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05

Provision of Adequate Compensation, Resettlement, and Livelihood Restoration Support

介绍

Host country procedures govern the ways in which Financiers, Developers, and Contractors are involved in the provision of compensation, the relocation of local communities, and the restoration of their livelihoods. For many BRI host countries, Relevant Government Agencies lead these processes, which could involve informing and consulting Affected People, Civil Society Organizations (CSOs)/Nongovernmental Organizations (NGOs), Experts, and other key stakeholders in an inclusive, gender-sensitive, and culturally appropriate manner; preparing a land acquisition and resettlement plan (LARP), resettlement plan (RP), or livelihood restoration plan (LRP); issuing documentation explaining offers for compensation, resettlement, and livelihood restoration; and delivering direct project benefits to Affected People. However, both the volume of funding provided by Financiers and the conditions attached to this funding are critical to the success of BRI projects. Financiers should ensure that adequate funds have been allocated toward compensating local communities, assisting them throughout the relocation process, and facilitating access to fruitful opportunities for employment or self-employment.

During the pre-project planning phase, Developers and Contractors remain responsible for sharing information with Affected People; addressing relevant queries/concerns/complaints through the project-level grievance mechanism; and supporting the compensation, resettlement, and livelihood restoration processes. As host country laws and regulations allow, Developers and Contractors should engage in frequent consultations with key stakeholders and offer additional benefits to further sustainable development within local communities — including, but not limited to, running skills development programs for women and youth; expanding access to credit facilities for the urban poor; and installing new water, sanitation, and hygiene facilities in rural areas.

Collaboration with — and support for — Relevant Host Country Government Agencies enables Financiers, Developers, and Contractors to ensure the equitability of compensation, resettlement, and livelihood restoration. Developers and Contractors can help align projects with host country legislation and safeguard the rights of Affected People — especially in the face of physical displacement, economic displacement, and other adverse impacts on the environment, society, and economy.  

Financiers should require Developers and Contractors to submit a comprehensive LARP/RP/LRP that is scaled to the potential impacts and risks of each project. Regardless of whether the LARP/RP/LRP is attached to the environmental and social impact assessment (ESIA) report or a stand-alone document, Developers should provide copies of this plan to Affected People, among other key stakeholders, for consideration, review, and approval. To mitigate and compensate for all adverse social and environmental impacts and risks, Financiers and Developers should work together — and with Contractors and Subcontractors — to integrate specific provisions and promises outlined in the LARP/RP/LRP into project agreements, the environmental and social management plan (ESMP), the overall project design, the budget, and the implementation schedule.

How Would It Work?

For Overseas Projects:

The Chinese Government should:

  • Train local people by empowering them to assist their own countries in furthering sustainable development.1
    • Promote vocational training and technical cooperation.2
  • Help Financiers, Developers, and Contractors strengthen cooperation on supporting the local people’s welfare in host countries.3
  • Guide Insurers toward quickly compensating victims of pollution-related accidents or incidents during the project implementation and operations phases.4

 

Financiers should:

  • Respect the local people’s rights to land and resources and properly handle resettlement problems.5
  • Allocate resources toward social, economic, and environmental sustainable development in host countries.6
    • Offer financial education and facilitate the provision of financial services to communities.
    • Help the poor, the elderly, and other vulnerable groups.7
  • Support social development of local communities through charitable donations, volunteer activities, and participation in social welfare activities.8
    • Encourage workers to participate in volunteer community activities.9

 

Developers and Contractors should:

  • Agree with relevant stakeholders on fair compensation, resettlement, and/or relocation options where forced displacement cannot be avoided.10
    • Provide compensation for loss of assets at replacement cost.11
  • Publicly disclose decisions and activities, including those related to compensation, resettlement, and livelihood restoration.12
  • Assist the local government in resettlement.13
    • Ensure that resettlement activities are implemented with appropriate disclosure of information, consultation, and informed participation of Affected People.14
    • Protect and preserve cultural resources from adverse impacts.15
    • For Indigenous peoples, respect their right to Free, Prior and Informed Consent (FPIC) and avoid adverse impacts on their rights to land, territory, and natural resources.16
  • Assess the implications of each project for the needs, living environment, and lifestyle of Affected People.17
    • Promote long-term social and economic development in project areas and surrounding communities.18
    • Actively support local public welfare in areas such as education, health, and community development.19
    • Provide social services to Affected People.20
    • Support low-income groups, women, the disabled, and other vulnerable groups.21 Help these people with community integration.22
  • Care for and support local people’s livelihoods.23
    • Implement social action plans or community development plans that include employment opportunities and support for the local economy.24
    • Improve, or restore, the livelihoods and living standards of displaced people.25
    • With support from Financiers, provide training to Affected People in host countries.26
      • Offer vocational and skills development opportunities to Affected People, particularly women and youth.27
    • Provide local communities with equal employment and business opportunities.28
      • Empower local communities and Indigenous peoples to participate in projects or sub-projects as business partners, where possible.29
      • Participate in and support the construction of local community projects.30
    • Encourage workers to volunteer for social services.31

