INTEGRATED SAFEGUARDS DATA SHEETRESTRUCTURING STAGE

Note: This ISDS will be considered effective only upon approval of the project restructuring

Report No.: ISDSR14640

Date ISDS Prepared/Updated: 27-Jul-2015o

Date ISDS Approved/Disclosed: 03-Aug-2015

I. BASIC INFORMATION

1. Basic Project Data

Country: India Project ID: P114338

Project Name: Eastern Dedicated Freight Corridor - I (P114338)

Task Team Benedictus EijbergenLeader(s):

Estimated 14-Apr-2011 Estimated 31-May-2011Appraisal Date: Board Date:

Managing Unit: GT106 Lending Adaptable Program LoanInstrument:

Sector: Railways (97%), Public administration- Transportation (3%)

Theme: Infrastructure services for private sector development (97%), Climate change(3%)

Is this project processed under OP 8.50 (EmergencyRecovery) or OP 8.00 (Rapid Response to Crises and NoEmergencies)?

Financing (in USD Million)

Total Project Cost: 1458.44 Total Bank Financing: 975.00

Financing Gap: 0.00

Financing Source Amount

Borrower 483.44

International Bank for Reconstruction and Development 975.00

Total 1458.44

Environmental A - Full AssessmentCategory:

Is this a NoRepeaterproject?

2. Current Project Development Objectives

The development objectives of the Project are to: (a) provide additional rail transport capacity,improved service quality and higher freight throughput on the 343km Khurja to Kanpur section of the Eastern rail corridor; and (b) develop th

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e institutional capacity of DFCCIL to build and maintain the DFC infrastructurenetwork.

Proposed New PDO (from Restructuring Paper)

The development objectives of the Project are to: (a) provide additional rail transport capacity,improved service quality and higher freight throughput on the 343km Khurja to Kanpur section of the Eastern rail corridor; and (b) develop the institutional capacity of DFCCIL to build and maintain the DFC infrastructure

a network.

3. Project Description

The Eastern Corridor is 1,840 km and extends from Ludhiana to Kolkata. World Bank support for theEastern Dedicated Freight Corridor (EDFC) was designed as a series of projects in which threeEDFC sections would be delivered sequentially, but with overlapping construction schedules.EDFC1 was approved by the Bank in May 2011 and is under construction. EDFC2 was approved inApril 2014 and its two civil works contracts were awarded in March 2015. The Government ofIndia's request for a loan of USD 650 million loan for the EDFC3 section (Ludhiana- Khurja: 401kin) was approved on June 30, 2015 by the Board of Directors of the Bank.

EDFC 1, approved by the Bank's Board of Executive Directors on May 31, 2011 (Loan No. 8066-IN), became effective on December 30, 2011 and is being implemented by the Dedicated FreightCorridor Corporation of India Limited (DFCCIL).

(a) Design and construction of Khurja-Kanpur rail corridor: Design, construction andcommissioning of 343 km of double track electrified railway on the Khurja-Kanpur section of theEastern DFC, including related consultancy services under this Part 1 of the project.(b) Institutional Development: Institutional development to assist DFCCIL and MOR todevelop their capabilities to best utilize heavy haul freight system.

Project Restructuring-Key Elements: A successful procurement of civil works yielded significantloan savings which along with the saving due to Indian Rupee depreciation are planned to finance akey connector link between Khurja and Dadri (47 km). As per the current financing percentage (66%World Bank and 34% counterpart funds under category-1 of the project consisting of Goods, Works,Consultants' services and Training under Part-1) for EDFC 1, savings of about US$ 281 million areexpected in the loan, owing to the competitive bidding in the civil works contract and thedepreciation of the Indian Rupee (INR 45/US$ at the time of appraisal to about INR 60/US$ atpresent). In order to utilize these savings Government of India requested the Bank to (1) revise thefunding percentage of the Bank to 80% for Category - I (Goods, Works, consultants' services andtraining under Part 1) of the project which will utilize about US$ 123 million of the savings. And (2)include the cost of goods, works (civil and systems) and related consultancies for the Khurja-Dadri(47 km double track) section under part-I of the project. Therefore the Project is proposed to berestructured with the following changes.

a) Percentage of expenditure to be financed for Part-I of the project from existing 66% to 80%.b) Include cost of works and related consultancies of Khurja - Dadri section (47 km) in theProject.

Changes in Development Objectives/ Results: Target values of the following two indicators will berevised due to the complimenting change of including the Khurja - Dadri section (47 kms) in the

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project.i. DFC Freight traffic (GTKM bn ton)ii. DFC Freight traffic (NTKM bn ton-km)

OU Compliance: No new safeguards policies have been triggered.

Infrastructure Component: In addition to the 343 km Khura- Kanpur corridor, additional physicalinfrastructure proposed to be financed is construction of the 47 km rail corridor between Khurja- andDadri. The route alignment of the Khurja-Dadri section will run mostly parallel to the existing IRtrack; however, the alignment will detour near big cities and towns.

