RAP Aluto Geothermal Sector Development Project FINAL Dec 2019

The Federal Democratic Republic of Ethiopia
ETHIOPIAN ELECTRIC POWER
ALUTO GEOTHERMAL PROJECT
RESETTLEMENT ACTION PLAN

November 2019
Prepared by:
ALUTO GEOTERMAL ESMT
Aluto, Oromia Region, Ethiopia August - 2019
EEP Aluto Geothrmal Project
Project Title: ALUTO GEOTHERMAL PROJECT

Project Site: Aluto, Oromia Region, Ethiopia
Report Ref: Resettlement Action Plan
Issued By: Ethiopian Electric Power
Document Production / Approval Record

REV. n. 00 Name Signature Date Position
1. Mr. Hundessa 1. Social Expert
Prepared by Bekele (Team
Leader) 2. Social Expert
2. Ms. Helen Ewnetu 3. Environmental
(member) Expert
15/08/2019
3. Mr. Ayele Banjaw
(member) 4. Environmental
4. Mr. Zinna Terefe Expert
Document Review Record

Review Date Version details Reviewed/finalized by
00 06/08/2019 Original Issue ELC-Electroconsult
01 15/08/2019 Revision 01 upon WB ELC-Electroconsult
comments
02 08/10/2019 Revision 02 upon WB ELC-Electroconsult
comments

Resettlement Action Plan Rev.02
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Table of Contents
1 EXECUTIVE SUMMARY.................................................................................................................................
2 INTRODUCTION.............................................................................................................................................
2.1 Project Background..........................................................................................................................................
2.2 Objectives of the RAP.....................................................................................................................................
2.3 Approach and Methodology............................................................................................................................
3 PROJECT DESCRIPTION...............................................................................................................................
3.2 Water Supply System.......................................................................................................................................
3.3 Access Roads...................................................................................................................................................
3.4 Camp Construction..........................................................................................................................................
3.5 Casing Storage.................................................................................................................................................
3.6 Preparatory Works for Drilling Pads...............................................................................................................
3.7 Summary of Land Requirement and Impacted HHs.......................................................................................
3.8 Project Schedule...............................................................................................................................................
3.9 Labour Requirements.......................................................................................................................................
3.10 Operation and Maintenance...........................................................................................................................
4 CENSUS SURVEY AND BASELINE SOCIOECONOMIC STUDY............................................................
4.1 Demographic Characteristics...........................................................................................................................
4.2 Religious and Ethnic Composition..................................................................................................................
4.3 Socio-economic Characteristics..............................................................................................................
4.4 Settlement Pattern and Housing Conditions of the PAHs...............................................................................
4.5 Landholding.....................................................................................................................................................
5 PROJECT IMPACTS........................................................................................................................................
5.1 Permanent Loss of Residential Land - Displacement......................................................................................
5.2 Permanent Loss of Agricultural Land..............................................................................................................
5.3 Permanent Loss of Crops and Trees................................................................................................................
5.4 Impact on Other Structures, Business Premises..............................................................................................
5.5 Impact on Assets of Public/Community Institutions and Cultural Heritage...................................................
5.6 Impact on Communal Property Resources......................................................................................................
5.7 Impacts on Female-headed Households..........................................................................................................

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5.8 Impacts on Vulnerable Groups........................................................................................................................
5.9 Summary of Land Acquisition Key Issues......................................................................................................
5.10 Classification and Categorization of PAHs...................................................................................................
6 LEGAL AND POLICY FRAMEWORK..........................................................................................................
6.1 The Constitution of Ethiopia............................................................................................................................
6.2 Environmental Policy of Ethiopia....................................................................................................................
6.3 Land Ownership Policy in Ethiopia.................................................................................................................
6.4 Legislation on Expropriation of Land and Compensation Proclamation No.455/2005..................................
6.5 FDRE Council of Ministers Regulation No. 135/2007...................................................................................
6.6 Proclamation on Rural Land Administration and Land Use, No. 456/2005...................................................
6.7 Oromia Rural Land Use and Administration Proclamation No. 130/ 2007....................................................
6.8 Proclamation on Research and Conservation of Cultural Heritage.................................................................
6.9 National Policy on Women..............................................................................................................................
6.10 World Bank Operational Policy on Involuntary Resettlement (OP 4.12).....................................................
7 INSTITUTIONAL FRAMEWORK..................................................................................................................
7.1 Introduction......................................................................................................................................................
7.2 Inter-Agency Coordination..............................................................................................................................
7.3 Expected Responsibilities of the Participating Agencies................................................................................
7.4 Institutional Arrangement at Local Level........................................................................................................
8 ELIGIBILITY....................................................................................................................................................
8.1 Entitlement Matrix...........................................................................................................................................
9 VALUATION AND COMPENSATION FOR LOSSES.................................................................................
9.1 Parameters and Applied Rates and Guidelines for Compensations................................................................
Asset Valuation and Estimates of Compensations for PAPs.................................................................................
Compensation Procedures and Approach..............................................................................................................
9.2 Methodology in Valuing Asset Losses............................................................................................................
9.3 Valuation for Loss of Houses..........................................................................................................................
9.4 Valuation for Permanent Loss of Agricultural Land / Crop Loss...................................................................
9.5 Valuation for Loss of Trees.............................................................................................................................
10 LIVELIHOOD RESTORATION MEASURES................................................................................................
10.1 Introduction....................................................................................................................................................

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10.2 The Need to have Livelihood Restoration Plan.............................................................................................
10.3 PAPs losing more than 20% of Land.............................................................................................................
10.4 PAPs below Poverty Line..............................................................................................................................
10.5 Scope and Strategic Framework of LRP.......................................................................................................
10.6 The Output of the Assessment.......................................................................................................................
10.7 Tentative Schedule of LRP............................................................................................................................
10.8 Tentative Budget............................................................................................................................................
11 COMMUNITY PARTICIPATION...................................................................................................................
11.1 Stakeholder Lists............................................................................................................................................
11.2 Consultation Methods..................................................................................................................................
11.3 Consultation with Affected Parties..............................................................................................................
11.4 Consultation with Oromia Forest & Wildlife Enterprise (OFWE).............................................................
11.5 Consultation with FDRE Rift Valley Lakes Basin Authority (RVLBA)....................................................
11.6 Consultation with Project Affected People at Abey Deneba Rural Kebele................................................
11.7 Consultation Meeting at Aluto Kebele........................................................................................................
11.8 Major Finding of the Public Consultations..................................................................................................
11.9 RAP Disclosure and Clearance....................................................................................................................
11.10 Consultation Schedule...............................................................................................................................
12 RAP IMPLEMENTAION SCHEDULE.........................................................................................................
13 COSTS AND BUDGET..................................................................................................................................
13.1 Compensation Payment...............................................................................................................................
13.3 Project Management and Running Costs.....................................................................................................
14 GRIEVANCE REDRESS MECHANISM......................................................................................................
14.1. Project GRM Procedure..............................................................................................................................
14.2. Special Procedures to Address Issues Related to GBV..............................................................................
14.3. Responsibilities of the Woreda GRC..........................................................................................................
14.4. World Bank’s Corporate Grievance Redress Service (GRS).....................................................................
14.5. Public Disclosure of RAP...........................................................................................................................
15 MONITORING AND EVALUATION...........................................................................................................
15.1 Introduction..................................................................................................................................................
15.2 Purpose of Monitoring.................................................................................................................................

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15.3 Monitoring Framework (Internal and External)..........................................................................................
15.4 Internal Monitoring......................................................................................................................................
15.5 External Monitoring.....................................................................................................................................
15.6 Monitoring Plan...........................................................................................................................................
15.7 Monitoring Indicators..................................................................................................................................
15.8 Reporting Requirement................................................................................................................................

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LIST OF FIGURES
Figure 3.1.1 General layout of the Project
Figure 3.2- 1 Water Pipeline System..........................................................................................................................
Figure 3.3- 1 Access Roads Layout.............................................................................................................................
Figure 4.4- 1 Settlement Pattern of PAHHs................................................................................................................
Figure 5.1.1 Affected Houses (Tukul)........................................................................................................................
Figure 11.6-1 Public Consultation Meetings at Abey Deneba Kebele........................................................................
LIST OF TABLES
Table 3.3-1 Access Roads Main Features..................................................................................................................
Table 3.7-1 Impacted Households............................................................................................................................
Table 4.3-1 Total Annual Expenditure of PAH...........................................................................................................
Table 4.5-1 List of HHs without Legal Land Ownership Certificate (formerly informal settlers)...................................
Table 4.5-2 Summary of Inventory of Houses and Assets...........................................................................................
Table 5.8-2 Name of Affected Households and type of Vulnerability.........................................................................
Table 5.10- 1 AHs Categorization per type of losses...................................................................................................
Table 7.4-1 Members of Resettlement Implementation Committee..........................................................................
Table 7.4-2 Members of Property Valuation Committee by Woreda.........................................................................
Table 7.4-3 Members of Grievance Redress Committee by Woreda...................................Error! Bookmark not defined.
Table 8.1-1 Entitlement Matrix.................................................................................................................................
Table 11.3- 1 List of Consultation with Affected Parties...........................................................................................
Table 12.1- 1 RAP Implementation Schedule...........................................................................................................
Table 13.2- 1 Types and Cost of Community Services.................................................................................................
Table 15.7- 1Monitoring Indicators.........................................................................................................................
Table 0- 2Monitoring Indicators..............................................................................................................................
Table 15.8-1 Reporting Checklist............................................................................................................................
ANNEXES
ANNEX A – PROJECT MAPS

ANNEX B – LIST OF HOUSEHOLDS TO BE COMPENSATED
ANNEX C – ASSETS EVALUATION
ANNEX D – CONSULTATION RECORDS
ANNEX E – RAP TEAM COMPOSITION
ANNEX F – RAP IMPLEMENTATION SCHEDULE
ANNEX G – PAP APPROVALS / CUT-OFF DATE
ANNEX H – SOCIO ECONOMIC QUESTIONNAIRES AND TABULATED DATA
ANNEX I – TEMPORARY LEGAL LAND OWNERSHIP CERTIFICATE
ANNEX J – LIST OF AFFECTED HOUSEHOLDS BELOW THE POVERTY LINE
ANNEX K - COMMUNITY DEVELOPMENT DETAIL BUDGET BREAKDOWN
ANNEX L- LETTER-ADAMITULU JIDO KOMBOLCH-DISASTER RISK MANAGEMENT
OFFICE

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LIST OF ACRONIMS
AAC Arbitration Appraisal Committee

AGP Aluto Geothermal Project
AHs Affected Households
CDP Community Development Plan
EEP Ethiopian Electric Power
EEU Ethiopian Electric Utility
EPs Eligible Persons
ESMT Environmental and Social Management Team
FDRE Federal Democratic Republic of Ethiopia
GoE Government of Ethiopia
GRC Grievance Redress Committee
GRM Grievances Redress Mechanism
GPS Global Positioning System
HH Households
HIV/AIDS Human Immune Deficiency Virus /Acquired Immune Deficiency Syndrome
IDA International Development Association – World Bank
IPM Internal Performance Monitoring
Kg Kilo Gram
KV Kilo Volt
KW Kilo Watt
MEFCC Ministry of Environment Forest and Climate Change
MoWIE Ministry of Water Irrigation and Energy
NGO Non-government Organization
OFWE Oromia Forest & Wildlife Enterprise
PAPs Project Affected People
PAHHs Project Affected Households
PACs Project Affected Communities
PIU Project Implementation Unit
RIC Resettlement Implementation Committee
RVLBA Rift Valley Lakes Basin Authority
SREP Scaling up Renewable Energy Program in low Income Countries
WB World Bank
WEEE Waste form Electrical and Electronic Equipment
WRCs Woreda Resettlement Committees

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1 EXECUTIVE SUMMARY
INTRODUCTION
With an estimated population of over 100 million in 2015, Ethiopia is the second most
populous country in Africa. Forecasts of population growth predict a doubling of the
population before the year 2035. The country has one of the lowest levels of annual energy
consumption per capita in the world and majority of the population survives in conditions of
relative poverty and energy insecurity. Sustained economic growth that was achieved during
the past several years and the ambitious Growth and Transformation Plan (GTP II) that was
launched in 2015 suggests that the nation’s economy is poised for uninterrupted growth over
the years and even decades to come. Growth in construction and manufacturing sectors is
driving demand for electricity at an annual rate of about 20%. The plan aims to achieve an
annual average real GDP growth rate of 11% within stable macroeconomic environment while
at the same time pursuing aggressive measures towards rapid industrialization and structural
transformation. Under GTP II, Ethiopian Electric Power (EEP) plans to increase electricity
coverage from the existing 32% to 61% and the number of customers from 2.5 million to 7.0
million. The plan also realized that export sales of energy could provide an attractive long-
term development opportunity. All of these mean that Ethiopia needs to expand its electricity
production capacity several fold to fuel its growing economy as well as expand its population’s
access to electricity
Ethiopian’s electricity generation mainly depends on hydropower, which represents about 90%
of the countries’ installed capacity. As the energy generation from hydropower varies
seasonally; the EEP plans to diversify its power generation system from other renewable
energy sources (wind, solar, biomass, geothermal, etc.).
The actual Aluto Geothermal project intends to further develop the Aluto prospect potential in
order to acquire an enhanced steam capacity devoted to increase the present installed electric
generation.
To support the drilling operations (aimed to drill up to 22 production/reinjection wells) and to
allow Ethiopia to build capacity in upstream geothermal development, the project will procure
two modern drilling rigs with all accessories and spare parts. The project will also support the
Government of Ethiopia (GoE) in developing the legal, institutional, and regulatory framework
needed to ensure sustainable geothermal development in Ethiopia.
According to the latest investigation reports, the Aluto site is expected to generate about 70
MW of electricity (35 MW proven in Aluto I and 35 MW probable in Bobessa).
Based on the results of the appraisal (LA-9D and LA-10D) drilled wells, wellhead power
system will be installed.
The Government of Ethiopia (GoE) has secured funds from the World Bank, Government of
Iceland (GoI) and the GoE a total amount of US$ 218.5 Million for Aluto and Alalobad
geothermal site development (drilling phase). It is planned to drill up to 22 wells (2000-2500

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meter deep) at Aluto site and 4 exploration wells (1700-2000 meter deep) at Alalobad site.
PROJECT DESCRIPTION
The Aluto geothermal site is located in Oromia Regional State. The project site is about 200
km southeast of Addis Ababa, and is conveniently located in between Lake Ziway and Lake
Langano. Aluto Geothermal field is located at geographic coordinates of latitude 70 793’
North and longitude 380 798’ East
Wells
The present project foresees the drilling and testing of full diameter production/reinjection
wells at Aluto and exploratory wells in Bobessa. It is planned to drill 8 wells at the start and
based on the results of the 8 wells, the drilling of the remaining wells can be considered. The
wells to be drilled at:
Aluto field: 6 wells, out of which one is vertical (LA-13-1) and 5 are directional, with a
maximum vertical depth in the order of 2,500 m. It should be reminded that: (1) 6 potential
sites (LA-11D-1; LA-11D-2; LA-12D-1; LA-12D-2; LA-13D-2; and LA-13D-3) have been
identified for the 5 directional wells to be drilled, in order to provide a certain margin of
flexibility depending on the acquired results during drilling progress; (2) the azimuth of some
of the wells shall be defined in the course of the drilling campaign on the base of the results
progressively acquired;
Bobessa Prospect: 2 vertical wells (BB-01-1 and BB-02-1) with a maximum depth in
the order of 2,200 m.
New Water Supply System
The existing piping line transfers water from the Lake Ziway (elevation 1638 masl) to the top
of mountain (elevation 2041 masl) and then into the existing pond (elevation 2026 masl). Due
to the limited capacity of the water pipeline with the expanded water demand, the need for
expansion emerged. The lake ziway water is not suitable for drinking and does not interfere
with peoples livelihood. Thus, an enhanced water supply system is required to meet the
requirements of the planned drilling sites, as well as to meet the needs of the construction
camp and of the existing power plant. After the drilling of the wells, the new system could also
be used for water supply of future geothermal power plant. The water use does not have
impact on people and not interfere in the livelihoods of the community either and the issue is
elaborated in ESMP. The overall water demand of the drilling of wells and intake capacity of
the pipes is estimated and appropriate mitigation measures are provided in the ESMP. Further,
AGP has already secured water usage permission from Rift Valley Lakes Basin Authority
(RVLBA).
Access Roads
Three (3) access roads have to be upgraded and two (2) needs to be newly constructed to
ensure the transit of heavily loaded trucks as specified in the report.
Construction Camps

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Three (3) construction camps shall be constructed at the Project site. One camp to lodge the
personnel of the Employer and of the Consultant. The camp will be built over a 100x80 m area
in the yard at elevation of 1,960 masl near the main road 5 and it will be designed to
accommodate 36 people. Two (2) camps to lodge the personnel of the drilling and civil
contractors.
Casing Storage Area
An area of 100x100 m for storage of casing and of other materials required for drilling of the
planned wells shall be arranged at the Project site near the construction camp. The area will be
levelled, compacted, gravelled and fenced. A warehouse (30x15 m plan dimensions) made of
steel structures with siding/roofing panels shall be constructed inside the yard.

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Table 1.1-1 Land Requirements, shows details per each of project component
Additional Land m2
Temporary (T)
Area (m2)
Components (for truck or Permanent Coordinates Land Use Land Use Rights
/ km Land Ownership
movement, right of (P)
ways)
Well Pads (m2)
Pad 11 10,000 P
HHs living in
Pad 12 10,000 P Refer to Bid Dwgs n.2-3
Subsistence Abeyi Deneba
Pad 13 10,000 200m radius P Drilling Sites Location &
Farming Kebele and Aluto
Gov
Pad BB-01-1 7,000 P Layout
Kebele
Pad BB-02- 7,000 P
Access Roads (km / m2)
Road 1 (Aluto-pads 11-12-13) 2.5 / 25,000 P
Road 2 (Aluto-water pond/tank) 2.0 / 20,000 P HHs living in
Road 3 (Aluto-pads BB-01, 02) 2.5 / 25,000 P Subsistence Abeyi Deneba
Gov
Road 4 8.0 / 80,000 P Farming Kebele and Aluto
Existing road 5 (Adami Tulu- Kebele
18.0 / 180,000 P
Aluto)
Water Supply System (km / m2)
Pumping station at Lake Ziway 2,000 P Gov
Pipelines 16 / 56,000 10 m ROW P Gov
Refer to Bid Dwg n.7 HHs living in
N.2 water storage tanks at Aluto Subsistence
1,000 P Water Supply Lines Abeyi Deneba Gov
and Bobessa Farming Kebele
Existing water storage pond at
1,000 P Gov
Aluto
Camps (m2)
Refer to Bid Dwg n.6
Employer Camp 10,000 - p Construction Camp and Aluto Project EEP Gov
Casing Storage Area
Casing Storage Area 10,000 - p Construction Camp and Aluto Project EEP Gov
Casing Storage Area
Civil Contractor Camp 10,000 - p To be defined Aluto Project EEP Gov
Drilling Contractor Camp 10,000 - p To be defined Aluto Project EEP Gov
Disposal Areas Excavated material will be mainly re-used for road upgrading

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OBJECTIVE OF THE RAP

The objective of the RAP for the proposed Aluto Geothermal Project is to identify and
alleviate the various land acquisition related impacts of the project on the socio-economic
status of PAPs in the project implementation area. The RAP, as prepared based on the
Ethiopian relevant legal framework and WB Operation Policies, is to set forth the
compensation, assistance, livelihood restoration and rehabilitation plan for the project
displaced households affected due to the land requirement for the construction and operation
of the Aluto Geothermal project including all of its support facilities.
LEGAL FRAMEWORK
With the objective of complying to the existing legal framework of the country, various
legislations and regulations pertinent to environment, land ownership, the rights of
expropriation and right entitlement, have been reviewed and discussed throughout. While
doing this, an attempt is made not to miss relevant legislation at both national and regional
level. Accordingly, the FDRE Constitution, Proclamation on Rural Land Administration and
Land use (No. 456/2005), Legislation on Expropriation of Land and Compensation
Proclamation (No.455/2005), Council of Ministers Regulation (No.135/2007) and Oromia
Rural Land Use and Administration Proclamation (No. 130/ 2007) are identified, presented
and discussed.
Besides, the national and regional documents WB, OP 4.12 has been thoroughly highlighted.
A comparison between national legislations and WB, OP 4.12 has also been made and where
there is difference between the two, WB OP 4.12 prevails. The Government of Ethiopia
through its implementing entity, EEP is committed to implement a set of recommendations to
address the gaps with appropriate measures. Advance compensation, compensation at
replacement rate complemented by livelihoods restoration based on the scope of impact,
equivalent land for land replacement, and the need to inform and consult PAPs are some of the
common principles whereas, WB OP 4.12 differ in giving greater emphasis on the need to
have continuous consultation, special attention to vulnerable groups and the need to have
livelihood restoration program for those being affected.
POTENTIAL ADVERSE IMPACTS
Number of Households and Population Affected: The census enumeration and property
registration survey conducted for the preparation of this Resettlement Action Plan (RAP)
identified, 155 farm households, or 1,149 people currently living and earning their livelihoods
within the proposed project area would be economically displaced by the Aluto Geothermal
Project.
Impact on Residential Houses and Related Structures: Results of the census enumeration and
property registration surveys revealed that a total of 26 residential houses belonging to 23 HHs
currently located within the future Aluto Geothermal Project site will have to be relocated. As
far as type of materials used for roof construction is concerned, all the houses are tukuls, with

13
grassed roof.
Impact on Farm Land and Livelihoods: Implementation of the Aluto Geothermal project will
affect sizeable land that is currently being used for different agricultural purposes by farmers.
All 154 households (1,149 PAPs) are currently using agricultural land affected by the project
for growing various types of annual crops. Results of the census enumeration and inventory
and registration of affected property further revealed that in total sum about 46.6 ha of
farmland will be acquired from 155 households (farming land and homestead) to make space
for the construction and installation of the Project. Based on findings of assessments conducted
under the project, attempts were made to estimate the quantity and value of benefits that would
be forgone by PAPs due to loss of farmland that would be lost to the project. The estimations
of compensation based on the valuation formulae is valuated in sectionnine, valuation and
compensation for losses. y.
Impacts on Graveyards: There are 3 graveyards along the access road construction activities.
In consultation with project design technical group, the access road route was shifted not to
destruct the indicated graveyards. These graves are found 5 meter far from Right of Way
(ROW); so, it is agreed with the PAPs to fence them. Besides, in the drilling sites, only one
grave is found within the PAD-12 safety zone. Except for safety purposes, the project did not
use the safety zone areas. Therefore, for the 4 graveyards, fencing will be made to prevent any
entrance of vehicles or other machines and to minimize other fears/emotions of the PAPs.
Fencing of the graveyard site is the preferred solution identified during the consultations held with
affected households. Moreover, as discussed and agreed with the families of the deceased, the
fencing will not restrict access to the grave yards, at all times.
Impact on Vulnerable Groups: Based on results of the census enumeration, a total of about 54
HHs are identified as vulnerable groups among project affected households.
The vulnerability assessment showed elderly persons, over the age of 60 years, constitute 30
PAPs (54.56%) of the total vulnerable household members, 1 PAP (1.8%) household head
with physical challenges and 23 PAPs (43.64%) women headed households. In addition, the
field survey identified 63 (40.6%) project affected households to be ultra-poor based on income
indicator ((i.e.1.25 USD Per day Per Person). The vulnerability assessment is determined based
on the comprehensive definition of vulnerable groups by the Ethiopian National Social
Protection Policy adopted in 2014. Livelihood restoration measure will be applicable in order
to better sustain the livelihood of those households found below the subsistence level together
with other vulnerable groups.
All members of the vulnerable groups shall receive special assistance by AGP so that they
could better cope with the project related shocks.
PUBLIC CONSULTATION AND DISCOSURE
All the 155 affected HHs has been consulted and informed by EEP during the Census Survey.
In Addition, public consultation and disclosure meetings were conducted with Woreda and

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Kebele level public officials, project affected persons (PAPs) and Abbaa Gadaas (local elders).
Records of the consultation are provided in Annex D.
Consultations were held with the key objectives of disclosing information about the project
and its impact to and soliciting views, concerns, needs, preferences and opinions about the
project’s beneficial and adverse impacts from PAPs and other key stakeholders in the project
Woreda. At the center of the public consultation and disclosure effort is mitigation of adverse
impacts and enhancement benefits of the project to PAPs and wider project affected
communities.
A total of 11 consultations were held with 506 participants among PAPs, local communities,
Kebele and Woreda officials. That is, 6 consultations with PAPs, local communities, women
and youth groups, elders, clan, religious leaders, and Abbaa Gadaa, 4 consultations with
Kebele and Woreda officials. In addition, one consultation session has been held with the Rift
valley Basin Lakes Conservation Authority.
Critical issues of discussions with the PAP’s and their local Kebele leaders included matters
relate to resettlement, land acquisition/expropriation, administration of compensation
payment, livelihood restoration, and infrastructure and social service facilities. Several issues
and concerns are raised by participating stakeholders. Thus, corresponding mitigation
measures have been developed in this RAP and ESMP to be implemented in the subsequent
phases of the project.
Finally, all the consulted local communities and their elected officials at Woreda and Kebele
level expressed their support for the successful completion of the project and vowed to work
with all responsible bodies.
COMMUNITY DEVELOPMENT STRATEGIES
AGP, in addition to compensation payment to PAPs’ lost assets and property, has
demonstrated its commitment to support and provide resources for the implementation of
various community development programs1 in project affected areas. These community
development programs are:
A. Water Supply
1
In the context of this RAP, Livelihoods Restoration and Community Development Programs are differently approached but related
programs. LRP refers specifically to measures required to mitigate negative impacts that the Project may have on people’s
livelihoods and economic assets or activities. The key guiding principle for livelihoods restoration basis the objectives of WB OP/BP
4.12-Involuntary resettlement, envisioning improvement, or restoring the livelihoods and standards of living of displaced persons; to
be in restored/rehabilitated to the situation or better to their physical or economic displacement resulting from Aluto Geothermal
Project activities. The LRP will be prepared and targets based on scope of impact sustained due to the proposed project. Community
development is rather referred to a set of interventions (water supply, school rehabilitation and construction of youth center) that
believed to contribute to the overall socioeconomic development of communities.in and around project implementation area. In this
case, the area of intervention will extend beyond PAPs who experience physical or economic displacement.

15
B. School
C. Youth Center.
These community development schemes will be implemented as part of the livelihood restoration
plan of the RAP. The overarching objective of the community development plan is to enable
PAPs not only to further increase to access to social services and infrastructures but also to
improve their standard of living further through a set of integrated strategies and assistance
measures by the project owner and implementing partner agencies.
INSTITUTIONAL ARRANGEMENTS FOR THE IMPLEMENTATION OF RAP
The effective and successful implementation of the RAP ultimately depends upon the
institutional and organizational arrangements made for its implementation. Experience shows
that even well-designed RAPs (and other similar projects) fail to achieve their objectives
mainly because of inadequate institutional arrangements for their implementation. The
institutional or organizational framework for the implementation of the RAP and the detailed
responsibilities, coordination mechanisms, and capacity building measures for implementing
units and agencies will be outlined and implemented as indicated below. The major aspects of
the institutional framework for the implementation of the RAP are:
i) AGP will be the direct implementer of the RAP, and for this purpose; AGP will
establish a Resettlement Implementation Unit (RIU) for the direct and day to day
execution of the activities of the RAP;
iii) The RAP will be implemented in partnership with various relevant governmental,
non-governmental, and community organizations. More specifically Woreda
Resettlement Committees (WRCs) and Grievance Redress Committees (GRCs) will play
a crucial role.
CENSUS SURVEY AND BASELINE SOCIO ECONOMIC STUDY
The purpose of the baseline household survey is to establish a social inventory of local
inhabitants occupying and operating livelihood activities within the surrounding area of the
project implementation (i.e. Aluto and Abeyi Deneba Kebeles) through collection of vital
demographics, educational, economic, and asset possession data. Demographic information
collected includes family size, age, sex, religious affiliation and ethnicity. Means of livelihood
and the relative share of income from existing livelihood options along with major expenditure
streams are among economic data collected. Moreover, immovable assets such as house and
perennial plants and land ownership/tenure constituted part of the economic aspects of the
socio-economic survey.
The Baseline Survey covered 155 HHs and conducted between October 2018 and March 2019.
ELIGIBILITY
PAPs entitlement to compensation, resettlement and rehabilitation support are recognized as
civil rights in the Ethiopian legislation (Art. 44 No.2 of the Constitution of the FDRE). PAPs
should be consulted and compensated for the loss of their properties due to Government or

16
public induced projects. Moreover, the Ethiopian Government is committed to abide by the
WB Operational Policy on Involuntary Resettlement. Thus, EEP shall adopt the WB’s
operational Policy 4.12 for resettlement/rehabilitation of PAPs.
Eligibility is a key element regarding the various entitlements and rights of PAPs. Under this
project, all households having a formal legal land ownership certificates are entitled
compensation to the loss of assets as the result of the project. Farmers holding land without
formal legal rights prior to the cut of date will also be equally eligible with those who have
title.
Besides the compensation, vulnerable groups including households below poverty line and
households losing more than 20% of their land as the result of the project will be eligible for a
special support and livelihood restoration program.
The cut-off date for eligibility is set on April 9, 2019. This cut of date is communicated with PAPs.
Any land newly occupied and developments made after the cut of date is not eligible for
compensation and any other support as well. Compensation will be paid marking the cut off date as the
date of restriction of any activities on the land to be expropriated. Therefore, the compensation is, in
effect a compensation for restriction as well. This cut-off date has been communicated with all
stakeholders including PAPs.
VALUATUON AND COMPENSATION FOR LOSSES
The principle for permanent loss of agricultural land (crop loss) is that it should be
compensated with land for land compensation (or land for land replacement) in those areas
where land is available for replacement. In situation where agricultural land loss cannot be
replaced by land, the principles for monetary compensation will apply as per the eligibility
criteria, valuation methodology and compensation method.
Accordingly, the proportion of area harvested along with the area covered by each crop type, is
considered. Wheat is the annual crop identified as major crop for rain fed fields and is selected
to calculate the annual benefits obtained from rain fed farms in the project area. As a result,
yield per unit area of land is set for wheat crop and it is 40.08 quintal/ha. Annual total crop
production is calculated by multiplying the yield per unit of land obtained by the area of land
cropped and then the total production is computed based on the current price of the crop.
Accordingly, a monetary value of 60,880.59 birr/ha/year is fixed to wheat production based on
current market price. The crop values are estimated by the Woreda Office of Agriculture,
determined as fair market price using an average market price trend to arrive at such numbers.
The annual production translated into monetary term is further multiplied by 10 years,
according to Proclamation of Landholdings for Public Purpose and Payment of Compensation (No
455/2005), as the land taken by the project is a permanent land loss to the PAPs. This
compensation is known as displacement compensation. This compensation will be
complemented with livelihoods restoration, vulnerable groups assistance as appropriate based
on their eligibility and scope of impact.

