Resettlement  Reservoir Area  | Multiple Benefits

RESETTLEMENT


Poor Population

The future reservoir area is sparsely populated and about 5,700 people, or approximately 1,000 households will have to be relocated. The resettlement of these villagers onto the shores of the future reservoir will allow considerable improvement Click picture to Viewof their livelihood and those of future generations. Indeed, with a lifestyle based on poor yielding slash and burn agriculture and low return forest product extraction, Plateau dwellers’ current livelihood status is very low, in terms of income, malnourishment and health status. Villagers on the Nakai Plateau have been hoping for relocation and better life to be created thanks to the Project since the beginning of its development, as it is beyond the current financial capacity of the Government to help improving these population’s livelihoods without any external financial assistance. Therefore, both the funding and expertise in social development that is provided by the Project are very much welcomed by the Government and the people..

Resettlement Map (JPG file ~0.5MB)

Pilot Resettlement Top

To help the villagers understand better the kind of life they can expect after resettlement, NTPC has built a pilot village and a small irrigation dam. In addition to the new houses in which 29 families have already been resettled, the village comprises community buildings and is equipped with water and electricity supply. The families of the pilot village are now progressively enjoying a new livelihood based on organized land ownership, permanent farms, and community development. Ultimately, the entire 1,000 families will be re-established in similar locally designed villages, provided with electricity, water supply, schools and kindergartens, clinics and other community infrastructures. In total, 14 villages will be constructed of which 13 will stay in the immediate vicinity of the future reservoir.

 Implementation Commitments

NTPC is legally committed with the Government through the very detailed Concession Agreement, which was prepared in accordance with both Government policy on poverty reduction and ethnic minorities’ development and World Bank guidelines.
NTPC and the Government are required to comply with and implement the resettlement provisions, one of these being that the resettled population must be given every opportunity to have their living standards and income earning capacity improved and be provided with adequate support.
Accordingly, villagers will be fully supported in their choice of a range of livelihood options including irrigated agriculture, commercial forestry, reservoir fisheries, livestock husbandry, handicraft and other small-scale commercial activities. It is anticipated that average annual household incomes derived from these new livelihood activities will rise from its present level of US$ 461 to about US$ 800 by year four of resettlement (this level being the poverty line in the Lao PDR), to over US$ 1,200 in year seven (this level being the current annual income in the Lao PDR). Measures have been taken to ensure that the income from forestry and fisheries accrues in priority. In the early or transition years of the resettlement, there are a number of activities which will provide supplementary income to resettlers, while their new livelihood activities are developing to the stage of stabilisation. Rice supplements will also be provided in the first few years, as a safety net, but at no time will the Government or NTPC actually supplement incomes. Such incomes will derive from both the initial development of new activities (as food or cash for work), and then from the productivity of these new activities.

A detailed grievance procedure is provided to allow any affected persons to seek satisfactory resolution to any grievances they may have relating to the resettlement process and to ensure that:
the basic rights and interests of affected persons are protected;
the concerns of such affected persons arising from the resettlement process are adequately protected; and
entitlement of such affected persons are provided on time and in accordance with the Concession Agreement.

NTPC will make available a special fund as part of the compensation package for, among other uses, the maintenance of the community infrastructures such as schools, clinics, roads, and irrigation systems. In total, over US$ 20 million have been budgeted for population resettlement, equivalent to more than US$ 19,000 per household. This is part of a total US$ 36 million budget for resettlement and compensation.

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