NIGERIA FINAL DRAFT REV 1 Resettlement Action Plan ­ Nigeria West African Gas Pipeline June 2004 NIGERIA FINAL DRAFT REV 1 Resettlement Action Plan ­ Nigeria West African Gas Pipeline Prepared for West African Pipeline Company June 2004 Disclosure Locations Venues at which the Environmental Impact Assessments, Appendices, and Resettlement Action Plans ­ and Other Documents Supporting the West African Gas Pipeline Project ­ have been Disclosed to the Public are as Follows: Country Venue Location UNITED STATES World Bank Offices Washington, DC MIGA Washington, DC NIGERIA WAGP EA Rep Office Lagos Lagos State Ministry of Environment Lagos Ogun State Ministry of Environment Abeokuta Liaison Office Federal Ministry of Environment Lagos Liaison Office Federal Ministry of Environment Abeokuta Badagry Local Government Office Badagry Ado Odo Ota Local Government Office Ado Odo Ota Ifo Local Government Office Ifo Ogun State Ministry of Lands and Housing Abeokuta Lagos State Lands Bureau Lagos Federal Ministry of Environment Abuja TOGO WAGP EA Rep Office Lomé Ministère de l´Environnement et des Ressources Forestières Lomé Gbetsogbe Palace Gbetsogbe Domocile du chef traditionnel Gbetsogbe Baguida Baguida Ministère de l'Énergie et des Ressources Hydrauliques Lomé Ministry of Land Affairs Lomé BENIN WAGP EA Rep Office Cotonou Documentation Center of the Ministry of Environment, of Cotonou Habitat and Urbanism (MEHU) Beninese Agency for Environment (ABE) Cotonou Documentation Center of Ministry of Mines, Energy and Cotonou Hydraulic (MMEH) Mayoralty of Abomey-Calavi Abomey-Calavi Mayoralty of Ouidah Ouidah Institute of Endogenous Development and Exchanges (IDEE) Ouidah Documentation Center of the University of Abomey-Calavi Abomey-Calavi GHANA WAGP EA Rep Office Tema EPA Library Accra Greater Accra Regional Coordinating Council Accra EPA Greater Accra Regional Office Amasaman Accra Metropolitan Assembly Accra Shama Ahanta East Metropolitan Assembly Sekondi EPA Central Regional Office Cape-Coast Central Regional Coordinating Council Cape-Coast Western Regional Coordinating Council Sekondi EPA Zonal Office Tema Tema Municipal Assembly Tema EPA Western Regional Office Sekondi Volta Regional Coordinating Council Ho EPA Volta Regional Office Ho Ghana EPA Accra Table of Contents Table of Contents Page List of Acronyms and Abbreviations Executive Summary Chapter 1 Introduction ............................................................................................................ 1 1.1 Brief Description of Project..............................................................................................1-1 1.1.1. Value of the Project .............................................................................................1-6 1.2 Project-Affected Peoples and Areas .................................................................................1-8 1.3 Resettlement Implementing Agencies ............................................................................1-16 1.4 Key Issues of Involuntary Resettlement and Land Acquisition......................................1-19 1.5 Land Acquisition and Resettlement Plan Objectives......................................................1-20 1.6 Progress to Date..............................................................................................................1-21 1.7 Program for RAP Implementation..................................................................................1-22 1.8 Scope of Resettlement Action Plan.................................................................................1-22 Chapter 2 Project Description ...............................................................................................2-1 2.1 Layout of Pipeline.............................................................................................................2-1 2.1.1 General Route ......................................................................................................2-1 2.1.2 Determination of Route .......................................................................................2-2 2.2 Right-of-Way Configuration.............................................................................................2-3 2.3 Pipeline and Facility Description......................................................................................2-3 2.3.1 Alagbado "Tee" ...................................................................................................2-3 2.3.2 Onshore Pipeline..................................................................................................2-4 2.3.3 Lagos Beach Compressor Station and Primary Control System..........................2-6 2.3.4 Offshore Main Trunk Line and Laterals ..............................................................2-8 2.4 Transportation Routes.......................................................................................................2-8 2.4.1 Alagbado Tee.......................................................................................................2-8 2.4.2 Onshore ROW Nigeria.........................................................................................2-8 2.4.3 Lagos Beach Compressor Station........................................................................2-8 2.5 Construction....................................................................................................................2-10 2.5.1 Temporary Storage and Accommodation Areas................................................2-10 2.5.2 Construction Methods........................................................................................2-10 2.5.3 Construction Schedule and Duration .................................................................2-14 2.6 WAPCo Policy on Public Access ...................................................................................2-15 2.6.1 Facility Footprints..............................................................................................2-15 2.6.2 ROW: Pipeline Burial Zone..............................................................................2-15 2.6.3 ROW: Area not included in Pipeline Burial Zone............................................2-16 2.6.4 Transportation Routes Transecting the Pipeline ROW......................................2-16 2.6.5 WAPCo Maintenance and Patrol Roads within ROW.......................................2-17 2.7 Compensation for Lost Assets ........................................................................................2-17 2.7.1 Summary of Land Requirements .......................................................................2-18 Chapter 3 Policy and Legislative Framework ....................................................................3-1 3.1 Introduction.......................................................................................................................3-1 June 2004 Nigeria Final Draft RAP Rev 1 TOC-1 Table of Contents 3.2 International Project Agreement or Host Government Agreement...................................3-2 3.3 National Legislative Framework.......................................................................................3-4 3.3.1 Laws on the oil/gas sector as they may be relevant for the WAGP.....................3-4 3.3.2 Law on compensation for land and other assets ..................................................3-5 3.3.3 Law of expropriation or Eminent Domain...........................................................3-6 3.3.4 Laws governing acquisition of state-owned assets, including land .....................3-7 3.3.5 Laws governing acquisition of tribal and community properties, including water resources, irrigation schemes, and access roads...................................................3-7 3.3.6 Law of Land Registration, Land Ownership and Property Rights under different local regimes ........................................................................................................3-7 3.3.7 Construction rights and ROW enforcement.........................................................3-8 3.3.8 Laws pertaining to resettlement, re-location........................................................3-9 3.3.9 Appeals procedures as specified in national legislation.....................................3-10 3.3.10 Laws regarding protection of cultural assets......................................................3-10 3.4 Project Measures to Ensure Compliance with World Bank Group Resettlement Guidelines.......................................................................................................................3-10 Chapter 4 Overview of Project-Affected Communities.....................................................4-2 4.1 Introduction.......................................................................................................................4-2 4.2 General Findings of the Socioeconomic Survey...............................................................4-3 4.3 Survey Instruments ...........................................................................................................4-4 4.3.1 SIA Community Survey.......................................................................................4-5 4.3.2 Public Consultations ............................................................................................4-6 4.3.3 Estate Survey .......................................................................................................4-6 4.3.4 Preliminary Qualitative Study in Support of the RAP.........................................4-6 4.3.5 Secondary Sources...............................................................................................4-7 4.4 General Description of Project-Affected Communities....................................................4-7 4.4.1 Population..........................................................................................................4-11 4.4.2 Demographics....................................................................................................4-12 4.4.3 Ethnic Groups ....................................................................................................4-13 4.4.4 Household Structure and Size............................................................................4-14 4.4.5 Community Leadership and Govern4-ance .......................................................4-14 4.4.6 Historical and Cultural Resources4-..................................................................4-15 4.4.7 Access to Infrastructure and Quality of Life......................................................4-15 4.5 Micro-economic Situation ..............................................................................................4-21 4.5.1 Labor Force and Patterns of Work.....................................................................4-21 4.5.2 Household Income and Expenditures ................................................................4-26 4.6 Land Tenure, Ownership and Tenancy...........................................................................4-36 4.6.1 Land Tenure and Residential Ownership...........................................................4-37 4.6.2 Project Affected Lands ......................................................................................4-39 4.7 Agricultural Activities ....................................................................................................4-39 4.7.1 Tree Cover on Affected Lands...........................................................................4-39 4.7.2 Crops Grown on Affected Lands.......................................................................4-40 4.7.3 Inter-cropping ....................................................................................................4-41 4.7.4 Issues involved in measurement of produce value.............................................4-41 4.7.5 Issues involved in re-instating cropping patterns...............................................4-41 4.8 Use of Communal Land and Resources..........................................................................4-42 4.8.1 Pastures and grazing lands.................................................................................4-42 4.8.2 Water resources (rivers, streams, lakes) ............................................................4-42 June 2004 Nigeria Final Draft RAP Rev 1 TOC-2 Table of Contents 4.8.3 Irrigation Schemes .............................................................................................4-42 4.9 Vulnerable Groups..........................................................................................................4-42 4.10 Attitudes toward the Project............................................................................................4-48 4.10.1 Perceptions of impacts of the project for local residents ...................................4-48 4.10.2 Perception of Project Impacts on Communities.................................................4-49 4.10.3 Community Suggestions to Mitigate Potential Negative Impacts .....................4-49 Chapter 5 Land Acquisition Procedures and Implementing Responsibilities.................5-1 5.1 Goals.................................................................................................................................5-1 5.2 Overview of Land Acquisition Strategy ...........................................................................5-2 5.2.1 General Principles................................................................................................5-2 5.2.2 Types of Land to be Acquired .............................................................................5-4 5.2.3 WAGP Right-of-Way Access Policy...................................................................5-5 5.3 Land Acquisition Procedure .............................................................................................5-8 5.3.1 Identification of Pipeline Route and Affected Land..........................................5-13 5.3.2 Identification and Registration of Property Owners and Other Affected People ................................................................................................................ 5-14 5.3.3 Public Notification and Comment Procedure: Procedures for Finalization/Verification of Registration and Approved List of Affected Persons............................................................................................................... 5-15 5.3.4 Negotiation Procedures......................................................................................5-18 5.4 Valuation Methods..........................................................................................................5-23 5.4.1 OPTS Standards.................................................................................................5-24 5.4.2 Basic Principles Underlining Valuation.............................................................5-25 5.4.3 Compensation ....................................................................................................5-26 5.5 Implementation Roles and Responsibilities....................................................................5-28 5.5.1 WAPCo Roles....................................................................................................5-28 5.5.2 Key Responsibilities ..........................................................................................5-31 5.5.3 External Roles and Responsibilities...................................................................5-32 5.5.4 RAP Fund ..........................................................................................................5-33 5.5.5 Community Development..................................................................................5-34 5.6 Implementation Issues and Solutions..............................................................................5-35 5.6.1 Ensuring Accurate Registration and Compensation Disbursement ...................5-35 5.6.2 Identification of Absentee Owners ....................................................................5-36 5.6.3 Resolution of Owner Disputes...........................................................................5-36 Chapter 6 Project Impacts and Mitigation Measures........................................................6-1 6.1 Summary of Land Acquisition..........................................................................................6-1 6.2 Affected Populations: Landowners and Tenants ............................................................6-10 6.3 Summary of Land Acquisition Impacts ..........................................................................6-13 6.3.1 Impoverishment Risks and Reconstruction Model............................................6-13 6.3.2 Landlessness ......................................................................................................6-15 6.3.3 Homelessness.....................................................................................................6-18 6.3.4 Loss of Access to Property and Resources ........................................................6-18 6.3.5 Joblessness.........................................................................................................6-25 6.3.6 Food Insecurity ..................................................................................................6-31 6.4 Mitigation Measures .......................................................................................................6-32 6.4.1 Types of Mitigation Proposed............................................................................6-32 June 2004 Nigeria Final Draft RAP Rev 1 TOC-3 Table of Contents 6.4.2 Summary of Entitlements ..................................................................................6-36 Chapter 7 Public Consultation and Disclosure...................................................................7-1 7.1 Participation and Consultation Activities .........................................................................7-3 7.1.1 Stakeholder Identification and List of Key Stakeholders ....................................7-5 7.1.2 Information Provided to Stakeholders and the Mechanisms for Receiving Feedback..............................................................................................................7-6 7.1.3 Needs Assessment and Community Needs Identification ...................................7-7 7.1.4 Qualitative Assessment of Community Responses to the Proposed Project........7-8 7.2 General Project Consultations and Feedback..................................................................7-10 7.2.1 RAP Consultations.............................................................................................7-10 7.3 RAP Disclosure...............................................................................................................7-11 7.3.1 Information Gathering and Update for RAP Disclosure....................................7-11 7.3.2 Response to Disclosure......................................................................................7-12 7.4 RAP Grievances and Dispute Resolution Prior and During Land and Asset Acquisition......................................................................................................................7-12 7.4.1 Description of the Existing System....................................................................7-12 Chapter 8 Monitoring and Evaluation ................................................................................8-1 8.1 Objectives .........................................................................................................................8-1 8.2 RAP Monitoring Framework............................................................................................8-2 8.2.1 Reporting .............................................................................................................8-5 8.2.2 Staff and Monitoring............................................................................................8-5 8.3 Internal Performance Monitoring .....................................................................................8-6 8.3.1 Types of Information/Data Collected ..................................................................8-6 8.3.2 Source of Information/Data Collection Methods.................................................8-6 8.3.3 Responsibility for Data Collection, Analysis and Reporting...............................8-7 8.3.4 Frequency/Audience of Reporting.......................................................................8-7 8.4 Impact Monitoring ............................................................................................................8-8 8.4.1 Type of Information/Data Collected....................................................................8-8 8.4.2 Source of Information/Data Collection Methods.................................................8-9 8.4.3 Responsibility for Data Collection, Analysis and Reporting...............................8-9 8.4.4 Frequency/Audience of Reporting.......................................................................8-9 8.5 External Monitoring..........................................................................................................8-9 8.6 Completion Audit ...........................................................................................................8-10 Chapter 9 Resettlement Budget and Financing..................................................................9-1 Chapter 10 Schedule for RAP Implementation..................................................................10-1 10.1 Plan Preparation..............................................................................................................10-6 10.2 Consultation and Disclosure ...........................................................................................10-6 10.3 Land Acquisition and Construction ................................................................................10-7 10.4 Monitoring and Evaluation .............................................................................................10-7 10.5 Community Development Programs...............................................................................10-7 June 2004 Nigeria Final Draft RAP Rev 1 TOC-4 Table of Contents Annexes Annex 1.1 Involuntary Resettlement Policy OP 4.12 Annex 2.1 Population Density Annex 2.2 A Sample of Co-ordinates Register Annex 4.1 Household Survey Annex 4.2 West Africa Gas Pipeline (WAGP) Community Survey Annex 5.1 A Sample of Compensation Rates for Structures/Natural Features Recommended by OPTS Sub-Committee on Land Acquisition Annex 5.2 A Sample of Compensation Rates for Economic Crops and Trees Recommended by OPTS Sub-Committee on Land Acquisition Annex 5.3 Compensation Rates for Natural Features/Land Recommended by OPTS Sub-Committee on Land Acquisition Annex 5.4 Compensation Rates for Natural Features/Land: Siltation/Pollution/Loss of Use Recommended by OPTS Sub-Committee on Land Acquisition Annex 5.5 Indicative Compensation Rates Obtained from Ogun State Property and Investment Corporation (OPIC) Annex 6.1 Nigeria Estate Survey Variables and Sample Data Annex 7.1 Consultations June 2004 Nigeria Final Draft RAP Rev 1 TOC-5 Table of Contents List of Figures Figure 1.1-1 West African Gas Pipeline Project Route Figure 1.1-2 Pipeline Route in Relation to "Tee" and Compressor Station Figure 1.2-1: Number of Affected Land Segments by Community Figure 1.2-2: Average Area of Affected Land Segments by Community Figure 1.2-3: Total Area of Land Lost by Community (ha) Figure 2.3.1: Alagbado Site Location Figure 2.3-2: Compressor Station Configuration Figure 2.5-1: Pipeline Construction Corridor Figure 4.3-1: Nigeria Communities Map and Project Facilities Figure 4.4-1: Migratory Status Figure 4.4-2: West African Gas Pipeline Equipment/Material Delivery Route Figure 4.4-3: Land-Use Patterns in Surveyed Communities Figure 4.5-1: Employment in the Surveyed Communities (ages 14 and over) Figure 4.5-2: Employer Characteristics in the Surveyed Communities (ages 14 and over) Figure 4.5-3: Income Earners in Household Figure 4.5-4: Reported Sources of Household Income in Affected Communities Figure 4.5-5: Household Expense Comparison ­ Directly Affected Households and Communities Figure 4.5-6: Reliance on Agriculture and Monthly Incomes* Figure 4.5-7: Relationship between Land Size and Household Incomes Figure 4.5-8: Household Asset Ownership (% of households) Figure 4.5-9: Average Area of Land Owned by Households in Affected Communities Figure 4.6-1: Home Ownership Status and Number of Rooms in Homes Figure 4.9-1: Loss of Land among Affected Landowners Figure 4.9- 2: Gender Distribution of Affected Landowners Figure 4.9-3: Age of Affected Tenants Figure 4.9-4: Age of Landowners Figure 5.3-1: Land Acquisition Process in Nigeria Figure 5.3-2: Land Acquisition Process in Nigeria (Phase 3B) Figure 5.3-3: Land Acquisition Process in Nigeria (Phase 3C) Figure 5.3-4: Land Acquisition Process in Nigeria Figure 5.3-5: Land Acquisition Process in Nigeria Figure 5.3-6: WAGP Dispute Resolution Process in Nigeria Figure 5.3-7: Post Acquisition Claims & Disputes Resolution Process in Nigeria Figure 5.5-1 WAPCo RAP Team Organization Chart Figure 6.1.1 Pipeline Route in Nigeria Figure 6.2-1 Number of Affected Owners by Community* Figure 6.2-2 Affected Tenants by Community* Figure 6.2-3 Gender Distribution of Tenants on Affected Plots* Figure 6.3-1 Trees Located in the Affected Areas* Figure 6.3-2 Sources of Household Income in Affected Communities Figure 7.4-1 Existing Grievance Process in Nigeria Figure 10.1-1 RAP Implementation Timeline June 2004 Nigeria Final Draft RAP Rev 1 TOC-6 Table of Contents List of Tables Table 1.1-1: General Land Characteristics of the WAGP Project Area in Nigeria Table 1.2-1: WAGP Project-Affected Populations Table 1.2-2: Landowners and Other Claimants Table 1.2-3: Area and Number of Affected Segments Table 1.2-4: Characteristics of Affected Land Segments Table 2.7-1: Land Acquisition Requirement in Nigeria Table 4.4-1 List of Surveyed Communities Table 4.4-2: Population in Local Government Jurisdiction Areas Table 4.4-3: Ethnic Groups in the Surveyed Communities Table 4.4-4: Land Use Within Identified Land Parcels to be Acquired by WAPCo Table 4.4-5: Distribution of Energy Sources by Domestic Use in Surveyed Communities Table 4.5-1: Major Crops Raised by Households Table 4.5-2: Livestock Ownership Table 4.5-3: Fishing Methods Within Surveyed Communities Table 4.5-4: Sources of Annual Income in Affected Communities (USD) Table 4.5-5: Distribution of Annual Household Income in Surveyed Communities Table 4.5-6: Household Expenses in Affected Communities Table 4.6-1: Land and/or Water Ownership in Surveyed Communities Table 4.7-1: Trees Grown on Affected Lands Table 4.7-2: Crops Grown on Affected Lands Table 4.9-1: Gender of Landowners Table 4.9-2: Gender Distribution of Tenants on Affected Land Table 6.1-1: Area and Use of Affected Land in Project-Affected Area Table 6.1-2: Types of Assets Impacted in the Project Affected Areas Table 6.2-1: Age and Gender Characteristics of Land Owners (# of owners) Table 6.3-1: Potential Involuntary Resettlement Impacts of WAGP Project in Nigeria Table 6.3-2: Assets to be Restored After Pipeline Construction Table 6.3-3: WAGP Road Crossings in Nigeria Table 6.3-4: Affected Residential and Associated Structures by Community Table 6.3-5: Affected Cultural Assets by Community Table 6.3-6: Number of Trees Affected in by Community Table 6.3-7: Summary of Agricultural Land Use in the Project Affected Areas Table 6.3-8: Crops and Trees on the Project Affected Areas Table 6.3-9: Sources of Income of Affected Households Table 6.3-10: Commercial Structures in the Affected Communities Table 6.4-1: Entitlement and Compensation Matrix Table 7.1-1: Nigeria Key Stakeholders for Land Acquisition and Resettlement Table 7.2-1: Nigeria: Community Meetings Involving RAP Discussions Table 8.2-1: RAP Monitoring Framework Table 8.2-2: Internal Performance Monitoring Milestones Table 9.1-1: Budget for Compensation, Land Acquisition, and RAP Activities in Nigeria (Planning, Construction and Operation Phases) June 2004 Nigeria Final Draft RAP Rev 1 TOC-7 Acronyms and Abbreviations Acronyms and Abbreviations CDP Community Development Program CEB Communauté Eléctrique du Bénin CNL Chevron Nigeria Limited EA External Affairs EIA Environmental Impact Assessment ELP Escravos-Lagos Pipeline ESD Emergency Shut-Down ESIA Environmental and Social Impact Assessment FEED Front End Engineering Design FGN Federal Government of Nigeria FID Final Investment Decision FOS Federal Office of Statistics ft Feet ha Hectare HDD Horizontal Directional Drilling HGA Host Government Agreement HSE Health Safety and Environment IFC International Finance Corporation IFI International Finance Institution in Inch IPA International Project Agreement km Kilometer LGA Local Government Authorities LNG Liquid Natural Gas m2 Square Meter m Meter M&E Monitoring and Evaluation NGC Nigerian Gas Company NGO Non-Government Organization NISER Nigerian Institute of Social and Economic Research NNPC Nigerian National Petroleum Corporation OPL Oil Pipeline License OPTS Oil Producers Trade Section PAA Project Affected Area PAP Project Affected Populations PCD Public Consultation and Disclosure PDP Public Display Package PNA Participatory Needs Assessment PTS Permit to Survey R&M Regulating and Metering RAP Resettlement Action Plan ROW Right of Way SIA Social Impact Assessment SNGL Shell Nigeria Gas Limited June 2004 Nigeria Final Draft RAP Rev 1 AA-1 Acronyms and Abbreviations SOBEGAZ Société Béninoise de Gaz S.A. SOTOGAZ Société Togolaise de Gaz S.A. SPDC Shell Petroleum Development Company VRA Volta River Authority VSAT/SCADA Very Small Aperture Terminal /Supervisory Control and Data Acquisition WAGP West African Gas Pipeline WAGPA West African Gas Pipeline Authority WAPCo West African Pipeline Company June 2004 Nigeria Final Draft RAP Rev 1 AA-2 Executive Summary Executive Summary Introduction The West African Gas Pipeline Company Ltd. (WAPCo)1 intends to construct a 688.6km onshore and offshore gas pipeline transmission system that will deliver natural gas from Nigeria to markets in Benin, Togo, and Ghana, known as the West Africa Gas Pipeline Project (WAGP). The WAGP pipeline route will start from the Alagbado "Tee" near Itoki, to Lagos Beach Compressor Station and then continue south to the shoreline crossing at Badagry Beach. From the shore crossing in Nigeria, the main trunk of the offshore pipeline will terminate at the Takoradi Thermal Power Plant in Takoradi, Ghana. Gas delivery laterals from this main pipeline route will continue to regulating and metering (R&M) stations in Cotonou, Benin; Lomé, Togo and Tema, Ghana respectively. The project will provide important environmental, socioeconomic and development benefits for Nigeria, as well as other participating countries (Benin, Togo, and Ghana). A more secure regional energy supply will be created for power generation or direct use for industrial and non-industrial consumers, including the poor. The construction of the pipeline and associated facilities would increase short-term employment opportunities in the surrounding areas. Lastly, the development of a new fuel source would lead to secondary economic development in the region and thus create new employment, healthcare, and education opportunities for affected communities at large. Land acquisition and resettlement impacts The WAGP project used the World Bank's Impoverishment Risks and Reconstruction Model (IRRR) to identify degrees of potential impact on the population in Nigeria. These risks include (i) landlessness; (ii) homelessness; (iii)loss of access to common property resources; (iv) joblessness; (v) food insecurity: (vi) increased morbidity; (vii) community disarticulation; and (viii) marginalization. Overall, land acquisition and resettlement impacts of the project are modest and