17
In the same way, loss of trees, which is Acacia in the case of the project site, is calculated
through classification of trees as small, medium and big. Each tree is valued at 900, 1,800 and
3,000 Ethiopian birr respectively based on market price. Thus, monetary compensation will be
made to the total trees lost multiplied by the value attach to each tree based on its size. The
valuation for trees is determined accounting the values of the tree for different purposes (charcoal,
fuel wood, wood panels for house construction, commercial purpose) and size of the trees. Lost
trees will be replaced by planting new trees as specified in the project’s ESMP (Table 6.1).
Compensation to loss of houses is also calculated based on replacement rate principle. The
valuation was done based on regulation No 135/2007 which enforces the application of
replacement rate. Valuation committee is composed of appropriate group of experts designated by
the Woreda Administration and did the valuation taking the current market prices of building
materials and labor in to consideration. The rate is obtained from Adami Tulu Jido
Kombolcha Woreda. Moreover, moving allowance constitutes the compensation package. This
compensation will be complemented with livelihoods restoration and vulnerable groups
assistance as appropriate based on their eligibility and scope of impact.
IMPLEMENTATION SCHEDULE
The implementation of the RAP needs a minimum of one year. The activities like consultation,
measurement, validation and approval of the valuated data and monitoring and evaluation
activities will be done according to the schedule. The implementation schedule will have
important milestones including, finalization of compensation, special support to vulnerable
groups, an assessment and planning and implementation of LRP.
PARTIES RESPONSIBLE FOR IMPLEMENTATION OF THE RAP
EEP, specifically ESMT of AGP, with other local stakeholders bears the overall responsibility
for planning, budgeting, executing and monitoring of the RAP throughout the various
implementation phases. As the RAP has various components, it calls for inter-sectoral
collaboration at both higher and lower level. Therefore, Ministry of Water, Irrigation and
Energy (which hosts EEP and management is reporting to the Ministry), Environment, Forest
and Climate Change Commission (environmental and social regulatory Comission) and
Ministry of Women and Children through their regional offices and Regional Governments
through Urban and local administrations would play a role in the overall RAP implementation.
The role of other parties such as training and microfinance institutions identified through the
process will be also vital. The FDRE Proclamation 691/2010 and revised 1097/2018 to provide
fr the definition of powers and duties of executive organs has vested such mandates to the
respective authorities. Rather, EEP will be coordinating the efforts of stakeholder institutions
towards the achievement of the objective of this RAP.
RAP IMPLEMENTATION MANAGEMENT PLAN
The AGP Project Coordinator will be responsible for the coordination of the RAP
implementation. To ensure effective management and implementation of the RAP, the Project`s
ESMT, specifically social safeguard personnel is responsible to oversee and maintain sustained

18
communications with the various units and actors responsible for execution of the plan and to
ensure consistency of the RAP with established Resettlement Policy Framework and the World
Bank guidelines.
COST AND BUDGET
The total Resettlement Action Plan implementation costs are summarized in the Table 1.1-2
below. The total budget required to compensate for the loss of farmland, trees and houses and
other properties is estimated at BIRR 59,307,509.11 (2,029,701.34USD). The budget is also
inclusive of resettlement, livelihood restoration and community development activities of the
Aluto Geothermal project budget.

19
Table 1.1-2 Cost and Budget

Compensation
SI. Compensation amount
Activities Unit Price Area(ha) amount in
N in Birr
USD
loss of farmland and other properties
1 For Drilling and safety zone 1518.977 41.3706 25,186,662.65 861,971.86
2 For Access Road (ha) 1518.977 2.7044 1,646,452.46 56,347.11
3 For Water line (ha) 1518.977 3.6681 2,233,161.22 76,426.25
4 House (m2) 1827.09147 514.263 939,605.54 32,156.45
5 Graveyards fencing 30,000 1,026.70
Sub total 30,035,881.87 1,027,928.37
6 Loss of trees
Big 3000 1,608,000.00 55,031.14
Medium 1800 649,800.00 22,238.33
Small 900 398,700.00 13,644.85
Sub total 2,656,500 90,914.32
Temporary rental houses for
7 1000 3 months 21,000 1.1.1.1.1.10 718.69
affected HHs
1.1.1.1.1.11
8 Transport and Moving1.1.1.1.1.12
allowance 800/per1.1.1.1.1.13
HH 1.1.1.1.1.14 16,000 1.1.1.1.1.15 547.57
Income Restoration and Community Development Schemes
1.1.1.1.1.16 Social Support for vulnerable
9 1.1.1.1.1.17 4000 1.1.1.1.1.18 1.1.1.1.1.19 376,000.00 1.1.1.1.1.20 12,867.94
groups (94 HHs)

Monitoring and Evaluation
Monitoring and Evaluation (lump
10 120,000 4,106.80
sum)
1.1.1.1.1.21 Purchase of 2 Motor bikes and a
11 1.1.1.1.1.22 1.1.1.1.1.23 1.1.1.1.1.24 200,000 1.1.1.1.1.25 6,844.67
camera (lump sum)
Sub total 320,000 10,951
Community development (youth
12 19,467,136 666,230.51
center, water supply and schools)
Livelihood /income restoration
13 987,000 33,778.44
(Lump sum)
Budget for Committees
14 implementing the RAP (AVC, ET Br 175/day 36,400.00 1,245.73
GRM and others)
Total 46.6 ha 53,915,917.37 1,845,183.04
Contingency 10% 5,391,591.74 184,518.3
Grand total 59,307,509.11 2,029,701.34
August 15, 2019 1USD 29.21982ETB
GRIEVANCE REDRESS MECHANISM

To ensure that PAPs have avenues for redressing grievances related to any aspect of
compensation, construction management negligence, and any other relevant project related
matter, procedures for the redress of grievances should be established for the project. The
objective is to respond to the complaints of the PAP efficiently; i.e., the mechanism to be
easily accessible, transparent and fair and to avoid the need to resort to complicated formal

20
channels to redress grievances. Accessible and appropriate GRM not only help to have more
effective and efficient procedure but it also has strong bearing on the project implementation
progress, as PAPs grievances tends to thwart timely accomplishments of project activities.
In case of Aluto Geothermal Development Project, Grievance Redress Committee (GRC) is
already formed in Adami Tulu Jido Kombolcha Woreda to deal with project related grievances
by PAPs. The project GRM procedure includes:
• Complainants can log/file their complaint(s) in written form, verbally, through telephone call,
text message or any means of channels convenient to them.
• Complain to be registered in a format prepared for the same purpose.
• The filed complaint(s) need to be itemized, clear and concise with remedial suggestions
• Present the form for the relevant designated officer (first contact point, in this case secretary
of the Grievance Redress Committee-GRC)
• Address of the PAP or PAPs (Telephone, kebele, etc. anonymous complaints are also be
allowed)
For the GRM to effectively address the issues/incidents related to sexual exploitation and other
forms of Gender-Based Violence (GBV), a special procedure is designed. The project in general and
the Woreda level GRC must set proactive mechanism functional throughout the project cycle. In this
regard, the Woreda Women and Children Affairs Office head will be the focal person on issues
related with sexual exploitation and other forms of gender-based violence.
MONITORING AND EVALUATION
Monitoring, review and evaluation are essential aspects of any development plan, program or project
and the same applies to RAP. The main type of monitoring to be adopted for the purpose of RAP
will be Internal Performance Monitoring (IPM). The process of inspections and monitoring shall
involve reviewing and documenting implementation of all aspects of proposed activities based on a
set of recommended baseline indicators and measuring overall satisfaction of PAPs at the various
phases. The AGP`s ESMT is responsible for regular monitoring and evaluation of the RAP.
In addition, the implementing agency and institutions charged with the implementation of the RAP
will undertake continuous and systematic regular evaluation of the RAP. The focus of the evaluation
will be the outcomes of the compensation, income restoration and social development projects on the
income, livelihood and well-being of PAPs and local communities in the project affected areas.
Completion Audit
The RAP completion audit will be conducted by external party to assess the impact of the RAP
implementation and whether the outcome of the resettlement operation complies with the
Involuntary Resettlement Policy of the World Bank, and the GoE legal requirement related to
expropriation of landholding and payments of compensation. The RAP completion audit will be
conducted after RAP implementation except livelihoods restoration is completed. The LRP
completion audit will be conducted after one year of the completion of the livelihoods restoration
activities to evaluate whether the implementation of livelihood restoration and rehabilitation

21
activities have brought the desired outcome and impact (improvement in the living standard of
PAPs). Thus, after one year the expropriation has been completed and the assistance to the PAPs has
been made, there will be an impact evaluation to assess whether the PAPs have improved their living
conditions in relation with the baseline socioeconomic status established during the socioeconomic
studies.

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2 INTRODUCTION
2.1 Project Background

With an estimated population of over 100 million in 2015, Ethiopia is the second most
populous country in Africa. Forecasts of population growth predict a doubling of the
population before the year 2035. The country has one of the lowest levels of annual energy
consumption per capital in the world and majority of the population survives in conditions of
relative poverty and energy insecurity. Sustained economic growth that was achieved during
the past several years and the ambitious Growth and Transformation Plan (GTP II) that was
launched in 2017 suggests that the nation’s economy is poised for uninterrupted growth over
the years and even decades to come. Growth in construction and manufacturing sectors is
driving demand for electricity at an annual rate of about 20%. The plan aims to achieve an
annual average real GDP growth rate of 11% within stable macroeconomic environment while
at the same time pursuing aggressive measures towards rapid industrialization and structural
transformation. Under GTP II, Ethiopian Electric Power (EEP) plans to increase electricity
coverage from the existing 32% to 61% and the number of customers from 2.5 million to 7.0
million. The plan also realized that export sales of energy could provide an attractive long-
term development opportunity. All of these mean that Ethiopia needs to expand its electricity
production capacity several fold to fuel its growing economy as well as expand its population’s
access to electricity.
Ethiopian’s electricity generation mainly depends on hydropower plants which accumulate of
about 94% of the countries’ installed capacity. As the energy generation from hydropower may
be varies seasonally; the EEP plans to diversify its power generation system from other
renewable energy sources (wind, solar, biomass, geothermal etc.).
The actual Aluto Geothermal project intends to further develop the Aluto prospect potential in
order to acquire an enhanced steam capacity devoted to increase the present installed electric
generation.
To support the drilling operations (aimed to drill up to 22 appraisal/exploratory wells) and to
allow Ethiopia to build capacity in upstream geothermal development, the project will procure
two modern drilling rigs with all accessories and spare parts. The project will also support the
GoE in developing the legal, institutional, and regulatory framework needed to ensure
sustainable geothermal development in Ethiopia.
According to the latest investigation reports, the Aluto site is expected to generate about 70
MW of electricity (35 MW proven in Aluto I and 35 MW probable in Bobessa).
The fund for the Aluto geothermal site development phase is secured from IDA, the
Government of Iceland (GoI) and the Government of Ethiopia (GoE). The total amount
allocated for Aluto site development is US$126.2 million: (IDA US$92.2 million, SREP
US$24.5 million, GoE US$ 1.5 million and GoE US$8.0 million). This will finance goods,

23
including drilling consumables and associated materials; services, including drilling

contractors, the supervising consultant and project management; drilling and testing of about
22 wells; and design and construction of a steam-gathering system connecting the producing
and injection wells.
For the Aluto site development, there is a need for land acquisition for drilling sites, access
road and water line construction. So, all legal requirements should be fulfilled during
resettlement of PAPs. Compensation payments for project affected people (PAPs) found
within 10 meters wide along the access road, and who found within 200m radius at the
identified drilling sites should be cleared in accordance with the Ethiopian law, Proclamation
No. 455/2005 and regulation number 135/2007.
According to West Japan Engineering Consultants (JICA, Preparatory Survey Team, 2017) for
drilling of production wells i.e., LA-9D and LA-10D, the concentrations of H2S were
predicted by using a plume diffusion model and diffusion parameters (Pasquill stabilities). The
predicted 24-hour mean of maximum ground level H2S concentrations was less than 0.1 ppm
at the site of the nearest house (650m) and the concentration of H2S in the area around the
power plant (around 117m from the well 9D) were less than 1 ppm. In this connection,
compared to the odor threshold i.e., 0.05, the amount of H2S i.e., 0.1ppm was slightly
significant. Furthermore, detail mitigation measures are provided in the ESMP. Therefore,
based on the study for LA-9D and LA-10D, estimation at 117m distance attenuated the
permissible limit to H2S. Therefore, for the current project, a 200 m safe zone was taken as the
area of influence.
2.2 Objectives of the RAP

The objective of the RAP, based on the Ethiopian relevant legal framework and WB Operation
Policies is to set forth the compensation, for lost assets, livelihood restoration and
rehabilitation plan for the project affected households as a result of the land acquisition for the
construction and operation of the Aluto Geothermal project including all its support facilities.
Specific objectives of the Resettlement Action Plan (RAP) are as follows:
 To identify and quantify different categories of project-affected persons (PAPS) who
would require compensation, rehabilitation or relocation; and some form of assistance.
 To provide cost effective measures to be implemented so as to mitigate the expected
impacts;
 To establish criteria for eligibility and entitlement as well as methods and mechanisms
for the valuation of various categories of household and community assets for
compensation, design strategies for restoration of the income and livelihood of PAPs,
special support measures for vulnerable groups and social and community development
projects;
 To estblish the budget for the RAP;
 To establish mechanisms and procedures for the resolution of conflict and redress of

24
grievances arising from the implementation of the RAP and the project.
 To provide for ongoing consultation with PAPs
 To define monitoring and evaluation mechanims
2.3 Approach and Methodology

The approach and methodology for the RAP followed the established patterns for Aluto
Geothermal project is as follows:
Document Review
Aluto Geothermal project has already acquired Environmental and Social Safeguard instruments
that include Preliminary Environmental and Social Impact Assessment, Resettlement
Policy Framework, Environmental and Social Impact Assessment, and Recent Site visit report.
These and other relevant resources were covered under the desk review task.
Project background documents have been reviewed to understand the full extent of the proposed
project, its general location, size, schedule, and planned sequence of activities, resources
available, and expected implementation arrangements. Associated Report prepared within the
same study Framework in relation to project land acquisition and Socio-economic impacts
include:
 Multiple consultations with key informants at the federal, regional and Woreda levels
as well as affected communities were undertaken in due course to the preparation of
ESS instruments of the project;
 Resettlement Policy Framework-RPF has been developed by EEP, January 2013
(presently at the final stage);
 Draft Environmental and Social Impact Assessment (ESIA) has been developed by
EEP, January 2013 (presently at the final stage);
 Environmental and Social Management Plan (ESMP) has been developed by EEP in
July 2013, and then modified in April 2019.
Quantitative Methods of Data Collection
Sensitization and Familiarization Stage: A team of experts visited the project area meet with
PAPs and local government officials. This mission helped not only to familiarize the study
team to the project area but also to adapt various survey forms and instruments to local
conditions. This was then followed by the finalization of the survey instrument.
Identification and Project Impact Boundary Delineation Stage: This is a crucial stage where
adverse project impacts were fully identified and understood leading to their quantification. A
topographic survey was conducted using Global Positioning System (GPS) to demarcate and
confirm the actual boundary of the project on the ground. This has been confirmed by the
ESIA prepared for the project. The ESIA has also confirmed that there is no any community
level impact on resources as a result of AGP.

25
Census and Socio-Economic Surveys and Property Registration Stage: As this stage is a
decisive stage in the whole exercise of RAP, a number of steps and procedures were adopted
to ensure the accuracy of information collected and registration of affected property. The steps
and procedures followed were as follows:
 The first step was recruitment and training of enumerators. A team of enumerators and
supervisors were recruited locally and received training on basic interviewing
techniques. Enumerators were closely supervised and supported by members of the
study team.
 The second step was formation of an ad-hoc Committee comprised of Woreda and
Kebele officials. This Committee is important in the identification of PAPs and for
approving the legality of ownership of affected property by its claimant.
 The third and the last step during this stage was the supervision and administration of
the actual field work. A complete census enumeration of all PAPs was carried out side
by side with registration of affected property including land, housing and structures
that will be affected by the project.
Structured questionnaires were administered to the affected households and detailed quantitative
information on socio-economic characteristics of the households were collected. The baseline
survey of the PAPs captured PAPs socio-economic and livelihood activities such as age, sex,
education level, income level, household size, type of household, dwelling structure, availability
of basic services giving infrastructures like schools, health centres, electricity, etc., as well as
the types of occupations the PAPs are engaged in. The survey gave attention for the assessment
of PAPs livelihood assets, identifying their respective interests for business and employment to
generate income and their associated skills and health condition. A sample census and socio-
economic questionnaire is presented in Annex H SOCIO ECONOMIC QUESTIONNAIRES
AND TABULATED DATA.
Data Management and Analysis
The questionnaire captured sufficient information that assisted the computation of appropriate
compensation and design appropriate resettlement schemes.
 Characteristics of the members of the household;
 Land holding outside the project
 Remaining farmland for the PAPs
 Vulnerable groups
 Source of income
 Amount of income for each source of income
 Grazing land affected/if any
 Land holdings that were owned and going to be lost by type;
 Area of cultivated land by type;
 Numbers and types of trees that will be affected;
 Affected housing units by type and size;

26
 Concerns due to the project;
 Possible advantages due to the project;
 Remedial actions that need to be taken during the resettlement;
Following data collection, the data management has evolved through the following major steps:
 Results of the data collected were tabulated. This allowed detailed investigation of the
numbers and the characteristics of the population to be resettled. It also allowed the
understanding of the opinions of the affected population about the resettlement.
 After end of data entry, cases that had missing information and cases that recorded
values that were outside the expected ranges were identified and corrected by manual
revision of the questionnaires.
 FRV of monetary compensation is established by appropriate experts, and valued by
valuation committee in compliance with regulation No 135/2007 which enforces the need
to take current market prices in to consideration.
 The main databases that were constructed consisted of the following:
o .Names of household head, their location, vulnerability and other characteristics;
o Types and amount land affected;
o Types and size of housing units lost;
o Types and number of livestock that needed to be transported during the
resettlement; and
o Summary compensation to each household.
These databases were finally printed after formatting in Excel. In addition, databases that can
provide more detailed information encompassing types of assets lost and detailed computation
of the compensations have also been made available in soft copy so that they could easily be
used during the RAP implementation period and beyond.
Stakeholder Consultation: Identified the key stakeholders relevant for the RAP and conducted
consultation (utilizing previous consultation outcomes within the already developed E&S safeguard
instruments. Conducted consultations with community members, Woreda and Kebele stakeholders
on objectives of the project, associated potential positive and adverse risks/ impacts, mitigation
measures, the preparation and implementation of the RAP, livelihood restoration, estimation,
payment of compensation and resettlement. All meetings were held within the affected village and
Kebele. Participants were selected from all cross sections of the project affected
communities including age and gender. Please refer Table 11.3.1 in this RAP and subsequent
presentations under community participation section. The scanned copy of the minutes of
consultation meetings conducted during the preparation of this RAP is also attached as Annex D.
Define Eligibility and entitlement Criteria: the eligibility criteria for potentially displaced
persons or PAPs presented in the RAP framework has been reviewed and it has set of criteria
for determining their eligibility for compensation, livelihood rehabilitation and other
resettlement assistance, including relevant cut-off date was identified April 9,2019 is set to
be cut-off date.

27
Resettlement Measures: Identified and included in the plan compensation and other
resettlement measures that will assist each category of eligible PAPs to achieve the
resettlement and livelihood restoration objectives.
Development of Livelihood Restoration Plan and Income Restoration Strategy: Based on
the census livelihood and income restoration strategy has been developed in consultation with
the relevant stakeholders, PAPs and beneficiaries of the project.
Grievance Procedures: The RAP provides description of the mechanisms for ensuring
affordable and accessible procedure is in place.
Monitoring and Evaluation: arrangements have been made for monitoring and evaluation of
RAP implementation and the independent monitoring of these activities. Monitoring and
evaluation indicators and its frequency and the participating bodies and their levels of
involvement have been outlined as it can be seen in the monitoring and evaluation section of
the RAP.
Cost and Budget: The RAP includes a budget breakdown estimating all resettlement- related
costs, including an allocation for contingencies. It establishes financial responsibility for
meeting resettlement and livelihood restoration commitments and describes funding flow
arrangements.

28
3 PROJECT DESCRIPTION
The Aluto geothermal site is located in Oromia Regional State. The project site is about 200
km southeast of Addis Ababa, and is conveniently located in between Lake Ziway and Lake
Langano. Aluto Geothermal field is located at geographic coordinates of latitude 70 793’
North and longitude 380 798’ East.
Figure 3.1.1 General Layout of the Project

29
3.1 Site Accessibility

The Geothermal Sector Development Project is located at Aluto site, in the central region of
Ethiopia at approximately 190 km South East from Addis Ababa.
The site can be reached from Addis Ababa by driving for some 73 km on the 4 lanes national
highway N.4 up to the exit Modjo-Awassa, then proceeding southward for some 100 km on the
2 lanes national road up to Adami Tulu, then turning on the left and driving for some 15 km on
the rough road up to Aluto site.
The roads from Addis Ababa up to Adami Tulu are paved and in good conditions. The feeder
road from Adami Tulu to Aluto site requires some rehabilitation works as well as maintenance
works during the the Project period.
The present project foresees the drilling and testing of full diameter appraisal wells in Aluto and
exploratory wells in Bobessa.:
 Aluto field: 6 wells, out of which one is vertical (LA-13-1) and 5 are directional, with
a maximum vertical depth in the order of 2,500 m. It should be reminded that: (1) 6
potential sites (LA-11D-1; LA-11D-2; LA-12D-1; LA-12D-2; LA-13D-2; and LA-
13D-3) have been identified for the 5 directional wells, in order to provide a certain
margin of flexibility depending on the acquired results during drilling progress; (2), the
azimuth of some of the wells shall be defined in the course of the drilling campaign on
the base of the results progressively acquired;
 Bobessa prospect: 2 vertical wells (BB-01-1 and BB-02-1) with a maximum depth in
the order of 2,200 m.
The ground coordinates of the planned first wells/drilling sites are listed here below:
Table 3.1.1 1 Coordinate of the planned drilling sites
Coordinates Dev
Elevation Vertical Measured KOP
Well UTM (WGS84) Azimuth Angle
(m asl) Depth (m) Depth (m) (m)
N S (°)
LA-11D-1* 862559 477500 1944 2500 2750 120 500 30
LA-11D-2* 862559 477500 1944 2500 2750 TBD 500 30
LA-12D-1* 862149 477372 1911 2500 2750 120 500 30
LA-12D-2* 862149 477372 1911 2500 2750 TBD 500 30
LA-13-1* 861670 476900 1885 2500 2500 - - -
LA-13D-2* 861670 476900 1885 2500 2750 TBD 500 30
LA-13D-3 861670 476900 1885 2500 2750 TBD 500 30
BB-01-1 860788 480197 2030 2200 2200 - - -
BB-02-1 859890 480253 2065 2200 2200 - - -
From the contract document, the area required for drilling sites is 100m by 100m. But, safety
zone is required from safeguard point of view. So, by referring the international standards like,

30
IFC, Saint Lucia and Tulu Moye, it is delineated about 200 m radius from the drilling sites.
The farmland that is found within 200m radius must be cleared. Accordingly, 60 HHs and 456
individuals were affected by drilling purposes.
3.1 Water Supply System

3.1-1 Existing Water Supply System
The existing piping line transfers water from the Ziway lake (elevation 1638 masl) to the top of
mountain (elevation 2041 masl) and then into the existing pond (elevation 2026 masl).
The water is transferred to the upper pond by 4 diesel pumps, each with head=80-100 m and
flow=140-160 m3/h. Pumps No.1-2-3 are located at 1643, 1731, 1924 masl from the upper pond
the water is conveyed to the wells LA-10D, LA-09D and then finally to Aluto geothermal power
plant. At present, the piping line is out of service since pumps No.1 and No.4 are damaged.
3.1.1 New Water Supply System
An enhanced water supply system is required to meet the requirements of the planned drilling
sites, as well as to meet the needs of the construction camp and of the existing power plant.
After the drilling of the wells, the new system could also be used for water supply of future
geothermal power plant.
Required Water Supply
For the design of the system, the amount of water necessary for drilling works has been
estimated assuming that 2 wells will be drilled simultaneously. Considering that drilling works
could encounter permeable soils entailing severe circulation losses, it is estimated that each
drilling site would require approximately 210 m 3/h. Hence 2 drilling sites would need water
supply of 420 m3/h.
Under safety side, it was decided to design the system for a total amount of 500 m3/h,
considering also additional requirements mainly for the water supply of the construction camp.
Furthermore in order to ensure social and environmental benefits to the local population, water
supply for local residents is foreseen along the pipeline route from Lake Ziway to Aluto by
installing n.2 taps with relevant pressure regulating valves.
Piping Line of New Water Supply System
The enhanced water supply system will comprise the following components:
 2 new piping lines DN 10” replacing the existing line. In particular:
- a new 8 km long line routing from the Ziway lake (elevation 1638 masl) to the top of
mountain (elevation 2041 masl) and then reaching the existing pond (elevation
2026 masl).
- a new 8.5 km long line routing from the Ziway lake (elevation 1638 masl) to the top of
mountain (elevation 2041 masl) and then reaching the new water tank of 4,000 m3 near

31
LA-12D well (elevation 2080 masl).

 A pumping station to be constructed nearby Ziway lake with a water intake and a building
housing 3 pumps (a pump for each line and a pump in stand-by mode) and 2 diesel
generators (1 in operation and 1 in stand-by mode).
The electric pumps with head=460 m, flow=270 m3/h, power=500 kVA, fed by diesel
generator shall replace the existing 4 diesel pumps. Two pumps shall be in operation, while the
third one shall also be connected to the line in stand-by mode.
 The erection of a new water tank of 4,000 m 3 capacity located in Aluto at approximate
elevation 2080 masl.
 A 1.5 km long piping line DN 10” will convey the water by gravity from the new water
tank of 4,000 m3 (elevation 2080 masl) to the drilling site n.1 of LA-14D well (elevation
1900 masl). The piping line ends with a reduction of DN 4” and a globe valve for flow
regulation.
 A 100 m long piping line DN 10” will convey the water by gravity from the new water
regulation.
regulation.
 Rehabilitation of the existing water pond located in Aluto at approximate elevation 2026
masl
 A pumping station to be constructed nearby the existing pond at elevation 2026 masl,
housing 2 diesel pumps (1 in operation and 1 in stand-by mode). The works will also
include fix steel tanks for fuel, the construction of an annexed steel warehouse of 5x5 m
plan dimensions and of a guard house of 3x3 m plan dimensions with watching tower.
 The erection of a new water tank of 4,000 m 3 capacity located in Bobessa at approximate
elevation 2130 masl.
 A 3.5 km long piping line DN 10” will convey water from the existing pond (elevation
2026 masl) to the new water tank of 4,000 m 3 near BB-02 well (elevation 2120 masl), by
using a diesel pump (availing also of stand-by pump) with head=100 m, flow=160 m3/h.
tank of 4,000 m3 (elevation 2130 masl) to the drilling site n.5 of BB-02 well (elevation
regulation.
 A 1 km long piping line DN 10” will convey the water by gravity from the new water tank

32
of 4,000 m3 (elevation 2130 masl) to the drilling site n.4 of BB-01 well (elevation 2000
masl). The piping line ends with a reduction of DN 4” and a globe valve for flow
regulation.
 A 1 km long piping line DN 4” will convey the water by gravity from the existing pond
(elevation 2026 masl) to the construction camp (elevation 1960 masl) with a globe valve
for flow regulation.
 N.2 taps, each comprising n.1 pressure regulating valve and n.2 ball valves for
maintenance, installed along the pipeline route from Lake Ziway to Aluto at approximate
elevations 1800 masl and 1950 masl.
A 10 m width for the installation of 10 inch double pipeline is required. So, farmlands that are
found within 10m width are to be affected. Accordingly, 61HH and 501 individuals are to be
affected by this activity.
Figure 3.2- 1 Water Pipeline System
3.2 Access Roads

Access roads must be constructed/upgraded to ensure the transit of heavily loaded trucks as
specified in the following Table 3.3-1. Accordingly, 34 HHs and 192 PAPs were affected by
access road.
Table 3.3-1 Access Roads Main Features
Approx.
Description Route Length Present Condition Required Works
(km)
Road 1 Aluto Site-LA13 1.1.1.1.1.26 1 Rough track Upgrading

33
Road 2 Aluto Site-LA12 1.1.1.1.1.27 2 Rough track

1.1.1.1.1.28 New Road Construction
Road 3 Aluto Site-BB-02-BB-011.1.1.1.1.29 3.5 Rough track
1.1.1.1.1.30 New Road Construction
Road 4 Lake Ziway-Aluto Site 1.1.1.1.1.31 8 Rough road Upgrading
Road 5 Adami Tulu Aluto Site 15 Feeder road Repairs
Figure 3.3- 2 Access Roads Layout
3.3 Camp Construction

A construction camp shall be constructed at the Project site to lodge the personnel of the
Employer and of the Consultant. The camp will be built over a 100x80 m area in the yard at
elevation 1960 masl. Near the main road 5 and it will be designed to accommodate 36 people.
The land at which the camp is constructed had already been owned by EEP during Aluto
Geothermal Project I more than fifteen years ago. The land is currently fenced and used for
storage accompanied by open land with no other occupation/use.
The camp will include n.3 housing blocks, canteen, office, clinic, recreation house, guard
house, water treatment plant, n.2 diesel generators, sewage system with septic tank, parking
area and structure for segregated waste disposal area.
The camp area will be levelled, while only the central part for transit/parking of vehicles will
also be gravelled. A drainage system designed for rainfall intensity I = 190 mm/h shall be

34
constructed with concrete ditches/pits around and inside the camp area.
The Contractor shall also refurbish the existing aged dwelling house, consisting of 15 lodging
rooms, bathrooms and kitchen located near Aluto Plant.
Furthermore the Contractor’s scope of works shall include also the construction of a retaining
wall made of gabions of approximately 200 m length along the bank of the stream at Aluto site
for flood protection of the existing power plant. Hence the Contractor shall carry out the
following works, complying with the requirements specified in Tender Drawings n. 6
“Construction Camp and Casing Storage Area”. N.8 “Housing Blocks”, N.9 “Canteen”, N. 10
“Recreation House”, N.11 “Office”, N.12 “Clinic” and N.13 “Guard House”:
3.4 Casing Storage

An area of 100x100 m for storage of casing and of other materials required for drilling of the
planned wells shall be arranged at the Project site near the construction camp. The land at
which the casing storage is constructed had already owned by EEP during Aluto Geothermal
Project I more than fifteen years ago. The land is currently used for storage accompanied by
open land with no other occupation/use.
The area will be levelled, compacted, gravelled and fenced. A warehouse (30x15 m plan
dimensions) made of steel structures with siding/roofing panels shall be constructed inside the
yard.
The layout of the yard is detailed in the Tender Drawing n. 6 “Construction Camp and Casing
Storage Area.” Both Construction camp and Casing storage will be constructed on a land
previously occupied by EEP during previous Aluto Geothermal Project I.
3.5 Preparatory Works for Drilling Pads

An area of 100 x 100 m shall be prepared for the drilling operations of the planned well pads
LA- 11, LA-12 and LA-13. Two (2) sites with 100 x 70 m plan dimensions shall be prepared
to enable the installation and operation of the drilling rigs for pads BB-01 and BB-02.
Temporary, detachable guard houses (3x3m plan dimensions) with watching towers shall also
be provided for each drilling site. Details of the drilling sites are shown in the Tender
Drawings No.2 “Drilling Sites Location” and No.3 “Drilling Sites Layout”.
3.6 Summary of Land Requirement and Impacted HHs

Following to the description of the main project components a summary of land requirement
and impacted HHs is shown in Table 3.7-1. Each project component will require land
acquisition. Part of the project areas is owned by EEP, which will provide area for the
Construction of camps and casing storage. The remaining components will require acquisition
of agricultural and residential land affecting 155 HHs.

