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Dams and Development E-Paper Contents

p. 24 of 74 BACK | NEXT Home Page of Dams and Development Foreword I. Why an e-paper on dams and development? II. Assessing options III. Participatory processes IV. Social impacts Resettlement - compensation or development? Upstream and downstream impacts Gender design - ADB case studies What do ADB Policies and strategies say V. Environmental impacts VI. Benefit distribution VII. Dam safety and sustainability VIII. Existing projects IX. Improving governance X. What other organizations say XI. ADB, Dams, and Development XII. References Contact Us

Resettlement - compensation or development?

Displacement of people and communities is one of the most controversial aspects of dam projects. Evaluation reports of international financing institutions, the global review of the World Commission on Dams and a significant body of research literature point to the many problems that can be experienced, poor governance, and disruption to livelihoods.

The change of thinking is captured in the 'Rationale' section of ADB's 1995 policy on Involuntary Resettlement:

'28. Until recently, development-induced displacement of population was considered a "sacrifice" some people have to make for the larger good. Resettlement programs in general were limited to statutory monetary compensation for land acquired for the project, and occasionally development of a resettlement site.

29. However, perceptions are changing because of delays in project implementation and benefits foregone; growing awareness about the potential adverse economic, social, and environmental consequences of population displacement; and increasing concern about people's welfare. Resettlement is viewed increasingly as a development issue. Policy makers, planners, and development practitioners have come to accept that inadequate attention to resettlement does not pay in the long run; and costs of implementation problems caused by lack of good involuntary resettlement can far exceed the costs of proper resettlement. Furthermore, impoverished people are a drain on the national economy; thus, avoiding or minimizing displacement as well as proper rehabilitation of those displaced make good economic sense as well as being fair to those adversely affected.'

This section examines a way of approaching resettlement that goes beyond the principle of income restoration - to consider resettlement as a development opportunity rather than as compensation.

For further information see:

• Resettlement as development
• Some examples of national resettlement policies
• What do ADB policies and strategies say?

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