D. Subproject Resettlement Principles
VII. ENTITLEMENTS, ASSISTANCE AND BENEFITS
110. Eligibility. Entitled parties are those whose all or part of their physical and non-physical assets, including houses, productive lands, and resources such as land or fishing areas, or important cultural sites, commercial properties, tenancy, income-earning opportunities, social and cultural networks and activities will be permanently or temporarily affected as a result of the subproject.
111. Types of affected people or entitled parties eligible for compensation and other resettlement assistance under this subproject are as follows:
(i) People with legal rights to land that may be lost in its entirety or part/ landholders.
(ii) People who may lose the land they occupy or utilize in its entirety or in part. The APs include owners of buildings, plants or other objects related to land.
112. Cut-off Date. The cut-off date for the eligibility for compensation and assistance under the subproject will be established. The cut-off date sets the time limits to determine eligibility of people living and/or with assets or interests inside the subproject areas during the period to be counted as affected people. Any people who encroach into the subproject area, or any of its subproject, after the cut-off date, will not be entitled to compensation or any other assistance under the subproject. The cut-off date for eligibility for compensation, assistance and relocation coincides with the date when the Cimanuk Cisanggarung RBO LAIT and West Java Provincial Land Office complete the DMS on affected lands and non-land assets. The cut-off date determination has been informed to the APs and relevant stakeholders during LARP preparation. The official cut-off date will be made known to APs and other stakeholders through public consultation meetings, information disclosure on the village office announcement boards and publication in printed media and online media.
113. Entitlements. An entitlement matrix has been developed for the subproject considering all possible potential impacts of the subproject following the IOL results. The entitlement matrix has been developed in consultation with APs, local communities and relevant agencies in consultation and meeting during LARP preparation. The entitlements on compensation and assistance for the LAR impacts identified and/or arose during the subproject implementation stage cannot be lower than the entitlements in this LARP. The entitlement matrix is described in the table below.
Table 27:Entitlement Matrix
No Types of Losses/ Impacts Eligible People Entitlements Implementation issues
A Loss of land
1 Loss of agricultural and Residential land a Loss of Private Land
(Agricultural land) (16 AHs, 67 APs)
Those with legal rights
(certificate) or those whose land claims are recognized as full rights include people who occupy state land in good faith.
● Cash compensation equal to replacement cost at the time of payment of
compensation; or
● Replacement of land with at least similar attributes to the acquired land in terms of value, productivity, location, and
certification.
● Any taxes and transaction costs are borne to the subproject.
● Financial assistance for the renewal of the land ownership documents (certificate and land documents recognized as full title) for the residual area of the entitled person’s land.
● If the remaining area of the land plot is no longer economically viable (a too-small area or the shape is complex for cultivation), the entitled
parties/landowners may seek compensation for the entire land.
● If the rest of the affected land cannot be used for special use and utilization (less than 100 m²), the entitled party can ask for compensation for the entire land at a replacement cost.
● The independent licensed appraiser will carry out valuation of the lost land during LARP updating.
2 Loss of Government land
a Loss of government land.
- Land owned / controlled by the government agencies and used for operation.
- Land owned/controlled by state owned enterprises/regional state enterprises/village enterprises.
- Village treasury land
● Cash compensation equal to replacement cost and market value at the time of payment of compensation; or
● Replacement of land with at least similar attributes to the acquired land in terms of value, productivity, location, and
certification.
● Any taxes and transaction costs are borne to the subproject.
● Financial assistance for the renewal of the land ownership documents (certificate and land documents recognized as full title) for
● The independent licensed appraiser will carry out the valuation of the lost land affected during LARP updating.
No Types of Losses/ Impacts Eligible People Entitlements Implementation issues the residual area of the entitled person’s
land.
● If the remaining area of the land plot is no longer economically viable (a too-small area or the shape is complex for cultivation), the entitled
parties/landowners may seek compensation for the entire land.
