RP1080 Private Sector Development Capacity Building Project RESETTLEMENT POLICY FRAMEWORK REVISED DRAFT Private Sector Development Capacity Building Project Page 1 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Table of Contents ABBREVIATIONS AND ACRONYMS ....................................................................................... 3 PART I: BASIC INFORMATION ................................................................................................. 4 PART II: OBJECTIVES ................................................................................................................ 6 PART III: PROJECT DESCRIPTION AND RATIONALE FOR RPF ......................................... 7 PART IV: LEGAL AND INSTITUTIONAL FRAMEWORK .................................................... 26 i) POLITICAL ECONOMY AND GOVERNANCE IN ETHIOPIA .............................. 26 ii) PROPERTY AND LAND RIGHTS IN ETHIOPIA .................................................... 28 iii) ACQUISITION AND VALUATION OF LAND AND OTHER ASSETS ............. 29 iv) ENTITLEMENTS AND COMPENSATION........................................................... 31 v) DISPUTE RESOLUTION AND GRIEVANCE MECHANISMS .............................. 31 vi) COMPARISON TO WORLD BANK OP 4.12 ........................................................ 32 Table I: Comparison of Ethiopian and World Bank Policies on Resettlement and Compensation ....................................................................................................................... 33 PART V: COMPENSATION FOR LAND AND OTHER ASSETS .......................................... 41 Table II: Entitlement Matrix ................................................................................................. 45 PART VI: IMPLEMENTATION SCHEDULE AND COSTS ................................................... 52 Table III: Indicative Outline of a RAP Budget .................................................................... 52 PART VII: PUBLIC CONSULTATION AND DISCLOSURE PLAN ...................................... 54 PART VIII: MONITORING AND EVALUATION OF IMPACTS .......................................... 55 Table IV: Indicators of RAP Impacts ................................................................................... 56 ANNEX 1: World Bank Resettlement Policy Framework (RPF) ................................................ 59 ANNEX 2: Annotated Outline for Preparing a Resettlement Action Plan (RAP) ....................... 61 ANNEX 3: Sample Grievance and Resolution Form ................................................................... 65 ANNEX 4: Sample Table of Contents for Consultation Reports ................................................. 66 ANNEX 5: Glossary of Terms ...................................................................................................... 67 ANNEX 6: Relevant Laws........................................................................................................... 69 ANNEX 7: List of 28 State Owned Entreprises designated for Environmental and Social Management Plan (ESMP) ........................................................................................................... 71 ANNEX 8: List of Stakeholders Involved in the RPF Consultation Process ............................... 72 Page 2 of 88 REVISED DRAFT Private Sector Development Capacity Building Project ABBREVIATIONS AND ACRONYMS ADB African Development Bank BP Bank Procedures EA Environmental Assessment EAA Environmental Assessment and Audit Department EAPM Environmental Assessment Procedures Manual EA/TRC Environmental Assessment Technical Review Committee EIS Environmental Impact Statement EMP Environmental Management Plan EPA Ethiopia Environmental Protection Agency ESD Department of Environment and Sustainable Development GEF Global Environment Facility IDA International Development Association kV Kilovolt LI Legislative Instrument M&E Monitoring and Evaluation MEP Monitoring and Evaluation Plan MOE Ministry of Energy NCC National Commission on Culture NGO Nongovernmental organization OP Operational Policy OPN Operational Policy Note PAP Project Affected Persons PCDP Public Consultation and Disclosure Procedures PCR Physical Cultural Resources PER Preliminary Environmental Reports PIU Project Implementing Unit PPAH Pollution Prevention and Abatement Handbook RAP Resettlement Action Plan ROW Right of Way RPF Resettlement Policy Framework SEA Strategic Environmental Assessment TOR Terms of Reference Page 3 of 88 REVISED DRAFT Private Sector Development Capacity Building Project PART I: BASIC INFORMATION 1. Country and Project Name: Ethiopia: Private Sector Development Capacity Building Project ­ Proposed Additional Financing Operation 2. Project Development Objectives: The project development objective for the Additional Financing (AF) operation is to enhance the competitiveness and growth of the light manufacturing industries in the Ethiopian economy; and accelerate the process of divestiture of public enterprises. This goal will be achieved by (1) bridging the financing gap for the implementation of its Privatization Program of commercial public sector enterprises; and (2) augmenting the resources for the Ethiopian Competitiveness Facility (ECF) that administers matching grants (MG) for exporting firms; and chambers of commerce and sectoral associations. In addition, the AF proposes (i) to extend the ECF grants to enterprises in light manufacturing industries that also cater to domestic markets on a competitive basis, for products that would otherwise be imported; (ii) to provide support to the recently established Ethiopian Public-Private Consultative Forum (EPPCF) Secretariat that aims to address sector-specific and cross-cutting policy and implementation matters; (iii) to support MoIs efforts to develop a Special Economic Zone Strategy, and framework for Ethiopia; and (iv) to strengthen the existing Project Management and ECF units for successful implementation of the program. Responsible Government/Country Agency for RPF Implementation: FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA Ministry of Finance and Economic Development Responsible Agency: Ministry of Industry/ Privatization and Public Enterprise Supervising Agency (PPESA) Total Project Cost (USD million): US$15 million IDA/IBRD (USD million): US$15 million Government (USD million): Other-Co-financing (USD million): Country: Ethiopia Social Safeguards Specialist: Yasmin Tayyab Country Director: Kenichi Ohashi Task Team Leader:Asya Akhlaque Project ID: P122463 Environment Category: B Page 4 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Year of project appraisal: 2011 Year of project closing: 2013 Safeguard policies triggered? Applicable Environmental Assessment (OP/BP 4.01) [ X ] Yes [ ] No Natural Habitats (OP/GP 4.04) [ ] Yes [ ] No Forestry (OP 4.36) [ ] Yes [ ] No Pest Management (OP 4.09) [ ] Yes [ ] No Cultural Property (OP 4.11) [ ] Yes [ ] No Indigenous Peoples (OP 4.10) [ ] Yes [ ] No Involuntary Resettlement (OP 4.12) [ X ] Yes [ ] No Safety of Dams (OP/BP 4.37) [ ] Yes [ ] No Projects in Disputed Areas (OP/BP 7.60) [ ] Yes [ ] No Projects on International Waterways (OP/BP 7.50) [ ] Yes [ ] No Page 5 of 88 REVISED DRAFT Private Sector Development Capacity Building Project PART II: OBJECTIVES The objectives of the Resettlement Policy Framework (RPF) are to: Establish the Private Sector Development Capacity Building project resettlement and compensation principles and implementation arrangements; Describe the legal and institutional framework underlying Ethiopian approaches for resettlement, compensation and rehabilitation; Define the eligibility criteria for identification of project affected persons (PAPs) and entitlements; Describe the consultation procedures and participatory approaches involving PAPs and other key stakeholders; and Provide procedures for filing grievances and resolving disputes. The RPF will apply to the privatisation of State Owned Entreprises. The list of State Owned Entreprises concerned is provided in Annex 7. The procedures will be carried out throughout preparation and implementation, and impacts of any potential resettlement will be included in monitoring and evaluation (M&E). When a Resettlement Action Plan (RAP) is required, it will be prepared in accordance with guidance provided in this RPF, including Detailed Measurement Surveys, Identification (Census) of PAPs/displaced persons, and Public Consultation and Disclosure Procedures (PCDP). The RPF follows the guidance provided in the World Bank Operational Policy on Involuntary Resettlement (OP4.12), as described in Annex 1. The RPF ensures that any possible adverse impacts of proposed project activities are addressed through appropriate mitigation measures, in particular, against potential impoverishment risks. These risks can be minimized by: Avoiding displacement of people without a well designed compensation and relocation process; Minimizing the number of PAPs, to the extent possible; Compensating for losses incurred and displaced incomes and livelihoods; and Ensuring resettlement assistance or rehabilitation, as needed, to address impacts on PAPs livelihoods and their well being. Page 6 of 88 REVISED DRAFT Private Sector Development Capacity Building Project PART III: PROJECT DESCRIPTION AND RATIONALE FOR RPF Description of project activities where the RPF will be applied: The privatisation of State Owned Enterprises (SOEs) was initiated in the early 1990s after Ethiopia instituted nation-wide economic reform. A liberalization policy, implemented to expand the countrys market economy, was supported by the creation in 2004 of the Privatization and Public Enterprises Supervising Agency (PPESA) under the Ministry of Trade and Industry (MoTI). Pursuant to Article 6 of Ethiopia Proclamation No. 412/2004, PPESA was mandated to transfer selected state-owned enterprises to private ownership. As part of this process, a World Bank-sponsored environmental audit was undertaken for 94 SOEs covering a full range of industrial sectors across Ethiopia, including textiles, tanneries, cement, pharmaceutical, breweries, food processing, construction. This audit program was implemented by an external consulting company (Tecsult International Limited) who provided a combined audit team of international and national environmental experts. Full and partial audits, with primary emphasis put on key issues previously identified in a 2004 pre-audit report (by Sood, another consultant), were undertaken in 2008-2009. Based upon site visits, selected local interviews and a review of relevant documentation, audit findings were developed for each facility. Suggested Environmental mitigation measures and/or corrective actions were provided where appropriate. In particular, detail was provided for each major finding that involved legal non-compliance or a major risk to the Environment, Health or Safety - for either the workers or the community. Among the 96 audited SOEs, 28 were identified for further review of potential environmental and social liabilities that present significant risks for any new private owners. These 28 sites covered various sectors: agriculture, construction, chemicals, textiles, food, beverage, mining and minerals. To attract private investors or buyers of the proposed facilities, an Environmental Management Plan (EMP) was developed by PPESA, with the assistance of Tecsult International, based upon the recommendations of the environmental audits. PPESA and Tecsult (using local independent social survey crews) also determined whether privatisation of each of these SOEs would trigger the World Bank OP 4.12 Involuntary Resettlement Policy. This was based on the following: (1) A rapid survey of 28 SOEs to determine if families, workers or other people are residing, or using land/assets, or have access to such land/assets, or have income sources or means of livelihood within the limits of the properties of each of these SOEs. This covered both officially recognized and informal land-uses. (2) An estimate of the approximate number of people who are in this situation ("Project Affected People") and summary of any key social issues. The World Bank OP 4.12 Involuntary Resettlement Policy is triggered in full either because more than 200 persons need to be resettled or because there will be loss of assets and/or means of livelihood. Preliminary results indicate that this applies to all but 6 entreprises. During and after the process of the privatization, there is the possibility in 22 SOEs that peoples residence or land-use - which can include both officially recognized and informal values - will be diminished. It is in this context that a Resettlement Policy Framework (RPF) is required for the affected people, as per the guidelines of OP 4.12. Page 7 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Note that, among the 28 SOEs, examples of recent or ongoing privatization were reported by surveyors (Table 2). Table 2: SOE Privatization already occurring, as observed by the Survey Team Code Site Location Comments Some of the farms were privatized (not surveyed because there were Middle-Awash Agricultural Dev't A19 Afar Amibara new owners and no entity to be Enterprise approached for a survey, e.g, Gewane, Dofen-Bolamo. Zeway & Langano SNNP Abaya Privatized around 2008 A21 Fish Production & Marketing Ent. Addis Ababa Bahir Dar Lake Tana Privately owned cafeteria Upper Awash Agro- Industry One farm had been privatized namely A23 Oromia Enterprise Tibila Land acquisition and resettlement impacts [Describe the activities that may require land take or acquiring land and other assets; relocation or displacement of persons occupying or using these lands and other assets]: As of January 28th 2011, all 28 sites were visited by a social survey crew. Based on initial key information phoned in to the survey coordinator, the following initial high-level conclusions can be drawn regarding the order of magnitude of land acquisition and resettlement impacts: In 6 SOEs, it was determined that no people were potentially affected by The Project in 6 sites. Based on information received and analyzed to date, World Bank OP 4.12 Involuntary Resettlement Policy may not be triggered. A resettlement plan may not be required. In 10 other SOEs, between 1 and 200 people could be affected by the Project in 4 - which triggers the World Bank OP 4.12 Involuntary Resettlement Policy in each case. A summary or full resettlement plan may be required. In 12 other SOEs, more than 200 People are affected by The Project in 10, which also triggers the World Bank OP 4.12 Involuntary Resettlement Policy. A full resettlement plan may be required. In summary, a total of 22 SOEs trigger World Bank OP 4.12 Involuntary Resettlement Policy. Further detail is provided in Table 1 (below). Page 8 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Table 1: SUMMARY OF SOE SURVEY RESULTS - as of Jan. 28, 2011 Number of People How people are affected affected by the Project infrastructures infrastructures Other natural Less than 200 Dwellings/ Site Location resources Over 200 Zero (0) Grazing Houses Private Public Crops Trees Code A1 Awash Melkassa Aluminum Sulfate & Sulfuric Acid Adama Awash Melkassa X A10 Agricultural Equipment & Technical Service Sh. Co. Addis Ababa Addis Ababa X X A11 Abobo Agricultural Deve't Enterprise Gambela Gambela X X X X X x A12 Coffee Processing and Warehouse Enterprise Addis Ababa X A13 Bale Agricultural Dev`t Ent Bale Robe X X X X A14 Agricultural Input Supply Enterprise Addis Ababa X X A15 Coffee Plantation and Dev't Enterprise Oromia, Gambela & SNNP X X X X X X X X A16 Arsi Agricultural Dev't Enterprise Arsi Assela x x x x x x Page 9 of 88 REVISED DRAFT Private Sector Development Capacity Building Project A17 Awassa Agricultural Dev't Enterprise SNNP Hawassa X X X X X X A18 Ethiopian Fruits and Vegetables Marketing Sh.Co. Addis Ababa X X A19 Middle-Awash Agricultural Dev't Enterprise Afar Amibara X X X X X A2 Adami Tulu Pesticide Processing Sh. Co. Zeway Adamitulu X A20 Semen-Omo Agricultural Dev't Enterprise SNNP Arbaminch X X X X X X X Zeway & Langano X SNNP Abaya X X 1 A21 Fish Production & Marketing Ent. Addis Ababa X X Bahir Dar Lake Tana X X X X A22 Natural Gum Production & Marketing Ent. Nazareth X A23 Upper Awash Agro- Industry Enterprise Afar & Oromia X X X X X X X A3 Caustic Soda Sh. Co. Zeway B24 Assela Malt Factory Arsi Assela X B25 Bedele Brewery Sh. Co. Bedele X B26 Harrar Brewery Sh.Co. Harrar X X B4 Adola Gold Development Enterprise Borena Oddo Shakisso X X X X X X X B5 Ethiopia Mineral Development Sh. Co. SNNP Kentiticha X X X X X C27 Tabor Ceramics Sh. Co. SNNP Hawassa X C6 Awassa Textile Sh. Co SNNP Hawassa X X X X X 1 A21 - Fish Production & Marketing Ent.) had 4 locations far from each other, including 2 where the local survey team indicated that no people were affected by the project. For the purpose of assessing the applicability of the World Bank OP 4.12 Involuntary Resettlement Policy, the A21 sites were considered as a single enterprise. As such, none of its different locations are tabulated among the sites having no people affected by the Project. Page 10 of 88 REVISED DRAFT Private Sector Development Capacity Building Project C7 Bahir Dar Textile Sh. Co Bahir Dar X X X X C8 Combolcha Textile Sh. Co Kombolcha X C9 Arbaminch Textile Sh. Co SNNP Arbamich X X X X X D28 Hamaressa Edible Oil Sh. Co. Harrar X X Page 11 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Consultation Processes The survey results were not based on a census and should be considered as an approximation. The survey team did not actually see or count all people affected. The study relied instead on stakeholder consultation (i.e. interviews with key contacts) and observation by research team. This included representatives of each of the 28 SOEs and in one or two other sites members of the local community, thus became the basis for preparation of the RPF. The results of the social audit were also discussed with PPESA. Refer to Annex 8 for a detailed list of stakeholders consulted. A more detailed summary of key issues for each SOE surveyed is presented below. Summary of Social Audit Findings of 28 SOE (January 2011) CHEMICAL SECTOR Adami Tulu Pesticide Processing Sh. Co This SOE is located in Adami Tulu Liyu Kebele 01, Batu Town, Adami Tulu Jido Kombolcha Woreda, East Shoa Zone of Oromia Regional State. It has a total area of 131,000 square meters. The social audit findings are summarized as follows: 1. No legal or illegal inhabitant within the demarcated boundaries of the company. 2. Eighty-four employees of the company run a dairy farm (14 milk-cows and 10 calves at the time of the visit) on site under a Micro and Small Enterprises scheme. 3. Two hectares of land cultivated to grow maize and soybean for cattle feed. 4. The dairy farm cows and calves graze within the demarcated boundaries of the company. 5. No public or private infrastructure on site. Caustic Soda Sh. Co It is located in Kebele 01, Batu Town, Adami Tulu Jido Kombolcha Woreda, East Shoa Zone, Oromia. It has a total area of 262,300 square meters. The social audit findings are summarized as follows: 1. No illegal inhabitant within the demarcated boundaries of the company. 2. At the time of the social audit, seven out of twelve staff residential houses are occupied by top management and Dept. heads of the factory. 3. Some of the management staff who reside in the company houses grow small garden (fruits, vegetables and crops such as maize). 4. It was reported some low-paid employees (e.g., guards) collect firewood from within the boundaries of the company. Awash Melkassa Aluminum Sulfate and Sulfuric Acid It is located in Awash Melkassa village 115 km to the South East of Addis Ababa, Oromia. It has a total area of 15 hectares. Briefly, the social audit can be summarized as follows: Page 12 of 88 REVISED DRAFT Private Sector Development Capacity Building Project 1. No legal or illegal inhabitant on the factory site except two key persons for the factory who reside in houses provided by the factory. 2. No private infrastructure or dwelling on the site. 3. About 320 households of Awash Melkassa village benefit from water wells and a health center of the factory. Page 13 of 88 REVISED DRAFT Private Sector Development Capacity Building Project MINING AND MINERALS SECTOR Adola Gold Enterprise It is located 525 km to the South East of Addis Ababa in Borana Zone of the Oromia National Regional State. It covers an area of 71km2. The major observations of the social audit as follows: 1. There are about 900 households living illegally on the site designated for the production of gold. 2. They use the area both for farming and grazing. The farming activity is limited and is used as a cover for mining gold. 3. The 900 households are spread over three different locations usually in temporary plastic houses. 4. There is an infrastructure for the supply of water and electricity on the site. Ethiopian Mineral Development Share Company The Ethiopian Mineral Development SC has two sites in Borana Zone of Oromia, one in Mea Boku (Boanbua Wuha) and another in Kenticha. The one at Mea Boku produces kaolin used in the production of ceramic tiles, while the other one produces tantalum. 