii) remove all livestock from the forest; (iii) surrender all exemptions they enjoyed within the forest area; and (iv)formally give up all claims and rights they had inside these areas. Under this national program, all single forest dwellers and villages fewer than20 households need to participate in the plan. 0.2.3 National and Regional Institutional Framework Regional development programs are preparedby the provincial ministry offices and submitted to the central government andrespective ministries for approval. 0-4 9/ 16/2004 After review andmodifications, the regional development programs are consolidated into the National Development Program, whichis then submitted for approval. The individualprograms and associatedbudgets are thenpassed to each ministry for implementation. Differentministries and organizations are responsiblefor different aspects related to the project: The MOEis responsible for water supply and water resources management issues through the Mazandaranand Golestun Regional Water Company (MGXWC) and, inthe field of irrigation, through the Operation and Maintenance Company (OMC). MOJAis responsiblefor (i) forest andwatershed management throughthe FRWO; (ii)Integrated Pest Management (IPM)andbiological pest control through the Plant Protection Office (PPO)inMazandaran Province; and (iii) provisionof the extension services to farmers through the regional extensionservice organizations. Currently, there are no plant protection officers at the rural service center level, which poses a major constraintfor promotingandstrengthening IPM. The Department of Environment @OE) has overall responsibility to 'guaranteezoise and permanent use of the environment in compliancewith sustainabledevelopment' as well as 'preventing the destruction and pollution of the environment, and taking decisive action to control critical environmental situations including extremepollutionI.The DOEhas animportant environmentalmonitoringrole as well as the responsibility to enforce relevant laws under its jurisdiction. 0.2.4 World Bank Safeguard Policies The AILWMP is classified as a Category A project under OP4.01. An Environmental Assessment (EA) and the development of an Environmental and Social Management Plan(ESMP) that describes measures to mitigate negative project impacts andenvironmental monitoringarrangements are therefore required. The ESMPconstitutes one of the five components of the AILWMP and includes detailed list of mitigationactivities as well as a budget planand schedule for the implementation of the ESMP. Inadditionto OP4.01, the AILWMP triggers sixWorld Bankenvironmental and social safeguard policies. The policies are described below (Table1.1). 0-5 9/16/2004 Table 0.1 World Bank Safeguard Policies andAILWMP Actions Safeguard Policy AILWMP Action Environmental Assessment (OP4.01) AnEnvironmentalandSocialAssessment has been prepared that includes an Environmental and Social Management Plan as well as an environmental monitoring program (AILWMP Component 4). Pest Management (OP 4.09) A comprehensive PestManagement Report andPlanhas been preparedby MOJA. As part of the ESMP, the plan includes proposals for Integrated Pest Management (IPM) and biological pest control activities. Cultural Property (OPN 11.03, being The Cultural Heritage Office inSari, Mazandaran revised as OP4.11) confirmed that there are no valuable cultural andreligious properties inthe areas of the Alborz Dam project and the AILWMP. Chancefind procedures are inplace during construction incompliance with GO1and World Bank safeguard policies. Involuntary Resettlement (4.12) A ResettlementPlan(RP) for the Alborz Damsite has been prepared. A ResettlementPolicy Framework (RPF) for the upper watershed and one for the lower watershed area have beenprepared. Forests (OP 4.36) A participatory community-based forest management programwill be designed under the AILWMP Upper Watershed and Forest ManagementComponent. This component includes participatory master planning of forestry andwater resource protectionactivities duringthe inception phase of the component as well as community- based implementation and management arrangements. Safety of Dams (OP4.37) A DamSafety Planis currently under preparationby MGRWC. A DamSafety Panel of Independent Experts was established and held its first round of meetings and a site visit (February 2004). A first set of dam safety recommendations to the MGRWChas beenprepared. Recommendations and guidance will be provided inthe form of regular dam safety reports o n construction supervision, operation and maintenance (O&M), instrumentation and emergency preparedness. Project o n InternationalWaterways Rivers originating inthe project area enter the CaspianSea, (OP7.50) thus, the AILWMP triggers OP 7.50. The impact of the rivers of the project area o n the Caspian Sea has been assessed and found insigruficant both interms of water quantity and quality. Inorder to comply with the policy, project notification letters will be issued soon and sent to the riparian countries of the CaspianSea, i.e. Azerbaijan, Russia, Kazakhstan andTurkmenistan. 0-6 9/ 16/2004 0.3 PROJECT DESCRIPTION 0.3.2 Project Area The project area, shown inFigure 0.1, includes the: (i) watershed, covering upper temperate forests and alpine rangelands; (ii) middlelands, whichare comprised of irrigated valley bottoms and mostly degradedforests on hillsides; and (iii) lower lands, which are composed of irrigated plains close to the Caspian Sea. In all, the AILWMP covers a total area of 1,347 km2, of which the upper watershed covers 346 km2, the middle lands 110 km2, andthe lower lands 891km2. The upper watershed ranges from mountaintops at 3,300 meters a d . down to the Alborz Damsite at 190meters a.s.1. The middle sectionis defined as the area between the Alborz Dam and the beginning of the mainirrigation canal, at an elevation of 150meters a.s.1. The lower lands are locatedbetween 150to -25 meters a.s.1 (CaspianSea coast). They are densely populated and predominantly used for irrigation agriculture. The six maincities of the project area (Babol, Babolsar, Amirkola, Azizak, Joybar and Behnamir) are also locatedinthe lower lands, where the vast majority of the 1millionpopulationinthe project area lives (I). Itshould benotedthat the Alborz Damfalls withinthe project area; however, itis not a component of the AILWMP itself. The AILWMP was developed to mitigate potential negative impacts and enhance positive impacts of the dam o n the surrounding environment. However, since the damfalls within the project area of the AILWMP, due diligence was conducted on the damby the World Bank prior to initiationof project preparation. 0.3.2 ExtendedProject Area Inadditionto the above, there isalso anextendedproject areawhich encompasses the entire catchment of the Talar andSiah Rivers inaddition to the upper catchment of the BabolRiver, as illustrated inFigure1.2. Dueto the hydrologicalconnectionthat exists betweenthe extendedproject area and the lower landsinthe mainproject area, activities inthe former will influence conditions inthe latter, butnot vice versa. For this reason, project activities includea limitedhydrological data collection programinthe extendedproject area inorder to provideinputs to water balance modeling and forecasting analyses for the project area. (1)Of this population, approximately 214,000 (theruralpopulation) willbebeneficiaries of the ILWMP, inaddition to approximately 3400 inhabitants inthe upper watershed. 0-7 9/16/2004 0.3.3 Project Development Objective The AILWMP will introduce anintegrated river basinapproachto land and water resources management, which will be the first of its kindinIran. The development objective of the project is to enhance current GO1efforts to achieve sustainable integratedlandandwater management at basinlevelthrough: 0 Sustainably increasing agricultural productivity through the improved irrigation and drainage system and participatory management mechanism; 0 Reducing soil erosion andsediment yields into the Alborz Dam, which is currently under construction usingthe GO1funds, through improvedupper watershed management; and 0 Protecting the water environment downstream of the Babol River andother water bodies through improved hydrological water quality monitoring, / reservoir operation, andpest management. The project will ensure the sustainable management of water resources throughout the Alborz River BasininMazandaran Province. Improvingthe management of forests and rangeland inthe upper watershed of the Alborz Dam will reducewatershed degradation, soil erosionandsiltation, thereby benefiting all stakeholders inthe rural andurbanareas downstream. By including water users infarm-level Water Users Associations ('WUA), the development offorest cooperatives at the micro-catchment level, anda Basin Water Committee (BWC),the project adopts the subsidiarity principle and supports decision makingon water resources management andimplementation at the lowest appropriate administrative andinstitutional levels. A comprehensive river basin development approachwill facilitate solutions to basin-level water allocation and water quality problems, which will eventually lead to better naturalresource management and conservation. The design of the project represents an attempt to solve inter-sectoral water conflicts over ground and surface water allocation and usage inan efficient, economic and equitable manner for long-term implementation. This will provide valuable lessons for potential replication inother river basins of the country inthe forthcoming 4" Five-Year Development Plan of the GOI. 0.3.4 Project Components The Project will comprise the following five components: Component 1.Upper Watershed, Forestrv and RangelandManagement (Base Cost (US$13 million): This will include: (i) assistance for preparing an technical upper watershed master planand capacity buildingfor community management organizations; (ii) forest and rangeland rehabilitation and management including nursery construction and natural artificial stands regeneration (51,500 ha); and / 0-10 9/ 16/2004 (iii) andwaterprotectionmeasures,suchasgabioncheckstructuresandother soil vegetative measures, over the upper watershed area. This component aims at establishingeffective soil andwater protectionmeasures by improving sustainable and participatory community-based forest and rangeland management includingthe establishment of cooperatives inthe upper watershed; The Upper Watershedand Forestry Management Componentwill have aninception phase of 1-11/2 years with the preparation of a comprehensive master planbeing the key activity. The inception phase will be followed by an implementation phase focusing onforest replanting, rangeland rehabilitation, and construction of watershed protection structures. Component 2. Irrigation and Drainage Management (Base cost US$130million): This willinclude: (i) rehabilitationandconstruction of irrigationand drainage systems covering a total area of about 52,000 ha, comprising 33,000 ha of traditional irrigation areas, and 19,000 ha of newirrigation areas which are currently being rainfed with supplementary irrigationby groundwater; (ii) capacity buildingand technical assistancefor establishment of WUAs to manage secondary networks and cost recovery of O&M expenditures, and (iii) agricultural extension and research activities to support farmers for improvedwater management, crop diversification andincreasedincome. This component aims at supporting the enhancement of irrigation water use efficiency andagriculture production/income by rehabilitationand modernization of the irrigation/ drainage systems, together with improved O&M, diffusionof participatory water management, and training and support for agriculture extension/research. The Irrigation and Drainage Componenti s dividedinto a construction and an operations phase. There will also be a mobilization and a consolidation phase concerning the formation andestablishment of WUA. The execution of the irrigationanddrainage network construction will start one year after the completion of dam construction, but should be completed with dampriming. The execution of some parts of the network will start in2006, five years after dam completion. Component 3. Integrated Water Resources Management (Base cost USS7 million): This component will finance: (i) technical assistance to establish a BasinWater Committee (BWC); (ii) a BasinWater Fund(BWF)providing assistance for c o m u n i t y based activities for water and naturalresource conservation, and (iii) the establishment of a support system that enables the BWC to discharge its mandate of involving stakeholders by sharing information on environmental impacts, benefits of the project, and promoting water conservation inthe basin. Inter-sectoral consultation andinformationdissemination activities will include the development of a Geographic InformationSystem (GIS) andlocal workshops. The preparation and management of anintegrated water distributionsystemfor 0-11 9/16/2004 optimizedwater delivery covering the dam reservoir and farm areas will include: (i)improvements to hydrometric data collection and processing; (ii) integrated an water management unit; and (iii) system development for optimized water release and distribution for irrigation areas, includingab-bandans. The implementingagencies will be MOJAand MGRWC. Component 4. Environmental Management (Basecost US$8.5 million): This will include the following subjects as identifiedinthe Environmental andSocial Management Plan (ESMP): (i) water quality monitoringinrivers, aquifers and abbandans, (ii) river ecology monitoring andmitigation; (iii) monitoring forest and management; (iv)anintegrated pest management plan; (v)resettlement instruments; (vi) a dam safety plan; (vii) physical cultural property; and (viii) public participation and awareness raising. These willbe provided inthe form of technical assistance for special studies, monitoringequipment provisionand capacity buildingtrainings for governmental staff and users as well as prioritized mitigatory measures. Component 5. Project Implementation and Coordination Support (Base cost US$4 million): This component will provide support for project implementation and coordination at the national and basin level. The component will also provide institutional support for MOJA and MGRWC including strategic sectoral and feasibility studies for future projects. The GO1andthe World Bank agreed that the project implementation period will be seven years. 