E814 V. 2September 30, 2003

INDONESIA: Land Management and Policy Development ProgramEnvironmental and Social Guidelines

September 30, 2003

DRAFT

Contents

1. Environmental Guidelines2. Guidelines for Handling Social Issues3. Indigenous People's Policy Framework4. Involuntary Resettlement Policy Framework5. Participatory Framework

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

INDONESIA: Land Management and Policy Development Program

Environmental and Social Guidelines

September 30, 2003

INTRODUCTION

The overall goal of the project is to contribute to the government programs in achieving povertyreduction, economic growth and promote full utilization of land resources in a sustainablemanner. The proposed objectives of the project are: (i) improve land tenure security and enhancethe efficiency, transparency, and improve service delivery of land titling and registration; and (ii)enhance local government capacity to undertake with great efficiency and transparency landmanagement functions. These objectives will be achieved through: (a) development of landpolicies and related laws and regulations to bring coherence and consistency of laws andregulations related to administration and management of land affairs; (b) institutionaldevelopment and support to the central and local institutions responsible for land administrationand management with a focus on improving service delivery of land offices throughestablishment and monitoring of minimum service standards; (c) accelerating and expanding thesystematic land titling program and developing Land Information System (LIS); and (d) reviewthe experience of local government management of land affairs, provision of training andcapacity building to all local governments in standard operating procedures, and support toselected local governments (around 5) to be a model of how local government can efficiently andeffectively undertake their new functions on land affairs.

The project is classified as Environmental Category "B" because is not expected to have adverseenvironmental or social impacts. These guidelines outline the principles and procedures thatimplementing entities will follow to ensure that project-supported activities comply with theBank's environmental and social safeguards and with the relevant laws of Indonesia.

1. ENVIRONMENTAL GUIDELINES

The project will finance the expansion or construction of about twelve small land officebuildings. The buildings will be expanded or constructed on land already under the control ofBPN or local government or on vacant land. No resettlement will be involved. Other thanconstruction of office space and related facilities, the project will not support land conversion,resource extraction, industrial production or any activity that could potentially damage theenvironment or result in involuntary resettlement. The maximum value of the construction andrelated civil works at any one location will be US$1 million. Construction of the buildings isexpected to have little or no significant, large scale, or irreversible adverse environmentalimpacts. Environmental impacts would arise primarily from poor site management during theconstruction of the buildings. The project is classified as World Bank environmental assessmentcategory "B" because it is not expected to have significant, large scale, or irreversible adverseenvironmental impacts. Policy formulation and institutional development activities (about 25percent the total project cost) will not have direct impacts on the environment and are consideredenvironmental assessment category C. They are not subject to special environmental reviewrequirements. Indonesia's environmental review procedures are generally consistent with theBank's and will form the framework for the project's approach to environmental management.

Basic principles

2

* Construction activities supported under the project should seek to avoid, minimize, ormitigate negative environmental impacts. Those responsible for construction or relatedcivil works will do so by following the guidelines in the project implementation plan fordesign and construction.

* Construction and other project activities will be designed to promote improved practicesof environmental management wherever possible. They may include, for example,drainage systems that minimize negative impacts on nearby wetlands or drinking watersources.

* Measures to avoid, minimize, or mitigate environmental impacts will be included in theproject documents specifying the design and construction of the buildings and thestandard operating procedures to be followed during construction.

.

Project approach with regard to environmental issues

The project has been designed to promote sound environmental management and to mitigatepotentially negative affects arising directly from project activities. Measures include:

Sequencing of systematic titling activities. The project will not provide titles in areas designatedas forest areas, protected areas, the coastal zone, riverbanks, areas of cultural and religioussignificance, or areas for public purposes or public facilities.