1. Kenticha is located 550 km away from Addis Ababa. It has a total area of 5.90 km2. Basically no encroachers except that some young persons occasionally engage in mining of tantalum owing to the lucrative income that it could bring. The public infrastructures that inhabitants of the surrounding villages benefit from are a clinic, a primary school, an ambulance service and the supply of water and electricity. 2. Mea Boku is located 420 km to the South East of Addis Ababa. The mining area covers 4.50 km2. Farmers from the surrounding villages, (about 50 households) use the farming area for crop production and grazing. The public infrastructures that inhabitants of the surrounding villages benefit from include a clinic and an ambulance service during emergency. TEXTILES SECTOR Kombolcha Textile Sh. Co The Company, with a total area of 436,000m2, is located in Kombolcha 04 Kebele, Kombolcha Woreda, South Wollo Zone, Amhara Regional State. The social audit of the factory can be summarized as follows: 1. The factory has 1141 permanent and 80 contract workers, and 467 daily laborers. 2. There was not any illegal inhabitant in the demarcated boundaries of the factory. 3. There were legal inhabitants in the factory camp site and they are all factory workers residing in the houses provided by the company. 4. There was not any activity like planting fruit tree, breeding milk-cows and gardening on site. Page 14 of 88 REVISED DRAFT Private Sector Development Capacity Building Project 5. The factory has a cafeteria and shop which provide services to its employees and the surrounding community. 6. No private infrastructures on site. 7. The factory has supported the neighboring kebeles in building a small (mini) clinic and small bridge. Bahir Dar Textile Sh. Co Bahir Dar Textile SC is located in Bahir Dar town, the capital of Amhara Regional State. The Company has 187,908 square meters of land. 1. There are 63 houses built and provided by the Company to its employees. Most of these households have their own little cultivation where they produce varieties of vegetables. The sum of these cultivated areas may be about half a hectare. 2. A variety of trees are grown on the site for shade, beautification as well as for fruits. 3. There is no natural resource found (so on far) on the site. 4. There is one cafeteria with all its facilities, including swimming pool, which is open to the public. 5. There is no private infrastructure within the boundaries of the company. Arbaminch Textile Share Company With a total area of 171,520 square meters, Arbaminch Textile Share Company is located on the outskirts of the town of Arbaminch in Southern Nations, Nationalities and Peoples Region (SNNPR). Well-fenced and guarded, there is no illegal occupant and no trace of passer-bys as such. Its products are available in the market and therefore no benefit accrues directly to the local community. The management personnel resides in the Company houses and cultivates about 80 square meters of land with fruit trees. Grasses grown in the Company are often sold to any dairy producer that offers a competitive price. Hawassa Textile Share Company Located in the industrial zone of Hawassa, the capital of the Southern Nations, Nationalities and Peoples Region (SNNPR), Hawassa Textile Share Company has a total area of 350,000 square meters. Company workers residing on site in the houses provided by the company grow some crops (e.g., maize) on about 1/8th of a hectare. There is no illegally occupied land. Few fruit trees are available and utilized by Company workers. There is no public or private infrastructure on the site. Page 15 of 88 REVISED DRAFT Private Sector Development Capacity Building Project AGRICULTURE SECTOR Bale Agricultural Development Enterprise (BADE) Currently, there are four state owned farms under BADE, whose head office is located in Robe, the Zonal town of Bale, Oromia. The four farms are: (i) Sinana; (ii) Robe; (iii) Hunte; and (iv) Heraro. The four farms have a total area of 12,091.21 hectares. The social audit of the farms can be summarized as follows: 1. There was not any illegal inhabitant in the demarcated boundaries of each of these farms. 2. There were legal inhabitants in the farms camp sites and they are all farm workers residing in the houses provided by the respective farms. 3. Most of the farm workers who live in camp in houses provided by the farms grow small garden (fruit trees and vegetables) and keep one or two milk-cows. 4. Residents of the surrounding villages use the farm lands as grazing after harvest in all the farm sites. 5. The households from the surrounding villages using the farm lands as grazing could reach several thousands. For instance, over 40,000 households use Robe farm land as grazing between January and mid-May. 6. The farms have clinics, cafeteria, shops and flour-mills which provide services to their employees and residents of the surrounding villages at fair price. 7. The schools located in the farm camp site, with the exception of Robe Farm, are supported by the farms, primarily in providing accommodation for the teachers and by farming their lands. 8. People who live in the villages surrounding the farms benefit a lot from collecting grain left in a harvest field (qarmii guuruu) and straw during the harvest season. 9. In one of the farms, people from the surrounding villages use well water developed by the farm. Arsi Agricultural Development Enterprise (AADE) The Head Office of Arsi Agricultural Development Enterprise is found in Assela town of Arsi Zone, Oromia. The four farms under the Arsi Agricultural Development Enterprise are Arba Gugu (600 hectares), Geredela (2529 hectares), Gofer (2400 hectares) and Lole (2417.26 hectares). Hence the total area under the AADE is 7937.26 hectares. The major observations from the social audit include: 1. With the exception of Lole there are encroachers on the farms. 2. Lole provides services like clinic, primary school and ambulance to the surrounding villages. 3. Farmers from the surrounding villages use the farms after harvest for grazing and collecting straw. 4. In the other three farms close to 400 households use the farm land either for farming or grazing. Page 16 of 88 REVISED DRAFT Private Sector Development Capacity Building Project 5. The land that is used either for farming or grazing in the three farms could be up to 350 hectares. Abobo Agricultural Development Enterprise It is located at Abobo, 44 kilometers east of Gambella town in Gambella Regional State. It has a cotton farm and a cotton processing factory (ginnery) in Gambella town. The farm and the factory have 4000 hectares and 65000 square meters total areas, respectively. The social audit of the enterprise can be summarized as follows: 1. There were 27 illegal inhabitants in Abobo farm. The farm has neither official boundary demarcation nor a map. 2. The factory has a clearly demarcated official boundary as well as a map. 3. There were legal inhabitants in the farms camp sites and the factory, and all of them are employees of the farm and the factory. 4. Many of the farm workers who live in camp grow small garden (sorghum and maize) and keep a few milk-cows. 5. The surrounding villages, people from Abobo town and the employees of the farm use a land left fallow by the farm for grazing. 6. The farm has only a hand pump for drinking water used by the employees and the illegal inhabitants. Middle Awash Agricultural Development Enterprise (MAADE) The Enterprises HQ and the farms and a ginnery it manages are located in Afar Region, Zone Three, Amibara Woreda. The Enterprise also has a Logistics/coordination office in Addis Ababa located in Gottera area in Addis-Mojo Edible Oil Companys building. Currently, the enterprise manages three state owned cotton farms viz. (i) Melka Sedi; (ii) Melka Worer and (iii) Sidaha Fagie and a ginnery. Other farms mentioned in the original list such as Gewane-Angelele, Dofen­balemo and Amibara have already been given to locals or sold to private investors several years back. According to Ato Wubshet (the Manager of Middle Awash Agricultural Development Enterprise) and Ato Tamirat (site representative) these farms are divided among many owners and consequently, there is no single entity to be approached for information. Therefore, the survey team conducted a social audit only for the three cotton farms still owned by the state as listed above, a ginnery and the HQs site of the enterprise at Melka Sedi (five sites in total). Each of these farms is headed by managers whom we contacted through site representative to fill in the checklists and conduct site visit. The enterprises current total land holding is reportedly 6098 hectares. The Social audit of the farms, a ginnery and the HQ site is summarized as follows: 1. There were illegal inhabitants in the demarcated boundaries of all the farms under the enterprise, but the HQs and the ginnery compounds. 2. There were legal inhabitants in the farms camp sites in the houses provided by the enterprise (farms), all farm employees. The same camp sites also host large numbers of illegal inhabitants who have set up their own dwelling units. Some are nomadic huts of the local Afar community while others are permanent structures established by migrants. Page 17 of 88 REVISED DRAFT Private Sector Development Capacity Building Project 3. Some of the farm workers who live in camp also engage in petty trade such as shop, tea rooms and other businesses. 4. Residents of the surrounding localities use the farm fields as post-harvest grazing land in all the farms we visited. Pathways and roads inside the boundaries of the farms are used by humans and cattle of the local communities. 5. The households using the farm fields as seasonal grazing land could reach thousands. 6. There were local people who engage in agriculture inside the boundaries of the farms. 7. People also make a fairly liberal use of pathways inside the camps and farms boundaries both for human beings and their livestock. 8. The farms have clinics, schools and water distribution points which provide services to their employees and residents of the surrounding areas. 9. People in the surrounding localities benefit a lot from the canals inside the boundaries of the farm for various purposes: drinking, washing, livestock watering (probably the most important) and irrigation. Upper Awash Agro-industrial Development Enterprise (UAAIDE) UAAIDE is located in two zones of Oromia National Regional State. One of its farms (Merti Jeju Farm), a factory (Merti Vegetables and Fruits Processing Plant) and the HQ of the enterprise are located in Merti Woreda of Arsi Zone. Merti Farm, however, has one of its sub-farms in Jeju Woreda of the same zone. The Nura Era Farm, on the other hand, is located in Boset Woreda of East Shewa Zone. The Enterprise also has a Logistics Office located in Addis Ababa around Saris Abbo area. The survey team made first contact with the enterprises Logistics office in Addis, through which the letter from PPESA was sent to Merti HQs. Out of the five entities listed under Upper Awash Agro-Industrial Development Enterprise (in the original list of the SOEs for which social audit was to be carried out) two, namely Tibila Farm and Awara Malka Farm, are no longer controlled by the enterprise. Awara Melka Farm has been transferred to Metahara Sugar Company while Tibila has become a share company in which PPESA is a minority (about 13 %) share holder under a new name: Africa Juice Tibila Share Company. After serious negotiation, and thanks to the goodwill of the company Manager, we somehow managed to carry out social audit of this company. On the other hand, our attempt to conduct the social audit of the Awara Melka farm did not materialize. The survey team traveled to Awara Melka, approached the administrator of the farm and requested for permission to conduct the social audit. The administrator declined our request indicating that the farm is no longer under UAAIDE and could not be audited under it. He also insisted that the letter written by PPESA to the UAAIDE could no be used to seek permission to audit the farm. Our attempt to approach Metahara Sugar Company to seek permission to access Awara Melka Farm also did not materialize as the guards refused to let us in without a letter. In general, the survey team carried out social auditing of five major sites, namely (i) Merti Jeju Farm; (ii) Nura Era Farm; (iii) Africa Juice Tibila Share Company (iv) Merti Vegetable and Fruits Processing Plant (MPP) and; (v) Upper Awash Agro Industrial Development Enterprise HQs site at Merti. The enterprises total land area under these entities is about 4977 ha (excluding the Tibila Farm). Page 18 of 88 REVISED DRAFT Private Sector Development Capacity Building Project The social audit of the farms and the processing plant can be summarized as follows: 1. There were illegal inhabitants in the demarcated boundaries of all the farms (reported and observed as well) except the processing plants compound and the HQs. 2. There were legal inhabitants in the farms camp sites. They constitute two categories viz. (i) farms workers who live in the houses provided by the farms and ; (ii) retired farm workers who have been allowed to set up their dwellings and live within the farms demarcated boundaries on condition that they would leave when requested to do so by the enterprise. The camp sites owned by the farms contain large number of non-farm worker residents. Some of these camps are being converted into small towns that serve both the farm workers and other (illegal) residents. 3. Many of the workers of the farms engage in petty trade, livestock raising, and use the land inside the enterprises demarcated boundaries for temporarily piling up the harvest and then threshing crops they share-cultivate outside the enterprises demarcated boundaries. We have observed a number of cattle enclosures used by farm workers and retired farm workers inside the boundaries of the farms. 4. Residents of the surrounding villages extensively use farm fields as post-harvest grazing lands in all the farms visited. 5. Households using the farm land in this way could reach several thousand as judged from the number of livestock the survey team observed in the fields. 6. Pockets of uncultivable lands inside the boundaries of the farms are also used for grazing by the surrounding communities. This use of land appears to be significant. 7. Pocket of lands inside the boundaries of the farms were also used for agriculture by farmers in the neighboring villages who also use water from the canals of the farms to irrigate their farm fields. 8. The farms have clinics, shops, flour- mills, schools and water pumps which provide services to the farm workers as well as to the surrounding communities. Some of the schools and clinics are constructed by the government while others are constructed by the farms. 9. There are also religious institutions and businesses run by some of these institutions inside the boundaries of the farms (public infrastructure?) Coffee Plantation and Development Enterprise a) Limmu Coffee Plantation Enterprise There are seven state-owned farms under Limmu Coffee Plantation Enterprise, whose head office is located in Jimma town. The seven farms are (i) Gomma 1, (ii) Gomma 2, (iii) Kossa, (iv) Suntu, (V) Gummer, (vi) Gojeb and (vii) Chalalaki. The total area of the seven farms is 11,181 hectares. The Social audit of the farms can be summarized as follows: 1. There were more than 200 illegal inhabitants (households) within the farms temporarily demarcated boundaries. Page 19 of 88 REVISED DRAFT Private Sector Development Capacity Building Project 2. There were thousands of legal inhabitants in the farms camp sites and all of them are employees of the farms. 3. Many of the farm workers who live in houses provided by the farms grow small garden (fruit trees and crops) and keep one or two milk-cows. 4. Most of the farms have put aside small hectarage of grazing land for their workers and the residents of the surrounding villages. 5. The households using the lands inside the farms boundaries as grazing could reach several thousands. For instance, about 4500 households use Suntu farm land and it is expected more than that number is using the Gojeb farm land for grazing. 6. The farms have clinics, kindergartens, schools, cafeteria (recreational centers), flour- mills, workshops, roads, and transportation services - which, in emergency, provide services to their employees and residents of the surrounding villages. 7. In all of the farms, the surrounding villages use water springs located inside the farm boundaries. 8. Only in one of the farms (Gojeb), the surrounding villages practice fishing inside the farm boundaries. b) Bebeka Coffee Plantation Enterprise There are four farms under Bebeka Coffee Plantation Enterprise, whose head office is situated at Bebeka, inside the plantation site, 35 km from Mizan Teferi town. The four farms are: (i) Farm 1, (ii) Farm 2, (iii) Farm 3, and (iv) Farm 4, and have the total area of 8513.66 hectares. The social audit of the farms can be summarized as follows: 1. There were more than 200 illegal inhabitants (households) within the farms demarcated boundaries. 2. There were thousands of legal inhabitants in the farms camp sites. While the overwhelming majority is employees of the farms, there are many traders and teachers who live in the compounds based on agreements with the enterprise. Besides, 60 workers of the state owned National Nucleus Project that produces inputs for tyre production were also based in the camp with the consent of the enterprise. 3. Many of the farm workers who live in camp in houses provided by the farms grow small garden (fruit trees and crops) and keep one or two milk-cows. 4. Most of the farm lands have put aside small hectares of grazing land for their workers and the residents of the surrounding villages. 5. The farms have clinics, kindergartens, schools, cafeterias (recreational centers), flour- mills, roads, and transportation services in emergency cases and electricity supply for their employees and residents of the surrounding villages. 6. Only one farm allows the surrounding villages to use spring water inside the boundary of the farm and in another farm the surrounding villagers produce gravel for sale. c) Teppi Coffee Plantation Enterprise There are five farms under Teppi Coffee Plantation Entreprise, whose head office is situated in Teppi town. The five farms are called: (i) Farm 1, (ii) Farm 2, (iii) Farm 3, (iv) Farm 4, and (v) Farm 5 and have a total area of 8569.24 hectares. The social audit of the farms can be summarized as follows: 1. There was not any illegal inhabitant residing in the farms demarcated boundaries. 2. There were thousands of legal inhabitants in the farms camp sites. While the Page 20 of 88 REVISED DRAFT Private Sector Development Capacity Building Project overwhelming majority is employees of the farms, there are around 100 traders and teachers who live in the compounds with the consent of the enterprise. 3. Many of the farm workers who live in houses provided by the farms grow small garden (fruit trees and crops) and keep one or two milk-cows. 4. All of the farms have allocated small hectares of grazing land for their employees milk-cows. Except Farm 1, the other farms do not allow the surrounding villagers to enter their demarcated boundaries for grazing. 5. The farms have clinics, kindergartens, schools, cafeterias (recreational centers), flour- mills, roads and electricity supply for their employees and residents of the surrounding villages. Two farms have churches in their compounds and one farm provides the surrounding village with pipe water. 6. All the farms have spring water inside their boundaries, which are mostly used by their employees and other legal inhabitants and in few instances also by the neighboring villagers. Coffee Processing & Warehouse Enterprise It is located in Addis Ababa, Nifas Silk Lafto Sub-city, Kebele 10/18 (opposite St. Joseph Church). The enterprise has a total area of 50,800 square meters. The major observations of the social audit include: 1. No legal or illegal inhabitant within the demarcated boundaries of the enterprise. 2. No legal or illegal dwelling constructed inside the boundaries. 3. No crops, no grazing lands, no trees and no natural resources inside the enterprise boundaries. 