0.4 ENVIRONMENTAL AND 0CIAL BASELINECONDITIONS s 0.4.1 Hydrologica1 Characteristics Average river flows inthe two mainrivers inthe project area are showninTable 1.2. River flows reach their peak levels duringthe winter from November to April (highestlevel inMarch), while the lowest flow levels are recordedduringthe period from June-August. Table 0.2 TheAverage Flows of the TwoMain Rivers, Talar and Babol River River Station Annual Flow Statistics Average (m3/s) Volume (MCM) Babol GuranTalar (upper) 8.2 258 Babol Babol 15.7 492 Babol Miandasht (lower) [*I 13.4 420 Talar Shirgah (upper) 7.5 236 Talar Kiakola (lower) 9.9 310 PI AveragefZows at Miandasht are lower than at Babol due to irrigation abstraction between stations 0-12 9/16/2004 Groundwater inthe project area i s characterized by one single aquifer. The groundwater table i s relatively deep inthe upper watershed and shallow inthe middleandlower lands, insome cases as high1meter below the surface. The direction of the groundwater flow i s from south to north. The water table depth inBabolCity andfurther downstreamisonly 2to3.5 meters. Dueto groundwater extraction, mainly for agriculture, the water table falls duringthe dry season, butis rechargedduringwinter andreturns to the original levelafter the rainy season. The total water consumption (ground and surface water) inthe project area amounts to approximately 526 MCM/year, of which 97 percent is consumed in the densely populatedlower and middle lands. Of this more than 90 percent i s consumed by the agricultural sector. Groundwater provides over 60% of the water consumed inthe middle andlower lands, and is also the main source of agricultural supply (approximately 60%) andvirtually the sole source of drinking water (over 97%). The following sections summarize some of the other physical characteristics of the project area. Upper Watershed The upper zoatershed in the Alborz Mountains consists mostly of Miocene limestone. The annual precipitation inthe upper parts is 600 to 700 nun. Infiltrationi s rapid, precipitation water quickly penetrates the soils to the bedrock before itis slowly discharged to the river streams. Thus, there is continuous water discharge throughout the year and stable river flows duringthe dry season. The upper watershed is part of the CaspianFault that stretches along the northern slopes of the Alborz mountainrange. The area is extremely prone to earthquakes. The fault line i s very active with an earthquake potential of 7.2 on the Richter scale. The highest recorded earthquake inthe upper watershed was 6.2 on the Richter scale. The seismic activity levelinthe upper watershed renders a seismic risk assessment and analysis of the Alborz Dam and other infrastructure highly important. Most of the upper watershed is still forested. Because of the generally good vegetation cover, landslides and soil erosion are limited. However, severe erosion occurs on the degraded alpine grasslands at higher altitudes. The main causes of erosion are livestock grazing and movement o n steep, unstable slopes. The Babol River originates inthe upper watershed. The main tributaries, Azar, Eskelim andKarsangRivers, join the Babol River 1-3 kmabove the dam site. Babolak River joins the river system immediately below the damsite. Sajad and Kharonrivers join Babol River between the Ganj-Afrooz diversion weir and the 0-13 9/16/2004 city of Babol. The total annual water discharge of Babol River at the dam site i s 215 MCM. Middle Land The middlelandis a transition zone betweenthe upper watershed andthe lower lands, with cultivated, flat valleys surrounded by hills up to 500 meters a d . Limestone underlies the hills and the valleys are alluvial. Soil types are mostly comprised of silty clay and the sandy fractions increase towards the north. Infiltrationrates are l o w because of texture and the underlyingbedrock. Soils are well suited for paddy rice cultivation. Precipitation is highest inthe middle section with up to 1000-1100"/year inQuran-talar. Precipitationishighest duringOctober andNovember andlowest duringthe summer (June). Lower lands The lower lands betweenthe middlelands and the CaspianSea consist of cultivated plains with a maximum elevation of 150ma d . Soils are derivedfrom alluvial deposits on Miocene rocks duringthe quaternary era. Soil types are silty clay soils withhighorganic content inthe areas between Ghaemshahr andBabol to Amirkola. Lightsand soils canbe found near the shore of the Caspian Sea. The average annual rainfall inthe lower lands ranges from 800 to 900 mm. Seismic activity is less intense thaninupper and middle lands. Inthenortheastof the projectarea, includingsections of the Talar, Babol, and Haraz plains, saline seawater is intrudinginto the coastalfresh water aquifers due to minor elevation differences betweenthe sea andthe ground surface andthe unsustainable extraction of groundwater, This intrusion is occurring inmost parts of the eastern coastal areas of the plain, starting from Babolsar all the way to the outlet of the Siah River. Insome of these areas, the intrusion of seawater has advanced to inlandareas as far as 6 to 8 km. To prevent the further intrusionof seawater, itwillbe necessary, throughensuring adequate groundwater recharge, to establish a ground water levelthat is permanently above the sea surface. The reservoir of the Alborz Damwill contribute to raising current groundwater levels. 0.4.2 Water Quality As described above, surface waters inthe project area are mostly used for agriculture and are rarely usedfor drinking, except insome parts of the upper watershed. The most importantwater body inthe area is the Babol River. Other important surface water bodies are the Talar andSiahrivers and the ab-bandans (ponds) that are usedfor irrigationsupply and (insome cases) aquaculture inthe lower lands. Irrigation water will be divertedat two diversions weirs, Ganj-Afrooz and Reiskola, located on the Babol River within the project area. At these two 0-14 9/16/2004 diversion weirs there is good water quality, and the diverted water i s considered suitable for irrigation use. However inthe lower parts of the Babol River the water quality becomes degraded due to contamination by general agricultural run-off and due to many point sources of industrial and commercial outfalls near the urban areas. The water quality inthe lower reaches of the Babol River is sometimes not suitable for irrigation uses. While the data available on the physicalenvironment are reasonably good, the available data o n the chemical environment, especially water chemical properties and pollutionlevels, are insufficient to establish a clear and detailed picture of the current situation of water resources. There i s a particular shortage of data on water quality bothfor surface water and groundwater resources, andthe reliability of the available data are questionable insome cases. The below assessmentof the baseline conditions is therefore incomplete and inadequate for the establishment of a monitoringbaseline against which project impacts canbe evaluated. The establishmentof a reliable set of baseline data on water quality and pollutionlevels will therefore be a priority activity under the AILWMP. Comprehensive support to strengtheningwater quality andpollution monitoringis included inthe ESMP. Surface Water Quality in the Upper Watershed Intheupper watershed, theAzar, EskelimandKarsangrivers representthe main tributaries of the Babol River above the Alborz Dam site. Since these rivers are located inhighmountainous areas with little human activity, chemical and biological pollutionlevels are not expected to be high. The quality of these rivers is not recorded regularly, butsamples were taken in 1997for the EIA of the Alborz Dam. These indicated that overall quality appears to be fairly good inall three tributaries, with reasonably high dissolved oxygen levels (inexcess of 10mg/1) andrelatively low conductivity, nutrient and BOD levels. Inall, the water quality appears to be reasonably good for both ecosystem and water supply purposes. Surface Water Quality in the Middle Land Inthe middleland, thetwomainrivers aretheBabolandBabolak.Thelatterjoins the Baboljust downstream of the Alborz Dam site. Whilst the levelof industrial and, inparticular, agricultural activity i s increasedfrom that inthe upper watershed, the quality inthese rivers still appears to be fairly good, and suitable for bothwater supply purposes and ecological habitats. Water quality monitoringdata collected between 1999 and2003 at Tamar station on the Babolak River, and Pashakola and Guran Talar stations on the Babol River indicate relatively low levels of total dissolved solids and major ions inthese 0-15 9/16/2004 rivers - all indicators that pollutionlevels are relatively low. These data were supported by a one-off sampling exercise duringthe EIA of the in1997,which showed reasonably highdissolved oxygen levels andrelatively low nutrient and BODlevels. However, while stillwithinreasonable limits, conductivity and acidity levels are slightly raised above upper watershed conditions indicating the presence of pollutioninthis part of the project area. Itwould therefore be appropriate to collect water quality data more systematically inthis area inorder to more precisely define the impacts of existing agricultural andindustrial activities, andimportantly to include an analysis of both nutrients andheavy metals inthis analysis. This is also advisable due to the apparent discrepancies in data collected inthe lower lands over this period as discussed inthe next - section. Surface Water Quality in the Lower lands Inadditiontothe Babol, there arethree other major riverswithinthe lowland section of the project area: the Talar, Siah andSadjad rivers. The latter is a western tributary of the Babol that joins just downstream of the middlelands. The lower lands are also characterized by a series of ab-bandans (82 inall), or surface water storage ponds, that are use for irrigation supply andinsome cases for fish cultivation. Many of these ponds now have sigruficant ecologicalvalue. Agricultural activity inthe lower lands is intense, inaddition to which there are severalmajor cities andabout 300 recordedindustrial andworkshop units, of which Babolsar Fibre Factory i s the largest, discharging wastewater directly into the Babol River. Surface water quality would therefore be expected to be poor. However, there are some deficiencies inthe water quality data that have been collected inthe area to support this analysis. Official data collected between 1999 and 2003 remaininconclusive as regards to demonstrating whether quality i s poor, with relatively low levels of total dissolved solids and major ions inthese rivers (withthe exception of chlorine levels, which are several times higher than WHO guidelines for drinkingwater supply),However, severalparameters related to agricultural and industrial pollutionwere not measured. Conductivity readings are higher thanthe upper catchment, which together with the higher levels of total dissolved solids and major ions is anindicator of increased pollutioninthe lower lands. Saline intrusioninthe lower reaches of the rivers will also play a partinthis. While the official data collectedbetween 1999and2003 were inconclusive in demonstrating pollutionlevels inthe lowlandsurface waters, a more extensive range of data were collected in1997for the Alborz D a mEIA. These data demonstrated sigruficant levels of both heavy metal contamination and coliforms inall of the major rivers, suggesting that the water bodies suffer extensive pollutionfrom a range of municipal, industrialand agricultural sources. The monitoringresults (shown inthe main ESA report) indicated extensive contamination from three heavy metals inparticular -mercury, lead and zinc - 0-16 9/ 16/2004 with pollutionlevels inseveral cases far exceeding WHO guidelines for