Incorporating environmental input into land policy formulation. Wherever appropriate, the landpolicies and regulations being developed under the project will include input from the ministriesof environment and forestry and from nongovernmental organizations with an interest in soundenvironmental management and in environmental protection. The Ministry of Environment willbe a member of the national land committee that is responsible for formulating land policies andregulations. The three ministries managing natural resources (ministry of forestry, ministry ofmining, and the ministry of agriculture) will also be members. NGOs concerned with theenvironment will be invited to the public consultations and focus group discussions intended tobuild consensus on the national land policies.

Ensuring that construction of buildings complies with World Bank social and environmentalsafeguards. The project will support rehabilitation or construction of about 12 land officebuildings. The buildings construction would take place only on vacant state land and state-ownedcompounds or land purchase through commercial transactions. Government would not useeminent domain to obtain land and land that is squatter living on it. If there is no other option toobtain land, and as a last resort and with prior approval by the Bank, the government would seekBank approval to build the building on state land occupied with squatters. Before constructionstarts, The affected people should get the real replacement cost for building and the project shouldprepare a simple LARAP (the form provided by WBOJ). No people will be involuntarily resettledunder project-supported activities. All buildings will be designed and constructed in accordancewith sound architectural and engineering practices. Care will be taken during construction tocontrol dust and noise, provide appropriate sanitation facilities for workers and protect workersafety, and dispose of solid waste appropriately. Proposals for civil works will contain a plan forminimizing and mitigating environmental impacts. Local environmental entities will review all

3

proposals for construction of buildings and civil works in accordance with the normalenvironmental assessment processes.

Encouraging local governments to include environmental representations in stakeholderconsultations. Through its support to local governments, the project will encourage localgovernments to include NGOs concerned with the environment to participate in the stakeholderforums regarding matters such as the issuance of location permits, opening of new lands, and landuse planning. These functions of local government all have implications for the environment, anddecisions should not be made without understanding clearly those implications.

Monitoring and evaluating the impact of the project on the environment. Most of the positiveenvironmental impacts of the project will result from strengthening security of tenure and fromdeveloping policies that reflect concerns for improved environmental management. The keyoutput indicators include the number of policies developed with environmental input. It is notexpected that outcomes, such as evidence of improved environmental management will bemeasurable during the project lifetime. It is expected that the project's environmental impactswill ultimately be measurable through monitoring of environmental indicators regularly carriedout by the Indonesia Ministry of Environment.

Environmental screening procedures

The bapedalda, the local government agency responsible for environmental impact assessment ofprojects with strictly local impacts, will screen all proposals for construction and civil works inaccordance with the screening criteria established by the government. The initial classificationwill be based on the characteristics of the construction site, the scale of construction, and thenature of the surrounding area. Depending on its potential impacts, the bapedalda will place theproject into one of four categories in accordance with the criteria of the Government of Indonesia:

1. Projects requiring a full environmental assessment in accordance with Indonesianregulations. No projects are expected to fall into this category.

2. Those requiring environmental management and monitoring plans. The Ministry ofSettlement and Regional Infrastructure has set criteria for projects requiring such plans. Mostconstruction activities to be supported under the project are expected to fall into this category.

3. Those for which generic good practice, following standard operating procedures willapply. Some projects may fall into this category.

4. Those requiring no environmental study, where no construction, disturbance of land orwater, or discharge of pollutants is involved. No construction activities willfall under thiscategory.

Government screening criteria for construction of apartments and office buildings

According to KEP- 1 7/MENLH/200 1 (concerning types of businesses activities required tocomplete an environmental impact assessment) the following rules apply for construction ofapartments and office buildings:

A full environmental assessment (ANDAL) is required for buildings:

* Covering a land area greater than or equal to 5 hectares

4

* Having a floor area per building greater than or equal to 10,000 square meters.

Under Kepmen Kimpraswil- 1 7/KPTS/2003 (concerning decisions on types of activities in thefield of public works that are required to prepare UPL and UKL) site-specific environmentalmanagement and environmental monitoring plans (UKL/UPL) are required for all buildings:

* Having a floor area less than 10,000 square meters.