concern primarily to low levels of risks associated with landlessness and homelessness. In Nigeria, the project requires the acquisition of less than 144 hectares. Because of the linear nature of the project, this small amount of land is spread among 23 communities of two western states of the country ­ Ogun and Lagos. They include Itoki, Ijoko, Alade, Owode, Ajibode, Ewupe, Atuwara, Abule Benja, Igbo Oloye, Arobieye, Abiola, Okoomi, Ore 1WAPCo is a joint venture company formed to construct, maintain, and operate the pipeline. The company is a partnership between Chevron Nigeria Limited (CNL), Nigerian National Petroleum Corporation (NNPC), the Shell Petroleum Development Company (SPDC) of Nigeria Limited, Société Beninoise de Gaz S.A. (SOBEGAZ), Société Togolaise de Gaz S.A (SOTOGAZ), and the Volta River Authority (VRA). June 2004 Nigeria Final Draft RAP Rev 1 i Executive Summary Akinde, Edu, Agbara, Igbesa (Agotutun), Ilogbo Ijobun, Ilogbo Eremi, Agunmo, Araromi Ale, Imeke, and Ajido. A total of 1,557 private landowners and 928 tenants will lose a small portion of the total holdings they own and/or cultivate. The estimated number of people who live in the affected families of owners and tenants is 8,647. Owners lose less than 4-6 percent of their total land holdings. The income loses attributable to loss of land are less than 2 percent of total household income. About 143 residential plots are affected; on 37 of these there are fully constructed homes. The land acquisition will be based upon a legal framework consistent with the International Project Agreement, Nigerian laws and regulations, as well as international standards outlined in the World Bank Group Operational Policy (OP) 4.12. All affected immovable assets have been inventoried. Accordingly, about 2,578 registered land plots containing 10,212 segments with different land use characteristics (particularly regarding crops and trees) will be partially affected. A census containing the names, addresses and other characteristics of affected landowners and tenants has been prepared. Of the total 2,485 affected people all have been contacted both by the Estate Surveyors contracted by WAGP and responsible for the land and asset inventory as well as by independent surveyors that the affected populations have hired to represent them. Land acquisition and resettlement strategy The affected people were provided with two options: in-kind or cash compensation. The affected people opted for cash compensation for all assets. Consistent with the principles outlined in OP 4.12 and based upon the request of the affected people, the project will acquire land on a willing-buyer/willing-seller principle. Farmers will be compensated for both immovable assets and for the standing crops. At the request of the people, affected trees, wells, water tanks, fishponds as well as cultural assets such as family shrines and graves, the compensation will be made in cash. Offer was also made to help remove affected cultural assets. This constitutes the basic principle of the resettlement action plan (RAP). In compliance with OP 4.12 and in order to minimize land acquisition and thus avoid physical and economic dislocation of the affected population, several measures were adopted: (a) the ROW and the site of the Compressor Station have been chosen among four different alternatives to impact only a few residential structures; (b) the ROW width has been kept to the minimum of 25 meters; (c) the construction of access roads to the pipeline has been avoided; (d) replacement land within the affected communities has been identified; (e) arrangements have been made to ensure that lands leased for temporary camps and storage facilities will be chosen from plots unsuitable for cultivation or returned to their original owners after proper restatement for cultivation; (f) construction plans limited the extent of clearing so as to retain as much productive land as possible; (g) provision has been made for allowing cultivation of crops up to the ROW border to limit permanent crop loss. June 2004 Nigeria Final Draft RAP Rev 1 ii Executive Summary Information and consultation for RAP preparation The planning for resettlement has involved screening, scoping of key issues, and data collection through the Estate Survey and Valuation Assessment conducted in September 2003. The Estate Survey aimed at determining exact land demarcations, clarifying land access issues, and recording the pattern of ownership and use of all the 2,578 partially affected plots. Valuation and assessment of properties to be acquired by the WAGP project was based on inflation adjusted oil industry specific rates for the land (OPTS)2. Information additional to the Estate Survey was obtained from the household and community surveys incorporated in the Environmental and Social Impact Assessment (ESIA) of the project. ESIA household survey was based on a sample of 510 households of which, 163 will either lose land to the project or live in close proximity to the pipeline and will thus be directly impacted. The socio-economic characteristics of this group of 163 households were analyzed to better understand the project impacts. Censuses as well as other demographic and qualitative data were also used to prepare the RAP. WAGP conducted broad consultations with the local communities and other key stakeholders to inform them of the project and to establish an adequate process of community participation and disclosure. These consultations as well as in-depth and focus group interviews held in the context of ESIA have further informed the RAP preparation. Key characteristics of affected populations The analyses of the Estate Survey showed that: · The majority of the affected households are landowners; · Female land owners constitute a smaller portion of the affected people, and lose less land than the men. Affected female owners lose an average of 433 sqm land to the project; the respective number for male owners is 921sqm; · Age specific vulnerabilities are not visible. However, there are indications that the elderly are over-represented among the landowners in some communities; · Most of the affected land is used for agricultural purposes and the affected households have a high degree of reliance on agriculture; · Both subsistence and commercial crops are grown on different segments of the affected plots; 2OPTS ­Oil ProducersTrade Section. June 2004 Nigeria Final Draft RAP Rev 1 iii Executive Summary · Although no forest or pasture lands are to be affected, households will lose a considerable number of hardwood and softwood trees used for agricultural, commercial and medicinal purposes; · Only a few residential plots are affected; most of buildings on land are in the process of construction; · Water resources such as fishponds and streams are found in few of the affected plots. After construction, the hydrological regimes will be restored to pre-construction conditions to avoid adverse impacts; and · All affected households prefer cash compensation, despite being offered in-kind compensation based on land-for-land arrangements; The analyses of the ESIA socio-economic surveys showed that: · A large proportion of the directly affected households are rural, and the majority of them have been living in the same community since they were born; · Agriculture is the most important income generating activity for both the communities in general and for the directly affected households. About 72 percent of the directly affected households engage in subsistence agriculture while 43 percent grow commercial crops. Most households define themselves as self-employed agricultural workers, and indicate that they are highly dependent on access to land; · Livestock management is not widespread among the directly affected households, although a significant portion of them keep poultry and sheep; · There is no significant difference between the directly affected households and other members of their communities in terms of ethnic origin. Similar procedures for land acquisition will apply across all ethnic groups; · Education and literacy rates are high among the population in the affected areas, thus facilitating the dissemination of information regarding the project; · Directly affected households are more likely than others to be reliant on the income- earning abilities of only one or, at the most, two household members. Other households in affected communities tend to have more than two people earning incomes. Thus, temporary work opportunities offered by the project may appeal to the directly affected households; · The reported income levels are low, but despite this affected households have good access to basic infrastructure and consumer items; · There is no significant difference between the directly affected households and others with regard to ownership of household and transport assets. Therefore, if the directly June 2004 Nigeria Final Draft RAP Rev 1 iv Executive Summary affected households opt to obtain land elsewhere, or relocate their homes, they will not be disadvantaged in comparison with other members of their communities; and · Households in surveyed communities view the project in a positive light, mainly due to its expected employment impact as well as benefits to be accrued during the operation of the pipeline. Determination of entitlements and compensation levels According to the Entitlement and Compensation Framework prepared for the WAGP project in Nigeria, compensation will be provided to two categories of the affected population: (a) the landowners, including the absentees; and (b) the tenants. For the loss of land, crops, and structures WAGP will provide cash compensation based on a willing-buyer/willing-seller model. All land acquired and assets impacted as a result of the WAGP project will be compensated through a negotiated agreement. According to the OP 4.1.2 cash compensation for lost assets is appropriate where (i) the acquired land is a small fraction of the affected land and thus the residual remains economically viable; (ii) active markets for land and housing; and (iii) livelihoods are not land-based and thus the impact is indirect. These conditions for payment of cash compensation are largely met in Nigeria. There appears to be an active land and housing market in and around the affected communities exist. Despite reliance of households on agriculture, only a small fraction of family holdings and incomes are affected by the project. The negotiations for compensation for land were based on the 1998 OPTS3 rates established by the Government for the oil sector. These rates are multiplied by 10 and then further increased by 50-75 percent to reflect inflation adjustment and restoration of lost incomes. Affected crops and trees, as well as structures will receive 50-75 percent over the1998 OPTS rates. The entitlements for tenants are limited to affected crops and trees. Tenants will also receive 50-75 percent over the 1998 OPTS rates for standing crops. Both tenants and landowners will pay all transaction costs, including the fees for the estate surveyors who represent them, out of the lump-sum compensation payments they will receive from WAGP. WAGP held broad consultations with local communities and other key stakeholders such as community leaders and public officials to ensure that the entitlements and the compensation levels established are accurate and appropriate. The land plots identified by Estate Surveyors for acquisition were publicly announced and displayed to verify entitlements. Negotiations for compensation were held with several estate agents that people chose to represent them. Choices for in-kind versus cash compensation were also presented through these agents to all affected parties. 3OPTS ­ Oil Producers Trade Section June 2004 Nigeria Final Draft RAP Rev 1 v Executive Summary RAP implementation arrangements and organizational responsibilities Responsibilities for the commitments proposed in the RAP reside within WAPCo and are delegated internally and to qualified contractors such as Estate Surveyors. A well defined organizational structure exist with all units and staff assigned to specific roles associated with the process of RAP impact minimization, census and inventory preparation and confirmation, consultation and feedback, compensation negotiations, land acquisition and registration, as well as monitoring and reporting. Various departments of WAPCo are involved in the implementation of resettlement activities, under the overall guidance of the office of the Project Director who reports directly to the WAPCo Managing Director. A special unit referred as the RAP Management Team works with the Project Director to ensure RAP implementation as well as to carry out the internal monitoring. Within the Team, the core responsibilities of the RAP work rests with the Community Relations staff. They responsibilities of the individual departments include the following and are spread over the RAP process beginning with the identification of alternatives routes/sites to resolution of disputes: · External Affairs (EA) is currently responsible for facilitating liaison with communities as well as government agencies to facilitate stakeholder consultations throughout the life of the project. Following FID the Government Relations reps will report to WAPCo General Manager, Corporate Affairs, with Community Relations maintaining it's reporting relationship to the Project Director · Health, Safety and Environment submits Estate Survey and socioeconomic surveys as part of the EIA and RAP approval process, including public notification and public hearings; · Engineering identifies alternative project sites and pipeline routes, contracts and supervises Estate surveyors, works with landowners and tenants on verifying their titles and conducts negotiations on compensation payments; · Legal provides advice to the WAPCo team, including verification of power of attorney and drafting of legal agreements with affected parties; and · Accounting processes payments to the affected people. In addition, a number of the central and federal government agencies have legal responsibilities in the implementation of the RAP. They include State Ministry of Lands and Housing, Bureau for Lands and Survey, Office of State Surveyor General, Town Planning Division, Forestry Research Institute of Nigeria, Department of Petroleum Resources, State Ministry of Tourism/Tourism Board, as well as local government councils and traditional leadership. June 2004 Nigeria Final Draft RAP Rev 1 vi Executive Summary RAP Monitoring Both internal and independent external monitoring and evaluation arrangements, including impact studies have been designed and fully funded. For external monitoring purposes an independent Expert Panel will be created. This Panel will also review RAP performance in other countries falling under the project. June 2004 Nigeria Final Draft RAP Rev 1 vii Executive Summary Entitlement and Compensation Matrix4 Project affected Type of Loss Asset Replacement Income Stream Restoration Other Entitlements and Notes people Property Loss of land Provision of land nearby with similar Land will be prepared for cultivation If cash compensation option is Owners characteristics; or the negotiated compensation is selected, the lump-sum payment will assumed to include cost of land include all relevant taxes, fees, OR preparation to allow them do the transaction costs; these will not be Cash compensation for land (valued work; paid out separately; according to 10 times the OPTS rates plus 50-75 percent) and agreed upon Standing trees will be compensated in If replacement land offered in the based on willing-seller/willing-buyer cash; vicinity of the lost land is not arrangements. All other immovable assets on acceptable to the affected households affected land (such as barns) will be cash will be offered based on willing- compensated in cash unless affected buyer/willing-seller arrangements; households ask for assistance in re- Farmers will be provided with the top constructing or otherwise replacing soil taken from the 25 meter pipeline these assets; corridor; Expected income stream from the The corridor will not be fenced. affected asset is assumed to be People will be free to use the corridor included in the negotiated to access different parts of their farm compensation to the owner. and/or their work (school, or other Affected people that prefer cash social facilities); compensation will be informed that The corridor will be leveled and be cash compensation fully covers all put into the pre-project conditions to expenses of replacement land whether allow passenger and light farm or not they actually chose to buy such machinery or light transport; land. Compensation will be paid directly to the affected people. 4The summary of entitlements provided in this matrix is expanded in Chapter 6. June 2004 Nigeria Final Draft RAP Rev 1 viii Executive Summary Entitlement and Compensation Matrix4 Project affected Type of Loss Asset Replacement Income Stream Restoration Other Entitlements and Notes people Loss of Cash compensation at 50-75 percent Income stream from attached garden / If cash compensation option is residential above OPTS rates from 1998; yard will be provided, based on crop selected, the lump-sum payment will structures valuations; include all transaction costs; these (completed) OR will not be paid out separately; Provision of similar structure located Affected people that prefer cash elsewhere. compensation will be informed that Compensation will be paid to affected cash compensation fully covers all people directly. expenses of replacement structure whether or not they actually chose to buy such structure. Loss of fish No significant impact is expected. Income streams may be affected only Contractors' contracts will include a ponds The pipeline will pass through the in accidental situations. clause for case-by-case evaluation for ponds or under streams. lost income stream and compensation (especially in the Badagry Creek area). Loss of trees Cash compensation for the timber Loss income stream from trees is If cash compensation option is value of lost trees; included in the negotiated selected, the lump-sum payment will compensation. include all transaction costs; OR Should the landowners desire, seeds Compensation will be paid directly to and seedling will be provided instead the affected people. of cash. Tenants Loss of access to Not applicable, unless they have Assistance in finding replacement If cash compensation option is land and installed wells, hand pumps, informal land of like kind and in leasing this selected, the lump-sum payment will associated irrigation schemes, sheds, etc on the land; include all relevant transaction costs. income and land as per agreement with owners. livelihood OR generating One-time cash payment for standing opportunities crops and for any assets they have claims for. June 2004 Nigeria Final Draft RAP Rev 1 ix Executive Summary Entitlement and Compensation Matrix4 Project affected Type of Loss Asset Replacement Income Stream Restoration Other Entitlements and Notes people Loss of standing Cash compensation. Not applicable If cash compensation option is crops present on selected, the lump-sum payment will land at time of include all transaction costs; WAGP land acquisition Compensation will be paid directly to the tenants. Local Loss of Provision of land nearby with similar Not applicable Cash compensation options will be community at communal lands characteristics; discussed with the local government large and royal / councils (village chiefs.) traditional lands OR Cash compensation. Loss of shrines, Pipeline re-routing; Not applicable Payment will be made for the loss of graves and other use of land, and shrines will be cultural assets OR relocated at the new place, purchased Moving the shrines to a new location, by WAPCo and acceptable to the acceptable to communities; households / community affected; OR If the affected households / community opts to receive cash Cash compensation. compensation instead of removal and restatement, case-by-case compensation arrangements will be made. . June 2004 Nigeria Final Draft RAP Rev 1 x Chapter 1 Chapter 1 Introduction This Resettlement Action Plan (RAP) describes the framework and procedures that the project proponent will follow in the acquisition of and compensation for land and assets, both permanent and temporary, in the Nigerian portion of the West African Gas Pipeline Project (WAGP). The RAP describes the Project's land acquisition and compensation principles as well as procedures and progress made through May 2004. 1.1 Brief Description of Project The West African Gas Pipeline Company Ltd. (WAPCo) intends to construct a 688.6 km (428 mile) gas pipeline transmission system, onshore and offshore from Nigeria to Ghana. The pipeline will deliver natural gas from Nigeria to markets in Benin, Ghana, and Togo. WAPCo is a joint venture company formed to construct, maintain, and operate the pipeline. The company is a partnership among Chevron Nigeria Limited (CNL), Nigerian National Petroleum Corporation (NNPC), The Shell Petroleum Development Company (SPDC) of Nigeria Limited, Société Beninoise de Gaz S.A. (SOBEGAZ), Société Togolaise de Gaz S.A (SOTOGAZ), and the Volta River Authority (VRA). The partnership of these companies was formerly known as the "Joint Venture" or the "Commercial Group." The proposed pipeline route is shown below in Figure 1.1-1. The pipeline will start in Nigeria from a connection at an existing Escravos-Lagos Pipeline (ELP) junction at the Alagbado "Tee" near Itoki to a beachhead in Ajido, near Badagry.1 Lateral connections will extend from the offshore trunk to intermediate locations in Benin, Ghana, and Togo. From the "Tee," the pipeline route would proceed 56km south to Lagos Beach Compressor Station, and continues an additional 2km south to the shoreline crossing at Badagry Beach. Thus, the total length of the pipeline would be 58km. The first 4km of the onshore pipeline route will parallel existing Rights of Way (ROW) belonging to NGC and Shell Nigeria Gas. The next 32km, the WAGP ROW will run adjacent to the Shell Nigeria Gas pipeline ROW. From there to the Lagos Beach Compressor Station, a distance of about 18km; and from there 2km to the shoreline downstream of the Compressor Station after crossing Badagry Creek, the pipeline will be constructed on land previously unoccupied by or adjacent to any pipeline ROW. 1The ELP is owned by Nigerian National Petroleum Corporation (NNPC) and operated by the Nigerian Gas Company (NGC), a subsidiary of NNPC. June 2004 Nigeria Final Draft RAP Rev 1 1-1 Chapter 1 Figure 1.1-1 West African Gas Pipeline Project Route June 2004 Nigeria Final Draft RAP Rev 1 1-2 Chapter 1 Figure 1.1-2 Pipeline Route in Relation to "Tee" and Compressor Station ± Alagbado Tee Proposed Location of Isolation Valve Proposed Pipeline Route Compressor Station Location Kilometers 0 2.5 5 7.5 10 June 2004 Nigeria Final Draft RAP Rev 1 1-3 Chapter 1 The Lagos Beach Compressor Station will be built to boost gas pressure for transmission offshore. Gas compression will initially occur only in Nigeria but provisions are being made in the design of the transmission system for expansion of compression capability in the future through the possible installation of midline compression facilities at Lomé, Togo as well as additional compressors at the Lagos Beach Compressor Station. Should requirements necessitate extending the pipeline past Takoradi, Ghana, compression facilities can be installed later at Takoradi. While the initial design calls for the Lagos Compression Station, a temporary bypass pipeline will be installed around the Compressor Station to expedite initial gas deliveries to customers while the construction of the permanent station bypass and compressor station is completed. This will allow a minimal flow of gas to downstream customers. Based on anticipated delivery rates and pressures from the upstream ELP system, delivery rates in the range of 30 to 60 million standard cubic feet per day (MMscfd) will be possible without compression. Initial pipeline capacity with compression at Lagos Beach will be 190MMscfd. From the Lagos Beach Compressor Station, the gas will be transmitted through a 20in (50.8cm) pipeline offshore, a distance of approximately 15km. There the route will turn west and extend through the territorial waters of Nigeria, Benin, Togo, and Ghana, terminating at Takoradi, Ghana. The general land and residential characteristics of the project area in Nigeria are provided in Table 1.1-1. The main trunk of the offshore pipeline will be placed on the seafloor at an approximate distance of 16 to 26km from shore. At three locations, connections will be made from the main offshore trunk to laterals ranging in diameter from 8 to 18 inches (20-46cm), which will transmit gas to delivery points at Cotonou, Lomé, and Tema. In Cotonou, the onshore part of the lateral will extend a distance of approximately 5km to the regulating and metering (R&M) station. WAPCo will also construct a link line from this R&M station to a foundation power-generation customer located 9.5km to the northeast. In Lomé, the onshore pipeline approach consists of approximately 0.20km to the R&M/future midline compressor station and another 0.8km link line extension to deliver gas directly to local power plants. In Tema, the lateral will extend onshore only 0.52km to an R&M station. In Takoradi, the onshore length of the main trunk is 0.90km. As summarized in Table 1.1-1, the project's land acquisition and resettlement impacts in Nigeria are modest. A total of 144 hectares of land will be acquired, affecting 1,557 owners and 928 tenants. All owners, resident and absentee, have been identified and informed. Of the 143 residential structures affected, many are under construction, with only 37 completed and most of the remaining with foundations laid. There are 1,557 households owning at least one parcel of land that will be either entirely, or more often partially, acquired by the project. In this RAP the term "plot" is referred only to the land to be acquired by the project. June 2004 Nigeria Final Draft RAP Rev 1 1-4 Chapter 1 Table 1.1-1: General Land Characteristics of the WAGP Project Area in Nigeria Length/ROW Width of Pipeline Onshore 58km-long and 25m-wide corridor Area of Permanent Compressor Station2 8.5 ha Alagbado Tee 0.31 ha Total Land Affected by the 25-meter Corridor 1353 ha Number of Affected Plots and Land Segments4 2,578 plots/ 10,212 segments5 Number of Communities Affected 23 Number of Affected Districts/States 4 local government areas (LGA), 2 in each state/2 states Number of Affected Households (including private Private owners: 1,557 landowners and tenants) Tenants: 928 Residential Structures 143 Affected Forest None Affected Pastures None Affected Croplands 133.3 ha Fishing Streams Affected 0.8 ha New Access Roads Constructed None Midline block valve stations: 1 Other Facilities Pipe yards (temporary): 2 Construction camps (tentative): 1 Over 90 percent of the affected landowners will lose only one plot and 7 percent will lose two plots to the project. Each owner of a plot or plots to be acquired has an average of 4 segments of land with different crop characteristics.6 Therefore, there are 10, 212 segments within plots to be acquired by the project 2The land for the proposed site for the Compressor Station belongs exclusively to one family with several brothers. 3Although a 58km by 25m corridor indicates 140 hectares, in certain segments the corridor will be narrower; thus the total area affected by the corridor will be even smaller. The Estate Survey data covers both the corridor and the other facilities and indicates that a total of 143.7 hectares of land will be acquired. 4The Estate Survey and Valuation Assessment provides information only on the plots that will be acquired by the project rather than on the total land holdings of affected families, a portion of which will be acquired by the project. The 2,578 plots are actually portions of family holdings. The segments within plots represent different land uses, recorded by Estate Surveyors to assist in evaluating the plots. 5Since the distinction is among the different uses of land, the number of land segments affected is far greater than the number of unique owners and users (tenants) of land. The total of land segments also includes 17 that were under a dispute at the time of the Estate Survey. However, the WAGP indicated that these disputes have been resolved since then. 6For instance, one plot may be divided into 4 different segments, each accommodating a different type of asset such as a house, timber trees, fruit trees, and a fish pond. Also, of these 4 segments, one may be cultivated by someone else, referred to as a `tenant' for purposes of data. June 2004 Nigeria Final Draft RAP Rev 1 1-5 Chapter 1 1.1.1 Value of the Project The capital investment of the WAGP project is estimated at US$500 million. The total cost of the pipeline construction in Nigeria alone is estimated to be US$117.8 million. It is projected that an additional US$600 million would be invested in secondary development of new power generation facilities or upgrades of existing facilities in Benin, Ghana, and Togo (Energy Information Administration, 2003). A number of potential benefits resulting from the proposed WAGP project have been identified; and the environmental, social, and economic benefits are summarized below. 1.1.1.1 Environmental Benefits The WAGP project would improve the regional environment by meeting energy needs with cleaner-burning natural gas instead of less desirable fuels, thereby reducing the amount of air pollution produced, particularly greenhouse gas emissions. Compared to the average air emissions from oil-fired generation, natural gas produces 20 percent less carbon dioxide, less than one percent as much sulfur oxides, and less than half as much nitrogen oxides. Even more significant, the collection of natural gas for end-use would reduce pollution associated with open-flare gas burning now ongoing in Nigeria. The use of currently wasted natural gas as an energy source will reduce greenhouse gas emissions, resulting in global climate change benefits. WAPCo has conducted a separate greenhouse gas analysis to quantify the carbon dioxide reduction benefits of the proposed project. 1.1.1.2 Social Benefits The WAGP project would provide a more secure regional energy supply via power generation or direct use for industrial and other institutional consumers. Households, including those who are poor, will also benefit from enhanced electrical energy availability. The project would also accelerate regional integration and enable sustainable development. The construction of the pipeline and infrastructure would increase short-term employment opportunities in the surrounding areas. Lastly, the development of a new fuel source would lead to secondary economic development in the region and thus create new employment, healthcare, and education opportunities for affected communities. 1.1.1.3 Economic Benefits Energy is a vital component of economic growth. The WAGP project would provide a lower- cost, sustainable fuel (and electricity-generation) solution for Benin, Ghana, and Togo. The produced gas would provide fuel for both existing and planned independent power plants, and for industrial and commercial consumers. WAGP would also create a new tax and tariff revenue stream, which would increase tax receipts in all the countries. In addition, the WAGP project would provide infrastructure that would act as a trigger for stimulating direct foreign investment in new and existing West African industries, as well as providing trade opportunities. The provision of a market and a financial return for natural gas currently being wasted will provide an infusion of funds into Nigeria, resulting in positive economic benefits in that country. June 2004 Nigeria Final Draft RAP Rev 1 1-6 Chapter 1 1.1.1.4 Project Proponent The project developer and project proponent for the WAGP Project is the West African Gas Pipeline Company Ltd., or WAPCo. WAPCo is a separate, stand-alone business entity formed by the consortium of companies known originally as "the commercial group." Shares in the company are distributed among its partners ­ CNL, NNPC, SPDC, VRA, SOBEGAZ, and SOTOGAZ7.WAPCo, through formal project management and construction management agreements, is responsible for the overall monitoring of land acquisition and resettlement. 