On the parallel track section, existing level crossings that have relatively high traffic will be replacedby Road Over Bridges or Under Bridges (ROBs/RUBs) spanning new and existing tracks. Theremaining level crossings will be improved by interlocking them with the train signaling system andby providing electrically operated booms. Audio-visual warning systems will ensure safety ofpedestrians and vehicles. Some of these level crossings would be replaced over time by ROBs/RUBs.The alignment will be fenced at critical locations. On the detour sections there will be no levelcrossings. A four-aspect automatic block system will utilize trackside signals.

Construction will be under Design & Build contracts, with one civil works contract (consisting ofsub-grade, bridges and track). Separate system contracts for electrification and for signaling andtelecommunications will be awarded for the entire Khurja-Dadri section. The Design & Buildcontract will be awarded on the basis of Performance Specifications (PS), which will permit biddersreasonable freedom to carry out detailed design. DFCCIL has engaged a General Consultant/Owner'sEngineer (GC/OE) for preliminary design and procurement.

4. Project location and salient physical characteristics relevant to the safeguardanalysis (if known)

The EDFC1 originally included a 343 km section between Kanpur and Khurja in the state ofUttarpradesh. The additional stretch proposed to be financed is a 47 km corridor between Khurja andDadri in Uttarpradesh. The total EDFC 1 corridor will thus become a 390 km corridor betweenKanpur-Khurja-Dadri. The EDFC corridor traverses the Indo-Gangetic plain connecting the port ofKolkata on the Bay of Bengal in the east, to the industrial heartland of northern India in the north-west (Ludhiana). The corridor would be mostly parallel to the existing railway route with diversionsin densely populated areas to minimize displacement of people and economic activities. The EDFC 1stretch between Khurja to Kanpur passed through 283 villages and the additional 47 km stretch ofKhurja-Dadri passes through 38 villages in Uttar Pradesh. The inclusion of the Khurja-Dadri section(47 km) in EDFC 1 does not bring any changes in the salient physical characteristics relevant to thesafeguards analysis. No new safeguards policies have been triggered.

5. Environmental and Social Safeguards Specialists

Harinath Sesha Appalarajugari (GENDR)

I. U. B. Reddy (GSURR)

Satya N. Mishra (GSURR)

6. Safeguard Policies Triggered? Explanation (Optional)Environmental YesAssessment OP/BP 4.01

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Natural Habitats OP/BP No4.04

Forests OP/BP 4.36 NoO

Pest Management OP 4.09 No

Physical Cultural YesResources OP/BP 4.11

Indigenous Peoples OP/ NoBP 4.10

Involuntary Resettlement YesOP/BP 4.12

Safety of Dams OP/BP No4.37

Projects on International NoWaterways OP/BP 7.50

Projects in Disputed NoAreas OP/BP 7.60

II. Key Safeguard Policy Issues and Their Management

A. Summary of Key Safeguard Issues

1. Describe any safeguard issues and impacts associated with the Restructured project.Identify and describe any potential large scale, significant and/or irreversible impacts:

The project involves major construction activities such as earthen embankments for the rail track,number of major and minor bridges, rail fly overs and ancillary buildings. These activities areexpected to cause significant environmental impacts comprising diversion of forest land, cutting oftrees, impact on community and cultural resources, and land acquisition and involuntaryresettlement. Considering the above, the Project has been categorized as 'Category A' and triggersfour safeguards policies- Environmental Assessment (OP/BP 4.01), Physical Cultural Resources(OP/BP 4.11) and Involuntary Resettlement (OP/BP 4.12). Inclusion of Khurja - Dadri Section ofthe project does not involve triggering any new safeguard policies than the ones indicated above.

Environmental Impacts:

Railway projects, especially new alignments such as the current project passing through largegeographical areas, could cause significant impacts, if not planned, designed and implementedwithout considering environmental sensitivities of the project area. Based on the inputs fromenvironmental assessment, number of alignment alternatives to avoid significant environmentalimpacts and the final alignment for Khurja - Kanpur (Bhapur) includes (i) detours at 5 locations toavoid impacts on major settlements and cultural properties along the alignment (ii) minimum rightof way at critical locations, to avoid impacts on communities residing close to the alignment andforest areas (iii) 5 major bridges and adequate cross drainage works to avoid impacts on localdrainage (iv) provision of Rail Over Bridges and Pedestrian over passes to facilitate safemovement of local traffic, etc. Despite the above measures, the project is expected to lead to (i)acquisition of small parcels of forest land in seven locations along the alignment amounting to atotal of 10.59 hectares (ii) cutting of about 17901 trees for the entire 272 km of alignment (iii)involvement of about 17 million m3 of earth work in embankment and 1.35 million m3 of quarry

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material (iv) increased noise and vibration levels in about 37 sensitive receptors situated close tothe alignment (v) impacts on 22 physical and cultural properties and (vi) significant health andsafety issues due to the construction activities of the project.Similar approach has been followed for the newly added Khurja - Dadri section of the project,