4. No public or private infrastructure on the site. Agricultural Equipment and Technical Service Sh. Co The Share Companys Head Office is located in Woreda 6 of Akaki-Kaliti Sub-city, Addis Ababa. It has two branches in the city, i.e., chemical store and a training center. The Company has a total area of 114,845 m2 (head office at 96311 m2; chemical store at 13,019 m2; and training center at 5,515 m2). The Company has rented some of its holding (space) to three other companies, which run various business activities, one in fact developing new structure for indoor games and recreational activities. The Company has a total of 469 permanent and 8 contract workers. Moreover, it hires 5 to 6 daily laborers a day during rainy seasons to trim the grass on the compound and 90 ­ 100 people during the annual inventory (June to August). There are also some daily laborers who get hired whenever the need arises for loading and unloading work. The company participates in local development activities such as gravel road maintenance, donating used computers to schools and providing some material support to disabled people. The company has a cafeteria run by a trade union which serves the employees of the company as well as the surrounding community. A variety of foods and hot and soft drinks are available at fair price. The Company hall with a capacity of 800 - 900 seats is accessible to the surrounding Page 21 of 88 REVISED DRAFT Private Sector Development Capacity Building Project community at a reasonable rate for important family events such as wedding ceremonies, etc. Finally, there are no legal or illegal inhabitants or public infrastructure inside the boundaries of the company. Agricultural Inputs Supply Enterprise It is located in Addis Ababa, Akaki Kaliti Sub-city, Kebele 12/13. The Enterprise has a total area of 18847 square meters. The Enterprise has 7 warehouses in other towns, namely, Nekemte, Adama, Bahir Bar, Kombolcha and Shashamane. The findings can summed up as: 1. No legal or illegal inhabitant within the demarcated boundaries of the enterprise. 2. No legal or illegal dwelling constructed inside the boundaries. 3. No crops, no grazing lands, no trees and other natural resources inside the enterprise boundaries. 4. There is 1 cafeteria which gives service for the employees and other people living around the enterprise. 5. No private infrastructure on the site. Fish Production and Marketing Enterprise This Enterprise, whose, 7500 square meters, head office is located in Addis Ababa, Akaki Kaliti Sub-city, Kebele 12/13, has three branches, namely Bahir Dar in Amhara Region, Zeway in Oromia, and Arbamich in SNNPR. The three branches of the enterprise use different water bodies for fish supplies, which they buy from fishers from the surrounding areas, both rural and urban. Depending on how the Enterprises boundaries are defined and their access to the water bodies from which people fish, the number of people likely to be affected by the project varies. The area of land they claim also varies. For instance, the Arbaminch branch claims that both Chamo Lake and Omo River belong to the Enterprise, for that matter they claim all water bodies in the country invoking the provisional decree 178/1986. The Zeway branch on the other hand, produced a legal document showing its possession of land amounting to only 5000 square meters, and the Bahir Dar branch, 16,000 square meters. The major points are: 1. Depending on how the Enterprises boundaries are defined, there might be people affected by the project. 2. The level of impact on the fishers who supply fish to the Enterprises various branches can not be determined at this stage. 3. Assuming that Arbamich branchs claim to Chamo Lake and Omo River does not have legal basis, there are no legal or illegal inhabitants within the demarcated boundaries of the enterprise. 4. The Bahir Dar branch reported that ,,The Regional Fish Research Center and the ,,Fisher Mens Association are located within its demarcated boundaries. 5. The ,,The Fisher Mens Association has about 200 members who predominantly depend on fish production and sale for living. 6. There is one cafeteria which gives service to the employees and other people living around the enterprise in the Enterprises Bahir Dar branch. Page 22 of 88 REVISED DRAFT Private Sector Development Capacity Building Project 7. No reported or observed legal or illegal dwelling constructed on the site. 8. No private infrastructure on the site. Natural Gum Processing and Marketing Enterprise It is located in Adama town with its stores located in Kebele 04 and 15. It has a total area of 22,909 square meters. 1. No illegal or legal inhabitant within the enterprises demarcated area. 2. No dwelling (legal or illegal) constructed inside the enterprises boundaries. 3. No cultivated and grazing land inside the enterprises boundaries. 4. No cattle trail crossing the enterprises boundaries. 5. No public infrastructure of the enterprise is used by the surrounding community. 6. No private construction inside the enterprises boundaries. Ethiopian Fruits and Vegetables Marketing Sh. Co The Company is located in Kebele 28, Kirkos Sub-city in Addis Ababa and has a total area of 7404 m2. The social audit findings of the company are summarized as follows: 1. The Company has two distribution centers in Addis Ababa, each distribution center with its own stores. 2. The Company bought its property 7 months ago under the collateral agreement with Abyssinia Bank after its old holdings had been demolished by the city administration. 3. The Company has rented out some office space at the head office on the 2nd floor to Ethio-Investment Group (a business company). In addition, some spaces are rented by the Abyssinia Bank. 4. The Company has a total of 240 permanent and 110 contract workers and 60 daily laborers. Moreover, it also employs casual laborers for activities such as packing sugar and loading and unloading work. 5. There are no legal or illegal inhabitants in the compound of the company. Semen Omo Agricultural Development Enterprise (SOADE) Located in the SNNPRS, SOADE was organized into several state-owned farms. Presently, these farms are in turn organized either as Agricultural Development Enterprises or PLC, namely (1) Abaya (1,232 hectares), (2) Arbaminch (805 hectares), (3) Sille (1,475 hectares), and (4) Frieal Farming and Processing PLC (30,000 hectares). Each farm has a defined territory, business plans and operational activities. Over time, however, there has been a change from state to non- state ownership on the basis of either short-term or long-term lease arrangements. Despite such change, most farms have retained their previous workers as well as production systems. A few, for instance Frieal Farming and Production Enterprise, have modified and/or changed the type of crop produced from annual to perennial. The following key observations can be noted as major features of the SOADE: 1. Many illegal occupants of the lands exist either with a nominal agreement of the farms themselves or otherwise. 2. Illegal occupants have farm plots or grazing lands. Page 23 of 88 REVISED DRAFT Private Sector Development Capacity Building Project 3. Conflicts between illegal occupants of lands and the farms over land and other resource have led either to court cases or serious contradictions. 4. Farm workers have been legally given residential units where some kind of cultivation and animal rearing is practiced. 5. During and after crop harvest, both illegal and legal occupants are allowed to graze their animals on crop residues as well as to collect grain left in a harvest field. 6. Surrounding communities are at times allowed to utilize some facilities and services owned by the farms. 7. Both illegal and legal occupants of the lands of the farms are allowed to purchase farm products sold by the farms at farm gate price. Hawassa Agricultural Development Enterprise Billito Siraro Farm under Hawassa Agricultural Development Enterprise is located in the Southern Nations, Nationalities and Peoples Region, about 273 km to the south of Addis Ababa. The farm has a total area of 3,000 hectares. The major observations are the following: 1. There are both legal and illegal inhabitants, and about ten hectares of cultivated land other than the farms own cultivated land. 2. In addition to post-harvest grazing on all farmlands of the enterprise, about twenty hectares is reported as illegal grazing land. 3. Approximately 20,000 people collect grain left in farm field after harvest. 4. There are multi-purpose trees (i.e., as shade and as food) within the demarcated boundaries of the farm, and an estimated 120 people are reportedly using the trees as means of substance or income. 5. Public infrastructures such as school and health post serve both farm employees and the community from the surrounding villages. BEVERAGE SECTOR Assela Malt Factory Assela Malt Factory, with a total area of 18 hectares, is located on the outskirts of Assela town 158 km to the south-east of Addis Ababa. 1. It is a fenced area that is not accessible to anybody outside the factory. 2. Two persons, only the General Manager and the Production Manager, reside on the site of the factory. 3. There is no public or private infrastructure on the farm. Bedele Brewery It is located in Bedele town, Illu Ababor Zone, 483 km to the west of Addis Ababa in Oromia National Regional State. It has a total area of 250,000 square meters. 1. There was not any illegal inhabitant in the Brewerys demarcated boundaries. 2. There were legal inhabitants in the brewerys camp site and all are employees of the Brewery. Page 24 of 88 REVISED DRAFT Private Sector Development Capacity Building Project 3. There was not any farm or grazing land in the demarcated and well-fenced boundary of the Brewery. 4. There is a cafeteria which is accessible both to the employees and people from outside. Harar Brewery The Harar Brewery is located in Harar town 525 km to the East of Addis Ababa. The Factorys total area is 11 hectares. 1. There are no residents on the Factorys site. 2. There are no private infrastructures on the site. 3. The Factory occasionally provides water to the residents around the Factory during the chronic shortages of water of Harar town. 4. About four peasant associations through which the Factorys water supply passes use the water with the consent of the Factory. FOOD SECTOR Hamaressa Edible Oil Share Company The Hamaressa Edible Oil SC is located in Harar Town, about 525km to the east of Addis Ababa. The company has a total area of about 46 hectares. 1. There are no residents (legal or illegal) on the Factorys site. 2. There are no private infrastructures on the site. 3. Some peasant associations get water from the Factorys water supply. CONSTRUCTION SECTOR Tabor Ceramics Share Company Tabor Ceramics Sh. Co. is located in the town of Hawassa with an area of 260,000 square meters. It is the only Company of its kind in the country. It is fenced on all sides, as a result there is little intrusion from outside. There are a few management personnel that reside in the Company compound and none of them has individual use of Company land. Fruit trees utilized by the Company workers in the past are cut down. The surrounding community seems to have enjoyed preferential employment opportunity offered by the Company. Page 25 of 88 REVISED DRAFT Private Sector Development Capacity Building Project PART IV: LEGAL AND INSTITUTIONAL FRAMEWORK This RPF will apply the laws, legislation, regulations, and local rules governing the use of land and other assets in Ethiopia. This legal and institutional framework is presented in five sections: (i) Political economy and governance in Ethiopia; (ii) Property and land rights, as defined by Ethiopian law and customary practice; (iii) Acquisition of land and other assets, including regulations over the buying and selling of these assets; (iv) Entitlement and compensation, in particular, the accepted norms influencing peoples basic rights to livelihood and social services; (v) Dispute resolution and grievance mechanisms, specifically the legal and institutional arrangements for filing grievances or complaints and how those grievances are addressed through formal and informal systems of dispute resolution; and (vi) Comparison with World Bank OP4.12, using equivalence and acceptability standards. i) POLITICAL ECONOMY AND GOVERNANCE IN ETHIOPIA Land rights in Ethiopia do not explicitly provide private property rights. After the Proclamations No. 31/1975 and 47/19752, ownership of land was vested in the State, and Ethiopian citizens were given various forms of use-rights (usufruct) over land and other resources. Accordingly, 1995 Constitution Article 40(3) recognizes land as a common property of the Nations, Nationalities of, and peoples of Ethiopia and prohibits sale or any other exchange of land. In some cases, the user of land has ownership of his/her possessions with the right to benefits from the fruits of his/her labor. This includes crops, perennial crops, tress for timber, etc. found on the land or any other permanent fixtures such as residential house, business installations, stores and fences, amongst others (Proclamations No. 31/1975 and 47/1975). 1995 Constitution Article 40(7) reiterates and furthers this point by stating, "Every Ethiopian shall have the full right to the immovable property he builds and to the permanent improvements he brings about on the land by his labour or capital. This right shall include the right to alienate, to bequeath, and, where the right to use expires, to remove his property, transfer his title, or claim compensation for it." Regional states are responsible for administering land, enacting law that is in conformity with the provisions on environmental protection and federal utilization policies (Proclamation No. 89/1997 and Proclamation No. 456/2005 Article 17(1)). Additionally, Zikre Hig Regulation No. 6/2002 provides for the lease holding of urban land for a specific period of time, and also regulates the lease period for different functions, grade of land and payment of lease. Lastly, the 2 Before 1975, the 1960 Civil Code of the Empire provide for private land ownership. As this law has been overruled by these laws and Proclamation No. 455/2005 regarding compensation, it should not serve as the legal framework for resettlement. Page 26 of 88 REVISED DRAFT Private Sector Development Capacity Building Project law regulates manners of expropriation of land and designates land that can be expropriated for public use without payment of compensation. These rights over "holding land" are open-ended (no time limit on this usufruct), subject to a proof of permanent physical property, ability to farm continuously and meet administrative dues and obligations (1995 Constitution Article 40(3)). Furthermore, Proclamation No. 89/1997 confirms and details the Constitutional principle that holding rights on land can be assigned to peasants and nomads, and that these are to be secured from eviction and displacement. 1995 Constitutions Articles 40(4) and 40(5) provide for free land without payment for farmers and pastoralists. Lastly, Proclamation No. 80/1993 allows companies to attain access to land through auction, allocation, or lottery, similar to individuals. Overall, the Constitution protects against unlawful seizure of property, stating "Everyone shall have the right to his privacy and physical integrity. This right shall include protection form searches of his person, his home, his property and protection from seizure of property under his possession" (1995 Constitution Article 26). "Landholder" means an "individual, government, or private organization or any...other...organ which has legal personality and has lawful possession over the land to be expropriated and owns property situated thereon" (Proclamation No. 455/2005 Article 2(3)). The key institutional actors involved in resettlement are the local governments of Ethiopia at the woreda, urban administration, and kebele levels. This keeps in line with the Governments policy of decentralization. The responsibilities of the federal and regional governments are confined to the actual projects implementation. Agencies that tend to be included are the federal and regional Ministries of Finance and Economic Development and the ministries associated with the sector of the project. Local governments implement most aspects of a RAP, as shown in the following: Committee Representatives Woreda Compensation and Resettlement Committee · Woreda Administrator · Woreda Office of Finance and Economic Development · Woreda Officer for Agriculture and Rural Development · Woreda Capacity Building Department · Woreda mobilization office · Representative from local NGO or CBO · EPLAUA representative Municipality Compensation and Resettlement Committee · Mayor or Town Administrator (Chairperson) · Town Engineer/ surveyor · Mobilization officer; · Capacity Building Department · Representative from local NGO or CBO Page 27 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Kebele Compensation and Implementing Committee · Kebele Administrator (Chairperson); (Rural) · Kebele Development Agent (extension worker); · Representative of PAPs; · Village Elder / Leader (rotating position with one Leader representing a number of villages and attending in rotation, depending on the village and affected party being dealt with); · Representative from local NGO or CBO Kebele Compensation Committee (Urban) · Kebele Administrator (Chairperson); · Municipality Engineer; · Representative of PAPs; · Representative from local NGO or CBO The Woreda and Municipal Committees are responsible for: evaluating the projects and determining if a RAP is necessary, establishing kebele level committees; clarifying the polices to the kebele compensation committees; establishing standards to unit rates of affected assets and compensation estimates according to the guidelines in the RPF; coordinating and supervising implementation by kebele compensation committees as stipulated in the RPF and federal and regional guidelines; ensuring that appropriate compensation procedures are followed; and overseeing the projects requirements related to social impacts included resettlement and compensation. The local Kebele Committees are responsible for: validating inventories of PAPs and affected assets; allocating land where required to permanently affected households; monitoring the disbursement of funds; guiding and monitoring the implementation of relocation; coordinating activities between the various organizations involved in relocation; facilitating conflict resolution and addressing grievances; and providing support and assistance to vulnerable groups. ii) PROPERTY AND LAND RIGHTS IN ETHIOPIA Land acquisition and property rights are defined in the 1995 Constitution Article 40(8), which empowers the Government to expropriate private property for public purposes subject to payment in advance of compensation commensurate to the value of the property. Under Proclamation No. 455/2005, purchases of land and other assets are established in detailed procedures and time limits where land could be acquired after a request is received from the proponent along with compensation. Page 28 of 88 REVISED DRAFT Private Sector Development Capacity Building Project The power to expropriate landholdings belongs to a woreda (rural local government) or urban administration for a development project (Proclamation No. 455/2005 Article 3). The implementing agency is required to provide written notification, with details of timing and compensation, which cannot be less than 90 days from notification (Proclamation No. 455/2004 Article 4). Any entitled landholder who has been served with an expropriation order shall hand over the land to the local woreda or urban administration within 90 days from the date of payment of compensation should the leaseholder accept payment. Furthermore, where there is no crop or other properties on the expropriated land, the title holder shall hand over the land within 30 days of receipt of expropriation order. Lastly, Article 4 gives power to use police force is a landholder is unwilling to hand over land. The implementing agency is responsible for gathering data on the land needed and works, and sending this the appropriate officials for permission. It is also required to compensate affected landholders (Proclamation No. 455/2005 Article 5). For example, regarding the removal of utility lines, the relevant government body must give a written request to the affected landholder, and this body must determine a fair compensation within 30 days (Proclamation No. 455/2005 Article 6). Compensation must be paid within 30 days of the receipt of the valuation, and the landholder must vacate the land within 60 days of receipt of compensation. iii) ACQUISITION AND VALUATION OF LAND AND OTHER ASSETS Land valuations are often done at the woreda and urban administration levels. These local government units establish valuation committees to value private properties (Proclamation No. 455/2005). In the case of publicly owned infrastructure with a designated right-of-way (ROW), the owners of the structures within the ROW would assess the value of properties to be removed. However, the law does not take into account depreciation values. The landholder is entitled to be compensated for the property on the basis of replacement. Permanent improvements to the land, equal to the value of capital and labour expended (Proclamation No. 455/2005 Article 7), are specified as valid basis for determining replacement value. Where property is on urban land, the law specifies that compensation "may not be less than constructing a single room in low cost house as per the region in which it is located." It is also required that the cost of removal, transportation, and erection be paid as compensation for a relocated property, continuing its service as before. Compensation will also be based on current cost, cost of demolishing, lifting, and