All the buildings to be constructed under the project are expected to have a floor area less than10,000 square meters. Some of the construction activities are likely to be the addition of a roomor two to existing buildings, for which a UKL/UPL will not be required. Standard operatingprocedures will be used instead.

Environmental management

The project implementation plan will contain a matrix of likely environmental impacts related toconstruction of buildings, and the steps to be followed with which to avoid, minimize, or mitigatethem. Standard operating procedures will include measures applying to construction in general,such as measures to control dust, noise, and traffic at construction sites and guidelines forcontrolling erosion.

The entities responsible for implementing the construction activities, whether local government orlocal offices of BPN, will be responsible for preparing the environmental management andenvironmental monitoring plans (UKL/UPL), where required. They will also be responsible forensuring that the measures specified in the UKL/UPL are incorporated into the designs,construction contracts, and post-construction operating procedures, as appropriate. Theappropriate central level project management unit (BPN or of the Ministry of Home Affairs)through the project-financed consultant will review the final construction proposals to ensure thatthey are in compliance with the guidelines. Proposals for buildings and related civil workscosting over US$150,000 will in any case be submitted to the Bank for prior review and finalapproval, giving the Bank a chance to review and approve the proposed environmentalmanagement and environmental monitoring plans. Smaller projects will be subject to post-implementation review.

The implementing entities will be responsible for supervising construction and ensuring that theconstruction is in compliance with the agreed measures to minimize and mitigate negativeenvironmental impacts, whether based on the UKL/UPL or on the standard operating proceduresas laid out in the project implementation plan. The appropriate central project management unitthrough the project-financed consultant will check on the performance of the local-level entitiesin fulfilling their responsibilities by randomly checking the construction sites.

Bank supervision missions will randomly visit construction sites and those responsible forimplementing the projects to ensure that the projects comply with the national laws regardingenvironmental impact assessment.

MonitoringThe environmental impact of the project would be assessed through the socio-economic andenvironmental impact assessment to be undertaken under the project. Environmental indicatorswould include: (i) conversion of land from agriculture to non-agriculture use; (ii) change inintensity of agriculture input; and (iii) effectiveness of coordination in urban planning.

5

6

2. GUIDELINES FOR HANDLING SOCIAL ISSUES

Basic principles

* No group should be left worse off because of the project than without it. Care willtherefore be taken to reach women, the poor, and vulnerable and marginalized groups toensure that they benefit fully from the project.

* No project-supported activity should have any adverse impact on indigenous people.

* No households should be involuntarily resettled. The government would not use eminentdomain to obtain land for the construction of land office buildings;.

* Accountability and transparency with respect to the use of project funds;.

Project approach with regard to social issues

The project has been designed to ensure that women, the poor, and marginalized groups benefitequally from the project and that no groups left worse off because of the project. Details follow.

Incorporating measures to ensure that women and men benefit equally from the project. Theproject has been designed to ensure that women are not disadvantaged through land titling ofland. Adjudication teams and NGOs contracted under the project to facilitate communityparticipation will be instructed to clearly explain to both men and women the advantages of titlingland purchased after marriage in the names of both husband and wife and of the wife's right tohave her name included on the title. They will also be required to invite both men and women toall meetings related to systematic land titling, and to organize special meetings for women andvulnerable group to ensure that women and vulnerable group have opportunities to ask questionsand voice concerns. .

In the development of land policies, NGOs focusing on women's rights and on the vulnerablegroup's rights will be invited to participate in the public consultations and the focus groupdiscussions. Representatives of women's interests and vulnerable group's interest will also beinvolved in participatory land use planning and any other activities being undertaken withcommunity participation.

Ensuring the participation of stakeholders in allproject activities. The project will financepublic consultations with stakeholders in developing national land policies. It will also financethe contracting of NGOs, whenever feasible, to facilitate community participation in thesystematic titling program (component 3). They will carry out activities such as raisingawareness of the program, conducting village tenure profiles, entering field data into theregistration database, analyzing registration records, producing consolidated village land files,and informing communities of the importance of registering subsequent transactions of titled landand explaining how to do so. The project will provide the selected NGOs with training inparticipatory techniques to ensure that they reach both women and men, members of marginalizedgroups, and the poor.