1.2 Project-Affected Peoples and Areas The WAGP pipeline runs through the Lagos and Ogun states, bisecting 23 communities. Building the pipeline will require acquisition of 144 ha of land necessary for the Right-of-Way (ROW), Compressor Station and other associated facilities. Because the land taken in a given area along the pipeline route involves only a narrow 25 meter-wide strip, the project affects relatively few households in most localities. As planned, the 58 kilometers of pipeline and associated facilities onshore pass through 23 communities and involve over 10,212 land use segments (Table 1.2-1). Fourteen of the 23 affected communities have a combined total population of about 58,000 people. Information on the total population of the remaining nine communities is not available, but it can be assumed that a total of about 90,000 live in all 23 communities. This group is referred to as the project- affected population. By contrast, the directly affected population includes only those households whose plots are going to be acquired for the project. Table 1.2-1 shows 2,485 households of landowners and tenants have approximately 8,647 persons living in them8. They comprise 9 percent of the affected communities. An average affected household will lose 4-6 percent of its total land holding. In other words, including the tenants, a modest number of people in the relevant communities will be affected through the land acquisition activities; and the average impacts on affected households are modest. 7The shares in the company are distributed among CNL(36.7 percent), NNPC (25 percent), SPDC (18 percent), VRA(16.3 percent), SOBEGAZ (percent)and SOTOGAZ (2 percent) 8According to the ESIA, the average household size in the affected area is 3.48. June 2004 Nigeria Final Draft RAP Rev 1 1-7 Chapter 1 Table 1.2-1: WAGP Project-Affected Populations9 Percent of Population of Affected # of Affected Affected Owners11 in Population- Land # of Affected Landowner each Community 2003 Segments Landowners Households10 Community12 Ajibode 604 74 9 31 5.1 Ajido13 4,846 220 40 139 2.9 Alade 3,910 156 26 91 2.3 Araromi Ale 1,961 149 26 91 4.6 Arobieye 161 179 23 80 49.7 Ewupe 465 169 15 53 11.4 Igbesa 17,905 4,857 874 3,042 17.0 Ijako 11,285 39 5 17 0.2 Ilogbo Eremi 5,381 369 26 8 0.1 Imeke/Agemowo 3,424 252 36 126 3.7 Itoki 420 253 65 227 54.0 Itori 6,188 210 22 77 1.2 Oloya/Abiola 293 370 4 14 4.8 Owode 708 73 17 60 8.5 Remaining 9 N/A14 2,842 369 1,284 N/A Communities Total for 14 57,956 7,370 1,188 4,134 9.2 Communities Total for All 90,000 10,212 1,557 5,342 N/A Communities There are 2,485 potential claimants (Table 1.2-2) for the directly affected individual land plots; 63 percent of the claimants are landowners while the rest tenants. 9 The table does not contain information on all 23 affected communities since population figures were not available for some communities. 10 According to the project ESIA, the average household size is surprisingly low: 3.48. Thus, an estimate of the directly affected number of people is made by multiplying the individual owners by the average household size. 11 Numbers refer to landowning household populations only. 12 Calculated using 2003 population data. 13 The total number of segments in Ajido includes those located in the Lagos Beach Compressor Station site. . 14National Census data is not available. June 2004 Nigeria Final Draft RAP Rev 1 1-8 Chapter 1 Table 1.2-2: Landowners and Other Claimants # of Households With a Of Which Total Number Compensation Claim of Tenants Ajibode 11 2 Ajido 52 12 Alade 33 7 Araromi Ale 54 28 Arobieye 33 10 Egushi Benja 31 7 Etere 14 12 Ewupe 36 21 Idagha Iyeshi 36 22 Igangbo Igbereb 29 18 Igbesa 1,160 286 Igboloye 149 98 Ijako 6 1 Ijaliye 15 10 Ijoko 176 18 Ilogbo Eremi 89 63 Imeke/Agemowo 56 20 Isorosi 10 5 Itoki 88 23 Itori 44 22 Okoomi 237 138 Oloya/Abiola 102 98 Owode 24 7 Total 2,485 928 Source: Nigeria Estate Survey. 2003. The Estate Survey shows that out of 144 hectares of land that will be acquired in Nigeria, the largest number of affected land segments and the largest land area affected between the ROW and compressor station is in Igbesa. The largest average land loss per segment is in the Oloya/Abiyola Community (Figures 1.2-1 and 1.2-2). Examination of the information available for a select number of directly affected communities shows that the pipeline impacts a varying proportion of community residents as it passes through relatively densely populated urban and rural areas. Table 1.2-1 also shows relatively modest population increases for most affected areas, except Igbesa, Ijako, and Itori. An estimate of the number of people that will be affected by the project shows that outside of two areas, a small portion of the community residents will be affected. For instance, about half the population in Arobieye and Itoki are likely to be affected by the project because someone in their family owns land, a plot of which will be acquired by the project. June 2004 Nigeria Final Draft RAP Rev 1 1-9 Chapter 1 In Igbesa Community, the average size of lost land segments is only 274 m2 (the smallest average) although a much higher number of land use segments is lost. In other words, in some areas each plot contains many different land segments (with different characteristics) while in other areas most plots may be under one crop or left fallow. The Estate Survey data shows that many families have several land segments with different characteristics that will be acquired by the project. Thus, the number of land segments affected is far greater than the number of owners. The number of plots given here represents individually owned land parcels to be acquired for the project. Within the plots are land segments with different types of crops or structures on them. The status of tenants and the conditions of tenancy are somewhat unclear, but whether an owner or a tenant cultivator, each individual with a claim on a plot has been carefully recorded.15 Given the small number of disputed land segments, the communities clearly identify entitlements of both owners and cultivators, whether or not they own a plot. Some `tenants' may indeed have lease arrangements with owners while most appear to be family members.16 Nevertheless, the claims of each household for the standing crops or other assets are recognized, as are the ownership rights. Table 1.2-2 shows that 2,485 households have claims against the land permanently needed for the project. Of these, most (1,557) are owners/cultivators, and 928 are cultivators with no ownership claims. Given the small amount of land needed for the project, the high number of claimants together with over 10,000 land segments to be separately assessed and compensated creates a significant challenge for the project land acquisition team. Nevertheless, the work has been completed, and agreements can be completed for willing-buyer/willing-seller arrangements once the Final Investment Decision (FID) is declared (Chapter 5). Table 1.2-3 and Figure 1.2-1 indicate the area and number of the land segments to be acquired in each community. The highest level of acquisition will occur in Igbesa where about 26 hectares of land in over 4,000 segments will be lost to the project. In general, the level of loss per community is extremely small, ranging between 1.4 and 14 hectares. In each community, however, plots to be acquired consist of many segments, owned and/or cultivated by many different families. An average household losing land to the project will be deprived of a small land area of 700 square meters, but owns about 1.7 hectares (Chapter 4). The Estate Survey indicates that the large majority of affected plots are owned privately. In some cases, a family is identified as the owner although the name of the person cultivating the land is indicated to allow the identification of direct livelihood impacts. In fewer cases, the affected plots belong either to communities or to clans/lineages. 15 On agricultural land, the African traditions of communal holdings prevail so that many people are their `brother's keeper.' Many urban settlers have land and they allow their neighbors in the village to farm without charging rental. This helps avoid encroachment by strangers. Some owners charge rent. The payments range from 6,000 Naira (or $45) per annum to 5 percent of the produce. Some tenants cultivate and tender a portion of the land for the owner. 16 The Estate Survey recorded every claim in detail for each segment of each plot. From the review of owner and claimant names on each of the 10,212 segments, it is clear that while a member of the family is the owner, other members are cultivators. June 2004 Nigeria Final Draft RAP Rev 1 1-10 Chapter 1 Table 1.2-3: Area and Number of Affected Segments Total Area of Land to be Village or Community Acquired for the Project Number of Affected (ha) Land Segments17 Idagha Iyeshi 2.410 83 Ajibode 1.845 74 Ajido 5.420 219 Alade 4.020 156 Araromi 6.117 148 Arobieye 3.762 179 Egushi Benja 4.571 151 Etere Community 1.125 58 Ewupe 4.933 169 Igangbo Igbereb 2.660 156 Igbesa 26.493 4,847 Igboloye 6.523 667 Ijako 1.388 39 Ijaliye 2.965 61 Ijoko 9.252 605 Ilogbo Eremi 13.457 369 Imeke/Agemowo 12.251 252 Isorosi 0.748 65 Itoki 3.510 253 Itori 3.204 210 Okoomi 12.736 990 Oloya/Abiola 4.533 370 Owode 2.145 73 Total 143.727 10,194 Source: Nigeria Estate Survey, 2003. 17The total number of land segments is 10,212. Slightly different numbers may appear on the text and the tables because of missing numbers for some variables June 2004 Nigeria Final Draft RAP Rev 1 1-11 Chapter 1 Figure 1.2-1: Number of Affected Land Segments by Community18 Igbesa Okoomi Igboloye Ijoko Oloya/Abiola Ilogbo Eremi yt Itoki uni Imeke/Agemowo mmoc Ajido Itori Arobieye Ewupe Igangbo Igbereb Alade Egushi Benja Araromi Ale 0 1000 2000 3000 4000 5000 number of affected land plots Source: Nigeria Estate Survey, 2003. Figure 1.2-2 illustrates that the highest average land loss occurs in Oloya/Abiola, even though the total area of land lost is not very high. Table 1.2-4 illustrates the characteristics of the affected land segments. Most of the affected land is used for agricultural purposes, although a total of 85 affected land segments contain cultural assets such as churches and shrines, and 143 plots include residential structures,19 some of which had been completed and others of which were still in the process of construction at the time of the Estate Survey in late 2003. Figure 1.2-3 illustrates the total area of land lost in each community. 18Communities with fewer than 100 affected land segments are not included in this graph. 19During the time of the Estate Survey, a cut-off point had not been established. This was done in March 2004, in accordance with the legal framework described in Chapter 3 and procedures outlined in Chapter 5. While some residential structures incomplete in 2003 could have been completed during the period between the completion of the Estate Survey and the declaration of the cut-off point, ongoing negotiations show that this has not been done. Nevertheless, if at the time of the final negotiations some homes appear to be more complete and/or contain additional immovable assets, compensation will be provided to cover these additions. This is reflected in the budget set aside for land acquisition and resettlement. June 2004 Nigeria Final Draft RAP Rev 1 1-12 Chapter 1 Figure 1.2-2: Average Area of Affected Land Segments by Community Oloya/Abiola Etere Ilogbo Eremi Ijako Ewupe Ijaliye Imeke/Agemowo esit Ajido niu m Igangbo Igbereb com Araromi Ale Isorosi Arobieye Ajibode Alade Igboloye 0 2,000 4,000 6,000 8,000 10,000 12,000 size of lost land (square meters) Source: Nigeria Estate Survey, 2003. June 2004 Nigeria Final Draft RAP Rev 1 1-13 Chapter 1 Table 1.2-4: Characteristics of Affected Land Segments Affected Assets Number of Affected Plots Trees Fruit Trees 3,528 Timber Trees 917 Crops Staple Food Crops 2,988 Commercial Crops 1,410 Timber Trees 917 Nut Trees/Bushes 789 Community Land 128 Water-Related Infra-Structures 74 Blockwork Structures 73 General Agriculture 23 Fences 24 Agricultural Structures 22 Commercial Structures 7 Hospital/Not Constructed 1 Cultural Assets 85 Churches 6 Graves 16 Praying Grounds 3 Shrines 60 Residential Buildings 143 Fully Completed Residential Buildings 37 Incomplete Residential Buildings With Foundation 63 Partially Completed Residential Buildings 43 Source: Nigeria Estate Survey, 2003. June 2004 Nigeria Final Draft RAP Rev 1 1-14 Chapter 1 Figure 1.2-3: Total Area of Land Lost by Community (ha)20 Igbesa Ilogbo Eremi Okoomi Imeke/Agemowo Ijoko Igboloye setiin Araromi Ajido mmuoc Ewupe Egushi Benja Oloya/Abiola Alade Arobieye Itoki Itori 0 5 10 15 20 25 30 total size of affected plots (ha) Source: Nigeria Estate Survey, 2003. 1.3 Resettlement Implementing Agencies There are a number of Federal Government Ministries, departments, and agencies with responsibilities for land acquisition. These include the State Ministry of Land and Housing, Bureau for Lands and Survey, Office of State Surveyor General, Town Planning Division, Forestry Research Institute of Nigeria, Department of Petroleum Resources, State Ministry of Tourism/Tourism Board, and local government councils. Consultations with the Ministry of Land and Housing are essential to avoid conflict of interests for land development purposes.21 The Bureau for Lands ensures that land use and land development plans are carried out strictly with the intent authorized by the Government. The Bureau approves the construction of the corridor and participates in the identification of appropriate land as well as in the allocation and acquisition process. Indeed, this agency issues the Certificate of Occupancy that the project would need in order to proceed with construction. 20Only those communities in which more than 3 ha of land are lost are included in this figure. 21The consultations with federal ministries and agencies are essential. Needless to say, consultation requirements make the process of land acquisition lengthy. Thus, early preparation of land acquisition activities and the launching of the consultation process were given priority by the project. June 2004 Nigeria Final Draft RAP Rev 1 1-15 Chapter 1 The State Surveyor General is the authority who issues permits for initial survey works. The Department of Petroleum Resources (DPR) enables payments for the affected people without contravening the provisions of the Land Use Act that vests the administration of the urban land in the hands of the Governor and of the rural land in the hands of the Local Government Councils. The special regulations of the oil and gas sector create a device called the "Payment for Deprivation of Use of Land" and allow the regulation of sector access to land through the OPTS rates22 (Oil Producers Trade Section). As such, the DPR is a crucial federal authority to facilitate the land acquisition process and local governments are strategic as they are the government apparatus closest to the communities. The Town Planning division ensures that the land acquisition process does not derail the established city/town plans. The Forestry Research Institute ensures that forest reserves are intact and not destroyed in the process of land acquisition for development projects. Similarly, Tourism Boards ensure that development projects and programs do not destroy established tourist attractions and cultural heritage sites. To the extent that land acquisition commonly relates to communities, the role of the Federal Government is relatively limited, with low impacts on the process, other than DPR's role described above. Nevertheless, past experience points to a relatively harmonious liaison among all levels of government with respect to large-scale investments that require land acquisition across local governments and states. The local government councils, as is the case with Ogun and Lagos states for the WAGP project, are the key authorities for administration of rural land through the Land Use Act. Traditional authorities also assume an important part in the identification of landowners and, equally important, in the resolution of ownership and entitlement disputes. For instance, the traditional Authority in Ogun State, the most prominent being the Olota of Otta, plays an important role in providing community leadership for assistance in identifying landowners as well as in the resolution of disputes. In Ogun State, the Bureau for Lands and Survey, Abeokuta is the main government agency responsible for public land matters. In Lagos State, the State Ministry of Lands and Housing, Alausa, is the main agency responsible. These agencies maintain records of landownership in the respective states and provide Estate Survey information to determine ownership as well as valuation. In both states, the Local Government Council is vested though the Land Use Act with the responsibility of the administration of rural land. The Bureau of Lands and Survey has the following process requirements prior to granting a Certificate of Occupancy: · Proposed project submits formal letter to the Bureau informing it of intention to acquire the right of way (ROW). A detailed survey map is included with the request. · The Bureau arranges for a joint inspection visit to the proposed land. 22These rates have been established in 1998 and are low. When OPTS rates were used by Shell Nigeria Gas, the communities were unhappy and conveyed this to WAGP. Therefore, WAGP will use these rates only as a starting basis for negotiations and will do so after adjusting them for inflation. The land acquisition team has been instructed to ensure that people are allowed to receive compensation that would be equivalent to full replacement rates. June 2004 Nigeria Final Draft RAP Rev 1 1-16 Chapter 1 · Following the joint visit, publication of the intention to assume the ROW is made via newspapers for members of the public to raise concerns. A notification period lasts 21 days. · A public hearing is then conducted. · Lands that belong to the Federal government are transferred to WAGP per the International Project Agreement (IPA) discussed in Chapter 3. · Private lands are transferred through willing-buyer /willing-seller arrangements. In exceptional cases where negotiations do not reach mutually satisfactory results, the laws pertaining to eminent domain will be used as described in Chapter 3. The process requirements are essentially the same for the Lagos State Ministry of Lands and Housing. In addition, a number of the central and federal government agencies have legal responsibilities in the implementation of the RAP. They include State Ministry of Lands and Housing, Bureau for Lands and Survey, Office of State Surveyor General, Town Planning Division, Forestry Research Institute of Nigeria, Department of Petroleum Resources, State Ministry of Tourism/Tourism Board, as well as local government councils and traditional leadership. As summarized above, consultations between the WAGP project management and federal, state, and community authorities are essential in each step of land acquisition for the project. Similarly, consultation and collaboration among the relevant state and federal agencies would be needed throughout the process. The local land acquisition framework as described above with respect to the Bureau requires all information be made public and public hearings be held to receive feedback from the directly affected households and communities. The local councils, supported by traditional leaders as needed, also work in collaboration with the affected people in establishing entitlements and resolving disputes. The public hearing has been completed, and no objection has been received on land acquisition. RAP implementation arrangements and organizational responsibilities Responsibilities for the commitments proposed in the RAP reside within WAPCo and are delegated internally and to qualified contractors such as Estate Surveyors. A well defined organizational structure exist with all units and staff assigned to specific roles associated with the process of RAP impact minimization, census and inventory preparation and confirmation, consultation and feedback, compensation negotiations, land acquisition and registration, as well as monitoring and reporting. Various departments of WAPCo are involved in the implementation of resettlement activities, under the overall guidance of the office of the Project Director who reports directly to the WAPCo Managing Director. A special unit referred as the RAP Management Team works with the Project Director to ensure RAP implementation as well as to carry out the internal monitoring. Within the Team, the core responsibilities of the RAP work rests with the Community Relations staff. June 2004 Nigeria Final Draft RAP Rev 1 1-17 Chapter 1 1.4 Key Issues of Involuntary Resettlement and Land Acquisition In Nigeria, the construction of the gas pipeline, compressor station, and construction camps require acquisition of about 144 hectares (ha) of land. While this is a relatively small land area, adverse impacts will occur both because households will have less land available for cultivation and because the existing plots might be severed so that efficiency of cultivation may be reduced. Some people will lose their homes, and a few others will have to relocate their businesses. As stated in the World Bank Safeguards policies (OP 4.12), involuntary resettlement in Nigeria, if unmitigated, can result in economic, social, and environmental risks to the project in several ways: · Some farmers may face impoverishment when their productive land-based assets or income sources are lost; · Water resources may be adversely affected and fisheries incomes reduced;23 · Families who lose their homes may be relocated to environments where their productive skills are less applicable and the competition for resources greater. When some families move away, kin groups may be dispersed. Families who insist on cash payments as compensation for their homes may face homelessness if they cannot use their finances effectively; · Families may lose access to markets or their jobs, including within their own farms, as a result of construction activity and road crossings by the pipeline; and · Community institutions and social networks may be weakened, especially if ownership disputes arise and families and collectives do not cushion the interests of those members who cultivate the affected plots. The above-listed risks to livelihoods exist due to potential impacts on residential patterns; landownership and use; fisheries; transport infrastructure; and common property resources. The World Bank Group policies require culturally appropriate measures to address and mitigate the impoverishment risks as well as those affecting other elements of livelihood. It is the purpose of this Resettlement Action Plan (RAP) to design and provide an implementation structure for such measures as described in various chapters of this report. 23The environmental impacts to rivers and other surface water bodies will be temporary and localized. There will be no permanent impacts. The villagers surveyed in Nigeria do not extensively fish or derive livelihoods from the rivers or wetlands along the ROW. The socioeconomic impact associated with pipeline installation across surface water bodies is therefore deemed negligible. The single exception is Badagry Creek, the estuarine creek/lagoon near the coast, but no permanent impacts are anticipated to the small amount of habitat on the shores of that creek. People do fish in Badagry Creek, so there could be a socioeconomic impact associated with any appreciable decline in fish populations in the creek, but no appreciable difference in the fish populations is expected. June 2004 Nigeria Final Draft RAP Rev 1 1-18 Chapter 1 1.5 Land Acquisition and Resettlement Plan Objectives The WAGP project will require land acquisition that may result in the loss of income sources or means of livelihood. The World Bank Operational Policy (OP 4.12) safeguards against the potentially traumatic effects of involuntary resettlement, which are considered in the RAP prepared for the Nigeria segment of the project (Annex 1). The Operational Policy on Involuntary Resettlement applies when "taking of land results in relocation or loss of shelter, loss of assets or access to assets, or loss of income sources or means of livelihood, whether or not the affected persons must move to another location" (OP 4.12, 204: 2). As such, the Nigeria part of the WAGP involves involuntary resettlement and will be planned and implemented according to the requirements of the relevant policy. The RAP planning in Nigeria involved screening; scoping of key issues; and data collection through socioeconomic surveys and asset inventories. In preparing the resettlement plan, social, technical, and legal experts as well as community-based organizations have been consulted. People have been informed of their choices and been assured of "prompt and effective compensation at negotiated replacement cost for losses of assets attributable directly to the project." Planning efforts and implementation arrangements have been based on principles that comply with OP 4.12 so that the project has: · Minimized involuntary resettlement and land acquisition by exploring alternative corridor routes; · Minimized involuntary resettlement and land acquisition by considering alternative sites for compressor station and other permanent facilities; · Avoided building new access roads and disrupting traffic on existing highways and roads; · Avoided adverse impacts on ponds and streams through which the pipeline will pass; · Guaranteed that all affected households were given an option so that they could choose between land-for-land arrangements versus cash compensation based on negotiated replacement costs; · Ensured that no construction activity start prior to full cash compensation paid to affected people based on negotiations and willing-buyer/willing-seller arrangements;24 · Ensured that impacts on water resources and transport infrastructure would be temporary and minimal with no adverse income and livelihood impacts; · Expressed willingness to assist displaced persons in their efforts to improve their livelihoods and standards of living and organized resettlement activities as sustainable development 24OP 4.12 states that "cash compensation for lost assets may be appropriate where (a) livelihoods are land- based but the land taken for the project is a small fraction of the affected assets and the residual is economically viable; (b) active markets for land, housing, and labor exist...or (c) livelihoods are not land-cased" (2004: 4). In the Nigeria section of the project, although livelihoods are partially land-based, active land and housing markets exist. Also, the land taken by the project per affected household is small. Thus, the project can comply with the strong preferences of the affected people for cash compensation. June 2004 Nigeria Final Draft RAP Rev 1 1-19 Chapter 1 programs to enable the families and persons displaced by the project to improve their livelihoods over and beyond their pre-project levels; and · Consulted physically and economically displaced households and provided opportunities for participating in the planning and implementation of land acquisition and resettlement programs. To minimize land acquisition and thus avoid physical and economic dislocation, the project has adopted several measures: · The onshore pipeline route maximized the overlap with existing pipeline systems and ROWs, thereby minimizing the impact of the WAGP ROW in some areas; · Of the four options considered, the ROW has been chosen to impact the least number of residential structures even in densely populated residential communities: the selection of the alternative options would have impacted a far greater number of fully completed homes; · The Compressor Station site has been selected based on comparisons of several alternatives, taking environmental and social issues as well as population densities into consideration; · The ROW width has been kept to the maximum of 25 meters. As a result, throughout the 58km of pipeline corridor and other facilities, only 144 hectares of land will be permanently needed for the project. The temporary land requirements will be very small: 14.26 hectares (Chapter 2). The post-construction use of the corridor will allow people to have continued access to their jobs and different parts of their farms, thus minimizing any severance impacts; · The construction of access roads to the pipeline has been avoided; · The pipeline will cross existing highways, roads as well as streams. However, through the use of advanced technology and rapid construction methods, the impacts will be temporary and limited to a few weeks in any given area; · Contractual arrangements will be made with contractors to ensure that lands leased for temporary camps and storage facilities will be chosen from among plots unsuitable for cultivation or returned to their original owners after proper restatement for cultivation; · Construction plans limit the extent of clearing so as to retain as much productive land as possible; and · Provision will be made for allowing cultivation of crops up to the ROW border to limit permanent crop loss. 1.6 Progress to Date In the preparation of the RAP, local communities and key stakeholders have been informed of the project, and the process of community consultation has been established. Extensive discussions have been held to establish entitlements and the mode of compensation. Estate surveys were conducted from August through October 2003 along the final proposed route to determine exact land demarcations and to prepare a census of affected households. Also, land access issues and patterns of ownership of affected plots were covered. Estate surveyors have also performed valuation and assessment of properties to be acquired. Also, deeds or plot June 2004 Nigeria Final Draft RAP Rev 1 1-20 Chapter 1 alignments have been verified. Meetings have been held with community leaders and public officials to ensure that the entitlements established and their level are accurate and appropriate. The land plots identified for acquisition have been publicly announced, and the announcement has been displayed in public places. In addition, workshops on WAGP's RAP approach were held in the project-affected area. Negotiations with stakeholders for compensation are in progress; and meetings are being held with communities, their professional estate surveyors, and individuals to ensure an equitable settlement regarding disputed lands. This Resettlement Action Plan was developed subsequent to the collection of the data made available by the WAGP project and will be issued in draft form for public review in July 2004. 1.7 Program for RAP Implementation Chapter 10 presents the schedule for RAP implementation along with the details of implementation responsibilities. Implementation includes institution of a number of key elements: application of mitigation measures (Chapter 6); public disclosure of the project and land acquisition plans (including the provision for grievances and dispute resolution) (Chapter 7); and monitoring and evaluation programs (Chapter 8). 