ethnic minority plan report - world...

Vietnam: Ministry Of Industry And Trade The World Bank

Vietnam: Renewable Energy Development Project

Credit No. 4564 - VN

Ethnic Minority Plan Report for

Nam Tha 5 Hydropower Project

Nam Tha Commune, Van Ban District, Lao Cai Province

Submitted by:

Phuc Khanh Energy Development and

Construction Investment Corporation.

Lao Cai Province

August, 2010

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Typewritten Text

IPP329 v8

Vietnam: Renewable Energy Development Project Ethnic Minority Plan

Nam Tha 5 Hydropower Project – Lao Cai Province August 2010

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Preface

The Government of Vietnam and the World Bank prepared the Vietnam

Renewable Energy Development Project (REDP). The objective of the

proposed project is to increase the supply of electricity to the national grid from

renewable energy sources on a commercially, environmentally and socially

sustainable basis.

The Investment Project Implementation component will provide (i) a re-

financing facility to participating commercial banks for loans to eligible

renewables-based projects below 30MW developed by private sponsors, and (ii)

technical assistance for building the capacity of participating banks and

subproject developers to prepare, appraise, finance, and implement renewables-

based projects according to international best practices.

Previous in-country experience in developing renewable energy projects,

especially small hydropower plants shows that these projects cause some

change in land use and impact the lives of people living in the project areas.

These sub-projects are also likely to be located in hilly areas where, in Vietnam,

ethnic minorities live. Hence, all the subprojects are required to prepare

Resettlement Plans (RP) and if there are ethnic minority people present in the

project area, to prepare Ethnic Minority Plans (EP). The RP and EP will have to

be in full compliance with relevant Vietnamese Laws and regulations as well as

the project RFP and EMPF.

This Ethnic Minority Plan report is prepared for the proposed Nam Tha 5 Mini

Hydropower Sub-project in Nam Tha Commune, Van Ban District, Lao Cai

Province.

Contact:

Nam Tha 5 Hydropower Project

Nam Tha Commune, Van Ban District

Lao Cai Province, Viet Nam



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Table of Contents

Executive Summary

1. INTRODUCTION 5

1.1 Renewable Energy Development Project 5

1.2 The Nam Tha 5 Hydropower Sub-Project 5

1.3 The Principles and Objectives 6

2. LEGAL FRAMEWORK 7

2.1 Vietnamese Legal Framework 7

2.2 The Worldbank’s Policy on Indigenous People 8

3. BASELINE INFORMATION 10

3.1 Project Mapping 10

3.2 Social Assessment 11

3.3 Consultation and Participation 13

4. ETHIC MINORITY DEVELOPMENT PLAN 16

4.1 Proposed Activities 16

4.2 Implementation Plan 16

5. INSTITUTIONAL ARRANGMENT 17

6. IMPLEMENTATION SCHEDULE 19

7. GRIEVANCE REDRESS 20

8. MONITORING AND EVALUATION 21

9. COST AND BUDGET 22

9.1 Capital Source 22

9.2 Cost Estimation 22



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Table of Figures

Table 1: Proposed Activities 16

Table 2: Implementation Plan 19

Table 3: Estimate Cost 22

Abbreviations

AU Administration Unit

CEM Committee for Ethnic Minorities

DP Displaced People

EM Ethnic Minority

EMPF Ethnic Minority Planning Framework

EP Ethnic Minority Plan

GOV Government of Vietnam

IDA International Development Association

Kv Kilovolt

MOIT Ministry of Industry and Trade

PB Participating Bank

PMB Project Management Board

PPC Provincial People’s Committee

REDP Renewable Energy Development Project

WB World Bank



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Definition of Terms

Indigenous Peoples The term “Indigenous Peoples” is used in a generic sense to

refer to a distinct, vulnerable, social and cultural

group possessing the following characteristics in varying

degrees:

a) self-identification as members of a distinct indigenous

cultural group and recognition of this identity by others;

b) collective attachment to geographically distinct habitats or

ancestral territories in the project area and to the natural

resources in these habitats and territories;

c) customary cultural, economic, social, or political

institutions that are separate from those of the dominant

society and culture; and

d) an indigenous language, often different from the official

language of the country or region.

Social Assessment is the main instrument to ensure adequate treatment of social

dimensions in project operations. Social assessment relies on

social analysis to understand key social issues and risks, and to

determine social impacts on different stakeholders. Social

assessment relies on participation to determine the needs and

priorities of key stakeholders and to obtain their views on the

design of the proposed supported intervention.

Vulnerable Means individuals or distinct groups of people who might suffer

disproportionately or face the risk of being further marginalized

by the effects of land and property recovery or resettlement and

specifically includes: (i) female headed households with

dependents, (ii) disabled individuals (iii) households with

disabled persons, (iv) households falling under the current

MOLISA benchmark poverty line, (v) children and elderly

households who are landless and with no other means of

support, (vi) landless households, (vii) ethnic minorities.