The project will also finance the contracting of NGO or an academic institution to independentlymonitor the performance of BPN in implementing the systematic land titling program and of local

7

governments in carrying their responsibilities with regard to land management. This annexcontains the detailed participation framework.

Ensuring the project benefits the poor. The project will include several elements intended toensure that the poor benefit fully from the project. The first is to include poverty indicatorsamong the criteria for selection of areas to be covered under the systematic land titling program.The previous Land Administration Project required that the areas to be covered have a majority oflow income households. This worked well, and the proposed project will follow the sameapproach. The second element is to train NGOs and adjudication teams in measures designedspecifically to reach the poor.Encourage the establishment of stakeholder forums and other mechanisms at the local level tofacilitate participation in decisions on land issues. The local governments are responsible fornine functions in relation to land issues, according to the Presidential Decree 34 signed on May31 2003. These nine functions are (1) issuance of location permits, (2) provision of land for thepublic interest, (3) settlement of disputes regarding cultivated land, (4) resolution ofcompensation for land allocated for development, (5) determination of subject and object of landredistribution and compensation for excess land, (6) determination and resolution of conflictsregarding ulayat (communal) land, (7) resolution of problems regarding neglected land, (8)provision of permits to open new land, and (9) land use planning within the jurisdiction of thelocal government. Local government will require considerable stakeholder input if they are tocarry out these functions successfully. The project through component 5 (support to localgovernments) will assist local governments in establishing and maintaining participatoryprocesses through which consensus on land matters can be built. These will include stakeholderforums involving representatives of government, academia, the private sector, NGO, investors,real estate interests, and others as appropriate.

Supporting the development of conflict resolution mechanisms. The project through component 5(support to local governments) will support on a demand-driven basis the piloting of alternativedispute resolution mechanisms to enable parties to resolve disputes without resorting to costlyand time-consuming legal proceedings. These may include establishment of local land disputeresolution councils, ulayat land management entities, or other bodies that will directly engagedisputants in producing and implementing plans and rules and solving problems.

Supporting the development ofpolicies for recognizing and registering adat land rights. Theproject through component 1 will support the development of national policy on the recognitionand distribution of adat and / ulayat land. Support may also be given to define the boundaries ofadat and ulayat land and to register the land rights through such activities as community profilingand the convening of stakeholder forums. The project will not title land in areas with adat andulayat land claims until consensus on the boundaries has been reached among the stakeholders.

Supporting the development of land distribution policies. The project through component 1 willsupport the development of a national policy on distributing state land to households who areeither already settled on and cultivating the land or are lacking sufficient land to supportthemselves. The project through component 5 will support local governments in developingregulations and procedures to determine the subject and object of land redistribution and to setcompensation for excess land.

Procedures

8

Ensuring that no land whose ownership is unclear or in dispute is titled. To ensure that no suchland is titled, a broad public awareness campaign will be undertaken by both the projectimplementing agencies (BPN or the Ministry of Home Affairs) and by the NGOs that arecontracted by the project to facilitate community participation. An additional layer of oversightwill be provided by NGOs contracted to independently monitor project implementation.Following adjudication, a map showing the boundaries of individual plots and the names of theirowners will be posted in several prominent places in the community for a period of no less than30 days. The information will also be disseminated through other means, such as through radioor presentation at a village meeting. People who disagree with the findings shown on the mapwill be able to lodge their complaint with both the NGO and with the adjudication team workingin the community without charge. They will work with the necessary authorities to correct simplemistakes. When the complaint involves a dispute between parties rather than a simple mistake,the parties will be encouraged to settle their disagreements through normal channels. Experiencefrom the previous Land Administration Project shows that people are often able to reachagreement when motivated to do so by the opportunity of receiving a title to land at low cost.