Owhich includes (i) detours at 2 locations to avoid impacts on major settlements (ii) 4 majorbridges, 49 minor bridges and adequate cross drainage works to avoid impacts on local drainage(iii) provision of 13 major and 15 road under bridges and 18 level crossings, to facilitate easymovement of local traffic. After incorporation of these measures in the project design, the projectis expected to (i) convert 3.9 hectares of forest land at various locations along the alignment (ii)cut 2193 trees (ii) involve 0.18 m3 of earthwork in cutting 0.73 m3 of earth work in embankmentand 0.2 million m3 of ballast material (iii) increase in noise and vibration levels at 3 locationsalong the alignment (iv) impact 4 physical and cultural properties and (v) health and safety issuesduring construction phase of the project.Social Impacts: The key social impacts associated with this Project include the loss of land,shelter/business, farming livelihoods, incomes and community properties and temporaryconstruction related impacts. The SIA and RAP for the 343 km long EDFC 1 corridor (Khurja toKanpur) was prepared in two stages for 272 km and for the Tundla detour of 71 km. Overall, theKhurja-Kanpur section of EDFC1 required a total of 1410 ha of land, of which 179.5 ha land isgovernment owned. A total of 29,253 land owners were affected for the loss of agricultural land.In addition 585 residential and commercial structures and 78 community properties were affected.Social Impact Assessment (SIA) and RAP for the Khurja-Dadri section has been prepared,approved by the Bank and disclosed by DFCCIL at the local level on July 23, 2015 in line with theResettlement Policy Framework. (RPF). A total of 221.6 ha of land is required for Khurja-Dadrisection, of which 145.6 ha is privately owned land and 66 ha government owned land.A total of 1974 households (5841 persons) are affected with 1893 households losing theiragricultural land (694 of which are small/marginal farmers) and 121 households losing theirresidential/ commercial structures. 121 private residential/commercial properties and 14community property structures are affected. Of the 121 structures, 96 structures losing over 25%of built-up area, will be treated as displaced and will receive the full range of R&R benefits.Traditional occupiers living on 'abadi deh' lands are recognized as title holders and will receivecompensation for their occupied land.Impacts on livelihoods: According to a Social Safeguards Quality Audit carried out in January2013 for EDFC1, the loss of farm-based livelihoods of marginal farmers is a key adverse impact,

a which has to be addressed applying appropriately the resettlement framework. Given that theaffected farmers have limited skills in non-farm activities, they will require livelihood skilltraining support in addition to financial assistance as R&R support.

Impact on women and vulnerable sections. Vulnerable households including single women andwomen headed families lacking support of any earning members, poor and aged, physicallyhandicapped, etc are likely to face additional hardship as a result of resettlement impacts. Theaffected squatter households dependent on wage labor could lose their incomes as a result ofresettlement.

The temporary construction related impacts such as health and safety, labor in-migration, accidentrisks, dust and noise, movement of materials etc. are covered in the EIA.

2. Describe any potential indirect and/or long term impacts due to anticipated future activitiesin the project area:

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The environmental assessments carried out for all the three sections of EDFC 1 (Khurja -Kanpur, Tundla Detour and Khurja - Dadri) -I, highlights, a few long-term environmental impactsdue to quarrying large quantities of stone material (about 1.5 million m3), borrowing earth forlaying the track (about 20 million m3), increased noise and vibration levels during operation phaseat about 40 locations along the railway track, impacts on physical and cultural properties at about26 locations and land use changes over a long term. The environmental management plans

prepared for the project, proposes specific mitigation measures to minimize the above impacts,through specific management plans for the borrow areas and quarry sites, noise barriers andcultural property management plans.

At few locations including habitations close to the new EDFC tracks, movement of localcommunities and local traffic may also be affected due to including increased risk of accidents.The project proposes Rail Over Bridges and Pedestrian Over Bridges to minimize these risks.

There is a likelihood that DFCCIL may seek to develop along the EDFC corridor a few transporthubs and undertake other business development activities. Whereas, the exact nature and impact ofsuch development activities is not known, these activities may require acquisition of additionallands, and on the positive side, could generate new employment and income opportunities for thelocal people. As such, on the positive side, the project is expected to provide employment andincome opportunities to the local communities.

3. Describe any project alternatives (if relevant) considered to help avoid or minimize adverseimpacts.

Minimum land acquisition and disturbance to existing features has been a prime objective of thedesign for EDFC1. Several measures were taken to minimize displacement including changes inalignment in the Tundla detour of 71 kms and small detours to avoid impactson urban areas and /or villages.The steps taken to reduce corridor of impact to minimize displacement in the Khurja-Dadri sectioninclude: a) Reducing track distance between IR network and DFC network to minimum level,these locations are Jamalpur, Ajayabpur, Rithauri and Sultanpur; b) Ruling out service roads in thebuilt-up stretches, c) Providing retaining wall/fencing of DFC at suitable distance from last trackof DFC, three meters extra width (if land is available) from houses to retaining wall in order toprovide access to local residents, if additional land is not available, with access to residents fromother side of their house, which will be planned during implementation of the project; and d) Re-modelling of yard and reducing distance between yard and DFC tracks. Alignment has beendesigned in such a way to avoid physical displacement of large number of people. Mostly thealignment of DFC project has been planned in parallel to existing Railway alignment. To avoiddisplacement of large number of people, short detours have been planned at congested locations.Alternative analysis of the proposed Wair and Bodaki detour portion was carried out. The result ofanalysis of the alternative alignments indicates that bypasses have been proposed to avoidcongestion and large scale magnitude of displacement of people. Analysis of these alternativealignments indicates that displacement and resettlement issues have been minimized at thesecritical locations under the project.