35

36
Table 3.7-2 Impacted Households
No. of
Description No. of PAPs
HHs
Drilling sites 60 456
Access roads 34 192
Water pipeline installation 61 501
Total 155 1149

37
Table 3.7-2 Summary of Land Requirements

Additional Land m2
Area (m2) Temporary (T)
Components (for truck movement, Coordinates Land Use Land Use Rights
/ km or Permanent (P) Land Ownership
right of ways)
Well Pads (m )2
Pad 11 10,000 P
Pad 12 10,000 P Refer to Bid Dwgs n.2-3 HHs living in
Subsistence
Pad 13 10,000 200m radius P Drilling Sites Location &
Farming
Abeyi Deneba Keble Gov
Pad BB-01-1 7,000 P Layout and Aluto Kebele
Pad BB-02-1 7,000 P
Access Roads (km / m2)
Road 1 (Aluto-pads 11-12-13) 2.5 / 25,000 P
Road 2 (Aluto-water pond/tank) 2.0 / 20,000 P HHs living in
Subsistence
Road 3 (Aluto-pads BB-01, 02) 2.5 / 25,000 P Farming
Abeyi Deneba Keble Gov
Road 4 8.0 / 80,000 P and Aluto Kebele
Existing road 5 (Adami Tulu-Aluto) 18.0 / 180,000 P
Water Supply System (km / m2)
Pumping station at Lake Ziway 2,000 P Gov
Pipelines 16 / 56,000 10 m ROW P Gov
Refer to Bid Dwg n.7 HHs living in
N.2 water storage tanks at Aluto Subsistence
1,000 P Water Supply Lines Abeyi Deneba Gov
and Bobessa Farming Kebele
Existing water storage pond at
1,000 P Gov
Aluto
Camps (m2)
Employer Camp 10,000 - p Construction Camp and Aluto Project EEP Gov
Casing Storage Area
Casing Storage Area 10,000 - p Construction Camp and Aluto Project EEP Gov
Casing Storage Area
Civil Contractor Camp 10,000 - p To be defined Aluto Project EEP Gov
Drilling Contractor Camp 10,000 - p To be defined Aluto Project EEP Gov
Disposal Areas Excavated material will be mainly re-used for road upgrading

38
3.7 Project Schedule

The project is expected to last up to the beginning of 2022 and the following activities will be
implemented. The RAP implementation will commence after getting clearance from the Bank,
incountry disclosure and at the World Bank External Website:
By February 2020
 Provision of 2 Rigs, Drilling crew Operator and supply of Maintenance at Aluto
 Provision of Construction Works at Aluto (access roads, well pads, etc.)
 Provision of Water Supply System at Aluto
By April 2022
 Drilling Activities
By June 2022
 Well Testing Activities
 Assessment of Geothermal Resources

39
3.8 Labour Requirements

Drilling and construction of access road and water pipeline will provide short-term
employment opportunity for several local people, 200 to 300 workers will be expected on site
for work at the peak of construction activities.
The nature of the work includes:
 Topographic, survey and geotechnical investigation;
 Mechanical Installation of mounting structure and modules;
 Civil installation of foundations (ramming and/or concreting);
 Camp construction;
 Construction of recreation space, washing rooms, toilets (transport, cleaning);
 Construction supervision, engineering;
 Waste management; and
 Security.
The required staff for construction of the project will include: semi-skilled and unskilled
workers (recruited locally). These workers will receive adequate training prior to
commencement of construction. As much as possible, local people will be recruited as
unskilled labourers, from nearby kebeles. However, this workforce number will be reduced
during operation phase of the project. The issues related with labor force management and
mitigation of associated risks are included in the ESMP.
3.9 Operation and Maintenance

The following activities are expected during the operational phase:
Monitoring/correcting production fluctuation, and managing system instability (from remote
and/or on-site);
 Regular monitoring of geothermal gases.
Office management and maintenance of the facilities;
 Solid waste expected during the operational phase includes Waste form Electrical and
Electronic Equipment (WEEE), industrial waste (cleaning, oils etc.) and office waste.

40
4 CENSUS SURVEY AND BASELINE SOCIOECONOMIC STUDY

The purpose of the baseline household survey is to establish a social inventory of local
inhabitants occupying and operating livelihood activities within the surrounding area of the
project implementation (i.e. Aluto and Abeyi Deneba Kebeles in Adami Tulu Jido Kombolcha
Woreda) through collection of vital and relevant information on Family size, Age, Sex,
Religious Affiliation, Ethnicity, immovable assets such as house and Perennial Plants, source
of income and Income Distribution of PAPs and Households that are likely to be affected by
the project activities.
During Baseline Survey, 155 HHs were covered by the survey that was conducted between
October, 2018 and March, 2019 focusing on the areas where the PAPs are living. The survey
collected information on possession of immovable assets such as houses, perennial plants,
landholding status, tenure and duration of residence, approximate income from employment,
farming or other activities.
Annex H SOCIO ECONOMIC QUESTIONNAIRES AND TABULATED DATA shows the
raw data of socioeconomic survey.
Detailed Map of Project Area with certain social and environmental features/ context

41
4.1 Demographic Characteristics

4.1.1 Households, Population, Headship Pattern and Family Sizes
Under the third phase of Aluto geothermal project, a total of 155 HHs (1149 PAPs) are
affected by the planned project activities that constitute 60 HHs for drilling sites, 61 HHs by
the installation of water pipeline and the remaining 34 HH for access road construction.
Average family size of the households in the project area is more than seven persons per
household, which is higher than the national average family size, which is 4.6 persons per
household. The family size of the PAPs is also much higher than the national rural household
size, which stands at 4.9 persons per household. 2 As per the socio-economic survey data, 21
persons are identified to be the maximum family size whereas one is registered as a minimum
in a given household.
In terms of PAPs, 456 individuals were affected by drilling sites, 501 individuals were affected
by water pipeline construction and 192 individuals are affected by the construction of access
road.
The highest number of projects affected households is living in Abeyi Deneba Kebele, 102 in
number and followed by Aluto Kebele, 53 in number. No land is taken for temporary use.
4.1.2 Age Distribution
Abeyi Deneba: The results of the field survey indicated that, 45.7% of PAPs are in
economically inactive age category of ≤18 and ≥60 years. while the remaining 54.3% of the
PAPs are found between the age category of 19 and 60 years and considered as economically
active.
Aluto: Interpreting the result of field survey of Aluto indicate that 14.7% of PAPs are within
the economically inactive age group of ≤18 and ≥60years. While 85.3% of the PAPs are identified
to be between 19-60 years of age and thus, economically active.
Table 4.1-1 Age Distribution of Project Affected People
No’ of Total
No’ of Male
Project Kebele Age Group Female
PAPs
PAPs
0- 18 Years 239 256 495
Abeyi- 19 - 60 Years 192 161 353
Deneba
Aluto Langano Above 60 Years 12 12 24
Geothermal 0- 18 Years 86 69 155
Project
Aluto 19 - 60 Years 62 50 112
Above 60 Years 8 2 10
Total 599 550 1149
Source: - Field Socio-Economic Survey Result, 2019
2
CSA. 2016. Ethiopian Demographic and Health Survey
42
Figure 4.-1 Age Distribution of Project Affected People

4.1.3 Marital Status
The census survey included the marital status of the head of the household as well as the marital
status of the total population of individuals affected by the project. Out of the total 155
household heads, 132 (85.1%) heads are reported married whereas the remaining 23 (14.6%)
and 1 (0.6%) are found Widowed and Single respectively. In the tradition of Project affected
area, it is allowed to have more than one wife. The field survey identified 13 household heads
married to two wives. These wives lead their lives by having their own separate land in different
localities. The wives being affected by the Project is considered as heading a household (FHH),
though they are married. These women are considered FHH because they are the main person
responsible for the overall management of the households as husbands are occasionally present.
The supports of the husbands are minimal as their efforts are shared by two households. The
land ownership book is also found in the name of the women implying that they are the head of
the households. A list of Women Sharing Husbands and considered as FHH is shown in Table
4.1-2.
Table 4.1-2 Women Sharing Husbands and considered as FHH
Family
S. No Name of HHs Sex Marital Status Age Remark
size
1 Bosona Denebo Unta F Married 11 39 FHH
2 Dalu Sabate F Married 11 37 FHH
3 Edatu Nure Ogato F Married 1 50 FHH
4 Edatu Qumbi Badhaso F Married 3 45 FHH
5 Edatu Wariyo F Married 4 40 FHH
6 Fate Hussen Haji F Married 7 30 FHH
7 Fatuma Badiso Turcha F Married 3 40 FHH
8 Hawa Shuba Ayano F Married 7 34 FHH

43
Family
S. No Name of HHs Sex Marital Status Age Remark
size
9 Idatu Wariyo F Married 6 40 FHH
10 Inso Dubiso F Married 6 45 FHH
11 Jomore Abisho F Married 7 43 FHH
12 Subo Edao Dale F Married 7 42 FHH
13 Warqe Birqi F Married 6 55 FHH
4.1.4 Educational Status of Project Affected Households (PAHs)

Educational status of Project Affected Households (PAHs) indicates that 51.6% of the
households are illiterates, 40.65% households have primary level education, 3.23% of
households have secondary level education and the remaining 2.5% & 1.9% of the total
households have Diploma and degree respectively.
Table 4.1-3 Educational Status of PAPs
Educational Status
Projects Kebele
Illiterate Primary (1-8) Secondary (9-12) Diploma Degree
Aluto Langano Abeyi
45 25 4 4 4
Geothermal Deneba
project Aluto 34 38 1 0 0
Total 79 63 5 4 4
Source: - Socio economy field survey, 2019
4.2 Religious and Ethnic Composition

According to the result of field survey, all of the Households affected by the project belong to
Oromo Ethnic group and practice Islam.
4.3 Socio-economic Characteristics

4.3-1 Economic Conditions and Livelihood Activities
Households Income
The result of the survey reveals that the primary occupation for most of the households affected
by Aluto Langano Geothermal project is farming and rearing of livestock. Trade, wage
employment (at previously built power plant/ Aluto Geothermal Development Project under
phase I/ II) and daily labour are additional source of income generating occupations for some
PAPs. The farming system is traditional type of cultivation mainly oxen ploughing, and few
uses rental tractors. Crop production activity is carried out together with livestock production by
project affected households.
The surveyed households grow different types of crops, mainly: Maize, Barley, Wheat and
Sorghum. Most of the affected households support their livelihood from agriculture by selling
44
the above-mentioned crops.

Table 4.3-1 Annual Average Income (BIRR) of Households by Source of Income
Average
No. of Annual income
Project HHs Source of income Occupations
PAHs of PAHs (in
ETB)
Aluto Langano Primary source of income Agriculture 155 84,542
Phase Secondary source of income Gov. employee 2 28,800
Geothermal Rearing of animals 145 7,807
project
Source: - Socio economic field survey, 2019
Household Expenditure
Households in the proposed project area uses income earned from various income streams and
livelihood strategies to meet their livelihood ends. Results of the survey showed that, project
affected households spent an estimated annual total of 31,033 BIRR to meet their livelihood
needs. In terms of purpose of expenditure, (49%) of total annual household expenditure was
for domestic consumption; and 10% was for purchasing agricultural inputs (such as fertilizer
and improved seeds) and related expenses. Expenditure for various social purposes such as
“Edir (a small association in case of burial ceremonies)” and religious commitments account
for about 19% of the total expenditure. The remaining 22% of the total expenditure of the
PAHs is to meet other needs.
Table 4.3-3 Total Annual Expenditure of PAH

Expenditure Category Amount expense per year
Food & other domestic expenditure 15,112
Agriculture, Livestock & related activities 3,050
Social ceremonies 5,871
Other expense 7,000
Total 31,033
Source: - Socio economic field survey, 2019

45
Figure 4.3-1 Total Annual Expenditure of PAHs
4.4 Settlement Pattern and Housing Conditions of the PAHs

All Project affected households living within the Aluto Langano Geothermal project area leads
a permanent and scattered type of settlement. All of the houses in the proposed project area are
Tukuls with grass roof. Some of the pictures presented below show settlement pattern of the
PAHHs.
Figure 4.4- 3 Settlement Pattern of PAHHs
4.5 Landholding
Analysis of landholding shows that the average land holding size of Aluto Langano Geothermal
project affected households, i.e. Golba-Alto & Abayi-Deneba Kebeles are 1.9ha.
105 (68%) HHs have legal land holding right whereas the remaining 50 (32%) HH’s are
occupying lands for a long period of time without legal ownership certificate and identified by
Woreda Administration to be considered in compensation by giving legal ownership right
certificate.
Legalizing of these informal settlers is composed of the following consecutive processes:
46
1. Formulation of committee at the Kebele Level (Composed of 5 persons from Kebele

Officials) which is called “Kore Shellegi” in the local Language (i.e. Oromifa)
2. Identification of HHs who occupy land for a long period of time without the legal land
ownership certificate within the Kebele.
3. Submission of a list of households along with minutes of meeting to the Woreda

Administration illustrating the decisions made by the Kebele Committee.
4. Issuance of legal land ownership certificate by the Woreda Administration, based on the
decision of the committee from project affected Kebele.
Annex I shows a sample of Temporary Legal Land Ownership Certificate issued by the Woreda
Office.
Table 4.5 1 below shows the list of PAPs which have been living within the proposed area for a
long time without legal land ownership certificates (rural squatters) and proportions of legalized
households to date.
As indicated in the table 4.5 1 below, households among informal settlers have been already
given legal land ownership certificates by the Woreda Administration through the above
process. This ownership paper will legitimatize the PAPs for compensation payment and
associated benefits. This is an important and appreciated measure taken by the Woreda
Administration which is an important step to comply to the eligibility criteria as per the national
policy.
The part of the section reads as follows. “Those who do not have formal legal rights to land at
the time the census begins but have a claim to such land or assets--provided that such claims
are recognized under the laws of the country or become recognized through a process identified
in the resettlement plan”
Table 4.5-4 List of HHs without Legal Land Ownership Certificate (formerly informal settlers)
List of HH with
Legal Land
S.No. Lists of Informal Settlers Remark
Holding
Certificates (status)
1 Burako Wako Geda Yes

2 Buta Jolo Boshosho Yes
3 Midhekso Beriso Elemo Yes
4 Buta Jolo Boshosho Yes
5 Gelgelo Jara Genemo Yes
6 Ketebo Bekeru Boshosho Yes
7 Shumi Negewo Kaphano Yes
8 Negeso Refiso Kotu Yes
9 Bushura Gadiso H/Hussein Yes
10 Dangaja Guye Tufa Yes

47
List of HH with
Legal Land
Holding
11 Game Bune Fankasa Yes

12 Midhekso Lenjiso Bunke Yes
13 Bantiyo Lenjiso Bunke Yes
14 Feyiso Tuferi Jara Yes
15 Fatuma H/Hussein Ismael Yes
16 Feyiso Elemo Ogato Yes
17 Adem Buta Yes
18 Hussein Jambo Tussu Yes
19 Feyiso jambo Tussu Yes
20 Aman Tufa Edao Yes
21 Tuke Tufa Edao Yes
22 Beriso Aman Geda Yes
23 Mohamed Ibrahim H/Hussein Yes
24 Wari Hirpho Bune Yes
25 Idris Gadiso H/Hussein Yes
26 Jomore Abishu Bedhaso Yes
27 Dalu sebete Elemo Yes
28 Inso Dubiso Desiso Yes
29 Jambo Tusu Shufa Yes
30 Tibeso Elemo Ogato Yes
31 Temam Gadiso H/Hussein Yes
32 Cachole Kefeni Boru Yes
33 Doti Gemechu Bati Yes
34 Kadir Babure Woticha Yes
35 Adem H/Hussein Boshosho Yes
36 Abdulkarim Sh/Kedir Yes
37 Abdulkarim Sh/Kedir Yes
38 Jalato H/Ararso Abu Yes
39 Warsa Hussein Bone Yes
40 Jawaro Hussein Bone Yes
41 Gudetu Edao Dido Yes
42 Shek Benti Beketa Yes
43 Gutema Rero Roba Yes
44 Alima Lenjiso Bunke Yes
45 Wariso Rero Roba Yes
46 Gemeda Abatiyo Geleto Yes
47 Abetiyo Geleto kellemo Yes

48
List of HH with
Legal Land
Holding
48 Feyso Tufari Jara Yes

49 Mohamed Abu Boshosho Yes
50 Ibrahim H/hussen Boshosho Yes
4.5.1Summary of Household (PAPs) Assets Inventory

The asset inventory is focused on properties situated within the vicinity of the project
implementation areas identified for acquisition. The survey identified 155 households owning
residential houses and trees such as Acacia. About 68% of the surveyed households (PAPs)
possess legal title for the land they own and 32% are settled informally without legally issued
land title or permits to occupy vacant land.
Table 4.5-5 Summary of Inventory of Houses and Assets
No Type of Asset Description of Assets No.

1 Residential House All Made of wood structure, mud plastering with grass covered Roof (Tukul) 26
2 Agricultural Land 46.6 ha of agricultural land affected 155
Big 536
3 Perennial Plants Acacia Medium 361
Small 443
Source: Socio Economic Survey, 2019.

49
5 PROJECT IMPACTS
Discussion of both beneficial and adverse impacts of the Project is presented in the ESIA (2013)
report. The main source of adverse socio-economic impact of the project is the land take
requirement of an estimated 46.6 ha of land currently covered by different land-use types. Other
impacts, such as, impacts of flood on farmland; impacts of harmful gases that are emitted from
wells and concerns in relation to employment opportunity are well addressed in the Project’s
ESMP.
Public consultation has been made with people living around the project area and project
impacts are discussed. The community is aware of the Aluto Geothermal project and the need
for land acquisition. Therefore, in this Chapter, a more detailed description of the adverse
impacts of the project on PAPs is presented.
5.1 Permanent Loss of Residential Land - Displacement

Residential houses and other related structures are among some of the main assets of households
affected by the project. The project activities are expected to affect a total of 26 residential
housing units belonging to 23 HHs. Houses are all made with wooden wall and grass roofs
(Tukul).
Concerning impact on housing by project activities, 7 housing units will be affected by the
Access Roads, and 19 housing units by Drilling activities as distributed as per Table 5.1-1
showm below.
Among affected HHs, there is nobody in total loss. All PAHHs who will lose houses have
remaining plot of land within their ownership (use title) where they can move and construct a
new one.
Table 5.1-1 List of Residental Houses
Project
Name of House Owner Radius of House(m)
component
Drilling Tufari Jara 3
Drilling Husen Dalu 3
Drilling Gemeda Abatiyo 2.5
Drilling Korbe Wako 2.75
Drilling Ebrahim H/Huseein 2.5
Drilling Feyisa Gemechu jolo 3.75
Drilling Gemechu Tibesso 2
Drilling Aman Tibesso 1.75
Drilling Gada Kumbite (1) 2.25
Drilling Gada Kumbite (2) 2.25
Drilling Gudatu Edao (1) 2.5
Drilling Gudatu Edao(2) 2.5
Drilling Edatu Kumbi 2.75

50
Project
Name of House Owner Radius of House(m)
component
Drilling Gena Dalu 3.5
Drilling Tadese Bekele 2
Drilling Sheko Benti 2.3
Drilling Banti Beketa 2.75
Drilling Kadiro Dekebo 2.5
Access road Fatuma H/Gemeda 2.5
Access road Jamala Gemechu (1) 2.5
Access road Jamala Gemechu (2) 2.5
Access road Kaso Bulta 2
Access road Tone Bati 2
Access road Gutama Raro 1.5
Access road Gemechu Hinsene 2.375
Drilling Dalu Dekebo 2.1
26
Housing units (Tukuls) have an average area of 20.9m 2 with 2m height. EEP will take all the
necessary measures to compensate the houses in accordance to FDRE’s Proclamation No.
455/2005, “Proclamation to Provide for the Expropriation of Landholdings for Public Purposes
and Payment of Compensation” and the World Bank Involuntary Resettlement Operational
Policy. The compensation payment will be complemented by livelihoods restoration based on
scope of impact and vulnerable groups assistance needed. Accordingly, compensation is valued
at FRV.
Figure 5.1.4 Affected Houses (Tukul)

Among affected HHs, there is no household in total loss. In addition, All HHs who will lose houses have
remaining land where to move.
5.2 Permanent Loss of Agricultural Land

The project activities such as drilling of deep Geothermal wells, installation of pipelines for

51
abstraction of water and access road construction, etc. require land acquisition. According to a
socio-economic survey conducted starting October 2018, the proposed Aluto Geothermal
project activities/components, i.e. water pipeline, access road construction and drilling
development sites are known to affect about 155 HHs. Among the total affected 60 HHs and
39.02 hectares of farmland will be affected by drilling purposes while 61 HHs and 3.93 hectares
of farmland will be affected by water pipeline stretching and the remaining 34 HHs and 3.67
hectares of farmland due to access road construction. The total farmland, which will be affected
by this project, is about 46.6 hectares. However, the amount of farmland which will be affected
by drilling activities may increase based on the threshold level of noise impact and gas
dispersion potential and direction of flumes during generation of gases. In that case, as this can
not be known at this stage, EEP is committed to amend this RAP with the necessary addendum
pertaining to the national and WB requirements.3
5.3 Permanent Loss of Crops and Trees

As shown in table 4.5-2, because of Aluto Geothermal project activities a total of 1,340 Acacia
trees will be affected by the proposed Drilling, Access Road and Water Line construction. For
this loss, relevant compensation will be made at full replacement cost (see section8.3.2.).
Whereas, the project will not affect fruit trees or perennial crops; thus, no compensation
measures will be required.
5.4 Impact on Other Structures, Business Premises

While conducting field assessment one private graveyard place is found within the proposed
safety zone area left for well (LA-12D) and three others located around the access roads.
Fencing of the graveyard are planned and budgeted in this RAP, in consultation with families of
the deceased. The Project will have no impacts on other privately-owned structures like kitchen,
pit latrine, water harvesting structures, soil conservation structures, grain stores, livestock barn,
livestock watering points, etc. and business premises. Therefore, no compensation measures will
be required.
5.5 Impact on Assets of Public/Community Institutions and Cultural Heritage

Access to social service facilities and infrastructure is generally low in the project area and
project affected communities in particular. Site visits made to the project area and discussions
held with key informants (such as Kebele heads) indicated that the Project will have no impacts
on social service facilities like public buildings, schools, health facilities, telephone lines and
religious institutions. Therefore, no compensation measures will be required. In addition, no
3
It is stated in ESMP that the standard safe distance that community should be away in order not to
be affected by noise and harmful gases is 200m radius from drilling site.

52
archaeological and cultural heritage is found within the project affected areas. If such
archaeological matter/element is found during project implementation period, information will
be immediately provided in written to relevant government body and accordingly necessary
management option will be designed.
5.6 Impact on Communal Property Resources

There are no impact on the communal properties such as grazing land, forests (used as a source
for firewood).
5.7 Impacts on Female-headed Households

The government of Ethiopia have adopted policies to protect the rights of women’s and to
encourage the concept of women’s equality. The problem with the protection of the rights of
women is not the absence of laws but lack of awareness, traditional practices curtailing rights of
women, and absence of strict observance of the laws by government institutions.
However, recent policy changes related to gender equality and women’s empowerment in
Ethiopia are affording women greater protection in terms of land ownership. For examples,
certification of land use rights at the community level allows husbands and wives to be listed as
joint holders of the rights (these rights are inheritable by the remaining spouse when the other
spouse dies).
As is the case in most patrilineal societies, consultations revealed that men in the project area
were the main decision makers on issues regarding land. Women were worried that because of
this, men will receive the compensation package on behalf of the family and may misuse it
thereby rendering the family homeless. Resettlements and relocations are especially a burden for
poor women, who often lack rights and ownership of property, and may not have a say in
relocation and receipt of compensation packages. Therefore, during compensation, women will
be expected to consent on the compensation packages and will be required to open joint bank
accounts with their husbands where applicable in married PAPs. Husband and wife joint
bankbook is a prerequisite to access compensation.
In the rural part of Ethiopia women are the primary responsible for most of the household
activities such as fetching water, collecting firewood and making food. During the resettlement,
it is difficult to adopt with the new way of life and environment in order to perform their
responsibility in a family just like before. Both women and men were consulted on processes
and plan of addressing the various adverse impacts to be occurred due to project activities; this
RAP and the project ESMP constitute the main instruments in addressing PAPs’ and
community’s concerns. Continious consultation is also planned continue to ensuretheir views
and concerns are captured throughout the project duration. The consultation records are included
in Annex D.

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5.8 Impacts on Vulnerable Groups

The vulnerability assessment under this study is focused and analysed within the context of the
following parameters:
a. Households with Elderly persons, over the age of 60 year, as primary income earner of
the family,
b. Households with women as head of households,
c. Households headed with mentally or physically challenged and chronically ill persons
and
d. Households with income levels less than the subsistence level.
When measured against the above parameters, the field survey identified that from the total of
155 Project Affected HH’s, 19.4% are Households headed by elderly, Women Headed
Household account for 15.5% of total surveyed households and only a single household is
headed by a person with visual impairment and physical challenges that require special
assistance during relocation and restoration of livelihood activities.
Comparing the annual income of each household with international poverty level (i.e.1.25 USD
Per day Per Person), the field surveyed data indicates that 63 (40.6%) of the households are
living below the international Poverty level (See ANNEX L). A total of 94 PAHHs are
categorized under the vulnerable groups, thus special assistance during the resettlement
operation as well as livelihood restoration measure will be applicable in order to sustain the
income of those households found below the subsistence level and households exhibiting the
above stated types of vulnerability parameters.
Table 5.8-6 Name of Affected Households and type of Vulnerability

Below
Marital
S. No Name of Vulnerable HHs Sex Age Poverty Remark
Status
line
1 Abatiyo Geleto kellemo M Married 60 x ≥60 Years
2 Abdulmajid H/Husein Boshosho M Married 80 ≥60 Years
3 Abduro urgessa Godana M Married 67 ≥60 Years
Amina Fito Feyiso(H/Ararso
4 F Widowed 40 FHH
Abu Qanchu)
Ayo Obsa (Abu Dame
5 F Widowed 39 FHH
Badhuke)
6 Banti Baqata Ogato M Married 70 ≥60 Years
7 Batiro Bakaru M Married 60 ≥60 Years
Bedatu Dale (Jemala Gemechu
8
Hinsene)
F Widowed 28 X FHH
9 Bonso Bedadi Kebero M Married 60 ≥60 Years
10 Bosona Denebo Unta F Married 39 X FHH
11 Buta Jolo M Married 60 X ≥60 Years

54
Below
Marital
Status
line
12 Dalu Dekebo Dhibo M Married 70 X ≥60 Years
13 Dalu Sabate F Married 37 FHH
14 Dangaja guye Tufa F Widowed 50 X FHH
15 Dekebo Bekeru boshosho M Married 76 ≥60 Years
16 Dhekebo Bakaru Bosh M Married 75 ≥60 Years
17 Dhekemo Edao Shufa M Married 60 ≥60 Years
18 Edao Hinsene Male M Married 75 ≥60 Years
19 Edao Oki Koto M Married 60 X ≥60 Years
20 Edatu Nure Ogato F Married 50 FHH
21 Edatu Qumbi Badhaso F Married 45 FHH
22 Edatu Wariyo F Married 40 FHH
23 Fate Hussen Haji F Married 30 X FHH
24 Fatuma Badiso Turcha F Married 40 FHH
25 Fatuma H/Gemedo Walira F Widowed 40 X FHH
26 Galato H/Midhaso Mieso M Married 65 ≥60 Years
27 Gamachu Ansho Bone M Married 65 ≥60 Years
28 Gamachu Dale Bunke M Married 60 ≥60 Years
29 Gare Qabato Jiru F Widowed 53 X FHH
30 Geda Qumbit Cacco M Married 70 ≥60 Years
31 Gudatu Edao Dido F Widowed 48 FHH
32 Hawa Shuba Ayano F Married 34 X FHH
33 Ibrahim H/Hussien Bushosho M Married 60 ≥60 Years
34 Idatu Wariyo F Married 40 FHH
35 Inso Dubiso F Married 45 x FHH
36 Jambo Tussu Shufa M Married 70 x ≥60 Years
37 Jomore Abisho F Married 43 x FHH
38 Kadir Tibesso Oko M Married 60 x ≥60 Years
FHH&≥60
39 kumbe Burka Bati F Married 60
Years
40 Lema Dubiso Usha M Married died x
41 Megerso Eremo Dhekebo M Married 34 x Disabled
42 Midhaso Lenjiso Bunke M Married 78 x ≥60 Years
43 Negawo H/Ararso Abu M Married 60 ≥60 Years
44 Neggeso Hamiyo Lenjiso M Married 70 ≥60 Years
Radiya Usha Idato(Dkebo Abu
45
Qancho)
F Widowed 40 x FHH
46 Raro Roba Jaga M Married 65 x ≥60 Years
47 Shukuti Edao Shufa M Married 70 ≥60 Years
48 Subo Edao Dale F Married 42 x FHH
49 Tibeso Elemo Ogeto M Married 70 ≥60 Years
50 Tufari Jara Ganamo M Married 70 ≥60 Years
51 Tura Abisho Halaku M Married 80 ≥60 Years