1.8 Scope of Resettlement Action Plan The RAP is organized into sections as follows: · Chapter 2 provides a more detailed description of the WAGP Project, including a description of the pipeline corridor and the compressor station, the consideration of alternatives, and measures taken to avoid resettlement and minimize land acquisition; · Chapter 3 describes Nigeria's legislative and legal framework for resettlement, expropriation, and compensation; and World Bank Group policies in these areas; · Chapter 4 presents the socioeconomic characteristics of the populations affected by the project; · Chapter 5 describes Nigeria's land acquisition and compensation procedures and implementation responsibilities, including experience to date with implementation; · Chapter 6 outlines the Project's impacts and mitigation measures for various categories and uses of land and other immovable assets; · Chapter 7 describes the public consultation and disclosure process and activities of the RAP and Land Acquisition, including the provision for grievances and dispute resolution; · Chapter 8 outlines the monitoring and evaluation mechanism for the RAP, including the provision internal and independent expert monitoring; · Chapter 9 provides RAP costs of land acquisition and the budget for its implementation; and · Chapter 10 presents the schedule for RAP implementation along with details of relevant responsibilities. June 2004 Nigeria Final Draft RAP Rev 1 1-21 Chapter 2 Chapter 2 Project Description 2.1 Layout of Pipeline 2.1.1 General Route WAPCo intends to construct an 8-to-30 inch (30.5-76.2cm) diameter by 688.6km long, dry gas pipeline transmission system, onshore and offshore from Nigeria to Ghana. The onshore pipeline will connect to the existing Escravos-Lagos Pipeline (ELP) at the Alagbado "Tee," north of Lagos, Nigeria and will extend 56km to a compressor station at Ajido near Topo, Badagry in Nigeria, proceeding across Badagry Creek for 2km to the Atlantic shoreline. The offshore pipeline will be at distances from 16km to 25km from shore in water depths from 24-72 meters. Single lateral connections will be made to bring gas onshore in Benin, Togo, and Ghana (with two delivery points in Ghana). The laterals will extend onshore between 200 and 900m, except in Benin (5 km). The width of the onshore ROW will be mostly 25m. WAPCo will provide the connection to the ELP at the Alagbado "Tee." Between the Alagbado "Tee" and Agbara Estate, a distance of approximately 36km, the first 4km of the onshore pipeline route will parallel existing Rights of Way (ROW) operated by NGC and Shell Nigeria Gas. For this segment, the land acquisition needs will be minimal, requiring only 20m. For 31 of the next 32km (25m width), the WAGP ROW will run adjacent to the Shell Nigeria Gas pipeline ROW. For 1km of these 32km there will be a 25m separation between the two ROWs to allow for installations for construction in this wetland stretch. From there to the Lagos Beach Compressor Station, a distance of about 20km, and proceeding from there 2km to the Atlantic shoreline downstream of the compressor station after crossing the lagoon, the pipeline will be constructed on land previously unoccupied by or adjacent to any pipeline ROW. 2.1.2 Determination of Route Three options were considered for the pipeline routing: onshore/offshore, onshore, and offshore (PLE, 1999). The selected option (a combination of onshore and offshore routes) provides the lowest level of environmental and socioeconomic impacts for the least cost, and minimizes the need for land acquisition by taking advantage of the existing ELP system. Four options for the onshore portion of the pipeline in Nigeria were considered and included: one to the east of Lagos and three to the west. Any of the three West-of-Lagos options was preferable to the East-of-Lagos option, based on the availability of suitable land and access to good roads. The choice among the West-of-Lagos options was based on the route that provided the most suitable site for a compressor station. Three potential locations were considered, including Agbara, east of Iworo, and west of Iworo. Based on safety, land availability, population density, locations of residential areas and business activity, ease of access of construction and operation, routine maintenance, and operations and environmental factors, the West of Iworo option was considered optimal. The final location of the route and compressor station was finalized during the front-end engineering design of the plant when input from the June 2004 Nigeria Final Draft RAP Rev 1 2-1 Chapter 2 Environmental and Social Impact Assessment (ESIA) study and soil investigation results were available for the locations. WAPCo also considered re-routing the planned onshore section of the pipeline through Benin and Nigeria, with the compressor station in Krake, Benin to consolidate the construction of the R&M station with the compressor station (WAGP, 2000). Onshore routing to Benin would have reduced personnel requirements by combining the compressor station and R&M station, and improved energy efficiency. However, it would have required greater risk management and longer onshore pipeline distance, thus involving more extensive land acquisition. In order to minimize physical and economic displacement, this option was eliminated. Along the identified route, additional adjustments were made to minimize the impacts of land acquisition. For instance, the corridor has been designed so as to avoid areas of high population density based on an independent population study. Similarly, areas with potential for future growth have been avoided. Along with technical and economic considerations, environmental and social impacts have been taken into account. The choice of the pipeline diameter so that it would be easily contained within a 25m ROW is yet another element of the project design that reduces the need for extensive land acquisition, thus causing economic and physical displacement. 2.2 Right-of-Way Configuration The pipeline centerline will be located approximately 5 meters from one edge of the 25m-wide right of way, except in the first 4km from Alagbado tee in Nigeria where the ROW is shared. All land within the pipeline ROW will be acquired by WAPCo in accordance with the land acquisition laws in each country. The "pipeline mound" is the land directly above where the pipeline is buried. The 5m-wide strip from the edge of the ROW will serve as a storage area for trenching spoil (Section 2.5.2.1.1) during construction. The adjacent 10m-wide strip will be used for vehicle access during construction and for operational maintenance and monitoring by WAPCo; hence, it is estimated that 15 of the 25 m ROW will be used during the initial construction. This land will not be available for use by the local population once WAGP construction begins. Rather, it will be used for vehicle and construction-equipment access during construction. After construction, it will be used for pipeline maintenance and will serve as a buffer against encroachment and may, in the future, be used for expansion. Access to the ROW by the local population is governed by the WAPCo ROW Access Policy and described in Section 2.7. The configuration of the ROW during construction is described in Section 2.5.2 and shown in Figure 2.5-1. 2.3 Pipeline and Facility Description This section describes the major permanent facilities making up the WAGP transmission system, and their permanent footprints in Nigeria. A broader picture has been provided in the executive summary for the entire project, including the pipeline configuration and facility descriptions for all four countries. June 2004 Nigeria Final Draft RAP Rev 1 2-2 Chapter 2 2.3.1 Alagbado "Tee" The Alagbado "Tee" is off the Ijoko Ota road by approximately 3.2km at Itoki, Nigeria. Figure 2.3-1 is a site location map. The facility will occupy approximately 0.31 hectares (ha), which includes an area approximately 0.11ha incremental to the present footprint of approximately 0.6ha occupied by NGC and Shell operations. The additional area is needed to accommodate the WAPCo operating systems. Around the expanded site area, a security fence will be erected. The Alagbado "Tee" is the starting point of the onshore portion of the transmission system. It is the point where the WAPCo transmission system is connected to the ELP transmission system. Its purpose is to provide custody transfer, metering, and monitoring of the natural gas from the NNPC-owned ELP to WAPCo's transmission system. The "Tee" currently supports an NGC pig trap receiver from the 24-inch Egbin Node to Alagbado pipeline and a launcher for Ewekoro supply, as well as valves for routine pigging of the pipeline system. The Shell Petroleum Development Company (SPDC)/Shell Nigeria Gas facility consists of a launcher, scrubber, metering facilities, and condensate handling equipment. 2.3.2 Onshore Pipeline 2.3.2.1 Mainline in Nigeria A 30-inch (76cm) pipeline will be installed below grade a distance of 56km from the Alagbado "Tee" to the Lagos Beach Compressor Station. Figure 2.3-1 illustrates the pipeline route in relation to the "Tee" and the compressor station (see above), running for the most part alongside the existing Shell ROW (Section 2.1). For most of its route, the pipeline will be buried to a minimum depth of 0.9m and at least an additional 0.3 meter deeper at road crossings. The components of the onshore pipeline include: · A pipeline ROW with an average width of 25m · One midline isolation valve · A corrosion protection system · Possibly 1-2 temporary marshaling yards during construction phase (Section 2.5.1); and · The use of existing maintenance roads (Section 2.4) For the safety of people and personnel, a midline isolation valve station, approximately 5m wide by 10m long, will be placed within the pipeline ROW at a strategic location. This location is currently envisaged to be adjacent to the existing midline SNG Pipeline valve, south of the Otta- Owode-Idi Iroko Road. The station will be installed within the WAGP ROW and, therefore, will not require additional land. June 2004 Nigeria Final Draft RAP Rev 1 2-3 Chapter 2 Figure 2.3.1 Alagbado Site Location June 2004 Nigeria Final Draft RAP Rev 1 2-4 Chapter 2 2.3.3 Lagos Beach Compressor Station and Primary Control System A compressor station will be constructed at the terminus of the onshore pipeline at Ajido, near Badagry, in Nigeria. The compressor station will be one of two locations for SCADA/VSAT control and will have Emergency Shut-Down (ESD) systems. The compressor station is just to the west of the village of Ajido and to the south of the Lagos­Badagry expressway. It is approximately 12km east of Badagry, Nigeria. It lies approximately 0.85km north of the Lagos Lagoon. The site footprint will be 220m by 385m, i.e., approximately 8.5ha. This comprises the footprints of the: · Compressor station itself: 140m by 185m · Flare stack site: 100m by 100m · Buffer zone around both the above: 4.9ha For gas to be delivered to customers at the design transmission rate, compressors are required in order to boost upstream pressure from the Lagos Beach Compressor station inlet to downstream destinations. The compressor station is being installed in the transmission system for that purpose. Pressure upstream of the compressor station is expected to be not more than 28 barg at the maximum operating flow rate and a maximum operating pressure of 153 barg after compression at the same flow rate. The facility will come on line six months after "first gas"; natural flow will be enough for gas delivery until then. The facility will be manned 24 hours per day, seven days per week. The nominal staff number is expected to be 25 to 30 persons. Like the Alagbado "Tee," the major components of the compressor station will be installed in two parallel equipment runs to provide 100 percent, uninterruptible operational back-up and accompanied by single installation of non-operationally critical components. Should the compressor station require isolation from the main transmission line for an extended period, or during start-up, a bypass pipeline around the compressor station has been included in the design to allow uninterrupted delivery of the gas, albeit at a lower pressure and transmission rate. Though lower quantities of gas will be delivered under a bypass situation, delivery will not be cut off entirely. Figure 2.3-2 is a site plan view illustrating the compressor station configuration. Considerations are made for the best utilization or access of the station: · Using existing roads from the Port of Lagos to Badagry, with delivery along the Badagry Creek road, west of Ajido (see Figure 2.5-4). This option may necessitate road widening and upgrades to the road network from Badagry to Ajido to accommodate heavier and larger truckloads than the current infrastructure can bear. · Transport through Lagos Lagoon and Badagry Creek to a newly built unloading facility/dock linked by an access road to the compressor station site. These options are described in more detail in Section 2.4.3 below. June 2004 Nigeria Final Draft RAP Rev 1 2-5 Chapter 2 Figure 2.3-2 Compressor Station Configuration ± 52 21 42.E 585732 185M E. N. 231275 AREA LIMITS N. 216587 ENIL PEIP MBF-3720 DIESEL TRANSFER PUMP GNIO 1st STAGE SUCTION SCRUBBER OFFICE/ .GDLB.NEG GN1 #1 COOLER DIESEL STRG. C L KCAR COMPRESSOR MBF-3760 TANK 2nd STAGE SUCTION TRAIN #1 10 DIKS EP PI 30- RE 2 MEETING ROOM R/ AI M7.03x SCRUBBER IV M21x4 2- 14.4 x 12.850M 7 QAK MBF-3730 R. MBG-3800 1st STAGE SUCTION 220-0 STNI 12. CEER LIQUIDS K.O. 0-0 VESSEL #2 COOLER SCRUBBER CONTROL ROOM COMPRESSOR L0-F MBF-3770 -X 14.4 x 11.250M TRAIN #2 2nd STAGE SUCTION SCRUBBER -LP-P TO FLARE GA MCC/SWITCHGR. PIPE RACK W T SUPPORT G. BATTERY ROOM DI (FUTURE) (TYP.) SK 1st STAGE SUCTION WD 14.4 x 14.7M F.W. PUMP 4015-Z BERBUR DI 0315 SCRUBBER EES SC FUTURE ZZ E SK Z- SAG (FUTURE) STIMIL ZZ FUTURE 2nd STAGE SUCTION .GDLB F.W. TANK NALP ABJ-3100 SCRUBBER L . M2 LIQUIDS STORAGE ARLF ELUF M0 6M%%C RO ETIS TANK ABH-3020 19x 14 EARA ROSSERPM ATMOSPHERIC 8.8 SUMP CO CONT (FUTURE) LLARE 1st STAGE SUCTION OV SCRUBBER FUTURE FUTURE FUTURE (FUTURE) ROF 4 x 8.8M PARKING WATER SANITATION 2nd STAGE SUCTION SKID SCRUBBER 3Mx6M (FUTURE) 1st STAGE SUCTION FUTURE SCRUBBER FUTURE IDKS (FUTURE) 2nd STAGE SUCTION 0 R SCRUBBER 8.5M WAREHOUSE/ 300-HAK ENI CHE UN (FUTURE) WORKSHOP PELIP M21x4 LA KCAR STAGE SUCTION 18.8 x 24.8M NGIOGTUO FUTURE PE 1st STIMIL PI SCRUBBER FUTURE KAU-5100 (FUTURE) ESRA METER SKID 2nd STAGE SUCTION C L 3M x 12M SCRUBBER 01 33 GUARD SHACK 43.E 4Mx4M N. 76619 N. 91560 GATE AREA LIMITS 128842 E. Meters 0 10 20 30 40 June 2004 Nigeria Final Draft RAP Rev 1 2-6 Chapter 2 2.3.4 Offshore Main Trunk Line and Laterals The pipeline will be installed mainly on the seafloor and, for certain shore crossings, in trenches. The pipeline extends 581km from the Lagos Beach Compressor Station to the Takoradi thermal power plant. The offshore transmission system components to be installed include: · 20-inch (50.8cm), concrete-weight-coated main trunk line and laterals of 8, 10, and 18 inches · Subsea lateral line take off and provision for temporary installation of a pig launcher; and · Corrosion protection system The offshore pipeline will be placed directly on the seafloor in water depths in excess of 8m. In sections of the route fewer than 8m deep the pipeline will be either buried below the seafloor, as is the case for nearshore approaches to beach crossings, or covered, such as in areas of hard bottom substrate. Section 2.5 describes the basis for these specifications and other aspects of the offshore pipeline construction in more detail. For most of its route, the pipeline will lie on the seafloor 30-50m below sea level. At the deepest point, it will be 72m below sea level. The pipeline route does not cross any shipping lanes and avoids passing through anchorage areas. 2.4 Transportation Routes 2.4.1 Alagbado Tee Access to the facility will be via the Otta­Ijoko road off the Lagos to Abeokuta road. No new roads or enlargements to the road will be required. 2.4.2 Onshore ROW Nigeria Access to the Alagbado Tee end of the ROW from Lagos will be via Otta and Itoki. Access to the compressor station end of the ROW from Lagos will be mainly off the Lagos­Badagry expressway and the Badagry­Topo­Ajido roads. Access to the middle of the ROW from Lagos will be along the Lagos­Badagry, Lagos­Otta­Itoki and Otta­Owode­Agbara roads. No new roads or enlargements of existing roads are envisaged to be required outside the ROW for pipeline construction and maintenance. 2.4.3 Lagos Beach Compressor Station All deliveries of major equipment (e.g. compressors, tanks, etc.) originating in the Port of Lagos will be along existing roads described above and/or over water from the port of Lagos through the Badagry Creek to a newly built temporary unloading area or facility linked by an access road to the compressor station site. If the former option is chosen, the roads may require enlargement. Effort will be made to avoid road expansion so that land acquisition requirements can be kept to June 2004 Nigeria Final Draft RAP Rev 1 2-7 Chapter 2 a minimum. However, should this not be possible, entitlements and compensation modes will be determined with the same rigor as those identified for those project elements described above. If the lagoon-delivery option is chosen, the lagoon is likely to have to be deepened in some areas to permit vessels to navigate those areas. Similarly, a temporary unloading facility, possibly a dock, would be required to offload equipment at the site and a road from the dock to the site installed. Any land acquisition that the choice of such an option may entail will likewise be addressed in a manner described in this document. The temporary unloading facility will be located to minimize the length of canal to be dredged through lagoon and adjacent wetlands to the facility and also to minimize the length of road (and thus the land acquisition) to be constructed from the facility to the compressor station site or existing road, especially the length through the wetlands adjacent to the lagoon. A dock, if built, would be 50m long (parallel to lagoon shore) and 15m wide (5m of which will jut into the lagoon) and 3m high (1m above water line, 2m from lagoon bed). A crane would be installed on the dock for unloading. At the shore, the lagoon is only 2m deep and so a channel will be dredged by clam bucket from there to a point 316m from the shore where it is 3m deep and thus navigable. If a soil analysis of the sediment shows it to be suitable, then the dredged sediment may be used as backfill for the maintenance road. The maintenance road is expected to be 10m wide, 1m deep and is not expected to exceed 200m in length. It will therefore require approx 2000m3 of backfill material. A dock if built would be constructed from sheet piling and require 2750m3 of backfill material. The land requirements concerning this have not been reflected in the data presented here although the procedures to be followed, if such land is needed, will be identical to those covered under the existing RAP. The dock and access road are temporary facilities but may be retained rather than dismantled if the local community wishes to use them after construction. As an alternative to a dock with a crane, WAPCo could use a barge-mounted crane with spuds to transfer equipment and materials from a barge to the newly constructed road. This would mean less dredging, as a barge of this kind would have a shallower draft, and would imply a smaller dock since the dock would not have to support a crane. An alternative road that may need upgrading and would be useable only for lighter traffic is the Mosafejo/Adagun­Iworo­Ajido road off the Lagos Badagry Expressway. Access to the compressor station for maintenance will be along the roads mentioned in Section 2.4.2. June 2004 Nigeria Final Draft RAP Rev 1 2-8 Chapter 2 2.5 Construction 2.5.1 Temporary Storage and Accommodation Areas 2.5.1.1 Alagbado "Tee" A temporary staging area equal to 25 percent of the layout area (i.e., 0.028ha) will be required. This area will be incremental to the 0.11ha footprint. No provisions for personnel accommodations or related support facilities are to be provided at the Alagbado "Tee" site. 2.5.1.2 Onshore ROW in Nigeria One to two temporary marshaling yards will be strategically located along the pipeline route to stage and dispatch labor and equipment. The locations will be based, in part, on the recommendations of the construction contractors and will be known when the construction contract award has been made in July 2004. Currently the preferred option is for only one marshaling yard in Nigeria, occupying approximately 3.0ha, adjacent to the compressor station site, within an 8.3 ha temporary construction area, but an additional marshaling yard may be considered at the midline valve location. The total area required for thrust/auger boring of all roads and directional drilling of the Badagry lagoon and the Lagos beach, Lomé and Cotonou shore crossings is estimated to be 17,250m2. 2.5.1.3 Lagos Beach Compressor Station A staging area equal to 100 percent of the layout area (i.e., 8.5ha) will be required to be cleared. This area will be incremental to the 8.5ha footprint and will be restored after construction activities have been completed. Camp facilities will either be established using existing, local accommodations or the creation of a camp in the temporary staging area of the compressor station. A temporary camp facility would contain mobile living quarters, portable power generators, and sanitary facilities; is expected to have a 200m by 200m footprint; and would be operated as a "closed" facility with workers shuttled daily to the site. If it is decided to use an onsite concrete-batching plant, the plant will be located within the temporary staging and lay-down area above and will be removed once its operations are complete. The plant would occupy approximately 0.4ha within the compressor-station site. 2.5.2 Construction Methods A complete description of construction methods is given in the environmental impact assessment of the WAGP project (WAGP, 2004). Relevant elements of that description are repeated here. June 2004 Nigeria Final Draft RAP Rev 1 2-9 Chapter 2 2.5.2.1 Upland ROW 2.5.2.1.1 Clearing and Grading The construction ROW will be established such that there is a 5m-wide strip on one side of the centerline of the pipeline (the "spoil side") and a 20m-wide stripon the other ("the working side"). The spoil side will be used for storing excavated spoil and will remain, as a buffer strip, after construction is complete. Vehicles will move and construction machinery will operate on the working side. The construction ROW will be cleared and graded to remove brush, trees, roots, and other obstructions such as large rocks and stumps. Crops and other non-wooded vegetation may be mowed while other crops, such as grain, may be left in place to limit soil erosion. The construction ROW will be graded in some places to create a safe working area, accommodate pipe-bending equipment and allow the operation and travel of construction equipment. The natural drainage will be preserved to the extent possible. If necessary, a fence crew, typically operating in conjunction with the clearing crews, will cut and brace fences that intersect or cross the proposed route. Fences may be installed to keep livestock out of the working area. Where necessary, temporary gates will be constructed to allow landowners to move livestock from pasture to pasture and allow construction crews access along the ROW. Timber will also be removed during construction operations. Commercially saleable timber will be left with the affected owners should they wish to sell it or use it for their own purposes. Other timber and vegetative debris may be chipped, burned, or disposed of according to the landowner's wishes, or retained and used by the owner so long as it is removed from the ROW to another area of their property. Burning will only be done at the insistence of the landowner and, if done, will be conducted in compliance with local regulations and also performed in a manner to minimize fire hazard and prevent heat damage to surrounding vegetation. Stumps and other timber considered to be non-merchantable may be used to construct off-road vehicle barriers at the request of the landowner. Disposal of materials taken off-site will be done at facilities or locations audited and approved by WAPCo. After the ROW has been cleared and the stumps removed, grading may be necessary. Minimum grading will be required in flat terrain. In areas with steep terrain, more extensive grading may be required. A maximum of 12in. of topsoil will typically be removed or stripped and segregated in agricultural lands that are cultivated annually. Additional areas in the construction ROW outside the agricultural areas may be stripped at the request of a land management agency or landowner. Typically, soil will be stripped from the following areas: the ditch, spoil storage area in uplands, and the ditch in unsaturated, unfarmed wetlands. Topsoil that has been removed or stripped will typically be stored on the spoil side (i.e., opposite of the working side of the trench) of the construction ROW. However, circumstances may require the topsoil be stored or placed on the working side adjacent to the ditch or at the edge of the construction ROW. Any topsoil not needed for the leveling of the pipeline corridor will be made available to the landowners if they want to use it elsewhere in their plot. The project contractors may extend the landowners the courtesy of moving the topsoil to areas, within the affected plot, indicated by the owners. June 2004 Nigeria Final Draft RAP Rev 1 2-10 Chapter 2 Figure 2.5-1 Pipeline Construction Corridor 2.5.2.1.2 Backfilling Once the pipe is in the trench, the trench is backfilled using a bulldozer, backhoe, or other suitable equipment to place a mound on top of the pipeline. Backfill usually consists of the material originally excavated from the trench. However, in some cases additional backfill from other sources may be required. Any excess excavated materials or materials unsuitable for backfill will be spread evenly over the ROW or disposed of in accordance with reasonable landowner requests. In areas where topsoil has been segregated, the subsoil will be first placed in the trench and then the topsoil will be placed over the subsoil. To avoid adverse environmental impacts, backfilling will occur to grade or slightly higher to accommodate any future soil settlement. During backfilling and final grading, measures will be taken to minimize erosion, restore the natural contour of the ground except with the provision of a mound on top of the pipeline and restore surface drainage patterns as close to pre-construction conditions as practicable 2.5.2.1.3 Clean-up and Restoration After the completion of backfilling, all disturbed areas will be finish-graded and any remaining trash and debris will be properly disposed of in compliance with country and local regulations. After construction is completed, the entire ROW will be protected by the implementation of erosion control measures, including the site-specific contouring, permanent slope breakers (low- June 2004 Nigeria Final Draft RAP Rev 1 2-11 Chapter 2 profile berms constructed diagonally across the Right of Way to divert runoff), mulch and reseeding, or sodding with soil-holding grasses. Contouring will be accomplished using acceptable excess soil from construction. The erosion control measures used will comply with country regulations or guidelines. 2.5.2.2 Wetland ROW by Push-Method Trenching The push method of constructing a pipeline through a wetland has many of the same steps as constructing a pipeline on dry land. The main differences are that the heavy equipment may have to be supported by mats or on a barge depending upon depth of water on the working side of the ROW, and that pipe floated into place over the trench before installation rather than lifted over the trench with cranes. 2.5.2.2.1 Clearing This is essentially the same as on dry land except that if the wetland is forested, below-grade tree stumps and root mass from all plants will be left intact on the non-working side of the ROW. 2.5.2.2.2 Backfill To stabilize the pipeline, the trench will be backfilled as soon as possible. Excavated wetlands will be backfilled with either the same material as removed or a comparable material that is capable of supporting similar wetland vegetation. Original marsh elevations will be restored. Adequate material will be used so that following settling and compaction of the material, the proper pre-project elevation is attained. If excavated materials are insufficient to accomplish this, material with similar grain size will be purchased locally and utilized in situ to restore the trench to the required elevation. After backfilling, erosion protection measures will be implemented where needed to prevent fish and wildlife habitat degradation and loss. These and other measures described in this chapter will ensure that adverse livelihood impacts as a result of construction activities will be limited to land acquisition, with no adverse livelihood impacts on fisheries along the coastal areas. 2.5.2.2.3 Reinstatement Reinstatement will be undertaken to return the physical environment to a state similar to that in which it was found in order to prevent erosion, encroachment by undesirable vegetation and damage to the pipeline from root systems of unplanned, colonizing plants or trees. Potential land uses of the pipeline ROW area, such as farming or public space, will be considered during reinstatement planning, as these may affect the level or type of appropriate reinstatement. All construction related materials (e.g., timber riprap, prefabricated equipment mats, geotextile fabric) will be removed upon completion of construction. In upland areas, the ROW will be restored by replacing stockpiled topsoil and excavated sediment. This material will be compacted to limit erosion. Excess soil will be re-graded to conform to the surrounding terrain and to limit erosion by wind and running water. The gradient of slopes should not exceed 2:1. The graded surface will be planted with native grasses only and routinely mowed/cut to minimize the tendency for natural reforestation throughout the life of the project. This will also June 2004 Nigeria Final Draft RAP Rev 1 2-12 Chapter 2 allow the farmers to use their affected adjacent/remaining plots with ease. The site to be reinstated will be scarified (ripped and disked to a depth of 6in) and immediately broadcast seeded. Where the pipeline trench may drain a wetland, trench breakers will be installed and/or the trench bottom sealed as necessary to maintain the original wetland hydrology. A permanent slope breaker will be installed at each wetland crossed along with a trench breaker at the base of the slopes near the boundary between the wetland and the adjacent upland areas. Fertilizer, lime, or mulch will not be used in the ROW within a wetland, nor immediately upslope from a wetland. Species suitable for seeding wherever brackish water is present will be used wherever that is required. For all forested wetlands (mangrove swamp) native shrubs and herbaceous species will be planted to re-vegetate a 15m-wide portion of the permanent ROW, which for maintenance purposes will not be allowed to revert to forested wetlands (mangrove) for the life of the project. Re-vegetation will not occur on portions of land required for maintenance roads or fire-breaks. 