drinking water supply, particularly those of zinc andmercury. Moreover, the data were taken at various points ineach river, andineach case showed an overall decline inquality fromupstreamto downstream. Inadditionto river water quality, somesporadicwater quality samplinginfour of the main ab-bandans took place in1996. As would be expected, the water quality characteristics were similar to those of the rivers, includingwith respect to heavy metal (mercury and zinc) contamination insome cases. This is a particular concernwhere ab-bandans are beingusedfor aquaculture. Eutrophication was also evident insome cases, with plant species such as Sparganium neglecturn present inlarge quantities - an indicator of highnutrientlevels inthe water from agricultural runoff. Inaddition, while most data were collected duringthe winter months only, inthe one ab-bandan (Ramnat) where data were collected during summer as well, the water quality appeared to drop significantly as a result of the reduced volume and depthof water. Although the limited data collectedwould appear to support the conclusion that surface water quality is poor inthe lower lands, more extensive and systematic data collection needs to be carried out inthe major ab-bandans inorder to assess the true extent of the problem, particularly inthose ab-bandans that are being used for fish cultivation and/or those with highecological value. This data collection would need to be carried out on a regular basis, andindifferent seasons. Groundwater Quality The availability of groundwater quality data inthe project area is fairly limited. Sporadic data collectedby the MGRWCfrom a series of springs and wells in2002 appear to indicate that groundwater quality inthe upper watershed and middle land is reasonably good. Total dissolved solids andmajor ioncontent are all within defined thresholds for bothagricultural anddrinkingwater supply. The quality of groundwater inthe lower lands i s poorer, with higher levels of all contaminants measured. Most of the wells inthis area are shallow, and are used for both agricultural and drinkingpurposes. As a result, they suffer from polIutiondue to a range of factors, including: (i) leaching of pesticides and fertilizers; (ii) from solid waste dumps; and (iii) water discharge leaching waste into absorption wells, which is the most commonmethod of discharging industrial wastewater. A major limitation of the available data is the general lack of informationabout microbiological contamination. Occasionalsamples collected fromwells inthe Babol area indicate highcoliformlevels, which are likely to be prevalent across the area. Moreover, since drinkingwater which is drawnfrom groundwater in the area i s frequently disinfected with chlorine, more data are required 0-17 9/ 16/2004 concerning residual chlorine levels inorder to comply with the recommended levels inthe WHO guidelines for drinkingwater. 0.4.3 Biological Environment Upper Watershed Although forests have been seriously degraded around the d a m site and near major roads, the upper watershed still contains a relatively well-preserved a n d continuous forest cover. Inseveral places, forests are disturbed a n d degraded by grazing livestock, where herders oftencut trees and open the canopy to allow lightto reachthe forest floor and promote the growthof grass. Lnsome places, especially, on steeper slopes overgrazing a n d livestock movements foster erosion. Large tracts of landhave been fenced to keep livestock out of the forests. M o s t of the remaining forest inthe upper watershed consists of naturalmixed deciduous a n d coniferous stands. Depending onaltitude, slope degree a n d soil type, forest types consisting of beech, maple, alder, a n d hornbeam dominate. The flora inthe area is fairly diverse. Several species that occur inthe forest area are considered vulnerable, such as Boxwood [Buxus hyrcuna), Y e w (Taxus baccafu) and two species of Junipers (Juniperus spec). One of the more common species is Cyclamen caucasicum,a favourite food of wild boars. Larger mammals occurring inthe upper watershed include: brownbear (Ursus auctos),leopard (Pantlzerapardus), wild boar (Susscrofa), deer (Cervuselaphus, Capreoluscapreolus),wolf (Canis lupus),jackal (Canis auveus), andlynx (Lynx lynx), w h i c h is very rare. Birdlife includes the rare Lesser Spotted Eagle [Aquilaponiaria) a n d the endangered white-tailed sea eagle. Inthe forests, pheasants [Phasianus colchicus) are still common, which due to huntingis consideredunusual inIran. This pheasant species is indigenous a n d has notbeen m i x e d with introduced Chinese species. Around the Dam, there is Lafur ProtectedHuntingArea where huntingof certain species is prohibited. Inaddition, to the west a n d the east of Lafir Protected Area, some additional forests areas of highbiodiversity occur that have been proposed by the DOEto be included into the Lafur PvotectedArea. Also, a small partof the Abshar-e-Shirgah Protected Area lies within the project area. However, notwithstandingtheir importance ina regional context, there are not considered to b e any critical natural habitats of international sigruficance affected by the project, or sigruficant conversion of natural habitats, such that World Bank OP 4.04 is not triggered. The cleared reservoir area for the d a m comprises agricultural landand degraded forest. Moreover, conservation of the upper forests andhabitats is addressed through the conservation a n d sustainable forest management activities of the upper watershed andforestry management component. 0-18 9/ 16/2004 Middle Land The transition zone between the upper watershed a n d the lower lands i s characterized by extensive agriculture inthe river valleys. Inmany places, secondary planted coniferous forests can be found on the hillsides. Insome inaccessible steep locations, remnants of pristine forests can still b e found. Agriculture concentrates on paddy rice cultivation but grazing livestock is also common. With regardsfauna inthe middlelands, jackals (Canisaureus) are common, as are porcupines and wild boars (Sus scrofa). Inaddition, birdlife is rich. Lozuer lands The lower lands consist of mainly irrigated agricultural plains a n d settlements. Traditional ab-bandans are used as water reservoirs for irrigationpurposes as w e l l as fish farming, Orchards, mainly citrus species, are intermixedwith the extensive paddy fields. The naturalvegetation inthis area has beenlargely removed. Only along roadsides andunder the orchard trees some natural weeds can be found. Ina few places, native bushes andsmall trees occur. There are more than 600 ab-bandans of w h i c h nine larger ab-bandans are very important as birdresting sites a n d for plant preservation. These are: Larim, Zarin- kola, Anarmarz, Roshundan, Esmaeel-kola,Azizak, Langoor, Aghoozben, a n d Eastern Ramnut. Especially duringthe winter, these ab-bandans attract immense numbers of birds, including several species which are endangered in Iran: black tern (Chlidoniasleucopterus),white-winged black tern (Chlidonias hybria) andmarsh harrier (Circus auruguginosus). Amongthe endangeredspecies are four individuals of the extremely rare Siberian cranes w h i c h live inwestern Siberia. The four birds usually winter near Feridonkanerjust west of the project area. Other wintering birds include a large number of ducks and shore birds including mute swans (Cygnus olor). Wildlife includes porcupine (Hystrix indica) andjackal. Wolves are regularly encountered, whereas leopards a n d bears are rare visitors from the upper lands. Five species of sturgeon species are native a n d occur inthe lower reaches of the BabolRiver. These fish are considered key indicators of ecological quality. The five species are: RussianSturgeon (Acipensergueldenstuedtii), Fringebarbel Sturgeon (Acipensernudiventris), PersianSturgeon (Acipenserpersicus),Starry Sturgeon (Acipenser stellatus), and Beluga (HusoHuso). They are considered vulnerable to critically endangered species. The five Sturgeon were once relatively c o m o n inthe lower reaches of the rivers intheprojectarea, butarenowextremelyrareandfoundonly sporadicallyinthe Babol River. The species are of immense economic importance as they are the 0-19 9/16/2004 source of the highlyvalued true caviar. The decline of the populations i s attributed to: (i) water quality; (ii) river flows duringthe March- declining low Aprilmigration and spawning seasonwhichhappensto coincide with a seasonof highwater demand for agriculture; and (iii) manmade structures (e.g., various weirs andcascades) which block passage. As part of a government fisheries program, several hundred thousand sturgeon fingerlings are released eachyear at the mouth of Babol River. However, itis only with the restoration of the ecological integrity of the Babol and adjacent rivers (e.g., stabilization of the river flow andmaintenance of a minimum ecological flow duringthe dry season; modification or removal of barriers; and improvement inwater quality) that the sturgeon populationwill recover to its former numbers. A number of other nativefish species of economic importanceware also likely to benefit from the restoration of the river. These include the Roach (Rutilus mtilus and Autilus fuzsil), CaspianBarbe (Barbusbrackycepkalus and Barbus capito), European Chub (Leuciscus leuciscus), CaspianVimba (Vimbavimba), and the Common Carp (Cyprinus cavpio). Social, Economic and Cultural Conditions (1) The description of the social, economic and cultural baseline conditions i s based o n a social assessment carried out duringpreparation of the ESA. Relevant data are annexed to the mainESA report. Upper Watershed The Pasha Kola Watershed (upper watershed) located o n the northernslopes of the Alborz Mountain Range includes five sub-catchments covering a total area of about 350 km2. Iti s estimated that about 933 herdsmenfamilies reside inthe upper watershed. These herdsmenare trans-humant pastoralcommunities, movingbetween winter encampments inside the forest areas andhighaltitude summer pastures. Eachfamily owns severalheads of bovine cattle as well as sheep and depends onlivestock production for their livelihoods. They may have two or more encampments-Talar or Kumeh-withinthe forest areas at lower elevations and additional camps at highaltitude grasslands. Inadditionto these herdsmenfamilies, there are some267families currently livinginscattered settlements inside the forest. They cultivate small patches of forestland, graze their domestic cattle inthe forest and also engage inactivities such as apiculture, silk cocoon productionand collection of minor non-timber forest products. Overall, the total populationinthe upper watershed is about (1)The divisions betweenupper,middle andlower lands for the social andeconomic analysis, although similar, are notidentical to the division of these areas for the physical and chemical analyses. 0-20 9/ 16/2004 3,400 people, which corresponds to a population density of about 15 persons/ km2. Houses of the forest dwellers are generally builtwith timber while only few houses are brick constructed. The majority of the households do not have access to electricity and other basic facilities such as runningwater, waste collection system, telephone etc. Household incomes inthe upper watershed are l o w and economic transactions are mainly based on exchange of goods andproducts. The upper watershed i s accessible mainly through forest roads built to manage the forests. Education is generally limited to primary schooleducation. The average age of the population is increasing as younger generations prefer to migrate out of the forest areas to seek better education and employment opportunities innearby urbancenters. There are no tribal or minority groups in t h i s area. Middle Lands This section covers the communities situated around the construction site of the Alborz Dam as well as the middlesection betweenthe upper and the lower watersheds. Intotal, the area covers 18ruralsettlements and15administrativevillages of which Naftchal, Bourkhani, Pashakola, Dehkalan, Deotak, Gashnian, Esboukola, Lafourak and Ghasthoran,Kafak, Hajikola, Amirkola, RodbarsaraandLargechal are being resettled under the resettlement program of the GO1as they are located in the dam andreservoir area. The total number of households inthe villages inthe vicinity of the Alborz Dami s 401. These households will also be resettled. There are a number of villages, such as the 120 households inDehkalan, that will remain inthe area. Before the resettlement, the totalnumber of householdsinthe middle lands were 870. The total population was 3,283, of which 1,402 are remaining. People inthe middlesection of the watershed mainly depend on agriculture. The most importantagricultural crop i s rice. To a smaller extent, people also depend onforest products. There is a more developed money (cash) economy as people can sell their products inthe markets of nearby towns. About 60 percent of the people of the middle section are farmers and 34 percent are livestock breeders. Inaddition, bee keeping and silk worm productionis practicedby 4 percent of the populationas one of the maineconomic activities in this area. About 13 percent