55
Below
Marital
Status
line
52 Warqe Birqi F Married 55 FHH
53 Xone Bati Shufa M Married 63 ≥60 Years
54 Zeyni Wariyo Sakako F Widowed 42 FHH
55 Adam Buta M x
56 Alima Lenjiso Bunke F
57 Aman Tibesso Oki M
58 Aman Tona Edao M
59 Bantiyo Lenjiso Bunke M
60 Bashir Dhekebo Bok M
61 Bude Dalu werwachiso M
62 Dadafo Tufari M
63 Dale Jolo Boshsho M
64 Dale Xone Bati M
65 Doti Gemechu Bati M
66 Dube Jara M
67 Edao Gemeno Amda M
68 Feyiso Jambo M
69 Feyso Tufari Jara M
70 Galgalo Jara M
71 Galgalo Tufa werwachiso M
72 Gamachu Tibesso oki M
73 Game Buni Fonkosa M
74 Haji Dekebo Abu M
75 Haji Gemechu M
76 Husein Gada Elemo M
77 Hussein Abdala M
78 Hussein Jambo M
79 Kadir Hirpho M
80 Kadiro Dekebo Abu M
81 Kadr Kasim M
82 Kenu Kafani M
83 Kurse Gemechu Hamda M
84 Osi Jambo M
85 Sheka Banti Baqata M
86 Shule Tufa Warwachiso M
87 Shumi Negewo Kaphano M
88 Xasha Qufa Edao F
89 Wariso Buta M
90 Wariso Hussien Bone M
91 Tuka Tufa M
92 Wari Hirpho M
93 Temam Abdulmejid M
94 Tola Buta M

56
5.9 Summary of Land Acquisition Key Issues

The overall findings of impact assessment are summarized as follows:
A. In most parts of the project areas, major impacts on social and environmental aspects
by the proposed project construction activities have considered due account to avoid
project associated impacts as muchas possible. While, unavoidable impacts to be
caused by project activities will be mitigated by this RAP as well as the project ESMP.
B. Among affected HHs, there is nobody in total loss. All PAHHs who will lose houses
have remaining plot of land within their ownership (use title) where they can move and
construct a new one.
C. Households that are affected by the expropriation of land and assets, i.e. for the
construction of deep geothermal wells, access road and water line construction will be
compensated for their affected assets according to the national law and in compliance
with World Bank OP 4.12 requirements.
D. A total of 155 HHs living within the project implementation area likely to be affected
to the extent of demolition or reposition their properties or removal of plants from the
proposed project area.
E. 105 HH’s, have legal land holding right but 50 HHs are occupying lands for a long
period without legal ownership certificate and identified by Woreda administration to
be incorporated in compensation by giving legal ownership right certificate.
F. About 46.6 ha of farmland and 26 houses (owned by 23 HHs) are affected and will be
compensated based on full replacement rate principle and by considering relevant
national laws and WB Operational Policies.
G. The survey also noted that absence of clear and effective land management policy and
weak enforcement capacity of local authorities contributed for information gap about
the existing land size and there are no exactly known and documented boundaries
(Coordinates/GPS) for some of the PAHH’s.
5.10 Classification and Categorization of PAHs

As the clearance of land is required to ensure the drilling of wells, safe construction of access
road and water line, all permanent structures such as residential houses, plants and other assets
found within the implementation areas need to be removed in order to give way for the
intended activities. The ESMP identified that the standard safe distance that community should be
away in order not to be affected by noise and harmful gases is 200m radius from drilling site.
According to West Japan Engineering Consultants (JICA, Preparatory Survey Team, 2017) for
drilling of production wells i.e., LA-9D and LA-10D, the concentrations of H2S were predicted by

57
using a plume diffusion model and diffusion parameters (Pasquill stabilities). The predicted 24-
hour mean of maximum ground level H2S concentrations was less than 0.1 ppm at the site of the
nearest house (650m) and the concentration of H2S in the area around the power plant (around
150m from the well 9D) were less than 1 ppm. In this connection, compared to the odor threshold
i.e., 0.05, the amount of H2S i.e., 0.1ppm was slightly significant. In addition, noise at the power
plant site during construction was found 44 dB and during in-service period was 73dB which
meets the exposure limit for the industrial area. Furthermore, detail mitigation measures are
provided in the ESMP. Therefore, based on the study for LA-9D and LA-10D, estimation at 150m
distance attenuated the permissible limit to H2S and odor. Therefore, for the current project, other
than the 50m2 drilling site, 150 m safe zone was taken as the area of influence.
The major adverse social impacts of the proposed project arise from demolition or removal of
physical assets within this area, clearances along the water line, access road route and drilling
sites.
Accordingly, the assessment identified 26 residential houses all made with wood structure,
plastered with mud and grass made roofing materials. On the other hand, 536, 361 and 443
permanent trees which are belonging to 82 HH’s categorized as Big, Medium and small
respectively, presently occupying land and requiring removal or clearing to proceed the
implementation of the project.
In general, based on type, magnitude and nature of impacts, the above mentioned and all the
other PAHs are classified and categorized under the following five categories.
Table 5.10-7 AHs Categorization per type of losses
Type of
Category Description N of HHs
loss/impact
Category 1 Household have legal ownership right
Houses only Loss of houses for the lands and Houses within it.
1
PAPs from the affected Kebele are
entitled.
Category 2 HHs, who are legally own lands for
Agricultural Loss of farming and cultivate and other
land only. Agricultural land perennial plants. 53
entitled.
Category 3 HHs who legally own lands and
Loss of both
Agricultural cultivate crops and perennial Trees.
house and 4
Land and PAPs from the affected Kebele are
agricultural land
Houses. entitled.
Category 4 HHs are cultivating crops within the
Loss of
Agricultural proposed area and some have both
Agricultural
land and Agricultural Lands and Trees. 78
Land including
Perennial Trees. PAPs from the affected Kebele are
Trees
entitled

58
Type of
Category Description N of HHs
loss/impact
Category 5
HHs, losses their House, Agricultural
Agricultural Loss of Houses,
land as well as Perennial Trees.
Land, House agricultural Land 19
and Trees and Trees.
entitled.
The 155 households categorized in different sections in the matrix are a mix of project affected
households having formal and informal land holding entitlements, before this RAP undertaking.
The Woreda administration has passed a decision to provide legal land use paper to HHs so as to
make them eligible for compensation payment. At present, all informal settlers have already
been given land use certificate by the Woreda.
HHs exhibiting different types of vulnerabilities (elderly, FHH, ultra poor etc.) are found in all
categories in the matrix. Detail information (the number of HHs with vulnerability along with
type of vulnerability is given in Annex B- List of HHs to be compensated.

59
6 LEGAL AND POLICY FRAMEWORK

This chapter reviews pertinent policies, proclamations and guidelines of the country and the
financers as references for the entire RAP preparation and implementation processes.
6.1 The Constitution of Ethiopia

 Article 40(2), 40(4), 40(5) and 40(8) are the major provisions in the constitution of the
Federal Democratic Republic of Ethiopia that are intended to defend and protect the
Ethiopian citizens ‘rights to private property and set conditions for expropriation of such
property for state or public interest.
 Article 40(8) of the constitution states that “without prejudice to the right to private
property, the government may expropriate private lands for public purpose” with prior
payment of adequate compensation.
 Article 44(2) stipulates that all people who have been displaced or whose livelihoods
have been adversely affected because of the state programs shall have the right to receive
adequate monetary or other alternative compensation, including transfer with assistance
to another locality.
6.2 Environmental Policy of Ethiopia

The Environmental Policy of the Federal Democratic Republic of Ethiopia was approved by the
Council of Ministers in April 1997. Its overall policy goal can be summarized in terms of the
improvement and enhancement of the health and quality of life of all Ethiopians and the
promotion of sustainable social and economic development through the adoption of sound
environmental management principles.
The policy is integrated with the overall long-term strategy of the country - agricultural led
industrialization and other key national policies. It sets out its specific objectives and key
guiding principles, contains sectoral and cross-sectoral policies and provisions necessary for the
appropriate implementation of the Policy itself.
With respect to environmental impact assessment (EIA) the Policy sets out specific policies, key
elements of the policy are summarized hereunder:
 The need to address social, socio-economic, political and cultural impacts in addition to
physical and biological impacts and to integrate public consultation within the EIA
procedures.
 Incorporation of impact containment measures into the design process of public and
private sector development projects and inclusion into EIA of mitigation measures and
accident contingency plans.
 Development of detailed technical and sectoral guidelines for EIA and environmental
auditing.
 Establishment of an interlinked legal and institutional framework for the EIA process to
ensure that development projects are subjected to environmental impact assessment,
audit and approval in a coordinated manner.
60
 Development of EIA and environmental auditing capacity within the Environmental

 Protection Authority, sectoral ministries and agencies as well as regions.
The Policy has been developed as a national instrument enhancing the objectives of the
Constitution and setting out clear cut directions with respect to environmental concerns
particularly in terms of regulatory measures adopted as well as in the process of design,
implementation and operation of development projects. Its recognition of the significance of
addressing cross-sectoral environmental issues in the context of a national approach to
environmental assessment and management integrates the efforts of a wide range of institutions
across the country. It provides a sound and rational basis for addressing the country’s
environmental problems in a coordinated manner.
6.3 Land Ownership Policy in Ethiopia

Land in Ethiopia is a public property and that no individual person has the legal right of
ownership, and hence, rural or urban land could not be sold or mortgaged or transferred; citizens
have usufruct right only over land. A usufruct right gives the user of the land the right to use and
the right to benefit from the fruits of her/his labour, which may be crops, trees, etc. found on the
land or any permanent works such as buildings etc. In Ethiopia, land ownership is a
constitutional issue.
According to the Constitution of Federal Democratic Republic of Ethiopia (FDRE) article 40.3,
land is a public property that no individual person has the legal right of ownership. There is no
private ownership of land in Ethiopia, as per FDRE constitution Article 40 (the Right to
property) No.2, “Land is a common property of the Ethiopian Nations, Nationalities and Peoples
of Ethiopia and shall not be subject to sale or to other means of exchange”.
The Constitution states that the Government has the right to expropriate private property for
public use subject to payment in advance of compensation commensurate to the value of the
property. The FDRE Constitution (Article 40, No. 8) states that the Government has the right to
expropriate private property for public purposes by providing the appropriate compensation.
FDRE Constitution lays down the basis for the property to be compensated in case of
expropriation as a result of State programs or projects in both rural and urban areas. Persons
who have lost their land as a result of acquisition of such land for the purpose of public projects
are entitled to be compensated to a similar land plus the related costs arising from relocation;
assets such as buildings, crops or fruit trees that are part of the land etc.
Hence, Article 40 No.7 FDRE Constitution states the right of citizens to develop the land and to
have immovable property and make permanent improvements. “Every Ethiopian shall have the
full right to the immovable property he builds and to the permanent improvements he brings
about on the land by his labour or capital. This right shall include the right to alienate, to
bequeath, and, where the right use expires, to remove his property, transfer his title, or claim
compensation for it. Particulars shall be determined by law”.

61
Article 40, No. 8 of the Constitution, states that if the land that is used by an individual is
expropriated for public use, the person is entitled for compensation; “… the Government has the
right to expropriate private property for public purposes subject to payment in advance of
compensation commensurate to the value of property”.
Regarding displacement of the public due to development projects, the FDRE Constitution of
Article 44 (Environmental Rights) No.2 states that: “All persons who have been displaced or
whose livelihoods have been adversely affected as a result of state programs have the right to
commensurate monetary or alternative means of compensation, including relocation with
adequate state assistance”.
6.4 Legislation on Expropriation of Land and Compensation Proclamation No.455/2005

The Government of FDRE has issued legislation in July 2005 for the expropriation of
landholdings, which is known as “Expropriation of Land Holdings for Public Purposes and
Payment of Compensation (Proclamation No. 455/2005).” The objectives of the proclamation
are to minimize and mitigate the impacts due to the expropriation of landholdings for public
purposes. The proclamation clarifies and defines who has the power to expropriate landholdings
either in urban or rural sections of the country. As per the proclamation, the power of
expropriation of landholdings mainly rests on Wareda or urban administration authorities.
Article 3 No.1 of the proclamation states that: “A Wareda or an urban administration shall,
upon payment in advance of compensation in accordance with this proclamation, have the
power to expropriate rural or urban landholdings for public purpose where it believes that it
should be used for a better development project to be carried out by public entities, private
investors, cooperative societies or other organs, or where such expropriation has been decided
by the appropriate higher regional or federal government organ for the same purpose.”
A land holder whose land has been expropriated for public use by the concerned government
authorities is entitled for compensation for his property situated on the land and for the
permanent improvements he made on the land.
The amount compensation to be paid for the property situated on the expropriated land will be
determined or calculated on the basis of full replacement cost. For houses in urban areas, the
amount of compensation will not be less than the current market value of construction.
Wereda or urban administration once received details on land acquisition for the construction
works from EEP/AGP has to notify in writing to the entity (which is either an individual or an
organization) to be expropriated indicating the time not less than 90 days when the land has to
be vacated and the amount of compensation to be paid. The PAPs once notified will be
immediately compensated for lost assets and properties prior to their relocation or vacating the
land.
A rural land holder, where his land does not have any crop or other property on the expropriated
land should hand over within 30 days after compensation is paid.4 Article 8, sub article 3, states
4
It does not mean that the compensation is not paid for land having no assets on it. The 30 days length refer to the
62
that the woreda administration to the extent possible, when avilable will allocate comparable
land of fertility and productivity to the affected people, in addition to displacement
compensation payment.
The proclamation also clarifies how utility lines such as Pipeline, Electricity line and Telephone
linethat are owned and provided by Federal or Regional Government Offices, or by a public
enterprise should be treated and compensated. Utility lines could only be removed from
expropriated land by payment of compensation (Outright expropriation). The project owner has
the responsibility to inform the utility provider in writing by indicating the exact location of the
lines that will be removed.
The utility provider is responsible in determining the amount compensation, which is required
for replacing the lines within 30 days of notice; and the body, which requested the removal of
utility line have also to pay compensation within 30 days from the date of the receipt of the
valuation.
Any expropriated property; in addition to the amount of compensation payment, it will also
receive a provision for cost of removal, transportation and erection.
Concerning displacement compensation for rural land holdings, a rural landholder whose land
holding has been permanently expropriated shall, also be paid displacement compensation
equivalent to ten times the average annual income he secured during the five years preceding the
expropriation of the land (Part 3, article 8). With this, when the Woreda is not able to provide
alternative comparable land of fertility, location and productivity, PAPs are believed to be able
to secure equivalent alternative livelihood using the compensation payment, complemented by
livelihoods restoration based on scope of impact and vulnerable groups assistant for those who
meet the criteria.
The above proclamation also states that the valuation of property shall be determined based on
valuation formula to be adopted at national level by the Ministry of Federal Affairs. The details
of valuation and compensation for losses is discussed in detail in section nine of this RAP.
However, until such time valuation of properties will be carried out by property valuation
committees to be established both in rural and urban areas as stated in article 10 of the
proclamation. Accordingly, the valuation of assets was carried out by Asset Valuation
Committee formed at woreda level. The committee met project affected HHs through door to
door visits and did asset inventory. Assets are valued at replacement rate based on the current
market prices obtained from different sector bureau of woreda administration.
period within which the HH should handover such type of land, ater the payment of relevant compensation.As
discussed in the later section (Table 6.10-1, page 71-Comparisons of the National Legal Provisions of World Bank
Op 4.12 and Ethiopian Legislation), Where domestic law does not meet the standard of compensation at full
replacement cost, compensation under domestic law is supplemented by additional measures necessary to meet the
replacement cost standard. Compensation will be provided at FRV and livelihood restoration will be implemented

63
6.5 FDRE Council of Ministers Regulation No. 135/2007

FDRE Council of ministers issued a regulation on July 2007, regarding the payment of
compensation for property situated on land holdings expropriated for public purposes. The
regulation provides the basis for compensation of affected properties and to assist the displaced or
affected persons to restore their livelihood.
The regulation sets the methods for the assessment of compensation, provision of land for land
replacement and payment of displacement compensation.
The methodology followed by the regulation for the assessment of compensation establishes the
basis and formula for compensation that will be made for the different types of assets and
categorizes into ten parts.
The regulation recognizes that land replacement should be made for urban and rural lands. In rural
areas if land replacement is not possible for permanently affected land, PAPs will be compensated
for the affected perennial crops ten times of the annual production. For temporary impact, the
amount of compensation will be calculated by the number of years the land is occupied by the
project.
6.6 Proclamation on Rural Land Administration and Land Use, No. 456/2005
This Proclamation, Proc. No. 456/2005, came into effect in July 2005. The objective of the
Proclamation is to conserve and develop natural resources in rural areas by promoting
sustainable land use practices. In order to encourage farmers and pastoralists to implement
measures to guard against soil erosion, the Proclamation introduces a Rural Land Holding
Certificate, which provides a level of security of tenure.
Ministry of Agriculture is charged with the responsibility of executing the Proclamation by
providing support and coordinating the activities of the regional authorities. Regional governments
have an obligation to establish a competent organization to implement the rural land administration
and land use law.
According the Proclamation where land, which has already been registered, is to be acquired for
public works, compensation commensurate with the improvements made to the land shall be
paid to the land use holder or substitute land shall be offered. The Proclamation imposes
restrictions on the use of various categories of land, for example wetland areas, steep slopes,
land dissected by gullies, etc.
Article 6 sub article 4 of the proclamation is worth mentioning. The article states that where
land is jointly held by husband and wife or by other persons, the holding certificate shall be
prepared in the name of all the joint holders.
Many studies and empirical data have also indicated that the proclamation practically translated
in to practice especially in four major regions of the country- Tigray, Amhara, Oromia and
SNNPR. This has been also found to enhance women security all over the areas.5
5
Desslagen Rhamato, 2018, Land, Landlessness and poverty in Ethiopia
64
6.7 Oromia Rural Land Use and Administration Proclamation No. 130/ 2007
 Article 7, Determination of Farm Plot Size/ Minimum land holding
Maintaining the existing farm plot size as it is, the holding size for the future shall not be less
than 0 .5 hectares for annual crops, and 0 .25 hectares for perennial crops.
 Article 4: For proper utilization of irrigation land and water resource, irrigation
land shall be distributed/redistributed as follows:
A maximum holding size of irrigation land of a peasant household shall not exceed 0.5
hectare.
(d) Giving priority consideration of retaining the maximum holding size of 0.5 hectare for
each holder whose land have fallen under irrigation development, and later from the
remaining land a minimum holding size of 0 .25 hectare of land shall be distributed for
peasants in the vicinity of the.
(e) Any peasant, pastoralist and semi pastoralist whose irrigable land holding is redistribute d
to others shall be compensated with a reasonable rain fed land by the users of the schemes. If
compensation is not possible the landholder shall have the right to get additional half (0.5)
hectare from the irrigable land.
 Article 15: Rural Land Measurement, Registration and Holding Certification
1. The size of rural lands under the holdings of private, communities, governmental and non-
governmental organizations shall be measured in accordance with their size, land use, and
fertility status and shall be registered by the data centres established hierarchy.
2. The rural land holdings described in Sub-Article 1 of this Article shall be surveyed with geo-
referenced boundaries and maps shall be prepared by Oromia Agricultural and Rural
Development Bureau.
3. Rural land holding data including the current holder, its boundaries, status, potentials, the right and
obligation of the holder shall be registered by Oromia Agricultural and Rural Development Bureau
and be availed for utilization.
4. Any holder of rural land shall be given a holding certificate by Oromia Agricultural and Rural
Development Bureau describing the size of holding, use and coverage, fertility status and
boundary, and also the right and obligation of the holder.
5. Any rural land that is held by lease or rent shall be registered by Agricultural and Rural
Development Bureau of Oromia.
6. Any rural landholder shall be given a lifetime certificate of holding.
7. Any peasant or pastoralist, or semi pastoralists who has the right to use rural land shall have the
right to use and lease on his holdings, transfer it to his family member and dispose property
produced there on, and to sell, exchange and transfer the same without any time bound
8. Governmental, non-governmental organizations, investors and social organizations shall get
certificate on their holdings.
9. Husband and wife holding a common land holding, shall be given a joint certificate of holding
specifying both their names.

65
 Article 16: Conflict and Dispute Resolution

1. Any conflict or disputes arising on land shall be resolved as follow:
(a) First application shall be submitted to the local Kebele Administration.
(b) The parties shall elect two arbitrary elders each.
(c) Chairpersons of arbitration elders are elected by the parties or by the arbitral elders, if not
agreed up on shall be assigned by local Kebele administrator.
(d) The Kebele Administration to whom the application is lodged shall cause the arbitrary elders
to produce the result of the arbitration within 15 days.
(e) The result of given by the arbitration shall be registered at the Kebele Administration, and a
copy with an official seal shall be given to both parties.
(f) A Party, who has complaint on the rating elders, has the right to institute his case to the
Woreda court attaching the result of arbitration elders within 30 days as of the date
registered by the Kebele Administration.
(g) Woreda court shall not receive the suit if the result given by the arbitration is not attached to
it.
(h) The party dissatisfied by the decision given by the Woreda court shall have the right to
appeal to the high court.
(i) If the high court altered the decision rendered by the Woreda court, the dissatisfied party
may appeal to the Supreme Court.
(j) The decision given by the Supreme Court shall be the final.
2. Notwithstanding the provision described Sub-Article 1 of this Article, the parties shall have
the right to resolve their cases in any form they agreed upon.
3. Pending Cases
(a) Pending cases at Kebele Social Court shall be resolved according Article 16 of this
Proclamation.
(b) Pending cases at Woreda and other courts shall continue as it is.
6.8 Proclamation on Research and Conservation of Cultural Heritage

Proclamation No. 209/2000 provides legal framework for Research and Conservation of
Cultural Heritage. The Proclamation establishes the Authority for Research and Conservation
of Cultural Heritage (ARCCH) as a government institution with a juridical personality. In
addition, it has provisions for management, exploration, discovery and study of Cultural
Heritage and miscellaneous provisions The Proclamation defines the objectives, powers and
duties of the Authority (ARCCH. It also has provisions on Management of Cultural Heritage.
Among these are provisions on Ownership and Duties of Owners, Classification, Registration,
Conservation and Restoration, Removal, the Use, and Expropriation of Cultural Heritage,
Preservation of Cultural Heritage Situated on Land given in Usufruct, and Establishment of
Museum.
Under Miscellaneous Provisions, the Proclamation states that, any person who holds permit to
conduct construction works in a reserved area [an area declared to be containing an
66
assemblage of immovable Cultural Heritage or an archaeological site] and who discovers

Cultural Heritage in the course of construction activities shall stop construction and shall
forthwith report it in writing to the Authority.
6.9 National Policy on Women

This policy was issued in March 1993 and stresses that all economic and social programs and
activities should ensure equal access of men and women to the country’s resources and in the
decision-making process so that they can benefit equally from all activities carried out by the
central and regional institutions.
6.10 World Bank Operational Policy on Involuntary Resettlement (OP 4.12)

World Bank Operational Policy describes:
Bank policy and procedures on involuntary resettlement as well as the conditions that
borrowers are expected to meet in projects involving involuntary resettlement
 Planning and financing resettlement components or freestanding projects are an integral
part of preparation for projects that cause involuntary displacement.
 Any operation that involves land acquisition or is a category A or B project resettlement
requirements early in the project cycle.
Development projects that displaces people involuntarily generally give rise to economic, social
and environmental problems: production systems are dismantled; productive assets and income
sources are lost; people are relocated to environments where their productive skills may be less
applicable and the competition for recourses greater; community structures and social networks
are weakened kin groups are dispersed, cultural identity, traditional authority and the potential
for mutual help are diminished. Involuntary resettlement may cause severe long-term hardship,
impoverishment and environmental damage unless appropriate measures are carefully planned
and carried out.
The World Bank’s requirements regarding involuntary resettlement are detailed in Operational
Policy. The Policy outlines the following principles:
 Acquisition of land and other assets and resettlement of people will be minimized as
much as possible by identifying possible alternative project designs and appropriate
social, economic, operational and engineering solutions that have the least impact on
populations in the Project area.
 The populations affected by the Project are defined as those who may stand to lose as a
consequence of the Project, all or part of their physical and non-physical assets,
including homes, homesteads, productive lands, commercial properties, tenancy,
income-earning opportunities, social and cultural activities and relationships and other
losses that may be identified during the process of resettlement planning.
 All PAPs who will be identified in the project impacted areas as of the date of the
updated census and inventory of losses, will be entitled to be compensated for their lost

67
assets, incomes and businesses at full replacement cost and provided with rehabilitation
measures sufficient to assist them to improve or at least maintain their pre-project living
standards, income earning capacity and production levels.
 All affected populations will be equally eligible for compensation and rehabilitation
assistance, irrespective of tenure status, social or economic standing and any such factors
that may discriminate against achieving the objectives outlined above.
The rehabilitation measures to be provided are:
 Cash compensation for houses and other structures at replacement cost of materials and
labour without deduction for depreciation or salvageable materials.
 Full title to replacement agricultural land for land of an equal productive capacity
acceptable to the PAP.
 Full title to replacement residential and commercial land of equal size acceptable to the
PAP or at the informed decision of the PAP, cash for replacement land at replacement
cost at current market value.
 Cash compensation for crops and trees at current market value and relocation allowances
and rehabilitation assistance.
 Sufficient time will be allowed for replacement structures to be built before construction
begins.
 Affected land from the construction of access routes or earth-moving activities will be
restored to pre-project condition.
 The compensation and resettlement activities will be satisfactorily completed and
rehabilitation measures in place and all encumbrances removed before the respective
Governments and World Bank will approve commencement of civil works for that
contract area.
 Adequate budget support will be fully committed and be made available to cover the
costs of land acquisition and resettlement and rehabilitation within the agreed
implementation period.
 Special measures shall be incorporated in the RAP and complementary mitigation and
enhancement activities to protect socially and economically vulnerable groups such as
women- headed families, children and elderly people without support structures and
people living in extreme poverty.
 Grievance procedures shall be established and put in place and PAPs needs to inform of
them before any resettlement activities begin.
 Details of the RAP shall be distributed to the PAPs by the Client and placed in relevant
stakeholder offices for the reference of PAPs as well any interested groups.
 Appropriate reporting, monitoring and evaluation mechanisms will be identified and set
in place as part of the resettlement management system and an external monitor hired
before commencement of any resettlement activities.
In Table 6.10-1 Comparisons of the National Legal Provisions with that of the World Bank
Operational Policies are presented as follows. Where there is a difference between national law
and OP 4.12, the higher standard shall prevail.

68

69
Table 6.10-1 Comparisons of the National Legal Provisions of World Bank Op 4.12 and Ethiopian Legislation
Theme World Bank Op 4.12 Ethiopian Legislation Comparison Recommendations to

Address Gaps
Policy World bank OP4.12 has overall policy Proclamation No 455/2005 (Article The World Bank requirement for World Band OP 4.12 overall
Objectives objectives, requiring that: 3(1)) gives power to Wereda or urban avoidance or minimization of involuntary objectives shall be applied to
Involuntary resettlement should be administrations to “expropriate rural resettlement is not written into Ethiopian avoiding or minimizing
avoided wherever possible, or or urban landholdings for public legislation. Proclamation No 455/2005 involuntary resettlement to ensure
minimized, exploring all alternatives. purpose where it believes that it does not indicate consultation with resettlement program is sustainable
should be used for a better displaced persons throughout the and includes meaningful
Resettlement program should be
development…”This is supported by resettlement process, rather only allows consultation.
sustainable, include meaningful
Article 51(5) and Article 40(8) of the for a complaints and grievance process.
consultation with affected parties and
1995 Constitution. Although Proclamation No 455/2005
provide benefits e affected parties
Proclamation No 455/2005 (Article allows for some form of support to the
Displaced persons should be assisted in displaced persons, it does not explicitly
7(5) states that” the cost of removal,
improving livelihoods etc. or at least state that livelihoods should be restored to
transportation and erection shall be
restoring them to previous levels previous levels or improved.
paid as compensation for a property
that could be relocated and continue to
serve as before.”
Notification Article 10 of World Bank OP4.12 Article 4 of Proclamation No There is a gap in Proclamation No Displaced person should always be
period /timing of requires that the resettlement activities 455/2005 requires notification in 455/2005 to allow land to be expropriated paid compensation and support
displacement associated with a sub projects are writing, with details of timing and before necessary measures for before the land is handed over, as
linked to the implementation of compensation, which cannot be less resettlement take place, particularly per World Bank OP4.12.
development program to ensure than 90 days from notification. It before the displaced person has been paid.
displacement or restriction of access requires that land should be handed This is just an exceptional case where
does not occur before necessary over within 90 days of payment of there is litigation or complain on the part
measures for resettlement are in place. compensation payments. If there is no of PAPs.
In particular, taking of land and related crop or other property on the land, it
assets may take place only after must be handed over within 30 days of
compensation has been paid and where notice of expropriation. It further
applicable, resettlement sites and gives power to seize the land through
moving allowances have been provided police force should the landholder be
to displaced persons. unwilling to hand over the land .

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Address Gaps
Eligibility for World Bank OP4.12 gives eligibility to: Proclamation No 455/2005, Article According to World Bank OP4.12, The requirements of World Bank
Compensation Those who have formal legal rights to 7(1) allows’ landholders’ to be eligibility for compensation is granted to OP4.12, as described in Column 1
the land; eligible for compensation, where the “affected parties". Ethiopian Legislation of this tablewill apply,
term “landholder” (Article2(3) means” only grants compensation to those with
Those who do not have formal legal
and individual, government or private lawful possession of the land, and as per
rights to land, but have a claim to such
organization or any other organ which Proclamation No 456, those with
land; and
has legal personality and have lawful traditional possession i.e. Communal
Those who do not have recognizable possession over the land to be lands. It therefore does not recognize
legal right or claim to the land expropriated and owns property those without a legal right or claim as
situated thereon” eligible for compensation.
Compensation World Bank OP4.12 Article 6(a) Article 7 of Proclamation No. The World Bank requirement for The World Bank requirements for
requires that displaced persons be 455/2005 entitles the landholder to compensation and valuation of assets it compensation must be followed, as
provided with prompt and effective compensation for the property on the that compensation and relocation must per OP4.12 footnote 1, which
compensation at full replacement cost land based on replacement cost; and result in the affected person must have states, “Where domestic law does
for losses of assets attributable directly permanent improvements to the land, property and a livelihood returned to not meet the standard of
to the project. If physical relocation is equal to the value of capital and them to at least equivalent standards as compensation at full replacement
an impact, displaced persons must be labour expended. Where property is before. This is not clearly stated in local cost, compensation under domestic
provided with assistance during on urban land, compensation may not Proclamations. It is expected that the law is supplemented by additional
relocation and residential housing, be less than constructing a single room regulations and directives will provide measures necessary to meet the
housing sites and /or agricultural sites low cost house as per the region in more clarity and clearer guidance in this replacement cost standard”
to at least equivalent standards as the which it is located. It also requires that regard.
previous site. Replacement cost does the cost of removal, transportation and
Compensation will be provided at
not consider depreciation. In term of erection will be paid as compensation
FRV and complemented by
valuing assets. for a relocated property continuing its
livelihood restoration based on
service as before. Valuation formula
scope of impact and vulnerable
are provided in Regulation No.
groups assistance for those who are
135/2007
eligible.
Responsibilities According to OP4.12, Article 14 and Article 5 of Proclamation No The process required for the project As per the World Bank
of the project 18), the borrower is responsible for 455/2005 sets out the responsibilities proponent / implementing agency lacks requirements, project processes
proponent conducting a census and preparing, of the implementing agency, requiring descriptive processes in local included screening, a census, the
implementing, and monitoring the them to gather data on the land needed legislations... development of a plan, and
appropriate resettlement instrument. and works, and to send this to the management of compensation
Article 24 states that the borrower is appropriate officials for permission. If payments, monitoring, and
71

Address Gaps
also responsible for adequate also requires them to pay evaluation of success. It must also
monitoring and evaluation of the compensation to affected landholders. include proper consultation with
activities set forth in the resettlement the affected parties throughout the
instrument. In addition, upon process.
completion of the project, the borrower
must undertake an assessment to
determine whether the objectives of the
resettlement instrument have been
achieved. This must all be done
according to the requirements of
OP4.12. Article 19 requires that the
borrower inform potentially displaced
persons at an early stage about the
resettlement aspects of the project and
takes their views into account in project
design.