2.5.2.3 Horizontal Directional Drilling for Wetland Crossing or Road/Rail Crossing Horizontal Directional Drilling (HDD) is a pipeline installation method to minimize surface disturbance to wetlands, stream/river/lagoon crossings, beach crossings, or other sensitive areas. For road/rail crossings a similar technique, thrust boring, is used. These techniques avoid the need for clearing, backfill and reinstatement but required a space 30m by 50m for drill entry and exit. This may mean at worst that for each entry and exit point, a total space equal to 750m2 is required in addition to the ROW. This has already been included in the land acquisition considerations presented in the RAP. In Nigeria, it is envisaged that 11 roads will be thrust bored and that, at most, two HDD entry/exit points will be needed for the lagoon and shore crossings, giving 25 points in total. No wetland or locations other than those specified above will be crossed by HDD. 2.5.3 Construction Schedule and Duration A final schedule for construction has not yet been determined. It is envisaged that site work will commerce within nine months of the construction-contract award. The commencement date of the schedule for the whole of WAGP is dependent on the final investment decision, which has not yet been made. The implementation period is expected to be phased into two stages of 18 months for completion of the offshore line and all metering stations excluding Tema and 24 months for completion of the Lagos Beach Compressor station and Tema R & M. The expected durations for the construction of each element of WAGP/Nigeria are given below. 2.5.3.1 Alagbado "Tee" It is expected that construction of the "Tee" will take four months. 2.5.3.2 Onshore Pipeline and Marshaling Yards The duration of installation works in Nigeria is expected to be six to eight months. Pipeline installation will be performed by up to three different crews working simultaneously during daytime hours only. Work will be undertaken in the dry season as far as possible. Duration of June 2004 Nigeria Final Draft RAP Rev 1 2-13 Chapter 2 installation is expected to last two months in Benin (including the link line to the site of the future CEB facility), and two to three weeks for each of the R&M station approaches. 2.5.3.3 Lagos Beach Compressor Station and Primary Control System It is expected that construction of the compressor station, including the concrete batch plant, will take 12 to 15 months. The possible upgrade of the Mosafejo/Adagun­Iworo­Ajido road for lighter traffic would not take more than one month. Concrete batching operations, if performed, would last two to three months within that time. 2.5.3.4 Shore Crossings Shore crossings undertaken by horizontal directional drilling are envisaged to take between four and seven weeks, depending on the length of the shore crossing required. 2.6 WAPCo Policy on Public Access This is described in the WAPCo Right-of-Way Access Policy summarized below. 2.6.1 Facility Footprints Fences will be installed around the properties containing the valve station(s), cathodic protection station(s), the Lagos Beach compressor station and the Alagbado Tee. Access to these fenced areas will be restricted to authorized visitors and WAGP personnel only. Local populations will not have any access to these areas once WAGP construction begins, and throughout the WAGP operational phase. No fences will be installed around any other part of the project footprint. The pipeline ROW will not be fenced in, in any of the WAGP countries. Once the pipeline is buried, the affected land will be leveled except for the provision of a mound directly above the pipeline trench. As such, farmers' access to different parts of their affected plots will not be hindered. 2.6.2 ROW: Pipeline Burial Zone The pipeline centerline will be located approximately five meters from one edge of the right of way. The land within the pipeline burial zone (i.e., land directly above where the pipeline is buried, and extending to roughly five meters on one side of the centerline and 10 meters on the other side, forming a corridor of approximately 15 meters in width) will not be available for any use by the local population once WAGP construction begins in the vicinity of the pipeline construction spread, except for that used by affected farmers to go from one part of their affected plot to the other side. The use of the pipeline burial zone for raising crops or any other purpose (other than transportation on transecting transportation routes) will be precluded within this zone once WAGP construction begins and throughout the WAGP operational phase. June 2004 Nigeria Final Draft RAP Rev 1 2-14 Chapter 2 WAPCo will post signs (in English/French and local languages as appropriate) along the pipeline ROW restricting/limiting access and use of the land except for those locations identified as public transportation routes. 2.6.3 ROW: Area not included in Pipeline Burial Zone All land within the pipeline ROW will be acquired by WAPCo in accordance with the land acquisition laws on right of way use in each country. Areas within the ROW not occupied by pipeline maintenance roads or burial zones will also not be made available to the local population for planting and cultivating or for construction at the end of the construction phase to avoid liability and prevent encroachment that could result in permanent construction on the right of way except as stated below. Areas within the ROW not occupied by pipeline maintenance roads or burial zones will be accessible to the local population throughout the WAGP operational phase for such uses as livestock grazing as well as motorcycle and local foot traffic. Affected farmers who use light machinery to cultivate their affected plots will likewise be able to cross the ROW. However, as stated above, no local residents will be permitted to erect structures of any kind within the ROW, including buildings, fences, walls, cisterns, wells, irrigation facilities, etc., in order to ensure pipeline and thus population safety. 2.6.4 Transportation Routes Transecting the Pipeline ROW As already indicated and shown on the map in Figure 2.1.1, the pipeline in Nigeria will cross three major highways and 32 other roads. Some of these roads are more highly developed while the rest are rural roads. Existing busy roads and highways crossing WAGP pipeline routes will not be significantly affected by WAGP during either the construction or operational phases. Construction methods such as thrust/auger boring beneath the roads will be used to eliminate the need to close these roads at any time. Less busy roads and footpaths crossing the pipeline routes will be temporarily re-rerouted and/or closed during the construction phase but provisions will be made for alternative access for people or livestock across the right of way throughout the period of closure. All alternative routes will be prepared in advance of the corridor construction to avoid any inconvenience to the local residents, farmers, and traders. No adverse livelihood impacts are envisioned as a result of corridor construction along the major and/or the minor roads. The fact that the corridor will impact each of the roads one at a time will also ensure minimization of any inconvenience that may arise. Should, however, any contractor fail to comply with WAGP guidelines with regard to this issue, the recourse mechanisms outlined in Chapter 7 of the RAP will ensure contractor compliance and identify any adverse impact on local livelihoods. Transecting transportation routes that must be temporarily closed/rerouted during WAGP construction, and their closure/rerouting schedules, will be determined once detailed construction plans have been finalized, and local residents will be notified of the closures/rerouting schedules prior to any construction activities. Where transportation routes must be temporarily closed, alternate routes will be identified and marked. No new access roads will be built. However, if difficulties arise in local populations' access to alternative routes for short periods at a time June 2004 Nigeria Final Draft RAP Rev 1 2-15 Chapter 2 and/or alternatives cease to be technically feasible, temporary paths may be created. Any land acquisition such exceptional measures may result in, will be subject to the same transparent procedures as those identified in this document. During the WAGP operational phase, there will be no restrictions on any prior transportation routes that cross the pipeline ROW. All such routes will be fully restored to their previous condition (or improved) by WAPCo at the end of the construction phase and will be fully accessible and open to traditional use. 2.6.5 WAPCo Maintenance and Patrol Roads within ROW WAPCo will develop maintenance roads for patrol purposes within the pipeline ROW, roughly paralleling the pipeline, along the full length of the ROW. These maintenance roads will be maintained in a condition suitable for inspection and maintenance of the pipeline system throughout the WAGP operational phase. Prior uses of land occupied by pipeline maintenance roads other than transportation, e.g., raising crops, will be terminated once WAGP construction begins and throughout the WAGP operational phase. After completion of construction (i.e., during the WAGP operational phase) local residents will be granted access to their properties through use of pipeline maintenance roads as transportation routes. Use of the maintenance roads will be limited to light traffic. Future roads, particularly those that cross the ROW, connecting two locations will be approved by WAPCo Management on a case-by-case basis. Should any of these involve land acquisition, the procedures outlined in this RAP will be used. In urban or semi-urban areas, lockable barriers will be erected across all entrances to pipeline maintenance roads to prevent heavy use by car and truck traffic. In these areas, pipeline maintenance roads will not be accessible to cars and trucks, but will be fully accessible for use by motorcycle and pedestrian traffic during the WAGP operational phase. Given that most local residents and farmers are pedestrians, no livelihood impacts are envisioned. In rural areas, no barriers will be erected at the entrances to pipeline maintenance roads, and these roads will be accessible to all light vehicle traffic including cars, light trucks, or other light agricultural machinery during the WAGP operational phase. The use of heavy vehicles will be discouraged as a safety measure through the posting of signs and periodic patrol. Once WAPCo takes over the facilities from the contractors, approximately 18 to 24 months after final investment decision, a surveillance team will be organized to monitor and prevent ROW encroachment. The access policy will be enforced through regular patrol by WAPCo operators. 2.7 Compensation for Lost Assets For all land acquisition, the project affected land owners will be fully compensated based on negotiated replacement cost of the land as well as for any assets, such as fences, that may be on the land. Compensation for trees will also be negotiated based on the income stream as well as June 2004 Nigeria Final Draft RAP Rev 1 2-16 Chapter 2 replacement cost considerations, taking into account the adjusted OPTS rates established for the oil and gas industry by the Government. All standing crops will likewise be compensated for. If affected land plots are severed and their use is made difficult, additional compensation will be made. Other issues involving compensation for land entitlements are addressed in Chapters 5 and 6. Compensation will be either cash, based on rates negotiated with each owner/user, calculated taking into account replacement of the land and income stream, and in open communication with the directly affected parties (individuals, families, and/or communities) or their notarized appointed agents, or through land-for-land arrangements. Those concerned have been asked what their preferences are and will be compensated accordingly. Given that the land in principle belongs to the state and is assigned to individuals or families, some households may wish to obtain land-for-land especially for plots zoned for residential use. Some, however, may wish to buy land of their choice in the market. For land replacement cases, there will be full consultations and negotiations to determine that the proposed replacement is suitable. Replacement lands have already been identified in the Agbara and Otta areas in Nigeria and will be identified in other vicinities as well. 2.7.1 Summary of Land Requirements Land requirements for WAGP in each of the four countries are summarized in the table below. Where land-for-land compensation is requested, there will be a negotiation to determine what that should be. In-kind replacement lands have been identified already in Otta and Agbara, Nigeria. Table 2.7-1 Land Acquisition Requirement in Nigeria (In hectares) Above-ground installations site footprints (Alagbado Tee and Compressor Station) 8.50 ROW (outside site footprint) 135a Access road 0.20 to dock if built Total Permanent Requirement 143.70 Staging areas (outside permanently acquired areas) 8.53 Work camps 4.00 HDD footprint 1.73 Weight-coating plant 0 Total Temporary Requirement (in addition to permanently acquired land) 14.26 Grand Total 155.96 a This figure is estimated based on the overlap of the ROW with existing pipelines in certain segments. Source: WAGP, December 2003 June 2004 Nigeria Final Draft RAP Rev 1 2-17 Chapter 3 Chapter 3 Policy and Legislative Framework 3.1 Introduction The West African Gas Pipeline Project will be designed, built and operated to comply with the WAGP International Project Agreement (IPA) and with Nigerian national legislation and regulatory standards as well as with the relevant international policies and guidelines concerning resettlement, land acquisition, and compensation, as outlined in this chapter. Also summarized are any gaps in legislation relating to involuntary resettlement, as well as project measures to ensure compliance with the World Bank Group policy requirements with regard to resettlement. In addition to the IPA, the project is subject to the following two key pieces of national legislation or "legislative acts" that will govern land acquisition, resettlement, and compensation activities: Land Use Act, Cap 202, 1990 Laws of Federation of Nigeria1 and the Oil Pipelines Act, Cap 338, 1990 Laws of Federation of Nigeria. The IPA prevails when there may be inconsistencies between the IPA and national legislation, though national legislation (in this case the Oil Pipelines Act and the Land Use Act) will be the overriding factors in determining the basis for compensation. Beyond Nigerian legislative and regulatory requirements, the project will be implemented in accordance with the corporate standards of the WAPCo sponsors, as well as the policies and guidelines of the World Bank Group. This chapter outlines the regulatory framework as it refers to the RAP and discusses the following categories of legislation and policy: · International Project Agreement (IPA) or Host Government Agreement · National Legislation · Land ownership and property rights · Power of eminent domain · Project measures to ensure compliance with World Bank/Group guidelines 3.2 International Project Agreement or Host Government Agreement The International Project Agreement (IPA) guides many aspects of the project in all four countries included in it and covers issues pertaining to land and asset acquisition. According to the IPA, permanent land rights which do not involve an Exclusive Possession Right shall be granted by the national States as rights attaching to the Pipeline Licenses, or otherwise in accordance with the Constitution and laws of each State. 1All Legislations in Nigeria prior to 1990 have been codified in volumes now called Laws of Federation of Nigeria 1990. June 2004 Nigeria Final Draft RAP Rev 1 3-1 Chapter 3 The compressor station site will be acquired on the basis of exclusive acquisition. According to the IPA, WAPCo shall endeavor to obtain the Exclusive Possession Rights, which it needs over land, which is not owned by the Federal Government of Nigeria or a federal authority by way of negotiation with the owner and the occupier of the land. In Nigeria, this requirement would be satisfied by the grant of a statutory occupancy right. Foreign ownership of Nigerian land is not prohibited or regulated and WAPCo would be protected under enabling legislation. The transfer or assignment of occupancy rights requires the consent of the Governor of the national state in which the land is located.2 In terms of compensation, the IPA states that the principles and procedures for quantifying the amount of such compensation (together with procedures for resolving any disputes) shall be those applying under the prevailing laws of the relevant national States. Thus, the IPA refers to national legislation to regulate the entitlements and the compensation determination. The IPA text summarized below contains considerations for developmental action that would allow the livelihoods of the affected populations to improve over and beyond the pre-project levels. Rights on land owned primarily by the state shall be granted without charge to WAPCo by the Federal Government of Nigeria, per the IPA, unless a charge for such land is provided for under the local law as at the Execution Date. The overall framework regarding the granting of land rights by the Government of Nigeria to WAPCo is contained in Section 21 of the International Project Agreement (IPA). Section 21.2 of the host government agreement grants to WAPCo the permanent land rights that the Company requires that do not involve an Exclusive Possession Right by the four national States as rights attaching to the Pipeline Licenses, or otherwise in accordance with the Constitution and laws of each country. Section 21.3 states that the Company shall endeavor to obtain the Exclusive Possession Rights that it needs over land that is not owned by a national State or a State Authority by way of negotiation with the owner and occupier of the land, whether that is a private individual or a public entity. This will be done in accordance with applicable legislation, as the Company will still have to perfect its Title over such land with the relevant Government Agencies. Section 21.4 states that the Company shall notify the WAGP Authority when it has taken its "Final Investment Decision," and at the same time notify the WAGP Authority of all land with respect to which it has not obtained the Exclusive Possession Rights, which it needs. Upon receipt of such notice by the WAGP Authority, each national State shall procure, with respect to land within its territory and jurisdiction (including the seabed), that the Company is granted Exclusive Possession Rights to all such land. In other words, under the law, it is the Federal Government of Nigeria that will be granting title to the land acquired for the project. Such Exclusive Possession Rights shall be granted by way of acquisition, transfer or issue to the Company of the longest form of exclusive title or right of use available under the laws of the relevant State. Following the provision by a national State of such title to the Company, that State shall be responsible for settling any claims made with respect to that land, and shall 2Hereinafter, the term "State" refers to the Federal Government of Nigeria. June 2004 Nigeria Final Draft RAP Rev 1 3-2 Chapter 3 indemnify the Company with respect to any valid claim made by any other person which is adverse to the Company's rights as set out above. While it is ultimately the Federal Government's responsibility to provide the corridor to the project, in reality, the project will work closely with the affected households to ensure that they are fully compensated in accordance with the local laws and international safeguard policies. Similarly, while it is the national state (FGN) that ultimately resolves the disputes, it is the responsibility of the project to ensure that these do not arise. Section 21.6 of the IPA states that the Company has an obligation to pay to the national State (FGN), on behalf of owners or occupiers, fair and reasonable compensation for the acquisition of Exclusive Possession Rights or permanent rights of way or permanent access rights. The principles and procedures for quantifying the amount of such compensation (together with procedures for resolving any disputes) shall be those applying under the prevailing laws of the relevant State. The obligations of the Company under this Clause shall be in addition to the obligations of the Company to pay compensation for damage or disturbance, in accordance with the prevailing laws. According to Section 21.7 of the Agreement, where the land over which the rights granted is owned by a national State or State Authority, rights shall be granted to the Company without charge, unless a charge for such land is provided for under local law as at the Execution Date, in which case the charge for such land shall be as would be applicable under that local law as at the Execution Date. As for the compensation for temporary right, Section 21.9 of the IPA states that the Company shall pay to any affected legitimate landowners or lawful occupiers of land entered in accordance with the granting of temporary rights fair compensation for disturbance or damage caused by the activities of the Company or the Project Contractors on such land. The principles and procedures for quantifying the amount of such compensation (together with procedures for resolving any disputes with respect to with respect to such compensation) shall be these applying under the prevailing laws of the relevant State. 3.3 National Legislative Framework The Land Use Act, Cap 202, 1990 Laws of Federation of Nigeria and the Oil Pipelines Act, Cap 338, 1990 Laws of Federation of Nigeria are the key pieces of legislation that have direct relevance to the project. Relevant sections of these laws are summarized in this section with respect to land ownership and property rights, eminent domain, and compensation. The Land Use Act is the applicable law regarding ownership, transfer, acquisition, and all such dealings on land. The Act categorized land in Nigeria into two main categories: urban and non- urban land. This categorization vests administration of urban land in the hands of the State Governor, while non-urban land is vested in the Local Government Councils. However, all land, whether urban or rural, belongs to the State, and is ceded to individuals through Certificates of Occupancy. The Act denies persons the ownership of land in the "Western" sense whereby the individual on whose name the land is deeded and registered will have the sole and inalienable rights. Instead, June 2004 Nigeria Final Draft RAP Rev 1 3-3 Chapter 3 the ownership is vested in the Governor of each State. The land is held in trust and administered by the Governor for the use and common benefit of all Nigerians. This rule makes it lawful for the Governor to grant statutory rights (whether or not in an urban area) of occupancy for all purposes; to grant easements appurtenant to statutory rights of occupancy; and to demand rent. Statutory rights of occupancy are for a definite term, and may be granted subject to the terms of any contract made by the State Governor and the holder. In non-urban areas, Local Government Councils may grant customary rights of occupancy for agricultural (including grazing and ancillary activities), residential and other purposes. Local Government Councils cannot grant a single customary right of occupancy in excess of 500 hectares for agricultural purposes and 5,000 hectares for grazing purposes, except with the consent of the Governor. The Land Use Act allows for a Local Government to enter, use and occupy for public purposes (thereby revoking customary rights) any land within its jurisdiction that is not any of the following: within an urban area; subject to a statutory right of occupancy; within an area compulsorily acquired by the Government of the Federation or of the relevant State; subject to any laws relating to mineral or mineral oils. The Lands Decree of 1993 (decree number 52) vests ownership of all lands within a 100-meter limit of the 1967 shoreline of Nigeria in the Federal Government of Nigeria. This vesting includes any other land reclaimed from any lagoon, sea, or ocean in or bordering Nigeria. 3.3.1 Laws on the oil/gas sector as they may be relevant for the WAGP The Oil Pipelines Act makes provisions for licenses to be granted for the establishment and maintenance of pipelines and ancillary purposes. An oil pipeline covers the conveyance of natural gas, as well as any substance used or intended for use in the production or refining or conveying of natural gas. The Act includes provisions regarding restrictions with respect to certain public facilities and venerated land, as well as compensation procedures. 3.3.2 Law on compensation for land and other assets The Land Use Act makes it lawful for the Governor to revoke a right of occupancy for overriding public interest. For both statutory and customary rights of occupancy, public interest includes the requirement of land for mining purposes or oil pipelines or for any connected purpose. Any such revoked right of occupancy shall be entitled to compensation under the Oil Pipelines Act. In determining compensation in accordance with provisions of the Oil Pipelines Act, the court shall apply provisions of the Land Use Act so far as they are applicable and not in conflict with anything in the Oil Pipelines Act (Section 20, Subsection 5). No compensation shall be awarded with respect to unoccupied land as defined in the Land Use Act, except to the extent and circumstances specified in the Land Use Act (Section 20, Subsection 4). The state is required to establish an administrative system for the revocation of occupancy rights and the compensation of the affected parties. Accordingly, the Land Use Act provides for the establishment of a Land Use and Allocation Committee in each state that determines disputes as to the amount of compensation payable under this Act for improvements on land (Section 2, Subsection 2c). In addition, in each State another body is required, namely a Land Allocation Advisory Committee responsible for advising the local Government on matters related to the June 2004 Nigeria Final Draft RAP Rev 1 3-4 Chapter 3 management of land. The Land Use Act entitles the holder and occupier of any customary right of occupancy that is revoked for public purposes to be entitled to compensation of their unexhausted improvements, for the value at the date of revocation (Section 6, Subsection 5). Where land under a customary right of occupancy used for agricultural purposes is revoked under the Land Use Act, the Local Government can allocate alternative land for the same purpose (Section 6, Subsection 6). Land acquisition requires approval of the State Governor. If a local government refuses or neglects within a reasonable time to pay compensation to a holder and an occupier, the Governor may proceed to the assessment of compensation under Section 29 of the Land Use Act and direct the Local Government to pay the amount of such compensation to the holder and occupier (Section 6, Subsection 7). According to Section 29, for both statutory and customary rights of occupancy, any such revoked right of occupancy for public purpose, which includes the requirement of land for mining purposes or oil pipelines, shall be entitled to compensation under the Oil Pipelines Act. According to the Land Use Act, compensation for future rents must be paid on crops, buildings, and installations. Compensation is to be assessed and determined by the appropriate officer, less any depreciation, plus interest at the bank rate for delayed payment of compensation (Section 29, Subsection 4b). However, the project will pay the negotiated compensation for acquired structures and other assets. The payment will be made in cash and not in installments. This will ensure that the affected population will be able to rebuild or replace their houses and other assets without difficulties. Asset valuation methods are presented in detail in Chapter 5. The Oil Pipelines Act provides for the holder of a license to pay compensation to any person whose land or interest in land is injuriously affected by the exercise of the rights conferred by the license. If the amount of compensation is not agreed upon between the affected person and license holder, it is to be fixed by a court in accordance with Part IV of the Act (Section 11, Subsection 5), as follows: if such a claim is made, the court shall award such compensation as it considers just in regard to any damage done to any buildings, crops, or profitable trees by the holder of the license, as well as any loss in value of land or interests in land. The court will also consider compensation for damage suffered by persons through neglect to protect, maintain or repair any work or structures, as well as a consequence of any breakage or leakage from the pipeline or ancillary station. In determining the loss in value of the land or interests in land of a claimant, the court shall assess the value of the land or interests injuriously affected at the date immediately before the grant of the license and shall assess the residual value to the claimant of the same land or interests consequent upon and at the date of the grant of the license and shall determine the loss suffered by the claimant as the difference between the values so found, if such residual value is a lesser sum. Where the interests injuriously affected are those of a local community, under Section 21 of the Oil Pipelines Act, the court may order the compensation to be: · Paid to any chief, headman or member of that community on behalf of such community; or · Paid in accordance with a scheme of distribution approved by the court; or June 2004 Nigeria Final Draft RAP Rev 1 3-5 Chapter 3 · Paid into a fund to be administered by a person approved by the court on trust for application to the general, societal or educational benefit and advancement of that community or any section thereof. Operators in the oil and gas sector have devised a means of compensating local communities, without being seen as contravening the provisions of the Land Use Act. This device is the "Payment for Deprivation of Use of Land," and payment is regulated by the Oil Producers Trade Section (OPTS) rates. The OPTS rates provide a compensation payment rate schedule, e.g., the amount payable for all crops and economic trees in Nigeria, categorized into young, medium, and adult (see Chapter 5 for further discussion of the use of application of OPTS rates in valuation of project-affected assets). The OPTS rates were last reviewed in 1998. While some communities may consider the rates inadequate, they remain currently valid as a schedule for compensation in Nigeria. Needless to say, they may be updated as and when the sector decisions-makers see fit. For purposes of this RAP, inflation-adjusted OPTS rates will constitute the minimum that affected owners will receive. If these rates are not accepted by affected owners, the compensation will be negotiated to the satisfaction of the stakeholders. 3.3.3 Law of expropriation or Eminent Domain As already mentioned, the Land Use Act makes it lawful for the Governor to revoke a right of occupancy for overriding public interest. For both statutory and customary rights of occupancy, public interest includes the requirement of land for mining purposes or oil pipelines or for any connected purpose. Any such revoked right of occupancy shall be entitled to compensation under the Oil Pipelines Act. The work carried out by the land expropriation team of WAPCo and the Estate Surveyors that the company has engaged shows that all affected households and groups are willing to sell their affected assets to the project. As of May 2004, the project has received no indication that Eminent Domain will have to be used to expropriate any of the land needed for the corridor and other permanent and temporary facilities. 3.3.4 Laws governing acquisition of state-owned assets, including land Laws governing acquisition of state-owned assets are not applicable as no state land is being acquired by the project in Nigeria. 