of the populationare wage earners. The average land holdingis between1to 4 Khaviz (1Khaviz = 1,000 m2) and only 7 percent of the households have landholdings of 1to 1.5 ha. The average size of landholdings inMazandaranis2.7ha, andonaverage the landholdinginthe lower lands is about 0.7 ha. 0-21 9/16/ 2004 People livinginthis area are poorer than the average rural populationin Mazandaran, includingthose livingin the lower watershed. According to the national statistics, the absolute poverty line for ruralMazandaran was between 397,000 and507,000 Rials (between47-59 US$) in2001. Usingthis baseline, according to the data collectedfor the social assessmentin2003, about 10 percent of the population inthis area (including the dam site) live below this absolute poverty line and 16.5 percent around this poverty line. Inthe lower watershed, the percentage figures are 6.3 percent and3 percent, respectively. Slightly more than half (50.5 percent) of those livinginthis area are 59 years or more, indicating the aging population, where most young people are migrating out to near by towns, even Tehran, for work or education. Access roads to the villages are good and often paved. Educationfacilities include a highschool. There is no university butthe distance to higher education inBabolCityis only around30km. Inthe upperwatershedandthe middle section, about 39 percent of the population is without any education while 62 percent have primary or secondary education. Almost 50 percent of villagers have access to piped water, power, andtelephone. However, there are no waste collection mechanisms and sewage systems. There is also a health clinic and about 62 percent of the populationhas easy access to healthcenters. If the 933 herdsmen families of the upper watershed are added to this group, the percentage of those with difficultaccess to health care centers increases. There are no tribal or religious minorities inthe region. Lower lands The lower watershed is both rural and urban. Itis densely populated and includes a number of cities such as Babol, Babolsar, which are also university centers. Major towns andvillages include Amirkola, Azizak, Joybar and Behnamir. The majority of people are Shiite Moslems, but there are also many Christians, Jews and Zoroastrians. This section provides informationfor bothurbanand rural areas inthe lower watershed and also includes area outside the boundaries of the AILWMP. Whenever data is available, they are disaggregated for urban andruralareas withinthe AILWMP. Inthe project area, which islimitedto ruralareasbetween Babol, Talar andSiah rivers, there are 344 villages with a total number of 46,520 households with the estimated populationof 213,990 people (average household size 4.5 people). The wider populationinthis area is closer to 1million, and includes inhabitants of the six major cities locatedinthe lower lands, many of whom will benefit indirectly from the project interms of measures such as improvedwater quality and pest management. 0-22 9/16/2004 The most important employment type and source of income inthe lower watershed i s agriculture, although a variety of differentjobs typical for urban areas exist. Besides agriculture, the services andunskilledlabor sectors are important sources of employment. Although living standards inthe lower lands are comparatively highby Iranian standards, there are also very poor areas inthis section such as Babolkenar village at Babol, or the villages around Joybar. Intheruralareas, themajority of the agriculturalincomecomesfromrice cultivation which constitutes 94.3 percent of the crops grown. Wheat, Konola oil seeds, citrus orchards, hotels and tourism are secondary sources of income. Overall, unemployment inthe lower lands is at 11percent of the total work force (39 percent of the total population). Inthe ruralparts of the lower watershed, which is also the project area, about 57 percent are engaged infarming, 1.5 percent inlivestock breeding, 6 percentare civil servants and about 13 percent are wage earners. About 49 percent of the ruralresidents supplement their income by either fulltime or part time work, includingwage labor, drivingcabs, etc. indicating the insufficiency of the agriculture as the only source of incomefor these people. Inthe ruralareas, the average landholdingisabout 0.7ha-about35percentof the populationhave between0.5 to 1ha, and24 percent between 1to 1.5ha. Among the rural population, 9.3 percent live inabsolute poverty according to the absolute poverty line of 2001for Mazandaranmentioned earlier. However, the majority of the population (57.5 percent) belongs to the middle-income group with monthly earnings rangingfromUS$120to US$290. Inthe projectarea, almost57percenthavesome kindof primary or secondary education, 4 percent have college degrees whereas 36 percent have no education at all. Contrastingly, inthe urbanareas of the lower watershed the literacy rate is over 70 percent. The age profileinrural areas inlower landis closer to the national average, with almost.30 percent beingunder 36 years of age and30 percent betweenbetween 37 to 47. This indicates a stronger tendency for young people to remainintheir villages, which can probably attributed to the proximity of the towns as well as better socio-economic situation of the villages as compared to the upper watershed andmiddleland. Road infrastructure i s well developed inthe lower watershed andincludes the Haraz, Firozkoh andCaspian seashore highways. The Trans-Iranian Railway passes through Ghaemshahr, inthe eastern section of the lower project area. Houses are constructedfrom bricks andconcrete. As the houses are somewhat scattered, only 70 percent have pipedwater, but allhave electricity andmost houses have telephone. Recently, sewage treatment operations commenced in Babol and another similar system inBabolsar is under construction. Domestic garbage is regularly collected and landfills are operated properly inthe lower lands. However, there are some difficulties to find proper locations because of the highwater levels. 0-23 9/16/2004 0.5 ASSESSMENT OFENVIRONMENTALAND SOCIAL IMPACTS The AILWMP has a strong environmental andsocial focus. All project components aim at achieving positive environmental impacts inthe project area. Measures to mitigate the potentially negative impacts of the Alborz Dam and the construction of the irrigation and drainage networkhave been designed andare presented inthe ESMP. The AILWMP also focuses o ninstitutional capacity strengthening, inter-agency co-ordination, and public participation. The overall design of the AILWMP will ensure the sustainability of positive environmental impacts of the project and that negative environmental impacts willbe minimal. The most important environmental andsocialimpacts are as follows: 1. Reliable irrigationwater supplyfor increasedagricultural production; 2. Impacts o nthe flow regime of the BabolRiver; 3. Impacts on soil, groundwater and surface water quality from intensified irrigated agricultural production and agro-chemical use; 4. Forest management andimprovements inforest cover and quality inthe upper watershed; and 5. Socio-economic impacts, includingresettlement and landacquisition. Each of these issues i s discussed inthe following sections, along with an assessment of the potential cumulative impacts of the project, andan outline assessment of project alternatives. 0.5.1 ReliableIrrigation Water Supplyfor Agriculture The projectwill optimize utilization of surface water resources andbenefit from the Alborz Daminthat water supply for irrigationpurposes will be more reliable for farmers inthe future. With the dam, water will be available for irrigationat critical times of the year, whereas water shortages have occurred inthe past. A reservoir simulation for a period of 38 years revealed that there willbe adequate water for irrigationmost of the time (see Table 1.4).1 Table 0.4 Simulation of Water Supply Quantitiesfrom theAlborz Dam Description Quantity and Units Comment Inflow to Alborz Reservoir 215 MCM Mean, includingBabolak diversion weir Reservoir gross capacity 150MCM Reservoir dead storage 28 MCM Live storage capacity 122MCM Iidows from middle basin 48 MCM i.e. inflow downstream of dam Agricultural demand 195 MCM Highest requirement (rice), will depend on cropping patterns 1BasedonMott MacDonald2004: Alborz integrated Land and Water Management Project, Water Resources Background Report 0-24 9/ 16/2004 Description Quantity and Units Comment Water required for environment 32 MCM Equivalentto lm3/s compensation flow for spawning SpiIl 46 MCM Average annual deficiency of water -5.8 percent Implyinga deficit in17 of 38 years and a deficit of more than 10percent of demand in over 20 percent of the years Average annual surplus of water +lo% without compensation flow for fish migration 0.5.2 Environmental Flow Regime of Babol River The operation of the Alborz Damand the supply of water for irrigationwill significantly alter the flow regime of the Babol River interms of (i) water quantity, i.e. reduction of overall water quantity in the river, (ii) water flow levels and (iii)seasonal variations in the water flow. These alterations of the environmental flow regime will most likely trigger changes inthe overall river environment and ecology, includinghabitat conditions of river flora andfauna. Inresponse, the MGRWCandDOEproposeto maintainanenvironmental minimumbaseflow of lm3/s immediately downstream of the Ganj-Afrooz diversion weir throughout the year inorder to conserve the ecological integrity of the river. However, at this point intime, it remains unclear if this base flow (even supplemented by the inflows fromtributaries downstream of the weir) would be adequate to maintain or improve the environmental flow regime and secure the ecologicaljntegrity of the river. Itis also to be determined whether the Sturgeon serves as an appropriate indicator species for the overall river environment and whether the proposedbaseflow would accommodatethe habitat requirements of the sturgeon (requiringat least 1mwater depthandhighturbidity). The ESA/ESMP therefore calls for careful monitoring and a flexible approach to evaluating and thereafter regulating the minimumenvironmentalbase flow inthe Babol River. Inaddition, there are a number of impassable physicalbarriers in the river such as old weirs and other structures. Consideration shouldbe givento removingor modifying them to allow for fish passages and migrationupstream, taking into account the potentialcosts and benefits of such measures. Finally, the issues of encroachment and unsustainable miningof sediments adjacent to the riverbedareas needto be carefully evaluated and addressed duringthe implementation of the ESMP. Ifthe projectsucceeds inmanagingthe development of new irrigation areas as well as regulating overall water allocations for the different users on a sustainable basis, the project willhave significant positive environmental and economic impacts on the whole watershed area. However, if the planned irrigation programi s implementedon the basis of unreasonably optimistic water quantity assumptions andhence, unsustainablewater extractions occur from the Babol River, major negative impacts have to be anticipated. These impacts might 0-25 9/ 16/2004 include the destructionof freshwater ecosystems, shortages inirrigationwater supply, reducedpotential for fishfarming, andreducedhabitats andrestingsites for migratingbirds. International Waterways Inthecontextof theWorld BankSafeguard PolicyProjects in International Waferzoays (OP7.50)andthe above Convention, potential impacts of the AILWMP on the CaspianSea, will be negligible. The current average discharge rate of Babol River into the CaspianSea is 15.7m3/second, while the average discharge rate of the Volga River, the biggestriver draining into the Caspian Sea, is 8076 m3/second. The contribution of the Babol River amounts to only 0.04 percent of the total discharge of the Volga River. Iranianrivers draining into the Caspian Sea only contribute a total of 6 percent of the annual water discharge into the Caspian Sea. The World Bank, consistent with the provisions of OP 7.50, has sent project notification letters to other riparian countries on the Caspian Sea at the request of the GOI. 0.5.3 Intensified Agriculture and Water Quality Impacts Water Quality in Rivers The baseline studies of current water quality inthe project area revealed that the water quality inthe lower areas of the Alborz River Basinis poor, with pollution originating from the agricultural sector as well as industries and untreated sewage. Appropriate mitigationmeasures are needed to address the increasing role of agricultural activities, especially as intensified agriculture inthe newly developed irrigation areas inthe lower lands (19,000 ha) are likely to result in increasednon-point pollution from agro-chemicals. As a direct impact of the project, higher levels of nutrients andpesticide residuals are highly likely inthe river systems. In addition, the reducedriver flow will leadto higherrelative concentrations of pollutants. Inthe upper watershed, water quality canbe expectedto improve due to forest rehabilitation andimplementation of