4. Describe measures taken by the borrower to address safeguard policy issues. Provide anassessment of borrower capacity to plan and implement the measures described.

(a) Borrowers Measures to address environmental safeguard Issues

Environmental Management Plan: DFCCIL has carried out EA for all the three sections (including

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the newly added Khurja - Dadri Section) of the project, and prepared comprehensiveenvironmental management plans to address the impacts identified and specific mitigationmeasures. The measures include (i) compensatory afforestation to compensate with the loss offorest land and the loss of tree cover, in complete compliance with the Forest Conservation Act of

OGovernment of India (ii) Avenue Plantation at 10 trees per km all along the alignment (iii)Rehabilitation Plan for the Borrow Areas developed for the earth work for the project (iv) noisebarriers in 16 critical locations affected with high noise levels and mitigation measures for themanagement of increased noise levels in other sensitive locations (v) specific vibration reductionand management measures in the locations where vibration levels are expected to be high (vi)cultural properties rehabilitation plan for all the affected properties and (vii) specific constructionsafety and environmental management measures for the construction phase of the project. TheEMP measures have been integrated in the bid documents of first two sections of EDFC 1 and willalso be included in the bid documents of Khurja - Dadbri Section, for implementation by thecontractors of the project.

Silicosis Reduction Strategies: Considering the large quantities of quarry material handled in theproject, a separate analysis of measures required to mitigate the potential impacts of 'Silicosis' onthe construction workers of the project was carried out in EDFC 1 and specific measures wererecommended to be integrated in to the bid documents of the project, for implementation by thecontractor. These measures including the EMP have been integrated in the bid documents forimplementation by the contractors of the project.

Environmental Management Framework: The borrower has developed an EnvironmentalManagement Framework (EMF) during the preparation of EDFC 1, for the eastern dedicatedfreight corridor. The framework defines environment management approach for identifying theenvironmental issues associated with the proposed projects, identifies the requirements ofconducting EA studies and provides guidance to integrate environment safeguard measures duringthe planning, designing and construction phase of DFC East. DFC continues to follow theframework for all the activities being carried out for the Eastern Corridor, including the newlyadded Khurja - Dadri Section.

GHG Emission Analysis: By virtue of its potential to shift freight traffic from road transport tomore efficient rail transport, the project offers significant reduction of Green House Gas (GHG)emissions. An analysis of this potential to reduce GHG emissions was carried out in EDFC 1,which estimated that the eastern corridor will reduce about 13.19 million GHG emissions by2041-42 - a reduction of 55 percent of GHG emissions from 23.29 million ton without DFC toonly 10.48 million tons with DFC. In addition, the analysis has also recommended a number ofmeasures such as (i) regenerative breaking (ii) communication based train control (iii) greenbuilding measures for offsite construction activities (iv) solar and wind power generation inrailway properties / lands. DFCCIL is actively pursuing these measures, which will further reduceGHG emissions.

(b) Assessment of Borrowers Capacity to Plan and Implement the Safeguard Measures

The environmental regulations of Gol do not mandate railway projects to obtain environmentalclearances from the Ministry of Environment & Forests (MoEF). However, as part of theprogrammatic implementation of eastern corridor supported by the Bank, DFCCIL has developedan Environmental Policy and Environmental Management Framework applicable for all itsactivities. As part of these proactive initiatives, the agency has also carried out "Green House Gas

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Emission Analysis" of both the eastern and western corridors. Considering the nature and scale ofconstruction activities DFCCIL has also developed 'Silicosis Reduction Strategies' to beimplemented in its construction activities.To implement these initiatives, DFCCIL has set up a Social and Environmental Management Unit

O) (SEMU) headed by a General Manager (GM). SEMU implements all the safeguard activities at

DFCCIL, and is supported by a GM and one environmental and social specialist each.This unit has successfully carried out the safeguard due diligence activities such as (i) Carrying outEnvironmental Assessments for all three sections of EDFC 1 (Kanpur - Khurja - Dadri), EDFC 2(Kanpur - Mughal Sarai) and all the two sections of EDFC 3 Khurja - Ludhiana. (ii)Environmental Assessment of Rail Over Bridges in APL 1 (iii) Secured clearances from TajTrapezium Authority, Archaeological Department for Tundla Detourn in EDFC1 and (iv)permissions for forest land diversion and tree cutting clearances, etc for all the three phases ofEDFC.By performing these safeguard activities; DFCIL has demonstrated its commitment toenvironmental management and ability to comply with safeguard policies of the Bank. However,DFCIL has limited experience in implementing Environmental Management Plans (EMP). Thiswould require further handholding and capacity building of SEMU and Project Managers Staff inthe field. The Bank team would work with DFCIL and will ensure these capacities are developedat DFCCIL.

Social Safeguards Measures: The safeguards policy arrangements for APLI restructuring are acontinuation of those agreed for the APL1. The World Bank Operational Policy 4.12 (InvoluntaryResettlement) and OP 4.11 (Physical and Cultural Resources) are triggered and appropriatesafeguard measures proposed. OP 4.10 has not been triggered as no tribal people are affected.