Raising community awareness and participation. A weakness in the earlier Land AdministrationProject were its community awareness and community participation activities. Participation andcommunity awareness will be significantly strengthened in the proposed project. NGOs will becontracted to work directly in communities that are participating in the systematic land titling toboth publicize the program to the community as a whole and to ensure that the poor, thedisadvantaged, women, and marginalized and vulnerable groups participate and benefit fully fromthe project. Brochures and other means of dissemination on procedures, requirements, costs,mechanisms for resolving complaints, women's rights to title under the law and the like will beproduced and provided to both NGOs and to community leaders (lurah, rukan tetangga, andrukun warga), who will be expected to distribute them and provide information to communitymembers.' Additional details on the project's participation framework and activities arepresented at the end of this set of guidelines.

Ensuring transparency and accountability. Beneficiaries of the project have the right to knowhow much they will have to pay to obtain titles and how long the process will take under both thesystematic and sporadic titling programs. All fees for titling (whether for sporadic or systematictitling) will be posted in the national and local BPN land offices. Fees for systematic titling willbe posted in participating communities, included in information materials, and announced by theNGOs contracted to facilitate community participation. NGOs contracted to independentlymonitor the implementation of the project will pay special attention to the adherence of BPN tothe agreed fees and charges and to the performance standards. They will compile a report withtheir findings every six months and send it to the implementing agencies copied to the Bank. Asocial assessment to be undertaken at the mid-term of the systematic land titling program, and animpact evaluation to be undertaken at its conclusion will thoroughly explore the issues of chargesand fees and overall performance of the implementing agencies. Measures will be takenimmediately if irregularities are found.

Handling grievances. The project will support the handling of grievances in two ways. First, itwill support the operations of an internal monitoring and evaluation unit of BPN. The unit will beresponsible for handling complaints and grievances submitted by individuals or groups to localoffices or directly to the central office. Second, it will support independent external monitoring

' A lurah is head of an urban kelurahan, a rukan tetangga is head of a neighborhood group, and a rukunwarga is head of a neighborhood association.

9

of the implementation of the project by contracting NGOs or an academic institution for thispurpose.

Titling land outside of Java. The proposed project will not title land in rural areas outside ofJava. It will title only land for which claims are not in dispute. Title will given only to individualhouseholds and not to any government entity, to a business, or to a community as a whole.

CREATING LAND TENURE PROFILES. To ensure that no individual title is issued in adat land; theproject will finance the training and work of NGOs to facilitate the development of communityland tenure profiles. The profiles will show the boundaries of adat land, past and presentadministrative boundaries, and land for which rights are in dispute along with the nature of thedispute (between family members, between communities, between communities and agovernment entity, or between other disputants).

Reporting

Periodic progress reports will include a review of the performance of the adjudication teams andthe NGOs in ensuring that all members of the communities involved in systematic titling are ableto participate in the program. They will also include a summary of the nature of complaintsreceived and the steps that were taken to address them.

10

3. INDIGENOUS PEOPLE'S POLICY FRAMEWORK

Policy framework

The population of Indonesia consists of hundreds of culturally and socially distinct ethnic groups,many of which communicate in unique local languages. A particular ethnic group may constitutethe majority or a large proportion of people in one area, but in another represent a vulnerableminority. A rigid system cannot therefore be used to identify the groups covered under theBank's operational directive on indigenous peoples (OD 4.20). Rather, the policy applies toculturally distinctive groups that are vulnerable and marginalized according to both selfassessment and the judgment of those who are not members of the community.

Project approach with regard to vulnerable, marginalized indigenous groups

The project has been designed to protect the rights of vulnerable, marginalized indigenous groupsin several ways. Land titling will only be done on Java, except Badui area in Banten Provincewhich has location with IP and which is an area within the clear boundaries of a forest. Off Javait will not support titling in rural areas, where most of the vulnerable and marginalizedcommunities are located. Neither on or off Java will it support titling where ownership claims toland are unclear or contested. Thus, it will not provide title to lands that are claimed byindigenous people, any government entity, or a community. The project will support thedevelopment of a policy through a highly participatory process on methods for future formalrecognition and registration of adat lands and adat rules for allocating and managing land.