watershed protection measures. Water Quality in Ab-bandans More than300 ab-bandans willbe anintegralpart of the overall water budget to bemanagedunder the AILWMP. Ab-bandans are mainly supplied byupstream water resources diverted form the various rivers inthe project area. Overall, pressures to expand ab-bandan basedcultivation will continue to increase inthe future and water demand i s likely to sharply increase. For example, several communicates and cooperatives practice intensive fish farming activities inab-bandans within the project area, which already show high nutrient pollution levels and eutrophication. Although the AILWMP itself does 0-26 9/ 16/ 2004 not include the support of fishfarming, impacts on water quality need to be closely monitored under the project, should the trend towards increasingthe numbers of ab-bandans for fish farming continues. Inaddition, amongthe approximate300ab-bandans, nineab-bandans havebeen identifiedas ecologically sensitive andimportantas birdnesting sites andfor plant preservation. The names for these ab-bandans are Ramnat, Aghooz-ben, Langur, Azizak, Rooshandan, Esmaeeil-Kola,Anarmarz, Zarin and Larim-Kola. Especially duringthe winter, these ab-bandans attract immense numbers of birds, includingseveral species, which are endangeredinIran: black tern (Chlidonias leucopterus), white-wingedblack tern (Chlidonias Izybria) and marshharrier (Circus auruguginosus).Itwill be particularly important that fish farming be restricted at these sites and that water quality be maintained andclosely monitored. Groundwater Extraction and Quality Inthe lower lands, groundwater extractionisthemainmethodof securingwater supplyfor irrigation, often at unsustainablelevels. Evenafter the completion and fulloperationof theAlborz Damandtheirrigationanddrainage network, the extraction of groundwater for irrigation is likely to continue into the future as water demand for intensified agriculture increases andnegatively affect the groundwater table. However, as the Alborz Damwill continuously supplywater to the aquifer inthe lower lands, it is anticipated that the water supply through the reservoir will help to stabilize the groundwater. Inthiscontext, the issueof saltwater intrusionintothe groundwater aquifer, which is reported for the northern part of the project area, needs further analysis. So far, it remains unclear to what extent seawater intrusionfrom the CaspianSea has contaminated the groundwater. Careful monitoring will also be required to measure the effects of continuous irrigationwater supply through the Alborz Damand Reservoir on the seawater intrusioninthe lower lands. Interm of groundwater quality, intensifiedagriculturalproductioninthe irrigationareas is likely to lead to higher pollutionlevels through agro-chemicals (nutrients andheavy metal pollutants such as Zn, Hgand Pb). Considering the comparatively shallow groundwater level inthe lower lands, careful water quality and abstractionvolume monitoringis required inorder to ensure the integrityof agricultural supplies. Increased Pesticide Use The project envisages the development of new irrigation areas of about 19,000 ha. Reportedly, pollutionlevels of rivers and streams inMazandaran Province and the southern coastal part of the Caspian Sea are already very high. Inrecent years, agricultural activities have led to increased pollution levels due to the heavy use of agro-chemicals, inparticular pesticides. At the same time, there are 0-27 9/ 16/2004 no a targeted efforts to reduce the reliance on chemical pest control and promote Integrated Pest Management (IPM). Without the introduction a n d use of biological pest control techniques, pollution from uncontrolled pesticide use is likely to increase. Althoughthere is anon- goingprograminMazandaran Province, IPMis only implementedinfew areas in the province. So far, IPMis only applied over a n area of about 10,000 h a within the project area. Inthe past, the GO1has encouraged the use of agro-chemicals throughitspolicy of subsidizing agricultural chemicals andfertilizers. The GO1is now revising this policy toward supporting environmentally sustainable types of agriculture, w h i c h has lead to some reduction insubsidies for pesticides. The AILWMP will support the implementation of IPMinthe project area. IPMis an important sub- component of the ESMP. 0.5.4 ForestManagementRelated Impacts The overall impact of the project on the bio-ecological environment partly depends on the quality and sustainability of the anticipated forest management a n d protection activities designed under the project. The Upper Watershedand ForestManagement Component of the AILWMP i s expected to have a sigruficant positive impact on the environment inthe upper watershed as it will halt a n d reverse forest destruction thoughinvesting in replanting and better protection of fauna and flora. This inturnwill strengthen the environmental functions of the forest a n d rangeland ecosystems a n d lead to a reduction insoil and water erosion. Reforestation activities will be implementedusing native species that are adapted to the climatic and ecological conditions prevailing inthe Alborz Mountains. The master planning exercise will propose and detail species composition of forest rehabilitation measures. Itwill also address issues of biodiversity protection a n d establishment andrealignment of protected areas. Proposals for protected areas will include concepts for community co-management and sustainable financing. The construction of forest roads, some of w h i c h are planned inconnection with the project for the management of forests, are likely to have some negative impacts inthe form of small scale erosion and, more importantly, through opening up access to previously inaccessible forest areas. The master planning exercise inthe upper watershed will help to prioritize (andminimize) r o a d construction proposals and focus r o a d construction exclusively on removing bottlenecks to sustainable forest management. Fencing has been carried out extensively inthe upper watershed primarily ina n attempt to exclude livestock f r o m the forest areas a n d allow for natural forest 0-28 9/ 16/2004 regeneration. Reportedly, some recovery of the vegetation is taking place inside fenced areas. However, fencing of large forest areas only is a costly measure to forest regeneration; and it i s difficultto ensure the effectiveness of fences if local communities are notinfull support of suchmeasures or compensated for the economic losses on their livestock. Fences also pose sigruficant barriers for larger wild mammals andrestricttheir naturalseasonalmovements. The options for fencing willbe evaluated duringpreparation of the upper watershed management plan (component 1).The project will promote participatory management and seek acceptance for forest rehabilitation measures and discuss the appropriate measures among the local population (including the need to reduce livestock grazing inthe forests) by includinglocal villagers inall planning and implementation measures to the largest extent possible. 0.5.5 Socio-Economic Impacts Key positive socio-economic impacts are the (i) expectedincrease inincomes for people inthe lower watershed due to reliable and sufficient water supply for irrigationand increased agricultural production and (ii) improved livelihoods for people inthe upper watershed due to participatory forest planningand management, promotionof sustainable forest management, and additional community development interventions. Negative socialandeconomic impacts are expected inconnection with the resettlement interventions under the Alborz Damproject. Within the range of the dam project, six villages out of 15willbe inundated and inhabitants of nine additional villages willhave to be resettled from the area. The total population that will be moved as a result of the construction of the damwill be 4,000. The resettlement of households fromthe Alborz D a marea has been carried out in accordance with the legal and policy provisions that are applicable to such projects inIran. However, based o n a recent assessment of the resettlement strategy, the planhas been modifiedto alignitwith the World Bank's safeguard policies. As a result, a supplementary Resettlement Plan (RP)for the Alborz Dam area has been developed. Inaddition, two ResettlementPolicy Frameworks (RPF) for the upper watershed and the lower lands have been prepared, using data obtained from the social assessment carried out as part of the current ESA. Details of the RP and two RPFs are provided inthe mainESA report, and are summarized inSection1.7 below. 0.5.6 Assessment of CumulativeProject Impacts Cumulative impacts are defined as impacts that are caused by more than one project activity, or related project activities. Further, they may result from one or 0-29 9/16/2004 moreproject sub-components or from the combination of project activities and induced developments. Since the AILWMP project components are largely aimed at achieving positive environmental impacts inthe project area, and are inthemselves designedto mitigate the potentially negative impacts of the Alborz Dam, there is no significant potential for cumulative negative impacts to occur as a result of the project. However, the potential secondary andcumulative impacts that may occur due to increased agricultural activity andintensification inthe lower lands as a result of the schemeneed to be considered by the ESMP. These were discussedinSection 1.5.3. 0.5.7 Analysis of Alternatives Alternative 1:WithoutProjectAlternative The Alborz Dam, one diversion weir and major conveyance and distribution canals are already under construction by the GOI. Evenwithout the AILWMP, these construction projects will be completed andput into operation by the GOI. The AILWMP is hence designed to complement the ongoing constructionprojects of the GOI, contribute to a more integrated and sustainable management of water and other natural resources inthe entire watershed, and minimize the potential negative environmentalimpacts of the ongoing construction projects. Were the project not to go ahead, the following outcomes are envisaged: 0 Without the Irrigation and DrainageNetwork Component,the infrastructure for the irrigationand drainage network would stillbe implemented through the GOI, butthe formation of WUA would be slower, less sigruficant andwith muchless institutional support and capacity building. Hence, the capacity of WUA for managingwater resources sustainably would be considerably lower. Grassroots activities for improved water use andcontrol would notbe supported leadingto less optimalwater use. Also, without the AILWMP, capacity buildinginagricultural extension services would be considerably less. 0 Without the IntegratedWater Re.sourceManagement Component,there wouldbe no basin-wide coordination of water resources management inthe project area. The lack of coordination could potentially have serious consequences for the environment ingeneral and for the efficient allocation of water resources among farmers and other users inparticular. Without the institutional support to the operation of the Alborz D a mand Reservoir through the establishment of a hydrometric network and hydrometric modelingand to the BWC, the GO1investment inthe Alborz Damwould result inlower economic and environmental returns. Inaddition, without establishment of the BWMF, there would be fewer opportunities for 0-30 9/ 16/2004 establishing community-based income generating activities for stakeholders inthe projectarea. 0 Without the Environmental Management Component,data for water quality monitoring (rivers, ab-bandans, groundwater), andwater quantitywould not necessarily be available to stakeholders andusedby allinstitutions involved inwater resources management. Duplicationof datacollection efforts and overlapping activities would continue while data sharingwould stillbe insufficient. The implementation of the currently existingI P Mprogramin MazandaranProvince would only cover the rehabilitated irrigationareas. The outreach of the programwould expand at a slow pace andnotbe expanded to adequately encompass the newly developed irrigationareas. Alternative 2: WithPartial Project Alternative Were the AILWMP to only include activities inthe middle andlower areas, i.e. were it to go ahead without the Upper Watershedand Forest Management Component,forest andrangeland rehabilitation would not keep up with uncontrolled ongoing deforestation and take place at a considerably slower pace as under the AILWMP. Inaddition, the overall degradation of the upper watershed would further increase due to continued populationpressure and uncontrolled encroachment on the forests, especially inareas which currently are still intact. Forest andwatershed degradation would foster erosion, loss of topsoil and accelerated siltation of water protection structures and the Alborz Damitself. Furtherforest andrangeland degradation would eventually also result inloss of biodiversity. Finally, without the AILWMP, the participation of forest dwellers in planningof natural resource management inthe upper watershed would remain at insufficient levels as no new approaches to community forest management and institutional arrangements would be introduced. Alternative 3: WithProject Altemative Inmanyways, the difficulties experiencedwithpastinvestments inIranhave arisen because the institutional andfinancial designs of projects didnot adequately follow the three principles of integrated water resources management, namely: 0 The ecological principle, which argues that land and water in a river basin needs to be managed holistically to protect the environment. 