Indonesia: Regional Roads Development Project

Sovereign Project | 38479-034

Summary

The proposed Project will improve strategic national road corridors in northern Kalimantan and southern Java to support economic growth in these two less developed and poorer areas of Indonesia. The rehabilitation, capacity expansion and new construction of highways will strengthen national and regional connectivity, and improve access to markets, job opportunities and social services in four provinces. The national road network in southern Java is incomplete, with some road sections of the southern Trans Java Highway not yet constructed resulting in gaps in network coverage; other sections are constructed below national standards and in poor condition. Improved road infrastructure in southern Java is necessary for removing existing constraints to economic growth and investment in this isolated area. Similarly, road network improvements are needed to support economic development in the less developed and remote districts in northern Kalimantan.

Latest Project Documents

Consulting Notices

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Procurement Notices

See also: Operational Procurement

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Procurement Documents

Title Document Date
Regional Roads Development Project Jan 2013

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Project Name Regional Roads Development Project
Project Number 38479-034
Country Indonesia
Project Status Approved
Project Type / Modality of Assistance Loan
Source of Funding / Amount
Loan 2817-INO: Regional Roads Development Project
Ordinary capital resources US$ 180.00 million
Loan: Regional Roads Development Project
Islamic Development Bank US$ 65.00 million
Strategic Agendas Inclusive economic growth
Regional integration
Drivers of Change Partnerships
Sector / Subsector Transport - Road transport (non-urban)
Gender Equity and Mainstreaming Some gender elements
Description The proposed Project will improve strategic national road corridors in northern Kalimantan and southern Java to support economic growth in these two less developed and poorer areas of Indonesia. The rehabilitation, capacity expansion and new construction of highways will strengthen national and regional connectivity, and improve access to markets, job opportunities and social services in four provinces. The national road network in southern Java is incomplete, with some road sections of the southern Trans Java Highway not yet constructed resulting in gaps in network coverage; other sections are constructed below national standards and in poor condition. Improved road infrastructure in southern Java is necessary for removing existing constraints to economic growth and investment in this isolated area. Similarly, road network improvements are needed to support economic development in the less developed and remote districts in northern Kalimantan. Improved road connections in Kalimantan to the border will also support the Brunei Indonesia Malaysia Philippines East ASEAN Growth Area (BIMP-EAGA) transport initiatives to develop two land-based transport corridors for greater connectivity and reduced transport costs and complement other BIMP-EAGA programs to reduce non-physical barriers to trade by improving customs, immigration, quarantine and security processes. Recognizing the need to protect and preserve the environmentally sensitive areas of Kalimantan, the proposed project will not support any road improvements in this area.
Project Rationale and Linkage to Country/Regional Strategy Indonesia is a middle-income country, with varied development across its provinces and islands. The government plans to promote sustainable economic growth through a significant increase in infrastructure investment over the next five years. To achieve more equitable development across the country, the government of Indonesia recognizes the urgent need to: (i) improve transport accessibility in the less developed areas, which will also reduce poverty in local communities; and (ii) expand long-term growth opportunities and attract investment through the development of stronger trade ties under regional cooperation initiatives.
Impact Increased efficiency of road transport supporting integrated and sustainable economic growth along project corridors
Project Outcome
Description of Outcome Improved capacity and safety of national and strategic roads
Progress Toward Outcome The road construction is being implemented. It is anticipated that the traffic growth in North Kalimantan will be generated only from domestic activities as the government of Sabah, Malaysia has not yet opened the imigration gate in the border. However, the traffic growth in West Kalimantan will be significant as both countries, Indonesia and Serawak have established immigration offices in this area.
Implementation Progress
Description of Project Outputs

Development of national and strategic roads

Road sector development program implemented

Status of Implementation Progress (Outputs, Activities, and Issues) All civil works have been contracted, and the woorks are now underway. However, to complete the Project it will need about 24 months extension, due to start up delays, and retendering process.
Geographical Location
Safeguard Categories
Environment B
Involuntary Resettlement A
Indigenous Peoples B
Summary of Environmental and Social Aspects
Environmental Aspects

The initial environmental examination (IEE) covers a general environmental profile of all subprojects and includes an assessment of potential environmental impacts during various project phases. It includes the environmental management plan with a set of mitigation and management measures to be taken during project implementation to avoid, reduce, mitigate, or compensate for adverse environmental impacts. The subprojects could have some adverse environmental impacts, but they would be short-term, temporary, and reversible; the impacts can be minimized and managed by implementing mitigation measures.

No subprojects will pass through conservation forests. One subproject in Java and six in Kalimantan will pass through forests that are protected or used for production, but no tree cutting and land acquisition in such forests will be needed. No rare, threatened, or endangered species of flora and fauna are in or close to the subproject areas. No heritage sites of national and international importance, or sites that are historically or archaeologically sensitive, are in or near the subproject areas. Consultations were conducted from September 2008 to August 2011 involving about 275 people including affected people, community leaders, nongovernment organizations, and national and provincial government officials. The IEE is available to the public through the DGH office and ADB's website.