reinstalling. Valuation formulae are to be provided by regulations (Proclamation No. 455/2005 Article 7). Assets will be broken down into components to assess value (ANRS 28/2007 and Directive No. 135/2007). Components for building costs include cost per square meter. Crops are subdivided into crops and perennial crops, and calculated based on yield per square meter of land multiplied by price per kilogram. Trees could be cut and used by owner plus payment of compensation for loss of continued income. The cost of machinery, labour for improvement, and any infrastructure as part of the improvement will be compensated based on current costs. Property relocation is based on the cost to relocate property given that it is not damaged while being Page 29 of 88 REVISED DRAFT Private Sector Development Capacity Building Project moved. The amount of compensation for loss of land that is used for grazing or production of grass is based on the area of land and the current price per square meter. (Note: more detailed instructions for compensation are included within Directive No. 135/2007.) Further, assets will be classified as movable and immovable. For movable assets, compensation will be paid for inconvenience and other transition costs (Proclamation No. 455/2005 Article 7(2) and ANRS Regulation No. 51/2007). Urban immovable assets include residential houses, business installations, institutional structures, stores, fences and public service providing installation. In rural areas, they include seasonal crops, perennial fruit trees, timber trees and other cash crops. For losses that cannot be easily valued or compensated in monetary terms (e.g. access to public services, grazing areas, water points, fishing ponds, etc.), an attempt will be made to establish access to equivalent and culturally acceptable resources and earning opportunities (Proclamation No. 455/2005 Article 7(2)). In addition to compensation according to Proclamation No. 455/2005 Article 7, a displacement compensation shall be paid equivalent to ten times the average annual income he/she secured during the five years preceding the expropriation of the land (Proclamation No. 455/2005 Article 8(3) and ANRS Regulation No. 51/2007). Compensation will be in an amount sufficient to reinstate displaced people to their economic position prior to displacement, the regionally relevant administration is required to give another piece of land to any person who lost his land in favor of a public project (Proclamation No. 455/2005 and ANRS Directive No. 28/2007). The assessment of compensation does not include the value of the land itself because land is a public property and not subject to sale in Ethiopia. Those with informal, or undocumented rights, and those without titles or use right (e.g. squatters, encroachers) are eligible for specific assistance. Such assistance recognizes some "typical claim to use rights or even ownership" after occupation of unused or unprotected lands has been established. Informal use-rights are likely to have structures or land improvements that are eligible for compensation, as stated in Proclamation No. 455/2005. In general, valuation of property is to be carried out by a certified private or public institution or private consultants as per the valuation formulae (Proclamation No. 455/2005 Article 9). The committee must be made up of experts with relevant qualifications (Proclamation No. 455/2005 Article 10). This must be not more than 5 experts in rural areas and be designated by the woreda or urban administration. A specialized committee of experts may also be set up separately if required. The local and federal governments have different roles in compensation. The woreda and urban administrations are responsible that compensation is paid and giving rehabilitation support to the extent possible, and maintain data regarding properties removed from expropriated landholdings (Proclamation No. 455/2005 Article 13). The Ministry of Federal Resources has the power and duty to ensure there is compliance with Proclamation No. 455/2005 at the regional level, to provide technical and capacity building support in implementation at the regional level, and Page 30 of 88 REVISED DRAFT Private Sector Development Capacity Building Project prepare the valuation formulae (Proclamation No. 455/2005 Article 12 and ANRS Proclamation No. 133.2006). iv) ENTITLEMENTS AND COMPENSATION The people of Ethiopia are given the right to improved living standards and sustainable development and the right to be consulted with respected to policies and projects affecting their communities (1995 Constitution Articles 43(1) and 43(2)). Additionally, all international agreements and relations by the State must protect and ensure Ethiopias right to sustainable development (1995 Constitution Article 43(3)). Lastly, 1995 Constitution Article 44 guarantees the right to a clean and healthy environment. The 1995 Constitution Article 40(8) provides that "without prejudice to the right to private property, the State may expropriate private property for public use with the prior payment of adequate compensation." The words "prior" and "adequate" are in line with the Universal Declaration of Human Rights. This manifests rights to citizens for basic services and programs, including facilities to guarantee education, health, and housing. Persons who have been displaced or whose livelihoods have been adversely affected by a State program are provided, under the 1995 Constitution Article 44, to some form of compensation for their loss. This includes relocation expenses. v) DISPUTE RESOLUTION AND GRIEVANCE MECHANISMS The kebele (local level of government that is smaller than a woreda) shall discuss and agree to the proposed expropriation (ANRS Proclamation No. 133/2006). The ANS Directive No. 7/2002 provides for the expeditious decision making system with regard to expropriation of urban land. It describes the composition of the jury members: a justice officer as chair person, two residents of the town where the land is located, and two representatives of government offices. The decision of the Appeals Court regarding basic land expropriation issues is final; however, an appellant could take the cases related to the amount of compensation, delays in payment, or similar cases all the way up to the High Court. If misunderstandings and disputes arise between the principal parties (e.g. local government bodies and affected parties) involved in the resettlement and compensation process, the preferred means of settling disputes is through arbitration (Proclamation No. 455/2005). The number and composition of the arbitration tribunal may be determined by the concerned parties. Though Proclamation No. 455/2005 provides for appeals from valuation decision, such action will not delay the transfer of possession of land to the proponent. A complaint related to the amount of compensation shall be submitted to the regular court having jurisdiction (Proclamation No. 455/2005 Article 11(1)) if the administrative body for handling disputes has not yet been established. Appeals for dispute resolution may be referred to the High Court (Regulation No. 51/2007). The regular court having jurisdiction within the region may also Page 31 of 88 REVISED DRAFT Private Sector Development Capacity Building Project be involved in implementation and compensation of resettlement if the administrative organ to hear land grievances has not yet been established (Proclamation No. 455/2005 Article 11(1)). Similarly, if the land holder is not satisfied with the decision of the compensation grievance review committee, the case may be referred to the High Court (Regulation No. 51/2007). vi) COMPARISON TO WORLD BANK OP 4.12 There are significant gaps between Ethiopian laws and regulations and the requirements for resettlement as laid out in OP 4.12. The Ethiopian laws and regulations are not completely compatible with the Banks OP4.12 provisions. As shown in Table I (below) highlights the differences between Ethiopian laws and World Bank policies regarding resettlement and compensation. Below is a short discussion of the most important differences. While OP 4.12 requires that compensation be completed prior to the start of the project, there are no similar timetables set out in Ethiopian laws or regulations. Additionally, there is no provision for relocation assistance, transitional support, or the provision of civic infrastructure under Ethiopian law. (See Table I, Section II) Additionally, Ethiopian law does not make any specific accommodation for squatters or illegal settlers, other than recognition of some use-rights, such as when settlers can claim rights to the land. OP 4.12 requires that affected communities be consulted regarding project implementation and resettlement. Affected communities should also receive the opportunity to participate, implement, and monitor resettlement. However, Ethiopian law states that, when it is determined that a right of way must be established, the expropriation rights of the State take precedence, although the Constitution protects the individuals use-rights. Ethiopian law makes no specific accommodations for potentially vulnerable groups such as women, children, the elderly, ethnic minorities, indigenous people, the landless, and those living under the poverty line. These groups are at highest risk to experience negative effects due to resettlement, and should receive special consideration during the preparation of a resettlement policy framework to assure that they can maintain at least the same standard of living after displacement takes place. Finally, there is also no provision in the law that the state should attempt to minimize involuntary resettlement. However, this appears to be implicit in the countrys Constitution. Page 32 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Table I: Comparison of Ethiopian and World Bank Policies on Resettlement and Compensation Types of Affected Persons/ Lost Ethiopian Law World Bank OP4.12 Comparison/Gaps Assets Section I: Property and land rights Land Owners Overall, "Landholder" means an Through census and socio- The Constitution provides for "individual, government, or economic surveys of the affected land-based resettlement. Although private organization or population, identify, assess, and its provisions could be interpreted any...other...organ which has address the potential economic as implying a preference for land legal personality and has lawful and social impacts of the project based strategies for displaced possession over the land to be that are caused by involuntary persons whose livelihoods are expropriated and owns property taking of land (e.g., relocation or land-based, there is no specific situated thereon" (Proclamation loss of shelter, loss of assets or legislative or regulatory provision No. 455/2005 Article 2(3)). access to assets, loss of income made for this preference. sources or means of livelihood, whether or not the affected person must move to another location) or involuntary restriction of access to legally designated parks and protected areas Land-for-land exchange is the preferred option; compensation is to be based on replacement cost. Land Tenants/Squatters There is no time limit on use- For those without formal legal While in principle no distinction rights or usufruct, subject to a rights to lands or claims to such or discrimination is made on the proof of permanent physical land that could be recognized basis of gender, age, or ethnic property, ability to farm under the laws of the country, the origin, there is no equivalence on continuously and meet government should provide the specific requirement of non- administrative dues and resettlement assistance in lieu of discrimination or the requirement Page 33 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Table I: Comparison of Ethiopian and World Bank Policies on Resettlement and Compensation Types of Affected Persons/ Lost Ethiopian Law World Bank OP4.12 Comparison/Gaps Assets obligations (1995 Constitution compensation for land, to help that particular attention be paid to Article 40(3)). Furthermore, improve or at least restore those the needs of vulnerable groups Proclamation No. 89/1997 affected persons livelihoods among the displaced. confirms and details the Constitutional principle that holding rights on land can be assigned to peasants and nomads, and that these are to be secured from eviction and displacement. 1995 Constitutions Articles 40(4) and 40(5) provide for free land without payment for farmers and pastoralists. Lastly, Proclamation No. 80/1993 allows companies to attain access to land through auction, allocation, or lottery, similar to individuals. Land Users The Constitution protects against Identify and address impacts also No equivalence between Bank and unlawful seizure of property, if they result from other activities Ethiopian systems for identifying stating "Everyone shall have the that are: (a) directly and and addressing impacts resulting right to his privacy and physical significantly related to the from project related activities. integrity. This right shall include proposed project, (b) necessary to protection form searches of his achieve its objectives, and (c) person, his home, his property and carried out or planned to be protection from seizure of carried out contemporaneously property under his possession" with the project. (1995 Constitution Article 26). Owners of non-permanent There are no constitutionally or For those without formal legal There appears to be a significant buildings legislatively recognized rights to lands or claims to such difference between Ethiopian laws Page 34 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Table I: Comparison of Ethiopian and World Bank Policies on Resettlement and Compensation Types of Affected Persons/ Lost Ethiopian Law World Bank OP4.12 Comparison/Gaps Assets resettlement rights or assistance land or assets that could be and Bank policy. Those without for those without recognized recognized under the laws of the formal legal rights or claims to (formal) legal rights to land. country, Bank policy provides for such lands and/or semi-permanent resettlement assistance in lieu of structures are not entitled to compensation for land, to help resettlement assistance or improve or at least restore their compensation. livelihoods. Owners of permanent buildings Proclamation No. 455/2005 Entitled to in-kind compensation Ethiopian law requires the established detailed procedures or cash compensation at full affected persons receive and time limits which land could replacement cost including labor compensation on the basis of be acquired after request is and relocation expenses, prior to replacement value when received from the proponent along displacement permanent structures are affected. with compensation. The power to Although the law can be expropriate landholdings belongs interpreted to include labor and to a woreda (rural local relocation expenses, these are not government) or urban explicitly enumerated under administration for a development Ethiopian law. project (Proclamation No. 455/2005 Article 3). The implementing agency is required to provide written notification, with details of timing and compensation, which cannot be less than 90 days from notification (Proclamation No. 455/2004 Article 4). Any entitled landholder who has been served with an expropriation order shall hand over the land to the local woreda or urban administration within 90 days from the date of Page 35 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Table I: Comparison of Ethiopian and World Bank Policies on Resettlement and Compensation Types of Affected Persons/ Lost Ethiopian Law World Bank OP4.12 Comparison/Gaps Assets payment of compensation should the leaseholder accept payment. Furthermore, where there is no crop or other properties on the expropriated land, the title holder shall hand over the land within 30 days of receipt of expropriation order. Lastly, Article 4 gives power to use police force is a landholder is unwilling to hand over land. Section II: Resettlement and Compensation Process Timing of compensation payments There are no relevant Implement all relevant resettlement There is no equivalence on constitutional or legislative plans before project completion and implementing all relevant provisions that specify the timing provide resettlement entitlements resettlement plans before project of completion of resettlement and before displacement or restriction of completion or on providing compensation. access. For projects involving resettlement entitlements before restrictions of access, impose the displacement or restriction of restrictions in accordance with the access. Even if these requirements timetable in the plan of actions. are met, they would be applicable only to communities with proprietary rights or interests in affected lands. Calculation of compensation and Assets will be broken down into Bank policy requires: (a) prompt There are no equivalent provisions valuation components to assess value (ANRS compensation at full replacement on relocation assistance, 28/2007 and Directive No. cost for loss of assets attributable transitional support, or the 135/2007). Components for to the project; (b) if there is provision of civic infrastructure. building costs include cost per relocation, assistance during square meter. Crops are relocation, and residential Page 36 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Table I: Comparison of Ethiopian and World Bank Policies on Resettlement and Compensation Types of Affected Persons/ Lost Ethiopian Law World Bank OP4.12 Comparison/Gaps Assets subdivided into crops and housing, or housing sites, or perennial crops, and calculated agricultural sites of equivalent based on yield per square meter of productive potential, as required; land multiplied by price per (c) transitional support and kilogram. Trees could be cut and development assistance, such as used by owner plus payment of land preparation, credit facilities, compensation for loss of training or job opportunities as continued income. The cost of required, in addition to machinery, labour for compensation measures; (d) cash improvement, and any compensation for land when the infrastructure as part of the impact of land acquisition on improvement will be compensated livelihoods is minor; and (e) based on current costs. Property provision of civic infrastructure relocation is based on the cost to and community services as relocate property given that it is required. not damaged while being moved. The amount of compensation for loss of land that is used for grazing or production of grass is based on the area of land and the current price per square meter. (Note: more detailed instructions for compensation are included within Directive No. 135/2007.) Relocation and resettlement A permanently displaced To avoid or minimize involuntary Ethiopian laws do not appear to landholder will, in addition to resettlement and, where this is not make provisions for avoidance or compensation according to feasible, to assist displaced minimizing of involuntary Proclamation No. 455/2005 persons in improving or at least resettlement Article 7, be paid displacement restoring their livelihoods and compensation which shall be standards of living in real terms Page 37 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Table I: Comparison of Ethiopian and World Bank Policies on Resettlement and Compensation Types of Affected Persons/ Lost Ethiopian Law World Bank OP4.12 Comparison/Gaps Assets equivalent to ten times the average relative to pre-displacement levels annual income he secured during or to levels prevailing prior to the the five year proceeding the beginning of project expropriation of the land implementation, whichever is (Proclamation No. 455/2005 higher Article 8(3) and ANRS Regulation No. 51/2007). Completion of resettlement and There are no relevant Implement all relevant resettlement There is no equivalence between compensation constitutional or legislative plans before project completion and Ethiopian law and World Bank provisions that specifically state provide resettlement entitlements policies on implementing relevant that resettlement and before displacement or restriction of resettlement plans before project compensation needs to be access. For projects involving completion or on providing completed. restrictions of access, impose the resettlement entitlements before restrictions in accordance with the displacement or restriction of timetable in the plan of actions. access. Even if these requirements are met, they would be applicable only to communities with proprietary rights or interests in affected lands. Livelihood restoration and There are no specific laws or Livelihoods and living standards Ethiopian policy and legislation assistance regulations specifying support for are to be restored in real terms to would need to be aligned with livelihood restoration and pre-displacement levels or better Bank policy to effectively transition and moving allowances guarantee rights of all affected persons of involuntary resettlement Consultation and disclosure Before any land is expropriated, Consult project-affected