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7 INSTITUTIONAL FRAMEWORK
7.1 Introduction
The preparation and implementation process of the resettlement action plan will require the
participation of several institutions at different levels. Coordination of the participating
institutions is a critical requirement to a successful compensation, livelihoods
restoration/community development program. It is always required to have this addressed early
into the project cycle, so that all participating parties are made aware of each other’s
responsibilities, lines of reporting, communication channels, expectations and authority limits.
7.2 Inter-Agency Coordination
The overall responsibility for the regulation of land acquisition process lies with them Ministry
of Federal Affairs and the regional state governments who have the duty to administer land and
other natural resources in their respective regional states according to federal laws. Regional
states execute this function through the relevant Woreda. To that effect, EEP furnished the
A/T/J/K/Woreda with the project details and land requirements at least one year prior to land
acquisition. In the context of the proposed AGP, the A/T/J/K/Woreda is constitutionally
authorized to expropriate rural land for public purposes upon payment of appropriate
compensation.
7.3 Expected Responsibilities of the Participating Agencies
7.3.1 The Ministry of Water, Irrigation and Energy (MoWIE)
The Ministry of Water, Irrigation and Energy (MoWIE is the main federal body responsible for
planning, budgeting, guidance, supervision and execution of power and power related projects
in Ethiopia. The ministry oversees power sector development projects through the Ethiopian
Electric Power (EEP).
7.3.2 The Ministry of Finance and Economic Cooperation (MoFEC)
The Ministry of Finance and Economic Cooperation is the responsible Ministry for the
disbursement of the allotted budget for the resettlement. EEP submits its annual budget
including the allotment for the resettlement, which would be ratified by the House of the
Peoples' Representatives.
7.3.3 The Ministry of Women and Children Office
The Ministry of Women and Children through its regional and Woreda offices shall be
responsible for encouraging participation of women in all aspects of planning, management and
implementation of the RAP.
7.3.4 Ethiopian Electric Power
The corporation has been restructured into two institutions. Namely, the Ethiopian Electric

73
Power (EEP) and Ethiopian Electric Utility (EEU) aiming at facilitation of the sector`s
efficiency and effectiveness. The EEP bears the overall responsibility of allocating sufficient
budget, disbursement of compensations and monitoring of all recommended systems and
structures are in place for effective implementation of the RAP
The responsibilities of Ethiopian Electric Power are;
 Delineation of required land / way leaves boundaries.
 Notification of the Woreda regarding the project land requirements.
 Coordination with the project developer in relation to the financing of the compensation
budget.
 Implement consultations with the affected communities prior to conception of the plan
of acquisition.
 Oversee the process of land acquisition, compensation and relocation of affected HHs
7.3.5Aluto Geothermal project (AGP)
The main responsibilities of the Aluto geothermal project are as follows
 Financing of the compensation and livelihood restoration/community development
activities
 Establish PAP baselines for purposes of informing future monitoring and development
of appropriate compensation packages and livelihood restoration plan.
 Hire and deploy a Social development officer to manage the interaction between the
project and the affected communities and work closely with the Kebele and Woreda
administration.
 Together with A/T/J/K/ Woreda, implement the compensation plan and deliver
compensation packages.
 Develop a detailed plan for relocation of physically displaced households and
livelihood restoration, which is additional to the compensation payments
 Together with the Kebele administration and other institutions at higher levels, attend
to all grievances as a result of the land acquisition, resettlement and livelihood
restoration/community development process
 Monitoring and Reporting
7.3.6 AGP Environmental and Social Management Team (ESMT)
The ESMT works in line with the environmental proclamations, policies and international
conventions enforcing EEP to comply. The major task of the Aluto Geothermal Environment
and Social monitoring team is to conduct periodic monitoring in Aluto geothermal project and
operational activities of the project, Environmental and Social impact Assessment (ESIA) and
Resettlement Action Plan (RAP). The team ensures that the project is complying with the
approved environmental and social management plan and undertaking the appropriate
mitigation measures accordingly. The team will provide technical support to the woreda and
do regular monitoring to assess potential risks and propose mitigation measures. in accordance
to the requirements set out in Ethiopia‘s Resettlement Policy frameworks and WB Safeguard

74
Policies.
7.4 Institutional Arrangement at Local Level

The responsibilities of AGP and local authorities are clearly differentiated. Some seemingly
overlaping of responsibilities may arise mainly as a result of the fact that some activities are
carried out in cooperation. There will not be any resource flows between AGP and local
authorities. All compensation will be directly paid to PAPs by EEP. EEP also takes care of all
RAP budget for LRP and community development program. Costs associated with allowances
for various work of the RAP (valuation of assets, monitoring etc) will be also paid to involving
personnel by EEP.
7.4.1 Adami Tulu Jido Kombolcha Woreda
The Regional and Woreda level Urban Local Governments (ULGs) in the project regions shall
be responsible for facilitating disbursement of compensation for Project Affected People,
assisting relocation of displaced households through provision of technical assistance and
serviced land for construction of dwellings and ensuring all compensated physical assets and
vegetation are removed and cleared timely to give way for implementations of the project
activities.
Woreda and urban administrations are the most important local government units and are given
by law the mandate for the expropriation and acquisition of land for public benefit purposes and
in connection with the implementation of Aluto geothermal project.
Responsibilities of Adami-Tulu-Jido Kombolcha Woreda Administrations are:
 Pay and cause the payment of compensation to holders of expropriated land in
accordance with proclamation No.455/2005 and provide them with rehabilitation
support to the extent possible;
 Maintain data of properties removed from expropriated landholdings particulars and
conditions of maintaining;
 Designate Property Valuation Committees;
 Establish Grievance Redress Committees
 Decides to expropriate a landholding, it shall notify the landholder, in writing,
indicating the time when the land has to be paid.
7.4.2 Kebele Administration
Kebele administration units are the smallest unit of administration in Ethiopia and that has its
own elected council and executive body. Kebele administrations provide advice on the fairness
in relocation process and valuation of compensation and coordinate on the support to be made
for vulnerable groups. They work closely with Woreda property valuation, resettlement
implementation and grievance redressing committees. Kebele administration has the direct
contact with PAPs and the focal point to address the problems and issues to be raised by PAPs.
It also participates in all project information disclosure meetings in the identification of affected

75
households and witness the process of land survey and mapping of affected land property
valuation and compensation payment process.
The administration also mobilizes the affected household and support displaced households in
the process of identifying suitable replacement land when land replacement is a possible option
for the administration. Project affected households specially those loosing considerable portion
of their land, because of the project are the main target beneficiaries. However, land
replacement is becoming less probable option for the Woreda Administration
7.4.3. Affected Parties
 Participate in all project information meetings.
 Participate and witness in all project land acquisition activities.
 Prepare and submit claims for compensation.
 Provide all required information/documentation during the execution of the land
acquisition process.
 Respect all the agreed information and consultation channels set up by the project.
 Provide information regarding the cultural requirements about relocation of culturally
sensitive property or assets.
 On a family basis, resolve all the property ownership disputes within the family prior to
the land acquisition process, or else, escalate them to the Kebele administration for
guidance.
7.4.4. PAPs Representatives
During the implementation of compensation, a grievance or dissatisfactions may arise; to
address the problems PAPs will select their representative from the project affected Kebeles
who are influential persons, respected elders and religious leaders
The main functions of the PAPs representatives are6
 Addressing the complaints of the PAPs to the Woreda grievance committees
 Arbitration and negotiation based on transparent and fair hearing of the cases of the
parties in disputes between PAPs and the project implementing unit
 Ensures that appropriate and mutually acceptable corrective actions are identified and
implemented to address complaints and verifies that complaints are satisfied with
outcomes of corrective actions
 Provide updated information’s to PAPs in collaboration with Woreda administration on
the process of implementation; to resolve any disputes that may arise from lack of
information.
6
Costs associated with allowances for various work done by PAPs representative will be directly paid to
involving PAPs representatives. EEP will cover/pay other costs incurred or to be incurred as a result of the
work of PAPs representatives.

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7.4.5. Resettlement / Implementation Committee

EEP collaborated with Woreda and urban administration and established Resettlement
Implementation Committees (RIC) in project affected Woreda. Successful and sustainable
implementation of the proposed project and this RAP activities will depend on the full and
genuine participation and ownership of the PAPs, Woreda and city administration, as well as the
various sector offices in the project affected Woreda. Accordingly, Woreda/City resettlement
committees enable to ensure easy and quick communication with PAPs and their effective
participation in the implementation. In order to RIC successfully implement the RAP, AGP
especially through its ESMT plays a central role in terms of the dissemination of RAP and
enhancing the knowledge of RIC members through various forums, having joint implementation
plan and close monitoring/follow up and regular reporting. Moreover, the AGP will support the
work of RIC with the necessary resources and provide technical support so as to capacitate RIC to
execute designed plans diligently.
Moreover, if the RIC is not able to perform its designated responsibility, a complaint would be
submitted and managed through the project’s Grievance Mechanism.
Table 7.4-8 Members of Resettlement Implementation Committee
No Members Position
1 Representative of Woreda/city Administration Chairperson
2 Woreda/city office of finance and economy Vice-Chair
development
3 EEP Resettlement field Officer Secretary
4 Woreda/city Environmental protection Expert Member
5 Woreda/city Agriculture Expert Member
6 Woreda/city Women’s Affair Representative Member
7 Woreda/city Micro finance institution Member
representative
8 Affected Kebele Chairperson Member
9 Affected Kebele’s PAPs representatives Member
(preferably who having leadership roles and/or
influential within their communities)
10 Community Elder Member
Total 10
7.4.6. Property Valuation Committee

The property valuation committee was formed in accordance to Proclamation No. 455/2005 to
undertake the census and inventory of PAP and their assets as basis to estimate the unit price
and the total amount of compensation payments due to the PAP’s valuation of affected assets,
based on regulation No 135/2007.

77
All project affected assets have been valued based on the principle of FRV. To result in FRV,
current market prices of assets is assessed and used. Regarding to land expropriated, the RAP
allocates compensation by considering the yearly monetary value of crop production on the land
at current market price multiplied by 10 years, as per the provision of the national legislation.
With this, PAPs are believed to secure equivalent alternative livelihoods coupled with the
support from the project under the developed Livelihood Restoration Plan (LRP) package of this
RAP.
Table 7.4-9 Members of Property Valuation Committee by Woreda
No. Members Position

Representative of Woreda
1 Chairperson
Administration
2 Woreda Agriculture Expert Member
Woreda Environmental protection
3 Member
Expert
4 Woreda Surveyor Member
Representative of Woreda/city office
5 Member
of finance and economy development
7.4.7. Grievance Redress Committee.

In consultation with the community, the project in collaboration with the Adamitulu Jido
Kombolcha Woreda Administration has established grievance-redressing committee with mix of
representation from the local administration and sector offices, local community and PAPs.
Among Woreda GRC membership, the office of Women and Children Affairs has been
deliberately included in order to address issues related to Gender-Based Violence /GBV/, sexual
abuse and child labour. The GRC plays the leading role in receiving, investigating, processing,
resolving and documenting the grievances presented at its jurisdiction. Receive complaints or
any concerns from individuals or the community. The detail information on the Woreda GRC
roles and responsibilities, GRM procedure as well as the special mechanism designed to address
issues related to GBV are discussed in section 14 of this RAP.

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8 ELIGIBILITY
The resettlement and rehabilitation are recognized as civil rights in the Ethiopian legislation
(Art. 44 No.2 of the Constitution of the FDRE), so that PAPs should be consulted and
compensated for the loss of their properties due to Government or public induced projects.
Moreover, the FDRE committed itself to abide the WB Operational Safeguard Policy on
Involuntary Resettlement. Thus, EEP shall adopt the WB`s policies for
resettlement/rehabilitation under which the eligibility criteria are inclusive of the Ethiopian
national legal requirements.
The WB‘s concerning the lost assets has stressed that households that have only partially lost
their assets but are no longer economically viable should be entitled to full
compensation/resettlement. Moreover, the following criteria for eligibility for the displaced
persons are adopted for the RAP preparation:
 Those who have formal legal right to land (including customary and traditional rights
recognized by the law of the Country).
 Those who do not have formal legal rights to land at the time the census begins but
have a claim to such lands or assets, provided that such claims are recognized under the
laws of the Country or become recognized through a process identified in the
resettlement plan.
 Those who have no recognizable legal right or claim to the land they are occupying.
Eligibility for compensation for those with no recognizable title and for certain new activities is
usually established through a cut-off date. Affected people who are settled in the area prior to
the cut-off date, (usually the date of the census begins but can be another agreed upon date), are
eligible persons (EPs). People who settle in the project affected area after the cut-off date has
been set and disseminated will not be considered for compensation.
For this case, the cut-off date is the date when the land compensation survey is completed. The
cut-off date for Aluto Geothermal project is April 9, 2019, the time when the census was
completed, and this was communicated to PAPs.
8.1 Entitlement Matrix

The resettlement entitlement matrix shown in Table 8.1-1 is based on Ethiopia’s legal,
administrative and policy frameworks and and on OP 4.12 and recognizes different types of
losses associated with dislocation and resettlement. These include, among others, the loss of
house, and crop and other agricultural properties.
The next section will present two tables with General Entitlement Matrix and PAHs
categorization and entitlements.

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Table 8.1-10 Entitlement Matrix

Land & Assets Types of Impact Person(s)Affected Compensation/Entitlement/Benefits
Agricultural land Less than 20% of land holding Farmer/ title holder Land for land replacement where feasible or cash compensation for affected land
affected Land remains (including traditional
economically viable. rights holders) equivalent to replacement value for portion of the land that is taken.
Tenant/ lease holder Land for land replacement where feasible or cash compensation for the harvest or
product from the affected land or asset, equivalent to average market value of last 3
years, or market value of the crop for the remaining period of tenancy/ lease agreement,
whichever is greater.
Informal Occupant No compensation for land but will receive resettlement assistance to restore
subsistence/livelhoods which may include land
Greater than 20% of land holding Farmer/ Title holder Land for land replacement where feasible or compensation in cash for the entire
lost (including traditional landholding according to PAP’s choice, taking into account replacement values for the
Land does not remain rights holders) land.
economically viable. Land for land replacement will be in terms of a new parcel of land of equivalent size and
productivity with a secure tenure status at an available location, which is acceptable to
PAPs. Transfer of the land to PAPs shall be free of taxes, registration and other costs.
Relocation assistance (costs of shifting + assistance in re-establishing economic trees +
allowance up to a maximum of 12 months while short- term crops mature)
Rehabilitation assistance if required (assistance with job placement, skills training)
Tenant/Lease holder Land for land replacement where feasible or cash compensation equivalent to average of
last 3 years’ market value for the mature and harvested crop or market value of the crop
for the remaining period of tenancy/ lease agreement, whichever is greater.
Relocation assistance (costs of shifting + allowance).
Informal Occupant No compensation for land but will receive resettlement assistance to restore
subsistence/livelhoods which may include land

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Residential Land Land used for residence partially Rental/lease holder Land for land replacement where feasible or cash compensation , lease/ rental fee for
affected, limited loss the remaining period of rental/ lease agreement equivalent to affected portion (written or
Remaining land viable for present verbal)
use.
Title holder (including Land for land replacement where feasible or cash compensation of affected land
traditional rights holders) equivalent to replacement value for portion of the land that is taken.
Informal Occupant If not displaced, no compensation for land.

Land used for residence severely Rental/lease holder Land for land replacement where feasible
affected Refund of any lease/ rental fees paid for time/ use after date of removal
Remaining area insufficient for Cash compensation equivalent to 3 months of lease/ rental fee
continued use or becomes smaller Assistance in rental/ lease of alternative land/ property
than minimally accepted under Relocation assistance (costs of shifting + allowance)
zoning laws Title holder (including Land for land replacement where feasible or compensation in cash according to PAP’s
traditional rights holders) choice; cash compensation to take into account replacement value for the land.
Land for land replacement shall be of minimum plot of acceptable size under the zoning
law/ s or a plot of equivalent size, whichever is larger, in either the community or a
nearby resettlement area with adequate physical and social infrastructure systems as well
as secured tenure status.
When the affected holding is larger than the relocation plot, cash compensation to cover
the difference in value.
Transfer of the land to the PAP shall be free of taxes, registration, and other costs.
Relocation assistance (costs of shifting + allowance)
Rehabilitation assistance if required assistance with job placement, skills training.
Squatter/informal Cash compensation for affected structures without consideration of depreciation costs,
dweller taking into account replacement cost of the lost structure.
Right to salvage materials without deduction from compensation
Relocation assistance (costs of shifting + assistance to find alternative secure
accommodation preferably in the community of residence through involvement of the
program)
Alternatively, assistance to find accommodation in rental housing or in a squatter
settlement scheme, if available
Rehabilitation assistance if required assistance with job placement, skills training.
Buildings and Structures are partially affected Owner (with or without Cash compensation for affected building and other fixed assets, taking into account
structures Remaining structures viable for underlying rights to the Replacement costs of structures and materials

81
continued use land) Cash assistance to cover costs of restoration of the remaining structure
Rental/lease holder Cash compensation for affected assets, taking into account replacement costs for assets
and materials (verifiable improvements to the property by the tenant).
Disturbance compensation equivalent to two months rental costs
Entire structures are affected or Owner (with or without Cash compensation for structures, taking into account full replacement costs for
partially affected underlying rights to the structures and materials, for entire structure and other fixed assets without consideration
Remaining structures not suitable land) of the depreciation costs, or alternative structure of equal or better size and quality in an
for continued use available location, which is acceptable to the PAP.
Relocation assistance (costs of shifting + allowance)
Rental/lease holder Cash compensation for affected assets at replacement cost for materials, transport and
labor (verifiable improvements to the property by PAPs)
Relocation assistance (costs of shifting + allowance equivalent to three months rental
costs)
Assistance to help find alternative rental arrangements
Squatter Cash compensation for affected structures without consideration of depreciation costs,
taking into account replacement cost of the lost structure.
Relocation assistance (costs of shifting + assistance to find alternative secure
accommodation preferably in the community of residence through involvement of the
program)
If residential building refer to entitlement under residential land above
Businesses Temporary interruptions Opportunity cost compensation equivalent to one month of net income or actual number
of days business closed plus 10%
Formal and Informal
Cash compensation for any physical damages to assets or structures, product loss,
moving and storage fees, etc.
Permanent closure Formal Opportunity cost compensation equivalent to 3 months net income based on tax records
for previous year (or tax records from comparable business, or estimates), , whichever is
higher.
Relocation assistance (costs of shifting)
Compensaton for land and structures as stated above
Livelihoods restoration measures
Street vendor (informal Opportunity cost compensation equivalent to 3 months net income based on tax records
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without title or lease to for previous year (or tax records from comparable business, or estimates), whichever is
the stall or shop) higher
Relocation assistance (costs of shifting)
Assistance to obtain alternative site to re- establish the business
Compensations for structures as stated above
Livelihoods restoration measures
Standing crops Crops affected by land acquisition PAP (whether land Cash compensation equivalent to average of last year’s market value for the mature and
or temporary acquisition or owner, tenant, or harvested crop multiplied by the number of years of land acquisition if it is temporary.
easement squatter)
Trees Trees lost Title holder or other Cash compensation based on type, age and productive value based on current market
legitimate asset holder price of affected trees, taking into account full replacement value.
Assistance for Disproportion impact due to age, Vulnerable people to be Special and additional support (in addition to the entitled compensation) to support
vulnerable Groups gender, disability, extreme screened from the PAPs during relocation and restoration of livelihood. And entitlement to housing and
poverty, etc. subsistence land
Relocation and Forced to relocate or shift All Affected House Relocation allowance includes cost associated with moving costs and other ancillary
Shifting Holds costs (labour, transport, land clearing and labelling, lost work time, and other relevant
costs etc.)
Livelihood
1.1.1.1.1.32 Loss of livelihood or source
1.1.1.1.1.33
of PAPs or Affected Livelihood restoration measures will be planned and provided supplementary to the
income Households based on compensation paid for lost assets or income; to restore or improve their livelihood; and
scope of impact ensure an improved standard of living or foster development benefits for all PAPs.
Collective assets No collective assets/special
Special assets
assets requiring
compensation is found

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9 VALUATION AND COMPENSATION FOR LOSSES
9.1 Parameters and Applied Rates and Guidelines for Compensations

The Government of Ethiopia and the World Bank Involuntary Resettlement Policies require that
all affected assets and structures of households shall be compensated at the replacement costs of
affected asset. The compensation amount shall also be equivalent to replace the asset in its
existing condition and to ensure persons affected by land acquisition are supported through
alternative strategies to improve or restore their present living condition after resettlement.
In this regard, the most recent rates and guidelines used by Adami Tulu-Jido-Kombolcha
Woreda Administration have been used to calculate the monetary value of properties,
demolishing costs and to estimate moving and transportation expenses associated with clearing
and vacating affected assets.
The parameters used to determine replacement value of affected assets of PAPs are:
a) For residential houses and attached household service facilities
 Type, size and description of the property, such as residential house, service facilities,
patios, storage room, incomplete construction, fences, etc.
 Type and quality of materials used to construct the property, such as type of
construction material, (wood, bricks stone) roofing (corrugated sheet metal, straw,
plastic sheet or canvas), plastering material (mud or cement mortar), ceiling (chip wood,
plastic sheet or canvas), and floor type (mud or concrete). etc.
 Current use and condition of the structure, such as residence, storage or service facility
 Construction cost estimates for a similar structure at the current market price level, such
as construction material and labor costs.
b) For permanent trees
 Major use and application of the plant, such as for fruit tree, firewood, for housing and
building construction, or other uses
 Maturity, height and thickness of the plant
 Current market price for similar type and size plant
C) For Annul crops

Current market price of the affected crops.

Average Productivity of the land within the last Five Years.

Area /Amount of Affected crop Land.

Projection of the current Annual Productivity in to TEN (10) years (i.e. Based on the
above considerations)
 By taking the above parameters, full replacement cost for the affected Annual crop will
be calculated as follow.
 Replacement cost for Affected crops = Current market price of the Affected crops *
Average Productivity of the land within the last Five Years * Aria /Amount of Affected
crop Land
 Projection of the current Annual Productivity in to TEN (10) years.
D) For demolition and removing expenses
 Estimated local labor costs for demolition of targeted houses
 Estimates of local labor cost for clearing debris and other useful parts

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 Estimates for moving and transporting
9.2 Asset Valuation and Estimates of Compensations for PAPs

Consistent with the national laws and WB OP 4.12 requirements, household assets targeted by
the project, regardless of whether properties are constructed, owned and occupied through legal
means or not or whether the land is occupied or acquired through informal means, are assessed
and measured by a competent professionals in the presence of head of households or family
members. The monetary worth of affected assets is calculated using replacement cost method
with current price level of materials and labor costs to build similar or better structures.
The replacement value is calculated based on the entitlement matrix and will be complemented
by LRP based on the scope of impact. PAPs will be provided transitional allowance if there is a
time gap between compensation payment and LRP commencement.
9.3 Compensation Procedures and Approach

The strategy adopted for compensation of the affected properties / assets follows the Federal and
Regional Governments’ laws and regulationsas well as, the project financier/WB`s
requirements. The project affected populations even if they are not displaced from their current
location, they will be made to live in economically unviable situations because of loss of land,
crop, assets and housing structures. Hence, in such situations PAPs will be offered full
resettlement package. Infrastructures and services affected by the construction works of the
project need to be replaced or restored to its original level or in an improved manner.
The compensation procedures and approach in this RAP adopt the following steps mentioned
here below.
A. Establishment of Property valuation committees: at Woreda level based on
Proclamation no 455/2005. The property valuation committees provided PAPs with
details of compensation estimates, measurement of all affected assets and properties
that PAPs will be losing. The compensation estimate and valuation will be reviewed by
the resettlement/compensation committee prior to effecting compensation payment.
The valuation of assets is done based on the principles of FRV in compliance to
regulation No 135/2007 and WB Operational policy 4.12. The valuation is also
Validated and agreed by PAPS.
B. AGP assesses the potential economic and social impacts of involuntary land acquisition
and resettlement on the project affected peoples (PAPs) and their livelihoods;
C. AGP set out clear process of consultation with and participation of PAPs in the
preparation and planning of involuntary land acquisition and resettlement
D. All properties and assets affected by the project are assessed by Valuation Committee
at a full replacement cost, which is based on the present value of replacement cost
(current market price plus all transaction costs). These will be complemented by
livelihoods restoration as per the scope of impact of land loss and vulnerable grups
assistance for those eligible.
E. Unit rates are established for each of the expropriated assets and properties by the
Adamitulu-Jido-Kombolcha Woreda administration municipality office. The unit rate
is established for each of the affected properties and assets expropriated due to the

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construction works of the project activities based on the principles of FRV.

F. AGP identifies categories of affected persons and their respective entitlements
G. Final review of those properties and assets to be affected will be undertaken by the
valuation and compensation committees that are established at the Woreda level. The
valuation committee, in close consultation with PAPs and the Resettlement
Implementation Committee (RIC) will review and makes the final estimate of
compensation payable for the affected properties at a full replacement cost.
H. Agreement signature of each household is required on the validation of compensation
amount specified data from the Woreda valuation committee.
I. AGP compensate for lost assets at full replacement cost;
J. AGP compensate informal/illegal land users for lost assets
K. AGP obtain legal access to expropriated land before starting construction;
L. AGP provide information and prepare special assistance programs for affected
households and vulnerable groups
M. AGP provide and prepare plans for grievance redress and monitoring.
9.4 Methodology in Valuing Asset Losses

Compensation for land structures, fixed improvements and other permanent impacts are based
on market valuation, production & productivity valuation, negotiated settlement, material land
labour valuation, disposition of salvage materials and other fees paid.
Compensation for permanent impacts is calculated based on the following criterion/principles;
 Compensation of all assets including crops, trees, residence and any other facilities
 Compensation at replacement cost
 No depreciation cost of assets is calculated
 Salvage materials are not considered and left to PAPs
According to WB policies, lack of formal title or occupancy permit will not be a bar to
compensation. Because, even squatters have construction costs relative to design, materials
employed, workmanship and final structure/asset. In the Aluto project site, PAPs that do not
have license or legal permit and even squatters will be eligible for compensation payment
facilitated through the process of getting legal landholding certificate from the Kebele
administration and approval of Woreda municipality office.
PAPs require income restoration because of loss of their income basis due to the expropriation-
of 'their farmland, income loss from cash crops, cereals etc.
A PAP whose agricultural land is expropriated for the project will be compensated as per FDRE
proclamation No. 455/2005, Article 8 (displacement Compensation) No. 1 states that; “A rural
landholder whose landholding has been permanently expropriated shall, in addition to the
compensation payable under article 7 of this proclamation, be paid displacement compensation
which shall be equivalent to ten times the average annual income he secured during the five
years preceding the expropriation of the land”. Since land is not subject to transaction and there is
no land market, it is difficult to confirm that the payment will suffice for accessing similar land.
However, the compensation payment will be complemented by livelihoods restoration based on
scope of impact and vulnerable groups assistance for those who are eligible to help PAPs to secure
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equivalent alternative livelihood.

Any household who has a grievance; on the form and/or amount of compensation, will be
managed through the project’s GRM. PAPs who are not satisfied with the resolution provided
by the Woreda GRM committee, can always resort to the formal court.
9.5 Valuation for Loss of Houses

In determining replacement cost for loss of houses, the following points are taken into
consideration;
• The unit rates of construction (per meter square) for tukul residential houses were
developed based on the unit rates collected from the Adami Tulu-Jido-Kombolcha
Woreda.
• Type and quality of materials used to construct the property, such as type of
construction material, (wood, bricks stone) roofing (corrugated sheet metal, straw,
Plastic sheet or canvas), plastering material (mud or cement mortar), ceiling (chip
wood, plastic sheet or canvas), and floor type (mud or concrete) Etc.
• Current use and condition of the structure, such as residence, storage or service
facility.
• Construction cost estimates for a similar structure at the current market price level, such as
construction material and labour costs.
• The unit rate (or bill of quantity) is estimated based on the type of the affected houses.
• The cost of each house to be replaced is estimated based on specification and bill of
quantities prepared by the Woreda; irrespective of the location of the area, the unit
costs for similar types of houses are taken to be identical across the Woreda.
Due to the activities of Aluto geothermal project, a total of 26 residential housing units
belonging to 23 HHs, will be affected in two Kebeles. All project Affected houses are made of
wooden wall and grass roofs. Each housing units (Tukuls) have an average area of 20.9m 2 with
2m height. All houses are residential houses. Figure 5.1-1, Affected Houses provides a typical
pictorial representation of the type and condition of project-affected houses. To estimate the
value of the affected houses, a cost to build a 20m2 house of similar type was taken and
analysed based on current market prices. The quantity and quality of materials used and labor
cost involved are the bases for classifying the houses in to grades (grade I, II, III). Then the
total cost per each grade is translated in to building cost of a house per m 2.- the cost of a house
divided by 20m2 provides a cost for m2. Then the actual houses are categorized in to grades
based on the parameters discussed above and the house size be multiplied by the cost of
respective m2 obtained and this provides the total estimation of a house.
Concerning impact on housing by project activities, 7 housing units will be affected by the
access roads and 19 housing units by drilling activities. Replacement costs for the affected
houses were estimated based on the full replacement cost.
9.3.1Unit Rates
Table below shows the Unit rate for the compensation for the loss of building set by Adamitulu-
Jido-Kombolcha Woreda administration municipality office based on the principles described in
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previous section Replacement value is validated by PAPs and PAPs have already approved and
accepted estimated values of the compensation for their respective houses being affected by the
project. All PAPs except one signed and approved the valuation made for the houses. As to the
reason not signing in the case of one household is since the head of the household has passed
away recently. Each project affected housing unit (Tukul) has an average area of 20.9m2 with
2m height.