0 The institutional principle, which argues that WRM is best carried out when managed at the lowest appropriate level with the participation of all stakeholders; and 0 The instrument principle, which argues that water is a scarce resource, and needs to be managed as an economic good through the design of appropriate incentives that improve allocation andenhance quality. 0-31 9/ 16/ 2004 For instance, pricingof irrigation water does not generate incentives for resource conservation. Water allocations between the Operation and Maintenance Companies (OMCs) andurbanwater utilities do not meet any `market' test, enforcement of pollution standards has beenvirtually non existent, and the governmental capacity to protect upper watersheds from unsustainable exploitation by herders and loggers have beenweak. Inadditionto the positivebenefitsarisingfromthevarious projectcomponents described above, implementation of the fullAILWMP as currently designedwill allow a holistic watershed management approachto be introduced to Iranthat i s fully consistent with all of the above principles, incorporating abasin-wide perspective to watershed planning andmanagement andthe institutionalization of the multi-stakeholder BWC. Iranianwater concerns suggests that there is tremendous scope for improvingproductivity of water use inagriculture by pricing and institutionalreforms. Unless these measures are taken immediately, unsustainablewater use could seriously constrainIran's competitiveness inthe global economy, therebyconstraining future economic growth. 0.6 PUBLICCONSULTATIONS ONTHEAILWMP A series of public consultation activitieswere carried out duringthe preparation of the ESA ,including aninitialquestionnaire-based survey covering 83 interviewees, a social assessment covering 1,091 households, and two stakeholder workshops: one inKaraj with 87 participants, and one inSari, the provincial capital of Mazandaran, with 250 participants (among them about 100farmers, a numberof foresters, some local NGOsandkeylocalandgovernmental authorities). Some of the key findings fromthese consultation activities are summarized inBox 1.1. Box 0.1 Key ConsultationFindings ~Issue Key Consultation Findings General project Around half of the survey respondents considered that they were . . awareness/support reasonably well informed about the project, the remainder indicating that they only hadvery little information. Only around 6% considered themselves well informed. Of those that were aware of the AILWMP and its activities, word of mouthwas the most common channel of awareness (40%), with local news and media the next most common channels. The majority of survey respondents (81%) supported the objectives of the project. Supportvaried between areas: all interviewees inthe lower watershed expressed support, whereas only 57% of those inthe upper watershed expressed their support, probably resulting from the envisaged resettlement interventions inthe dam/ reservoir area NGOs are especially concerned with environmental issues, such as water quality, fish breeding, ab-bandans etc. Farmers, on the other hand, were mainly concerned with understanding h o w the project willhelp them to increase crop production. 0-32 9/16/2004 Issue Key Consultation Findings Resettlement Around 55% of survey respondentsagreed with the GOI's proposals for activities resettlement, with agreement muchhigher among interviewees inthe upper watershed (67%)as compared to interviewees inthe middle area (56%)and lower lands (45%). Irrigation Mostfarmers surveyed were either partially satisfied or dissatisfied with management their current irrigation methods, and as a result, increasing water supply tlvough the new irrigation methods is motivating to them. About 60% are willingto pay upto 10%or more for water fees inthe event water quantities didincrease, and the majority supported the scheme. The impact of a new irrigation system o n the economic well being of the community is seen as either very positive or partially positive (98.0%). Residents are positive o n all related aspects of the new irrigation methods. However, within the irrigation area itself, the majority of farmers surveyed (55%) were unaware of the new irrigation systems/patterns that will emerge after the project. The implicationsare that many residents don't understand the proposed WUA's, and/ or don't understand, appreciate or even trust the participatory process, which is embedded in the WUAs concept The end beneficiaries at the workshops raised a number of questions and concerns about the project, includingthe impact o n their land; how the project would ensure that the design of the secondary and tertiary canals are done with the participation of the farmers; and a need for more explanation and information about the WUAs; Upper watershed Regardingforest management and protection, the vast majority of survey management respondents (82%) were unaware of current relevant laws and regulations However, about 83% of respondents stated that they were willing and ready to cooperate under the AILWMP and carry out forest and rangeland management and protection activities as well as better livestock management. Moreover, half of the respondents supported the removal of livestock from the forest area (the remainder were against this measure). Inthe upper watershed inthe forest area, the view of the villagers is positive towards the existing forest cooperatives and willingto participate inthe future forest cooperatives. The forest cooperative is the primary or secondary source of income for some of the villages inthe middle area whichare not going to beaffectedby the dam. The above findings have beenused to further refine project design, particularly of those components relating to participatory forestry management and resettlement. Moreover, inresponse to the evident lack of project awareness amongst many beneficiaries, it i s planned that further workshops and awareness campaigns will be conducted throughout the life of the project to raise awareness of NGOs, farmers and localcommunities. Consultations with the public inthe project area and timely disclosure of informationto stakeholders will remain a priority for the implementation phase of the AILWMP. 0-33 9/ 16/2004 0.7 ENVIRONMENTAL AND SOCIAL MANAGEMENT (ESMP) PLAN 0.7.1 Overview As previously stated, the AILWMP Project triggers seven safeguard policies. For clarity andto assure that the issues under each safeguard policy are being addressed and mitigated, the structure of the Environmental andSocial Management Plan (ESMP) has been organizedby safeguard policy, as illustrated inthe table below. Table0.5 AILWMP withAssociated WorldBank Safeguards Notes: Compliance with OP 7.50 (International Waterways) requires notification of neighboring states; no action planor budget is required, hence there is no specific ESMPcomponent for this safeguard policy. The AILWMP will promote targeted monitoringof project impacts, including monitoring of impacts of the Alborz Dam. Itwillinclude comprehensive capacity buildingactivities for government staff, suchas training, seminars, study tours and workshops, and procurement of equipmentfor upgradingof laboratories and environmental monitoringfacilities. Enhancedcapacities of provincial government agencies andnatural resources users will enable stakeholders to take joint and coordinated responsibilities for monitoring and subsequent mitigation measures. Public participation anddisclosure of informationwill be an important aspect of each component to ensure timely andadequate dissemination of results and initiatives and public awareness and consultation inimportant environmental matters. 0.7.2 Summary of ESMP and Proposed Budget Appendix 1presents a tabular summary of the ESMP for the AILWMP. Details of all of the mitigationand monitoring measures described inthe table, including monitoringlocations and parameters etc., and associated costs, are presented in the mainESA report. The ResettlementAction Planfor the reservoir area and Resettlement Policy Frameworks for the upper watershed and downstream 0-34 9/ 16/ 2004 irrigation and drainage area are presented as separate documents, with a summary presented inAppendix 2 to this document. The ESMP will constitute the fourth component of the AILWMP. For the implementation of the above described six sub-components of the ESMP, a total budgetof US$7,725,900 is allocated. A breakdownof this budgetis presentedin Table 1.6, andfurther details of the various budgetlines are provide inthe main ESAreport. Table1.6 ESMP Budget Estimate Digitalizationof forest maps FRWO 50,000 Equipment MDOE/FRWO 11,800 Vehicles MDOE 20,000 Institutionalco-ordination MDOE/ FRWO 16,800 Training, study tours, workshops, andseminars MDOE/FRWO 157,000 Subtotal 373,200 Computer hardware and accessoriesto interface with current MGRWC/MDOE 38,250 unit Laboratory equipment MGRWC/MDOE 1,089,200 Training MGRWC/MDOE 267,500 Technical assistance MGRWC/MDOE 340,000 Technical asslstancefor Ab-bandan management MDOE 50,000 Sijhtntnl 2.608.200 J Y V L V C L I , , Basin Water Fund The Basin ll'ater Fund is an ESL4S, detailed inthe LUNA CDD 250,000 Framework. Mitigation, monitoring and capacity buildingis Rehabilitation of Babolroodfor fish species (including MGRWC/MDOE 150,000 surgeon) Studies on river modification options MDOE/MGRWC 300,000 Baseline monitoring and reporting on river ecology status MDOE 150,000 Technical assistancefor designof monitoring program MDOE 100,000 Training and capacity building MGRWC/MDOE 100,000 ~htntal $11 ---_-- - 950,000 PestManagementPlan Strengthei-ing of IPMstaff at rural service centre LIPPO 178,000 Monitor specific pollutant parameters MPPO 24,000 Technical assistance(national/ international) MPPO 40,000 Implementation of pilot studies MPPO 50,000 Institutional capacity building at all levels of MPPO MPPO 310,000 Set up of monitoringnetwork and database MPPO 40,000 Competitive grants for innovative concepts inP M MPPO 165,000 Laboratory equipment and supplies MPPO 250,000 Contingencies and misc. MPPO 64,500 Subtotal 1,121,500 0-35 9/16/2004 Component Responsible Agency Cost (US$) Panel of Experts (fees, per diem, travel) MGRWC 75,000 Preparationof dam safety plans MGRWC 400,O00 Re-analysis of seismic risks and seismic risk surveys (national MGRWC 100,000 TA) Periodic safety inspections MGRWC 208,000 Training of Foremen and Supervisors inhealthand safety MGRWC 40,000 issues National workshops and seminars on DamSafety issues MGRWC 80,000 Subtotal 903,000 ResettlementInstruments Management and Monitoring cost estimate 500,000 Field surveys 50,000 ComponentManagementandCoordinahon Support to meetings, NGOs, seminars, publichearings, etc. MGRWC 1,360,000 (provisional sum) 0.7.3 Institutional Arrangements The institutional responsibilities for implementation of the sub-components of the ESMP are outlined inthe schedules of the plan. The PIUand the BWCwillhave overall responsibility for the effective institutional co-ordination betweenall agencies involved inthe project and the implementation of the ESMP, inco- ordination with the Central Liaison Office. Implementation of activities under the ESMP are delegated to those institutions which are most suitable. MOJA,through the Mazandaran Plant Protection Office will implementthe pestmanagement andbiological pest control program. In addition, MOJAand MGRWC willbe responsible for procurement for ESMP activities that will be implementedby DOE solely or by DOE incollaboration with other agencies such as FRWO and MGRWC. Insome casesthe mandatesof severalinstitutions overlap, for exampleinthe field of water quality monitoring, which will be implemented by the MGRWC and DOE, and similarly inthe case of monitoring of forest rehabilitation and biodiversity conservation inthe upper watershed, which will bejointly monitored bythe FRWOandthe DOE. Inthese cases, the ESMPproposes to clearly define the responsibilities of each institution to avoid duplication of activities and waste of resources, or to improve co-ordination betweenagencies where monitoring activities are complementary as, orexample, inthe case of safeguard compliance monitoringinthe upper watershed. MOJAand MGRWC, which have overall responsibility orthe implementation of the AILWMP, will be responsible for the procurement of equipment and other financial arrangements requiredfor the implementation of the ESMPin 0-36 9/ 16/2004 coordination with CLO. The functions of the CLO will include: (i) with liaising the Bank onbehalf of the GOI; (ii) as the secretariat of the SC; (iii) serving carrying out project management and coordination among the concernedagencies; (iv) carrying out andcoordinating procurement actions; (v) performingfinancial