Involuntary Resettlement

The Tambakmulyo Wawar road (38.5 km) is one of the three sections in Central Java. The land acquisition for the first 24 km of Tambakmulyo Wawar road was completed, for the remaining 14.5 km, a land acquisition and resettlement action plan (LARAP) was prepared. As the resettlement impacts will be significant, this subproject road is classified category A for involuntary resettlement. About 145 households will be severely affected; 106 households will lose at least 10% of their productive land, while 31 houses and 8 shops will be physical displaced. A total of1,400 households will be marginally affected by this subproject. Land acquisition for the other two subprojects in Central Java, has been completed. The 10 subprojects in East Java, and East and West Kalimantan provinces are classified category B for involuntary resettlement. Land acquisition and resettlement impacts will not be significant. LARAPs for East Kalimantan, West Kalimantan, and East Java were prepared. About 530 households will be marginally affected by these 10 subprojects.

During the preparation of the LARAPs for all subproject roads, meetings were held with potentially affected households and other stakeholders to determine potential impacts on land, non-land assets, and income of households along the subproject roads. The aim was to elicit concerns and suggestions from the stakeholders to mitigate, if not avoid, these impacts. Key information in the LARAPs was disclosed to the affected people. No site clearing will be done until after DGH and ADB have agreed upon the updated LARAPs and the provisions in the updated LARAPs have been implemented satisfactorily.

Indigenous Peoples Ethnic groups, such as Melayu, Chinese, and Dayak, live along the roads in West Kalimantan. They have been integrated into the wider socio-economic and cultural community, while retaining many aspects of their culture. Specific actions related to ethnic groups are included in the LARAPs, such as consultation measures that use local leaders and the traditional grievance redress process for Dayak people.
Stakeholder Communication, Participation, and Consultation
During Project Design Community meetings were held during project preparation. Surveys using structured questionnaires were also used as part of the social analysis and safeguards planning. This provided an understanding of the concerns and constraints facing communities and farmers, and gave people the opportunity to express transport related concerns and opinions of both positive and negative impacts arising from the project and suggestions on how these impacts can be avoided or mitigated.
During Project Implementation
Business Opportunities
Consulting Services

The Project will recruit :

" Core Team Consulting firm will be engaged using quality- and cost- based selection (QCBS) method with a standard quality:cost ration of 80:20. A total of 56 person-months of international consultant inputs and 381 person-months of domestic consultants will be required. Consultant services are expected to take place over 44 months (actual duration of service shall be in line with civil works schedule).

" Design and Supervision (Kalimantan) Consulting firm will be engaged using QCBS method with a standard quality:cost ration of 80:20. A total of 43 person-months of international consultant inputs and 746 person-months of domestic consultants will be required. Consultant services are expected to take place over 44 months (actual duration of service shall be in line with civil works schedule). The consultant team will review the detailed design and administer the construction contracts and ensure that the contractual clauses for both quality and specifications of work are complied with, and the works are constructed in accordance with the provisions of the construction contracts

" Road Safety Support - Consulting firm will be engaged using QCBS method with a standard quality:cost ration of 80:20. A total of 12 person-months of international consultant inputs and 60 person-months of domestic consultants will be required. Consultant services are expected to take place over 18 months.

" Capacity Development Consulting firm will be engaged using QCBS method with a standard quality:cost ration of 80:20. A total 121 person-months of domestic consultants will be required. Consultant services are expected to take place over 18 months.

" Road Safety Awareness Campaign and Training - Consulting firm will be engaged using QCBS method with a standard quality:cost ration of 80:20. A total of 156 person-months of domestic consultants will be required. Consultant services are expected to take place over 24 months

" Enforcement Capability for Road Infrastructure Program (ECRIP) - Consulting firm will be engaged using QCBS method with a standard quality:cost ration of 80:20. A total of 15 person-months of international consultant inputs and 165 person-months of domestic consultants will be required. Consultant services are expected to take place over 24 months

" Indonesia Transport Sector Development Study Consulting firm will be engaged using QCBS method with a standard quality:cost ration of 80:20. A total of 35 person-months of international consultant inputs and 118 person-months of domestic consultants will be required. Consultant services are expected to take place over 18 months.

" Integrated Vehicle Overloading Control Strategy Consulting firm will be engaged using QCBS method with a standard quality:cost ration of 80:20. A total 96 person-months of domestic consultants will be required. Consultant services are expected to take place over 18 months.

" HIV/AIDs and Human Anti-trafficking Program Consulting firm will be engaged QCBS method with a standard quality:cost ration of 80:20. A total of 5 person-months of international consultant inputs and 36 person-months of domestic consultants will be required. Consultant services are expected to take place over 18 months.