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Table 9.3-1Compensation Rate for Loss of Buildings and Other Structures

Proposed
Item Remarks
Sl. No. Rate (Birr)
1 PAP Compensation Rate for Loss of Buildings and Other Structures
Houses that are constructed

1.1 1992.5 The new houses which will ne constructed by the
with wood and mud, (Tukul)
birr/m2 PAPs will have considerable improvement
(Grade I)7
compared to the existing habitat.
Because salvage materials can be sold and
Houses that are constructed 1885 generate additional income and the money
1.2 birr/ m2
with wood and mud, (Tukul) generated could be used for improving
(Grade II) houses in terms of size or quality. And after
all, the house being build will be a new
Houses that are constructed house.
883.75
1.3 with wood and mud, (Tukul)
birr/m2
(Grade III)
To compensate psychological and
emotional disturbances of the families and
relatives of the deceased. Fencing the
1.4 Graveyards fencing 30,000birr graveyard give them the feeling of
security. Family members could easily
access in to the graveyard premises for
any service, as deemed needed.
2 Resettlement/Compensation Activities: Rehabilitation Measures
Transportation and moving 800 Estimated cost of transportation of household
2.1
allowance Birr/HH properties
If the owner is required to handover the

expropriated house in less than 90 days,
compensation shall be paid for a house rent at the
1,000 rate of 1,000 birr/month for three months.
2.2 House rent
Birr/month This will allow these PAPs to lease alternative
Premises during the time of construction of
their new houses.1000 birr is estimated based
on current assessment made to rent a house of
similar size
Estimated to cover a cost of one year
4,000 agricultural inputs

2.3 Support for vulnerable groups
Birr/HH
All project Affected houses are made of wooden wall and grass roofs. Each housing units
(Tukuls) have an average area of 20.9m2 with 2m height. According to Woreda Asset valuation,
24 project-affected houses have been categorized under category II. Whereas the remaining 2
7
The quantity and quality of materials used and labor cost involved to build houses are the
base for identification of houses in to various grades (grade I, II and II). A description
provided under A and B below illustrates the case better.

89
have been categorized under category III. Accordingly, house valuation is made based on
current market prices as follows
A/ A grade II 20 m2 house made of wooden wall and grass roofs valued as follows (Birr)
1 Wood used for roof 45*130 5,850.00
2 Wood used for wall construction 4,000.00
3 Wall plastered with mud inside wall only 500*30 15,000.00
4 Roof cover grasses 1,300.00
5 Connecting woods 30*85 2,550.00
6 Labour cost 5,000.00
7 Wire/robe 4*50 200.00
8 A door 3,500.00
9 Wooden Pillar 300.00
Total 37,700.00
So, the total value divided by the m2 (37,700/20) provides a unit value per m2(1,885 Etb)
B/ A grade III 20 m2 house made of wooden wall and grass roofs valued as follows.
1 Wood used for roof 20*130 2,600.00

2 Wood used for wall construction 3,000.00
3 Wall plastered with mud inside wall only 900.00
4 Roof cover grasses 200*30 6,000.00
5 Connecting wood 15*85 1,275.00
6 Labour cost 1,500.00
7 Wire/robe 3*50 150.00
8 A door 2,000.00
9 Wooden Pillar 250.00
tot 17,675.00
So, the total value divided by the m 2 (17,675/20) provides a unit value per m2 (883.75 Etb). (See
Annex C-Asset Evaluation)
All houses are residential houses. Figure 5.1-1 represents type and condition of the project

90
affected houses. The houses have no fences and there is no other shelter used for cattle. HHs
live in the houses mainly during rainy season where HHs do agricultural activities. Otherwise,
affected households have other houses where they spend most of the year.
Earlier, land replacement was considered to be among the options for PAPs loosing
considerable proportion of land. Land replacement option is becoming less realistic as time goes
on. The Woreda Administration has also made clear that there will not be land replacement for
PAPs.
Among affected HHs, there is nobody in total loss. All PAHHs who will lose house have
remaining plot of land within their ownership (use title) where they can move and construct a
new one.
9.6 Valuation for Permanent Loss of Agricultural Land / Crop Loss

The following procedures and methods are used to set values for crop loss:
The principle for permanent loss of agricultural land /crop loss/ is that it should be compensated
with land for land compensation (or land for land replacement) in those areas where land is
available for replacement. But in the context of this RAP, for all assets, monetary compensation
will be applied.
 The proportion of area harvested along with the area covered by each crop types, is
taken into account;
 Wheat is the annual crop identified preferred by PAPs to calculate the crop loss, as
major crop for rain fed fields and is selected to calculate the annual benefits obtained
from rain fed farms in the project area;
 Yield per unit area of land is set for Wheat crop and it is 40.08qu/ha. Total crop
production is calculated by multiplying yield per unit of land obtained and the area of
land cropped by wheat.
 Value of crops is computed by multiplying the total crop production by the current
prices, which is 1518.977 per quintal taken as a basis for valuation. The retail prices of
crops, and other required outputs were also collected and reviewed from the local
markets;
 Cash compensation will be paid for permanent loss of crops. Information was collected
on the average crop production per hector of land along with current market prices by
woreda agriculture office.
To compensate the forgone benefit and income from agricultural land, as per the national law,
cash compensation equivalent to ten times the average annual income s/he secured during the
five years preceding the expropriation of the land is calculated. Displacement Compensation
resulting in enabling PAPs to secure equivalent alternative livelihood is the bottom line. These
compensation payment will be complemented by livelihoods restoration based on scope of
impact and vulnerable groups assistance for those who are eligible.
Therefore, based on this procedure the compensation for forgone benefits from Wheat crop
fields is the average rate of 60,880.59 birr/ha/year (1ha*40.08Qu*10years*1518.977).

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9.7 Valuation for Loss of Trees

Compensation rates for loss of trees will take into account
• Major use and application of the plant, such as for fruit tree, firewood, for housing and
building construction, or other uses
• Maturity, height and thickness of the plant
• Current market price for similar type and size plant
Compensation for the loss of Acacia trees has been calculated using the following rates based on
current market price; as data obtained from Adamitulu Jido Kombolcha Woreda Administration.
• Big trees 3,000Birr/tree
• Medium 1,800 Birr /tree
• Small 900 Birr /tree
An estimated total number of 1340 valuable trees will be affected in two Kebeles. The most
affected trees in the project affected areas are Acacia Abyssinica (Girar) Trees.
Table 9.5-1 Compensation Rate for Acacia Trees
Project affected Quantity in Unit cost in
Total cost in BIRR
tree type number BIRR
Acacia Abyssinica (Girara)
Big 536 3,000 1,608,000
Medium 361 1,800 649,800
Small 443 900 398,700
Total 1,340 4,700 2,656,500

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10 LIVELIHOOD RESTORATION MEASURES
10.1 Introduction
According to World Bank operational policy 4. 12- Involuntary Resettlement, compensation to
the loss of assets and livelihood restoration interventions are the major entitlements for project
affected PAPs. The first entitlement- compensation to asset loss is also well recognized by
Ethiopian national and regional pertinent laws. In this regard, there are a very good level of
convergence between the two – WB, OP 4.12 and FDRE Proclamation on expropriation of
landholding for public purpose and payment of compensation, No 455/2005.
On the other hand, however, notable difference between the two is found in the second
entitlement- income and livelihood restoration. Neither the national pertinent proclamations nor
the regional ones include livelihood restoration entitlement as part of the rights of project-
affected people. Reviewing FDRE Proclamation No 455/2005 on land expropriation,
proclamation No 456/2005 on rural land use and administration, Regulation No 135/2007 on
payment of compensation and Oromia rural land use and administration proclamation No.
130/2007 proved the nonexistence of such rights. One only gets some general statements such
as “providing rehabilitation support to PAPs to the extent possible” and “to assist displaced
person to restore their livelihood.” These statements are very scant and mentioned just once in
the preambles of some of the legal documents and do not seriously mean it. It can, therefore,
safely conclude that livelihood restoration is not prioritized in the case of national provisions.
Contrary to the above, the World Bank Operational Policy 4.12 has stressed the need of income
and livelihood restoration interventions in the Bank financing projects causing displacement.
One of the Bank policy objectives on involuntary resettlement is the following. “Displaced
persons should be assisted in their efforts to improve their livelihoods and standards of living or
at least to restore them, in real terms, to pre-displacement levels or to levels prevailing prior to
the beginning of project implementation, whichever is higher.” Policy Objective, Paragraph 2(c)
The operational policy under consideration has also listed out vulnerable groups such as people
in extreme poverty, elderly, women, children and indigenous people as groups of a community
requiring special consideration concerning livelihood restoration activities. (Paragraph 8)
Therefore, this preliminary livelihood restoration plan is prepared in compliance to World Bank
Operational Policy 4. 12.
10.2 The Need to have Livelihood Restoration Plan

PAPs legal entitlements and the subsequent understanding of the insufficiency of support to the
PAPs under the national legislations calls for a need for additional provisions. This is especially
imperative to meet the World Bank involuntary resettlement objective of assisting PAPs to
improve their livelihood and standards of living at least to the level of pre displacement
situation. To achieve this objective, compensation alone may not good enough especially for
some disadvantage groups or for those whose livelihoods are significantly disrupted.
The needs to have livelihood restoration plan specific to Aluto geothermal project is further
justified by eminent situation of PAPs including but not limited to the following vulnerability
93
factors on HHs:
Impacting factors
 % of loss
 Physical displacement
Existing factors
 Gender
 Income level
 Age
 Disabilities
Regarding household size, out of 155 HHs 145 have more than 10 children, income level has
been established on per capita basis. Therefore, the study used income level as indicator for the
selection.
Households may be affected by only one factor up to 4 factors (see ANNEX B) therefore,
according to the level of cumulated vulnerability (that can vary from 1 to 4), packages of
livelihood restoration measures will be structured and addressed.
10.3 PAPs losing more than 20% of Land

There are 46 households (close to one third) losing more than 20 % of their land because of the
project. A third of these households have lost more than 50% of their lands. If more than 20%
of land is taken by the project, as per the WB Operational Policy 4.12-involuntary resettlement
(paragraph 12), the remaining land is not economically viable and in effect, this calls the need to
have more support in addition to compensation.
1. Insufficiency/inappropriateness of Cash compensation
Moreover, According to Aluto Geothermal project RAP, compensation in cash alone is what is
going to be delivered to PAPs. This is the case in which none of the factors justifying the
appropriateness of cash compensation is in place. According to the policy under consideration,
cash payment is appropriate if the following situations prevail.
 Less than 20 % of land is affected by the project
 Where there is active market for land and
 The livelihood is not land based.
The situations of PAPs are symmetrically opposite to what is listed out above. There are
considerable percentage of affected households losing more than 20%. There is no active land
market. In fact, in Ethiopia land is not subjected for sale. (FDRE, Constitution, 1995). Finally,
the livelihood is exclusively land based.
10.4 PAPs below Poverty Line

According to the socio-economic survey of RAP, 63 project-affected households are found

94
below the poverty line. (1.25 USD per day per person parameter)8.
To achieve the objectives of the WB OP 4.12, attention is paid to the needs of vulnerable groups
among those displaced, especially those below the poverty line, etc. is the major target groups
calling for special consideration (paragraph 8 of operational policy 4.12.)
10.5 Scope and Strategic Framework of LRP

To develop a viable and implementable livelihood restoration plan, a thorough analysis of the
matter will be made. The assessment will be a qualitative study in that PAPs’ current economic
situation and their available options will be assessed. Emphasis is given to PAP’s capitals
including human, financial, physical, natural and social. The PAPs’ aspiration and plans to
enhance their living condition will be also investigated. Moreover, the potentials and constraints
of target PAPs will be singled out to devise and suggest strategies aiming at minimizing the
constraints and unleashing the potentials. This part of the assessment is crucial to develop a
livelihood enhancement strategy based on People potentials.
The study will exert effort to get an overview of emerging economic coping mechanisms
popping up following the onset of the project. In this regard, changes occurring after land
relinquishment and compensation is paid due attention. The relative percentage of compensation
spending on consumptions and investment will be part of the investigation.
To address all the above study focuses, a census survey encompassing all target households, one
by one, will be employed as the situations of each project affected household varies and does so
the recommendations. Survey tools (focus group discussion and semi-structured questionnaires)
will be used in order to cover each category of severely affected households (See ANNEX B).
Each targeted household will be assisted in developing a LR strategy.
In addition to the focus of the study on the PAPs situation, an environmental scanning is an
integral part of the assessment. In this regard, existing available services, facilities and supports
particularly having a bearing on the economic performance of PAPs will be assessed.
Identifying barriers in the utilization of available services and facilities also be part of the
investigation.
Government and non-governmental agencies who could play a role in terms of provision of
training and credit services will be identified and mapped. The possible roles of each identified
agency will be singled out along with their specific roles and requirements. Possible target
institutions include the following.
 Agriculture Office at Woreda and Kebele Level
 Rural Job Creation Office
 Small and Micro Business Development Enterprise
 Small and Micro Credit Institutions
 Private Training Institutions such as Vehicle Driving Training Institution
 NGOs Working on Livelihood Enhancement and Others
Potential job opportunities in the target areas on land and non-land based economic categories
will be identified through discussion and consultation with the above-mentioned agencies.
8
UN. No year. Transforming Our World: The 2030 Agenda for Sustainable Development. A/RES/70/1.
95
Information acquired from the discussions will be further triangulated by available data and
studies such as market survey. A further analysis on the potential marketable business streams
will be made in contrast and comparison with PAPs capability and interest.
Having all the information from all sectors and target groups, possible areas of interventions, to
enhance the livelihood of the PAPs will be suggested. Possible intervention includes;
1. Training provision on entrepreneurship and business skill
2. Training provision on vocational skill
3. Establishment of self-help groups
4. Financial support
5. Credit facilities etc.
6. Other more structured intervention as per study outputs
On top of primary data collection, secondary materials such as Aluto project documents and
relevant annexes and data from government agencies will be collected and used for
comprehensive understanding of the topic under consideration.
Rehabilitation Support
To improve the living condition of the PAPs, as part of the livelihood restoration plan, rehabilitation
support that includes support for the vulnerable groups and community development strategies are
designed to be implemented by EEP. Establishment of partnership and concluding MoU with
different service providers is of crucial to implement the various rehabilitation activity and
livelihood restoration plan. These partners include both governmental and non-governmental
organizations working in the project affected area or woreda. In this regard, Agriculture Office at
Woreda and Kebele Level, Rural Job Creation Office, Small and Micro Business Development
Enterprise and Small and Micro Credit Institutions could contribute meaningfully for the successful
implementation of the rehabilitation plans. These service providing institutions have different areas
of specialization/focus and as a result, diversified types of services/support could be accessed from
the respective institutions. Therefore, available services and support in each of the service providing
institutions will be identified and solicited in the framework of partnership agreement.
13.2.1 Vulnerable groups
Financial support for vulnerable households is estimated at a cost of Birr 4000 per HH for the
identified 94 vulnerable HHs. A total of 376,000 Birr is budgeted for this purpose. This is a one-
time support for vulnerable group to be used for fertilizer, labour and consumption. In addition,
this group will be targeted by livelihood restoration program for sustainable reliance.
Community development Strategies
AGP/EEP, in addition to compensation payment to PAPs’ lost assets and property, has
demonstrated its commitment to support and provide resources for the implementation of
various community development programs in project-affected areas. These community
development programs are:
A. Water Supply

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B. School
C. Youth Center.
The overarching objective of the community development plan is to enable PAPs not only to
further increase to access to social services and infrastructures but also to improve their
standard of living further through a set of integrated strategies and assistance measures by the
project owner and implementing partner agencies.
Water supply: Water is not available near the project implementation area. The only available
water is Lake Ziway, which is 10 km long from the project site and takes about an average of 2
to 3 hours to fetch water. This is a challenge for the human as well as cattle drinking. To
minimize such burden for the PAPs, EEP through the drilling contractor must afford water
supply for the communities residing around Abey Deneba, Golba Aluto and Aluto Kebeles. The
water can be supplied either from ground water (its chemistry must be tasted whether suitable
for human/cattle drinking or not) or from Lake Ziway. Water development in proposed areas
needs more careful technical and economic assessment. If water development is impossible due
to either technical challenges or water unavailability in the area, EEP, in consultation with the
community, will shift the budget for other community development initiatives. Water being
piped for the implementation of the project is for only during drilling period. So, it may be
temporary. To make it sustainable, other options will be sought.
School: Harawa, Sedicho and Leqansho primary schools, which are found at Golba Aluto and
Abey Deneba Kebeles respectively, are found near the already existing road (the road is not
built by the project). This location, which has pronounced traffic noise, would affect the
learning- teaching process. As the classes are constructed from wooden frame and plastered
with mud, students are suffering from dust. Besides, the classes are found to be with limited
facilities like desk and chair. Therefore, the contractor with community participation schemes
shall upgrade these schools with the required facilities over the project period.
Youth center: In order to make the youths residing nearby the project site more productive and
creating an addict-free community, it is envisioned by the project, in consultation with the
Kebele/Woreda Administration and community members, to consider the establishment of
youth center as a community development program in an appropriate and prioritized location
within the Woreda. The details of community services are depicted in the below table. More
detail budget breakdown for each development activity is annexed. (See Annex K).

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Table 13.2-11 Types and Cost of Community Services
Estimated
Responsible
S.No Activity Location beneficiaries cost (ET
body
birr)
1 Renovating of existing Abey Deneba Kebele
classes by concrete, and (Leqansho primary 600 students 2,600,278 EEP
new class construction school)
2 Renovating of existing Golba Aluto Kebele
classes and new class (Harawa primary 500 students 2,600,278 EEP
construction school)
3 Renovating of existing Golba Aluto Kebele
classes and new class (Sedicho primary 500 students 2,600,278 EEP
construction school)
4 Water supply facilities Abey Deneba, Golba 350 HH and
Aluto and Aluto more than 9,194,200 EEP
Kebeles 2,000 cattle
5 Youth center construction Abey Deneba Kebele More than 700
2,472,100 EEP
youths
TOT 19,467,135 EEP
10.6 The Output of the Assessment

The Livelihood restoration Plan will have for following major components
1. A general framework having a section of
 Background and introduction
 Objectives
 Methodologies
 Findings and discussions
 Conclusions and Recommendations
2. A LRP report that assesses the peculiar situations of PAPs and analysis of PAPs’
opportunities, constraints, capabilities and possession of assets etc.
3. A LRP report outlining exiting services, facilities and support system along with
utilization barriers
4. Identification of stakeholders and partners that can play a role in the overall livelihood
enhancement of PAPs.
5. a livelihood restoration plan consisting of
a. Baseline and identification of target households
b. HH strategies for each target HH
c. Overall livelihood support measures for all PAPs/host communities
i. Financial literacy
ii. Agricultural enhancements
iii. other support as selected in consultation with PAPs

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10.7 Tentative Schedule of LRP

 Finalization of consultant contract for the LRP Study will be done in December 2019.
 Conducting the study on LRP will be carried out in December 2019 to January 2020.
 Recruitment of a NGO for Implementation of the LRP and CDP in February 2020.
 and relevant implementation will take place from March 2020 to March 2022
10.8 Tentative Budget

The budget largely depends on the type of livelihood options available and aspiration of the
PAPs. Therefore, only a tentative budget could be indicated at this stage.
1. Based on previous experience a training/or other livelihood support mechanism costs as
minimum as 3,000 and as maximum as 10,000 BIRR per person. The average 6,500
could be budgeted for a person. Considering the inflation over the years, 8,000 BIRR
would be safer.
2. There is administration costs and extra expenses PAPs needs to incur such as
transportation. Considering 2,000 more for each HH, the budget will be more realistic.
3. Severely affected HHs are 46. In addition, HH below the poverty line and Female
headed HH will be included in the list as eligible for livelihood program, according to
this, the target HH will reach 80/90. Specific survey will be held to identify the best
livelihood restoration package that can be suitable per each HH category. In addition, all
project affected households will be targeted on overall livelihood support measures.
These measures include training on financial literacy, business skills, agricultural
enhancements and other support as prioritized by PAPs. This is important because
business skill among affected populations is very low.
4. 70,000 BIRR is budgeted for quarterly monitoring and evaluation
5. Considering a number of target 90 HHs overall total tentative budget for LRP is,
therefore, 970,000 BIRR. This amount is indicative, a detailed budget will be provided
along with the livelihood restoration plan, once defined all the restoration packages and
any additional intervention at community level that may be deemed necessary. The
budget will be redefined accordingly. The LRP budget is an estimate and it may change
based on the LRP needs assessment.

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11 COMMUNITY PARTICIPATION
In the case of Ethiopia, disclosure of relevant information and undertaking consultation with
persons and communities directly affected by any development project that entails displacement
of people and loss of property is a constitutional right stipulated as: “People have the right to
full consultation and to the expression of their views in the planning and implementation of
environmental policies and projects that affect directly”.
Stakeholder engagement includes activities aiming at:
 Identifying all Project stakeholders and analyse their various interests for and influence
on the Project;
 Properly and timely informing stakeholders in an adapted format and language;
 Establishing a two-way dialogue to exchange views and information;
 Establishing a clear and accessible mechanism for receiving feedback and responding
to questions, grievances, concerns and suggestions, documenting how stakeholders’
concerns and suggestions have been addressed; and
 Regularly reporting to stakeholders on Project progress and implementation of
mitigation measures.
These activities are to be free of coercion and intimidation, respect local traditions and decision-
making process, reflect gender specificities, and include the views of minority and vulnerable
groups. Therefore, in response to the requirements of the national guideline and the WBG’s
operational policies, public Consultation meetings were conducted with Local Government
officials, project affected persons (PAPs) and communities, and local Abbaa Gadaas.
The main objective of the Public Consultation and disclosure is to solicit the views, concerns,
needs, preferences and opinions of project affected persons and other members of project
affected communities in relation to the project and its beneficial as well as adverse impacts. At
the center of this consultation is the resettlement program that is intended to be viable,
sustainable, and practical. Such a resettlement program is expected to address, to the satisfaction
of project affected persons and communities, issues of compensation, livelihood and income
restoration, resettlement areas with adequate infrastructure and service delivery facilities,
smooth transition and relocation scheme with no or little social disarticulation and
impoverishment risks.
Obviously, achieving such multi-faceted objectives requires among others the full and informed
participation of project-affected persons, local communities, local governance structures and all
key stakeholders concerned with one or the other aspect of sustainable development.
11.1 Stakeholder Lists

The first step in the process of Public Consultation and Disclosure was identification of key
stakeholder groups in the Aluto Geothermal project. Thus, based on their direct relevance to the
project and differential project impacts five major groups of stakeholders were identified.
These are:

100
a) Project Affected Persons (PAPs)9

b) Woreda Representatives
c) Oromia Forest & Wildlife Enterprise and
d) FDRE Rift Valley Lakes Basin Authority
e) Kebele Representatives
For purposes of structuring the discussion along certain clear lines of roles and responsibilities
anticipated in the project, the Regional Government Officials and Sector Offices were sub
divided further into three tiers.
The three tiers and their respective anticipated roles and responsibilities – not mutually
exclusive though - are:
a) Regional bureaus for the overall guidance and oversee of the implementation of the
project and review of the project ESIA document.
b) Woreda Officials and Sector Offices for land acquisition/expropriation, project impact
and income restoration issues; and
c) Kebele Administrations for property registration and issues related to compensation
payment and cut-off date.
A total of 11 consultations were held, since 2018, with 506 participants among PAPs and local
communities, Kebele, Woreda officials. That is, 6 consultations with PAPs, local communities,
women and youth groups, elders, clan, religious leaders, and Abbaa Gadaa (these include 40
women and 240 youth, 9 Abbaa Gadaas, 3 religious leaders), 4 consultations with Kebele and
Woreda officials. In addition, 1 consultation session has been held with the Rift valley Basin
Lakes Conservation Authority. All the consultations are held in local language.
11.2 Consultation Methods

Consultative meetings and focus-group discussion (FGDs) are the two main methods adopted in
Public Consultation. While consultative meetings were used for discussion with government
officials and civil society organizations at various levels, FGDs were conducted with PAPs and
other members of cross-sections of project-affected communities. Upon completion of
identification of various groups and relevant participants thereof, checklists were prepared and
used to guide discussions during the meetings. The meeting with communities followed the
scheme below:
9
No communities will be affected by water abstraction
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Table 11.2-1 Scheme used for Consultation Method
1. Introducing the assessment team,
2. Purpose of the meeting,
3. Briefing on Aluto Langano geothermal project
4. Positive and negative impacts of the Project,

Agenda for Consultation with PAPs
5. Discussion on lake use and permit and mitigation measures
6. Discussion on mitigation measures on hunting areas

7. Discussion on community development schemes
8. Discussion on mitigation measures,
9. Discussion on mode of compensation, grievance procedures etc.

10. New employment opportunities
Positive Impacts of the Project 11. Infrastructure Development
12. Expanded access to social service facilities
13. Loss of Residential land, Physical Displacement
Negative Impacts of the Project
14. Loss of Farmland, Economic Displacement
Feedback from PAPs and discussion
Min concerns of PAPs EEP Responses
1. PAPs and community members envision that the

project would create job opportunity to their
community. Therefore, they expect this project to 1 EEP confirmed the possibility of recruitment of skilled and
create job opportunities for unemployed youth, could unskilled labour within the project framework and that priority will be
transform technology and their children could learn given to the affected household. The ESMP developed for the project
new skills. By considering these benefits and national considers the issue and developed a plan for its implementation.
economic advantages, they gave consent to grant their
land for the project.
2. Participants believe that the development of

infrastructure such as road construction would be
advanced within their Kebele. 2 EEP confirmed that a dedicated Community development Plan
3. Community development program is expected to will be implemented as per ESMP provisions
pave a way for a better-planned and organized social
service delivery facilities.
4. For housing and related structures, compensation
option preferred by the majority was cash with project
assistance in providing construction materials and
transportation services during relocation to their
settlements.
3 Compensation will follow National procedure sand WB OP 4.12
5. PAPs believe that their current farmland is very
fertile and provide good harvest. Therefore, in the case
of cash payment for agricultural land, they proposed
the compensation cost shall be determined so as to take
into account productivity, so that their income remains
sustainable (the quantity of harvest per hector of land
per year)

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11.3 Consultation with Affected Parties

To provide an opportunity for affected households, project proponents and relevant local
authorities to express their views and concerns regarding the proposed Aluto Geothermal
project and its likely impacts on the local community, the ESMT organized three rounds of
public consultation meetings once at Aluto Kebele and twice at Abey Deneba Kebele. Further
Consultations were held with Oromia Forest & Wildlife Enterprise and FDRE Rift Valley Lakes
Basin Authority.
The public consultation in the two Kebeles was mainly aimed at PAPs who have legal or
customary ownership titles and landholding rights for properties they own, the positive and
negative consequences of the project and mitigation measures. A separate forum also was held
with local authorities in Aluto and Abey Deneba Kebeles to discuss the extent and magnitude
of informal settlements and to learn about planned measures to address the problem.
In all consultation meetings, in addition to verbal explanations, the ESMT provided written
summary description of the proposed project activities in local language (i.e. Afaan Oromo)
including basic components of the project, it’s likely adverse impacts on landholdings, crops
and plants and other assets and major benefits that the project activities will bring to local
communities, including temporary employment and other local economic opportunities.
The Project ESMP encompasses the various potential adverse impacts to be caused by the
implementation of the project together with the required planned mitigation measures.
Table 11.3-12 List of Consultation with Affected Parties

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Institution
No of
/Stakeholders Issue discussed Date
participants
/Kebeles…
Key objectives of consultations
with the (OFWE) is to work in
Oromia Forest collaboration to reduce the
impact of the project on the
& Wildlife 25/07/201
hunting area. The impacts and 9
Enterprise 8
mitigation measures are clearly
(OFWE) included in the ESMP. No
restriction or other impact on
local communities is envisioned.
Objectives of consultations with 08/08/201
the (RVLBA) is to work in 8
FDRE Rift collaboration to reduce the
Valley Lakes impact of the project on the lake
Basin Ziway. (It has no impact on 6
Authority people. Water use right is
(RVLBA) permitted by RVLBA. These
issues are included in the
developed project ESMP)
08/05/201 88
Community development 8
scheme of the project, 77
Abey Deneba 03/06/201
Collaboration and support to the
Kebele 8
project, Maintaining ongoing 60
consultations 20/09/
2018
Community development
scheme of the project 60
07/03/2018
Collaboration and support to the
Aluto Kebele 23/09/ 2018 59
project
15/05/2019 67
Maintaining ongoing
consultations
Aluto Kebele
Administratio Compensation 20/09/2018 12
n
Land acquisition
Asset registration
Entitlement criteria
Adami Tulu Community development
Jido scheme of the project 22/09/ 2018 39
Kombolcha Regular Engagement
Woreda Collaboration and support to the
project
Maintaining ongoing
consultations
rural road which is going to be
Woreda
reconstructed between Adami 29
Administratio 10/06/2019
Tulu and Aluto Geothermal
n Officials
sight (Golba to Aluto Kebele)
TOTAL 506
11.4 Consultation with Oromia Forest & Wildlife Enterprise (OFWE)

The Oromia Forest and Wildlife Enterprise (OFWE) is an autonomous fully government-owned
Organization established with regulation number 122/2009, issued in July 2009 by the Oromia

104
State Council under the Federal Democratic Republic of Ethiopia. OFWE works to ensure
conservation, sustainable development and the use of forest and wildlife resources in its
concessions through community participation; to ensure supply of forest products to domestic
and international markets by enhancing the forest industry; and subsequently contribute to
regional and national socio-economic development endeavours.
Consultation was held with Oromia Forest & Wildlife Enterprise at (OWFE) East Shewa district
office found at Modjo on July 25, 2018. The key objectives of consultations with the (OFWE) is
to work in collaboration to reduce the impact of the project on the hunting area. During the
consultation, different questions arise by the OFWE experts and the answered by the project
personnel has and discussed on a number of recommended options of mitigation measures.
Some of the issues raised by the OFWE experts are:
Although the anticipated impacts are minimum, the proposed mitigation measures should be
implemented as soon as possible after the implementation of the project.
The project shall be preparing a plan to reduce the impacts on endemic plants by using offset
planting or replanting of indigenous species which can be easily adopt the climate of the area.
This needs to be implemented together in close collaboration with the Woreda agricultural
offices and community members residing within and round the project area.
It is obvious that using geothermal source for electricity generation have less environmental and
social impact when compared to that of hydropower source. Considering on time
implementation of the proposed mitigation measures, finally we have reached a consensus that
the importance of the geothermal project for the supply of Electric power to the country and the
team from OFWE expressed their full support to the project. In addition, continuous
consultations will be made with the OFWE, in order to manage any emerging social and
environmental issues arising during the project implementation period.
Figure 11.4-1 Consultation with Oromia Forest & Wildlife Enterprise (OFWE)

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11.5 Consultation with FDRE Rift Valley Lakes Basin Authority (RVLBA)
The rift Valley Lakes Basin Authority is established on proclamation number 691/2002 article 5
and sub article 34 and house of ministers council regulation number 253/2003.The overall
objectives of the Authority shall be to promote and monitor the implementation of integrated
water resources management process in an equitable and participatory manner in the Rift Valley
Lakes Basin.
Consultation was held with Rift valley lakes basin authority office found at Hawassa on August
08, 2018. The key objective of the consultations with the (RVLBA) is to work in collaboration
to reduce the impact of the project on the Lake Ziway. During the consultation, different
questions arise by the RVLBA experts and the answered by the project personnel’s and we have
discussed on a number of recommended options of mitigation measures.
The RVLBA experts has reviewed the Aluto ESIA prepared in 2013 and based on the review
they submited their recommendations. During the meeting, various technical questions were
raised by the RVLBA experts and have been answered by the project personnel. Some of the
issues raised by the RVLBA experts were:
 As Lake Ziway is the only source of fresh water for agricultural and industrial activities
in the area, if it is technically feasible it is better to use another option.
 The experts recommended that to get maximum amount of water from Lake Ziway
with minimum abstraction impact, it is better to start abstraction of Lake Water in the
rainy seasons and collect at the site for the dry season.
 The project shall be designed to efficiently use the harvested water.
 Continuous water quality monitoring must be conducted over the project
implementation period
Therefore, the project office expresses its commitment to implement the proposed measures and
advise the contract accordingly to the team of experts from RVLBA. Accordingly, the ESIA and
ESMP developed for the project considered all possible mitigation and management efforts to
address the issues and concerns of RVLBA experts. Finally, the meeting concluded that by
hearing the commitment of the experts from RVLBA that their full support to the project is
acknowledged, as the importance of the geothermal project for the supply of Electric power to
the country.
Continuous consultations will be made with the RVLBA, in order to manage any pertaining
social and environmental issues arising during the implementation period (Annex D

106
Figure 11.5-1 Consultation with FDRE Rift Valley Lakes Basin Authority
11.6 Consultation with Project Affected People at Abey Deneba Rural Kebele
Date: 20 September 2018
Place: Abey Deneba Kebele - Administration Office
Kick-off time 5:00 end time 8:00 (local time)
Attendants:
 Aluto Geothermal project staffs
 80 PAPs from Abey Deneba Kebele
Subject: Awareness creation and consultation program on water pipeline stretching, access
road construction and drilling sites activity plan of the project
Issues raised by the Woreda officials and from the project staffs.
 Mission, values and Goals of the project
 Details of the 3 above stated tasks planned by the project
 Policy and legal framework related to land acquisition
 Rights and obligations of the PAPs
Issues raised by participants
 Local people are not getting benefits from the project like water supply, health and
school.
 Due to the construction of road, flood affected our farmland and we totally lost the
2016/17 production. We formally claimed, but the project did not give any solution yet.
Why?