For EDFC 1, originally one RPF and two RAPs were prepared for 272 km and Tundla detour (71km) respectively. The original corridor path was altered before Appraisal in recognition of theaffected farmers' reluctance to part with their land in the Tundla detour. As a result, the alignmentfor Tundla detour was altered and separate SIA and RAP were prepared and disclosed for this 71km stretch in line with the RPF of 2011 approved for EDFC1. These RAPs are in an advance stageimplementation.

O

DFCCIL has prepared a Resettlement Action Plan (RAP) for the additional Khuja-Dadri sectiona (47 km) with stakeholder consultations held at 30 locations in line with the Resettlement Policy

Framework (RPF), which has been cleared by the World Bank and disclosed on the DFCCILwebsite and at the local level on July 23, 2015. The RAP has been disclosed on the World Bankportal on July 27, 2015.

As per the RAP, 221.6 ha of land is required for Khurja-Dadri section, of which 145.6 ha isprivately owned land and 66 ha government owned land. A total of 1974 households (5841persons) are affected with 1893 households losing their agricultural land (694 of which are small/marginal farmers) and 121 households losing their residential/ commercial structures. 121 privateresidential/commercial properties and 14 community properties are affected. Traditional occupiersliving on village common lands are provided with LA compensation and R&R benefits at par withthe titled PAFs, as spelt out in the RAP.

The LA process is carried out in accordance with the RAA (2008) with providing R&R assistanceas per the entitlement matrix agreed with the Bank and in compliance with the NationalResettlement and Rehabilitation Policy, 2007 and the applicable provisions of the Right to Fair

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Compensation and Transparency in Land Acquisition and Resettlement and Rehabilitation Act of2013 (RFCT-LARRA). The RFCT-LARR Act applies to LA carried out under RAA, 2008 withregard to determining land compensation for all awards declared with effect from January 1, 2015.The RFCT-LARRA prescribes calculation of compensation at one-to-two times of the government

OQ) recognized land rates in urban areas and at two-to-four times that in rural areas. The RFCT-

LARRA provisions on land compensation have limited implications for EDFC 1 including the

Khurja-Dadri section where land acquisition has been over 80 percent completed. All landcompensation awards made with effect from January 1, 2015 shall be compliant with the RFCT-LARRA, 2013. Wherever awards have been made after 1st Jan 2015 at old rates, the differencewill be paid to farmers as supplementary award in accordance with the new RFCT-LARRA.

Given that of 150 ha of private land, LA award has already been made for 130 ha or over 85% ofland required, RFCT-LARR shall apply in a limited way for this stretch in cases where award ispending. DFCCIL will take the following steps to deal with any confusion emerging out of theapplication of RFCT-LARR, 2013 for LA Awards declared w.e.f. January 1, 2015, which may bemore than what has been awarded under RAA, 2008 prior to January 1, 2015.

a) DFCCIL will establish a communication strategy to educate the PAFs regarding theapplicability of RFCT-LARR for LA and R&R entitlements provided under RAP with explainingthe eligibility criteria, entitlements, and implementation procedures.b) DFCCIL will strengthen the Grievance Redress Mechanism with holding specialgrievance hearing camps in the affected villages as may be required to resolve grievances relatingto the application of the RFCT-LARR to the LA process carried out under RAA, 20018 w.e.f.January 1, 2015.c) DFCCIL and MoR will establish an apex level Resettlement Monitoring Committee tomonitor the LA and R&R process as also address any major obstacles affecting the LA and R&Raward and disbursement process.

Resettlement Lessons. Resettlement planning for Khurja-Dadri section benefited from theimplementation experience of EDFC1. The adaptive approach to safeguards managementestablished for EDFC1 allows course correction in resettlement policy and practice throughindependent monitoring and evaluation arrangements. Some of the good practices adopted include:(i) holding wide community consultations; (ii) hiring land survey and LA facilitation consultants

a for demarcating impacts and for preparing land plans; (iii) regular updating of land recordsensuring transfer of land titles after LA compensation payment,; (iv) resolution of compensationrelated grievances through arbitration; (v) provision of land compensation to traditional occupierssettled on village lands (abadi deh); and (vi) holding regular monitoring and inter-agencycoordination meetings with the state governments.

In response to the resettlement quality audit of January 2013, DFCCIL has taken specific measuresto improve implementation quality. These include: (i) expanding the scope of jurisdiction of thedistrict grievance mechanisms enabling them to address complaints relating to type and magnitudeof land affected, and compensation awarded; (ii) ensuring payment of compensation atreplacement value through arbitration; (iii) giving financial assistance to those losing livelihoods,or/ and those rendered marginal or landless farmers, and (iv) appointing two social developmentspecialists in the SEMU. A few actions agreed with DFCCIL during EDFC2 that require follow upaction include: (iv) imparting job skill training to the poor, eligible, and affected youth as a part oflivelihood skill building plan; and (vi) improving implementation capacity at field level withhiring additional field staff.