Procurement

Procurement of Civil Works that consists of 11 packages: 8 packages are to be financed by ADB and 3 packages will be under IDB.

The procurement for the civil works under the ADB component comprises 8 packages (CW-04 to CW-11), and follows the ICB procedure. The estimated base costs for the contract packages, which were updated based on the detailed design study done by DGH, range from $15.24 million to $42.90 million. The total base cost for the civil works is $233.09 million. ADB loan finances 70% of the total expenditures, exclusive of taxes and duties imposed within Indonesia.

Responsible ADB Officer H.S. Soewartono
Responsible ADB Department Southeast Asia Department
Responsible ADB Division Indonesia Resident Mission
Executing Agencies
Directorate General of Highways (BINA MARGA)Jl. Pattimura No. 20
P.O. Box 21, Kebayoran Baru
Jakarta 12110, Indonesia
Timetable
Concept Clearance 04 Mar 2010
Fact Finding 10 May 2010 to 14 May 2010
MRM 07 Jul 2010
Approval 24 Nov 2011
Last Review Mission -
Last PDS Update 31 Mar 2015

Loan

Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 200.50 Cumulative Contract Awards
ADB 0.00 - 0.00 0.00 %
Counterpart 135.50 Cumulative Disbursements
Cofinancing 65.00 - 0.00 0.00 %

Loan 2817-INO

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
24 Nov 2011 07 May 2012 03 Jul 2012 31 Aug 2016 31 Jul 2018 -
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 380.50 Cumulative Contract Awards
ADB 180.00 24 Nov 2011 108.00 0.00 60%
Counterpart 135.50 Cumulative Disbursements
Cofinancing 65.00 24 Nov 2011 27.97 0.00 16%
Title Document Type Document Date
Regional Roads Development Project Procurement Plans Jan 2013
Proyek Pembangunan Jalan Regional Seksi Jalan Tambakmulyo-Wawar (Segmen Puring-Petanahan) (Central Java) Documents Produced Under Grant/Loans/TA Aug 2012
Proyek Pembangunan Jalan Regional Kabupaten Bulungan dan Nunukan di Kalimantan Timur Documents Produced Under Grant/Loans/TA Aug 2012
Proyek Pembangunan Jalan Regional Kabupaten - Sambas dan Kabupaten Sanggau di Kalimantan Barat Documents Produced Under Grant/Loans/TA Aug 2012
Loan Agreement for Regional Roads Development Project Loan Agreement (Ordinary Resources) May 2012
Regional Roads Development Project Reports and Recommendations of the President Nov 2011
Regional Roads Development Project Summary Poverty Reduction and Social Strategies Nov 2011
Regional Roads Development Project Project/Program Administration Manual Jun 2011

Safeguard Documents

See also: Safeguards
Title Document Type Document Date
Regional Road Development Project: Quarterly Internal Monitoring Report on Land Acquisition and Resettlement Plan Implementation (June-August 2014) Social Monitoring Reports Sep 2014
Regional Roads Development Project: West Kalimantan (Sambas & Singkawang Districts) Resettlement Plans Oct 2011
Regional Roads Development Project: West Kalimantan (Sambas & Singkawang Districts) (as of Board approval) Resettlement Planning Documents Oct 2011
Regional Roads Development Project: Initial Environmental Examination (as of Board approval) Environmental Assessment and Measures Oct 2011
Regional Roads Development Project: West Kalimantan (Sanggau District) Resettlement Plans Oct 2011
Regional Roads Development Project: West Kalimantan (Sanggau District) (as of Board approval) Resettlement Planning Documents Oct 2011
Regional Roads Development Project: Central Java (Puring-Petanahan Segment of Tambakmulyo - Wawar Road Section) Resettlement Plans Oct 2011
Regional Roads Development Project: Central Java (Puring-Petanahan Segment of Tambakmulyo-Wawar Road Section) (as of Board approval) Resettlement Planning Documents Oct 2011
Regional Roads Development Project: East Java (Jolosutro - Sendangbiru Road Section) Resettlement Plans Oct 2011
Regional Roads Development Project: East Java (Jolosutro-Sendangbiru Road Section) (as of Board approval) Resettlement Planning Documents Oct 2011
Regional Roads Development Project: East Kalimantan (Bulungan District and Nunukan District) Resettlement Plans Oct 2011
Regional Roads Development Project: East Kalimantan (Bulungan District and Nunukan District) (as of Board approval) Resettlement Planning Documents Oct 2011

Evaluation Documents

See also: Independent Evaluation

No documents found.


The Public Communications Policy (PCP) establishes the disclosure requirements for documents and information ADB produces or requires to be produced in its operations to facilitate stakeholder participation in ADB's decision-making. For more information, refer to the Safeguard Policy Statement, Operations Manual F1, and Operations Manual L3.

Requests for information may also be directed to the InfoUnit.