persons, Despite the differences identified, the kebele (local level of host communities and local NGOs, the practice has been that where a government that is smaller than a as appropriate. Provide them mitigation plan affects local woreda) shall discuss and agree to opportunities to participate in the communities, proceedings are the proposed expropriation (ANRS planning, implementation, and conducted in the local language. Page 38 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Table I: Comparison of Ethiopian and World Bank Policies on Resettlement and Compensation Types of Affected Persons/ Lost Ethiopian Law World Bank OP4.12 Comparison/Gaps Assets Proclamation No. 133/2006). monitoring of the resettlement This is significant considering the program, especially in the process composition of those most likely of developing and implementing the to be excluded under Ethiopian procedures for determining legislative and constitutional eligibility for compensation benefits protection for involuntary and development assistance (as resettlement documented in a resettlement plan), (i.e., squatters). and for establishing appropriate and accessible grievance mechanisms. Section III: Dispute Resolution Grievance mechanism and dispute ANS Directive No. 7/2002 Establish appropriate and accessible There are no similar juridical resolution provides for the expeditious grievance mechanisms procedures explicitly applied in decision making system with non-urban or rural settings. regard to expropriation of urban land. It provides the composition of the jury members: a justice officer as chair person, two residents of the town where the land is located, and two representatives of government offices. The decision of the Appeals Court regarding basic land expropriation issues is final; however, an appellant could take the cases related to the amount of compensation, delays in payment, or similar cases all the way up to the High Court. Note: In case of differences in Ethiopia's laws and policies and the World Bank's OP 4.12, the higher standard will be applied. Page 39 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Page 40 of 88 REVISED DRAFT Private Sector Development Capacity Building Project PART V: COMPENSATION FOR LAND AND OTHER ASSETS The RPF guidelines apply to all components under the Private Sector Development Capacity Building Project, whether or not they are directly funded in whole or in part by the Private Sector Development Capacity Building Project. The RPF applies to activities in sub-projects (or components) affecting those who would be physically displaced or who would lose some or all access to resources, and regardless of the total number affected, the severity of impact, and their legal status (e.g. the RPF guidelines apply also to those with ill-defined or no title to the land). The RPF provides special attention to the needs of vulnerable groups among the PAPs, especially households with incomes below the national poverty line, including the landless, elderly and disabled, women and children, vulnerable groups, and other historically disadvantaged. The activities in the Private Sector Development Capacity Building Project that are expected to have some land acquisition or restriction of access include the following: Describe the Project components that may involve, for example: land acquisition for construction of structures; road building or access ways; workers camps; etc. In the privatization process of State Owned Enterprises (SOEs), it is expected that land and assets will be acquired by private entities. There is currently no situation identified that may involve acquisition of land for the construction of structures; road building or access ways, worker camps or other. However, there remains the possibility of land being acquired to provide or enlarge buffers around facilities presenting environmental, health and safety risks to the community. This was not assessed at this stage of the process. Although the exact nature and locations of sub-projects are unknown, the following categories of PAPs will be used in identifying groups of PAPs for the purpose of determining impacts. Project affected persons (PAPs) are individuals whose assets may be lost, including land, property, other assets, and/or access to natural and/or economic resources as a result of activities related to privatization of the SOE. Project affected households are groups of PAPs in one household and where one or more of its members are directly affected by the Private Sector Development Capacity Building Project. These include members like the head of household, male, and female members, dependent relatives, tenants, etc. Vulnerable groups of people. From these households the Private Sector Development Capacity Building Project will separately identify the vulnerable members, such as those who are too old or too ill; children; those stricken with HIV/AIDS; women; unemployed youth; etc. Households headed by women that depend on sons, brothers, and others for support are especially vulnerable. Similarly, households with elderly or seriously ill persons are eligible for additional support. Page 41 of 88 REVISED DRAFT Private Sector Development Capacity Building Project During implementation of this Private Sector Development Capacity Building Project, a social assessment will be carried out to identify the areas or sites within the SOEs that may trigger OP 4.12 due to privatization of the SOE.. At that stage, OP 4.12 calls for the preparation of separate stand-alone Resettlement Action Plans (RAPs) consistent with the guidelines provided in this RPF. The following procedural guidelines will apply when it is determined that a RAP would be developed. (i) All potential PAPs should be identified (through a scoping exercise) and informed about their options and rights pertaining to compensation for land and assets to be acquired due to the privatization process; (ii) PAPs must be consulted about land acquisition and compensation and offered technical and financial options, including the most economically feasible alternatives; and (iii) PAPs should receive reasonable compensation at full replacement cost for losses of assets and access attributable to the sub-project. Screening. This process would lead to the creation of a list of the number and types of infrastructure (including buildings or other structures) that the privatization process will impact and that may potentially involve resettlement issues. This list will be presented to affected communities using a sensitization and consultation process. These consultations will be documented for each SOE site. RAP Preparation. As soon as the list (sub-projects) is approved by the responsible agency implementing the Private Sector Development Capacity Building Project, a consultative and participatory process for preparing a RAP will be started, as follows: (i) A socio-economic survey will be completed to determine scope and nature of resettlement impacts. (ii) The socio-economic study will be carried out to collect data in the selected sub-project sites. (iii) The socio-economic assessment will focus on the potential affected communities, including some demographic data, description of the area, livelihoods, the local participation process, and establishing baseline information on livelihoods and income, landholding, etc. Annex 2 describes the requirements for the RAP in detail. In general, the RAP contains the following information: (i) Baseline Census; (ii) Socio-Economic Survey; (iii) Specific Compensation Rates and Standards; (iv) Entitlements related to any additional impacts; (v) Relocation Site Description; (vi) Programs to Improve or Restore Livelihoods and Standards of Living; (vii) Detailed cost estimates and Implementation Schedule; (viii)Grievance Procedures Page 42 of 88 REVISED DRAFT Private Sector Development Capacity Building Project (ix)Organizational responsibility (viii) Implementing Organization Capacity (ix) Implementation Schedule (x) Cost & Budget (xiii) Monitoring & Evaluation Page 43 of 88 REVISED DRAFT Private Sector Development Capacity Building Project The RAPs will be prepared by the agency responsible for privatization. The following guidelines are used when a RAP is developed. (i) Consultation and participatory approaches. A participatory approach is adopted to initiate the compensation process. The consultations must start during the planning stages when the technical designs are being developed, and at the land selection/screening stage. The process therefore seeks the involvement of PAPs throughout the census for identifying eligible PAPs and throughout the RAP preparation process. (ii) Disclosure and notification. All eligible PAPs are informed about the [Project] and the RAP process. A cut-off date is established as part of determining PAPs eligibility. In special cases where there are no clearly identifiable owners or users of the land or asset, the RAP team must notify the respective local authorities and leaders. A "triangulation" of information ­ affected persons; community leaders and representatives; and an independent agent (e.g. local organization or NGO; other government agency; land valuer) ­ may help to identify eligible PAPs. The RAP must notify PAPs about the established cut-off date and its significance. PAPs must be notified both in writing and by verbal notification delivered in the presence of all the relevant stakeholders. (iii) Documentation and verification of land and other assets. The government authorities at both national and local levels; community elders and leaders; representatives from the [Project Agency] will arrange meetings with PAPs to discuss the compensation and valuation process. For each individual or household affected by the sub-project, the RAP preparation team will complete a Compensation Report containing necessary personal information on the PAPs and their household members; their total land holdings; inventory of assets affected; and demographic and socio-economic information for monitoring of impacts. This information will be documented in a Report, and ideally should be "witnessed" by an independent or locally acceptable body (e.g. Resettlement Committee). The Reports will be regularly updated and monitored. (iv) Compensation and valuation. All types of compensation will be clearly explained to the individual and households involved. These refer especially to the basis for valuing the land and other assets. Once such valuation is established, the Authority will produce a Contract or Agreement that lists all property and assets being acquired by the sub-project and the types of compensation selected. Table II below provides a sample of entitlements that are eligible for compensation. These options include in-kind (e.g. replacement housing) and cash compensation. All compensation should occur in the presence of the affected persons and the community local leaders. Page 44 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Table II: Entitlement Matrix Land and Assets Types of Impact Person(s) Affected Compensation/Entitlement/Benefits Agricultural land Cash compensation for affected Farmer/ title holder Cash compensation for affected land equivalent to land equivalent to market value replacement value Less than 20% of land holding affected Land remains economically viable. Tenant/ lease Cash compensation for the harvest or product from the holder affected land or asset, equivalent to average market value of last 3 years, or market value of the crop for the remaining period of tenancy/ lease agreement, whichever is greater. Greater than 20% of land Farmer/ Title Land for land replacement where feasible, or compensation in holding lost holder cash for the entire landholding according to PAPs choice. Land does not become Land for land replacement will be in terms of a new parcel of economically viable. land of equivalent size and productivity with a secure tenure status at an available location which is acceptable to PAPs. Transfer of the land to PAPs shall be free of taxes, registration, and other costs. Relocation assistance (costs of shifting + assistance in re- establishing economic trees + allowance up to a maximum of 12 months while short- term crops mature ) Relocation assistance (costs of shifting + assistance in re- establishing economic trees + allowance up to a maximum of 12 months while short- term crops mature ) Tenant/Lease Cash compensation equivalent to average of last 3 years holder market value for the mature and harvested crop, or market value of the crop for the remaining period of tenancy/ lease Page 45 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Table II: Entitlement Matrix Land and Assets Types of Impact Person(s) Affected Compensation/Entitlement/Benefits agreement, whichever is greater. Relocation assistance (costs of shifting + assistance in re- establishing economic trees + allowance up to a maximum of 12 months while short- term crops mature Relocation assistance (costs of shifting + assistance in re- establishing economic trees + allowance up to a maximum of 12 months while short- term crops mature ) Relocation assistance (costs of shifting + allowance). Commercial Land Land used for business Title holder/ Cash compensation for affected land partially affected business owner Opportunity cost compensation equivalent to 5% of net annual Limited loss income based on tax records for previous year (or tax records from comparable business, or estimates where such records do not exist). Business owner is Opportunity cost compensation equivalent to 10% of net lease holder annual income based on tax records for previous year (or tax records from comparable business, or estimates where such records do not exist) Assets used for business Title Land for land replacement or compensation in cash according severely affected holder/business to PAPs choice. Land for land replacement will be provided owner in terms of a new parcel of land of equivalent size and market If partially affected, the potential with a secured tenure status at an available location remaining assets become which is acceptable to the PAP. insufficient for business purposes Transfer of the land to the PAP shall be free of taxes, registration, and other costs. Relocation assistance (costs of shifting + allowance) Opportunity cost compensation equivalent to 2 months net Page 46 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Table II: Entitlement Matrix Land and Assets Types of Impact Person(s) Affected Compensation/Entitlement/Benefits income based on tax records for previous year (or tax records from comparable business, or estimates) Business person is Opportunity cost compensation equivalent to 2 months net lease holder income based on tax records for previous year (or tax records from comparable business, or estimates), or the relocation allowance, whichever is higher. Relocation assistance (costs of shifting) Assistance in rental/ lease of alternative land/ property (for a maximum of 6 months) to reestablish the business. Residential Land Land used for residence Title holder Cash compensation for affected land partially affected, limited loss Remaining land viable for present use. Rental/lease holder Cash compensation equivalent to 10% of lease/ rental fee for the remaining period of rental/ lease agreement (written or verbal) Title holder Land for land replacement or compensation in cash according to PAPs choice. Land for land replacement shall be of minimum plot of acceptable size under the zoning law/ s or a plot of equivalent size, whichever is larger, in either the community or a nearby resettlement area with adequate physical and social infrastructure systems as well as secured tenure status. When the affected holding is larger than the relocation plot, cash compensation to cover the difference in value. Transfer of the land to the PAP shall be free of taxes, registration, and other costs. Page 47 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Table II: Entitlement Matrix Land and Assets Types of Impact Person(s) Affected Compensation/Entitlement/Benefits Relocation assistance (costs of shifting + allowance) Land and assets used for Rental/lease holder Refund of any lease/ rental fees paid for time/ use after date of residence severely affected removal Remaining area insufficient for Cash compensation equivalent to 3 months of lease/ rental fee continued use or becomes smaller than minimally Assistance in rental/ lease of alternative land/ property accepted under zoning laws Relocation assistance (costs of shifting + allowance) Buildings and Structures are partially affected Owner Cash compensation for affected building and other fixed assets structures Remaining structures viable for Cash assistance to cover costs of restoration of the remaining continued use structure Rental/lease holder Cash compensation for affected assets (verifiable improvements to the property by the tenant). Disturbance compensation equivalent to two months rental costs Entire structures are affected or Owner Cash compensation for entire structure and other fixed assets partially affected without depreciation, or alternative structure of equal or better size and quality in an available location which is acceptable to Remaining structures not the PAP. suitable for continued use Right to salvage materials without deduction from compensation Relocation assistance (costs of shifting + allowance) Rehabilitation assistance if required (assistance with job placement, skills training) Rental/lease holder Cash compensation for affected assets (verifiable improvements to the property by the tenant) Page 48 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Table II: Entitlement Matrix Land and Assets Types of Impact Person(s) Affected Compensation/Entitlement/Benefits Relocation assistance (costs of shifting + allowance equivalent to four months rental costs) Assistance to help find alternative rental arrangements Rehabilitation assistance if required (assistance with job placement, skills training) Squatter/informal Cash compensation for affected structure without depreciation dweller Right to salvage materials without deduction from compensation Relocation assistance (costs of shifting + assistance to find alternative secure accommodation preferably in the community of residence through involvement of the project Alternatively, assistance to find accommodation in rental housing or in a squatter settlement scheme, if available) Rehabilitation assistance if required assistance with job placement, skills training) Street vendor Opportunity cost compensation equivalent to 2 months net (informal without income based on tax records for previous year (or tax records title or lease to the from comparable business, or estimates), or the relocation stall or shop) allowance, whichever is higher. Relocation assistance (costs of shifting) Assistance to obtain alternative site to re- establish the business. Standing crops Crops affected by land PAP (whether Cash compensation equivalent to average of last 3 years acquisition or temporary owner, tenant, or market value for the mature and harvested crop. acquisition or easement squatter) Page 49 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Table II: Entitlement Matrix Land and Assets Types of Impact Person(s) Affected Compensation/Entitlement/Benefits Trees Trees lost Title holder Cash compensation based on type, age and productive value of affected trees plus 10% premium Temporary Temporary acquisition PAP (whether Cash compensation for any assets affected (e. g. boundary Acquisition owner, tenant, or wall demolished, trees removed) squatter) Page 50 of 88 REVISED DRAFT Private Sector Development Capacity Building Project (v) Community payments. Although most sub-projects do not normally take land and other assets belonging to a community, such as a community center, school, or sacred site, if this occurs in a sub-project, the community (as a whole) will be compensated. This compensation will be in the form of reconstruction of the facility (in case of damages) or replacement at least the same standard or equivalent or better standard required by local planning regulation. Examples of community compensation expansion of grazing grounds; rehabilitation of school buildings, public toilets, health facilities; installation of wells or pumps; creation of market places; and reconstruction of community roads. (vi) Grievance mechanism. Grievances are first preferred to be settled amicably whenever possible. That is, positive discussions are made to convince the affected PAP in the presence of elders, local administration (municipalities, woreda and kebele administration) representatives or any influential person in the locality. According to proclamation NO.455/2005, Article 11 sub article 1: In rural areas and in urban centers where an administrative organ to hear grievances related to urban landholding is not yet established, a complaint relating to the amount of compensation shall be submitted to the regular court having jurisdiction. " In urban areas, a PAP who is dissatisfied with the amount of compensation may complain to an administrative organ; and if the PAP is still not satisfied, may appeal to the regular appellate court or municipal appellate court within thirty days from the date of the decision. However, the Project is not liable for the provision of support in the context of the aforementioned grievance process. Page 51 of 88 REVISED DRAFT Private Sector Development Capacity Building Project PART VI: IMPLEMENTATION SCHEDULE AND COSTS Since the specific sites and sub-projects are not yet determined, this RPF refers only to an estimated number of PAPs. Because costs of resettlement and compensation are based on technical designs and results of scoping, it is not possible to produce a detailed budget for RAP implementation. Once a budget is finalized, it will be subject to approval by the World Bank. An indicative RAP budget outline can be found in Table III below. Table III: Indicative Outline of a RAP Budget Asset acquisition Amount Total estimated Agency responsible or cost number Land Structure Crops and economic tress Community infrastructure Land Acquisition and Preparation Land Structures Crops areas and others Community infrastructure Relocations Transfer of possessions Installation costs Economic Rehabilitation Training Capital Investments Technical Assistance Monitoring Contingency # Item Costs Assumptions 1 Compensation for loss of Land For land acquisition purposes, /hectare based on Ethiopian average market cost, or from similar projects 2 Compensation for loss of Crops Includes costs of labor invested /hectare of and average of highest price of farm lost staple food crops and Ethiopian market prices 3 Compensation for loss of access to Those affected would be provided pastoralists with shared access, or alternate If applicable routes ( decision agreed through consultation and participation of all) 4 Compensation for loss of access to fishing If applicable Data provided from the revised Page 52 of 88 REVISED DRAFT Private Sector Development Capacity Building Project resources. socio-economic study will determine market values of catch, fish products etc. 5 Compensation for Buildings and Structures This compensation may be in-kind or cash. Costs for basic housing If applicable needs should include ventilated pit latrines, outside kitchen, and storage. 