3.3.5 Laws governing acquisition of tribal and community properties, including water resources, irrigation schemes, and access roads Tribal laws are not coded and do not form part of the body of laws of the Federation of Nigeria. Customs and tribal practices may affect the devolution of a deceased's estate but they are not relevant in the regulation of transactions in land by private treaty. Customs and tribal practices are sometimes relevant in determining traditional ownership of land (i.e., whether land is owned by a community, family, or individual) and the shares in which such interest is held but such customs and practices are numerous and diverse. June 2004 Nigeria Final Draft RAP Rev 1 3-6 Chapter 3 Under the Oil Pipelines Act (Section 14), the license shall not, unless it is expressly permitted by terms of the license, allow the holder to: · Construct any works upon any land which is the site of or is within 50 yards of any public road, dam, reservoir, or building belonging to or occupied by the Federal, or a State or Local Government3; or · Alter the flow of water in any navigable waterway, or construct such works in, under, or over any navigable waterway that might obstruct or interfere with the free and safe passage of vessels, canoes, or other craft; or · Construct such works in, under, or over, or deposit such material in or alter the flow of water required for domestic, industrial, or irrigational use that would diminish or restrict the quantity of water available, or construct works or make deposits in any waterway that would cause flooding or erosion. 3.3.6 Law of Land Registration, Land Ownership and Property Rights under different local regimes Each state government in Nigeria has laws requiring registration of interests in land. The Land Use Act provides for the establishment of a Land Use and Allocation Committee in each state that determines disputes as to the amount of compensation payable under this Act for improvements on land. This Committee would also have the responsibility for advising the Governor on any matter connected with resettlement. In Ogun State, the Bureau for Lands and Survey, Abeokuta, is the main government agency in the State. The Bureau has a good knowledge of land ownership in the State, and also has its own estate surveyor that will take part in the assessment and arrive at his own valuation. Based upon consultation with the Bureau, the following are the required Ogun State procedures regarding land acquisition: · WAPCo writes a formal letter to the Bureau informing them of the project's intention to acquire the said Right of Way (ROW), attaching a survey map showing the entire ROW. · The Bureau arranges for a joint inspection visit to the proposed Right of Way. · WAPCo places a notification and description of the ROW in local and national newspapers, and members of the public are invited to comment within a period of 21 days; · WAPCo conducts a Public Hearing in the community, followed by an additional 21-day period to collect public comment. This establishes a deadline to register comments and disputes; · Based on the outcome of the hearing and comment period, and contingent on the negotiation of outstanding disputes, a Certificate of Occupancy would be granted to WAPCo by the Bureau. 3This Act thus requires that WAPCo ask permission to bury the gas pipeline under the existing road infrastructure. June 2004 Nigeria Final Draft RAP Rev 1 3-7 Chapter 3 WAPCo will also be relying on the traditional Authority in the relevant Local Government Authorities (LGAs), the most prominent being the Olota of Otta, and the Akran of Badagry and the Oba of Igbessa. WAPCo will also seek out the local chiefs, and community leadership for assistance in identifying landowners as well as resolution of disputes. WAPCo may consult with the Local Government Council, in accordance with the Land Use Act that vests the administration of rural land in them. In Lagos, the State Ministry of Lands and Housing, Alausa, is vested with responsibility of administration of land in the State. However, the role of the Ministry is limited since the project is primarily seeking to acquire rights to rural lands. The provisions of the Land Use Act vests the administration of rural land in the hands of the Local Government Council; in reality, the community leadership and traditional authorities remain the custodians of rural land, and play a vital role in determining ownership and resolving disputes. It should be noted that the length of the ROW in the Lagos end is far less than in Ogun State. The Oba of Badagry will be involved as appropriate in addition to the community leaders and local Bales. 3.3.7 Construction rights and ROW enforcement Construction Rights The Oil Pipelines Act entitles the holder of a license to construct, maintain, and operate an oil pipeline and all ancillary installations, including roadways, telephone and telegraph lines, electric power cables, pumping stations, storage tanks, and loading terminals (Section 11, Subsection 3). The holder of the license shall have power to dig and obtain free-of-charge any gravel, sand, clay, stone, or other substance within the licensed land that will facilitate the construction or maintenance of a pipeline or any ancillary institution. A license may be granted for a period not exceeding 20 years (Section 17). Restrictive land use and ROW enforcement Under the Oil Pipelines Act, the holder of a license, his officers, agents, workmen, or other servants with any necessary equipment are allowed to enter upon and take possession of or use a strip of land of a width not exceeding 200 feet, or such other width(s) as specified in the license (Section 11) The Oil Pipelines Act makes it legal for the President, upon application by the holder of a license, to prohibit or restrict the construction of any building or type of building, or the carrying on of any cultivation or industrial or mining or oil mining activity within a specified distance, not exceeding 100 feet from the boundaries of the land or of any part of the land for which the license is granted (Section 12). The right to deviate from the route specified in the license may be granted at any time by the President (Section 13). Under the Oil Pipelines Act, the holder of a license, his officers, agents, workmen, or other servants with any necessary equipment are allowed to enter upon and take possession of or use a strip of land of a width not exceeding 200 feet, or such other width(s) as specified in the license June 2004 Nigeria Final Draft RAP Rev 1 3-8 Chapter 3 and to construct, maintain, and operate an oil pipeline and ancillary installations (Section 11, Subsections 1 and 3). 3.3.8 Laws pertaining to resettlement, re-location In Nigeria, the legal framework for land acquisition and resettlement is formulated in the Land Act Use of 1978 (modified in 1990) that in most regards is in accord with the World Bank Group policy for resettlement. The key differences between the Land Use Act and the World Bank`s OP 4.12 are related to rehabilitation measures, which are neither proscribed nor mandated in the Act. The Land Use Act provides for the establishment of a Land Use and Allocation Committee in each local state that has responsibility for advising the State Governor on any matter connected with resettlement. The Land Use Act does provide an option to accept resettlement in case of revocation of right of occupancy; where a right of occupancy with respect to any developed land on which a residential building has been erected is revoked under this Act, the Governor or Local Government, may in his or its discretion offer in lieu of compensation, resettlement in any other place or area by way of a reasonable alternative accommodation (if appropriate in the circumstances). While within the national and local legal system, the land-for-land arrangements are discretionary, every effort will be made by WAPCo to collaborate with the Governor and the local governments so that land in the vicinity of the project will be identified for the affected populations. This will allow the affected owners to decide whether they might want cash compensation or opt for alternative land with similar characteristics (plus sufficient compensation to replace the loss assets, such as homes, barns, wells). The Local or State Governments will be responsible for the administration of land replacement transactions, while the Project will bear the costs and logistical details associated with such replacement, including direct discussions with PAPs regarding acceptable replacement lands. 3.3.9 Appeals procedures as specified in national legislation The Oil Pipelines Act provides a notice of objection whereby any person whose land or interest in land may be affected by the grant of a license has the right to lodge objections verbally or in writing. 3.3.10 Laws regarding protection of cultural assets Under the Oil Pipelines Act, a license shall not authorize any person to enter, take possession of or use any of the following lands without the prior assent of owners or occupiers or persons in charge: · Land occupied by any burial ground or cemetery · Any land containing any grave, grotto, area, tree, or thing held to be sacred or the object of veneration The Act further stipulates that if there is any doubt regarding either the application of this restriction and/or the ownership/occupancy/persons in charge, the decision of the High Court in June 2004 Nigeria Final Draft RAP Rev 1 3-9 Chapter 3 this matter shall be final. The Environmental and Social Impact Assessment prepared for the project provides a more extensive coverage of the relevant issues. 3.4 Project Measures to Ensure Compliance with World Bank Group Resettlement Guidelines In Nigeria, WAGP RAP activities will be aligned with the World Bank Group OP 4.12 on Involuntary Resettlement as an effective and sustainable means of restoring the livelihoods of people affected by the implementation of the project. Where there are gaps between the Nigeria legislative norms and regulations in regard to compensation for land, the OP 4.12 will apply. In this regard, the OP 4.12 specifies that resettlement compensation and assistance should be offered to all displaced persons regardless of the total number affected, the severity of impact, and whether or not they have legal title to the land. In particular, the OP 4.12 indicates that compensation should be made to the following three categories of affected population: · Those who have formal rights to land, including customary and traditional rights recognised under the local laws · Those who do not have formal rights to land at the time the census begins but have a claim to such lands or assets, and · Those who have no recognisable legal right or claim on land they are occupying. OP 4.12 aims to ensure that the following key principles are in place: · The affected people are being offered choices including alternative resettlement options that are technically and economically feasible to them and are culturally appropriate. · Preferences are given to land-based resettlement strategies of the displaced people whose livelihoods are land-based and are indigenous. Such strategies must be compatible with their cultural preferences and should be prepared in consultations with them. · When the impacts require physical relocation, the resettlement measures must include provision of assistance during relocation (moving allowance), residential housing or housing sites, and agricultural sites, if necessary, that are at least equivalent to the old site in terms of productive potential and locational advantages. · Resettlement should include measures to ensure that the affected people are offered support for a reasonable transition period based on the estimate of time required to restore the original level of their livelihoods and standards of living. · The affected people should also be provided development assistance that includes land preparation, credit facilities, training, or job opportunities. · Particular attention should be paid to the needs and concerns of the poor and vulnerable groups including the landless, women, children, the elderly, ethnic minorities, and indigenous June 2004 Nigeria Final Draft RAP Rev 1 3-10 Chapter 3 people, as well as those displaced persons who may not be protected through national land compensation. · In host communities, infrastructure and public services must be provided to improve, restore, or maintain accessibility and levels of services of the displaced people and the host community. · In host communities, patterns of community organization must be restored appropriate to the new circumstances and based on choices made by the displaced persons. · Compensations must be made in cash or in-kind depending on the preferences made by the affected people. They should be made promptly in a form of a single payment and shall be at a market value agreed tp between willing buyers and sellers, which shall be considered as full replacement cost for the lost assets. · Cash compensation for lost assets may be appropriate under the following circumstances: a. Where the livelihoods are land based, but the land acquired by the project is a small fraction of the affected asset and the residual is economically viable. b. Where there is a sufficient supply of land, housing and labor which can be used by the displaced person; and c. Where the livelihoods are not land based In regard to public consultation and disclosure, the OP 4.12 indicates that: · The affected people should be identified and informed about their options and rights in regard to resettlement and should be given the opportunity to participate in planning, implementing, and monitoring of the resettlement activities. · A census of the affected population and broad consultations in the affected communities should be undertaken in order to not only identify those to be affected, but also to discourage inflow of people not eligible for assistance. · Participants in the consultations must include community leaders, NGOs and CBOs4 and other interest groups active in the project area. In addition to the OP 4.12 requirements regarding the public consultation process as a part of the resettlement activities, the WAGP in Nigeria will follow the IFC's guidelines formulated in "Doing Better Business Through Effective Public Consultation and Disclosure: a Good Practice Manual" (1998). These guidelines aim to ensure that: · The process of public consultation involves all stakeholders and affected populations in the identification, valuation, expropriation and/or dispute resolution. 4Community-Based Organization. June 2004 Nigeria Final Draft RAP Rev 1 3-11 Chapter 3 · The consultation process is highly participatory, accessible to all affected parties at all levels, and allows stakeholders to engage in the entire process of resettlement planning and implementation. Although the local legislation, including those regulating the investments in the oil and gas sector, does not require application of measures similar to those required by OP 4.12 to acquire land, WAPCo has fulfilled the requirements of the Involuntary Resettlement Policy as follows: · A census of all affected owners and users of the affected households has been prepared. · Extensive consultations with these households and their representatives have been carried out over a two-year period. · Socioeconomic surveys designed for the Environmental and Social Impact Assessment for the project have included subsets of households directly impacted. · All households have been offered land-for-land, home-for-home arrangements but have opted for cash compensation. Verification of people's preferences for cash has been sought, including through a Letter of Intent, drafted in May 2004. · Effort has been made to adjust existing compensation rates to inflation as a basis for willing- seller/willing-buyer price negotiations to purchase the affected assets. · All the land within the ROW will be made available to the people for uses other than cultivation and construction; this means that access to markets, jobs, and different parts of the farms will not be hindered. The measures illustrated above are not imbedded in the local laws and regulations. They are also not required in order to purchase land from willing sellers. Rather, these measures have been specially formulated for WAGP to close the gaps that exist between international norms and local standards. These are discussed more fully in Chapters 5, 6, 7, and 8. June 2004 Nigeria Final Draft RAP Rev 1 3-12 Chapter 4 Chapter 4 Overview of Project-Affected Communities 4.1 Introduction Three sources of field data were drawn upon to prepare the description of the existing socioeconomic situation of the project-affected areas in Nigeria: · Household surveys conducted in support of the Environmental and Social Impact Assessment (ESIA) prepared for the project1 and based on a sample of 510 households of which 163 are directly affected by asset acquisition activities of the project; these were complemented by ESIA community surveys. ESIA surveys covered a total of 27 communities of which, 23 are directly impacted by asset acquisition activities; · Information from public consultations that provided qualitative data; and · The Estate Survey based on a complete census of all 2,485 claimants and the full inventory of affected assets, including 2,578 plots. A small-scale qualitative RAP study also provided inputs. In addition to primary data, secondary data were gathered to obtain information about the demographics, health, employment, income, education, infrastructure, and sources of energy among the affected communities. Secondary sources included a variety of existing country studies and data sources from the World Bank, the United Nations, and the CIA World Factbook. Whenever possible, however, primary sources of data formed the basis for this analysis. These were useful in providing the broad context within which specific RAP issues were placed. To meet the World Bank OP 4.12 requirements for the preparation of the RAP, the issues were narrowed down to those people and communities whose livelihoods were impacted as a result of the project's land-and-asset acquisition activities. The report focuses on the areas affected by the WAGP: the Alagbado "Tee" site, pipeline ROW, compressor station site, onshore pipeline ROW from the compressor station to the offshore pipeline shore crossing at the Atlantic coast, and any areas to be occupied by ancillary facilities. Most of the surveyed communities are categorized as rural, non-fishing communities. However, four out of the 23 communities that are directly affected (Ajido, Imeke, Iworo, and Tori-Lovi) are situated by or near Badagry Creek, and fishing constitutes a source of livelihood for at least some residents. Itoki and Igbesa are in Ifo and Otta Local Government Areas (LGAs), respectively, and are classified as semi-urban. A comprehensive, dated list of directly affected people in Nigeria and their relevant socioeconomic characteristics has been developed based on the Estate Survey. This list will be made public in appropriate public places after the Final Investment Decision (FID) is taken. 1A total of 27 communities was surveyed by the social impact assessment team. Of these 23 will lose some land to the project. This group of 23 is referred to as `directly affected communities.' June 2004 Nigeria Final Draft RAP Rev 1 4-1 Chapter 4 4.2 General Findings of the Socioeconomic Survey The findings of the socioeconomic survey specific to the project area reveal that the project impacts are highest in the rural areas and on agricultural land. Household incomes increase in direct proportion to the amount of land held by families. Thus, the higher the amount of land lost by households, the higher the adverse impacts will be. It is therefore of great importance to devote attention to the valuation of land, trees and other crops so that lost assets are replaced and incomes are restored. It is also important to note that affected families lose less than 4 percent of their land holdings in most communities. As a result, the overall impacts will be small. Affected families typically ask for cash compensation from the project. With their compensation, they can restore lost incomes by either replacing the land and/or by intensification of agriculture in their remaining land holdings. The following are the key findings of the socioeconomic analyses of the affected households: · In Nigeria, the WAGP route will cross country's 2 western states- Lagos State and Ogun State ­ bisecting a total of 23 communities with a total population of approximately 90,000 people. The communities include Itoki, Ijoko, Alade, Owode, Ajibode, Ewupe, Atuwara, Abule Benja, Igbo Oloye, Arobieye, Abiola, Okoomi, Ore Akinde, Edu, Agbara, Igbesa (Agotutun), Ilogbo Ijobun, Ilogbo Eremi, Agunmo, Araromi Ale, Imeke, and Ajido. · The directly affected people include 1,557 landowners and 928 tenants. · Among the 23 directly affected communities, Igbesa bears the highest impacts in terms of number of landowners and tenants affected, including women-led households among them. · A large proportion of the directly affected households is rural, and most of them have been living in the same community since birth. As a result, they would be less likely to accept resettlement in another community. · All affected households prefer cash compensation, despite being offered in-kind compensation based on land-for-land arrangements. · There is no significant difference between the directly affected households and other members of their communities in terms of ethnic origin. Similar procedures for land acquisition will apply across all ethnic groups. · Female landowners constitute a smaller portion of the affected people, and they also lose less land than the men. This may be due to women owning smaller amounts of land. Male landowners, on average, lose twice as much land as female landowners. Women do not lose more than proportionate to their holdings and thus will not be vulnerable. · Age-specific vulnerabilities are also not visible. There are indications, however, that the elderly are over-represented among the landowners in some communities and may need greater assistance and special considerations. June 2004 Nigeria Final Draft RAP Rev 1 4-2 Chapter 4 · The proposed pipeline route has identified residential structures, including ownership and construction status. Most residents own their houses. Structures are completed, partially completed, or at the foundation level. · Education and literacy rates are high among the population in the affected areas, thus facilitating the dissemination of information regarding the project. · Agriculture is the most important income generating activity for both the communities in general and the directly affected households. About 72 percent of the directly affected households engage in subsistence agriculture while 43 percent grow commercial crops. Most households define themselves as self-employed agricultural workers, and indicate that they are highly dependent on access to land. This makes it crucial to provide adequate compensation for the affected people for the loss of land assets. · Livestock management is not widespread among the directly affected households, although a significant portion of them keep poultry and sheep. This attribution is similar to the rest of the affected communities, as well. · Directly affected households are more likely than others to be reliant on the income- earning abilities of only one or, at the most, two household members. Other households in affected communities tend to have more than two people earning incomes. · The reported income levels of directly affected households are low; in addition, the expenditure data indicate that they have a significantly higher level of expenses than average in affected communities. This is consistent with the indicator that they are more reliant on agriculture and, as a result, may miscalculate their reported income levels more than the other households. It is also important to note that their high dependence on land would make them more vulnerable to the potential adverse effects of the project. In general, residents in surveyed communities have a good level of access to basic infrastructure and household items. · There is no significant difference between the directly affected households and others with regard to ownership of household and transport assets. Therefore, if the directly affected households opt to obtain land elsewhere, or relocate their homes, they will not be disadvantaged in comparison with other members of their communities. · Households in surveyed communities view the project in a positive light, mainly due to its expected employment impact as well as benefits to be accrued during the operation of the pipeline. However, they are concerned about the transparency of the process, and the potential adverse post-construction developments. Restoration of land and environmental resources to their previous state, as well as prompt payments for land acquired, constitute a priority among people's expectations of WAGP. 4.3 Survey Instruments The socioeconomic surveys were carried out primarily for broad social impact analysis and did not specifically target the households whose lands and other assets will be acquired for the project (Annex 4.1 and 4.2). The objective of these surveys was not to establish the magnitude of project impacts on directly affected households. The surveys also lacked data to measure the June 2004 Nigeria Final Draft RAP Rev 1 4-3 Chapter 4 household income attributable to the project-affected productive assets2. Nevertheless several indicators could be used. To better understand the characteristics of the directly affected populations, two procedures were used. First, two samples were separated: (i) households from communities in the vicinity of the pipeline corridor; and (ii) households from communities that will lose land to the project. The comparison of these two samples helped identify the differences between communities directly affected by land acquisition activities of the project and those that will be indirectly affected. Secondly, within the directly affected communities, those households that mentioned that they were either close to or on the pipeline were isolated into a separate file. The socioeconomic characteristics of these households were analyzed, keeping in mind that the affected tenants would be excluded from this group. The relevant data are presented in this chapter. Socioeconomic Impact Assessment (SIA) Household Survey The household survey was carried out in June 2003 in 27 communities in or adjacent to the project footprint. Households surveyed included project-affected populations (PAP) and non- PAP members of the adjacent communities. For purposes of the EIA social impact assessment household surveys, a random sample of 510 households was drawn from the 27 communities located close to the pipeline and other facilities to be built. In each of the villages, at least 10 households were surveyed. Considerably more households were surveyed in the larger communities. Based on these figures, the team sampled an adequate number of households to yield statistically significant analyses of the data. The survey is considered representative of the pipeline corridor as a whole. Two sub-groups were selected within the survey sample to conduct the comparative analyses on the survey data. The first sub-group represents 397 households living in communities directly affected by the project. The second sub-group, made up of 163 households, either lives in close proximity to the pipeline (less than 200 meters) or has indicated to the surveyors that the pipeline construction will affect them directly. The second group is considered to be the "directly affected households," thus allowing differences between affected communities in general and the directly affected households to be examined.3 4.3.1 SIA Community Survey Community surveys were conducted during June 2003 in each of the 27 communities in or adjacent to the project ROW (covering both PAP and non-PAP residents of these communities). Again, 23 of these communities were isolated to obtain information on the characteristics of communities directly impacted by the land acquisition activities of the project. In these areas, a diverse group of community members was invited to participate in the assessment of community characteristics as well as in the evaluation of perceived impacts of the proposed project. The 2As such, the socioeconomic data requirements specified in OP 4.12 with respect to the project-affected populations were met through re-analyses of the social impact assessment data. A small scale base-line data set regarding the directly affected households will also be prepared as part of the monitoring effort to fill in any data gaps that may have existed during the preparation of this RAP report. 3The team writing the RAP report did not participate in any of the fieldwork. Rather, it worked on the data available through estate surveys and social impact assessment studies. June 2004 Nigeria Final Draft RAP Rev 1 4-4 Chapter 4 groups generally consisted of between five and 10 people, of diverse gender, age, and social status. These well-publicized initial community meetings also provided an opportunity to inform the community of project activities and initiate the process of community consultations. 4.3.2 Public Consultations WAGP had conducted 35 formal stakeholder consultations in Nigeria as of December 2003. At these consultations, stakeholders were given a forum through which to provide their input on EIA-related concerns, issues, and other matters relating to the RAP. Of the 35 consultations held, the issue of land acquisition and compensation was a focus for discussion at 23 of these meetings. This clearly showed how sensitive the people were to the land acquisition component of the project, including procedures and compensation methods and levels. In addition, 13 communities in and around the project area in Nigeria have been consulted more extensively. Chapter 7 provides a discussion and a summary table of individual consultations, minutes, and notes from a number of the consultations. These consultations involved both project-affected people and others. 4.3.3 Estate Survey An independent Estate Survey and assessment was conducted in and around the project area, focusing specifically on the households whose land and other assets will be acquired by the project. The Estate Survey is a census of all 2,485 affected households and all their assets, including 2,578 land plots. The assessment was conducted in accordance with Nigerian land acquisition laws and regulations, the Oil Pipeline Acts of Nigeria, and all applicable legal norms. The Estate Survey determined exact land demarcations, access issues, ownership, community stakeholder issues, valuations, and assessments of property to be purchased. Chapter 6 of this report relies heavily upon the detailed information provided to quantify the amount and type of land impacted and the subsequent socioeconomic consequences of the proposed land acquisition. 