Background Information

ADB and the Islamic Development Bank (IsDB) are cofinancing with the Government of the Indonesia the Regional Roads Development Project to improve about 476 kilometers (km) of strategic and national roads in four of the country’s provinces: Central Java, East Java, West Kalimantan, and East Kalimantan. Roads were selected based on corridor development and regional connectivity criteria to maximize development impacts and benefits. The project is consistent with the strategic priorities set out in ADB’s Indonesia country partnership strategy, which aims to support investment in transport infrastructure to promote inclusive growth and reduce disparities across less-developed areas of the country.

The rehabilitation and capacity expansion of road corridors aims to strengthen national and regional connectivity and improve access to markets, job opportunities, and social services. Improved road infrastructure in southern Java is necessary to remove existing constraints to economic growth and investment in this isolated area. Similarly, road network improvements are needed to support economic development in less-developed and remote districts in northern Kalimantan. Improved road connections in Kalimantan to the Malaysian border will support the Brunei Darussalam–Indonesia–Malaysia–Philippines East ASEAN Growth Area (BIMP-EAGA) transport initiatives to develop two land-based transport corridors for greater connectivity. These will reduce transport costs, as well as complement other BIMP-EAGA programs to reduce non-physical barriers to trade, including improving customs, immigration, quarantine, and security.

The project encompasses rehabilitating and widening existing substandard two-lane national highways and strategic roads with asphalt pavement in accordance with updated national standards. The project roads follow existing alignments with some minor deviations from the right-of-way and realignment to comply with national highway standards. The civil works strengthen the existing road pavement and improve road alignments to meet forecast traffic demand. ADB finances about 399 km of the project roads while IsDB financing covers about 77 km of roads. The locations of project roads for each province are shown in Figures 1 and 2. Details of proposed subproject roads are shown in Table 1.

Table 1: Project Roads by Region

  Project Roads Main Work Items Length (km)
Central Java Tambak Mulyo - Wawar Road construction* 38.5
Wawar - Congot Rehabilitation and widening of existing road 14.1
Giri Woyo - Duwet Rehabilitation and widening of existing road 23.8
East Java Jolosutro - Sendangbiru Rehabilitation and widening of existing road 21.3
West Kalimantan Sosok - Tayan Rehabilitation and widening of existing road 41.6
Tanjung - Batas Kota Sanggau Rehabilitation and widening of existing road 37.3
Singkawang Pavement overlay 3.6
Singkawang - Tebas Rehabilitation and widening of existing road 26.2
Sambas Bypass Rehabilitation and widening of existing road 6.1
Tanjung Harapan - Galing Rehabilitation and widening of existing road 20.1
Galing-Simpang Tanjung Rehabilitation and widening of existing road 39.5
Simpang Tanjung - Aruk (Batas Serawak) Rehabilitation and widening of existing road 11.2
East Kalimantan Tanjung Selor-Simpang Tiga Tanjung Palas Rehabilitation and widening of existing road 12.8
Simpang Tiga Tanjung Palas-Sekatak Buji (Phase 1) Rehabilitation and widening of existing road 22.0
Simpang Tiga Tanjung Palas-Sekatak Buji (Phase 2) Rehabilitation and widening of existing road 65.1
Simpang Tiga Apas-Simanggaris (Section 1) Rehabilitation and widening of existing road 45.0
Simpang Tiga Apas-Simanggaris (Section 2) Rehabilitation and widening of existing road 33.1
Simanggaris - Batas Negara (Serudong) Rehabilitation and widening of existing road 14.5
Total     476.0

Involuntary resettlement

Consultation meeting in Waluyorejo
Consultation meeting in Waluyorejo

Approximately 2,000 households along the alignment of the project roads are expected to be affected by land acquisition for the project. The potential impacts are expected to include loss of land and non-land assets as well as relocation of some houses and businesses. The estimated number of affected households is shown in Table 2 below.

The resettlement impacts of the project have been minimized by utilizing existing alignments wherever possible. The project strives to ensure that all people affected are able to maintain and preferably improve their pre-project living standards and income-earning capacity.

Land acquisition and resettlement plans (LARPs) have been prepared to ensure that all impacts associated with land acquisition are identified and mitigated through compensation and assistance measures. The draft LARPs are based on preliminary designs using corridors of impact agreed between the Government of Indonesia and ADB in 2011. These plans will be updated and finalized following the conduct of detailed measurement surveys and census of the affected persons as well as meaningful consultations in the project areas. Their implementation will be closely monitored by the Government of Indonesia and ADB.