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Cut-Off Date: The Cut-off date for identifying the affected families including land owners, thosehaving title claims recognized under other state and central laws, squatters and other non-titledholders shall be the date of first land acquisition (LA) notification issued under 20A of Railway

OQ) Amendment Act of 2008. It is provided that the "PAP census survey" shall be the basis for

finalizing the eligibility for extending R&R benefits including assistance towards the replacementof affected structures of untitled PAPs.

Income Restoration. The RPF/ RAP provide for financial assistance to the affected families losingtheir livelihoods. Given that the affected farmers have limited skills in non-farm activities, theywill require livelihood skill training support in addition to financial assistance. DFCCIL hasexperimented with providing job skill training to a limited number of affected youth along Easternand Western Corridors. It has committed to prepare and implement a Skill Building Plan as a partof RAP implementation in order to strengthen income generation amongst the poor, eligible andaffected youth as agreed with the Bank. This income generating initiative will focus on financialliteracy, skill building and entrepreneurship development for the affected people, in collaborationwith potential partners.

The support measures already provided in the Resettlement Action Plan (RAP) restoringlivelihoods of the people affected by the EDFC1 extension (Khurja-Dadri) section include: (i)livelihood assistance @ 750 days of minimum wage for the affected farmers rendered small,marginal or landless farmer due to land acquisition, and affected people losing shops, or mixed usestructures (residences also used as work sheds) for income generating activities, and those losingany other livelihood; (ii) Onetime grant of Rupees 25000 to affected artisans, small shops,vendors, self-employed people; (iii) Subsistence allowance @ 300 days of minimum wage fordisplaced families living the below poverty line, (iv) Special rehabilitation assistance @ 300 daysof minimum wage to the vulnerable persons including the poor, widows, women headed womenfamilies, physically challenged, and the aged.

The PAFs awarded LA compensation w.e.f. January 1, 2015 will receive the followingentitlements as livelihood support measures as per the RFCT-LARR Act, 2013: (i) Compensationfor land payable at market value multiplied by a factor of 1-2 in rural areas and 1 in urban areaswith 100% solatium plus interest @ 12% per annum from the date of LA notification, (ii) One

a time resettlement grant of Rupees 50,000 to affected families, (iii) Employment opportunity to atleast one member of the affected family, or annuity @ minimum Rupees 2000 per month for 20years suitably indexed to the consumer price index or onetime payment of Rupees 500,000 to theaffected family, (iv) Subsistence allowance @ Rupees 3000/month for one year with additionalRupees 50,000 for the affected Dalit (SC) families, (v) Onetime grant of rupees 25000 to theartisans, small shops, vendors, self-employed people.

Gender and Social Inclusion. The RAP for Khurja-Dadri is socially inclusive and gender sensitivewith special R&R provisions for women, poor, artisans, small/marginal/landless farmers, andvulnerable persons. The vulnerable families eligible for special assistance will also include agedand disabled persons irrespective of sex, if they are poor. There shall be no discrimination basedon age, sex, caste or faith in offering LA compensation and R&R assistance, consistent with theChapter-III (Fundamental Rights) of the Indian Constitution.

Borrower's Social Safeguards Management Capacity: There shall be no change in theinstitutional arrangements for EDFC1 including the Khurja-Dadri section. The Social and

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Environment Management Unit (SEMU) of DFFCIL, led a General Manager, assisted by an AGMand a Social Development Specialist, plays a coordinating role with hiring of NGOs for field-levelimplementation support and Social and Environment Safeguards Monitoring and ReviewConsultant (SESMRC) for third party monitoring and quality audit. The Chief Project Managers

O(CPM) will continue to operate as Chief Resettlement Officers, assisted by a number of AssistantProject Managers (Social). SEMU has enhanced its capacity with hiring two Social Development

Specialists. Whereas, the SEMU has demonstrated its capacity to prepare SIA and RAP, andmanage extensive land acquisition, gaps in field implementation capacity has affectedeffectiveness with regard to areas such as information dissemination and people's mobilization,and resolving compensation related disputes. In this context, DFCCIL will need to enhance itsstaff capacity at the field level, and will require training and sustained technical support during theimplementation period. The Bank team will assist the Ministry of Railways (MoR) to establishinstitutional capacity for planning, monitoring and coordinating LA and R&R activities throughtechnical assistance and will work closely with the DFCCIL to address the above issues includingthrough regular field visits, and training support.

Monitoring and Evaluation (M&E). Regular performance monitoring of RAP implementation willbe carried out by the internal oversight mechanisms of DFCCIL, in which SEMU and the CPMoffice will have key roles. SEMU and the CPM office will be assisted by PMC and the facilitatingNGOs. DFCCIL will hire SESMRC for third party monitoring and quality audit of LA and R&Rmeasures. SESMRC will provide quarterly progress reports (QPR) and yearly Safeguard ReviewReports for necessary follow up and any remedial action that may be required.