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Executive Summary

The Government of Vietnam and the World Bank prepared the Vietnam

Renewable Energy Development Project (REDP). The objective of the proposed

project is to increase the supply of electricity to the national grid from renewable

energy sources on a commercially, environmentally and socially sustainable basis.

By screening, there are no ethnic minority groups directly affected by the sub-

project, but there might be some potentially marginally indirectly impacts to ethnic

households due to the subproject implementation, so this Ethnic Minority Plan

(EP) is prepared compliantly for Nam Tha 5 Sub-Project, which will consist of

legal framework, baseline information, social assessment, proposed development

assistances, institutional arrangement, implementation schedule, monitoring and cost

estimation...

There are 07 villages in the Nam Tha communes, of which 02 center villages of

Khe Coc and Khe Tao, remaining distant 05 villages of Vang Mau, Khe Pan, Khe

Vai, Phuong Cong and Khe La. The communal population is 2,446 people in total,

in which 1,224 male and 1,222 female. Among the population, there are 03 ethnics

inclusive of 30.5% Mong, 65.7% Dao and 3.8% Kinh people. Their common

occupations are agriculture production and forestry development (about 70%), and

certain case of small business as household commodities. Average income is about

VND 180,000 per captia per month, with approximately 60.5% poor household (as

in line with MOLISA standard).

During the ethnic minority plan preparation, the local population has been

participated in free, prior, and informed consultations, then development assistances

were discussed and provided with as (i) Training and Employment; (ii) School

Improvement.

Total estimated cost for proposed development assistances is VND 158 million,

which includes development assistances, administrative management and

contingency.



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1. INTRODUCTION

1.1 Renewable Energy Development Project

The promotion of renewable energy sources is an important policy objective. The

Electricity Law requires support to be provided to electricity generation from

renewable sources in the forms of investment incentives, preferential electricity

prices and preferential taxes.

The Government of Vietnam (GOV) has adopted a Renewable Energy Plan

(REAP) for the country, jointly developed by EVN and the Ministry of Industry

and Trade (MOIT), that provides a framework for international assistance to scale

up renewable electricity development in Vietnam. MOIT has taken responsibility

for coordinating of REAP’s implementation.

As an important part of REAP, MoIT wishes to develop a Renewable Energy Small

Power Producer (RESPP) program that aims to encourage the development of cost-

effective renewable energy principally by the private sector, cooperatives and other

non-governmental entities. The World Bank has indicated that it is willing to

consider a lending programme for RESPPs that would provide loans of longer-term

tenor than are presently available in the Vietnamese domestic banking system.

The project will have three components: (1) the investment project implementation

component, (2) the regulatory development component, and (3) the pipeline

development component.

Five subprojects selected for the first year implementation are located in Lao Cai

and Yen Bai provinces of the Northern Mountainous Region and in Lam Dong and

Gia Lai province of the Central Highland. Except for the subprojects selected

upfront, all renewable energy subprojects will be identified during implementation.

Majority of the subprojects would be small hydro power plants which are typically

located in hilly or mountainous areas in the Northern and Central regions. Biomass

subprojects would be located in the Southern delta areas while wind subprojects are

likely situated in Central coastal areas. The Nam Tha 5 Hydropower Subproject –

Lao Cai province is now under selection following these criteria.

1.2 The Nam Tha 5 Hydropower Sub-Project

The Nam Tha 5 Mini Hydropower Subproject with power capacity of 11.5 MW

and annual provision of 55.86 million KWh to national power network, is located

on the Nam Tha stream that rises from hilly area of Hoang Lien Son Mountain with

the height of 2,000 to 3,000 m, directing to south west direction and to Ngoi Hut

stream. Due to the stream of high slope and plentiful of water, hydraulic power in

the Nam Tha catchments-area is remarkably potential.

The Nam Tha 5 mini hydropower subproject – the principal work located in middle

of a valley. The plant is about 1,8km form the principal work, to the stream wise, in

Nam Tha Commune, Van Ban district, Lao Cai province.



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The Nam Tha 5 hydropower subproject plays an importance role to strict develop

hydraulic power potentiality in the mountainous area, and partially contributes to

electricity supply for the local area’s socioeconomic development. Besides that, the

subproject also creates favourable condition to improve local population’s

livelihood, to upgrade environmental condition, to supply water for household use

and for irrigation in dry season, to develop the ecological tourism in the region.

The subproject comprises three (03) main components (i) main dam, spillway,

intake; (ii) canal, pressure tower and (iii) pressure pipeline, plant. The reservoir‘s

water flow to pressure tower though canal and pressure pipeline to the plant, then

release to Nam Tha stream.

The EMPF conforms to the OP 4.10 on Indigenous Peoples has been prepared since

April 2008, ensuring that the subproject development will be fully respective to the

dignity, human rights, economies, and culture of affected ethnic minority peoples.