For Domestic Projects in China Only:

Local Governments should:

  • Consider the original purpose of the land in order to determine appropriate compensation prior to land acquisition.32
  • Report information about compensation standards, resettlement methods, and social security.33

The Chinese Government should:34

  • Foster the system of compensation for productive land that will be used for construction projects.

If land acquisition, restrictions on land use, or other adverse impacts are unavoidable, Designated Experts, Relevant Government Agencies, and/or Developers (and Contractors) should:

  • Build the capacity of Affected People, and particularly vulnerable groups, to discuss compensation, resettlement, and livelihood restoration before key decisions are made.

 

Developers (and Contractors) and/or the Host Country Government should:

  • Include the costs associated with capacity-building activities for Affected People, compensation, resettlement, and livelihood restoration in the overall project budget.
    • Set aside funds for contingencies within the project budget.
  • Request funding from alternative Financiers to cover costs associated with compensation, resettlement, and livelihood restoration, if the initial Financiers either agree to cover only a fraction of or do not agree to cover these costs.

 

Financiers should:

  • Provide technical assistance to Developers, Contractors, and/or the Host Country Government to strengthen their capacity in planning, implementation, and monitoring of the compensation, resettlement, and livelihood restoration processes in the following ways:
    • Hire Researchers/Experts to provide training to Developers, Contractors, and/or the Host Country Government.
    • Provide guidance on new regulations or policies proposed by Developers, Contractors, and/or the Host Country Government.
  • Cover some — if not all — of the costs associated with compensation, resettlement, and livelihood restoration as part of the overall project budget.

 

Financiers, Developers, and Contractors should:

  • Commit to not supporting, developing, building, or operating any project that displaces Indigenous peoples, unless the LARP/RP/LRP:
    • Demonstrates that the project will offer direct benefits to these communities.
    • Fully recognizes their customary and/or collective rights.
    • Involves land-based resettlement as an option available to Affected People.
  • Set internal requirements to ensure that projects neither physically nor economically displace Affected People until all of the following criteria have been fulfilled:
    • ESMP and LARP/RP/LRP have been finalized by Developers and/or Contractors and approved by Financiers.
    • Compensation at full replacement cost has been paid to each displaced person, household, and/or community.
    • Other entitlements have been provided to Affected People in accordance with the LARP/RP/LRP.
    • A fully funded income generation and livelihood restoration program is in place to help Affected People in accordance with the LARP/RP/LRP.

 

Developers (and Contractors) should:

  • Where applicable, engage Host Country Government authorities at the national and subnational levels, Contractors, Subcontractors, and other responsible entities as early as possible to prepare for the calculation and delivery of compensation to Affected People, resettlement of those facing physical displacement, and livelihood restoration for those facing economic displacement. This engagement may be ongoing for projects that require land acquisition or restrictions on land use.
    • Establish means to support and collaborate with all responsible entities to ensure these processes fully comply with host country laws and regulations, in addition to Financiers’, Developers’, and Contractors’ internal requirements.
    • Identify gaps between host country laws, regulations, and procedures on the one hand, and Financiers’, Developers’, and Contractors’ requirements on the other.
      • If the capacity of responsible entities is limited, fill gaps and actively support planning, implementation, and monitoring of the compensation, resettlement, and livelihood restoration processes in a manner that is acceptable to the Host Country Government and Financiers.
    • If the procedures, standards, or capacities of the Host Country Government Agencies do not meet environmental and social requirements, prepare supplemental actions or provisions to address shortcomings.
      • Specify institutional arrangements and financial responsibilities for Financiers, Developers, Contractors, Subcontractors, and Resettlement Professionals and relevant Experts to fill gaps and actively support the planning, implementation, and monitoring of the compensation, resettlement, and livelihood restoration processes in a manner that is acceptable to the Host Country Government.
      • Integrate actions for Developers, Contractors, Subcontractors, and appropriate Experts into the implementation schedule within the ESMP and LARP/RP/LRP.
  • If host country laws and regulations allow Developers and Contractors to play a larger role in compensation, resettlement, and livelihood restoration processes:
    • Develop additional internal standards and procedures for disclosing relevant information, consulting stakeholders, calculating and delivering compensation, resettling Affected People, restoring livelihoods, monitoring progress, and addressing grievances.
    • Hire and train an adequate number of personnel to monitor, support, or undertake compensation, resettlement, and livelihood restoration processes, as host country laws and regulations allow.
    • Hire qualified and experienced experts — either individually or as part of advisory panels — to monitor, support, or undertake compensation, resettlement, and livelihood restoration processes.
      • Request approval of these experts from Financiers.
      • Ensure these experts are independent from Financiers, Developers, Contractors, and other project proponents, especially for higher-risk projects.
      • If host country laws and regulations require national or subnational agencies from the Host Country Government to lead land acquisition processes, hire qualified and experienced experts to regularly track progress and verify compliance with internal requirements.