Table 2: Estimated Number of Affected Households

Section Date of Approval of Draft LARP No. of Affected Households Of which
Relocating Households
East Kalimantan October 2011 91 -
Tanjung Selor - Tanjung Palas   3 -
Tanjung Palas - Sekatak   88 -
Sp.3 Apas - Simanggaris (section 1)   - -
West Kalimantan October 2011 614 -
Singkawang-Tebas   230 -
SP3 Tj. Harapan-Galing   3 -
SP3 Tanjung - SP3 Aruk   12 -
Sosok-Tayan & Tanjung -Sanggau   369 -
Central Java October 2011 1,214 31
Tambak Mulyo-Wawar   1,214 31
East Java October 2011 54 -
Jolosutro-Sendangbiru   54 -
GRAND TOTAL   1,973 31

Indigenous peoples

Consultation meeting in Waluyorejo
Indigenous Peoples' village in East Kalimantan

The villages alongside several project roads in Sambas and Sanggau District (West Kalimantan) as well as, Bulungan District (East Kalimantan) are occupied by a mix of ethnic groups (e.g., Melayu, Daya, Chinese). In accordance with ADB’s Safeguard Policy Statement (SPS) in 2009, indigenous peoples (IP) requirements have been incorporated in the LARPs. While ADB acknowledges the presence of IP communities, site visits as well as community consultations indicate that the IPs in the project areas have become fully integrated into the wider socio-economic and cultural community, while at the same time retaining aspects of their traditional culture. Because IPs in the project area do not constitute isolated, vulnerable people, and because the project will improve existing roads, the preparation of a separate IP Development Plan is not required. Rather, culturally sensitive measures have been incorporated into the LARPs to promote their participation and engagement in meaningful consultation. Moreover, during the updating of LARPs, IPs will be again forming an integral part of the consultation process and meaningful consultation will be undertaken throughout the project implementation.

Environment

Consultation meeting in Waluyorejo
Oil palm plantation along East Kalimantan road

None of the project roads are located near or within conservation forests. Three of the project roads in West Kalimantan pass through a total of 14 km of protection forests while four project roads in East Kalimantan pass through approximately 76 km of production forests. However, as the existing road right-of-way in these areas is sufficient for the proposed road works, land acquisition and tree cutting are not required in such forests. Dominant species of trees along these areas are rubber trees and oil palm.

Through consultations with provincial forestry officials and by referring to published studies (e.g., World Database on IUCN Protected Areas, UNESCO‘s Man and Biosphere Reserves Directory, World Bird Data Base 2008 by BirdLife International, Wetland Database of Indonesia by Wetlands International Asia Pacific-Indonesia Programme, IUCN List of Threatened Species), it was confirmed during the preparation of the initial environmental examination (IEE) that the project roads are not located near or within conservation forests and that rare, threatened and endangered flora and fauna species are not present in the project areas. There are also no heritage sites of national or international importance (e.g., UNESCO World Heritage), nor sites which are historically or archaeologically sensitive on or near the project roads.

From September 2008 to August 2011, public consultations have been conducted involving a total of 275 people, composed of affected people, community leaders, nongovernment organizations, and national and provincial government officials. The main issues raised by the stakeholders pertain to potential negative impacts during construction phase such as dust and noise emission, traffic congestion, use of illegally sourced wood for construction, contamination of water resources etc. These concerns have been considered in the IEE and will be addressed through the environmental management plan (EMP) prepared for the project. The implementation of the EMP will be strictly monitored by the Government and ADB. Overall, the results of the consultations were positive, with people considering the significant economic benefits the road will bring to the region.

Loan Approval 24 November 2011
Total Investment Cost US$380.5 million
ADB US$180 million (47.4%)
Islamic Development Bank US$65 million (17.1%)
Government of Indonesia US$135.5 million (35.5%)

  View background information in Bahasa Indonesia.

Figure 1: Subprojects in Java  Subprojects in Java

Figure 2: Subprojects in Kalimantan

 Subprojects in Kalimantan
 

Frequently Asked Questions about the Regional Roads Development Project

Involuntary Resettlement and Indigenous Peoples

What is a Land Acquisition and Resettlement Plan?

A Land acquisition and resettlement plan (LARP) is prepared for projects that will have involuntary resettlement impacts. For the Regional Roads Development Project, five draft LARPs were prepared by the Government of Indonesia based on preliminary technical design during project preparation.

The LARPs for all sub projects in East Java, Central Java, West Kalimantan, and North Kalimantan (previously called East Kalimantan) have been implemented. The LARP implementation reports and updated LARPs completed with corrective actions to address the resettlement outstanding issues were submitted to ADB in 2013 and the revised ones were submitted to ADB in December 2014.  Detailed status of each LARP is outlined in the table below.