The subproject developer will demonstrate that they have obtained broad

community support for the subproject through a process of free, prior, and

informed consultations with the affected ethnic minority communities. In this

regard, the EP will also (a) ensure that the ethnic minority peoples receive social

and economic benefits that are culturally appropriate; (b) avoid potentially adverse

effects on the ethnic minority communities; and (c) when such adverse impacts

cannot be avoided, minimize, mitigate, or compensate for such effects

1.3 The Principles and Objectives

The Nam Tha 5 Subproject’s Ethnic Minority Plan is prepared basing on the

following key principles: (i) Ethnic minorities are encouraged to participate in all

project activities and they will benefit from the project in a way which is culturally

appropriate; (ii) Adverse impacts on ethnic minority communities, as distinct and

vulnerable groups, should be avoided or minimized by exploring all viable options;

(iii) Preparation of EP (as part of project preparation) and its implementation is to

be carried out with participation and consultation of ethnic minority people; and

(iv) Implementation schedule and budget for EP (including participatory

mechanisms and surveys) and implementation must be incorporated into each

project.

Although, there is no ethnic minority people affected by the subproject, the EP are

also prepared with objectives of (i) Local people are consulted adequately and

participated in all important decisions; (ii) Risks of adverse impacts due to the

subproject are mitigated where ever possible and (iii) Positive impacts are realized

and strengthened, in a way that fits to culture of the ethnic people in the subproject

area.

This EP shall comply with stipulations under the World Bank OP/BP4.10:

Indigenous People as well as approved Ethnic Minority Planning Framework. The

EP is to ensure that ethnic people are informed, consulted, and encouraged to

participate in designing and implementing of the subproject, to make them aware

about potential risks and measures to mitigate the impacts proposed with their

participation.



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2. LEGAL FRAMEWORK

2.1 Vietnamese Legal Framework

The Ethnic Minority Plan is prepared in accordance with the Ethnic Minority

Planning Framework that was approved by MOIT for the Renewable Energy

Development Project. Some policies of Vietnamese Government applied in this EP

are defined and listed as follows:

• The Constitution of the Social Republic of Vietnam, April 15, 1992

• Resolution No.22/NQ-TW of Political Bureau of the Party Central

Committee dated 11th

November, 2003 about some socio-economic

development policies in dated mountainous areas.

• Resolution No.24/NQ-TW of the Party's Central Committee of the IXth

tenure dated 12th

March, 2003 regarding the issues of ethnic minorities.

• Decree No.60/2008/ND-CP of the Government dated 9th May, 2008

prescribing the functions, tasks, powers and organization structure of the

Committee for Ethnic Minorities.

• Decree No. 59/1998/ND-CP of the Government dated 13rd August, 1998

prescribing the functions, tasks, powers and organization structure of the

Committee for Nationalities.

• The resolution of the National Assembly of Vietnam dated 7 July 1993 on

"the Regulations for Ethnic Committee"

• Directive No.393/TTg of the Prime Minister dated 1 oth June, 1996 regarding the planning of residence, infrastructure and production in

ethnic minority and mountainous areas

• Decree No.525/TTg of the Prime Minister dated 02 November, 1993

regarding the policy of further socio-economic development in mountainous

areas

• Decision No.53/20071QD-UBND of Provincial People Committee of Lao

Cai dated 8 August, 2007 on the lending policy to support poor households

in scale of Lao Cai province.

The Communist Party of Vietnam is always interested in the ethnic minorities in

Vietnam. Soon after being liberated and escaped from the domination of French

colonialism in 1955, the first legal document on ethnic minorities, which is the

Ordinance 29th April, 1955. The article 6 of this Ordinance stipulated No.229-SL

was issued on "The ethnic minorities have free right to develop language and

writing for themselves, to preserve and to improve their custom and practice, to

choose religion and receive the supports from the Government of Vietnam for all

sectors of politics, economic, culture and society".



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The equal right of each citizen has been stipulated at the article 5 of the

Constitution of the Social Republic of Vietnam, 1992. The State of Vietnam

always implements the policy of harmonization among ethnic groups, the policy of

equality, solidarity, inter-supports each other among ethnic groups and forbids any

action of discrimination among ethnic groups.

"The ethnic groups have right to develop language and writing, to preserve and to

improve their good custom, practice and cultural tradition. The State implements

policy of all round development, step by step improves living standard for ethnic

minorities"

Recently, the Government of Vietnam has been developing some programmes such

as 327, 134 and 135 and others and issuing many social policies to boost growth

and development for ethnic minorities in mountainous areas. Therefore, the

political and social position of the ethnic minorities in Vietnam is always higher

than those in other countries. Many benefits from the Government's policy have

been provided, such as subsidization of cooking oil, petroleum and salt. Many

projects and programmes for ethnic groups have been developed by the

Government, international donors and NGOs. Total investment capital for

mountainous area in general and ethnic minorities in particular is high and catches

up with this rate for the delta.