 

Designated Experts, Relevant Government Agencies, and/or Developers (and Contractors) should:

  • Warn local people that those who settle in the project area after the cutoff date may not receive compensation for their assets, as long as this date for eligibility has been clearly established and publicized well in advance.
  • Encourage Affected People to meaningfully participate in planning related to compensation, resettlement, and livelihood restoration.
    • Consult Affected People on their rights, their entitlements, available forms of support, and potential options for compensation, resettlement assistance, and livelihood restoration.
    • Ensure that Affected People have access to a project-level grievance mechanism to lodge concerns/complaints or other appeals in a timely manner.
    • Pay particular attention to the needs of vulnerable groups, especially those below the poverty line, the landless, the elderly, women, youth, people with disabilities, Indigenous peoples, minorities, and those without legal title to land.
  • Develop compensatory measures.
    • Apply standards for compensation, resettlement, and livelihood restoration consistently across communities of Affected People.
    • When physical displacement cannot be avoided, offer the following options to compensate Affected People for the loss of access to land and assets that they own, that they have formal legal rights to occupy and/or use, or that they have recognizable claims to occupy and/or use under host country laws:
      • Replacement land of at least equal quality and value, with security of tenure and in a better location. Alternatively, monetary compensation at full replacement value for land.
      • Replacement housing, possessions, and other lost assets of, at least, equal quality and value. Alternatively, monetary compensation at full replacement cost for personal, household, and/or communal assets that cannot be restored and compensation for assets that could be damaged.
      • Additional benefits through the provision of supplementary services or revenues.
    • Offer the following options to compensate Affected People who lack legal rights and recognizable claims to land that they occupy and/or use but are physically displaced by project activities:
      • Adequate replacement housing with security of tenure. Alternatively, monetary compensation to purchase equivalent housing.
      • Monetary compensation for the loss of dwellings, improvements to the land, and other non-land assets at full replacement cost.
      • Relocation assistance to restore their living standards and livelihoods at adequate alternative resettlement site(s).
    • When economic displacement cannot be avoided, offer the following options to compensate Affected People for the loss of access to land and assets that they own, that they have legal rights to occupy and/or use, or that they have recognizable claims to occupy and/or use under host country laws:
      • Replacement property, of equal quality and value, to restart activities and monetary compensation to cover costs associated with the transition. Alternatively, monetary compensation for vendors, small shop owners, restaurants, local services, manufacturing facilities, and other businesses to cover the following:
        • The cost of finding a viable alternative location.
        • Net losses in income during the transition.
        • The cost of transferring their inventory and reinstalling equipment.
        • Other costs associated with restarting commercial activities in a new area.
      • Provide assistance to workers to cover the temporary loss of wages and to help them secure new employment opportunities that suit their skillsets.
    • Offer the following options to compensate Affected People who lack legal rights or claims to land that they occupy and/or use but are economically displaced by project activities:
      • Monetary compensation for the loss of crops, irrigation infrastructure, improvements to the land, and other non-land assets at full replacement cost.
      • Provide assistance to reestablish their livelihoods in a new area. 
    • Determine compensation and other benefits for affected Indigenous communities based on their institutions and customs.
  • Prepare an LARP/RP/LRP proportionate to each project’s risks and impacts to complement the documents prepared by Relevant Host Country Government Agencies.
    • Discuss the scope of physical and/or economic displacement.
      • Acknowledge differing impacts, especially for women and other vulnerable groups.
    • Establish criteria for individuals, households, communities, and other social groups to be eligible for compensation, resettlement, and livelihood restoration.
      • Determine entitlements for the three different categories of displaced people.
      • Include provisions for additional support for vulnerable groups.
    • Describe procedures, standards, time frames, and estimated costs for provision of compensation, as well as the implementation of resettlement and/or livelihood restoration.
    • Include records of consultations and grievances addressed through the project-level grievance mechanism.
    • Stipulate institutional arrangements and financial responsibilities for Financiers, Developers, Contractors, Subcontractors, and Land Valuation Experts to fill gaps and actively support the planning, implementation, and monitoring of the compensation, resettlement, and livelihood restoration processes in a manner that is acceptable to the Host Country Government.