Formulation of a policy and regulatory instruments for the recognition and registration of adatland. The project will support the formulation of policy and regulatory instruments forrecognizing and registering adat land. Policy development would start with the preparation ofdiscussion paper by experts on adat land rights. Consultations workshops will be undertaken withall stakeholders, including members of adat communities, NGOs, academia, other interestedparties. Draft policy will be prepared using the discussion papers and the comments collectedduring the consultation process. The draft policy paper will be circulated for comments for notless than 30 days. The draft policy will be revised taken into consideration the commentsreceived. The draft policy will be submitted to government for adoption.

Supporting the development ofprocedures for recognizing and registering adat land rights. Theproject through component 5 will assist local governments on a demand-driven basis to developregulations and procedures to recognize and register adat and ulayat land rights. Support mayalso be given to define the boundaries of adat and ulayat land through such activities ascommunity profiling and the convening of stakeholder forums. The project will not title land inareas with adat and ulayat land claims until consensus on the boundaries has been reached amongthe stakeholders.

Creating land tenure profiles. To determine eligibility of land for titling, the project will financethe training and work of NGOs to facilitate the development of community land tenure profiles.The profiles will show the boundaries of adat land, past and present administrative boundaries,and land for which rights are in dispute along with the nature of the dispute (between familymembers, between communities, between communities and a government entity, or betweenother disputants). The product of the exercise will be a land tenure profile which will identifyclearly if there is any customary land tenure issue in the area.

11

4. INVOLUNTARY RESETTLEMENT POLICY FRAMEWORK

Policy framework

The project will be in full compliance with the Bank's operational policy on involuntaryresettlement (OP 4.12), the policy framework that applies to the project.

Project approach with regard to involuntary resettlement

The project will not involve land acquisition. Land office construction would take place only onvacant land and state-owned existing compounds or land purchase through a commercialtransactions. Government would not use eminent domain to obtain land and land that is squatterliving on it. If there is no other option and that the government need to build the land offices onstate land occupied with squatters, then the government need to seek approval by the Bank first. Iffound justified, then the government should restore the shelter and livelihood to at least equallevel to the affected people before Bank can issue no objection for the project to proceed.

To protect squatters from eviction, the project will not issue titles to state land, unless thegovernment want to title the land in the name of the squatters who live on it.

The project will follow a fully participatory approach, including posting public notices in villagesfor at least 30 days, to ensure that the rightful owners of the land receive title.

The project will not issue titles in the name of the State where people live on land so that it doesnot endanger those people.

12

5. PARTICIPATORY FRAMEWORK

Public participation will be essential elements of project activities, but will be handled differentlydepending on the executing entity and the nature of the activity. The processes to be followed fordevelopment of the national land policy, the systematic titling program, and support for localgovernments are described below.

Development of land policies

Principles

* The public consultations should seek to gather the input of as wide a range ofstakeholders as possible to ensure that the national land policy truly represents a nationalconsensus.

* The public consultations should be conducted in a way that ensures all are able toparticipate fully. This means that should be conducted in local languages and withprofessional facilitation.

* The content of the consultations should be available to all. Therefore a summary of theresults of the individual consultations should be published in the local and nationallanguages.

Organization

A secretariat will be established under BAPPENAS that will be responsible for the daily tasks ofproducing drafts of the various land policy papers and in conducting public consultations. Thesecretariat will include specialists in law, urban planning, agriculture, natural resourcemanagement, and the social sciences. It will also include a public communications specialist. Anadvisory panel of local government representatives (such as the Association of Bupatis) andnongovernmental experts (such as the Association of Real Estate Agents, the Consortium onNatural Resources Protection, Agrarian Reform, Association of Indigenous Peoples in theIndonesian Archipelago) will be created to advise the secretariat.