107
 During previous phases of project activity, there was great problem in hiring system of
employees.
 Court procedures is costly, and we are unable to get formal and legal decisions on some
cases.
 We were not given proper compensation for the land affected to stretch water pipeline
and for the access road
 The land ownership of some individuals is not clear. So, how we can get the
compensation?
 PAPs expressed frustration and complaints on the slow progress and delayed responses
of the Woreda in paying compensation after their properties were measured to be
demolished by the project.
 PAPs raised issue concerning the amount of compensation payments that set
compensation cannot fully cover material and labour costs to build housing structures
and rental rate is escalated significantly. They demanded adjustments to be made to
compensation amount to offset increased costs of construction material and associated
costs.
 PAPs also complained the slow progress and lengthy process to address and resolve filed
complaints and grievances related to compensations.
 PAPs also requested if some of their properties will be accounted, which is difficult to
use due to installation of the pipeline and access road construction.
 PAPs also requested to implement the identified community services like; Water supply,
youth center, and school and health services.
Answers by Local Administration:

 The cause for the damage in Aluto, Golba Aluto and Abbey Deneba Kebeles on crops
from flood and shortage of rain for the year 2017/18 was studied by a Task Force
organized from relevant Woreda sector offices and confirmed for not related to the
project. To this effect, Adamitulu Jido Kombolcha Disaster Risk Management (DRM)
Office took the responsibility to address the incidence. This office has compensated
most of the identified HHs affected by the flood and will proceed to other HHs based
on the study result. A letter from the Woreda DRM office describing the situation and
the responses to the incidence is given to EEP and attached here in this RAP, Annex L.
 In response to PAPs concerns and questions, local officials informed that PAPs who
have not submitted compensation related complaints to the grievance committee within
the specified time might not be allowed to submit fresh complaints for consideration or
to qualify for complaint hearings. (Complaints may arise throughout up until execution
of payment).
 Regarding to PAPs who do not have legal land certificate, the Woreda will examine
each case and provide temporary legal certificate to legalize PAPs for compensation.
In the later stages, this has been achieved fully for all the PAPs who were without the
certificate.
Answers by EEP:

108
 Concerning development initiatives, EEP informed the community that water

development, school upgrading and youth center to be built in project affected Kebeles
to ensure PAPs are benefited.
 In future project implementation, to mitigate flood causing impacts associated with
road construction, all necessary measures will be taken in to account by EEP, including
the mitigation plans in the ESMP. EEP will collaborate with relevant stakeholders to
mitigate such impacts in the project site. Project is always time bounded by its nature.
As a result, project cannot employ people permanently. When project ends, does
employment as well.
 EEP being with Kebele and Woreda administration will do its best to avoid any
litigation concerning compensation and other PAPs rights. For this reason,
Resettlement Implementation committee and Grievance Redress Committee will be
formed at Woreda level to solve any problems arising in the process. PAPs
representation will be also ensured in the committees.
 EEP acknowledge that compensation payment is delayed. However, as it is known,
EEP and Woreda administration should clarify everything and this takes lengthy
process and time. EEP will do its best to speed up the process.
 Concerning the amount of compensation, EEP follow rigorously the the provisions
noted by the national laws and the principle of compensation at replacement cost is
utilized.
 Any land being affected by one or other type of project activities will be accounted,
and compensation will be made.
Figure 11.6-5 Public Consultation Meetings at Abey Deneba Kebele
11.7 Consultation Meeting at Aluto Kebele
Date: 20 September 2018

109
Place: Aluto Keble

Attendants:
 ESMT members
 63 PAPs
 Local Authorities
Subject: Awareness creation and consultation program on water pipeline stretching, access
road construction and drilling sites activity plan of the project
Issues raised by the Woreda officials and from the project staffs.
 Mission, values and Goals of the project
 Details of the 3 above stated tasks planned by the project
 Policy and legal framework related to land acquisition
 Rights and obligations of the PAPs
Issues raised by participants
 It is believed that different harmful gases will be emitted from the wells. The gases
affect the nearby farmland and livestock.
 Though they are aware of the health and safety risks in living under high voltage
transmission line, they will continue to do so for lack of alternative land to construct
permanent housing and dwellings.
 The noises emitted from the drilling sites are disturbing us. We cannot live nearest to the
wells. Why do not you clear the nearby property in compensation form?
Answer from Local Administration
 In responding to expressed concerns of households, the local administration

representative acknowledged the challenges and dilemma of informal settlements within
the clearance area and other parts of the city boundaries and promised to address the
issues through viable mechanism like giving the white ownership paper and other land
development plans and applicable policies.(By now project affected informal settlers
have already acquired land ownership certificate).
 If removal and evacuation from the designated ROW clearance area is unavoidable, they
demand to be compensated for their affected assets and be provided with plots of land to
build houses regardless of their present land holding status, as informal settlers.
 PAPs also found out that they would be compensated for their affected assets based on
applicable estimates and in accordance to the national laws and regulations, regardless of
their landholding status.
In addition, regarding the noise and gases, which is emitted from, wells, international
standards will be followed, and as a result, a 200-meter radius from the wells will be cleared
for the health and safety needs of PAPs and nearby community. Therefore, properties, which
are found within 200 meter, will be counted and compensated per the Ethiopian compensation
rules and proclamation and based on the requirements stipulated in WB OP 4.12.(Noise
assessment is included in ESMP)
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Answer from EEP

Concerning land division, if a road divides the land, it will be checked and decided by an
expert whether it is possible to practice farming in both sides or not. Experts decide the design
of a road in consultation with respective community groups and local government
stakeholders. If division results in any land expropriation, compensation will be made as
appropriate.
 Concerning safety zone, how far should people or farmlands be away is already included
in the environmental and social impact assessments. It can be addressed accordingly.
 Concerning compensation payment process, it will be implemented according to
proclamation number 455/1997 and 135/1999. The compensation will be given in
accordance with the country’s proclamation and WB OP 4.12.
 Concerning legal ownership of land, cases will be identified by looking at receipts and in
addition, it will be checked by land management bureau of the ‘Woreda’.
 Concerning land measurement, it will be measured in the presence of the owner.
 Concerning the claim of compensation about road construction and pipeline installation,
it will be addressed by the Woreda administration.
 Concerning job opportunity, the displaced will be given priority
Concerning compensation for plants, compensation for seedlings grows naturally is not
included, but we do for those planted by people. There is no compensation for seedling only
when it is agricultural land. There is re-vegetation plan in ESMP. (see table 6.1 of ESMP)
 Concerning social benefit, the project’s plan is to supply drinking Water for the
‘Kebele’. It will be implemented as it was mentioned in ESMP.
11.8 Major Finding of the Public Consultations

During public consultations with PAPs and community groups, a number of important points
were raised and discussed. Key agenda that were forwarded for discussion with PAPs and
community groups include both positive and negative impacts of the project on local community
members, issues regarding PAPs’ property registration and valuation and availability of skills
and opportunities for participation in community development schemes. Since the details of the
consultations are too wide, ranging and broad to be presented here, only a summary of key
issues discussed and major findings are sub-divided into relevant categories and presented in the
section below.
The broader categories into which key findings of the consultations are regrouped include
anxiety, fears, uncertainties, preferences, needs, demands, reservations, expectations, hopes,
aspirations, general comments, commitments, appreciation and questions for clarification.
Public consultation and participation is a continuous process, which identifies and discusses key
issues and impacts of the proposed project. Views from local residents, local leaders, institutions
and development partners who in one way or another would be affected or have interest were
sought through interviews and public meetings.
The Environmental and Social monitoring team has also conducted various meetings on similar
issues with different Woreda sector offices such as Agricultural and Rural Development, Health,

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Education, Culture and Tourism offices, Water Resource and HIV/AIDS secretariats.
In all the meetings, the discussions were focused on the following major issues:
 Dissemination of information about the project and potential positive and negative
impacts,
 Description of the project’s impact on the existing bio-physical environment and socio-
economic conditions,
 The predicted negative and positive impacts during construction, operation and
maintenance phases,
 The possible mitigation measures to be undertaken especially during the activities of
the project and
 Attitude of community, local government officials and technical personnel towards the
project.
11.8.1 Views and Issues Raised by the Community about the Project Development
The construction of new geothermal power project will increase the capacity of the power plant
and this will greatly contribute to the country’s socio-economic development therefore PAPs
support the Project
Discussion was made on mitigation measures in case farmland is taken from the farmers for the
construction of the power plant. It is explained that the Woreda Administration shall provide
land to those who are severely affected by the loss of land. For those whose houses to be
affected by the project, compensation payment will be made at replacement cost and the Woreda
Administration will provide land if the affected persons do not have sufficient land to build the
house within their existing landholding territory. Though Woreda administration pointed out the
provision of land is a possibilityat initial stage, as time goes on, this possibility is diminishing as
understood the views of administration at various subsequent forums. It is however confirmed in
the course of the RAP preparation that all PAPs whose houses to be affected proven to have an
extra land for the construction of their new housing structures within their existing landholding
teritory. Unavailability of land was communicated to PAPs.
Though power is generated from the Aluto Langano power plant, the community around the power
plant do not have access to electricity up to now. During the discussion, it was explained that there is
massive rural electrification program by the government initiative and this area will be benefited
from this electrification program soon in the time ahead. EEP has no electrification mandate.
EEU/Ethiopian Electric Utility has such mandate, but EEP shall assist them.
The negative impact of the construction of the geothermal power project on the environment
and on the surrounding community is discussed in the meeting. Noise that will be emitted from
the steams, geothermal fluids and debris that will come from the wells will potentially affect the
environment. Proper mitigation measures will be proposed in order to avoid the negative
impacts. Persons living near the drilling site have to be relocated with appropriate distance from
the construction site and every mitigation measure will be done in accordance with the specific
plans of the developed ESIA, RAP and ESMP to avoid /minimize the negative impacts of the
project. ESMP has identified 200m radius from the drilling site to be cleared to mitigate noise
and harmful gas effect.

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 Participants raised questions why this particular place was chosen for the purpose. It is
answered that this particular place is chosen after the experts have identified more
geothermal potential in selected area than in other places.
11.8.2 Views and Issues Raised by Woreda Officials in the framework of Land Acquisition
process
Officials from the A/T/J/K Woreda were involved in the consultation since the beginning of
the survey, as they were the main responsible body for the enumeration of affected persons and
their property valuation. Woreda officials made clear that since there is no PAP with total loss,
affected PAPs will be moved to their remaining land and therefore there is no need for
resettlement site.
Woreda Administration believes that asset registration and property valuation have been made
(for all PAPs i.e. 100%) to the best satisfaction of displaced persons and it has been made
jointly with Kebele Administrations and Woreda Valuation Committee.
The followings are the major points highlighted.
 It is proposed the AGP meet regularly the Woreda administration to avoid any
information gap about the project.
 Kebele officials and Abbaa Gadaas further expressed their expectations that AGP must
provide social service amenities beyond mere compensation. According to them, AGP
must support the development of social service facilities such as school, potable water,
human and animal health center and youth center for the local communities.
 Collaboration, support and enthusiasm demonstrated by the A/T/J/K Woreda officials
towards the realization of the project was excellent signifying a huge opportunity for
the smoother implementation of the various components of the project. It was also
noted during the discussions that while such support could be a great opportunity to the
project, it could equally be a challenge if the project fails to keep its promises to meet
the expectations, aspirations and needs of project affected persons and local
communities.
 Finally, it was suggested that transparent discussions and consultations between
members of affected communities and their administration is important for the best
interest of the project. Therefore, such platforms could and shall be used to disclose
information about the project, to create shared understanding and trust between parties
involved in the process.
11.8.3 Views and Issues Raised by the PAPs in the framework of Land Acquisition process
From the assessment made, the extract of major issues in relation to payment of compensation
of PAPs include, but not limited to, the following:
 Awareness of PAPs with regard to the Aluto Geothermal project in general is beyond
satisfactory. Out of the total households interviewed about their awareness and sources
of information, more than 99% have confirmed their awareness of the project and the
consequential displacement awaiting them.
 PAPs attitude towards the project is remarkable. Despite the fact that they are
shouldering the brunt of all adverse social impacts of the project in terms of losing

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established livelihood their attitude is positively impressive.

 PAPs express their views as that they would be beneficiaries of the project in many
ways.
 PAPs understanding of the social and environmental adverse impacts of the project is
substantial.
 PAPs willingness to abandon their housing and farmland against appropriate
compensation is as high as 100% and 98.3% respectively. This willingness is of course
tied with some preferences and expectation.
 Ensure transparency and efficiency and avoid or at least reduce time lag through
cutting bureaucratic red tape to a minimum possible during compensation payment was
an outcome of the consultation process.
 Since not only economic opportunities (other than farming), but also technical and
business skills among affected populations are very low, beneficiaries who preferred
cash compensation shall be supported by the project through counselling, training,
facilitation and capacity building so that they can set up profitable ventures. In this
regard, with proper planning and coordination (with relevant stakeholders)
mechanisms, EEP is planning to incorporate such necessary supports in the livelihoods
restoration plan for all PAHHs.
 No construction shall commence until land expropriation procedures have been
completed and cash compensation paid as appropriate.
 All of these activities will have to be carefully planned and completed well in advance
of actual construction to allow enough time for appropriate resettlement and relocation
of project affected persons.
11.8.4. Summary of responses given by implementing agency/EEP
 Concerning development initiatives, EEP informed the community that water
development, school upgrading and youth centre to be built in project affected Kebeles
to ensure PAPs are benefited.10
 In future project implementation, to mitigate flood causing impacts associated with
road construction, all necessary measures will be taken in to account by EEP, including
the mitigation plans in the ESMP. EEP will collaborate with relevant stakeholders to
mitigate such impacts in the project site.
 Project is always time bounded by its nature. As a result, project cannot employ people
permanently. When project ends, does employment as well.
10
In the context of this RAP, Livelihood Restoration and Community Development programs are differently
approached but related programs that contribute to ensuring that affected as well as the general community groups
are better off after the planned interventions. Livelihoods restoration refers specifically to measures required to
mitigate any negative impacts that the Project may have on people’s economic assets or activities. The key
guiding principle for livelihoods restoration basis the objectives of WB OP 4.12-Involuntary resettlement,
envisioning improvement, or restoring the livelihoods and standards of living of displaced persons; to be in
placed at the time of physical or economic displacement resulting from Aluto Geothermal Project
activities. Community development is rather referred to a set of interventions (water supply, school rehabilitation
and construction of youth center) that believed to contribute to both economic and social development of
communities, including students, youth and wider population in and around project implementation area. The
area of intervention will extend beyond the PAPs who experience physical or economic displacement.

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 EEP being with Kebele and Woreda administration will do its best to avoid any
litigation concerning compensation and other PAPs rights. For this reason,
Resettlement Implementation committee and Grievance Redress Committee will be
formed at Woreda level to solve any problems arising in the process. PAPs
representation will be also ensured in the committees.
 EEP acknowledge that compensation payment is delayed. However, as it is known,
EEP and Woreda administration should clarify everything and this takes lengthy
process and time. EEP will do its best to speed up the process.
 Concerning the amount of compensation, EEP follow rigorously the national laws and
the principle of compensation at replacement cost is utilized.
 Any land being affected by one or other type of project activities will be accounted,
and compensation will be made.
 In responding to expressed concerns of households, the local administration
representative acknowledged the challenges and dilemma of informal settlements
within the clearance area and promised to address the issues through viable mechanism
like giving the white ownership paper and other land development plans and applicable
policies.
 PAPs also found out that they would be compensated for their affected assets based on
applicable estimates and in accordance to the national laws and regulations, regardless
of their landholding status.
 In addition, regarding the noise and gases, which is emitted from, wells, international
standards will be followed, and as a result, a 200-metre radius from the wells will be
cleared for the health and safety needs of PAPs and nearby community. So, properties
which are found within 200 metre will be counted and compensated in accordance with
the Ethiopian compensation rules and proclamation as well as the requirements of WB
OP 4.12.
 During the discussion, it was explained that there is massive rural electrification
program by the government and this area will be benefited from this electrification
program. In addition, it was explained that the EEP has no electrification mandate.
EEU/Ethiopian Electric Utility has such mandate, but EEP shall assist them.
 The negative impact of the construction of the geothermal power project on the
environment and on the surrounding community is discussed in the meeting. Noise that
will be emitted from the steams, geothermal fluids and debris that will come from the
wells will potentially affect the environment. Proper mitigation measures will be
proposed in order to avoid the negative impacts. Persons living near the drilling site
have to be relocated with appropriate distance from the construction site and every
mitigation measures will be proposed in the environmental and social impact
assessment report to avoid /minimize the negative impacts of the project. To address
the social and environmental impacts, specific plans have been developed and included
in the Project’s ESMP.
 Regarding the participant`s questions of why this particular place/Aluto site was
chosen for geothermal utilization purpose, It was explained that geoscientific
study/exploration study was conducted, and the result of the study showed availability
of geothermal resources, and hence experts had confirmed geothermal potential at

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Aluto and Bobessa prospect.

 Regarding the questions concerning community development schemes, EEP/AGP will
provide community service like school, potable water, and youth center for the
respective local communities around the project.
11.9 RAP Disclosure and Clearance

From the outset, it is emphasized that the Aluto Geothermal project involves a multitude of
stakeholders including the project developer, Regional and Federal governments through to
financiers, rights groups and environmentalists. Projects like this usually attract the attention of
various stakeholders and hence are often prone to various scrutinization, including criticisms.
This is especially true in today’s highly globalized world.
Therefore, it is crucially important for the project to encourage views and comments from all
players and address them properly and adequately regardless of their sources, types and
motives.
Aluto Geothermal Project is responsible to provide all stakeholders at all levels with accurate
and up-to-date information about this RAP.
Methods and modalities for public disclosure can take different forms depending on what is
intended to be achieved. The bottom line, however, is the participation of all key players at all
levels - local, regional, national as well as international ones. The following methods will be
adopted for the public disclosure.
11.9.1 Disclosure Plan
The Aluto Geothermal Project will use a variety of communication techniques to announce
major project milestones and decisions points, information about the project, its impact, and
mitigation measures, and these are discussed below.
Consultative Meetings upon Completion of the RAP
Stakeholders identified and consulted during the initial phase of the public consultation
process would be called to the next phase of consultative meetings. The purpose of the
meetings will be to:
 update them with new project information;
 present the initial findings on the consultative meetings; and
 Present the proposed compensation and social development plan.
The required information on project objectives, descriptions, and potential impacts will be
shared with the Stakeholders to make them aware about the project impacts, and the likely
mitigation measures to be pursued and implemented. The participants will be encouraged to
forward ideas, questions and comments to facilitate the implementation.
The results of these discussions will also be incorporated in the RAP Monitoring Report for
future consideration and implementation.
Prepare Project Information Package
A dedicated Project Information Package should be prepared with tools adapted to the

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communities by ESMT. The information packages should include:

(i)The purpose, nature, and scale of the Project;
(ii)
The duration of proposed Project activities;
(iii)
Any risks to and potential impacts on communities and relevant mitigation
measures;
(iv) The envisaged stakeholder engagement process; and
(v) The grievance mechanism.
Disclosure on EEP’s and WB External Website
The disclosure of the RAP will be released on EEP's and the World Bank External website.
To date, the draft RAP has been consulted with PAPs and relevant stakeholders during May
15- 18, 2019. The draft RAP report will also be available in the above stated websites and
stays for certain period of time, within which it could be possible to collect feedback,
comments, and suggestion from interested entities.
Public Notice
Public notice will be prepared, and it will include relevant information on the project objective,
descriptions, benefits, impacts and planned RAP. This publicly released notice, shall be short
and be written in a non-technical language. A public notice will be used to announce the status
of the project and results of the RAP in:
 Ethiopian Herald News;
 Addis Zemin (Amharic) News;
 Beressa (Oromiffa); and
 Local FM radio
11.10 Consultation Schedule

Since the RAP is a living document, ESMT will follow up the consultation program as per the
following scheme in Table 11.10-1.

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Table 11.10-1 Consultation Program
Implementing Agency
Preparatory Phase
Mobilization Phase
Before Contractor
Issue Method Stakeholder
Update them with new project PAPs

information
Consultative Woreda EEP/
Present the initial findings on the
consultative meetings Present the Meetings Representative X AGP/
proposed compensation and social Keble ESMT
development plan Representative
PAPs
Non-technical Summary Disseminatio
n through Woreda EEP/
Impacts and mitigation measures
project Representative X AGP/
Compensation procedures
information
Grievances redress mechanism Keble ESMT
package
Representative
Consultative
Consultation on RAP PAPs X AGP
meeting
EEP/
FGD/ Severely affected
Livelihood restoration planning X X ESMT/
Interview PAPs
Consultant
Develop information Package in local
language Flyers Public X EEP
Disclosure of project main feature at
Woreda and Kebele level PAPs
Public
Disclosure of RAP main features at Citizens and X EEP
Notice
Woreda and Kebele level Organization
Disclosure on EEP website

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12 RAP IMPLEMENTAION SCHEDULE

The RAP implementation for Aluto Project is structured in four main phases and detailed in
Table 12.1-13:
Preparation of RAP
Cadastral Measurement and Socio-Economy Households Survey
RAP finalization
World Bank review and approval on RAP
RAP disclosure
RAP Implementation
Socialization of detailed land acquisition plan
Disclosure of the result of assets evaluation
Negotiation and PAPs agreement on assets evaluation
Compensation Payment
Notice and Compensation payment
Physical displacement
Livelihood Restoration Plan study
Recruitment of a NGO and Implementation of LRP and CDP
Monitoring
Internal monitoring (submission of quarterly reports)
External monitoring (if needed)

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2019 2020 2021
SEPTEMBER
SEPTEMBER
NOVEMBER
NOVEMBER
Activities
DECEMBER
DECEMBER
FEBRUARY
FEBRUARY
2018
FEBRUARY
OCTOBER
JANUARY
OCTOBER
JANUARY
JANUARY
AUGUST
AUGUST
MARCH
MARCH
MARCH
MARCH
APRIL
APRIL
APRIL
JULY
JUNE
JULY
JUNE
MAY
MAY
N
1 Preparation of RAP
Cadastral Measurement and

1.A Socioeconomic Households
Survey
1.B RAP finalization
World Bank review and

1.C
approval on RAP
1.D RAP disclosure
2 RAP Implementation
Socialization of detailed land

2.A
acquisition plan
Disclosure of the result of
2.D
assets evaluation for PAPs
Negotiation and PAPs
2.E agreement on assets
evaluation(done)
Compensation Payment and
3
livelihood restoration
Notice and Compensation
3.A
payment
3.B Physical displacement
Livelihood Restoration plan

3.C
study
Recruitment of a NGO and Up to
3.D Implementation of LRP and March
CDP 2022
4 Monitoring
Internal monitoring
4.A (submission of quarterly
reports)
4.B External monitoring

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Table 12.1-13 RAP Implementation Schedule

121
13

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14 COSTS AND BUDGET

The total budget required to compensate for the loss of farmland, trees and houses and other
properties is estimated at BIRR 59,307,509.11Birr (2,029,701.34 USD). The budget is also
inclusive of resettlement, livelihood restoration and community development activities of the
Aluto Geothermal project budgets.
Table 13.0-1 Cost and Budget
SI. Compensation Compensation

Activities Unit Price Area(ha)
N amount in Birr amount in USD
loss of farmland and other properties

1 For Drilling and safety zone 1518.977 41.3706 25,186,662.65 861,971.86
2 For Access Road (ha) 1518.977 2.7044 1,646,452.46 56,347.11
3 For Water line (ha) 1518.977 3.6681 2,233,161.22 76,426.25
4 House (m2) 1827.09147 514.263 939,605.54 32,156.45
5 Graveyards fencing 30,000 1,026.70
Sub total 30,035,881.87 1,027,928.37
6 Loss of trees
Big 3000 1,608,000.00 55,031.14
Medium 1800 649,800.00 22,238.33
Small 900 398,700.00 13,644.85
Sub total 2,656,500 90,914.32
1.1.1.1.1.34 Temporary rental houses for
7 affected HHs (7 Houses1.1.1.1.1.35
affected 1000 1.1.1.1.1.36 3months
1.1.1.1.1.37 21,000 718.69
by the access road construction)
8 Transport and Moving allowance 800/per HH 16,000 547.57
Income Restoration and Community Development Schemes
Special Support for vulnerable
9 4000 376,000.00 12,867.94
groups (94HHs)

Monitoring and Evaluation
Monitoring and Evaluation (lump
10 120,000 4,106.80
sum)
Purchase of 2 Motor bikes and a
11 200,000 6,844.67
camera (lump sum)
Sub total 320,000 10,951
Community development (youth
12 19,467,136 666,230.51
center, water supply and schools)
Livelihood /income restoration
13 987,000 33,778.44
(Lump sum)
Budget for Committees
14 implementing the RAP (AVC, ET Br 175/day 36,400.00 1,245.73
GRM and others)
Total 46.6 ha 53,915,917.37 1,845,183.04
Contingency 10% 5,391,591.74 184,518.3
Grand total 59,307,509.11 2,029,701.34
August 15, 2019 1USD 29.21982ETB

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14.1 13.1 Compensation Payment

 The total compensation value for houses, temporary rental houses and graveyards
fencing facilities is estimated based on replacement costs, equals to total Birr
990,605.54
 Compensation for trees is estimated Birr 2,656,500.00
 Estimated cost for Annual crop equals Birr 29,066,276.33
House rental budget is allocated for only for 7 houses (corresponding to the 7 Houses affected
by the access road construction)
This is because the construction of the access road will start immediately after compensation
payment. As a result, PAPs will not have enough time to construct their houses. Whereas the
remaining houses affected by drilling project activity, which will take place later, and PAPs
will have enough, time to build their houses.
Budget for three months is planned in accordance with legislation on expropriation of land and
compensation proclamation No. 455/2005. Article 4 sub Article 3 states the following.
Any landholder who has been served with an expropriation order in accordance with Sub-
Article (1) of this Article, shall hand over the land to the Woreda or urban administration
within 90 days from the date of payment of compensation or, if he refuses to receive the
payment, from the date of deposit of the compensation in a blocked bank account in the name
of the Woreda or urban administration as may be' appropriate.”
Since the project will not provide the required 90 days after compensation, it is appropriate to
allocate rental budget for affected HHs.
Compensation for rental expenses is calculated based on the average monthly rental rates of
the areas, which is Birr 1,000 per month per HH. The total cost for temporary rental payments
is estimated at Birr 21,000 (7 Houses × 1000 monthly rental rate × 3 months).
14.2 13.3 Project Management and Running Costs

Budget for Asset Valuation Committee and resettlement implementation committee includes
daily allowances per persons (including Kebele Chairmen) 175 birr for 16 persons for 13 days
a total of Birr 36,400.00 is budgeted to undertake RAP implementation activities.
Monitoring and Evaluation Cost: Regular monitoring of the RAP implementation and periodic
evaluation cost is estimated to a lump sum of Birr 120,000.00.
For facilitation of the monitoring activities of field workers, purchasing of two motorbikes was
found important. In addition, camera is required to improve the documentation. As a result,
180,000 Etb for motorbikes and 20,000 Etb for cameras were budgeted.