 

The Host Country Government and Developers (and Contractors) should:

  • Disclose draft versions of the LARP/RP/LRP for each project in Chinese, English, and local language(s) and dialect(s) on their websites and social media accounts, at the village/town/city/district/provincial hall(s), and throughout the project area of influence.
    • Disclose the final versions of the LARP/RP/LRP in the same manner.
  • Enable Affected People to meaningfully participate in decisions regarding compensation, resettlement, and livelihood restoration.
    • Respect differing gender preferences for compensation such as replacement land, alternative access to natural resources (e.g., marine and aquatic resources, timber and nontimber forest products, freshwater resources, medicinal plants, hunting and gathering grounds, and grazing and cropping areas), cash, and other options.

 

Developers (and Contractors) should:

  • Submit the LARP/RP/LRP to Financiers for review and approval. It can be a stand-alone document, an annex to the ESIA report, or a recognizable component of the report.
    • Demonstrate how actions in the LARP/RP/LRP fit with overall project implementation and operations plans.
    • Include costs for monitoring the delivery of compensation, resettlement, and livelihood restoration in the ESMP, implementation schedule, and the project budget.

 

Financiers should:

  • Review the finalized LARP/RP/LRP.
    • Compare the Developers’ (and Contractors’) proposed plan to host country laws and regulations, as well as internal requirements.
    • Reject, request changes to, or approve the LARP/RP/LRP.

 

Developers (and Contractors) should:

  • For people who did not receive a letter as part of land acquisition and/or restriction on land use, send a formal letter to inform each household of their eligibility for compensation, resettlement, livelihood restoration, and other benefits.
    • Disclose information about the eligibility criteria in local media outlets, on their websites and social media accounts, at the village/town/city/district/provincial hall(s), and throughout the project area of influence.
  • Collaborate with, support, and/or monitor staff, Host Country Government authorities, and other stakeholders responsible for carrying out the LARP/RP/LRP.

 

The Host Country Government and/or Developers (and Contractors) should:

  • Offer multiple options for compensation, resettlement assistance, and livelihood restoration from which Affected People may choose.
    • Ensure that Affected People understand all their options.
    • Honor Affected People’s preferences regarding compensation, resettlement, and livelihood restoration.
      • Ensure that both men and women receive adequate compensation for the loss of land and other assets, including resettlement and livelihood restoration assistance.
  • Facilitate Affected People’s involvement in the implementation of the compensation, resettlement, and livelihood restoration processes.
  • Document — in written and/or digital form and the local language(s) — all transactions facilitating monetary compensation to Affected People, the transfer of rights to replacement land, security of tenure, and land acquisition during the pre-project planning pay.
    • Issue compensation payments in the names of both spouses or single heads of households (regardless of gender).
    • If there are any issues related to the delivery of compensation, resettlement, and livelihood restoration support to certain eligible communities or households of Affected People, demonstrate that reasonable efforts have been made to resolve such issues, including but not limited to:
      • Developers’, Contractors’, and/or the Host Country Government’s failure to reach absentee land owners or seasonal land users, despite repeated attempts via multiple modes of contact.
      • Affected People’s rejection of compensation that was offered to them in accordance with the approved ESMP and LARP/RP.
      • Different stakeholders, such as communities and local companies, having competing claims of ownership of land or assets that are subject to extensive legal proceedings.
    • Consult Financiers on whether, in exceptional circumstances, Developers, Contractors, and/or the Host Country Government should deposit compensation funds — as required by the ESMP and LARP/RP/LRP — and reserved funds for contingencies into an interest-bearing account.
      • Use these funds to issue compensation payments to eligible Affected People as soon as issues are resolved.
  • Provide those who have been physically and economically displaced with appropriate forms of assistance in a timely manner — and as discussed during consultations before, during, and after resettlement. Examples include:
    • Monetary compensation for loss of land and/or non-land assets.
    • Security of tenure for new land.
      • To the extent feasible, support women in gaining security of tenure.
    • Better housing at resettlement sites.
    • Initiatives to smoothly integrate resettled people economically and socially into new communities.
    • Direct extension of project benefits to host communities, which include people who were physically displaced.
    • Comparable locational advantages, including access to diverse employment and production opportunities.
    • Easy access to credit facilities and other financial services.
    • Land development.
    • Skills training and other forms of transitional support.
    • Civic infrastructure such as water, sanitation, and hygiene facilities and feeder roads to address increased demand in host communities.
    • Social services, such as schools and health care services, to minimize conflict/competition in host communities.
    • Special assistance and protection to Indigenous peoples, minorities, women-headed households, and other vulnerable groups.
      • Adapt services to the specific needs of vulnerable groups.
      • Rehabilitate the livelihood systems of Indigenous peoples who have been displaced from their lands.
  • Provide those who have been economically displaced with the following forms of assistance in a timely manner–and as discussed during consultations before, during, and after project implementation:
    • Monetary compensation for loss of land and/or non-land assets.
    • Replacement productive land with at least equivalent locational advantages for Affected People with land-based livelihoods.
    • Continued access, albeit limited, to the same natural resources or access to alternative resources with equivalent livelihood-earning potential for Affected People whose livelihood depend on those resources.
    • Direct extension of project benefits to Affected People.
    • Employment opportunities to work on the project.
    • Easy access to credit facilities and other financial services.
    • Skills training and capacity-building programs to enhance access to alternative sources of livelihood.
    • Specialized equipment and other resources to improve production.
    • Permits, licenses, and start-up assistance for entrepreneurs and small business owners.
    • Payment for lost crops, resources, profits, or wages, among other forms of transitional support.
    • Special assistance to women, minorities, and other vulnerable groups who may face significant barriers to securing alternative sources of livelihood.
  • Ensure that all of the following criteria have been fulfilled before project-induced physical and/or economic displacement can occur:
    • Indigenous peoples’ have given their FPIC.
    • Compensation at full replacement cost has been paid to every person or household that would be displaced.
    • Additional entitlements in the RP have been documented and provided to displaced people.
    • An LRP has been formalized.
  • Collaborate with Affected People in monitoring the outcomes of the compensation, resettlement, and livelihood restoration processes.
    • Compare living standards of displaced people to baseline conditions.
  • Only consider the project complete when Affected People have received all of the assistance for which they are eligible and have received adequate time, resources, and/or opportunities to improve, or at least restore, their income-earning capacity, production levels, and standards of living to pre-displacement levels.
    • Ensure Affected People have been provided legal and affordable access to land and resources in rural areas and appropriate income sources, as well as legal and affordable access to adequate housing in urban areas.35
What Would You Be Able to Do?
  • During the pre-project planning phase, browse the websites of Financiers, Developers, Contractors, and the Host Country Government for information about their standards, procedures, and timelines for the provision of compensation, resettlement, and livelihood restoration support.