The Government has issued the resettlement policy for ethnic minorities in order to

decrease the relocation of ethnic groups since 1968. One of the most important

legal documents for ethnic groups is the Ordinance No. 525/TTg of the Prime

Minister dated 2th November, 1993 regarding the policy of further socio-economic

development in mountainous areas, including: (i) developing infrastructure system,

especially the transportation system and supply of fresh water; (ii) step by step

strengthening food security (iii) consolidating the education system, correcting the

education program in accordance with the characteristics of provinces, creating

favorable conditions for the informal education program and the economic

development of the locality.

2.2 The Worldbank’s Policy on Indigenous People

The objective of the Bank's policy on Indigenous People, OP 4.10 is to ensure that

development process fosters full respect for their dignity, human rights, and culture

uniqueness. More particularly the central objective of the policy is to ensure that

indigenous peoples do not suffer adverse effects during the development process,

and that they receive benefits which are culturally appropriate to them. The strategy

to meet the objectives of the Bank's policy in addressing the issues pertaining to

indigenous peoples must be based on their free, prior and informed participation of

the indigenous people themselves, which requires identifying local preferences

through direct consultation.

Indigenous people are commonly among the poorest segments of a population.

They engage in economic activities that range from shifting agriculture to wage

labor or small-scale market-oriented activities. The definition of Indigenous



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Peoples used by World Bank is very similar to the Government of Vietnam"

definition of Ethnic Minorities

Any project proposed for the World Bank financing that have a significant effect on

ethnic minorities are required to follow the following steps:

• A screening to identify whether ethnic minorities are present in or have

collective attachment to the project area;

• If ethnic minorities are present, a social assessment will be prepared to

determine the project's potential positive and adverse impacts, and to

examine if modification of the project design can minimize any adverse

impacts and enhance positive benefits;

• A process of free, prior and informed consultation with the effected ethnic

minority communities in order to identify their views and to ascertain

whether there is broad community support for the project;

• If the free, prior and informed consultation concludes that ethnic minority

communities broadly support the project, Ethnic Minority Plan (EP) will

be prepared in, an consultation with the communities, outlining the

benefits that they will receive from the project and how any adverse impacts

have been minimized or mitigated; and

• Disclosure of the plan

To ensure that ethnic minority groups are included in appropriate ways in the

development process the policy requires the preparation of an Indigenous Peoples

Plan (IPP). Although the policy talks about Indigenous People, all ethnic minority

groups (with the exception of Hoa/Chinese) in Vietnam are considered indigenous;

therefore the IPP process is referred to as the EP process in Vietnam.

One can see, the policy of Indigenous People used by World Bank is generally

similar to the Government of Vietnam's policy of Ethnic Minorities. In other words,

there are no remarkable differences in term of requirements concerning the

development activities to be conducted in area that ethnic people live in.



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3. BASELINE INFORMATION

3.1 Project Mapping

The Nam Tha 5 Hydro Sub-project is located as in the map below (master layout):

There are 07 villages with 383 households in Nam Tha Commune, Van Ban

District, Lao Cai province will be indirectly, partially impacted by subproject, who

are mostly H’Mong and Dao people. Hence, baseline information and planned

activities to support EM development will be focused on the area.

H’Mong Ethnic Minority

Name of Ethnic Group: Mong, H'Mong (Mong Do (White Mong), Mong Lenh

(Variety Mong), Mong Si (Red Mong), Mong Du (Black Mong) and Mong Sua

(Man Mong)).

Population: More than 558,000 people.

Locality: The H'Mong are concentrated in the highland regions in the provinces of

Ha Giang, Tuyen Quang, Lao Cai, Yen Bai, Lai Chau, Son La, Lao Cai, Lao Cai

and Nghe An.

Customs and Habits: Each lineage lives within a group setting. The head of the

village assumes the common affairs for the lineage. Young H'Mong men and

women are free to choose their partners. Marriages are absolutely forbidden

between men and women of the same lineage. Matrimonial life of the H'Mong is

very harmonious and divorce is very rare.



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Culture: Mong language belongs to the H'Mong-Dao Group. The Traditional Tet

(New Year's Day) of the H'Mong is organized every December. They refrain from

eating green vegetables during the three days of the Tet Holiday. The musical

instruments of the H'Mong include various kinds of "khen" (pan-pipes) and lip

organs. After a hard working day and to celebrate spring, the young men and

women often play "khen" and lip organs to express their feelings for their partners

Costumes: The H'Mong make their clothes from linen. Women's attire consists of a

skirt, a blouse that opens at the front and has embroidery on the back, an apron to

cover the skirt at the front, and leggings.

Economy: The H'Mong live mainly on slash-and-burn cultivation. They also grow

rice and corn on terraced fields. Their principal food plants are corn, rice, and rye.

Apart from these crops, they also grow medicinal plants and linen plants to supply

the fibers for cloth weaving

Dao Ethnic Minority

Name of Ethnic Group: Man, Dong, Trai, Diu Mien, Kim Mien, Lu Gang, Lan Ten,

Dai Ban, Tieu Ban, Coc Ngang, Coc Mun and Son Ðau).

Languages: H’Mong - Dao

Population: Over 470.000 people.