6 Compensation for Trees Includes costs of labor invested and average of highest price of /year/tree trees (and tree products) and Ethiopian market prices 7 Cost of Relocation Assistance/Expenses This cost reflects the moving and /household transportation allowance 8 Cost of Restoration of Individual Income Assumed to be higher than the GDP/capita in Ethiopia 9 Cost of Restoration of Household Income These costs reflect the livelihood restoration program of the RAP 10 Cost of Training Farmers, pastoralists and This is a mitigation measure other PAPs involving capacity building and involves PAPs and affected communities The PIU will determine an appropriate Resettlement Budget. It is usually financed in-country through the administrative and financial management rules and manuals issued by the Government of Ethiopia. Page 53 of 88 REVISED DRAFT Private Sector Development Capacity Building Project PART VII: PUBLIC CONSULTATION AND DISCLOSURE PLAN Public consultations in relation to the RAP occur at all stages, starting with inception and planning when the potential lands and alternative sites are being considered. A participatory approach is adopted as an on-going strategy throughout the entire project cycle. Public participation and consultations take place through individual, group, or community meetings. Additionally, radio programs and other media forms may be used to further disseminate information. PAPs are consulted in the survey process; public notices where explanations of the sub-project are made; RAP implementation of activities; and during the monitoring and evaluation process. Selection of ways to consult, and expand participation by PAPs and other stakeholders, will take into consideration literacy levels prevalent in affected communities; ethnicity and cultural aspects; and practical conditions (like distance). The role of traditional political and cultural leaders, including the community elders, in the participation strategy will be important. The RAP team should ensure that these leaders and local representatives of PAPs are fully involved in designing the public consultation procedures. Data collecting phase. Consultations during preparation, in particular, the collection of background information, and the social survey or social assessment, are critical for successful data collection. The levels of consultation will vary from households to community groups, based on the particular context of the sub-project(s). The RAP team will design the questionnaires but it will be the households, organizations, and institutions that will validate their effectiveness through feedback. Focus group meetings with women, farmers associations, individuals who own farms, fishing boats, etc, as well as primary and/or secondary schools, health centers, and agricultural cooperative unions are usually good sources for establishing the community baseline situation. Implementation phase. During implementation, PAPs will be informed about their rights and options. The grievance mechanism will continue to operate and all grievances will be recorded. The participation of local leaders and PAPs in disseminating information and resolving disputes will be important once RAP implementation starts. A dynamic participatory approach involves PAPs in decision making about livelihood and community development programs. Monitoring and evaluation phase. PAPs representatives will participate in the sub-project workshops at mid-term and at the end of RAP implementation. To the extent possible, the RAP should include social accountability tools like citizen report cards to assess the quality of RAP implementation, and in some cases, assist the RAP team in tracking expenditures. The latter would be significant in helping PAPs with money management and restoring their livelihoods. PAPs will be able to suggest corrective measures, as needed, to improve RAP implementation in the sub-project(s). Prior to closing the RAP, PAPs will participate in a feedback survey as part of the RAPs independent impact evaluation exercise. Page 54 of 88 REVISED DRAFT Private Sector Development Capacity Building Project PART VIII: MONITORING AND EVALUATION OF IMPACTS The RAP team will be expected to develop and implement a Monitoring and Evaluation Plan (MEP). The main indicators that the MEP will measure include: (i) impacts on affected individuals, households, and communities to be maintained at their pre-project standard of living, and better; (ii) improvement of communities affected by the project; and (iii) management of disputes or conflicts. In order to measure these impacts, the RAP identifies the specific indicators to be monitored; define how they will be measured on a regular basis; and identify key monitoring milestones (e.g. at mid-point of the RAP implementation process). The PIU will establish a reporting system for the sub-project RAP that will: (i) Provide timely information to the project about all resettlement and compensation issues arising as a result of RAP related activities; (ii) Identify any grievances, especially those that have not yet been resolved at the local level and which may require resolution at the higher levels (e.g. by the PIU); (iii) Document completion of project resettlement and compensation that are still pending, including for all permanent and temporary losses; (iv) Evaluate whether all PAPs have been compensated in accordance with the requirements of this RPF and that PAPs have better living conditions and livelihoods; and (v) Identify mitigation measures, as necessity, when there are significant changes in the indicators that may require strategic interventions (e.g. vulnerable groups are not receiving sufficient support from the sub-project). The independent impact evaluation will determine: (i) If compensation payments have been completed in a satisfactory manner; and (ii) If there are improvements in livelihoods and well-being of PAPs. Several indicators are used to measure these impacts. These include, among others, a comparison of income levels before-and-after; access to livelihoods and employment; changes in standards of housing and living conditions; and improvements in level of participation in sub-project activities. There are measures to verify these basic indicators, such as number of children in- school (compared to pre-RAP levels); changes in health standards; and changes in access to markets or roads ­ all of which may reflect overall improvements in standards of living. The following methods will be used for measuring impacts: (i) Questionnaires with data stored in a database for comparative analysis (before-after and with-without); (ii) Documentation and recording of PAPs situation, including subsequent uses of assets/improvements; (iii) Relocation/resettlement and Compensation Reports, including status of land impacts; percentage of individuals selecting cash or a combination of cash and in- kind compensation; proposed use of payments; (iv) Number of grievances and time and quality of resolution; and Page 55 of 88 REVISED DRAFT Private Sector Development Capacity Building Project (v) Ability of individuals and families to re-establish their pre-resettlement activities, in terms of improvements in land and crop production, and/or presence of other alternative incomes. The RAP team will maintain, together with local officials, basic information on all physical or economic displacement arising from the sub-project. This includes an update, for example on a quarterly basis, of the following: (i) Number of sub-projects requiring preparation of a RAP; (ii) Number of households and individuals physically or economically displaced by each sub-project; (iii) Length of time from sub-project identification to payment of compensation to PAPs; (iv) Timing of compensation in relation to commencement of physical works; (v) Amount of compensation paid to each PAP household (if in cash), or the nature of compensation (if in kind); (vi) Number of people raising grievances in relation to each sub-project; (vii) Number of unresolved grievances. The PIU will review these statistics to determine whether the RAP implementation arrangements, as defined in this RPF, are effective in addressing RAP related issues. Financial records will be maintained by the sub-projects and the PIU, to determine the final cost of RAP implementation. The following indicators (in Table IV) can be used to monitor implementation of the RAP. Table IV: Indicators of RAP Impacts Monitoring (of Issues) Evaluation (of Impacts) Number of compensation (and valuation) not Changes (+/-) in PAPs conditions during transition completed process Number of sub-projects unable to settle Changes (+/-) in PAPs income and livelihood compensation after two years conditions Number of grievances filed Quality of grievances or disputes resolved (qualitative) Number of livelihood restoration programs Changes (+/-) in affected households income levels completed Pre project production versus present production Equal or improved production per affected levels ( crops for crops, land for land) household/homestead Page 56 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Annual audit. The annual audit of RPF implementation, and as applicable RAP implementation in sub-project(s), includes: (i) a summary of RAP performance of each sub-project; (ii) a compliance review of RAP implementation process; and (iii) a progress report on the quality of RAP implementation in terms of application of guidelines provided in this RPF. The audit will verify results of monitoring of RAP implementation indicators, and assess whether the project achieved the resettlement objectives. A specific measure of whether livelihood and living standards have been restored or enhanced will be completed. The audit will also assess the efficiency, effectiveness, impact, and sustainability of RAP sub-project activities. The aim is to learn lessons for application to future sub-projects or other projects in the sector and in the country. Finally, the audit will ascertain whether the resettlement entitlements were appropriate, as defined in the RPF guidelines. Socio-Economic Impact Assessment. The purpose of socio-economic assessment, which is part of the evaluation process, is to ensure that PAPs livelihood and well being have improved, and have not worsened as a result of the sub-project. An assessment will be undertaken on payment of compensation, restoration of income and livelihoods, and provision of sufficient community development activities. Monitoring of living standards will continue after resettlement. Additionally a reasonable period (usually two years) must be established for monitoring post- resettlement impacts. A number of indicators will be used for measuring status of affected people. Most socio-economic assessments use surveys, focus group meetings, and participatory appraisal tools for measuring impacts. A separate assessment must be made for each sub-project. Additionally, since a baseline household survey was completed during RAP preparation, the end- RAP assessment can measure changes from this baseline. Page 57 of 88 REVISED DRAFT Private Sector Development Capacity Building Project List of Annexes Annex 1 World Bank Resettlement Policy Framework (Excerpt from World Bank Operational Policy 4.12, Involuntary Resettlement) Annex 2 Annotated Outline for Preparing a Resettlement Action Plan (RAP) Annex 3 Sample Grievance and Resolution Form Annex 4 Sample Table of Contents for Consultation Reports Annex 5 Glossary of Terms Annex 6 Relevant Laws Annex 7 List of State Owned Entreprises Page 58 of 88 REVISED DRAFT Private Sector Development Capacity Building Project ANNEX 1: World Bank Resettlement Policy Framework (RPF) [Excerpt from the World Bank OP4.12 Involuntary Resettlement, Revised April 2004] These policies were prepared for use by World Bank staff and are not necessarily a complete treatment of the subject. OP 4.12 (Revised April 2004) applies only to projects that are governed by OP / BP 6.00, Bank Financing - that is, those in countries with approved country financing parameters. Other operational policy statements governing Bank financing that have been amended to reflect OP/BP 6.00 also apply to these projects. Projects in countries without approved country financing parameters continue to be subject to other operational policy statements governing Bank financing. Resettlement Policy Framework For sector investment operations that may involve involuntary resettlement, the Bank requires that the project implementing agency screen subprojects to be financed by the Bank to ensure their consistency with this OP. For these operations, the borrower submits, prior to appraisal, a resettlement policy framework that conforms to this policy (see Annex A, paragraphs 23-25). The framework also estimates, to the extent feasible, the total population to be displaced, and the overall resettlement costs. For financial intermediary operations that may involve involuntary resettlement, the Bank requires that the financial intermediary (FI) screen subprojects to be financed by the Bank to ensure their consistency with this OP. For these operations, the Bank requires that before appraisal the borrower or the FI submit to the Bank a resettlement policy framework conforming to this policy (see Annex A, paragraphs 23-25). In addition, the framework includes an assessment of the institutional capacity and procedures of each of the FIs that will be responsible for subproject financing. When, in the assessment of the Bank, no resettlement is envisaged in the subprojects to be financed by the FI, a resettlement policy framework is not required. Instead, the legal agreements specify the obligation of the FIs to obtain from the potential sub-borrowers a resettlement plan consistent with this policy if a subproject gives rise to resettlement. For all subprojects involving resettlement, the resettlement plan is provided to the Bank for approval before the subproject is accepted for Bank financing. For other Bank-assisted project with multiple subprojects26 that may involve involuntary resettlement, the Bank requires that a draft resettlement plan conforming to this policy be submitted to the Bank before appraisal of the project unless, because of the nature and design of the project or of a specific subproject or subprojects (a) the zone of impact of subprojects cannot be determined, or (b) the zone of impact is known but precise sitting alignments cannot be determined. In such cases, the borrower submits a resettlement policy framework consistent with this policy prior to appraisal (see Annex A, paragraphs 23- 25). For other subprojects that do not fall within the above criteria, a resettlement plan conforming to this policy is required prior to appraisal. For each subproject included in a project described in paragraphs 26, 27, or 28 that may involve resettlement, the Bank requires that a satisfactory resettlement plan or an abbreviated resettlement plan that is consistent with the provisions of the policy framework be submitted to the Bank for approval before the subproject is accepted for Bank financing. For projects described in paragraphs 26-28 above, the Bank may agree, in writing, that sub-project resettlement plans may be approved by the project implementing agency or a responsible government agency or financial intermediary without prior Bank review, if that agency has demonstrated adequate Page 59 of 88 REVISED DRAFT Private Sector Development Capacity Building Project institutional capacity to review resettlement plans and ensure their consistency with this policy. Any such delegation, and appropriate remedies for the entitys approval of resettlement plans found not to comply with Bank policy, is provided for in the legal agreements for the project. In all such cases, implementation of the resettlement plans is subject to ex post review by the Bank. Page 60 of 88 REVISED DRAFT Private Sector Development Capacity Building Project ANNEX 2: Annotated Outline for Preparing a Resettlement Action Plan (RAP) This template is extracted from OP 4.12 Annex A. Its full description can be found in the World Bank external website [INSERT LINK]. The scope and level of detail of the RAP will vary depending on the magnitude and complexity of resettlement or displacement. The RAP is prepared based on the most recent and accurate information on the: (i) proposed resettlement and its impacts on displaced persons and other adversely affected groups; and (ii) legal issues affecting resettlement. The RAP covers elements that are specific to the project context. A broad outline of the RAP, as applied to sub-projects covered under a RPF includes, but is not limited to, the following: Description of the sub-project: General description of the sub-project and identification of sub-project area or areas. Potential Impacts: Identification of the: (i) the sub-project components or activities that require resettlement or restriction of access; (ii) zone of impact of components or activities; (iii) alternatives considered to avoid or minimize resettlement or restricted access; and (iv) mechanisms established to minimize resettlement, displacement, and restricted access, to the extent possible, during project implementation. Objectives: The main objectives of the resettlement program as these apply to the sub-projects. Socio-economic studies: The findings of socio-economic studies to be conducted in the early stages of project preparation, and with the involvement of potentially affected people will be needed. These generally include the results of a census of the affected populations covering: (i) Current occupants of the affected area as a basis for design of the RAP and to clearly set a cut-off date, the purpose of which is to exclude subsequent inflows of people from eligibility for compensation and resettlement assistance; (ii) Standard characteristics of displaced households, including a description of production systems, labor, and household organization; and baseline information on livelihoods (including, as relevant, production levels and income derived from both formal and informal economic activities) and standards of living (including health status) of the displaced population; (iii) Magnitude of the expected loss, total or partial, of assets, and the extent of displacement, physical or economic; (iv) Information on vulnerable groups or persons, for whom special provisions may have to be made; and (v) Provisions to update information on the displaced peoples livelihoods and standards of living at regular intervals so that the latest information is available at the time of their displacement, and to measure impacts (or changes) in their livelihood and living conditions. There may be other studies that the RAP can draw upon, such as those describing the following: (i) Land tenure, property, and transfer systems, including an inventory of common property natural resources from which people derive their livelihoods and sustenance, non-title-based usufruct Page 61 of 88 REVISED DRAFT Private Sector Development Capacity