    • If any of this information cannot be found online, use either Stakeholders or a search engine such as Google to find the appropriate contact information for the Financier, Developer, or Contractor that you wish to reach. See Transparent and In-Depth Information Sharing for more information about how to request information in your native language.
  • If you have not done so already, take a detailed inventory of the trees/lakes/streams/land/houses/structures/assets/services that you, your family, or your community own, occupy, or use. Keep a copy of this inventory on paper and/or type it up on your phone.
  • Determine your eligibility for compensation, resettlement, livelihood restoration, and other benefits.
    • Keep physical and/or digital copies of a land title or other documentation that demonstrates your personal, household’s, or community’s ownership of land and non-land assets.
    • If you never received a land title or have misplaced it, but you are a rightful owner of the land and associated property that you occupy or use, follow Host Country Government procedures to secure a land title or other necessary documentation.
  • Share information about the trees/lakes/streams/land/houses/structures/assets/services that you own, occupy, or use with Designated Experts, Relevant Government Agencies, and/or Developers (and Contractors).
    • Highlight the significance of affected land and assets, as well as the potential adverse impact(s) of a project on your day-to-day life in order to advocate for appropriate support throughout the project life cycle.
    • Explain your preferences for compensation, resettlement, and livelihood restoration. Potential forms of compensation and assistance to request could include, but would not be limited to, (a combination of) cash; new land; new housing; access to equivalent natural resources; increased access to credit facilities; employment opportunities; better health care services; new water, sanitation, and hygiene facilities; opportunities for employment or self-employment; skills training; specialized equipment and other resources to improve production; and permits, licenses, and start-up assistance.
    • If you are considering accepting monetary compensation, create a budget that outlines all of expenses that should be covered by project proponents.
      • If you are facing physical displacement, this could include the cost of purchasing new land or another type of property — of comparable quality — with security of tenure; the cost of replacing lost housing, possessions, and other lost assets; and other costs associated with relocating.
      • If you are facing economic displacement, this could include the costs of purchasing/renting land or property in an alternative location, transferring inventory, and reinstalling equipment; net losses in income during the transition; and other costs necessary to reestablish your livelihood.
    • Ask Designated Experts, Relevant Government Agencies, and/or Developers (and Contractors) about next steps for receiving compensation, relocating, and reestablishing your livelihood and who you can contact in the future.
    • Maintain a record of compensation and other assistance promised by Relevant Government Agencies, and/or Developers (and Contractors). Request documentation with official information about proposed benefits of the project to serve as evidence later on.
  • If you have not been consulted on land/houses/structures/assets/services that you, your family, or your community own, occupy, or use, reach out to Relevant Government Agencies, and/or Developers (and Contractors) for information about when consultations, surveys, censuses, and related activities — which may also be part of Land Acquisition or the Preparation and Implementation of Environmental and Social Impact Assessment (ESIA) — will take place.
  • Browse the websites of Financiers and the Host Country Government for digital copies of the draft and final versions of the LARP/RP/LRP in your native language.
    • Set aside time to discuss the LARP/RP/LRP with other community members, CSOs/NGOs, and appropriate Experts.
    • Collectively agree on, request changes to, or reject the LARP/RP/LRP as a community.
    • Provide feedback directly or anonymously to Financiers, Developers, Contractors, and the Host Country Government. Alternatively, submit concerns or complaints to the project-level grievance mechanism.
    • If any of this information is unavailable in your native language, ask Financiers, Developers, Contractors, and the Host Country Government for physical and/or digital copies of translations of these materials.
  • Once the finalized LARP/RP/LRP has been released and/or Designated Experts, Relevant Government Agencies, and/or Developers (and Contractors) have informed you of available forms of support and options for compensation, resettlement assistance, and livelihood restoration, compare these offers with the budget that you prepared and your records of their promises.
    • Discuss your rights and entitlements with other community members, CSOs/NGOs, and appropriate Experts.
    • If there are major discrepancies between what you have been offered and what you believe you are entitled to, provide feedback to Financiers, Developers, Contractors, and the Host Country Government or submit concerns or complaints to the project-level grievance mechanism.
  • Request that the Host Country Government and/or Developers (and Contractors) provide compensation, assist you with relocation, and/or confirm plans for livelihood restoration before giving up your land and other assets for the project.
  • Report any cases in which compensation and other forms of assistance are non-existent, delayed, or incomplete — in relation to the LARP/RP/LRP — during the pre-project planning phase directly or anonymously to Financiers, Developers, Contractors, and the Host Country Government. Reach out to a Community Leader, legal aid organization, or another type of CSO/NGO for assistance.
  • Use the project-level grievance mechanism to give feedback on the provision of compensation, resettlement, and livelihood restoration support throughout the project life cycle.
    • Request additional assistance if adverse impacts are greater than anticipated and/or if provisions related to the implementation of the LARP/RP/LRP fail to meet your needs.
  • Review Financiers’, Developers’, Contractors’, and Subcontractors’ compliance with governmental, industry-specific, and internal policies, procedures, and guidelines for compensation, resettlement, and livelihood restoration.
    • Submit queries/concerns/complaints about noncompliance with other policies, procedures, or guidelines to the appropriate actor.
What Would It Accomplish or Prevent?