Table: Status of LARP for Each Sub project approved in October 2011

No Area Package/Road Section Status Remarks
1 East Java: Malang District 28-RCP01 (CW-01)
Jolosutro-Sendangbiru
Being implemented Corrective actions to be implemented in 2015
2 Central Java: Kebumen District 24-RCP01 (CW-02)
Tambak Mulyo-Wawar
24-RCP01 (CW-03)
Giriwoyo – Duwet (Section 1)
24-RCP01 (CW-03)
Wawar - Congot
Being implemented Corrective actions to be implemented in 2015
3 West Kalimantan: Sambas and Singkawang Districts 30-RCP02 (CW-06)
Tebas – Singkawang (Section 1)
Tebas – Singkawang (Section 2)
Bypass – Sambas
Galing – Tanjung Harapan
30-RCP03 (CW-07)
SP3 Tanjung – Galing (Section 1)
SP3 Tanjung – Galing (Section 2)
SP3 Tanjung - Aruk (batas Serawak)
Being implemented Corrective actions will be implemented in 2015
4 West Kalimantan: Sanggau District 30-RCP 01 (CW-5)
Sosok – Tayan
Sp. Tanjung - Sanggau
Being implemented Corrective actions be implemented in December 2014 and Q1 2015
5 North Kalimantan: Bulungan and Nunukan Districts 34-RCP01
Tanjung Selor – Sp.3 Tanjung Palas
Sp 3 Tj.Palas – Sekatak Buji (Section 1)
34-RCP02
Sp 3 Tj.Palas – Sekatak Buji (Section 2)
34-RCP03
Sp 3 Apas – Simanggaris (Section 1)
34-RCP04
Sp 3 Apas – Simanggaris (Section 2)
Simanggaris – Batasnegara (Serudong)
Being implemented  

How many households were affected by the project?

A total of 1,998 households who are living, farming, or doing business were and to be affected by the project. This number might change following the latest update of the LARP in North Kalimantan. The total number of AHs per sub project is summarized in the table below.

No LARP Number of AHs
1 East Java: Malang District 54
2 Central Java: Kebumen District 1,214
3 West Kalimantan: Sambas and Singkawang Districts 245
4 West Kalimantan: Sanggau District 387
5 North Kalimantan: Bulungan and Nunukan Districts 98
GRAND TOTAL 1,998

Who are eligible for compensation and assistances under the project?

All displaced persons/affected households and institutions/organizations that satisfy the cut-off date for eligibility are eligible to be compensated and assisted under the project. The cut-off date coincides with the period when the District Land Acquisition Committee (LAC) conducts the detailed measurement survey of assets in the COI. Persons not covered in the DMS are not eligible for compensation and other entitlements, unless they can show proof that they have been inadvertently missed out during the survey or subsequent changes in project design after the survey had taken place (such as changes in road alignment) and caused resettlement impacts that were not covered in the DMS survey.

What kind of compensation and/or assistance have been provided to affected households within the corridor of impact (COI)?

To achieve the project’s overall resettlement objective of ensuring that all people affected are able to maintain and preferably improve their pre-project living standards and income-earning capacity, various types of compensation and assistance have been provided. It should be noted that as resettlement impacts on land and fixed assets, severity of impacts, and vulnerability of households per subproject varies, so are the corresponding entitlements. Some correction actions have been prepared to address the resettlement outstanding issues that include; implementation of livelihood restoration program (LRP) for vulnerable groups and severely AHs for Central Java and East Java, top-up allowance for depreciation of affected structures in West Kalimantan, and additional compensation for land for West Kalimantan (Sambas and Singkawang District) and in North Kalimantan (Bulungan District). The corrective actions are being implemented and expected to be completed by Q3 2015.

The resettlement entitlements from the 5 LARPs are summarized in the table below:

Table 2: Project Entitlement Matrix

Type of Loss/Impacts Eligible Persons Entitlements
Permanent loss of land: agricultural, residential, or commercial Those who have formal legal rights (certificate) or those whose claim over the land is recognized as a full title (customary rights) including government entities.
  • Cash or in kind compensation at replacement cost which is based on a valuation of independent appraiser.
  • No deduction for taxes and any administrative costs.
  • Financial assistance for the updating of land ownership documents (certificate and land documents recognized as a full title).
  • If the remaining land is no longer viable, i.e., no economic value, the Project will acquire the entire land at replacement cost.
  • Land replacement for agricultural land as per provisions in the Law No. 41/2009 on Agricultural Land for Sustainable Food Protection and Law No. 41/1999 on Forestry.
Loss of main structures (houses, offices, independent shops) and secondary structures (fences, wells) Building owners regardless of land tenure and whether or not the affected structure is covered with a building permit
  • Compensation at replacement cost based on prevailing (i.e., at the time of delivery of compensation) market prices of materials and cost of labor for dismantling, transferring and rebuilding.
  • No depreciation will be applied and the value of salvageable materials will not be deducted from the full replacement cost of the acquired structure.
  • If the impact on main structure is more than 50%, the entire structure will be acquired at full replacement cost.
  • If the impact on the main structure is less than 50% but will compromise the stability of the main structure, i.e., no longer intact, then the Project
    will acquire the entire structure at full replacement cost
  • At least 90 days advance notice for AHs to demolish the buildings before the start of land clearing.
  • Electricity and telephone installation will be compensated based on removal cost and new installation.
Public infrastructure and facilities Government, state enterprise, communal owners (i.e., school, village office, health center, electricity pole)
  • Rebuild the facilities based on agreement by both parties.
Graves/Tombs Owners
  • Land replacement for public tombs in close consultation with village officials and residents.
  • Financial assistance to move the graves including the cost for ceremonies
Crops and trees Owners regardless of land tenure status (certificate or recognizable rights owners, informal dwellers, occupants)
  • Annual crops: if standing crops are destroyed or cannot be harvested, compensation based at prevailing market rates.
  • Perennial crops: compensation at replacement cost taking into account their productivity.
  • Timbers/trees: compensation at current market rate based on age, type of trees and diameter of trunk.
  • Compensation will be provided in the form of productive fruit seedlings equivalent to the losses
  • 90 days advance notice to harvest/cut trees/crops/timbers prior to land clearance
Relocation of AHs and shop owners due to the entire loss of building Owners of entirely affected buildings regardless of land tenure and whether or not the affected structure is covered with a building permit
  • Project to provide the use of trucks or other transport means to haul belongings to new place.
  • Transition subsistence allowance
  • Participate in the livelihood restoration program
Impact due to relocation of shop/house-cum shop Owners of shops/house-cum shops regardless land tenure
  • Transition subsistence allowance
  • Participate in the livelihood restoration program
Loss of resources basis Those who loss more than 10% of total assets or sources of income. Poor and vulnerable AHs, regardless of severity of impacts
  • Participate in the livelihood restoration program
  • Priority for employment of a household member on a project related job.
Temporarily loss of agricultural, residential, and commercial land for construction Those who have formal legal rights (certificate) or those whose claim over the land recognized as a full title.
  • Rental payment by Contractor for residential land based on prevailing rental cost and based on agreement with land owners.
  • For productive land, rental fee will not be less than net income obtained from productive land.
  • Compensation for acquired non-land asset (trees/crops, buildings) will be provided at replacement cost.
  • Land will be restored to pre-Project condition or even better.
  • 60 days advance notice
  Those who have no formal legal rights (certificate) and recognizable as full title (informal dwellers, sharecroppers)
  • No rental fee for land for the period of impact
  • Land will be restored to pre-Project condition or even better.
  • Compensation for affected non-land assets (trees/crops, buildings) at replacement cost
Higher risks of hardships due to project impacts Vulnerable households (e.g. poor, women)
  • Special assistance for households during relocation such as provision of labor and access to materials, as needed. Assistance may be in cash or in-kind. The needs of each vulnerable household will be assessed during LARP finalization.

Has meaningful consultation been undertaken?

Consultation with affected persons of Sitiharjo Village, Indonesia
Consultation with affected persons of Sitiharjo Village, organized by Local Office of Public Works on 9 October 2011

As per the ADB Safeguard Policy Statement, meaningful consultation “is a process that (i) begins early in the project preparation stage and is carried out on an ongoing basis throughout the project cycle; (ii) provides timely disclosure of relevant and adequate information that is understandable and readily accessible to affected people; (iii) is undertaken in an atmosphere free of intimidation or coercion; (iv) is gender inclusive and responsive, and tailored to the needs of disadvantaged and vulnerable groups; and (v) enables the incorporation of all relevant views of affected people and other stakeholders into decision making , such as project design, mitigation measures, the sharing of development benefits and opportunities, and implementation issues. Consultation has been carried out in a manner commensurate with the impacts on affected communities.”

The consultation process started as early as the project preparatory technical assistance (PPTA) phase. Small group discussions, community meetings, interviews, and consultations with the affected households and communities were carried out and will continue during implementation. Consultations with local communities were conducted in Bahasa, and LARP information brochures in Bahasa were also distributed to the local communities in October 2011. Meaningful consultations with the APs and stakeholders were conducted during the LARP preparation and continued during implementation for all sub projects. 

Consultation with affected persons of Sitiharjo Village, Indonesia
Distribution of project leaflets in Sambas District, West Kalimantan

Project information brochures:

Have existing indigenous people communities living inside the project areas and in surrounding areas been considered in the planning process?

Yes. The Project acknowledges the presence of indigenous peoples (IP) communities. Site visits, interviews, and community consultations indicate that the affected IPs have been living, and doing business along the project roads and have become fully integrated into the wider socioeconomic and cultural community, while at the same time retaining aspects of their traditional culture. Where appropriate, specific actions on IPs have been incorporated into LARPs. Moreover, IPs will continue to form an integral part of the consultation process, and meaningful consultation continue to be undertaken throughout the project cycle.

Were women consulted during the planning process? What are the concerns they raised and how will these be addressed by the project to ensure that they will not be disadvantaged?

Yes. Consultations were held with potentially affected women during the planning process and LARP implementation. This process will continue to ensure that their needs and concerns and measures to mitigate impacts are properly addressed. Some measures be adopted will include but not limited to the following:

in conducting the DMS, consultations, and discussions on relocation options, both women and men participate in the process; gender orientation for the project staff and concerned local authorities handling resettlement-related activities will be provided by the gender consultants from the project; and disaggregated monitoring indicators by gender will be developed for monitoring social benefits, economic opportunities, livelihood, and resettlement activities.