Building Project systems (including fishing, grazing, or use of forest areas) governed by local recognized land allocation mechanisms, and any issues raised by different tenure systems in the sub project area; (ii) Patterns of social interaction in the affected communities, including social support systems, and how they will be affected by the sub-project; (iii) Public infrastructure and social services that will be affected; and (iv) Social and cultural characteristics of displaced communities, and their host communities, including a description of formal and informal institutions. These may cover, for example, community organizations; cultural, social or ritual groups; and non-governmental organizations (NGOs) that may be relevant to the consultation strategy and to designing and implementing the resettlement activities. Legal Framework: The analysis of the legal and institutional framework should cover the following: (i) Scope of existing land and property laws governing resources, including state-owned lands under eminent domain and the nature of compensation associated with valuation methodologies; land market; mode and timing of payments, etc; (ii) Applicable legal and administrative procedures, including a description of the grievance procedures and remedies available to PAPs in the judicial process and the execution of these procedures, including any available alternative dispute resolution mechanisms that may be relevant to implementation of the RAP for the sub-project; (iii) Relevant laws ( including customary and traditional law) governing land tenure, valuation of assets and losses, compensation, and natural resource usage rights, customary personal law; communal laws, etc related to displacement and resettlement, and environmental laws and social welfare legislation; (iv) Laws and regulations relating to the agencies responsible for implementing resettlement activities in the sub-projects; (v) Gaps, if any, between local laws covering resettlement and the Banks resettlement policy, and the mechanisms for addressing such gaps; and (vi) Legal steps necessary to ensure the effective implementation of RAP activities in the sub-projects, including, as appropriate, a process for recognizing claims to legal rights to land, including claims that derive from customary and traditional usage, etc and which are specific to the sub-projects. The institutional framework governing RAP implementation generally covers: (i) Agencies and offices responsible for resettlement activities and civil society groups like NGOs that may have a role in RAP implementation; (ii) Institutional capacities of these agencies, offices, and civil society groups in carrying out RAP implementation, monitoring, and evaluation; and (iii) Activities for enhancing the institutional capacities of agencies, offices, and civil society groups, especially in the consultation and monitoring processes. Eligibility: Definition of displaced persons or PAPS and criteria for determining their eligibility for compensation and other resettlement assistance, including relevant cut-off dates. Valuation of and compensation for losses: The methodology to be used for valuing losses, or damages, for the purpose of determining their replacement costs; and a description of the proposed types and levels of compensation consistent with national and local laws and measures, as necessary, to ensure that these are based on acceptable values (e.g. market rates). Page 62 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Resettlement Measures: A description of the compensation and other resettlement measures that will assist each category of eligible PAPs to achieve the objectives of OP 4.12. Aside from compensation, these measures should include programs for livelihood restoration, grievance mechanisms, consultations, and disclosure of information. Site selection, site preparation, and relocation: Alternative relocation sites should be described and cover the following: (i) Institutional and technical arrangements for identifying and preparing relocation sites, whether rural or urban, for which a combination of productive potential, location advantages, and other factors is at least comparable to the advantages of the old sites, with an estimate of the time needed to acquire and transfer land and ancillary resources; (ii) Any measures necessary to prevent land speculation or influx of eligible persons at the selected sites; (iii) Procedures for physical relocation under the project, including timetables for site preparation and transfer; and (iv) Legal arrangements for recognizing (or regularizing) tenure and transferring titles to those being resettled. Housing, infrastructure, and social services: Plans to provide (or to finance provision of) housing, infrastructure (e.g. water supply, feeder roads), and social services to host populations; and any other necessary site development, engineering, and architectural designs for these facilities should be described. Environmental protection and management. A description of the boundaries of the relocation area is needed. This description includes an assessment of the environmental impacts of the proposed resettlement and measures to mitigate and manage these impacts (coordinated as appropriate with the environmental assessment of the main investment requiring the resettlement). Community Participation: Consistent with the World Banks policy on consultation and disclosure, a strategy for consultation with, and participation of, PAPs and host communities, should include: (i) Description of the strategy for consultation with and participation of PAPs and hosts in the design and implementation of resettlement activities; (ii) Summary of the consultations and how PAPs views were taken into account in preparing the resettlement plan; and (iii) Review of resettlement alternatives presented and the choices made by PAPs regarding options available to them, including choices related to forms of compensation and resettlement assistance, to relocating as individual families or as parts of pre-existing communities or kinship groups, to sustaining existing patterns of group organization, and to retaining access to cultural property (e.g. places of worship, pilgrimage centers, cemeteries); and (iv) Arrangements on how PAPs can communicate their concerns to project authorities throughout planning and implementation, and measures to ensure that vulnerable groups (including indigenous peoples, ethnic minorities, landless, children and youth, and women) are adequately represented. The consultations should cover measures to mitigate the impact of resettlement on any host communities, including: (i) Consultations with host communities and local governments; (ii) Arrangements for prompt tendering of any payment due the hosts for land or other assets provided to PAPs; (iii) Conflict resolution involving PAPs and host communities; and Page 63 of 88 REVISED DRAFT Private Sector Development Capacity Building Project (iv) Additional services (e.g. education, water, health, and production services) in host communities to make them at least comparable to services available to PAPs. Grievance procedures: The RAP should provide mechanisms for ensuring that an affordable and accessible procedure is in place for third-party settlement of disputes arising from resettlement. These mechanisms should take into account the availability of judicial and legal services, as well as community and traditional dispute settlement mechanisms. RAP implementation responsibilities: The RAP should be clear about the implementation responsibilities of various agencies, offices, and local representatives. These responsibilities should cover (i) delivery of RAP compensation and rehabilitation measures and provision of services; (ii) appropriate coordination between agencies and jurisdictions involved in RAP implementation; and (iii) measures (including technical assistance) needed to strengthen the implementing agencies capacities of responsibility for managing facilities and services provided under the project and for transferring to PAPs some responsibilities related to RAP components (e.g. community-based livelihood restoration; participatory monitoring; etc). Implementation Schedule: An implementation schedule covering all RAP activities from preparation, implementation, and monitoring and evaluation should be included. These should identify the target dates for delivery of benefits to the resettled population and the hosts, as well as clearly defining a closing date. The schedule should indicate how the RAP activities are linked to the implementation of the overall project. Costs and budget: The RAP for the specific sub-projects should provide detailed (itemized) cost estimates for all RAP activities, including allowances for inflation, population growth, and other contingencies; timetable for expenditures; sources of funds; and arrangements for timely flow of funds. These should include other fiduciary arrangements consistent with the rest of the project governing financial management and procurement. Monitoring and evaluation: Arrangements for monitoring of RAP activities by the implementing agency, and the independent monitoring of these activities, should be included in the RAP section on monitoring and evaluation. The final evaluation should be done by an independent monitor or agency to measure RAP outcomes and impacts on PAPs livelihood and living conditions. The World Bank has examples of performance monitoring indicators to measure inputs, outputs, and outcomes for RAP activities; involvement of PAPS in the monitoring process; evaluation of the impact of RAP activities over a reasonable period after resettlement and compensation, and using the results of RAP impact monitoring to guide subsequent implementation. Page 64 of 88 REVISED DRAFT Private Sector Development Capacity Building Project ANNEX 3: Sample Grievance and Resolution Form Name (Filer of Complaint): __________________________________ ID Number: __________________________________ (PAPs ID number) Contact Information : __________________________________ (Village ; mobile phone) Nature of Grievance or Complaint: _____________________________________________________________________________________ _____________________________________________________________________________________ Date Individuals Contacted Summary of Discussion ____________ __________________ ___________________________ Signature_______________________ Date: ____________ Signed (Filer of Complaint): ______________________________________ Name of Person Filing Complaint :__________________________( if different from Filer) Position or Relationship to Filer: __________________________________ Review/Resolution Date of Conciliation Session: ______________________________________ Was Filer Present? : Yes No Was field verification of complaint conducted? Yes No Findings of field investigation: _____________________________________________________________________________________ _____________________________________________________________________________________ Summary of Conciliation Session Discussion: _____________________________________________________________________________________ _____________________________________________________________________________________ Issues _____________________________________________________________________________ Was agreement reached on the issues? Yes No If agreement was reached, detail the agreement below: If agreement was not reached, specify the points of disagreement below: ____________________________________________________________________________________ Signed (Conciliator): ___________________________ Signed (Filer): ________________ Signed: ___________________________ Independent Observer Date: ___________________________ Page 65 of 88 REVISED DRAFT Private Sector Development Capacity Building Project ANNEX 4: Sample Table of Contents for Consultation Reports 1.0 Introduction. 1.1 Project Description 1.2 Applicable Laws, Regulations, and Policies to Public Engagement 1.3 Project Lenders 2.0 Stakeholder Analysis 2.1 Areas of Influence/Stakeholders 2.2 Description of Stakeholders 3.0 Stakeholder Engagement 3.1 Previous Consultation Activities 3.2 Implemented Community Engagement Activities 3.3 Project Sponsors Community Engagement Plan 3.3.1 Phase 1 ­ Initial Stakeholder Consultation 3.3.2 Phase 2 ­ Release of the SEA Terms of Reference and Draft PCDP 3.3.3 Phase 3 ­ Release of SEA Consultation Summary Report 4.0 Summary of Key Issues 5.0 Future Consultation Events 5.1 Phase 4 ­ Release of the SEA Report and Action Plans 5.2 Phase 5 ­ RCDAP Planning Consultation 5.3 Phase 6 - Ongoing Project Communication 6.0 Disclosure Plan Tables Table 2.1: Consultation Activity Summary Table 3.1: Initial Government Agency Consultations Table 3.2: Summary of NGO Meetings Table 3.3: Sub-County Committee Composition Table 3.4: Summary of Community Discussions Table 3.5: Local Community Comments Table 4.1: Summary of Key Issues and Responses Table 5.1: Summary of Future Consultation Activities per Stakeholder Group TEMPLATE Table on Consultation Activity Summary Location and Meeting Dates Attendees Discussion Summary Communities Represented Example: Page 66 of 88 REVISED DRAFT Private Sector Development Capacity Building Project ANNEX 5: Glossary of Terms Census A field survey carried out to identify and determine the number of Project Affected Persons (PAPs) or Displaced Persons (DPs) as a result of land acquisition and related impacts. The census provides the basic information necessary for determining eligibility for compensation, resettlement, and other measures emanating from consultations with affected communities and the local government institutions. Compensation The payment in kind, cash or other assets given in exchange for the acquisition of land including fixed assets, is called compensation. These include other impacts resulting from activities to rehabilitate or cushion the impacts from displacement. Cutoff Date The cut-off date is the date of commencement of the census of PAPs or DPs within the EASP program area boundaries. This is the date on and beyond which any person whose land is occupied for EASP program, will not be eligible for compensation. Grievance The RPF contains a grievance mechanism based on policies and procedures that are Mechanism designed to ensure that the complaints or disputes about any aspect of the land acquisition, compensation, resettlement, and rehabilitation process, etc. are being addressed. This mechanism includes a procedure for filing of complaints and a process for dispute resolution within an acceptable time period. Implementation The RPF contains an implementation schedule that outlines the time frame for planning, Schedule implementation, and monitoring and evaluation of the RAPs for sub-projects, if applicable. Land Land refers to all types of agricultural and/or non-agricultural land and any structures thereon whether temporary or permanent and which may be acquired by the project. Land Land acquisition means the possession of or alienation of land, buildings, or other assets Acquisition thereon for purposes of the project. Project Project affected persons (PAPs) or Displaced Persons (DPs) are persons affected by land and Affected other assets loss as a result of EASP activities. These person(s) are affected because they Persons (PAPs) may lose, be denied, or be restricted access to economic assets; lose shelter, income sources, or Displaced or means of livelihood. These persons are affected whether or not they will move to another Persons (DPs) location. Most often, the term DPs applies to those who are physically relocated. These people may have their: standard of living adversely affected, whether or not the Displaced Person will move to another location ; lose right, title, interest in any houses, land (including premises, agricultural and grazing land) or any other fixed or movable assets acquired or possessed, lose access to productive assets or any means of livelihood. Project Impacts Impacts on the people living and working in the affected areas of the project, including the surrounding and host communities are assessed as part of the overall evaluation of the project. Project Some projects make use of project implementing units (PIUs), which are generally Implementing separate units within the project recipients agency. The PIU is often composed of full Unit (PIU) time staff devoted to implementing the project, and have been encouraged to have Page 67 of 88 REVISED DRAFT Private Sector Development Capacity Building Project separate teams with environment and social specialists who can carry out the activities, for example, as outlined in the RPF or RAP. Rehabilitation Rehabilitation assistance is the provision of development assistance in addition to Assistance compensation such as livelihood support, credit facilities, training, or job opportunities, needed to assist PAPs or DPs restore their livelihoods. Replacement Replacement cost refers to the amount sufficient to cover full recovery of lost assets and Cost related transaction costs. The cost should be based on Market rate (commercial rate) according to Ethiopian laws for sale of land or property. It is normally calculated based on a willing buyer-willing seller basis, but also applies in Ethiopia to acceptable market valuation or from an assessment from the Land Commission and government valuer. Resettlement The RAP is a resettlement instrument (document) to be prepared when sub-project locations Action Plan are identified. In such cases, land acquisition leads to physical displacement of persons, (RAP) and/or loss of shelter, and /or loss of livelihoods and/or loss, denial or restriction of access to economic resources. RAPs are prepared by the implementing agency and contain specific and legal binding requirements to resettle and compensate the affected people before project implementation. Resettlement Resettlement assistance refers to activities that are usually provided during, and immediately Assistance after, relocation, such as moving allowances, residential housing, or rentals or other assistance to make the transition smoother for affected households. Resettlement The RPF is an instrument to be used throughout the projects implementation. The RPF sets Policy out the objectives and principles, organizational arrangements, and funding mechanisms for Framework any resettlement, that may be necessary during implementation. The RPF guides the (RPF) preparation of Resettlement Action Plans (RAPs), as needed, for sub-projects. Rights and Rights and entitlements are defined for PAPs and DPs (with the cut-off date) and cover Entitlements those losing businesses, jobs, and income. These include options for land-for-land or cash compensation. Options regarding community and individual resettlement, and provisions and entitlements to be provided for each affected community or household will be determined and explained, usually in an entitlement matrix. Witness NGO Some RPFs refer to a witness NGO or an independent monitor that can be contracted to or Independent observe the compensation process and provide an independent assessment of the quality Monitor of the process. These are usually NGOs or other agencies that are not directly involved in the project and have a reputation for independence and integrity. Page 68 of 88 REVISED DRAFT Private Sector Development Capacity Building Project ANNEX 6: Relevant Laws Property Rights and Land Rights Law/Regulation Ownership of land is now vested in the State and Ethiopian citizens have only a use right Public Ownership of Rural Land (usufruct) over the land. This gives the user ownership of his/her possessions with the right to (No 31/1975) benefit from the fruits of his/her labor. This includes crops, perennial crops, trees for timber etc found on the land or any other permanent fixtures such as residential houses, business installations, stores and fences, amongst others. This overturned the 1960 Constitutional degree of private ownership of land. In 1975 Ethiopia nationalised urban land and extra houses (Proc. No. 47/1975). Residents have Proclamation No. 47/1975 usage rights, urban centers must take inventory of land and plan sustainable land use. Urban residents get one plot of land for personal housing. A) All urban lands shall be property of the Government. B) Tenant shall be free from payment Proclamation No. 47/1975, to the landowner. C) Any person or family own only a single dwelling. Article 2(3), Article 6(1) and Article 11(1) According to these proclamations, land holders have open-ended usufruct rights over their Constitution of possessions (ie there is no time limit on this usufruct), subject to a proof of permanent physical Ethiopia (No 1/1987, Article residence, ability to farm continuously and should meet administrative dues and obligations. In 13(2) and No 1/1995, Article rural villages, farm households have a legal right to possess land through state mandated peasant 40(3)) associations. Proclamation N° 89/1997 establishes the principles of rural land administration, which is Proclamation N° 89/1997 devolved to the Regions "Federal Rural Land states that each