Setting and enforcing requirements for compensation, resettlement, and livelihood restoration during the pre-project planning phase would:

  • Align Financiers’, Developers’, and Contractors’ practices for BRI projects with relevant Chinese laws, policies, and guidelines, in addition to international best practices.
  • Address critical gaps in compliance with host country laws, regulations, and procedures.
  • Increase transparency and accountability for the use and acquisition of land for projects.
  • Build trust, awareness, and capacity among local communities, host country stakeholders, and other third-party stakeholders.
  • Foster mutual understanding and “win-win” cooperation regarding project benefits, as well as the improvement of local living standards and livelihood opportunities, between Financiers, Developers, and Contractors, on the one hand, and local communities, host country stakeholders, and other third-party stakeholders, on the other.
  • Improve the overall quality of each project, including measures to minimize and compensate for the adverse impacts of displacement.
  • Reduce the risk of protests, damage, or other forms of conflict during the project implementation and operations phases.
  • Curb significant commercial costs from delays caused by social upheaval, especially during the project implementation and operations phases.

 

Preparing LARP/RP/LRPs that can be conveniently accessed at no cost to the public throughout the project life cycle would:

  • Promote transparency and accountability of the compensation, resettlement, and livelihood restoration processes.
  • Build trust, awareness, and capacity among local communities, host country stakeholders, and other third-party stakeholders.
  • Encourage the fulfillment of promises, commitments, and requirements related to compensation, resettlement, and livelihood restoration.
Resources
  • Asian Development Bank (ADB), “Gender Checklist: Resettlement,” February 2003, View the PDF
  • Asian Development Bank (ADB), "Outline of a Resettlement Plan," Safeguard Policy Statement, June 2009, View the PDF.
  • International Union for Conservation of Nature (IUCN), "Resettlement Action Plan (RAP)," Guidance Note – Standard on Involuntary Resettlement and Access Restrictions, Environmental & Social Management System (ESMS), November 2018, View the PDF.
  • United Nations Development Programme (UNDP), “Livelihood Action Plan Template,” 2016, View the PDF.
  • United Nations Development Programme (UNDP), “Resettlement Action Plan Template,” 2016, View the PDF.
  • World Bank, "Outline of Resettlement Plan," Environmental and Social Framework, 2017, View the PDF.
  • European Bank for Reconstruction and Development (EBRD), "Resettlement Guidance and Good Practice," Performance Requirement 5: Land Acquisition, Involuntary Resettlement and Economic Displacement, View the PDF.
  • International Finance Corporation (IFC), "Investing in People: Sustaining Communities through Improved Business Practice: A Community Development Resource Guide for Companies," View the PDF.
  • International Union for Conservation of Nature (IUCN), "Standard on Involuntary Resettlement and Access Restrictions," Environmental & Social Management System (ESMS), Version 2.0, May 2016, View the PDF.
  • United Nations Development Programme (UNDP), “Standard 5: Displacement and Resettlement,” in Guidance Note, UNDP Social and Environmental Standards (SES), July 2022, View the PDF.
     
  • United Nations Office of the High Commissioner for Human Rights (OHCHR) and United Nations Human Settlement Programme (UN Habitat), "The Right to Adequate Housing," Fact Sheet No. 21, Rev. 1, View the PDF.

1 State Council, “China’s International Development Cooperation in the New Era,” January 2021.

2 Ibid.

3 Ministry of Finance (MOF) et al., “Guiding Principles on Financing the Development of BRI,” May 2017; National Development and Reform Commission (NDRC) and National Energy Administration (NEA), “Vision and Actions on Energy Cooperation in Jointly Building Silk Road Economic Belt and 21st-Century Maritime Silk Road,” 2017.

4 People's Bank of China (PBOC) et al., “Guidelines for Establishing the Green Financial System,” August 2016.

5 Export-Import Bank of China (China Exim Bank), “Guidelines for Environmental and Social Impact Assessment for Project Loans of the China Export and Import Bank,” 2007.

6 China Banking Association (CBA), “Corporate Social Responsibility Guidelines,” January 2009.

7 China Development Bank (CDB), “CDB Culture Manual,” 2016; Bank of China (Hong Kong) (BOCHK), “Sustainability Policy,” 2021.

8 CBA, “Corporate Social Responsibility.”

9 BOCHK, “Sustainability Policy.”

10 China Chamber of Commerce Metals, Minerals and Chemicals Importers and Exporters (CCCMC) et al., “Guidance for Sustainable Natural Rubber,” 2017.

11 China-ASEAN Investment Cooperation Fund (CAF), “Social Responsibility and Environmental Protection Guidelines for Investments in the ASEAN Region,” 2014.

12 China International Contractors Association (CHINCA), “Guide on Social Responsibility for Chinese International Contractors,” September 2012.