4.3.4 Preliminary Qualitative Study in Support of the RAP The ESIA Consulting and Citizens International team, with support from Estate Surveyors and the WAGP External Affairs representatives compiled the following types of information for the preparation of the draft RAP4: · Full records of Environmental and Social Impact Assessment (ESIA) consultations with affected people focusing on land acquisition issues · Community surveys portraying collective perceptions of project social and economic impacts on communities that will lose land and/or water resources to the project · Relevant documentation, including legal research and policies/procedures on land acquisition and compensation methods, which will guide the land acquisition process 4The team writing the RAP report did not participate in fieldwork. It relied on information made available by WAGP. June 2004 Nigeria Final Draft RAP Rev 1 4-5 Chapter 4 · Complete census records of affected populations (owners and tenants of the land to be acquired) · Social Impact Assessment (SIA) surveys covering a sample of households that either lose land to the project or have land almost adjacent to the pipeline and/or other project facilities requiring land acquisition · Census of all affected assets completed by independent Estate Surveyors · Valuation procedures and policies already in use within the oil and gas sector in Nigeria, and · Minutes of meetings organized specifically for the RAP to inform the affected landowners and to announce cut-off dates The RAP team, with assistance from WAGP External Affairs and ESIA's in-country socioeconomic experts, traversed a portion of the pipeline route. Interviews were conducted with groups of PAPs, in addition to those listed above, in two communities (Itoki and Ijoko), as well as with local authorities and independent Estate Surveyors. 4.3.5 Secondary Sources Additional information was obtained from existing regional data sources, including the National Population Census Figures of 1991, the Annual Abstract of Statistics of the Federal Office of Statistics (FOS), and the Lagos State Statistical Record. This report is also based on a review of existing data collected by the Nigerian Institute of Social and Economic Research (NISER), and additional national data collected from multilateral sources such as the World Bank, the United Nations, and the African Development Bank. 4.4 General Description of Project-Affected Communities As described in Chapter 2, the proposed pipeline route will start at the Alagbado "Tee," near the town of Itoki, and continue 56 km to its terminus at the Lagos Beach Compressor Station at Ajido. An additional 2 km of the pipeline runs from the compressor station to the Atlantic coastline. The initial 4 km parallels an existing NNPC/NGC Ewekoro gas pipeline ROW, and the following 32 km of this route parallels an existing pipeline ROW owned and maintained by Shell Nigeria Gas Limited (SNGL). A number of small villages and areas of agricultural production are located along the 58 km onshore section of the proposed ROW that will be affected by the proposed project. Approximately 22 percent of the pipeline ROW is expected to pass through swamps or wetland areas. The proposed pipeline will also cross roads, streams, and rivers. A compressor station will be located at the terminus of the onshore pipeline at Badagry Beach. The permanent compressor station footprint, along with the adjacent, temporary construction area and a possible concrete batching facility, will be located on land currently cultivated for crops. June 2004 Nigeria Final Draft RAP Rev 1 4-6 Chapter 4 The proposed pipeline routing, facility siting, and surveyed communities are all in the Lagos metropolitan area, in the western region of Nigeria.5 Administratively, the communities in and around the proposed ROW fall into two states: Ogun and Lagos States. Regardless of state-level jurisdictions, all the surveyed communities are considered to be within the Lagos metropolitan region. Table 4.4-1 lists the individual communities surveyed that will be affected by the pipeline project (as indicated by the Estate Survey), the state in which they are located, and the component of the proposed project located in or near the community. Ogun State borders Lagos State directly to the north and east. Some suburban communities in the area share borders with both Ogun and Lagos States. 5States in Nigeria are grouped into six geopolitical zones based on linguistic affinity, contiguity, and cultural affiliations. The project area is in the southwest zone. The terms "western" and "southwestern" region are often used interchangeably to describe this region of Nigeria. The broad term "western region" is used in this section to refer to the region that encompasses Lagos, Ogun, Osun, Ondo, and Oyo States. June 2004 Nigeria Final Draft RAP Rev 1 4-7 Chapter 4 Table 4.4-1 List of Surveyed Communities6 Community Project Component State Itoki Alagbado "Tee" Ogun Ijoko Ota Pipeline ROW Ogun Alade Pipeline ROW Ogun Owode Ijako Pipeline ROW Ogun Ijoko Ilemode Pipeline ROW Ogun Ajibode Pipeline ROW Ogun Ewupe Pipeline ROW Ogun Igberen Pipeline ROW Ogun Egusi Pipeline ROW Ogun Igboloye Pipeline ROW Ogun Arobieye Pipeline ROW Ogun Abiola Pipeline ROW Ogun Itori Pipeline ROW Ogun Oko-omi Pipeline ROW Ogun Araromi Pipeline ROW Ogun Igbesa Pipeline ROW Ogun Ilogbo-Eremi Pipeline ROW Lagos Araromi-Ale Pipeline ROW Lagos Ajido Compressor Station Lagos Agemowo Pipeline ROW Lagos Imeke Pipeline ROW Lagos Source: Nigeria Population Commission (NPC, 1991) The communities in Ogun State are in two distinct Local Government Areas (LGAs): Ado-Odo Otta and Ifo. Five of the surveyed communities are in Lagos State. All the communities in Lagos State are located in the Badagry LGA. Figure 4.3-1 illustrates the location of the project- affected communities in relation to the WAGP pipeline ROW. 6This table shows those communities that would be directly affected by pipeline construction for which, social impact data exist. June 2004 Nigeria Final Draft RAP Rev 1 4-8 Chapter 4 Figure 4.3-1: Nigeria Communities Map and Project Facilities June 2004 Nigeria Final Draft RAP Rev 1 4-9 Chapter 4 As a result of the location of the surveyed communities within the Lagos metropolitan region, there is a high level of interaction between the communities and Lagos, the most populous city in Nigeria. These interactions and interchange of people, goods, and services, as well as information, have resulted in a high level of awareness within the surveyed communities not only about local issues, but also about regional and national issues, and a high degree of integration of the surveyed communities into the monetary economy of Lagos and Nigeria. The household and community surveys revealed that community members are very knowledgeable about the history of similar projects in other parts of Nigeria and the effects of these projects on nearby communities. They are also conscious of their rights, and have clear expectations of WAPCo. As a result of their close proximity to Lagos, many residents in the surveyed communities are considerably more cosmopolitan than other rural communities and residents in Nigeria. This can be linked to the significant number of migrants in many surveyed communities. The surveyed communities enjoy higher average income levels and access to better infrastructure than many communities throughout Nigeria. Nevertheless, infrastructure and general development levels remain basic compared to industrialized standards, and are perceived as such by community members. 4.4.1 Population Population density in the western region of Nigeria is higher than the national average of 139 persons per km2 in 1997. Lagos State, the country's most commercial and industrial area, has the highest population density among states in the western region, greater than 400 persons per km2. Ogun State has the lowest population density, between 100 to 200 persons per km2.7 Table 4.4-2 shows the population densities of five of the six LGAs in and around the proposed pipeline ROW. Table 4.4-2: Population in Local Government Jurisdiction Areas Number of Total Population LGA State Households Population Density (km2) Ado Odo/Ota* Ogun 59,305 234,647 107 Ifo* Ogun 55,878 215,055 --- Badagry* Lagos 27,819 119,267 270 Ifako/Ijaye Lagos 92,204 328,397 12,340 Alimosho Lagos 98,305 430,890 2,327 Ojo Lagos 53,129 213,837 1,352 Population information concerning the directly affected communities and the magnitude of household impacts has been provided in Chapter 1. 7Source: UN Food and Agriculture Organization, 2003. June 2004 Nigeria Final Draft RAP Rev 1 4-10 Chapter 4 4.4.2 Demographics The population in most surveyed communities is comprised of relatively young individuals and married households. The heads of household in the surveyed communities have a mean age of 44 years. Most of them are married (71 percent), while 16 percent are single and 7 percent are widowed. In terms of gender, the LGAs where the surveyed communities are located, have an almost even distribution of men and women. The population is 51 percent male and 49 percent female in Badagry LGA, 50 percent male and 50 percent female in Ado-Odo-Ota LGA, and 51 percent male and 49 percent female in Ifo LGA. These figures closely mirror the national ratio of 50 percent male and 50 percent female.8 Migration into the western region, particularly to the Lagos metropolitan area, is common because the Lagos-Ota-Badagry axis is the leading industrial and commercial region of Nigeria, outside of the oil producing areas to the southeast. Due also to an extensive transportation infrastructure that connects the area with various communities in the southern region, the Lagos metropolitan area is very attractive to migrants and jobs seekers. Migration into this region has impacted the communities surrounding the pipeline, as people are increasingly using the areas as bases for commuting to urban areas for commerce and work. Although most households in the surveyed communities are native to their respective community, there are no "indigenous" people, as defined by the World Bank, in the pipeline ROW. Furthermore, the number of migrants in many surveyed communities is relatively significant as indicated in Figure 4.4-1. Migrants typically come from communities in the southern region of the country. The proportion of migrants in semi-urban and urban areas of surveyed affected communities is significantly higher than in the rural areas of communities in the vicinity of the pipeline. A higher portion of the directly affected populations is rural, and a smaller number of them are migrants. The project will impacts this rural population, although since the rural areas along the project ROW are not isolated and are relatively mobile and dynamic, social and psychological impacts of resettlement are unlikely to be as great as if they were isolated. In addition, directly affected households are well-grounded in their communities. Thus, they are likely to stay in the area after losing their assets. 8ESIA Housing and Community Survey, 2003; World Bank Country Data Profile, 2002; CIA World Factbook, 2002. June 2004 Nigeria Final Draft RAP Rev 1 4-11 Chapter 4 Figure 4.4-1: Migratory Status9 PAP Communities - Urban 70 60 Migrants 50 Non-migrants 40 30 20 10 PAP - Rural PAP 0 Communities - Rural PAP - Urban Source: ESIA Household Survey. 2003. 4.4.3 Ethnic Groups The Yoruba are the second largest ethnic group in Nigeria, comprising approximately 21 percent of the nation's population (CIA World Factbook, 2002) and traditionally residing in the western region. The proposed pipeline will pass through sections of Nigeria where the Yorubas are the major ethnic group. Some non-Yoruba ethnic groups are also present in surveyed communities, but are in the minority. In general, 77 percent of the households in the survey area belong to the Yoruba ethnic group, while 13 percent are Eegun and 3 percent are Awori. The Eeguns and Aworis are culturally close to the Yorubas and are sometimes regarded as sub-ethnic groups of the Yorubas. Not only are most of the households Yoruba, the Yoruba language is the most widely spoken language in the surveyed communities, even among some minority ethnic groups. The ethnic and language composition suggests that the surveyed communities are quite homogenous from an ethnic standpoint and not heavily influenced by external cultures (Table 4.4-3). However, there is no significant difference between the directly affected households and 9All the tables and graphs in this chapter use the following descriptions: "PAP" (project-affected people) refers to people/households who will be losing land to the project. "PAP communities" represent households that reside in communities that will be losing land to the project, but will not be affected themselves. "All" are all the households that live in communities that neighbor the project area but are not directly affected by land acquisition activities themselves. June 2004 Nigeria Final Draft RAP Rev 1 4-12 Chapter 4 the others in terms of their ethnic origin, Procedures for land acquisition will apply across all ethnic groups. Table 4.4-3: Ethnic Groups in the Surveyed Communities All Households Non-PAP (%) PAP (%) (percent) Yoruba 77 78 72 Eegun 14 14 20 Awori 3 3 4 Others 6 5 4 n 510 396 163 Source: ESIA Household Survey. 2003. * The differences in the percentages given in this table are statistically significant. 4.4.4 Household Structure and Size The household structure of the Yoruba parallels the patriarchal leadership structure of most Nigerian ethnic groups. Men are typically the head of Nigerian households, and head approximately 73 percent of the households in the surveyed communities. The three different types of male-headed household structures are traditional (one husband and one spouse), polygamous, and single male (male with no spouse, including widowers and males that have never been married). Traditionally, the male is responsible for all the major household decisions. Household sizes vary from region to region, and between male-headed and female-headed households. In addition to immediate family members, households also frequently include extended family and household labor. Based on data collected between 1985 and 1990, Nigeria's average household size was 5.4 persons (United Nations STATS, 2003). There is no significant difference between rural and urban households, as household size is more influenced by tradition and cultural considerations. However, female-headed households typically are smaller households (FOS, 1998). The household size in the survey area also varies considerably depending on factors such as the age of the heads of household and whether the household is traditional, polygamous, or headed by a single adult. The average household size in the surveyed communities is five members, and ranges up to as large as 10 or more individuals. 4.4.5 Community Leadership and Governance Although the traditional political and social systems vary in different parts of the Yoruba regions, each town usually has a leader (Oba), who achieves his position in one of the three following ways: inheritance, participation in title associations, or personal selection by an Oba already in power. A council of chiefs usually assists the Oba in his decisions. Title associations, such as the Ogboni, also play an important role in assigning and balancing power within the cities (University of Iowa, Department of History, March 1999). Supplementing the traditional governance structures are other civil society institutions that participate in some forms of governance. These systems also help identify the critical stakeholders, with whom consultations are normally held for development projects, including those such as WAGP that involve land acquisition and resettlement. June 2004 Nigeria Final Draft RAP Rev 1 4-13 Chapter 4 In terms of conflict resolution and redress, most people in the western region depend on Courts of Law to resolve disputes. A significant number of people also use traditional councils. Other forms of governance include the meeting of parties and use of an independent arbitrator (NISER, 2002). These formal and informal institutions will also be included in the recourse mechanisms. 4.4.6 Historical and Cultural Resources The following historical and cultural resources have been identified in the project ROW: six churches, 16 grave sites, three praying grounds, and 60 shrines (Table 1.2-4: Characteristics of Affected Plots). In addition, the survey area includes the homes and palaces of traditional rulers, as well as a shrine located approximately 50m from the proposed compression station site near Ajido. The homes and palaces range from simple to elaborate depending on the position of the associated leader in the Yoruba political hierarchy. The local traditional shrines in the area are maintained for historical and cultural purposes. They do not serve a religious purpose because most of the population adheres to Christian or Muslim beliefs. WAPCo is now in the process of re-evaluating whether slight modifications of the pipeline corridor can avoid damage to churches, shrines, graves, and praying grounds. Every effort will be made to leave these cultural elements intact. Should this be impossible for any of these cultural elements, WAPCo will relocate these in close collaboration with the affected people and their communities either directly or through compensation. 4.4.7 Access to Infrastructure and Quality of Life Residents in most surveyed communities have access to basic infrastructure, and services, including education and health care facilities. This is due to their proximity to the leading industrial axis in the country. The following subsections describe the availability of infrastructure and services in the surveyed communities. 4.4.7.1 Transportation The residents of the surveyed communities are mobile. Most travel takes place on foot because the journey to work and other activities is largely by trekking. However, a number of public transport operators also provide train, taxi, and bus services between settlements in and adjacent to the proposed pipeline ROW and the major urban centers of Lagos, Ota, and Badagry. Motorcycle is another major means of transportation within the area. There is also some water transport in the Ajido area, the only river-oriented community along the proposed pipeline route. About 27 percent of the schoolchildren in the surveyed communities cross the proposed pipeline route on their way to and from school. Members of 52 percent of the households cross the proposed pipeline route to fetch fuel wood. Other activities that would necessitate crossing the pipeline route include commuting to work (57 percent) and receiving health care (57 percent). Throughout the pipeline corridor, school- and work-related travel of the people will not be hindered; in rural areas the ROW will not be fenced, while in urban and semi-urban areas, where the ROW might be fenced, appropriate openings will be created to avoid inconvenience to children and workers. June 2004 Nigeria Final Draft RAP Rev 1 4-14 Chapter 4 As indicated in the map below (Figure 4.4-2), the proposed pipeline will cross a number of tracks, roads, and rivers used for transportation purposes. Rivers that will be crossed include the Imede, Ogbe, Ore, and Owo Rivers. The proposed pipeline ROW will also cross the following three major highways: Otta-Akute, Otta-Idi-Iroko, and Lagos-Badagry highways. There is dense traffic on the Otta-Idi-Iroko and Lagos-Badagry routes since they link Nigeria to the neighboring Benin Republic. In all, the ROW will cross 32 roads, including 11 larger highways to be crossed using thrust boring and 21 smaller roads to be crossed using trenching techniques. The use of thrust boring technology will minimize impacts on traffic, since road closures will not be necessary during pipeline installation. Trenching across the smaller roads will require closure during the short construction time-frame to install the crossing. Alternate routes will be marked for traffic, and a normal traffic flow over the road should occur within a few days. Thus, the adverse impacts of road crossing will be avoided both through the use of specialized technology and by the temporary use of alternative routes (Chapter 2). 4.4.7.2 Telecommunications Nigeria's fixed telephone lines are generally regarded as inadequate (CIA World Factbook, 2002). Compared to urban residents, rural residents must travel longer distances to access a telephone facility (NISER, 2002). Despite a growing number of urban residents using mobile phones, most people in urban and rural areas in the western region do not have access to telephone facilities in their communities. Generally, public phones are not available in the surveyed communities. However, there are some communities where many residents use private phones. The project will have no impact on the telecommunication infrastructure. 4.4.7.3 Housing and Other Building Structures As in other rural areas of Nigeria, there is a mix of traditional and modern house types in the surveyed communities. However, in most of the project-affected communities the modern house types, which have concrete walls and aluminum/corrugated iron-sheet roofs, predominate (ESIA Household and Community Survey, 2003; World Bank Country Data Profile, 2002; CIA World Factbook, 2002). A number of residential structures identified in the Real Estate Survey will be affected by the project activities (Table 1.2-4: Characteristics of Affected Plots). WAPCo has identified the owners of these structures and will provide compensation for the affected structures. 4.4.7.4 Community Amenities, Facilities, and Social Services The limited community amenities, facilities, and social services available in the surveyed communities include community centers/town halls, entertainment halls, market places, and football fields. Less than half of the communities have a community center/town hall and only about 10 percent have entertainment halls. In about two-thirds of the communities, there are football fields, owned by educational institutions and available for community use. Additionally, one noteworthy tourist attraction is the Whispering Palm Resort, which is located in Iworo, several kilometers from the ROW. June 2004 Nigeria Final Draft RAP Rev 1 4-15 Chapter 5 Figure 4.4-2 West African Gas Pipeline Equipment/Material Delivery Route June 2004 Nigeria Final Draft RAP Rev 1 4-16 Chapter 4 Traditional, open-air markets are very important amenities for shopping and socializing. Both daily/permanent and periodic markets exist in the area. Thirty-three percent of the surveyed communities have daily/permanent markets, whereas 67 percent have periodic markets. These are not affected by the land acquisition activities of the project. 4.4.7.5 Education Nigeria has an extensive primary, secondary, and tertiary educational system. There is an average of one primary school in each of the surveyed communities, whereas only eight surveyed communities have secondary schools (both junior and senior). There are no tertiary institutions in the surveyed communities. Less than 20 percent of the adults in these communities have no education, an estimated 30 percent have primary education, 32 percent have secondary education, and about 15 percent have tertiary education. Among the affected populations, about 18 percent have no education, while 26 percent have a primary education, 36 percent have secondary education, and 16 percent have either a higher or a vocational education. The literacy rate is quite high in the surveyed communities, with approximately 86 percent of the population aged 15 and older able to read and write in English. Thus, given their high literacy rates, the affected populations understand issues pertaining to social and land acquisition impacts. 4.4.7.6 Land and Water Use Agricultural activity is the major occupation of households living in affected communities; it is the most important economic activity for the directly affected households. The level of agricultural activity in directly affected households is higher than that in the community as a whole; about 72 percent of those engage in subsistence agriculture while 43 percent also have commercial crops on their land. As already indicated, fishing is not widely practiced in the area, and is a significant means of livelihood in only four of the surveyed villages (Ajido, Imeke, Iworo and Tori-Lovi). In Ajido, subsistence fishing and small-scale commercial fishing are practiced. Agro forestry, consisting of cultivated and/or harvested hard and soft woods, would be affected. Community water resources will not be as greatly affected, and should still be accessible throughout the construction phase. Table 4.4-4 summarizes in detail the land use in the impacted areas. June 2004 Nigeria Final Draft RAP Rev 1 4-17 Chapter 4 Figure 4.4-3: Land-Use Patterns in Surveyed Communities 80 sdlohe 70 60 us ho 50 oftnecr 40 Subsistence farming 30 Commercial farming pe20 Small business 10 Other uses 0 All households Non-PAP PAP Note: Uses are not mutually exclusive; households use multiple lands for multiple purposes. Source: ESIA Household Survey, 2003. June 2004 Nigeria Final Draft RAP Rev 1 4-18 Chapter 4 Table 4.4-4: Land Use Within Identified Land Parcels to be Acquired by WAPCo Land Use Number of Affected Land Total Area Lost to the Project Segments (m2) Agriculture 8,354 1,184,389 Agriculture-Softwood 1,001 84,987 Agriculture-Hardwood 305 49,368 Structure 217 62,487 Agriculture-Flowers 26 13,900 Agriculture-Medicine 5 Community Rights and Royal/Traditional Rights 48 Cultural Assets 85 3,860 Fish Pond 13 Fishing Stream 8 8,400 Water Tank 3 220 Water-Borehole/Well 35 1,780 Water-Pit Toilet 3 Water-Reservoir 5 1,290 Water-Septic Tank 7 Water-Soak-Away Pit 13 1,040 Water-Surface Reservoir 8 Wetland 8 2,302 Other 2 Total 10,194 1,437,272 Source: Nigeria Estate Survey, 2003. The household survey also indicates that most households cultivate their land, and that the directly affected households use their lands for subsistence farming, as well as commercial farming activities. The Estate Survey indicates intense agricultural activity on the affected lands. Access to land resources that would be affected by the project is thus crucial for the livelihood of the affected people. 4.4.7.7 Energy Consumption In the surveyed communities the sources of energy include electricity, fuel wood/charcoal, and natural gas/LPG and petroleum products (e.g., kerosene). For most households, fuel wood/charcoal and petroleum products are the most affordable and reliable sources. Different sources of energy are used for different domestic purposes in households, as Table 4.4- 4 indicates. Petroleum products and electricity are the most commonly used for lighting, with LPG only used by 11 percent of the households. Finally, electricity is by far the most important source of energy for cooling (97 percent). Since petroleum products, electricity, and LPG are the most important sources of energy for cooking and lighting, the project will not impact the firewood needs of the affected population. June 2004 Nigeria Final Draft RAP Rev 1 4-19 Chapter 4 Table 4.4-5 Distribution of Energy Sources by Domestic Use in Surveyed Communities Source Cooking Lighting Cooling Petroleum Products (kerosene) 56 52 18 Freely collected firewood 40 - - Purchased firewood 19 11 - Electricity 30 51 97 LPG 30 11 - Charcoal 16 11 - Source: ESIA Household Survey, 2003. Note: Uses and sources are not mutually exclusive; households use multiple uses of energy. Although the pipeline project is designed to deliver energy to Benin, Togo, and Ghana, it will not provide energy to the affected region in Nigeria. Thus, no direct impacts of the project on household energy use patterns will emerge. 4.5 Micro-economic Situation The economy in the surveyed communities is largely based on farming, trade and commerce, and professional services. The close proximity of most communities to the major commercial and industrial area in Nigeria also contributes to their economy. Although there is widespread poverty, the situation is better than in many other rural areas of Nigeria. Per capita income in the surveyed communities is higher than the national average, and many households own several modern consumer goods. However, household budgets are increasingly constrained by rising local prices, particularly of basic and high priority subsistence items. 4.5.1 Labor Force and Patterns of Work There is a relatively high level of economic activity in the affected communities, although formal sources of employment are less common than self-employment in small-scale agricultural activities. Most directly affected households are engaged in agricultural employment. Approximately 75 percent of the population in the surveyed communities aged 14 and older is currently working, which is higher than the national labor force participation rate of 40 percent for individuals aged 15 to 64. Of those who are working, crop farming is the dominant occupation in the survey area, followed by trading/commerce and professional services. These three activities jointly account for more than half the occupational types undertaken by the working population (Figure 4.5-1). Unlike the situation in the rest of the broader southwestern region, fishing is not very important in the surveyed communities overall, with only about 4 percent of people of working age engaged in this activity. The household survey in the affected communities indicates that even though 30 percent of the people at large in these communities are engaged in agriculture, a disproportionately high 44 percent among those households likely to be directly affected by the project is engaged in agricultural activities. Thus, land-based impacts on the directly affected households are likely to be more significant. The services sector June 2004 Nigeria Final Draft RAP Rev 1 4-20 Chapter 4 Figure 4.5-1: Employment in the Surveyed Communities (ages 14 and over) Agriculture PAP Industry Non-PAP All Households Services Other 0 10 20 30 40 50 percent of households This figure represents the individuals in each group, not the households. Source: ESIA Household Survey, 2003. is often linked to the processing and trade of farm products. The household survey does not provide information regarding child labor in the surveyed communities. There is sufficient evidence at the national level, however, to suggest that children are probably economically active in the communities adjacent to the project site. The World Bank estimated that 24 percent of the children aged 10 to 14 were part of the nation's labor force (World Bank EDSTATS, 2002). Self-employment is the largest single employment category (43 percent) of those who are currently working (aged 14 and older), with the public sector accounting for the second largest source of employment (24 percent). This high level of self-employment is common in Nigeria, since people tend to prefer self-employment to working in the public service sector or for another person. In addition, self-employment is perceived as being more lucrative than other types of employment (Figure 4.5-2). Most individuals in the directly affected households describe themselves as self-employed. This suggests that the affected households are dependent on their own labor and their own land, and that they would be vulnerable to reduced access to the agricultural land. June 2004 Nigeria Final Draft RAP Rev 1 4-21 Chapter 4 Figure 4.5-2: Employer Characteristics in the Surveyed Communities (ages 14 and over) sla 60 duividni 50 40 oft 30 encr 20 pe 10 PAP Non-PAP 0 Other Military Private Public Self- sector sector employed This Table represents the individuals in each group, not the households. Source: ESIA Household Survey, 2003. 