Regional Council shall enact a law on land administration, which is in Administration Proclamation" conformity with the provisions on environmental protection and federal utilization polices. Proclamation N° 89/1997 recognizes the lawfulness of "holding rights" over land; Proclamation N° 89/1997 "Federal Rural Land Administration Proclamation" Proclamation N° 89/1997 confirms and details the Constitution principle that holding rights on Proclamation N° 89/1997 land can be assigned to peasants and nomads, and that these are to be secured from eviction and "Federal Rural Land displacement; Administration Proclamation" It provides various details with respect to redistribution of land, including that this redistribution Proclamation N° 89/1997 is a Region responsibility "Federal Rural Land Administration Proclamation" It establishes the possibility for Regions to perceive fees for the use of land and forest. The leasehold policy (Proc No. 80/1993) allows individuals and companies to attain access to Proclamation No. 80/1993 land through auction, allocation, or lottery. Article 26 of the Constitution states that "Everyone shall have the right to his privacy and Constitution Article 26 physical integrity. This right shall include protection from searches of his person, his home, his property and protection from seizure of property under his possession." The 1995 Constitution of the Ethiopia, Article 40(2), 40(4), 40(5) and 40(8) includes legal Constitution Article 40(2) frameworks that protect the Ethiopian citizens rights to private property and set conditions for Constitution Article 40(4) expropriation of such property for state or public interests. Constitution Article 40(5) Constitution Article 40(8) Article 40(3) vests the right to ownership of rural and urban land, as well as of all natural; Constitution Article 40(3) resources, in the government and in the peoples of Ethiopia; Article 40(3) recognizes land as a common property of the Nations, Nationalities of, and peoples Constitution Article 40(3) of Ethiopia and prohibits sale or any other exchange of land; Proclamation N° 89/1997 "Federal Rural Land Administration Proclamation" Article 40(4) guarantees the right of farmers to obtain land without payment and the protection Constitution Article 40(4) against eviction from their possession; and Article 40(5) guarantees the right of pastoralists to free land for grazing and cultivation as well Constitution Article 40(5) as the right not to be displaced from their own lands. Article 40(7) states that "Every Ethiopian shall have the full right to the immovable property he Constitution Article 40(7) builds and to the permanent improvements he brings about on the land by his labour or capital. This right shall include the right to alienate, to bequeath, and, where the right to use expires, to remove his property, transfers his title, or claim compensation for it. Article 41(9) sets out the State responsibilities to protect and preserve historical and cultural Constitution Article 41(9) legacies. Page 69 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Property Rights and Land Rights Law/Regulation The Research and Conservation of Cultural Heritage Proclamation No. 209/2000 of Ethiopia Proclamation No. 209/2000 defines cultural heritage broadly as "anything tangible or intangible which is the product of creativity and labour of man in the pre-history and history times, that describes and witnesses to the evolution of nature and which has a major value in its scientific, historical, cultural, artistic and handcraft content." Prior approval of the Authority for Research and Conservation of Cultural Heritage is Proclamation No. 209/2000, required to remove from its original site of an immovable cultural heritage (Art. 21/1). Article 21/1 Whenever registered, movable cultural heritage is encountered during the execution of Proclamation No. 209/2000, the project it is possible to remove such property by notifying the Authority in advance Article 21/2 (Art. 21/2). Zikre Hig Regulation No.6 2002 provides for the lease holding of urban land for a specified Zikre Hig Regulation No. period of time. It regulates the lease period for different functions, grade of land and payment of 6/2002 lease. It regulates manners of expropriation of land. It regulates that land could be expropriated for public use against payment of compensation Several Regions of Ethiopia have taken steps to develop regional land regulations. Regional Land Regulations Land use Administration Proclamation, (No 456/2005 Article 17(1)) Eligibility for compensation is discussed in Article 44(2) of the 1995 Constitution and Constitution Article 44(2) Proclamation No 455/2005. These two legal documents give entitlement only to those who have Proclamation No 455/2005 formal legal rights over their holdings (properties). Proclamation No 455/2005, Article 2 (3) stipulates that "Landholder" means an individual, Proclamation No 455/2005 government or private organization or any ...other ...organ which has legal personality and has lawful possession over the land to be expropriated and owns property situated thereon." Rural Land Administration and Land use Administration Proclamation (No. 456/2005 Proclamation No. 456/2005 Article 17(1) gives regional states the power to enact regional laws for rural land administrations. The regional laws are to be consistent with the Federal Constitution (No. 1/1995, Article 52(2) (d)) Several regional states (including Amhara and Tigray) are now building on the constitutional Land Tenure provisions to improve security of tenure, albeit within the general framework of State ownership of land. Leases are being introduced, that would guarantee lessees a long-term right of usage. Where leases are concluded between a regional administration and peasant farmers, it does not seem that these leases are reflected in any cadastral documentation (including maps) kept at woreda or region level. "Non-owners like renters and business are eligible for relocation and other assistance in finding Uncited a new location, compensation at replacement value for any immovable assets, compensation for loss of income during transition, assistance for physical transfer and follow-up services." "People without titles or use right (e.g. squatters, encroachers) will be for specific assistance. Uncited They typically claim use rights or even ownership after occupation of unused or unprotected lands. They are likely to have invested in structures or land improvements that are eligible for compensation." Page 70 of 88 REVISED DRAFT Private Sector Development Capacity Building Project ANNEX 7: List of 28 State Owned Entreprises designated for Environmental and Social Management Plan (ESMP) Sl. No Fully Audited Enterprises A CHEMICALS Awash Melkassa Aluminum Sulfate & Sulfuric Acid Adami Tulu Pesticide Processing Sh. Co. Caustic Soda Sh. Co. B MINING & MINERALS Adola Gold Development Enterprise Ethiopia Mineral Development Sh. Co. C TEXTILES Awassa Textile Sh. Co Bahir Dar Textile Sh. Co Combolcha Textile Sh. Co Arbaminch Textile Sh. Co Sl. No Partially Audited Enterprises A AGRICULTURE Agricultural Equipment & Technical Service Sh. Co. Abobo Agricultural Devet Enterprise Coffee Processing and Warehouse Enterprise Bale Agricultural Dev`t Ent Agricultural Input Supply Enterprise Coffee Plantation and Devt Enterprise Arsi Agricultural Devt Enterprise Awassa Agricultural Devt Enterprise Ethiopian Fruits and Vegetables Marketing Sh.Co. Middle-Awash Agricultural Devt Enterprise Semen-Omo Agricultural Devt Enterprise Fish Production & Marketing Ent. Natural Gum Production & Marketing Ent. Upper Awash Agro- Industry Enterprise B BEVERAGE Assela Malt Factory Bedele Brewery Sh. Co. Harrar Brewery Sh.Co. C CONSTRUCTION Tabor Ceramics Sh. Co. D FOOD Hamaressa Edible Oil Sh. Co. Page 71 of 88 REVISED DRAFT Private Sector Development Capacity Building Project ANNEX 8: List of Stakeholders Involved in the RPF Consultation Process PPESA Name Title Phone number Email Ato Beyene G/Meskel Director General, Privatization and Public enterprises Supervisory Authority Ato Milkias T/Giorgis Private Sector Capacity Building Program Abobo - Farm 1 Ato Tekabe Abebe Deputy farm manager Ato Andualem Tiruneh Farm administrator Abobo - Ginnery Ato Tesfaye Setegn Factory manager +251475511496 (Off) No +251913506541 (Mob) Agricultural Equipment and Technical Services Ato Tadele Yilma Human Resource Manager 011-4-42 23 52 aetse@ethionet.et 0911-86 96 95 Ato Gezahegn G.hiwot General Service Head 011-4-42 36 08 Not Available Page 72 of 88 REVISED DRAFT Private Sector Development Capacity Building Project 0911-08 88 43 Gislaw Tulu Planning Head 011-4-42 36 06 Kmrm12@yahoo.com 0912-10 06 20 Ato Shiferaw T.tsadik Health Officer 011-4-42 24 20 Not Available 0911-43 21 81 Ato Asfere Kemal Component Maintenance Section Head 0911-54 13 11 Not Available Ato Derese 0911-77 06 43 Ato Adamu Taferew Main Store Keeper at Chemical Store 011-4-42 60 02 Not Available 0912-08 81 52 Ato Asrat Girma Technical Training Division Head at 011-4-40 05 96 Training Center Agricultural Input Supply Enterprise W/ro Getenesh Ashenafi General manager(GM) of the enterprise +251114425623/+251911219446 aiso@ethionet.et Arsi Agricultural Devt. Enterprise ­ Arbagugu Coffee Plantation Hayelom Sebhatu Farm manager +251912221093 Not available Jemal Gandabe Agricultural section Head - Page 73 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Arsi Agricultural Devt. Enterprise ­ Geredella Farm Tesfaye Yesuneh Administration secretary +251913070581 Not available Arsi Agricultural Devt. Enterprise ­ Goffer Hussein Abdu Agronomy and plant protection Division Head +251911084056 Not available Arsi Agricultural Devt. Enterprise ­ Lole Farm Tesfaye Nigussie Farm Manager +251911840639 Not available Mengesha Moges Field supervisor +251910 Billito Siraro Farm of the Hawassa Agricultural Development Enterprise Yohannes Zegeye Farm Manager 0461190625/0911909264 Zerihun Tegegne Agronomist 0916834887 Mengesha Massebo Farm section Head 0916863179 Bale Agricultural Development Enterprise ­ Heraro Farm Ato Shimelese Kifelew Farm Manager 022-1190592 0911-568419 Bale Agricultural Development Enterprise ­ Hunte Farm Ato Kidane Girmay Farm Manager 022-11-90-588 Page 74 of 88 REVISED DRAFT Private Sector Development Capacity Building Project 0911-568415 Ato Habtamu Asfaw Human Resource Manager 022-11-90-590 0913-009438 Ato W/Senbet Milki Production Manager 0912-265181 Bale Agricultural Development Enterprise ­ Robe Farm Ato Gizaw Jagema Farm Manager 0911-568421 022-1190597 Ato Taye Regasa Administrator 0911-043476 022-11-91-260 Sure Tuya Peasant, Ashuta PA inhabitant Not available Tola Ejersa Peasant, Shalo PA inhabitant Not available Bale Agricultural Development Enterprise ­ Sinana Farm Ato Abebe Tufa Farm Manager 022-11-90-745 0911-568417 Ato Alemayehou Dengete Deputy Head of the Clinic (Health Assistant) 0913-499839 Ato Negash Beresa School Director 0912-818074 Asela Malt Factory Daniel Melese Administration and HRD Department +251911840520 Page 75 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Manager Kiros Abrha General Manager +251911253731 Bedele Brewery Sirata Guluma Vice director of the company 0474450499 (Off) sirataguluma@yahoo.com 0917550438 (Mob) Harar Brewery Tekeba Yeshitla Marketing and sales Manager +251911501256 Adami Tulu Pesticide Processing Sh. Co Ato Lemma Bogale Administration Manager and Acting Dept. 046 441 9169 appsc@ethionet.et GM 0916 58 00 04 Ato Simeneh Altaye Manager, Production and Technique 046 441 9167 wis_alt@yahoo.com 0916 58 00 06 Ato Demis Yehualaeshet Civil Works Coordinator 046 441 92 87 Not available 0916 82 14 39 Ato Seife Negash General Services, Dept. Head 0920 01 04 10 Not available Awash Melkassa Aluminum Sulphate and sulpharic Acid Sh. Co Mamo H/kirstos General Manager +251911207313 Page 76 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Chane Alelign Industrial safety and environment control +251911253810 process owner Caustic Soda Share Company Ato Moges Abate Acting GM 046 441 2521 mogesbt@yahoo.com 0911 38 24 50 Ato Amsalu Amenu HR and Admin Manager 046 441 3377 Not Available 0913 23 04 93 Ato Mitiku Ayana Guard Head 046 441 2421/43 Not Available Ato Gemechu Kedir Guard Not Available Not Available Coffee Plantations ­ Bebeka ­ Farm 1 Ato Abebe Aleme Farm manager +251471129946 (Off) +251913533030 (Mob) Ato Gorfu Melka Personnel head of the Enterprise +251917268106 Coffee Plantations ­ Bebeka ­ Farm 2 Ato Temesgen Demise Deputy manager of the farm +251910299700 (Mob) Ato Tesfaye Antuan Farm planning service leader No Page 77 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Coffee Plantations ­ Bebeka ­ Farm 3 Ato Dawit Tsegaye Deputy, manager of Bebeka Coffee Plantation +251913850771 Enterprise Ato Gorfu Melka Personnel head of the Enterprise +251917268106 Ato Regassa Dame Farm Three manager +251920606259 Coffee Plantations ­ Bebeka ­ Farm 4 Ato Tsegaye Telila Deputy farm manager and agronomist +251913396442 (Mob) Ato Kassa Aniley Farm unit 2 deputy manager +251913680138 (Mob) Coffee Plantations ­ Limmu ­ Gojeb Farm Ato Zerihun Hailu Farm manager +251917808001 (mob) +2510471129869 (off) Ato Dereje Mamo Farm administrator +251910373195 (mob) +2510471129869 (off) Page 78 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Coffee Plantations ­ Limmu ­ Gomma 1 Ato Fenta Bekele Farm program and plan head +251910826054 No Ato Mulualem Abera Farm administrator +25197127652 No Ato Yohannis Etefa Limu Coffee Plantation Enterprise production +251917550211 Ztefera26@yahoo.com and operation manager Coffee Plantations ­ Limmu ­ Gomma 2 Ato Tesfaye Weldeyes Farm manager +251917832733 (mob), No +251471129237 (off) Ato Ashebir Mose Farm administrator +251913207892 (mob) No +251471129150 (off) Ato Yohannis Etefa Limu Coffee Plantation Enterprise production +251917550211 Ztefera26@yahoo.com and operation manager Coffee Plantations ­ Limmu ­ Gummer Farm Ato Getahun Kumilachew Farm Manager +251917805342 (Mob) No +251471129867 (Off) Ato Sisay Zeleke Farm Administrator +25197823942 (Mob) No +251471129865 (Off) Ato Mesele Asfaw Gen. Manager of Limmu Coffee Plantation +251471114517 (off) Messele-asfaw Page 79 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Enterprise +251917550542 (mob) @yahoo.com Coffee Plantations ­ Limmu ­ Kossa Farm Ato Girma Mekonnen Farm manager +251471129857 (off) No +251917833015 (mob) Ato Mesele Asfaw General manager of Limmu Coffee Plantation +251471114517 (off) Messele-asfaw Enterprise +251917550542 (mob @yahoo.com Coffee Plantations ­ Limmu ­ Suntu Farm Ato Takele Mitiku Farm Manager +251471129856 (off) No +251917828955 (mob) Ato Messele Asfaw General Manager, Limmu Coffee Plantation +251471114517 (off) Messele-asfaw Enterprise @yahoo.com +251917550542 (mob) Coffee Plantations ­ Teppi ­Farm 1 Ato Legesse Sultan Shosha (farm unit 2) manager +251471129913 (Off) No +251917828459 (Mob) Ato Ayele Oluma Khomi (Farm unit 1) manager +251471100106 (Off) No +251917828257 (Mob) Ato Efrem Mersehazen Manager of Teppi Coffee Plantation Enterprise +251475560061 (Off) Efrem-cpde +251917550176 (Mob) @yahoo.com Page 80 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Coffee Plantations ­ Teppi ­Farm 2 Ato Efrem Mersehazen Manager of Teppi Coffee Plantation +251475560061 (Off) Efrem-cpde@yahoo.com Enterprise +251917550176 (Mob) Ayalew Sisay Farm manager +251917827266 (Mob) No +251471129953 Coffee Plantations ­ Teppi ­Farm 3 Ato Gemeda Namessa Farm manager +251471129954 (Off) +251917828639 (Mob) Getachew Negese Agronomist +251913440013 (Mob) Coffee Plantations ­ Teppi ­Farm 4 Ato Ephrem Barkessa Farm Manager +251471129952 (Off) +251911057671 (Mob) Getachew Negese Agronomist +251913440013 (Mob) Coffee Plantations ­ Teppi ­Farm 5 Abraham Mahder Farm Manager +251471129951 (Off) Page 81 of 88 REVISED DRAFT Private Sector Development Capacity Building Project +251917827476 (Mob) Getachew Negese Agronomist +251913440013 (Mob) Coffee Processing & Warehouse Enterprise Ato Getaw Yalew General manager(GM) of the enterprise +251114431860 cpwe@ethionet.et Tabor Ceramics Sh. Co. Solomon Tesfaye Operation Manager 0462202359/0916823411 Solotesfagee @yahoo.com Ethiopian Fruits & Vegetables Marketing Sh.Co. Ato Mengistu Kebede General Manager 011-4-16 42 88 etfruit@ethionet.et 0911-22 56 38 Ato Asrat Habtamu HR & Property Dept Manager 011-4-16 02 92 etfruit@ethionet.et 0911-14 14 84 Ato Chala Chaka Store Keeper at the main distribution center 011-1-11 54 82 Not Available 0911-14 42 28 W/ro Meaza Kitila Production Store Manager at the main 0911-70 54 42 Not Available distribution center Ato Aboye W/mariam In charge of collecting/monitoring production Not Available Not Available Page 82 of 88 REVISED DRAFT Private Sector Development Capacity Building Project container at the main distribution center Ato Derese Gobena Insurance Officer 0911 -77 06 43 Not available Fish Production and Marketing Enterprise ­ Arbaminch Lema Tesfaye Branch Manager 0468810223/0911356379 Fish Production and Marketing Enterprise ­ Head Office ­ Addis Ababa Ato Kibebew Kassa General manager(GM) of the enterprise +251114400341 etiopianfish@ethionet.et Fish Production and Marketing Enterprise ­ Zeway Ato Adeferese Kassaye General Manager 0913 38 67 03 046 441 2425 Page 83 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Fish Production and Marketing Enterprise ­ Bahir Dar Engida Dasalegn Branch Manager 0913996732/0582220177 Tadesse Kebede Administration and Finance Head 0913125916 Hamaressa Edible Oil Share Company Gezahegn Degafe Production and Technique Manager +251910793585 Adola Gold Development Enterprise Muhidin Asfaw Production Division Head +251913447993 Ethiopia Mineral Development- Kenticha Tantalum Development Unit Biruk H/mariam Geologist +251911705031 Ethiopia Mineral Development - The Boambawoha Ceramics Mineral Development Unit Mesfin Nigussie Mine process coordinator +251913059861 Getu Belete Security guard +251916363811 Denbi Salli Security guard +251916523503 Natural Gum Processing and Marketing Enterprise Fikadu Nigussie Office Manager +251912037513 Page 84 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Semen Omo Agricultural Development Enterprise ­ Abaya Farm Solomon Kebede General Manager O461191419/0912129789 Markos Yisebo Record Office Head 0912350922 Semen Omo Agricultural Development Enterprise ­ Arbaminch Dessalegne Benti Manager O468813070/0911843032 Semen Omo Agricultural Development Enterprise ­ Frieal Farming and Processing Co. Nebiyu Mesfin Acting Manager 0913356206/0468840607 Getachew Kayaye Administration Manager 0468840607 Semen Omo Agricultural Development Enterprise ­ Sille Kifle W/Tensae Administration Head 0468840457/0910506906 Seifu Koyesha Agriculture Section Head 0916852740 Middle Awash Agricultural Development Enterprise ­ Ginnery Tefera Negash Manager of the Ginnery 251-0911-718298 Middle Awash Agricultural Development Enterprise ­ Melka Sedi Negusie Fite Manager of Melka Sedi Farm 251-0913011652 Middle Awash Agricultural Development Enterprise ­ Melka Worer Page 85 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Kokobe Elifaged Agriculture Department Head, Melka Sedi 251-0913 3649 26 Farm Middle Awash Agricultural Development Enterprise ­ Head Office Hussien Endrie Administration and Workers Affairs Head of 022-456-60137 the Enterprise Middle Awash Agricultural Development Enterprise ­ Sidaha Fagie Farm Esayas Wolde Manager of Sidaha Fagie Farm 251-092547755 Upper Awash Agro-industrial Development Enterprise - Africa Juice Tibila Share Company (formerly Tibila Farm) Zelalem Yefru Manager, Engineering Services 251-911-362416 Shambel Argea Head, Field Control 251-912-304657 Upper Awash Agro-industrial Development Enterprise - Merti Fruits and Vegetables Processing Plant Abiot Tesfaye Manager, MPP 251-221-122-708 Mesfin Zeriay Site Representative 251-913-282459 Upper Awash Agro-industrial Development Enterprise - Merti Jeju Farm Yitbarek Girma Manager, Merti Jeju Farm 251-910-023926 Mesfin Zeriay Site Representative 251-913-282459 Page 86 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Upper Awash Agro-industrial Development Enterprise - Nura Era Farm Jeylan Kedir Manager, Nura Era Farm 251-911-271268 251-221-191185 Regassa Kumsa Agriculture Dept Head, Nura Eara Farm 251-913-358557 Eshetu Fentaw Assistant to the Administrator , Nura Era Farm 251-912-248690 Upper Awash Agro-industrial Development Enterprise ­ Head Office Getachew Bekele Human Resource Head, UAAIE 251-221-122-688/ext. 208 Mesfin Zeriay Site Representative 251-913-282459 Arbaminch Textile Sh. Co Sisay Solomon Manager 0911 20 18 85 0913 31 89 11 Kebede Wondimu Production and Technical Manager 0913343173 Yigezu Mekonnen Administrator 0913883094 Mohamde Haji Ibrahim Technical Service Head 0911857830 Bahir Dar Textile Sh. Co Abay Melaku General Manager 0918340337/0582200104 Page 87 of 88 REVISED DRAFT Private Sector Development Capacity Building Project Yosef Hayile Administration Head 0918382301 Kombolcha Textile Sh.Co Ato Ahmed Yasin Representative of General Manager 033 551 02 02 OR 033 551 02 03 Ato Shimelis Wolde-Amanuel Registrar 033 551 02 11 ext. 223 Hawassa Textile Sh. Co Wagaye Mitiku Production and Technical Manager 0911566764 Page 88 of 88 REVISED DRAFT