Locality: in bordering areas of Vietnam and China, Vietnam and Lao, other

Northern hilly and coastal areas.

Customs and Habits: summary of their customs are (i) their worship are to Ban Ho,

(ii) their class and generations are identified by mid-name; (iii) their funeral

ceremony are as traditional way, (iv) crematorium are used for up to 12 years old

people and (v) staying with wife’s family permanently are main characteristic from

the Dao

Culture: the writing language is from those of Chinese, but changed to the Dao, just

call Chinese Dao language.

Costumes: The Dao’s man is wearing the Dao costumes, while women's attire

consists of a colorful skirt with traditional decorative with head covering

Economy: The Dao live mainly on slash-and-burn cultivation with principal food

plants of corn, rice, and rye. Their hand crafts are cloth weaving, forge, wood, paper

and oil.

3.2 Social Assessment

The Nam Tha 5 Hydropower Subproject is located in Nam Tha commune (to the

South of Lao Cai and close to Yen Bai province), Van Ban district, Lao Cai

Province. A baseline description of the communities in the area is shown as below:

Demographic: there are 07 villages in the Nam Tha communes, of which 02 center

villages of Khe Coc and Khe Tao, remaining distant 05 villages of Vang Mau, Khe

Pan, Khe Vai, Phuong Cong and Khe La. The communal population is 2,446

people in total, in which 1,224 male and 1,222 female. The population growth rate



12

is 0.2%, which its population will not changeable in near future. Among the

population, there are 03 ethnics inclusive of 30.5% Mong, 65.7% Dao and 3.8%

Kinh people.

The local people speak Kinh language normally in public areas such as market,

communal office and school. They also speak languages of Mong, Dao at home, or

even in village/commune meeting, but rarely. Currently, about 80% local people

(EM) can speak and write the Kinh language and they are all living together

equally.

Occupation and Income: their common occupations are agriculture production and

forestry development (about 70%), and certain case of small business as household

commodities. Average income is about VND 180.000 per captia per month, with

approximately 60.5% poor household (as in line with MOLISA standard). The

better off households are 39.5% who all living in center area.

Land Tenure: all the land acquired by the subproject are public land (forest land)

managed by Nam Tha Commune People’ Committee.

Culture and Religion: They have their own typical tradition, especially New Year

festival according to lunar calendar (the public holiday of Vietnam), Rice Season

Launching festival, Flirting festival. When someone in a household is sick, they put

a branch with green leaves in front door to indicate their unwillingness to have any

guest/visitors.

Dao people in this area usually visit their relatives in other communities. Both male

and female can go outside alone, they are treated equally like Kinh group in terms

of Dao people in this farming and home affair, both male and female can go to

school, Dao people in this community can get married to people in other

communities. The funeral and the god worship are the importantly cultural

characteristic of ethnic Dao. Therefore, the magicians (considered as the informal

leader in Dao ethnic community) play very important role in the commune. The

ethnic Dao believes that the magicians can pray the god to give them the luck and

health.

The magicians play very important role. Their works are highly valued in funerals,

cure of disease, moving graves etc. In addition, there is no major difference in the

form of community organization as compared to the Kinh's. Farmer association

gets to learn farming skills and then propagate to the farmers in the village. Women

union, youth union do play important role in propagation of family planning,

encouraging the households to send their children to the school for study, and go to

doctors for medical treatment.

The clothes of ethnic Dao is very colorful, especially in the wedding. The most

populated color is red. The characteristic of their clothes that differ from other

ethnic is headscarf.

Gender issue: At the moment, the ethnic Dao is remaining the custom: living at the

house of wife after marriage that may be on permanent or temporary basis. There

are often 2 or 3 generations living in a house. The husband plays a most important

role in the family; the wife does the farming and housework. In most of Dao's



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households, husband is the one who has power and decisive voice in handling

family matters.

Land ownership in consideration of Dao people in this area is household based, and

not discriminated by gender.

Institutional Arrangement: About the institutional arrangement in the ethnic Dao

community, the most important power is owned by the head of village (the formal

leader). Other formal leaders such as the chairwoman of Women's Union, Farmer

Association, or Youth Union also play an important role in the community. The

informal leader of ethnic Dao in the community is only the magician. However, he

has important power in worship or funeral only.

Social and Technical Infrastructures (Electricity) electricity network, pico1,

kerosene are popularly used in Nam Tha commune for lighting, commonly woods

for burning and warming. Nearly 10% of the households, mostly poor and better-

off households, use kerosene mainly for lighting and about 65% household use pico

for lighting and operation of cassette, television.

3.3 Consultation and Participation

According to EMPF, the ethnic community in project area strongly encouraged to

participate in all phases of the project from design to completion. The Phuc Khanh

Corp. has carried out many activities such as information dissemination,

consultations since mid-2008 and June 2010 in Khe Pan village’s community hall,

Nam Tha communal office to encourage participation of local people in the EP

preparation, including:

• Studying documents to identify the legal basis and issues related to ethnic

people development in this area.