Independent Grievance Redress Mechanism. The GRM will remain the same with the CompetentAuthority for LA will be the first level for hearing and resolving objections relating to landacquisition. Independent Arbitrators will hear and redress grievances demanding highercompensation. The district level GRC will be the second level GRM, chaired by the DistrictCollector or her/his nominees, and comprising representatives from civil society and the districtlocal body. DFCCIL has issued detailed guidelines, including on the scope of GRM's hearing of

complaints relating to land use type, impact area, eligibility, and structure and land valuation.DFCCIL has appointed Additional Revenue Division Commissioners as Arbitrators to resolve landcompensation award related complaints. An Ombudsman has already been appointed to addressunresolved grievances. DFCCIL will further strengthen the field level GRM with organizing

a grievance hearing camps in the affected villages as may be required to resolve grievances relatingto the application of the RFCT-LARR to the LA process carried out under RAA, 20018 w.e.f.January 1, 2015. DFCCIL and MoR will establish an apex level Resettlement MonitoringCommittee to monitor the LA and R&R process as also address any major obstacles affecting theLA and R&R process.

Grievance Redress Service of the World Bank:

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 mechanismsor the WB's Grievance Redress Service (GRS). The GRS ensures that complaints received arepromptly reviewed in order to address project-related concerns. Project affected communities andindividuals may submit their complaint to the WB's independent Inspection Panel whichdetermines whether harm occurred, or could occur, as a result of WB non-compliance with itspolicies and procedures. Complaints may be submitted at any time after concerns have beenbrought directly to the World Bank's attention, and Bank Management has been given an

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opportunity to respond. For information on how to submit complaints to the World Bank'scorporate Grievance Redress Service (GRS), please visit www.worldbank.org/grs. For informationon how to submit complaints to the World Bank Inspection Panel, please visit www.inspectionpanel.org.

o

Safeguards Linkages: Concurrent to the construction of EDFC3, DFCCIL is expected to constructsome ROBs/RUBs without Bank financing along the corridor. DFCCIL is taking measures toensure that, all these activities physically connected to the project including ROBs/RUBs willcomply with the requirements of EMF agreed for the project. The western Dedicated Corridorfinanced by JICA is not directly or significantly related to the Bank financed corridor, as thiscorridor is on a separate alignment spread in a different geographical zone and does not meet thelineage criteria outlined in the OP 4.12.

Risks and Mitigation Measures: The key social safeguards risks identified in the resettlementaudit, quarterly independent quality reports submitted by SESMRC and the Bank implementationsupport mission Aide Memoires include: (i) delays in resettlement implementation due to (a)change in alignment over 71 km of the Tundla section requiring fresh notification for landacquisition, (ii) farmers' dissatisfaction with low compensation offered in some villages at oldercircle rates in Uttar Pradesh; (iii) slow legal process affecting early resolution of court litigationsrelated to LA, (iv) recent changes in the legal framework for LA and R&R applicable to landcompensation payment for EDFC 1 after January 1, 2015, (v) income restoration of land losers;(vi) delays in payment of R&R assistance; (vii) challenges in coordinating LA process with theconcerned revenue officers of the state government; (viii) poor public awareness regarding GRMestablished at district and DFC levels; (ix) inadequate field capacity for managing LA and R&Rand absence of social scientist in the SEMU; (x) disputes regarding eligibility for compensationand R&R benefits; (xi) loss of access to local roads in affected villages adjacent to the existingrailway tracks and loss of access to agricultural fields in bypass stretches and (xii) impacts onaffected squatter wage laborer residents without land, marginal farmers and vulnerable groups.

The above risks will be mitigated through the following key steps:* Updating the RAP with guidelines for providing compensation at replacement value andR&R assistance to various PAP categories as per their entitlements.* Commitment to prepare and implement Livelihood Skill Building Plan focusing on jobskill training, financial literacy and entrepreneurship development as income generation supportmeasures as per the RAP.* Hiring NGOs to assist in verifying R&R eligibility through community consultations andassisting with R&R benefit distribution.* Holding regular meetings with the state governments for effective coordination withcompetent authorities and Arbitrators to resolve compensation issues.* Wider dissemination of entitlements/ GRM through NGOs and using other technologyplatforms.* Expanding DFCCIL staff capacity in the field with deploying community mobilizers.* Resolving eligibility disputes through proactive efforts by GRM and NGOs.* Provision of minimum 3-meter wide service roads along railway tracks at habitations.* Livelihood assistance for landless/ marginal farmers, displaced wage laborers and self-employed people as per the entitlements matrix.* Third Party R&R Monitoring and Quality Review through independent consultants.* Award of contract and site hand over with clear linkage to progress in LA and R&R.* Follow up stakeholder consultations by NGOs during implementation.

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* Undertaking impact evaluations during the implementation phase.Any emerging risks will be addressed based on the reports received from the SESMRC.

5. Identify the key stakeholders and describe the mechanisms for consultation and disclosureon safeguard policies, with an emphasis on potentially affected people.

The key elements of DFCCIL's citizen engagement strategy include: (i) consultations with theaffected people during project planning and implementation, (ii) information disclosure anddissemination, (iii) grievance redress mechanisms, and (iv) people's feedback on R&Rimplementation through third party monitoring (SESMRC).

Stakeholder Consultations: Primary stakeholders for EDFC 1 include farmers losing land, ownerand squatter households losing residence and business, general public that may be affected by therelocation of community properties, and people exposed to the likely temporary impacts.Secondary stakeholders include the ministry of railways, DFCCIL, the concerned stategovernment, other government departments/agencies including forests and environment, etc.