The secretariat will also contract regional facilitators and resource persons who expertise in landaffairs, natural resource management, urban planning, public affairs, or other relevant area. Eachregional facilitator will be responsible for the publicity, the running of the workshops, andsynthesizing the results of the consultations. The regional facilitators will also be responsible forcontracting individuals or organizations to undertake focus groups discussions. Some focusgroup discussions will involve special interest groups, such as environmental NGOs, and otherswill comprise ordinary people.

The consultation process will involve all key stakeholder groups. These include central and localgovernment officials representing the ministries of agriculture, forestry, justice, home affairs,economic planning, finance, mining, environment, defense, and others. The consultations willalso involve NGOs (including those focusing on the environment, women, and adat land rights),and the private sector. To ensure that the consultations capture the views of the population ingeneral, various mechanisms for consultation will have to be pursued simultaneously, includingworkshops, focus group discussions, and requests for comment through the media.

13

Steps

The public consultations will comprise the following steps:

Consultations on the draft discussion paper on land policy. The LMPDP coordinatingcommittee has prepared a discussion paper on national land policy that addresses issues of landadministration, use, and management, and lays out policy options with their implications. Thedraft discussion papers will then be published in newspapers, and broadcast over radio, television,and through other local media. Workshops and focus group discussions intended to obtain theviews of as many stakeholder groups as possible will be held in various regions of the country.Once the consultations have been completed, the LMPDP coordinating committee will develop adraft national land policy.

Consultations on the national land policy. Once the draft land policy paper is ready it will bedisseminated through newspapers, radio, television, and other local media. Six regionalworkshops will be held, one each in Indonesia's major regions. Two national-level workshopswill also be held.

Finalization and adoption of the national land policy. The secretariat will incorporate changesin the national land policy, reflecting the consensus that has been reached through the nationaldialogue. The national land committee will submit the final document to the cabinet for adoption.

Systematic titling

NGOs will be contracted to inform communities of the systematic land titling program and tofacilitate the participation of community members in it. Specifically, NGOs will visit the villagesprior to adjudication to disseminate information about the program and facilitate meetingsbetween the villagers and BPN called to explain the program. NGOs will focus groupsdiscussions and workshops to explain the project objectives, rationale and benefits, fees andcharges, and the forms, the costs, the procedures and legal rights to the communities. They willmake special efforts to ensure that women, the poor, and disadvantaged groups participate in thegeneral meetings. They will in addition organize separate meetings with such groups, so thatpeople who may otherwise be silent have the opportunity to ask questions and voice concerns.NGOs will also assist in the preparation of community land profiles to define plot boundaries, andto identify any existing land disputes. A standard form for gathering the data will be developedduring the pre-implementation period. Data will be entered into a computerized database for easyreference and use. NGOs will also ensure that the results of the adjudication are posted in severalprominent places in the community for a minimum of 30 days. They will assist communitymembers in lodging complaints and grievances with the proper authorities and to follow-up whennecessary.

Support to local governments

Success of local governments in carrying out their nine functions will depend critically on theirability to build consensus of local stakeholders through participation on the actions to take. Theproject will support the establishment and operation of participatory processes in each of thejurisdictions where it is supporting local governments. Two of the five local governments that theproposed project will support are also being supported under the Bank-financed K-GRIP project.In these communities, stakeholder forums are being created and local laws regarding participationbeing prepared and adopted. The LMPDP will link with the K-GRIP to reinforce theparticipatory processes and institutions established under that project. In the other communities,

14

the project will assist local governments in instituting participatory processes that ensure that thediverse views of stakeholder groups are taken into account in all local decisions regarding landmatters. It will therefore assist local government in organizing and running stakeholder forumsinvolving representatives of government, academia, the private sector, NGOs, local communities,investors, real estate interests, and others as appropriate. It will also assist with recording andpublishing the results of meetings, and in instituting other processes that help to build publicconsensus for action.

15