• Collecting statistic data such as demographic, occupation, income and their

education level...

• Site visiting to get knowledge about the local culture and meanings of

cultural locations in the area to screening the subproject’s impacts.

• Encouraging the ethnic people to participate in making decisions on project

planning, implementation, and evaluation.

• Holding village meetings with participation of communal officers, villagers,

and ethnic households, mostly in Khe Pan Village (the area that the

subproject is located in).

In the meeting, issues and comments from participants: it is all agreed that the

subproject has only minor impact on (i) forestry land presently managed by Nam

Tha Commune PC and (ii) marginally and indirectly impacts to household due to

their limitation to access water source and other potential impacts caused by the

subproject construction. All household’s comments and ideas was received, studied

1 A kind of super-small electric generator which is installed and operated by household level and its capacity is

enough for using of lighting, cassette and television.



14

and replied fully. In fact, almost comments focussed on how to raise the proposed

work’s positive impacts and benefit to local population and intensifying their

participation in all subproject phase… that the technical engineer reviewed and

updated in their report and design, which detail is provided that they:

• Agrees that all the land are acquired from forest land managed by Nam Tha

PC and there is no land taken from individual/ household.

• Hopes that the subproject should be implemented soon for their better

electricity use and economic development in the region.

• Are accepting to help contractor (s), in case there is any temporary impacts to household during construction time (mostly by construction material

transportation, worker’s camping...)

• Agree that they are willing to have their paid work during the subproject’s

construction implementation, and;

• Request that the Developer – Phuc Khanh Corp. should assist local

population in improving their local road, training workshop on electricity

safety and if do, employing their working age EP to work in the subproject,

even in the hydropower plant during operation time.

3.4 Measures to Minimize Adverse Impacts

Positive Impacts (anticipations after the construction of the hydropower plant): As

can be noted earlier, at present, ethnic people in subproject site are still using the

un-sustainable home-made energy sources. Their main sources of energy are

kerosene, pico and burning wood. The later (burning wood) is also not good in

term of forest protection. After the completion of this subproject, hopefully 100%

households from 07 villages in Nam Tha commune and outsiders will be supplied

and connected to electricity network.

The subproject’s 1.8 km access road will be constructed that also make favorable

condition to local population in their daily transportation and livelihood.

Negative Impacts: It is sure that implementation of the subproject will bring a lot of

benefits to the local population, but at the same time, there are also some negative

impacts on people living nearby the proposed hydropower plant, by acquisition of

forest land, deforestation, blowing off part of earth/stone (from mountains)..., in

which:

• Land acquisition: forest land will be taken for the subproject

implementation, inclusive of reservoir, dam, canal, plant, pipeline and

pressure tower, of which acquired land are basically forest and stream-bed.

Furthermore, the subproject’s dam and reservoir are located in the separated

area, so the reservoir’s water level rising will not impact to agricultural

production in the lower section.

• Blowing off part of earth/stone from nearby mountain, which is occurred in

few highly sloped sections and its impact is not remarkable.



15

• Besides that, there are other impacts such as electricity safety, worker’s

living condition during construction time which might be influenced to

local area’s culture, religion and/or customary manners.

Measures to Minimize Adverse Impacts: significant measures to ensure that

adverse impacts will be addressed in best manner will be provided as following:

• Raise the employees' awareness concerning strict abidance by the local

manners and customs;

• Forest land acquisition has been consulted with local people who are all

consensus to the subproject’s implementation plan;

• Working with Nam Tha communal authority to register workers for their

temporary residence in the locality;

• Carry out execution works in dry season to mitigate impacts on

environment, soil and water;

• Priority shall be given to ethnic people and their children are given

opportunity to get jobs in the construction sites in the project area.

• Necessary measures to prevent possible epidemic diseases (e.g. dysentery,

malaria, etc.) shall be taken into account in consultation with local health

care centre.

• Having plan to efficiently control and reduce vehicle traffic that all the

transport and construction vehicles shall meet technical and safety standards

required by the Registration Department. Moreover, suitable traffic sign and

warning sign will present in the relevant areas of construction site to ensure

operation safety.

• Developing an Information-Education-Communication program (IEC) for

local ethnic people about power safety, social issues, health safety in the

project areas.



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4. ETHIC MINORITY DEVELOPMENT PLAN

4.1 Proposed Activities

In addition to the mitigation measure presented above, some development

assistances have been provided and will have been providing to ethnic community

in the subproject area as follows:

1. Training and Employment: The Developer – Phuc Khanh Corp. will carry out

some specific training on:

(i) Electric Safety: the 02 day training course will be implemented for EMs in

locality with aims to raise awareness of electric safety to local people and

basis knowledge of accessing to electricity.

(ii) Agriculture Extension: 01 day training course will be carried out for

women headed households to help them improve their agriculture

productivity.

(iii) Employment: priority in employment will be give to EMs that they can

work for subproject and/or even for the hydropower plant during operation

phase. In addition, the selected employees will be attended advanced

training course on electric safety and working safety policy.