● If the rest of the affected land cannot be used for special use and utilization (less than 100 m²), the entitled party can ask for compensation for the entire land at a replacement cost.
B Loss of Crops and Trees 4 Loss of crops
(2 AHs, 8 APs)
Owners (with certificate or recognizable rights) and period of use of the land.
● Provide opportunities to the AHs to harvest the crops.
Seasonal crops cultivated on land designated for agriculture: Compensation at replacement cost based on prevailing market price equivalent to the harvest value for 2 periods of cropping cycle to 2 years of the net harvest value 12.
● The valuation of lost crops will be carried out by the independent licensed appraiser during LARP updating.
● 60 days advance notice for
harvesting/removal of trees before land clearing.
5 Loss of trees (16 AHs, 67 APs)
Owners, regardless of land tenure status (with certificate or
recognizable rights, informal users) and period of use of the land.
● Timbers/trees: compensation at current market prices based on age, tree species and trunk diameter at breast height.
● For affected fruit trees, compensation at market price of fruits calculated as number of years needed to bear fruit.
● The valuation of lost trees/timbers will be carried out by an independent licensed appraiser during LARP updating.
● The AHs have the right to use salvageable trees.
C Loss of Structures 8 Secondary structures
(1 AHs, 4 APs)
Owners of the affected structure regardless of tenure and period of stay or use of the land.
• Compensation at full replacement cost that reflects prevailing market prices of materials and cost of labor for rebuilding at the time of compensation payment. No depreciation should be applied.
• For partially affected structures, the cost of repairing the residual unaffected
• The valuation of the affected structure will be carried out by an independent and qualified appraiser during LARP updating.
• Minimum of 6 months advance notice for demolition
12 The valuation method for the sessional crops is based on Indonesia Valuation Standard 204 (SPI 2018), ADB has assessed the valuation standard and found this method has been in line with the ADB SPS. The gap identified for SPI 204 is related to depreciation deductions when valuing structures which is not in accordance with the replacement cost principle. However, the SPI also indicates that if principle on “no depreciation” is included in the LARP or based on request of agency needing the land, the depreciation will not apply. This gap has been indicated in the Table of Gap analysis and requirement on no depreciation for the compensation of affected structures has been reflected in the project policy principle and entitlement matrix.
No Types of Losses/ Impacts Eligible People Entitlements Implementation issues portion of the structure in addition to the
compensation at replacement cost for the affected portion.
• Compensation for affected electricity, telephone, and other services based on prevailing cost of disconnection and re- installation.
• All taxes and transaction costs are to be borne by the project.
• Right to salvage the materials.
D Loss of Public Assets 9 Public infrastructure and
facilities/objects attached to the land)
Affected communities and owners of affected utilities
• Rebuild facilities or provide cash compensation at replacement cost based on agreement with affected parties.
E. Loss of Livelihood/Business Income 10 Loss of business
income/livelihood/Loss of permanent jobs / change of profession.
● Business owner regardless of land tenure and period of use of land
● Street vendors
● Employees working for the affected business
establishment.
● Loss of permanent job / change of profession.
● For permanent business loss, such as stalls, and restaurants, cash compensation at 3 months of average potential monthly income to re-establish/stabilize the business including the cost for r permanent workers.
● For private or professional business such as tailor, haircut, carpenter, cash compensation at 6 months of average business income for the last 6 months.
● For employees in displaced business establishment, cash assistance for the period of 3 months at minimum wage rate.
● For temporary business loss by street vendors, cash assistance for the period of business loss at minimum wage rate or alternate location for continuance of vending activity.
● Loss of business income will be assessed by the independent appraiser.
● The prevalent minimum wage rate of the affected area will be considered.
● Potential business income is calculated based on net income plus business cost that should be borne during the relocation such as cost for permanent workers
F Temporary or Permanent Impact on Non-Land Assets During Construction 11 Temporary or permanent
impacts due to construction activities
For those with formal legal rights (certificates) or those whose land claims are recognized as full rights.