13 China Three Gorges Corporation (CTG), “Sustainable Development Policy,”

14 CAF, “Investments in the ASEAN Region.”

15 CCCMC, “Guidelines for Social Responsibility in Outbound Mining Investments,” 2017; CHINCA and Dagong Global Credit Rating, “Guidelines of Sustainable Infrastructure for Chinese International Contractors (SIG),” June 2017; Ministry of Commerce (MOFCOM) and Ministry of Environmental Protection (MEP) (now Ministry of Ecology and Environment (MEE)), “Guidelines for Environmental Protection in Foreign Investment and Cooperation,” February 2013; CHINCA, “Draft Revisions to Guide on Social Responsibility for Chinese International Contractors,” July 2021; Responsible Minerals Initiative (RMI) and Responsible Cobalt Initiative (RCI), “Cobalt Refiner Supply Chain Due Diligence Standard (version 2.0),” 2021; CTG, “Sustainable Development Policy;” State Forestry and Grassland Administration (SFGA), "Guidelines for Sustainable Silviculture for Chinese Companies Overseas," 2007. The following policies refer to the protection of local/ethnic customs, religions, traditions, and habits: CHINCA,” Guide on Social Responsibility;” Sinohydro, “Statement of Ethical Principles,” 2014; Sinohydro, “Environmental Protection Policy Statement,” 2017; SFGA and MOFCOM, “Guide on Sustainable Overseas Forest Management and Utilization by Chinese Enterprises,” 2009.

16 CCCMC et al., “Sustainable Natural Rubber;” CCCMC, “Outbound Mining Investments;” CTG, “Sustainable Development Policy.”

17 CHINCA and Dagong, “Guidelines of Sustainable Infrastructure.”

18 CCCMC et al., “Sustainable Natural Rubber;” CAF, “Investments in the ASEAN Region;” MEP, “Guidelines for Environmental Protection;” CTG, “Sustainable Development Policy;” Sinohydro, “Environmental Protection.”

19 NDRC et al., “Code of Conduct for the Operation of Overseas Investments by Private Enterprises,” December 2017; MOFCOM, “Provisions on Standardizing Competition in Foreign Investment and Cooperation,” March 2013; SFGA and MOFCOM, “Sustainable Overseas Forest Management;” State-owned Assets Supervision and Administration Commission of the State Council (SASAC), “Guidelines to the State-owned Enterprises Directly Under the Central Government on Fulfilling Corporate Social Responsibilities,” December 2007.

20 SFGA, "Silviculture for Chinese Companies;" SFGA and MOFCOM, “Sustainable Overseas Forest Management.”

21 CHINCA, “Draft Revisions.”

22 Sinohydro, “Statement of Ethical Principles.”

23 State Council, “Nine Principles on Encouraging and Standardizing Outward Investment,” October 2006; SASAC, “Fulfilling Corporate Social Responsibilities.”

24 CTG, “Sustainable Development Policy;” RMI and RCI, “Cobalt Refiner Supply.”

25 CAF, “Investments in the ASEAN Region;” CHINCA, “Guide on Social Responsibility.”

26 NDRC and NEA, “Vision and Actions;” SFGA, "Silviculture for Chinese Companies;" SFGA and MOFCOM, “Sustainable Overseas Forest Management.”

27 MOF et al., "Guiding Principles;" RMI and RCI, “Cobalt Refiner Supply.”

28 Sinohydro, “Sustainable Development Policy,” 2014; SFGA, "Silviculture for Chinese Companies;" SFGA and MOFCOM, “Sustainable Overseas Forest Management.”

29 CCCMC, “Sustainable Natural Rubber.”

30 CHINCA, “Guide on Social Responsibility.”

31 SASAC, “Fulfilling Corporate Social Responsibilities.”

32 Standing Committee of the National People's Congress, “Land Administration Law of the People's Republic of China,” August 2004.

33 Standing Committee of the National People's Congress, “Decision of the Standing Committee of the National People's Congress to Amend the Land Administration Law of the People's Republic of China and the Urban Real Estate Administration Law of the People's Republic of China,” August 2019; State Council, “Regulations on Open Government Information of the People's Republic of China,” January 2007.

34 Standing Committee, “Land Administration Law.”

35 International Best Practice is based on Asian Development Bank (ADB), "Safeguard Policy Statement," 2009; Asian Infrastructure Investment Bank (AIIB), "Environmental and Social Framework," 2021; World Bank, "Environmental and Social Framework," 2018.