2. School Improvement: the developer have committed to improve the

downgraded primary/secondary schools in Nam Tha commune to help local

school children have better schooling condition.

3. Transportation Upgrade: 02 km access road from Khe Pun Village to the Nam

Tha 5 Hydropower subproject and 3.7 km inter-commune Chieng Ken – Nam

Tha has been being constructed that also help local people in their daily

transportation. The constructions have been made by Phuc Khanh Co,. with

budget allocated from the subproject and Van Ban District’s, therefore the

works will not be mentioned in the estimate cost.

4.2 Implementation Plan

The implementation plan for the above mentioned proposed activities is described

in the Table 1below:

Table 1: Proposed Activities

No. Activities/Time Start Complete

1 Training Course Dec 2010 Dec 2010

2 Transportation Upgrade Feb 2009 Dec 2010

3 School Improvement Mar 2011 Mar 2011



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5. INSTITUTIONAL ARRANGMENT

The main actors and their main roles related to safeguard management are as

follows:

Project Management Board (PMB) – is a unit of the MOIT responsible for

overall coordination and management of REDP on its behalf. PMB is also

responsible for the technical assistance including capacity building for all project

participants.

The PMB has experience in implementing WB projects and is familiar with WB

safeguard requirements. PMB is responsible for organizing relevant training

programs for all project participants. PMB will also organize training on REDP

safeguard requirements for national consultants, through which, a pool of trained

consultants will be created for PBs and developers' reference and use.

Administrative Unit (AU) – is a unit of the PMB of the Ministry of Industry and

Trade (MOIT) responsible for administration of the refinancing facility of the

investment component of REDP, review of refinancing applications to make sure

subprojects for which refinancing is requested meet all refinancing requirements

and an oversight role in regard to subproject environmental and social

commitments.

The Administrative Unit will be set up within MOIT PMB before the project

effectiveness. The AU will be supported by experienced social and environment

specialists. The AU will hire consultants to carry out independent monitoring of

RPs, EPs and EMPs implementation for all subprojects financed by the project.

Participating Banks (PB) – is responsible for providing subproject financing and

to undertake a due diligence role to ensure subproject compliance to environmental,

social commitments as part of loan agreement provisions.

BIDV, having experience with WB procedure and with financing small hydro

power projects, will develop its existing environment unit to take responsibility

concerning the safeguard requirements under REDP.

Other PBs, having less experience in these areas, will need more support and

capacity building to carry out their responsibilities. Each PB will appoint at least

one staff responsible for the safeguard issues, who will receive training to be

offered as part of the project. PBs will use external consultants to provide technical

advisory support to appraise the safeguard documents. Training will also provided

to PBs staff at branch level on safeguard supervision and monitoring.

Developers – is responsible for design, construction and operation of renewable

energy subprojects, including environmental and social assessment which is

compliance and management of subproject impacts. They will be also responsible

for preparation and implementation of the RP, EP and EMP in compliance with the

safeguard frameworks requirements



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Developers will rely on external consultants to prepare the safeguard documents

and for resolving specific issues that may occur during implementation. As part of

the project, technical assistance will be provided to subproject developers and their

consultants to prepare and implement RPs, EPs and EMPs that is compliance with

the Bank’s requirements.

Agency Responsible for External Monitoring

One agency or institution, specialized in social sciences must be identified and

engaged in order to carry out socioeconomic surveys, monitoring, and evaluation of

RP implementation for the Project. The AU will sign contracts with the selected

Monitoring Organization (MO). External monitoring cost will be shared between

subprojects, based on scale of resettlement impacts, and volume of monitoring

works has to be done for each subproject. They will submit periodic reports on the

implementation process and make recommendations regarding the issues identified.



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6. IMPLEMENTATION SCHEDULE

During project preparation subproject developer was fully aware that it is necessary

to build the good relationship and neighborhood with local ethnic community,

therefore after consultation with commune leader and representative villages, all

parties agreed on the development assistances that Phuc Khanh Corp. provide to

the community. Some of the proposed activities actually done during the

subproject preparation, some are being implemented and some will be carried

out later after the approval of the EP.

In fact the preparation of the EP has helped Phuc Khanh Corp. in systemizing what

the subproject has done so far concerning ethnic minorities planning and additional

measures to ensure that the proposed activities will be in compliance with EMPF.

Table 2: Implementation Plan

No Tasks Implementation Timetable

A Activities during the Ethnic Minority Plan Preparation

1 Subproject Preparation Developer June 2009

2 Screening Developer Aug 2009

3 Social Assessment and Consultation Developer May 2010

4 The EP Preparation Developer June 2010

5 The EP Approval (NoL) WB/ PPC August 2010

B Activities during the Ethnic Minority Plan Implementation

Training Course Developer Dec 2010

Transportation Upgrade Developer Dec 2010

School Improvement Developer Mar 2011

C External Monitoring

Contracts awards and mobilizes

IMO AU Aug 2010

Periodic Monitoring

IMA Aug 2010 to Aug

2011



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7. GRIEVANCE REDRESS

In the implementation phase of Ethnic Minority Plan, all ethnic people in the

project will have the right to lodge complaints as the following legal basis:

Step 1: If the ethnic people in the project disagree with any issues in

implementation of EP, they would submit the complaints to Nam Tha small

hydropower PMU of Phuc Khanh Company. The Nam Tha small hydropower

PMU will take responsibility to work closely with the relevant agencies to resolve a

complaint within a time limit of 15 days.