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15 GRIEVANCE REDRESS MECHANISM

A grievance redress mechanism (GRM) is expected to outline procedures to respond to
project-related grievances in an efficient and effective manner. As per OP 4.12 of the WB,
GRM should be accessible and appropriate to bring about remedial measures for complaints.
Appropriateness and accessibility signifies the need to have a workable GRM arrangement
tailored to local context. Without these main ingredients of GRM, complaint procedures will
have no expected outcome in redressing grievances. In case of complaints that arise by PAPs
on project related activities, the preferred way of settlement is through amicable means so as to
save time and resources as opposed to taking the matter to formal courts.
To ensure that the PAP have avenues for redressing grievances related to any aspect of
compensation, construction management negligence, and any other relevant project related
matter, procedures for the redress of grievances should be established for the project. The
objective is to respond to the complaints of the PAP efficiently; i.e., the mechanism to be
easily accessible, transparent and fair and to avoid the need to resort to complicated formal
channels to redress grievances. Accessible and appropriate GRM not only help to have more
effective and efficient procedure but it also has strong bearing on the project implementation
progress, as PAPs grievances tends to thwart timely accomplishments of project activities.
In case of Aluto Geothermal Development Project, Grievance Redress Committee (GRC) is

already formed in Adami Tulu Jido Kombolcha Woreda to deal with project related grievances
by PAPs. As to members composition of project initiated GRC is shown in the below table:
Table 14-0-1: Name and Responsibility of GRC Members in Adami Tulu Jido Kombolcha Woreda
No Organization Responsibility Name
1 Adami Tulu Jido Kombolcha Chairperson Ato. Bilata Uluso (Cell
Woreda Administration (Focal Person) Phone- +251913278827)
2 Adami Tulu Jido Kombolcha Secretary Ato.Million Bedada (Cell
Woreda Land Phone- +251912303068)
Administration
3 Adami Tulu Jido Kombolcha Member Ato Girma
Finance and Economic
Development
4 Adami Tulu Jido Kombolcha Focal Person for W/o.Momina Tefo
Women and Children Gender and GBV
Affairs Office
5 Religious Leader Member Sheh Hussin Gemedo
6 Elders Member Ato. Jemal H/Geleto
7 PAP’s Representatives Ato Dangie Haji
Midekso (Aluto Kebele)
Member
Ato Warisso Hussien
Bonie (Abeye Deneba
Kebele)
8 Kebele Representatives
8.1 Aluto Kebele Focal Person Ato Kedir Qasso (Cell
Phone- +251910090438)
8.2 Abeye Deneba Kebele Focal Person Ato Abduljebar Sheh
Kedir (Cell Phone-
+251911796689)

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15.1 14.1. Project GRM Procedure
• Complainants can log/file their complaint(s) in written form, verbally, through telephone call,
text message or any means of channels convenient to them.
• Complain to be registered in a format prepared for the same purpose.
• The filed complaint(s) need to be itemized, clear and concise with remedial suggestions
• Present the form for the relevant designated officer (first contact point, in this case secretary
of the Grievance Redress Committee-GRC)
• Address of the PAP or PAPs (Telephone, kebele, etc. anonymous complaints are also be
allowed)
15.2 14.2. Special Procedures to Address Issues Related to GBV

For the GRM to effectively address the issues/incidents related to sexual exploitation and other
forms of Gender-Based Violence (GBV), the project in general and the Woreda level GRC must set
proactive mechanism functional throughout the project cycle. In this regard, the Woreda Women and
Children Affairs Office head will be the focal person on issues related with sexual exploitation and
other forms of gender-based violence. The following are the working procedures of the Woreda
Women and Children Affairs Office to handle GBV in the project area.
 Adami Tulu Jido Kombolcha Woreda Women and Children Affairs Office should get the
capacity building/Training on key principles of GBV/SEA case management including
confidentiality, non-judgmental, best interest of the survivor, services and referrals;
 Establish a proper channel to receive reports or project-related risks of sexual harassment and
GBV i.e. the risk factors that exacerbate or expose people to GBV;
 Conduct awareness raising campaign regarding the risks of GBV to both men and women in
the project area; and key principles of GBV/SEA case management,
 The Woreda Women and Children Office representative in the Woreda GRC will be the focal
point who can confidentially receive complaints or reports from the survivors through
various forms of uptake channels including telephone call, text message, email, face-to-face,
and others.
 The Woreda Women and Children Affairs Office will immediately (Not more than 24 hours)
communicate the complaint to EEP. EEP will then report the case to the World Bank;
 The Woreda Women and Children Affairs Office will not investigate the GBV/SEA case.
Rather, maintaining the key principles of GBV/SEA case management including
confidentiality, non-judgmental, best interest of the survivor will report the case to EEP and
facilitate survivors to services and referrals;
 The GBV/SEA case will be investigated, and further information will be collected by
GBV/SEA specialists based on the scope of risk involved;
 Record all the reported incidents based on the level of risks and follow-up or track the
response process of the referred agency or court until the achievement of satisfactory
resolution.

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15.3 14.3. Responsibilities of the Woreda GRC
• Check the complaint is project-induced;

• Registering all complaints and organize them properly (the responsibility of the GRC
Secretary), and forwarding the case to the committee;
• If it is not settled by the GRC, inform/forward the same to project owner /client-EEP;
• Feedback from the project owner to be communicated to responsible bodies, including
complainant/s;
• Feedback or GRC committees’ decision should be communicated to the PAP(s)/
complainant/s at a maximum of 30 working days;
• Amicable dispute settlement continues to be explored;
• In case amicable arbitration not working, complainant/s can use their own right in formal
court procedures
• As it has been repeatedly mentioned, the GRM should be based on the core principles of
fairness, objectiveness, simplicity (localized and contextual), accessibility to PAPs,
responsiveness and efficient. In addition, GRM should not only deals with compensation
issues, rather it also takes into account all other project –induced complaints;
• Capacity building and awareness creation interventions for local level GRC and
Compensation Committee are essential. EEP should facilitate such trainings for better
performance of the GRM functionality.
The following steps will be followed in order to achieve consensus for any grievance related to any
aspect of the Aluto Geothermal Development Project.
Stage One:
• PAPs can complain orally or in writing to the Woreda Property Valuation Committee (cases
related to asset valuation and compensation). If it is an oral complaint, the Woreda Property
Valuation Committee must record the complaint in writing and must respond to the
complaint within one week. If the complaint is very difficult to deal with by the Woreda
Property Valuation Committee, response of the committee to the complaint must be
provided within one week.
Stage Two:
• If the response to the complaint at Stage one cannot satisfy the complainant PAPs; PAPs
can appeal to Grievance Redress Committee (GRC) within one week after the receipt of the
response to the complaint, and GRC at Woreda level must respond to the appeal within two
weeks.
Stage Three:
• If PAPs are still not satisfied with the response at the Stage Two, they can appeal to the court
after receipt of the response for final decision.

127
The below schematic presentations describe the stages of the GRM to be followed by Aluto
Geothermal Development Project induced complaints; both compensation and non-
compensation related cases.
Figure 14- 0-2: Project Affected Persons (PAPs) Grievance Resolution Channel- Compensation related
Grievance

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Figure 14- 0-3: Project Affected Persons (PAPs) Grievance Resolution Channel- Non Compensation
related Grievances

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15.4 14.4. World Bank’s Corporate Grievance Redress Service (GRS)

Communities and individuals who believe that they are adversely affected by a World Bank
(WB) supported project may submit complaints to existing project-level grievance redress
mechanisms or the WB’s Grievance Redress Service (GRS). The GRS ensures that complaints
received are promptly reviewed in order to address project-related concerns. Project affected
communities and individuals may submit their complaint to the WB’s independent Inspection
Panel, which determines whether harm occurred, or could occur, because of WB non-
compliance with its policies and procedures. Complaints may be submitted at any time after
concerns have been brought directly to the World Bank's attention, and Bank Management has
been given an opportunity to respond. For information on how to submit complaints to the
World Bank’s corporate Grievance Redress Service (GRS), please visit
www.worldbank.org/grs. For information on how to submit complaints to the World Bank
Inspection Panel, please visit www.inspectionpanel.org
15.5 14.5. Public Disclosure of RAP

Public disclosure of the RAP has to be made to stakeholders for review and comments on
entitlement measures and other issues in the implementation of the RAP before final approval
of the RAP. The purpose of the disclosure is to receive comments and suggestions to
incorporate the appropriate ammendements in the succeeding versions.
EEP will publicly disclose this RAP, in English, in local languages and make copies available,
and distribute with a letter accompanied to the Oromia region, the respective districts and
Woreda authorities. This could be done by:
 Publishing it on EEP'S website (in English and in local languages);
 Publishing it in local newspapers;
 Announcing it on local radio stations and
 Depositing/posting it in a range of publicly accessible places such as, districts, Woreda
and Kebele offices.
Once this RAP is disclosed, the public have to be notified through both administrative
structures and informal structures about the availability of the RAP documents and be
requested to make their suggestions and comments.

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16 MONITORING AND EVALUATION
16.1 Introduction
It is important that the objective of the Policy on Involuntary Resettlement is achieved and
therefore monitoring whether the project-affected people have had their livelihoods restored to
levels prior to project or improved is critical.
To establish the effectiveness of the all the resettlement activities, this monitoring and
evaluation (M&E) procedures for the RAP has been designed. With this, it is possible to
readily identify problems and successes as early as possible. Monitoring involves period
checking to ascertain whether activities are going according to the plan. It provides the
feedback necessary for the project management to keep the performance on schedule. By
contrast, evaluation is essentially a summing up, the end of the project assessment of whether
those activities actually achieved their intended aims.
16.2 Purpose of Monitoring

The purpose of monitoring is to provide project management, and directly project affected
persons with timely, concise, indicative information on whether compensation, resettlement
and other impact mitigation measures are on track to achieve sustainable restoration and
improvement in the welfare of the affected people, or that adjustments are needed.
In short, monitoring answers the question: Are project compensation, resettlement and other
impact mitigation measures on time and having the intended effects?
Monitoring verifies that:
 Actions and commitment for compensation, resettlement, land access, and development
in the proposed RAP are implemented fully and on time;
 Eligible project affected people receive their full compensation on time, prior to the
start of the main project activities on the proposed Aluto geothermal project;
 RAP actions and compensation measures have helped the people who sought cash
compensation in restoring their lost incomes and in sustaining/improving pre-project
living standards;
 Compensation and livelihood investments are achieving sustainable restoration and
improvement in the welfare of the PAPs and communities;
 Compliant and grievances are followed up with appropriate corrective action and,
where necessary, appropriate corrective actions are taken; if necessary, changes in RAP
procedure are made to improve delivery of entitlements to project affected people;
 Vulnerable persons identified are tracked and assisted as necessary.
16.3 Monitoring Framework (Internal and External)

Monitoring will consist of:

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 Internal monitoring by ESMT as an integral part of its management, working with the
impacted communities; and
 External monitoring by consultants that will be appointed to work with the impacted
communities.
16.4 Internal Monitoring

The internal monitoring is conventional monitoring related factors such as, numbers of persons
affected, resettled, assistance extended, and other financial aspects, such as, compensation paid,
etc. The internal monitoring must be carried out simultaneously with the implementation of the
RAP.
The objectives of internal monitoring are:
 Daily Operations Planning;
 Management and Implementation;
 Operational Trouble Shooting and Feedback.
The periodicity of internal monitoring could be daily or weekly depending on the issues and
level. All aspects of internal M&E shall be supervised by the respective WB Environmental
and Social Office within EEP and will provide evaluation of internal performance and impact
monitoring and other reports.
On top of the daily/weekly internal monitoring, a more formalized quarterly monitoring
session will be carried out to capture the progress of the RAP implementation and identify
challenges. Discussion on submitted grievances and correction measures taken will be part of
the monitoring items. The monitoring process is believed to serve as an important forum to
seek solutions to identified challenges collaboratively with project stakeholders. Accordingly,
this quarterly monitoring will be participatory involving representatives of project partners
mainly GRC, AAC and PAPs and woreda and kebele administration.
Minutes elaborating the process and outcomes of monitoring along with agreed future actions
will be developed, shared and documented. The AGP ESMT takes the overall lead and
coordination of the monitoring activities.
Regular process report will be prepared and submitted. The internal monitoring will look at
inputs, processes, and outcome of compensation/resettlement/other impact mitigation
measures. Input monitoring will be established if staff, organization, finance, equipment,
supplies and other inputs are on schedule, in the requisite quantity and quality.
Process monitoring will:
 Assess RAP implementation strategies and methodologies and the capacity and
capability of program management personnel to effectively implement and manage the
programs; and
 Document lesson learned and best practices and provide recommendations to
strengthen the design and implementation of RAP.
 Outcome (or effectiveness monitoring) will determine the degree to which the program
132
objectives and performance targets have been achieved. Outcome monitoring will
establish if agreed outputs are realized on time for:
 Communication with the affected communities;
 Agreed resettlement and compensation policies, procedures and rates;
 Compensation for crops, buildings, and lost business;
 Construction and occupation of infrastructure and housing;
 Livelihood program delivery and uptake;
 Grievance resolution;
 Attention to vulnerable people.
16.5 External Monitoring

This should be seen in the eye of compliance and impact monitoring. For compliance
monitoring, EEP and WB will appoint a consultant to work closely with the PAPs to track the
progress of RAP implementation. The consultant (s) will be a person (s) with deep experience
in the conduct of resettlement, hands on experience in monitoring and evaluation, no previous
involvement in this project, and proven ability to identify actions that improve implementation
and mitigate negative impact of resettlement. The consultant will provide support in the proper
implementation of resettlement program.
It should also bring the difficulties faced by the PAPs to the notice of WB to help in
formulating corrective measures. As a feedback to the WB and others concerned, the external
consultant should submit quarterly report on progress made relating to different aspects of
resettlement and livelihood restoration activities.
Compliance monitoring will:
 Determine compliance of RAP implementation with RAP objectives and procedures;
 Determine compliance of RAP implementation with the laws, regulations and
applicable;
 Determine RAP impacts on standard of living, with a focus on the ―no worse-off if
not better-off‖ objective;
 Determine international best practices;
 Verify results of internal monitoring;
 Assess whether the resettlement objectives have been met specifically, whether
livelihood program have restored the livelihood of PAPs, and their living conditions
have improved;
 Assess the resettlement efficiency, effectiveness, impact and sustainability, drawing
lessons for future resettlement activities and recommending corrections in the
implementation process;
 Ascertain whether the resettlement entitlements are appropriate to meet the objectives,
and whether the objectives are suitable to PAPs conditions;
 Assess grievance records, to identify implementation problems and status of grievance
resolution;
133
Ensure RAP implementation complies with World Bank policy and the national legal
requirement.
 Impact Monitoring/concurrent evaluation will be carried out simultaneously with the
monitoring. For Concurrent Impact Evaluation, the M&E who should have resettlement
and social development experience shall:
 Verify whether the objective of resettlement have been realized, particularly in the
changes in the living
 Impact assessment is to be compared with the baseline values for key socioeconomics
as given in the RAP;
 To assess whether the compensation is adequate to replace the lost assets;
 Assess the level of satisfaction of the various assets provided as part of the RAP
implementation;
 Based on the impact assessment, suitable remedial measures are to be proposed for any
shortcomings; and
 Remedial measures if PAPs are not able to improve their living standards.
Completion Audit
The completion audit will be conducted by external party to assess the impact of the RAP
implementation and whether the outcome of the resettlement operation complies with the
Involuntary Resettlement Policy of the World Bank, and the GoE legal requirement related to
expropriation of landholding and payments of compensation. The completion audit will be
conducted after one year the RAP is completed to evaluate whether the livelihood restoration
and rehabilitation implemented has brought the desired effect (improvement in the living
standard of PAPs). Thus, after one year the expropriation has been completed and the
assistance to the PAPs has been made, there will be an impact evaluation to assess whether the
PAPs have improved their living conditions in relation with the baseline socioeconomic status
established during the socioeconomic studies.The methodology for Completion audit shall
include, but not limited to:
 Field visits
 Interviews with a random sample of PAPs within the different categories (age, sex,
vulnerability, etc)
 Feedback from public consultations
 Survey the living situation of the PAPs after the implementation of the RAP to assess
whether the standards of living of the PAPs have improved, maintained as they were or
deteriorated.
The completion audit will cover issues such as:
 Public perception of the Project

 Social structures: traditional authorities, community cohesion;
 Economic status of PAPs: livelihood restoration and enterprise, employment, land
holdings, non-agricultural enterprise;
 Cost of market basket of essentials including rental accommodation;
 Employment: on the project and in the impact area.
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16.6 Monitoring Plan

The monitoring and evaluation process will be Participatory Monitoring and Evaluation
including all the stakeholders (PAP, Zonal, Woreda and Kebele administrations, NGOs, other
Government organizations and host communities). EEP will be responsible to monitor and
evaluate the compensation and RAP in consultation with the independent consultant and if
necessary, with Woreda/Municipality/Kebele administration offices and the PAP by adopting
the following process and output indicators:
1. Pre-civil works and predrilling activities Phase:
 Monitor whether the asset valuation and compensation payments are carried out in
accordance with established legal and administrative procedures.
 Payment of compensations to the PAPs is made in accordance with the level of
compensation described and determined in the RAP to the minimum.
 Ensure proper implementation of RAP as per the RAP implementation time schedule
 Ensure re-establishment of Public infrastructures and social services
 Support and assistance to vulnerable groups
2. Construction and drilling Phase
 Compensation to be made for additional land requirement
 Evaluate type and number of employment and economic opportunities created by the
project
 Contractor operates within the boundary of handed over area
 Appropriateness of grievance redress mechanism
3. Post Construction Phase
 Evaluate PAPs’ socio-economic situation vs. a baseline situation
 All project activities are recorded, documented and maintained in a timely manner.
 Ensure Public information and public consultation are made in a timely manner
The monitoring report by the RAP-Implementing Committee will be submitted to the local
authority (Woreda for rural areas and municipality for towns). A copy of this will be submitted
to the Zone and Regional State Bureau of Land & Environmental Protection and by the ESMT
of EEP. It will also be enclosed in the construction progress reports submitted by supervising
engineers. Only in this way can RAP implementation be monitored and problems identified
and quickly resolved.
The main purpose of monitoring will be to verify:
 If actions and commitments described in the RAP are implemented.
 If eligible project affected people, receive their compensation prior to the civil work.
 The magnitude of RAP actions and compensation measures in restoring and
improving pre-project livelihoods and lost incomes.
 If complaints and grievances forwarded by project, affected people are followed up
and appropriate corrective measures are taken.
 If necessary, changes in RAP procedures are made to improve delivery of entitlements
135
to PAPs.
 If compensation disbursement is made to correct parties.
 The physical progress of resettlement and rehabilitation.
 Restoration of social services and amenities.
 Special care and assistance provided to social groups in need of additional assistance.
 All Monitoring and Evaluation Reports including Monthly and Quarterly
Implementation Status Reports will be submitted to the World Bank on regular basis.
16.7 Monitoring Indicators

Indicators, which will be monitored during the project, may be divided into two categories.
 Process input and output indicators for internal monitoring; and
 Outcome or impact indicators for external monitoring.
These are highlighted briefly below:
Input indicators include the resources in terms of people, equipment and materials that go into
the RAP. Examples of input indicators in the RAP are the sources and amounts of funding for
various RAP activities. Output indicators concern the activities and services, which are
produced with the inputs. Examples of output indicators in the RAP include
 A database for tracking individual compensation; and
 The payment of compensation for losses of assets.
Process indicators represent the change in the quality and quantity of access and coverage of
the activities and services. Examples of process indicators in the RAP include:
 The creation of grievance mechanisms;
 The establishment of stakeholder channels so that they can participate in the RAP
implementation;
Information dissemination activities.
Outcome indicators include the delivery of compensation and other mitigation to avoid
economic and physical displacement caused by the project. They measure whether
compensation is paid and received, whether the affected populations who preferred cash
compensation to in-kind resettlement assistance offered to them was able to use compensation
payment for sustained income.
Indicators that will be monitored broadly cantered around delivery of compensation, resolution
of grievance, land access, increase or decrease in PAPs assets, social stability, health, level of
satisfaction of PAPs and number of PAPs that benefits from the livelihood restoration
programs. Specifically, some monitoring indicators for RAPs are outlined in the table below.
Table 15.7-14Monitoring Indicators
Indicators Variable
Number of people reached or accessing information, information
Consultation request, issues raised, etc. Number of local Community Base
Organizations participating
136
Physical Progress of Compensation and Assistance

Number of PAPs affected (building, land, trees, crops, etc.) Number of
Compensation and re- PAPs compensated by the type of loss
establishment PAPs Amount compensated by type and owners
Number of replacement asset recovered Compensation disbursement to
the correct parties
Level of income and standard of living of the PAPs
Number of incomes restored, improved or declined from the pre-
displacement levels
Quality of housing
Socioeconomic changes Children in school
Access to services
Overall self reported level of health
Number of meals per day
Keystone possessions (mattresses?radios? animals?)
Training Number of WBFPMOs, and CRC trained
Number of cases referred to GRC/CRC Number of cases settled by
GRC/CRC
Number of cases pending with GRC/CRC Average time taken for
Grievance redress
resettlement of cases
mechanism Number of GRC/CRC meetings Number of PAPs moved court
Number of pending cases with the court Number of cases settled by the
court
Effectiveness of compensation delivery system Timely disbursement of
compensation
Overall Management Census and asset verification/quantification procedures in place
Coordination between local community structures, PAPs,
WBFPMO Implementing Agencies
Table 15.7-15Monitoring Indicators
16.8 Reporting Requirement

The ESMT will prepare regularly (quarterly) performance monitoring report beginning with
the commencement of any activities related to resettlement, including income restoration.
These reports will summarize information that is collected and compiled in the quarterly
narrative status and compensation disbursement reports and highlights key issues that have
arisen. Because of the monitoring of inputs, processes, outputs and outcomes of RAP
activities, will be advised of necessary improvements in the implementation. The table below
shows the issues to be considered for the reporting of the RAP implementation.

137
Table 15.8-16 Reporting Checklist
Format on Land Acquisition and property losses

Name & Location of Sub-project: Project Financer:
Project cost
Key Dates of implementation: For example—application, approval, public consultation, court dates, work
start dates etc.
Inventory of Land & Assets Acquired from Private Owners
Name of Owner/Land Users
Project component
Area Plot Acquired
Land Use
Total land in ha
% of land taken
Inventory of Assets
Indicate if land is rented or given to some user
Indicate if land is the primary source of livelihood
Compensation paid (amount and date)
Impact on owner /user
Inventory of Public, Community, or State Land Acquired
Project component
Land Parcel
Land Use
Land Ownership
Compensation paid
Public Awareness, Consultations, and Communication (Report on consultation/meeting process)
Concerns raised at the public
Concerns raised outside public
How these concerns were resolved?
Status of land Acquisition
Completed
Pending Court decision
Ongoing
Special Assistance provided beyond cash compensation payment of acquired land
Alternative land, if there is any
Relocation Assistance
Livelihood Restoration Plan
Summary of impacts which addresses
Identification of Vulnerable Groups
venerability category
type of assistance provided
methods used to contact them
Livelihood Indicators
138
- The number of HHs engaged in non-land based economic activities

- Use of modern agricultural inputs
- The relative share of compensation utilization on investment, fixed assets and consumptions
- Possession of assets(productive and non productive)
- Annual income compared to the baseline in the RAP

139
APPENDICES

140
A. PROJECT MAPS

141

142

143

144
A. CONSULTATION RECORDS

145

146
B. RAP PREPARATION TEAM COMPOSITION

The Team involved in the RAP preparation, follow up and monitoring is composed of following.
Name Position
Mr. Hundessa Bekele Team Leader /Social Expert
Ms. Helen Ewnetu Social Expert
Mr. Ayele Banjaw Environmental Expert
Mr. Zinna Terefe Environmental Expert

147
C. CUT-OFF- DATE- (Letter from The Woreda to Notify PAPs on the cut-off-date)
D.

148
E. SOCIO ECONOMIC QUESTIONNAIRES AND TABULATED DATA

149

150
Socio- Economic Survey Questionnaire
Respondent- Each Project Affected Households
1. Name of Household Head ______________________

2. Sex of household Head ________________________
3. Age of household Head ________________________
4. Marital Status of Household Head _______________
5. Highest Educational Attainment of Household head_______________
6. Religion of project Affected population _____________
7. Number of Household Members between the age of 0-18
Male _____________ Female __________ Total _________
8. Number of Household Members between the age of 19-60
9. Male _____________ Female __________ Total _________
10. Number of Household members above the age of 60
11. Male _____________ Female __________ Total _________
12. Household Income source
 Total annual income from Farming _____________________
 Total annual income from Animal rearing ________________
 Total annual income from Wage Employment _____________
 Total Income from all employment streams _______________
13. Household Expenditure Stream
 Annual expenditure on food and other domestic expenses ________________
 Annual expenditure for agriculture and livestock inputs __________________
 Annual expenditure for social ceremonies ____________________
 Annual expenditure for other issues ____________________
 Annual total expenditure of Households ________________
14. Household Vulnerability ?
 Is the household Female Headed Household __________
 Is the Head of the Household above the age? _____________
 Is there a household member with disability? _____________
15. Total household land Affected by the project in Hectare? ____________

151
16. Land use purpose

 Farming ___________
 Grazing ____________
 Other _____________
17. Perennial crops by type
 Total number of perennial crops - Rip ___________
 Total no of perennial crops- Unripe _____________
18. Status of Affected Houses
 Size __________________
 Types of walls _____________________________________________
 Types of floors ____________________________________________
 Number or rooms ____________________________________________
 Types of fencing ______________________________________________
 Usage ______________________________________________________
 Occupier ____________________________________________________
19. Livestock
 Type and number of Livestock __________________________________
___________________________________________________________
20. Amenities
 Source of household drinking water _________________________________
 Light source ____________________________________________________
 Fuel for cooking _________________________________________________
21. The size of extra land outside of project area ______________________________
22. Do the household has Land ownership certificates _________________________

152

153
F. TEMPORARY LEGAL LAND OWNERSHIP CERTIFICATE

154

155
G. LIST OF AFFECTED HOUSEHOLDS BELOW THE POVERTY LINE

156
K – COMMUNITY DEVELOPMENT DETAIL BUDGET BREAKDOWN
s.n Water Development
1 Mobilization and Demobilization 1,250,000.00

2 Drilling in all formation 500m depth 5,710,000.00
3 Supply, Installation and Construction 1,938,000.00
4 Pump test and Miscellaneous 296,200.00
Subtotal 9,194,200.00
s.n Rural Area School Construction (single)

Sub Structure
1 Excavation and Earth work 163,428.50
2 Concert work 607,825.00
3 Masonry work 163,200.00
Super Structure 355,825.00
4 Concert work
5 Masonry work 144,750.00
6 Roof and Roof Covering 142,500.00
7 Carpentry and Joinery 100,450.00
8 Metal Work 160,000.00
9 Finishing 446,700.00
10 Painting and Decorations 205,000.00
11 Electrical Insulation 110,600.00
Subtotal 2,600,278.50
For three schools 7,800,835.50
s.n Youth Center

1 Mobilization and Demobilization 1,250,000.00
2 Site clearing, Grading and Rolling 217,600.00
3 Fencing and Gate 654,500.00
4 Sport materials supply and installation 350,000.00
Subtotal 2,472,100.00
GRAND TOTAL 19,467,135.50

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L – LETTER-ADAMITULU JIDO KOMBOLCH-DISASTER RISK

MANAGEMENT OFFICE

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RAP Aluto Geothermal Sector Development Project FINAL Dec 2019

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The Federal Democratic Republic of Ethiopia

ETHIOPIAN ELECTRIC POWER

ALUTO GEOTHERMAL PROJECT

RESETTLEMENT ACTION PLAN

Project Title: ALUTO GEOTHERMAL PROJECT

Document Production / Approval Record

Document Review Record

EEP Aluto Geothrmal Project

2.1 Project Background..........................................................................................................................................

2.2 Objectives of the RAP.....................................................................................................................................

2.3 Approach and Methodology............................................................................................................................

3.2 Water Supply System.......................................................................................................................................

3.3 Access Roads...................................................................................................................................................

3.4 Camp Construction..........................................................................................................................................

3.5 Casing Storage.................................................................................................................................................

3.6 Preparatory Works for Drilling Pads...............................................................................................................

3.7 Summary of Land Requirement and Impacted HHs.......................................................................................

3.8 Project Schedule...............................................................................................................................................

3.9 Labour Requirements.......................................................................................................................................

3.10 Operation and Maintenance...........................................................................................................................

4 CENSUS SURVEY AND BASELINE SOCIOECONOMIC STUDY............................................................

4.1 Demographic Characteristics...........................................................................................................................

4.2 Religious and Ethnic Composition..................................................................................................................

4.3 Socio-economic Characteristics..............................................................................................................

4.4 Settlement Pattern and Housing Conditions of the PAHs...............................................................................

5.1 Permanent Loss of Residential Land - Displacement......................................................................................

5.2 Permanent Loss of Agricultural Land..............................................................................................................

5.3 Permanent Loss of Crops and Trees................................................................................................................

5.4 Impact on Other Structures, Business Premises..............................................................................................

5.5 Impact on Assets of Public/Community Institutions and Cultural Heritage...................................................

5.6 Impact on Communal Property Resources......................................................................................................

5.7 Impacts on Female-headed Households..........................................................................................................

EEP Aluto Geothrmal Project

5.8 Impacts on Vulnerable Groups........................................................................................................................

5.9 Summary of Land Acquisition Key Issues......................................................................................................

5.10 Classification and Categorization of PAHs...................................................................................................

6 LEGAL AND POLICY FRAMEWORK..........................................................................................................

6.1 The Constitution of Ethiopia............................................................................................................................

6.2 Environmental Policy of Ethiopia....................................................................................................................

6.3 Land Ownership Policy in Ethiopia.................................................................................................................

6.4 Legislation on Expropriation of Land and Compensation Proclamation No.455/2005..................................

6.5 FDRE Council of Ministers Regulation No. 135/2007...................................................................................

6.8 Proclamation on Research and Conservation of Cultural Heritage.................................................................

6.9 National Policy on Women..............................................................................................................................

6.10 World Bank Operational Policy on Involuntary Resettlement (OP 4.12).....................................................

7.4 Institutional Arrangement at Local Level........................................................................................................

8.1 Entitlement Matrix...........................................................................................................................................

9 VALUATION AND COMPENSATION FOR LOSSES.................................................................................

9.1 Parameters and Applied Rates and Guidelines for Compensations................................................................

Asset Valuation and Estimates of Compensations for PAPs.................................................................................

Compensation Procedures and Approach..............................................................................................................

9.2 Methodology in Valuing Asset Losses............................................................................................................

9.3 Valuation for Loss of Houses..........................................................................................................................

9.4 Valuation for Permanent Loss of Agricultural Land / Crop Loss...................................................................

9.5 Valuation for Loss of Trees.............................................................................................................................

10 LIVELIHOOD RESTORATION MEASURES................................................................................................

EEP Aluto Geothrmal Project

10.2 The Need to have Livelihood Restoration Plan.............................................................................................

10.3 PAPs losing more than 20% of Land.............................................................................................................

10.4 PAPs below Poverty Line..............................................................................................................................

10.5 Scope and Strategic Framework of LRP.......................................................................................................

10.6 The Output of the Assessment.......................................................................................................................

10.7 Tentative Schedule of LRP............................................................................................................................