management andreporting functions; (vi)carrying out technical studies and training programs; and (vii) preparing annual progress reports and work plans. A national SteeringCommittee (SC)hasbeenestablished to oversee project implementation and coordinationbetweenvarious institutions. The SC i s chaired by the Vice Minister of MOEFandincludes the Vice Ministers of MOJAand MOE, the GeneralDirector for Water Resources fromthe Managementand Planning Organization (MPO), andGeneral Director of the Central Bank of Iran. 0.7.4 Implementation Schedule The project willbe implemented over a period of seven years. Project implementationconsists of three phases: Phase 1 - planning,training and start-up activities; Phase 2 -fullimplementation of activities; and Phase 3 -emphasis on operational capacity building. Some construction works will be started during Phase Iinorder to continue the work that the GO1has embarked on. The first steps inimplementation of the ESMPwill be the preparation of a terms of reference for a single technical assistance consultant service contract that supports all the various project agencies under the supervision of CLO and MGRWC. The firmselected for this mandate will be responsible to coordinate training for mitigationmeasures andmonitoring, and to assist inregular reporting on implementation of the ESMP, as well as to assure a fullintegrated public awareness program. The institutions responsible for implementationunder each component andsub- component andthe implementation schedule of sub-components i s showninthe mainESA report, alongwith a detailed schedule. Activities of the ESA willbe carefully reviewedby the relevant stakeholders inthe project area and revised as needed prior to project implementation. Most of the training andcapacity buildingactivities willbe implemented during the first phase of the project. Provisionshave beenmade for additional training courses to upgrade staff skills duringthe implementation period as well as train incoming new project staff. The design of informationsystems andthe installation of computer hard and software will also be implemented during the inthefirstprojectphase. Thereisaneedfor moredetailedinformationonthe river ecology inthe project area on the protection of ab-bandans. These activities will also be carried out inthe first phase. 0-37 9/16/2004 0.7.5 Reporting Program Monitoring and evaluationwillbe essential to ensure successful implementation of the AILWMP. The completion of most of the activities under the ESMPof the AILWMP willnotbemeasuredbyphysicalbenchmarks, but rather bebasedon detailed reporting as follows: 1. Clearfindings andrecommendationsthat are easy tounderstandand based on relevant data; 2. Transparency inreporting throughpublic disclosure procedures; 3. Timely and accurate disseminationof findings a n d recommendations to authorities (e.g. Basin Water Committee) for improved a n d informed decision-making. This will also include intra-departmental reporting, inter-departmental reporting and sharing of results. The monitoring program for the ESMPwill b e managed ina flexible way, and monitoringparameterswillbe adaptedaccordingto changing project requirements duringimplementation a n d based on lessons learned. Furthermore, it is recommended that the ESMP monitoring reports only included summaries of data collected w h i c h are sufficient to draw conclusions anddevelop recommendations. Fulldata should be included as appendices to the m a i n reports. Reports on water quality and quantity, including the study results on the preservation of ab-bandans and the status of fishspecies, will first b e disseminated to the BWCvia M O J A and DOE, This will allow the BWCto better manage water extraction permissions for irrigation a n d control the minimum river flow. Reports on forest cover a n d quality as w e l l as the status of wildlife willbe made availableinformof anopenaccess database oninternet. Editing rights will b e with the DOE a n d the FRWO. All monitoringreports and databases willbe disclosed to the public throughthe internet. 0.7.6 Transparencyand Public Participation The success of the AILWMP will depend on the level of stakeholder participation. The public consultations h e l d duringthe preparation of this report revealed that there is scope for improvingthe level of awareness among the public w h i c h has shown a highinterest inbeing involved. Therefore, it will b e importantto ensure a n d fully benefit from the participation of a w i d e range of stakeholders and the public by considering the following: i. Complementarityofstakeholdervalues,needsandrequirementsand project objectives; ii. Increasingawarenessamongstakeholdersanddevelopaspiritof cooperationbetween stakeholders; iii. Provisionofadequatehumanresourcesforprojectimplementation; iv. Facilitation of timely and adequate project implementation; 0-38 9/ 16/2004 v. Ensuring replication of project outcomes after successful implementation; vi. Cooperation of stakeholder inmaintenanceoperations. vii. Clarification andquantification of project outcomes andimpacts; viii. Thorough consideration of the needs and demands of the society at the point of projectinception and inthe future; ix. Promoting acceptance of the project among different stakeholders and ownership. x. Providinga maximumof information to all stakeholders and civil society ina timelymanner. 0-39 9/ 16/ 2004 8 > ? m 3 3 3 x4 3 3 3 E U 0 > P 0 2 m _i 3> 3 3 2M ti Sa a a a a p 5c8 3 a .e 5 8 4- 3 2 3 E .4 0 m a 8M G ?, d a 5 c7b . . A 9 A A A A A 3 :-? z y 2 Y P 4 Y a A A L A 5 a a a Zm a a a 3 .e 2 sC 12 , N iN - 5 3 5 : 5 34 -E t .gbo I a 2 XA A I P a 5 C i 3 3 d. ,E- .- Y &,8 a, " 2$ ke a, k e 3 3 3 Appendix B Resettlement Plan and Frameworks1 - 1. Overview and Categorization Land acquisition and resettlement issues under the AILWMP are divided into three categories of safeguards compliance implementation. (i) Supplementary Resettlement Action Plan for the Alborz Reservoir (ii) ResettlementPolicy Framework for the Upper Watershed (iii) ResettlementPolicy Framework for the Lower Watershed Duringproject preparation, agreements were reached withthe concernedagencies, namely with MGRWCfor the Resettlement Plan(RP) for the Alborz DamandReservoir area, with the FRWOfor the Resettlement Policy Framework (RPF) for the Upper Watershed, and with MGRWCand MOJAfor the RPF for the lower watershed. An overview of these frameworks andplanispresentedbelow intab. 3. ResettlementInterventionsand World Bank Safeguard Requirements (tab. 3) 1A complete set of these documents were disclosed separately of the ESMP B-0-1 GO1Intervention AILWMP Project Intervention The GO1is inthe process of resettling A supplementary Resettlemeitt Plan (RP)has Reservoir area 3283 people from the Alborz Reservoir been preparedy the GOI. The RP provides Area. guidance on resettlement policies of the GO1 Six villages will be coinpIetely and the World Bank. r inundated by the reservoir, but in total Resettlement is exclusively implemented by the there are 15 administrative villages that GO1according to plans for the Alborz Dam are affected by the dam. project. The AILWP does not entail any resettlement of people from the dam and reservoir area. UpperWatershed GO1has an on-going national A Resettlement Policy Framework (RPF)has programme on gradual resettlementof been prepared, providingguidance o n forest dwellers from fragile mountain resettlement policies of the GO1and the World areas to lower areas. Bank. The AILWMP does not include any resettlement of people from the upper watershed. Instead, sustainable natural resource management and protection of existingforests is proposed inthe Upper Watershed and Forestry Management Component. Involuntary resettlement may take place under the current GO1national programme of Resettlement of the Livestock form the forest. ~ ~ Middle and lower Land clearing includes 400 ha of A Resettlement Policy Framework (RPF)has watersheds forestry lands inthe middle area and been prepared. Resettlement will only be 1000ha of agriculturalland inthe required in relation to the construction of lower watershed for the construction of conveyor and major canals. Inmost cases, only irrigation and drainage canals and land acquisition of parts of people's land is access roads. required, and a plan for compensation is prepared. 2. Supplanentary Resettlement Action Planfor theAlborz Reservoir The construction of the Alborz Dam and Storage Reservoir involves the acquisition of about 802 ha of land of 15 administrative villages. Acquisition includes: (a) 545.09 ha of paddy land; (b)93 ha of orchards; (c) 84.79 ha of homesteads, including areas under structures and yards/gardens; (d)14.7ha of pastures and forests; and (e) 67.51h a of miscellaneous kinds of landincludingunutilizedland, land usedfor public buildings, shops andbusinesses. The affected landandproperties belong to 870 households with total populationof 3,283 landowners. An estimated 25 percent of the affected are absentee landowners currently residingoutside the project-affected area. About 50 percent of the total affected population has already beencompensated (reaming include 355 households and 1,401 people and 464.5 ha of agricultural land). Resettlementwas carried out inaccordance with the applicable legal and policy provisions inIran. To comply with the requirements of the World Bank Policy on Involuntary Resettlement (OP4.12), the GO1 decided to take extra measures inorder to streamline the acquisition process, strengthen the resettlementinstitutions andimprove c o m u n i t y participation. B-0-2 3. Additional Resettlement Provisions The GO1decided to make the following additional provisions through appropriate administrative measures: ll)Additional provisionfor people who have already beencompensated Optionsfor allotiizent of replacementagricultural lands: (i) Allotment of replacementagricultural land of the government at specified locations equivalent to the area of their affected landholdings inthe project area. Concessionalloans would be offered to the affected people to help purchase these lands. (ii) Purchase of privately owned agricuhral landinDahestans (location) identifiedby the project authorities, with productivity potential equivalent to the land given up under the resettlement process. Criteriafor eligibizity: Since people who have already been resettled and receivedcompensation compensated according to the relevant laws, a number of eligibility criteria met be met to qualify for the land allotment option and other assistance measures. These criteria have been developed as previous compensation payments were very generous. To be eligible for retroactive landallotment optionthe following criteria apply: (i) The personhas to be the original recipient of the compensation; (ii) The person should not hold a permanent job; (iii) The person should not have a viable business enterprise; (iv) The person should not receive income from real estate; (v) The person should nothave any agricultural landfromwhich he/she receives profit; (vi) The personwill be working o nthe replacement land; and (vii) At the time of compensation, the personwas notanabsentee landowner. Optionsfoi- vulnerable houselzolds: For those people who didnot lose landdue to the Alborz Dam, but classlfy as "economically vulnerable", the following additional measures may be offered: (i) The Alborz DamProject will provide financial and credit assistance through charitable institutions to promote self-employment opportunities. The financial assistance will consist of a one-time cash grant of 5 millionRial (about USD 600) and an additional concessional loanof up to 20 millionRial (about USD2400) at a concessional rate of interest. (ii) For vulnerable people who are unable to access any of the above options due to physical, age and labour constraints, a one time cash payment up to an amount of B-0-3 USD1000willbemade to localcharitableinstitutions, witharequest to provide regular monthly assistance inthe form of food grains and other essential items. /2) Provisions to people vet to be assisted and coveredbv the RP Peoplewho lose more than 25 percent of their landholdings would have the following options, namely to: (i) Receive cash compensation at the replacementcost of the affected land. (ii) Receivegovernment landinthe "newirrigation development area'' equivalent to the landforgone. Irrigation infrastructure will be provided at no additional cost. If a delay inprovision of irrigation facilities occurs, the Alborz D a mproject would provide additional compensation equivalent to the difference inproductiono n rainfed andirrigated land. (iii) Receive agricultural land of equivalent productive potential indesignated Dahestans (Lafour, Chahar dangeh, Babolkenar andJoybar, the latter inthe development area) to be purchasedby the Alborz Damproject. These lands would be identified by the people themselves. The project authorities will calculate the productive potential of different types of landinthe reservoir area and inthe Dahestans (Lafour, Chahar dangeh, Babolkenar andJoybar, the latter inthe development area) designatedfor potential purchase of private land for resettlement. Other categories of