Step 2: In case, the agreement and conciliation are not obtained or the ethnic

people in the project area don't receive any response within a time limit of 15 days

as from the date of receipt of the complaint, the ethnic people in the project will

have the right to appeal a further complaints with the DPC of Van Ban, where the

complaints will be resolved within 1 month from the date of receipt of initial

complaint.

Step 3: When a complainant disagrees with the decision on resolution by the DPC

or the Representative of Committee, or the CPC doesn't reply within 15 days, it

shall have the right to appeal the further complaints to the Provincial People

Step 4: Where a complainant disagrees with the decision on resolution of the

complaint issued by the PPC or PPC doesn't reply within fixed term, it shall have

the right to complain to the People's Court in accordance with the regulations of the

law.

All grievance dossiers and official letters of settlement will be kept at the office of

Nam Tha 5 small hydropower subproject management board.

The complaints are exempted from any administrative fee concerning the grievance

and redress.



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8. MONITORING AND EVALUATION

The objective of the EP is to ensure that the subproject is benefiting ethnic minority

communities, and that adverse impacts are avoided, and where unavoidable,

mitigated and compensated.

Internal Supervision

The Nam Tha 5 PMB will record the findings of the supervision in quarterly

progress reports and submit to the provincial Department of Industry and Trade

(DOIT) and the PBs. PBs will carry out their own supervision, and assess if all

project requirements are being met.

The internal M&E will be concentrated on making an examination of 05 major

issues, those are: (i) measures for diminishing negative impacts as presented do

how to implement; (ii) having other negative impact affecting the ethnic minority

people that has not been appraised and defined measures of diminution yet; (iii)

supports for the development of ethnic minority people is presented and how to

implement; (iv) is the supplied information fully or not and does the consulting

process with the ethnic minority people implement or not and its effects; and (v)

process of complaint settlement of the ethnic minority people for the Ethnic

Minority Plan and other problems of which they are meeting with difficulties.

External Monitoring

The AU will, on behalf of MOIT, monitor progress and compliance of

project implementation. A detailed list of monitoring indicators is provided in the

Operational Manual.

Mid Term Evaluation

Additionally, a mid-term review and evaluation will be carried out by an

independent agency, focusing on the way subproject have addressed ethnic

minority issues, lessons learned under this policy, and scope for improvement in

provisions of this policy and procedures.

TOR for independent Mid-term Review and Evaluation are provided in the

Operational Manual.



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9. COST AND BUDGET

9.1 Capital Source

Budget for the EP implementation will be one part of counter-part fund and soured

from developer. The Developer – Phuc Khanh Company will arrange the fund for

implementation of compensation and resettlement, and it is included in the total

investment cost of the Sub-Project

9.2 Cost Estimation

Costs for the EP preparation and implementation, as well as costs for

administration and management, to be estimated for the following items:

o Development Assistances

o Administrative Costs, Contingency.

Because the Nam Tha 5 Hydropower Plant is located nearby Nam Tha 4 one that

has proposed a numbers of development assistance and cost estimate accompanied.

Thus, all proposed activities and its budget for both Nam Tha 4&5 will be

implemented together and at once.

Detailed list of impacts and cost estimation for active areas will be divided into

categories and shown as below:

Table 3: Estimate Cost

No Description Quantity Unit Price

(VND) Amounts (VND)

1 Development Assistances 88,000,000

1.1 Training Course 18,000,000

+ Electric Safety 50 200,000 10,000,000

+ Agriculture Extension 40 200,000 8,000,000

1.2 School Improvement 70,000,000

2 Administration 70,000,000

2.1 External Monitoring 70,000,000

2.1 Contingency 0

TOTAL (1+2) 158,000,000



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ANNEXES

Annex 1: Minutes of Consultation Meeting

Annex 2: On-site Pictures



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Annex 1: Minutes of Consultation Meeting



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Annex 2: On-site Pictures

Picture 1: Consultation Meeting to DPs during

preparation of RP/EP reports Picture 2: The local people expressed their

ideas/opinions to the subproject’s land acquisition

and construction.

Picture 3: Access Road with 02 km length, from

Nam Tha 6 Hydropower Plant to Nam Tha 4,5

Hydropower Plants

Picture 4: Nam Tha Stream in upstream area

Picture 5: Reference to nearby operating Nam Tha 6

Hydropower Plant – Dam Picture 6: Reference to nearby operating Nam Tha

6 Hydropower Plant – Reservoir

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