EDFC1 272 km stretch: Public consultations were held with the affected people during SIA andEIA studies in the form of focus groups discussions at several locations. These included 227 focusgroup discussions (FGD) at the village level; 54 FGDs at the Tahsil or Taluk level; and 18 FGDsat the district levels. In addition to this, consultations were held at 18 locations to discuss thepotential environmental impacts of the project.

RAP for Tundla detour: 54 consultation meetings were held in addition to one to one consultationsduring BSES with the local community. District level public consultations were held in each ofaffected two districts where PAFs, PAPs, NGOs and Government agencies were involved.

RAP for Khurja-Dadri corridor: During Base Line Socio Economic Survey (BSES) PAPconsultations were conducted to understand their perception and concerns. About 30 meetingswere held with the local community. Tahsile level public consultations were held in each of 4Tehsils where PAFs, PAPs, NGOs and Government agencies were involved. The outputs obtainedfrom these meetings helped in formulating strategies for minimizing impacts. Follow upconsultations are being conducted during implementation.

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Disclosure: The RPF/RAPs, EA and EMPs for EDFC1 were earlier disclosed on DFCCIL websiteand Bank Infoshop. The draft RAP (Khurja-Dadri) was disclosed on the DFCCIL website onJanuary 22, 2015 and has been re-disclosed after it was formally approved by the World Bank onJuly 23, 2015. The RAP has been disclosed at the World Bank portal on July 27, 2015. The EAand RAP executive summaries have been translated in Hindi and disclosed locally. The full RAPshall be also be disclosed locally in Hindi. The list of PAPs eligible for different R&R benefitswill be disclosed at the village and panchayat levels. DFCCIL will disseminate project informationbrochures amongst the PAPs in villages explaining their entitlements and contact details of GRM.

B. Disclosure Requirements

Environmental Assessment/Audit/Management Plan/Other

Was the document disclosed prior to appraisal? Yes

Date of receipt by the Bank 22-Jan-2015

Date of submission to InfoShop 10-Jul-2015

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For category A projects, date of distributing the Executive 01-Feb-2011Summary of the EA to the Executive Directors

"In country" Disclosure

India 22-Jan-2015

Comments:

Resettlement Action Plan/Framework/Policy Process

Was the document disclosed prior to appraisal? Yes

Date of receipt by the Bank 25-Jan-2015

Date of submission to InfoShop 27-Jul-2015

"In country" Disclosure

India 23-Jul-2015

Comments:

If the project triggers the Pest Management and/or Physical Cultural Resources policies, therespective issues are to be addressed and disclosed as part of the Environmental Assessment/Audit/or EMP.

If in-country disclosure of any of the above documents is not expected, please explain why:

C. Compliance Monitoring Indicators at the Corporate Level

OP/BP/GP 4.01 - Environment Assessment

Does the project require a stand-alone EA (including EMP) Yes [ X] No [ ] NA [ ]report?

If yes, then did the Regional Environment Unit or Practice Yes [ X] No [ ] NA [ ]Manager (PM) review and approve the EA report?

Are the cost and the accountabilities for the EMP incorporated Yes [X] No [ ] NA [ ]o in the credit/loan?

OP/BP 4.11 - Physical Cultural Resources

Does the EA include adequate measures related to cultural Yes [ X] No [ ] NA [ ]property?

Does the credit/loan incorporate mechanisms to mitigate the Yes [ X] No [ ] NA [ ]potential adverse impacts on cultural property?

OP/BP 4.12 - Involuntary Resettlement

Has a resettlement plan/abbreviated plan/policy framework/ Yes [ X] No [ ] NA [ ]process framework (as appropriate) been prepared?

If yes, then did the Regional unit responsible for safeguards or Yes [ X] No [ ] NA [ ]Practice Manager review the plan?

The World Bank Policy on Disclosure of Information

Have relevant safeguard policies documents been sent to the Yes [X] No [ ] NA [ ]World Bank's Infoshop?

Have relevant documents been disclosed in-country in a public Yes [ X] No [ ] NA [ ]place in a form and language that are understandable andaccessible to project-affected groups and local NGOs?

All Safeguard Policies

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Have satisfactory calendar, budget and clear institutional Yes [ X] No [ ] NA [ ]responsibilities been prepared for the implementation ofmeasures related to safeguard policies?

Have costs related to safeguard policy measures been included Yes [ X] No [ ] NA [ ]in the project cost?

Does the Monitoring and Evaluation system of the project Yes [X] No [ ] NA [ ]include the monitoring of safeguard impacts and measuresrelated to safeguard policies?

Have satisfactory implementation arrangements been agreed Yes [ X] No [ ] NA [ ]with the borrower and the same been adequately reflected inthe project legal documents?

III. APPROVALS

Task Team Leader(s): Name: Benedictus Eijbergen

Approved By

Safeguards Advisor: Name: Maged Mahmoud Hamed (SA) Date: 03-Aug-2015

Practice Manager/ Name: Karla Gonzalez Carvajal (PMGR) Date: 03-Aug-2015

Manager:

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