impact regarding: Sharecroppers:These will be compensated at the rate of three times their assessed, annual income from sharecropping. People zvhose secanday sources of income are affected on account of acquisition/displacement will be givenadditional compensation, up to 11years of income from the forgone activity. Unviable, redundant parcels of land and structures that are leftbehind after acquisition of the mainproperty willbe acquired by the Alborz Dam Project andcompensated if the owner so desires. Displaced landless wageearnerswill receive specialfinancial assistance. The project will also consider special assistance to other vulnerable groups. A resettlementunit zuill be created within the MGRWC to oversee all aspects of land acquisition andresettlement. The unitwill include representatives from the affected communities as well as a trained community worker to improve the communication between the project agency and the affected communities. An independentgrievanceunitwith adequate representationof affected people willbe established to handle complaints and grievances associated with land acquisition and resettlement. B-0-4 4. ResettlementPolicy Framework - Upper Watershed This section summarizes the provisions of the RPFfor resettlement of animal husbandry breeders a n d forest dwellers. The Range, Forest a n d Watershed Organization (FRWO), as part of a national program, aims at conserving, rehabilitating a n d sustaining the use a n d development of natural forest and rangeland resources. Its objectives are to: (i) Balance the livestock population with the carrying capacity of the rangelands. (ii) Remove scattered single families and domestic livestock located within the forest area. This national program is a phased program w h i c h started in1996 andinMazandaran a n d was implemented inNour, Sari, Nakah, and Behshar. The program also includes the forests located inthe upper watershed of Alborz Mountains coveredbythe AILWMP. However, the FRWO decided to stop any relocation inthe AILWMP area untila Master Plan (MP), w h i c h will b e carried out inthe first one a n d a half years of the AILWMP inthe upper watershed, is completed. Therefore, any relocation inthe upper watershed inthe AILWMP area will b e subject to the result of the MP. The FRWOhas decided to use this area as a pilot a n d use the recommendations of the MP regarding the resettlement of the people living inthis area. In case, after the completion of the master plan, w h i c h its recommendations will b e reviewedby the Bank, there will be some resettlement inthe AILWMP the followingwould be relevant. Affected Population and Type of Adverse Impacts The possible affected populationincludes 933 traditional cattle breeders/herders, 267 single families living within forest areas and, to a lesser extent, communities livinginvillages adjacent to the project area. Under the national program currently under implementation by the FRWO, all scattered forest dwellers and single family living within the forest should participate inthe relocation program of livestock from the forest as explainedbelow. Principles a n d Objectives of Resettlement (i) Traditional cattle breeders with grazing licenses and legal exemptions in the rangelands and pastures: The GO1willbuy land andbuildingstructures at market rates and encourage the transition to intensive cattle breeding or farming. Itwill also encourage the trade-in of grazing licences (equal to 14,400 toam per livestock unit)in exchange for landoutside the forest to be granted legal private ownership status. If cattle breeders opt for replacement land, the FRWOwould ensure that every affected family receive a basic minimumarea of land1adequate to sustain livelihoods at least at current levels and prevent impoverishment irrespective of the compensation amount cattle breeders are entitled to receive according to the law. 1The replacement land will be providedat the lower watershed areas. This land belong to FRWOand no fresh acquisition will be necessary B-0-5 (ii) Forestdzuellerszuithlegallyvalidexemptionsforlivinginsidetheforest(communitieswith less than 20 households) will compensated as under i t e m (i). (iii) Sedentanjvillagecommunitieslivingatperipheryofforestsconsistingoflessthan20 households are to be treated as explained under i t e m (i). relocation of However, these all the above categories of people inthe AILWMP area will be carried out based on the result a n d findings of the MP, w h i c h will be reviewedby the Bank before implementation (iv) Communities over 20 households:The FRWOwill offer incentives such as veterinary services, winter forage etc. to switch to modern cattle breeding. Eventhough these villages are not included inthe national program of forest livestock resettlement, the access of villages inthe periphery of the forest could be restricted inthe future. The GO1would initiate a number of economic development activities inthese areas to reduce the current dependence on forest resources. Under the Upper Watershed a n d Forest Management Component of the AILWMP, a Master Plan will be developed duringthe first 1-1*/z of the project to identify the details of these activities, including the establishment of forest cooperatives, ina participatory manner. The FRWOagreed to implement the following measures inthe area of the AILWMP inaddition to the statutory provisions described above: If affected people optfor replacement agricultural land andformfarmer cooperatives, the project will facilitate access to credit on concessional terms for procuring agricultural inputs such as fertilizers, seeds a n d agricultural implements. This wouldbe carried out under the provisions of the ongoing small farmer assistance programs of MOJA. If secondary sources of income such as small business, silk cocoon productionetc. are affected on account of relocation, households would receive additional cash compensation equivalent to a n amount of 11years income from such business. The business income will b e assessed by a legal expert assessor. Residential structures will be compensated at full replacement value without taking into account any depreciationlosses due to the age of structures. Furthermore, as a special concession, owners of structures will b e will b e allowed to carry salvageable materials from the structures without any charge. An independent grievance unitwith adequate representation of affected people will b e established to deal with complaints/ grievances associated with landacquisition and resettlement. Inorder to strengthenthe participatory structures andcommunication process between project agency and the participant households, the FRWOauthorities will involve local NGOs. These NGOs will establish close contact with the participating households and ensure that compensation payment a n d resettlement process is completed without hurdles and hardship to the participants. B-0-6 The planningand implementation of the entire resettlement programwill be guidedby the following principles: (i) Transparencyand information disclosure: Inventory of immovable property and livestock, its evaluation andcompensation and allotment of alternative landand other entitlements willbe done ina transparent manner. To this end, the FRWOwill carry out an information campaign inareas affected by the project, distribute informationbooklets/ handbills explaining the policy/legal provisions andwill appoint community workers to interact and assist the affected communities. (ii) Commurzity Participation: The entire programwill be carried out ina participatory manner with active, informed involvement of the affected communities and households. (iii) Overall economic improvement through expansion of existingforest cooperatives to create jobs and develop the economy; and improved agricultural training and extension services. 5. ResettlementPolicy Framework - Lower Watershed Affected Population andTypes of Adverse Impacts The construction of new irrigation and drainage networks and improvement of the existing networks will involve acquisition of land for the right of way along the structures. Current estimates indicate that a total of 905 ha of land i s required for canalconstruction andanother 526 ha for the construction of drainage infrastructures. Affected people include (i) Landowners loosing all or almost all of their land; (ii) Landowners loosing part of the land, but will still have aneconomically viable property; (iii) Agriculturallaborers, sharecroppers, lessees etc. Principles & Objectives of Resettlement The landrequirement for the IrrigationandDrainage Component under the AILWMP is limited to the "right of way" of the canal and drainage networks and associated engineering structures andbuildings. Compensation of affected persons willbe governed by the following general principles: (i) The project will take all possible steps to minimize the acquisition of productive, privately owned land and avoid acquisition of residential areas. (ii) The GO1will endeavor to ensure that project affected persons do not suffer impoverishment on account of landacquisition. (iii) Compensation equivalent to the replacement value of landwill be paidto the property/rights owners based o n this RPF. B-0-7 (iv) Landowners losing more than25 percent of their holdingwill have the option of receiving replacement land inlieu of cash compensation. (v) The annual land acquisitions and compensationplanwill prepared and implemented ina transparent manner with the participation of affectedpeople and village institutions. (vi) The project will replace infrastructure facilities such as roads, irrigation, and communication networks disrupted by the construction of canal and drainage network. Legal and Policy Framework Underthis policy, acquisition andcompensationof landrequiredfor (a) maincanals and drainage and (b)secondary and tertiary and distributaries are governed by different sets of regulations and policies. These are discussed below: (a) Primary and maincanals and drains: People losing agricultural land will be provided cash compensation at the full replacement value of the affected land. Peoplelosing more than 25 percent of their landholdingwill also have the option to be allotted anequivalent amount of government landinthe "newirrigation development" area. Any uneconomic or "oddshaped" landholdings willbe acquiredby the project at the option of the affectedlandholder. Any crop or other damage incurred duringconstruction will be fully compensated for by the project. Any village commonproperty that is affectedby the project will be compensated at its replacement cost, based on negotiations with the affected administrative units. The project will cover the initialcosts associated with developing andconnecting replacement lands to the irrigationsystem. If secondary sources of income such as smallbusiness, silk cocoonproductionetc. are affected on account of land acquisition, such households will be given additiona1 cash compensation equivalent to 11years income from such business (the calculation of one year income is done by a legal expert assessor). Inthe unlikely event of displacement, the projectwilltake allnecessary measures to relocate families by offering suitable replacement house plots and additional grants equivalent to 15 percent of compensationto cover the cost of relocation and transitional phase expenses. Residential structures will be compensated at fullreplacement value without taking into account any depreciation due to the age of the structures. B-0-8 (b)Secondary, tertiary andonfarmcanals anddrains anddistributaries With respect to construction of secondary as well as tertiary canals, landfor the construction of canals ina given village canbe donatedby affected people under the following conditions: A WUA is formed inthe relevantvillage. The WUA agrees to the land consolidationproposal presented by the project authorities. Under the proposedlandconsolidation scheme, none of the owners of agricultural land stands to lose more than 10 percent of their original landholding. The contribution of landi s counted towards the mandatory contribution required for financing of tertiary canals and on-farm works. The irrigationconnection fee (about USD1200per ha) willbe waived for WUAs that agree to donate landfor construction. If any of the above conditions are notfulfilled, l\and for construction of secondary and tertiary should be acquired using the normalland acquisition procedures. Implementation: (i) A resettlement unitwillbe created withinthe MGRWCto oversee all aspects of land acquisition andresettlement. The unitwill include representative from the affected communities as well as a trained community worker to improve the communication between the project agency andthe affected communities. (ii) An independent grievance unitwith adequate representationof affectedpeople will be established to deal with complaints and grievances associated with land acquisition andresettlement. The implementation o f all three resettlement programs, the RP andthe RPFs,will bemonitored both through intemal, official institutional arrangements, as well as by independent, external agencies to be appointed by the respective organization. B-0-9