Who is responsible for resettlement activities and project implementation?

The Directorate General of Highways (DGH) under the Ministry of Public Works has overall responsibility for the project. DGH established a project management unit (PMU)  responsible for the day-to-day implementation of the project and be accountable for technical, safeguards, and financial reporting. DGH has an office responsible for social and environment concerns called Sub-directorate of Environmental Affairs. The Sub-directorate of Environmental Affairs closely works with the PMU on matters and activities pertaining to safeguards requirements.

How will the resettlement activities be monitored and evaluated?

The implementation and effectiveness of the resettlement plan activities has been monitored through internal as well as external processes. Internal monitoring is carried out by the PMU to ensure that plan activities properly conducted in accordance with the project principles. Quarterly internal progress report on LARP implementation were submitted for the period of March – May 2014 and period of June – August 2014.

An external monitoring and evaluation group of qualified experts be mobilized one month prior to commencement of DMS activities. Experts can be from an experienced and reputable research or consulting agency, university, or development NGO. The main objective of external monitoring is to provide an independent periodic review and assessment of the following:

  • achievement of resettlement objectives;
  • changes in income, living standards, and livelihoods;
  • restoration and/or improvement of the economic and social base of the affected people;
  • effectiveness and sustainability of entitlements; and
  • the need for further mitigation measures.

External monitoring for all LARPs of RRDP were submitted in 2013 and uploaded on ADB’s website. The first semi- annual monitoring report for the 2014 period was submitted to ADB in January 2015.        

Is there a grievance redress mechanism?

Yes. The grievance process requires that questions or complaints are first lodged with the relevant district Land Acquisition Committee (LAC). If the matter cannot be resolved at this level, it will then proceed to the bupati (regent) and governor's level. For the indigenous communities, the grievance will be solved where possible using Traditional Law. The adat (indigenous peoples) leaders and local government officials will coordinate closely to ensure that the grievances are heard and satisfactorily addressed following the Traditional Law or through the grievance redress mechanism for this project. No written complaint lodged to the project.

Environment

What are the potential impacts of the project on the environment?

No serious adverse environmental impacts are expected as per the initial environmental examination (IEE). Project roads do not go through conservation forests. In addition, while some of the road sections pass through protection and production forests, land acquisition and cutting of trees will not be required in these areas because the project will be confined within existing roads. The IEE provides colored maps that identify locations of conservation, protection, and production forests as well as the lengths of the forests traversed by the existing roads to be improved under the project.

What is the project doing to mitigate the environmental impacts?

The IEE includes an environmental management plan (EMP) that details the mitigation and monitoring measures to avoid or minimize adverse environmental and social impacts during implementation. DGH and its Sub-Directorate of Environmental Affairs (SDEA), with assistance from the design and supervision consultants (DSC),  monitore the contractors' environmental performance with regard to implementation of the EMP. DGH will submit semi-annual reports on EMP implementation to ADB, which will monitor the compliance with the environmental provisions in the loan agreement by reviewing environmental monitoring reports, and by conducting safeguards review missions.

Is there analysis provided about the cumulative, direct, and indirect impacts on forests and existing ecosystems in the vicinity of the project roads?

The proposed project will involve improvements to existing roads. None of the roads go through conservation forests, designated as such for the protection of ecosystems and biodiversity. In East Kalimantan, forests traversed by the road alignments are classified as production forests, where rubber and oil palm trees are cultivated for sustainable forest production. In West Kalimantan and East Java, while some of the roads traverse protection forests, cutting of trees in these areas (as well as in production forests in East Kalimantan) are not required since civil works will be limited within existing roads. Furthermore, as the conservation forests are located away from the project roads and no new roads will be constructed, adverse indirect and cumulative impacts to forests and other ecological resources are not considered substantial.

Is there a grievance redress mechanism for environmental complaints?

The IEE includes a grievance redress mechanism (GRM) to be established during project implementation. The GRM, which will be headed by DGH, is designed to address complaints and concerns of affected people on the technical, social, and environmental aspects of the project. A Local Consultative Group (LCG) will be formed at each provincial level. The LCG will be represented by persons from the women's groups, NGOs, and local communities.

  • 31 May 2009 | Project Result / Case Study

    Bridge to the Future

    An ADB road rehabilitation project in Indonesia has bridged two rural districts, boosted trade, and helped preserve social and cultural connections For several decades when farmers and traders from the agricultural district of Kulon Progo brought their produce to the market in the city, they had to stop at the foot of a bridge that crosses the Progo River in south-central Java, Indonesia. There, they had to wait as their load was transported, batch by batch, by two-wheeled transportation because the bridge could not support anything larger.