● For lease payments of land affected by the contractor based on applicable lease fees and the agreement with the landowner.
● For a temporary impact on productive land, AH can choose compensation for acquired non-land assets (trees/plants, structure, and business income) which are
● The AHs will be provided with advance notice 60 days prior to temporary land use by the contractor.
● This provision shall be included in a contract/ agreement with the Civil Works Contractor.
No Types of Losses/ Impacts Eligible People Entitlements Implementation issues permanently affected will be compensated
at replacement cost.
● The land will be restored to pre-
subproject conditions or even better after utilization by contractor.
● The contractor will be responsible for the lease payment, compensation, and restoration of the land.
12 Those who do not have legal
rights and entitlements that can be recognized as full ownership.
● There are no land rental costs during the period of impact.
● Any damage to crops, trees and / or non- land assets, business income will be compensated at market rate.
. G Other Losses
13 Loss of emotional attachment to assets (solatium)
Entitled parties who lose emotional ties with affected assets (residential structures).
(1 AH, 4 APs)
● Additional compensation of 5 - 30% of total compensation for affected structures.
● Compensation will include transitional living support funding equivalent to 3 months of basic living costs at the poverty line of Kuningan District.
● The percentage of emotional loss compensation will be based on the calculation results of an independent consultant.
● Detailed calculations and solatium coverage are specified in SPI 204.
14 Waiting period compensation (interest)
Entitled parties to receive late compensation payment.
● Cash compensation based on risk-free interest, government bank interest.
15 Assistance for Vulnerable and Severely AHs.
Vulnerable AHs: 1 AH, 5 APs - Household headed by the
elderly: None
- Female-headed household (1 AH, 5 APs)
- Poor households: None - Peoples without legal titles to
the land: None
- Indigenous Peoples: None Severely AHs
Loss more than 10% of productive landholding of the household (16 AHs, 67 APs)
Severely AHs who lose 10% or more of the total
productive/income- generating assets and/or relocation households.
Vulnerable households are (i) households headed by women, (ii) heads of households with disabilities, (iii) households that are below the poverty line, (iv) elderly household heads, (v) landless households, (vi) people without legal title to the land, and (vii) indigenous people or customary communities.
● Be entitled to participate in the Livelihood Restoration Program (LRP) managed by the local government.
● Given opportunity to get a job related to the subproject.
● Project component under the MOHA through the Directorate of
Synchronization of Regional
Government Affairs 1 and Directorate General of Regional Development of Ministry of Home Affair (MOHA), will dedicate to the LRP for the affected households in each sub-project.
● The LRP will be integrated with the social action program of Kuningan District with the support from project component (LRP) under the MOHA.
● Written commitment from the local government will be secured, prior to the approval of LARP/Updated LARP.
Source: TRTA Consultants.
114. Special Measures for Gender Strategy. Gender and vulnerability will be paid attention during LARP updating and implementation. It is expected that women, children, people living with disabilities and the elderly can participate and fully benefit from the rehabilitation and reconstruction interventions supported by the subproject. Thus, the following measures will be observed to ensure women participation in the LARP updating, implementation, and monitoring:
(i) Providing space for the participation of women and vulnerable groups in all the stages of LARP preparation, updating, and implementation. Both women and men will participate during consultations, the conduct of DMS, RCS, LRP, and discussions on relocation options.
(ii) Gender issues will be included in the training to be provided during the resettlement planning document implementation.
(iii) The data obtained through the interviews with the AHs has been classified and analyzed based on gender perspective.
(iv) Women will be given an equal chance in getting hired for jobs related to subproject and to receive equal remuneration for the same work as the men.
(v) Women will be prioritized in the LRP through incentives to be introduced by the RBO in coordination of stakeholders and community representatives.
(vi) Gender-disaggregated monitoring indicators will be developed for monitoring social benefits, economic opportunities, livelihood, and resettlement activities.