4.5.1.1 Agriculture and Fishing Crop Farming Agricultural activity, and especially crop farming, is the most important economic activity for households in affected communities. An estimated 27 percent of the population in the surveyed communities in and around the proposed ROW is engaged in crop farming. There is agricultural production in the cleared areas along the first 36km of the proposed pipeline route, adjacent to the existing SNGL ROWs. Table 4.4-5 indicates the percentage of farming households. The main crops cultivated in the area are the same as those found in southwestern Nigeria, and they are grown for both subsistence and small-scale commercial purposes. Cassava is the most common crop (57 percent) closely followed by maize (56 percent). Other important crops cultivated are plantain (31 percent), yam (28 percent), cocoyam (26 percent), and oil palm (23 percent). Table 4.5-1 also illustrates that directly affected households are more reliant on cassava and maize crops while the households in affected communities in general grow more diversified crops. June 2004 Nigeria Final Draft RAP Rev 1 4-22 Chapter 4 Table 4.5-1: Major Crops Raised by Households All households Non-PAP (%) PAP (%) (percent) Cassava 57 55 73 Maize 56 52 69 Plantain 31 28 41 Palm oil 22 20 36 Cocoyam 26 23 35 Yams 28 24 32 Beans 14 13 21 Cocoa 7 6 12 Groundnuts 7 6 10 n 510 396 163 Note: Households use multiple lands for multiple purposes. Source: ESIA Household Survey, 2003. Livestock Farming Livestock farming is not necessarily considered an occupation for the respondents in surveyed communities; nonetheless, a significant number of them keep livestock. For those who are engaged in this activity, chickens are the most important livestock kept (68 percent). The most common animals kept are goats (44 percent), pigs (19 percent) and sheep (16 percent). Cattle rearing does not feature prominently in the area (8 percent) (Table 4.5-2). Households directly affected are slightly more dependent on their livestock; about 72 percent of them have chickens and 48 percent have goats. Table 4.5-2: Livestock Ownership Non-PAP (percent) PAP (percent) Percent Average Percent with Average number with number owned livestock owned livestock Cattle 7 20 11 48 Chicken/poultry 68 19 72 20 Ducks 15 11 19 9 Goats 40 8 48 9 Pigs 17 8 21 10 Rabbits 6 3 6 4 Sheep 14 8 16 14 Others 3 4 2 9 n 396 163 Note: Uses are not mutually exclusive; households use multiple lands for multiple purposes. Source: ESIA Household Survey, 2003. June 2004 Nigeria Final Draft RAP Rev 1 4-23 Chapter 4 4.5.1.2 Fishing There is substantial fish production in Nigeria that consists of local, small-scale subsistence activity and takes place along the coastal waters and inland fresh waterways (NigeriaBusinessInfo.com, 2000-2001). There are also commercial fishing activities in the Niger Delta and offshore Lagos. However, since local producers are unable to meet the high demands for fish consumption, approximately 50 percent of all of the fish consumed in Nigeria are imported (NigeriaBusinessInfo.com, 2000-2001). For the limited fishing that takes place in the survey area, specifically in Ajido, Imeke, Aworo, and Toriluvi, the activity is very rudimentary in terms of the methods that are used (Table 4.5-3). These include the use of throw-nets (32 percent), hook lines (24 percent), and net-traps (18 percent). The vessels used for fishing are mostly artisan canoe (69 percent) and locally built trawlers (10 percent). Fishing is conducted year-round, and the amount of catch is usually more during the dry season. Most of the fishing is by men, although women participate in fishing when it involves the use of hook lines, net trap, and hand lines. The processing and selling of fish is almost exclusively undertaken by women. Among the directly affected households, only 12 percent among the surveyed engage in fishing. The environmental assessment found that impacts to rivers and other surface water bodies will be temporary and localized. There will be no permanent impacts. The SIA survey data indicate that few of the affected households fish in or derive livelihoods from the rivers or wetlands along the pipeline ROW. The socioeconomic impact associated with pipeline installation across surface water bodies is therefore deemed negligible. The single exception is Badagry Creek, the estuarine creek/lagoon near the coast. If the open cut method of crossing is used, some potential permanent impact is expected in that area, to a small amount of habitat on the shores of that creek, a consequent (but low) impact to fisheries. People do fish in Badagry Creek, so there could be a socioeconomic impact associated with any appreciable decline in fish populations in the creek. Table 4.5-3: Fishing Methods Within Surveyed Communities Method Percent of Fishermen Throw Nets 31.5 Hook Lines 23.6 Net Traps 18.0 Trawling Parallel to Shore 5.6 Trawling Perpendicular to Shore 4.5 Hand Lines 3.3 Seine Nets 2.3 Does Not Know/Information Not Available 12.4 Source: ESIA Household Survey, 2003 June 2004 Nigeria Final Draft RAP Rev 1 4-24 Chapter 4 4.5.1.3 Trade Trade and commerce is an important economic activity for a sizeable percent of the working population in the surveyed communities. Petty trading is the most significant type and entails the selling of mostly lower value goods. Both men and women participate in the stationary type of petty trading, while women predominate in itinerant petty trading. 4.5.1.4 Industry ­ Mining and Manufacturing Although the nearby Lagos-Ota-Badagry axis is the leading industrial region and commercial cluster of Nigeria, modern industry and manufacturing are not a major source of employment for the inhabitants of the surveyed communities. As Table 4.5-1 shows, less than 1 percent of the population works in the manufacturing sector. 4.5.1.5 Government The surveyed communities straddle two states and three LGAs. The government employs an estimated 24 percent of the working population in the surveyed communities. Some of these include young adults who are participating in the country's mandatory national Youth Service. 4.5.2 Household Income and Expenditures 4.5.2.1 Household Income The number of income earners in the surveyed communities ranges from one per household to over six per household as shown in Figure 4.5-3. The majority of the households in affected communities (67 percent) are dependent on one or two income earners. However, among the directly affected households, the percentage of families dependent on one or two incomes is significantly higher (84 percent) than the rest, underscoring their higher vulnerability. The average annual income per capita for residents in the surveyed communities is N162, 229, which is considerably higher than the national average of about N40, 000 (US$300).10 The higher income levels in the surveyed communities are understandable given the fact that income levels are much higher in the Lagos metropolitan region than the rest of the country (though it should be noted that the Lagos region also has a relatively higher cost of living). Figure 4.5-4 and Table 4.5-4 present the household income profile in the surveyed communities. The household incomes range from under N100, 000 to over N3 million per annum. However, the bulk of households' income (59 percent) is under N200, 000 per annum. The income figures in the following table refer to the aggregate income earned by all income earners in individual households. It is a common occurrence in household surveys that many households underestimate their income levels, and they rarely report all income sources accurately. Therefore, Figure 4.5-4 and Table 4.5-4 should be regarded as an indicator of income distributions, and not necessarily as an accurate reporting of all income sources in the area that the affected people depend on. Even then, it is obvious that agricultural activity is the most important activity in the affected communities as well as among the households that are likely to 10Not everybody surveyed answered the income questions. As a result, 247 of the respondents were in the affected communities. The exchange rate is calculated at $1 = N133.3. June 2004 Nigeria Final Draft RAP Rev 1 4-25 Chapter 4 Figure 4.5-3: Income Earners in Household 1 person 2 people 3 people More than 4 people PAP Non-PAP All households 0 10 20 30 40 50 percent of households Source: ESIA Household and Community Surveys, 2003. June 2004 Nigeria Final Draft RAP Rev 1 4-26 Chapter 4 Figure 4.5-4 Reported Sources of Household Income in Affected Communities 35 Non-PAP 30 PAP sdlohe 25 20 oushfot 15 encr 10 pe 5 0 Livestock Crops Fishing Commerce Services Labor Professionalservices Source: ESIA Household Survey, 2003. June 2004 Nigeria Final Draft RAP Rev 1 4-27 Chapter 4 Table 4.5-4: Sources of Annual Income in Affected Communities (USD) Non-PAP (percent) PAP (percent) Percent of Average annual Percent of Average annual income income from income income from source (USD) source (USD) Livestock farming 10 460 14 465 Crop farming 28 688 34 778 Fishing 9 546 14 571 Trade and commerce 15 1,315 17 1,813 Services* 8 913 4 1,023 Worker / laborer* 11 953 8 620 Professional services*** 20 1,017 10 1,326 Total annual reported 2,690 2,698 household income (USD) n 247 125 * Includes carpentry, tailoring, mechanics, driving and delivery services. ** Includes construction and manufacturing workers, as well as domestic workers. *** Includes administrative positions, health care professionals, and professional service providers such as accountants and engineers. Source: ESIA Household Survey, 2003. be directly affected by the project, even though the average income obtained from activities such as trade or providing professional services is higher. The total reported household incomes of affected households and communities in general are almost the same. Table 4.5-5 illustrates that there is not a very significant difference between the annual incomes of households in the affected communities and the annual incomes of those who are likely to be directly affected. In both cases, those who reported earning less than the equivalent of US$750 constitute slightly more than 30 percent, while the rest of the distribution also looks similar. Table 4.5-5: Distribution of Annual Household Income in Surveyed Communities Non-PAP (percent) PAP (percent) Less than USD 750 36 32 Between USD 750-1,500 23 22 Between USD 1,500 ­ 3,000 17 21 Between USD 3,000 ­ 5,000 9 10 More than USD 5,000 14 15 N 211 100 Source: ESIA Household Survey, 2003. June 2004 Nigeria Final Draft RAP Rev 1 4-28 Chapter 4 4.5.2.2 Household Expenditures and Consumption In the surveyed communities (PAP and project area-wide), food is the largest single expenditure item. As Table 4.5-6 indicates, food accounts for 20 percent of monthly household expenditure in the survey communities, which is almost double that of the second most important household expenditure item, education (11). Some essential services are not in the top brackets of household monthly expenditures, such as healthcare, which accounts for only 4 percent (perhaps because many people self-medicate), as well as energy (5 percent) and transportation (5 percent). Figure 4.5-5 shows a comparison of household expenses for directly affected households and the community as a whole. Expenditures are higher for directly affected households due to the higher level of income among directly affected persons. The breakdown of household income expenditures (Table 4.5-6) is consistent with qualitative information on household spending priorities expressed by heads of households. Food was listed by heads of households as the most important spending priority, while entertainment was considered the least important priority in the surveyed communities. Here, it appears that the average monthly expenses of directly affected families are somewhat higher than the overall monthly expenses, although the portion that they spend on most items are similar between communities in general and directly affected households in particular. In this survey, as can be seen in most household surveys, there is a large discrepancy between the reported monthly household income levels (about $224 equivalent) and monthly household expenditures ($294 and $361 equivalent for communities and directly affected households, respectively). As an indicator of household income levels, the reported expenditures are more reliable than the reported incomes.11 11It would be important to calculate the share of self-consumption in total reported income and total expenses. Unfortunately, the household survey was not designed to collect specific data on self-consumption. June 2004 Nigeria Final Draft RAP Rev 1 4-29 Chapter 4 Table 4.5-6: Household Expenses in Affected Communities Non-PAP (percent) PAP (percent) Percent of total Average monthly Percent of total Average expenses* household expense expenses monthly (USD)* household expense (USD) Food 34 87 35 102 Housing and 19 67 18 91 maintenance Clothing 9 24 8 26 Education and health 19 53 20 69 Transport 9 25 8 23 Garden and home- 10 44 11 64 business Entertainment 6 18 7 24 Remittances 8 22 7 24 Other 10 8 - - Overall - 294 361 n 252 125 * The total of these averages will add up to more than the overall total expenses since not every household has every expense, and thus the sample size is slightly different for each expense item. Source: ESIA Household Survey, 2003. June 2004 Nigeria Final Draft RAP Rev 1 4-30 Chapter 4 Figure 4.5-5: Household Expense Comparison ­ Directly Affected Households and Communities Food Housing and maintenance Education and health Garden and home-business Clothing Remittances PAP Entertainment Non-PAP Transport Other 0 20 40 60 80 100 120 monthly household expense (USD) Source: ESIA Household Survey, 2003. Figures 4.5-6 and 4.5-7 illustrate that access to land for agriculture is a major determinant of better incomes in the project areas, especially the directly affected households. Indeed, directly affected households rely heavily on agriculture. As a result of the close correlation shown in Figure 4.5-7 between total size of landholdings of families and their total income, land is a crucial contributor to livelihoods. June 2004 Nigeria Final Draft RAP Rev 1 4-31 Chapter 4 Figure 4.5-6 Reliance on Agriculture and Monthly Incomes* Directly affected households rely more heavily on agriculture and have significantly higher monthly incomes Has agricultural income USD 361/month USD 385/month Does not have agricultural income Those not directly affected by the project are less dependent on agriculture and their overall income levels are also lower USD 339/month Has USD 269/month agricultural income Does not have agricultural income *In this graph, aggregate expenditure values are substituted as an indicator of income. Source: ESIA Household Survey, 2003. It is interesting to note that the incremental contribution that non-agricultural incomes make in total household income is significantly higher than the income generated through incremental land except for those who already have large holdings. Therefore, the potential offered by short term employment in the project will make an important difference in the livelihoods of affected communities. In addition, project efforts incorporated within the planned Community Development programs to create capacity for non-agricultural skills will also improve livelihoods. June 2004 Nigeria Final Draft RAP Rev 1 4-32 Chapter 4 Figure 4.5-7: Relationship between Land Size and Household Incomes12 6000 5000 )DSU(emocnid 4000 Monthly household income (USD) 3000 hole us 2000 hoylhntom1000 0 0 0 0 1000 1000 1000 4050 300030000 3000 3003000015000 2700 5000 5000 400040000 100010000380005000 land owned by the household (square meter) Source: ESIA Household Survey, 2003. The relatively higher income in the Lagos area compared to the nation as a whole is reflected in the items purchased and owned by households surveyed (Figure 4.5-8). For instance about 46 percent of the households surveyed own refrigerators/ice-boxes, while 25 percent own cars. For radio ownership the figure is 90 percent while television ownership is 69 percent. These are much higher than the national averages, which are 20 percent for radio and 7 percent for television (World Bank Development Indicators, 2001). The survey also indicated that the ownership of transport assets such as cars and bicycles is slightly lower among the directly affected households as compared to the rest of the population, but the level of discrepancy is not large enough to disadvantage them (Figure 4.5-8). In other words, should the directly affected households opt to obtain land elsewhere or relocate their homes, they will not be disadvantaged in comparison with other members of their communities. 12The numbers in this figure are calculated from the household survey question on total family land holdings. The data was not available for all households. In some cases, the household answered by indicating that they have one plot, but did not indicate the size of the plot. Based on external information, the average size of a plot is assumed to be about 1,350 m2 in the affected areas. June 2004 Nigeria Final Draft RAP Rev 1 4-33 Chapter 4 Figure 4.5-8: Household Asset Ownership (% of households) 100 All Households 90 Non-PAP PAP 80 es as 70 htiw 60 ds hol 50 se 40 hou oft 30 encr 20 pe 10 0 Radio TV Bicycle Car Source: ESIA Household Survey, 2003. A survey conducted by the FOS indicated that the poverty rate in Nigeria increased from 43 percent to 56 percent between 1985 and 1996.13 The incidence of poverty in the western region is below the national average at 51 percent. Among the western region states, Osun State has the highest poverty rate, at 60 percent, followed by Ondo (60 percent), Ogun (55 percent), Lagos (37 percent), and Oyo (35 percent). There was a higher incidence of poverty in rural areas than in urban areas and female-headed households tend to have a lower incidence of poverty than male- headed households (FOS, 1998). The PAPs lose a small share of their entire land holdings to the project. Figure 4.5-9 illustrates the average area of the total amount of land owned by households in the affected communities. The average household land ownership across communities is about 13,740 m2. According to the estate survey findings, only about 4-6 percent of this land will be lost to the project. A 6 percent loss in land implies a far smaller percentage of loss in total family incomes since, despite the importance of agriculture, the income losses due land will be less than 2 percent. Moreover, not all land lost is agricultural and a large portion of agricultural land is left fallow. The high cash compensation that is negotiated for land acquisition will amply restore reduced incomes, whether the PAPs use their compensation to buy additional land and/or improve their production techniques. 13The FOS (1998) disaggregated a sampling of Nigeria's population into deciles using real per capita expenditure as a proxy for standard of living and the indicator/measurement for defining poverty. June 2004 Nigeria Final Draft RAP Rev 1 4-34 Chapter 4 Figure 4.5-9: Average Area of Land Owned by Households in Affected Communities* Ajido Igboloye Itoki Okoomi Imeke/Agemowo Community Igbesa Ijoko Ilogbo Eremi Iworo Itori Ewupe Arobieye Ajibode Aradagun 0 5000 10000 15000 20000 25000 average size of land owned by households (square meters) * Only those communities for which data exists are included in this graph. Source: ESIA Household Survey, 2003. 4.5.2.3 Local Prices Between 2000 and 2001, the national inflation rate was 15 percent (CIA World Factbook, 2002). Generally speaking, in the surveyed communities prices of most consumables have increased over the last year. The prices of staple food items exemplify this trend. For instance, on average, a bag of rice that sold for about N3000 in 2002 is more than N4000 now. The respective prices for a standard measure (kongo) of beans are N80 and N110. In the case of a standard measure of Gari (cassava flour), the respective prices are N50 and N80 (ESIA Household and Community Survey, 2003). 4.6 Land Tenure, Ownership and Tenancy The WAGP project will affect a number of people in the project footprint, in several ways. Owners of land and homes may lose some or all of their property, renters may be without places to farm or live, and the construction and the ROW corridor that will be maintained may disturb the community and some of its infrastructure. Property loss of any type will be compensated, economic losses due to loss of land for farming and grazing activities will be taken into account, June 2004 Nigeria Final Draft RAP Rev 1 4-35 Chapter 4 and WAPCo will undertake measures to restore lost income. Impacts due to land take and mitigation measures are more thoroughly discussed in Chapters 6. 4.6.1 Land Tenure and Residential Ownership The land tenure system in Nigeria varies by ethnic group, community, and state. Generally it is more communal in northern Nigerian states and more individual/private and family-based in the southwestern and southeastern parts of the country. In the surveyed communities, land tenure takes on the latter form. However, traditional authorities have some supervisory and distribution roles. The community meetings carried out during the survey support this view. For instance at Ajido, it was stated that: Children will inherit land from their fathers. But if somebody wants to sell any parcel of land, the consent of the Oba of the town must be sought and obtained before such transactions are carried out. Women in the community also can inherit land. In Igbesa, it was also observed that: The land tenure system in this community is customary in which families own land. Each family has a chief as the Head who holds supervisory authority on the family land on behalf of other members of the family. Finally, in Itoki, both private ownership and supervisory control by traditional institutions are also evident. Here it was noted that: We all bought land here. We are from various places like Abeokuta, Ota, etc. We bought our lands from the indigenes. The Baale has control over some land but individuals who bought their land have control over such land. The following findings from the household survey on ownership of land around dwellings are consistent with the observations above, and further substantiate the notion that individual ownership is the most common form of land ownership (Table 4.6-1). June 2004 Nigeria Final Draft RAP Rev 1 4-36 Chapter 4 Table 4.6-1: Land and/or Water Ownership in Surveyed Communities Ownership % of Households Owner/Member of Household 41 Community 16 Landlord and Rent Not Paid 13 Rented from Another landlord 8 Landlord and Rent Paid separately 6 Public/Government 2 Others 2 Does Not Know/Information Not Available 12 Source: ESIA Household Survey, 2003. In terms of household ownership, the survey shows that owning property is more common than renting in the surveyed communities, a finding that is consistent with many other rural areas. As Figure 4.6-1 indicates, of all households in the surveyed communities, owners constitute about 51 percent of the population, while renters constitute almost 30 percent. This high level of ownership may be due to the prevalence of traditional practices in these areas, which, as a matter of custom, allocate land to individual families in order for them to build on. Renting is more widespread in the urbanized areas of Nigeria, where the traditional, family-based structure is less common and available land is scarce. In the surveyed communities, the average number of rooms per dwelling is about five and roughly 47 percent of the dwellings are shared (ESIA household and Community Survey, 2003). There is not a significant difference between the directly affected households and other households in affected communities with respect to home ownership levels, although the affected households live in slightly bigger houses, as identified by the number of rooms that they have in their homes. It should be noted that land ownership in Nigeria is officially regulated by the Land Use Act of 1990 and that land owners do not necessarily "own" land in the Western sense. The law vests ownership of all land within a state (except those belonging to the Federal Government) in the Governor of the state who holds land in trust for the people. The Governor is responsible for allocating for residential, commercial, and agricultural purposes in accordance with the law. Land located in rural areas is under the control of local government authorities (Federal Government of Nigeria, 2003).14 14Plots identified in the Estate Survey have unique, identified owners. The Estate Survey did not identify any absentee owners among the affected plots. June 2004 Nigeria Final Draft RAP Rev 1 4-37 Chapter 4 Figure 4.6-1: Home Ownership Status and Number of Rooms in Homes 5.2 rooms Own 5.5 rooms 3.7 rooms Rent 3 rooms 4 rooms Occupy without rent 3.8 rooms PAP Other 7 rooms Non-PAP All Households 0 10 20 30 40 50 60 percent of households Source: ESIA Household Survey, 2003. 4.6.2 Project Affected Lands Table 1.2-1 in Chapter 1 shows the breakdown of the land to be taken for the project and the likely number of people that will be affected. 4.7 Agricultural Activities 4.7.1 Tree Cover on Affected Lands Over 10,000 land segments15 that are clustered within about 2,578 plots were identified and enumerated within the project affected area. Each land segment contained different crops, trees or structures. Table 4.7-1 lists the predominant trees present, either cultivated for commercial harvest or simply available to the landowner/tenant for self-consumption. Each tree was carefully recorded, its size and age noted, to ensure that affected households are fully compensated (Chapter 5 provides greater detail on asset inventory procedures used by the project). 15The reader is reminded that `plots' are divided into lands with distinct crop characteristics. Often, an affected plot contains 4 such land segments. The reason for the appearance of large number of land segments merely indicates the sensitivity shown by the Estate Surveyors to detailed analyses of impacts and precise valuation approaches. `Land segments' are analytical entities and do not refer to plots registered as such. June 2004 Nigeria Final Draft RAP Rev 1 4-38 Chapter 4 Table 4.7-1: Trees Grown on Affected Lands Commercial Trees Softwoods Agbono Sour Supp Avocado Pear Star Apple Banana Tangerine Bitter Kola Walnut Breadfruit Staking Stick Cashew Cocoa Coconut Grape Fruit Guava Mahogany Iroko Obeche Indian Bamboo Kolanut Lime Locust Bean Tree Mat Plant Native Mango Oil Bean Tree Oil Palm Tree Plantation Type Orange Pawpaw Pear Plantain Raffia palm Silk cotton Source: Nigeria Estate Survey, 2003 4.7.2 Crops Grown on Affected Lands With the same sensitivity that was shown for trees, crops were identified and enumerated for each of the affected land segments. Table 4.7-2 lists the predominant crops grown. The crop diversity is substantial with both subsistence and cash crops grown by affected landowners and tenants. June 2004 Nigeria Final Draft RAP Rev 1 4-39 Chapter 4 Table 4.7-2: Crops Grown on Affected Lands Commercial Crops Alligator Pepper Beans (creepers and standing) Bitter / aerial / regular yam Bitter leaf Cassava Cococyam Coffee Garden egg Ginger Groundnut Lemon grass Maize Melon Okro Onions Pepper Pineapple Sugarcane Sweet potato Tomatoes Vegetables Source: Nigeria Estate Survey, 2003 4.7.3 Inter-cropping The Estate Survey did not come across the practice of inter-cropping in the affected areas, and it is not practiced in other regions of Nigeria. Thus, it is not expected that the project will have an impact on affected plots through an impact on inter-cropping. 4.7.4 Issues involved in measurement of produce value The Nigeria Oil Producers Trade Section (OPTS) 1998 rate has been used to calculate the current produce value, with negotiators offering 50-75% more than the 1998 rate to allow for inflation and to address the relative maturity of crops. Further details on the general principles of compensation are provided in Chapter 5. 4.7.5 Issues involved in re-instating cropping patterns There are no plans for re-instatement of crops. Future farming of crops will be precluded from the WAGP acquired ROW and footprint. June 2004 Nigeria Final Draft RAP Rev 1 4-40 Chapter 4 4.8 Use of Communal Land and Resources 4.8.1 Pastures and grazing lands The Estate Survey did not differentiate between agricultural land and grazing lands, although the household survey found a small number of affected households practicing livestock raising; mostly raising poultry. It is not expected that the project will have an impact on livestock grazing. 4.8.2 Water resources (rivers, streams, lakes) The Estate Surveys identified natural water bodies and water infrastructure or utilities (e.g., septic tanks) on the affected lands. Water resources on a total of 104 parcels would be affected and are itemized by type in Table 4.4-4. Some of these uses may be reinstated following WAGP construction, subject to negotiations with the land and/or asset owner. 4.8.3 Irrigation Schemes There are no developed irrigation systems on the agricultural lands in the project-affected area due to the large amounts of rainfall the area receives. There may be small-scale owner-built drainage systems. If these exist, care will be taken not to disrupt these systems, or they will be replaced if necessary. 4.9 Vulnerable Groups This section discusses specific "vulnerabilities" that may arise in the context of expropriation. For instance, women's ownership or tenancy rights may be denied during project activities due to lack of registration. The household survey and the Estate Survey examined possible sources of vulnerability. The analysis indicates that women are not likely to be systematically disadvantaged due to project activities. Figure 4.9-1 and Table 4.9-1 illustrate that among the landowners, women constitute about 23 percent of the total, and that they lose less land than male landowners, on average. Gender-based discrimination against women is unlikely in the project areas; expropriation procedures are likely to affect male owners more adversely. Male landowners, on average, lose twice as much land as female owners. June 2004 Nigeria Final Draft RAP Rev 1 4-41 Chapter 4 Figure 4.9-1: Loss of Land among Affected Landowners Female landowners Average Loss: 433 m2 Average Loss: 921 m2 Male landowners Source: Nigeria Estate Survey. 2003. June 2004 Nigeria Final Draft RAP Rev 1 4-42 Chapter 4 Table 4.9-1: Gender of Landowners Male landowners Female landowners Number of Average amount of Number of Average amount landowners land lost (m2) landowners of land lost (m2) Ajibode 5 1,290 - - Ajido 33 2,637 1 495 Alade 21 1,374 5 622 Araromi Ale 10 1,815 1 1,250 Arobieye 22 1,587 1 1,125 Egushi Benja 22 985 1 1,512 Etere 2 5,625 - Ewupe 10 4,342 1 2,500 Idagha Iyeshi 7 1,318 6 400 Igangbo Igbereb 9 1,978 1 1,750 Igbesa 627 302 246 203 Igboloye 48 1,214 2 912 Ijako 2 4,438 - Ijaliye 3 4,979 2 450 Ijoko 128 552 28 508 Ilogbo Eremi 19 4,673 2 5,912 Imeke/Agemowo 27 3,086 2 2,675 Isorosi 3 2,125 1 400 Itoki 49 452 13 429 Okoomi 84 776 14 2,086 Oloya/Abiola 3 14,442 1 2,000 Owode 11 1,243 6 496 Itori 14 806 7 507 Overall 1,159 815 341 415 Source: Nigeria Estate Survey, 2003. An examination of tenancy arrangements on land also indicates that about 17 percent of the tenants (as opposed to 23 percent of the owners) are female and that these are concentrated in Igbesa, Igboloye, and Okomi communities (Table 4.9-2). June 2004 Nigeria Final Draft RAP Rev 1 4-43 Chapter 4 Table 4.9-2: Gender Distribution of Tenants on Affected Land Male Tenants Female Tenants (number) (number) Ajibode - - Ajido 4 - Alade 5 - Araromi Ale 19 2 Arobieye 8 - Egushi Benja 4 - Etere 10 - Ewupe 15 4 Idagha Iyeshi 17 - Igangbo Igbereb 14 2 Igbesa 211 62 Igboloye 61 30 Ijako 1 - Ijaliye 7 - Ijoko 15 Ilogbo Eremi 59 2 Imeke/Agemowo 9 - Isorosi 1 - Itoki 19 2 Okoomi 106 27 Oloya/Abiola 89 7 Owode 3 - Itori 14 6 Overall 691 144 Source: Nigeria Estate Survey, 2003. Figure 4.9-2 shows the ratio of men/women landowners in various communities. Interestingly, there are major differences among communities in this respect. In Igboloye, affected owners are disproportionately men, while in some other communities such as Idagha Iyeshi, female ownership of affected plots is more widespread. These results call the attention of resettlement staff of WAGP to the gender dimensions that may be involved in the project. June 2004 Nigeria Final Draft RAP Rev 1 4-44 Chapter 4 Figure 4.9- 2: Gender Distribution of Affected Landowners* Igboloye Imeke/Agemowo Ilogbo Eremi Okoomi Ijoko seitinu Alade Itoki m m co Igbesa Female Itori Male Owode Ijaliye Idagha Iyeshi 0 20 40 60 80 100 120 percent of affected landowners *This chart only includes communities in which there is more than one affected female landowner. Source: Nigeria Estate Survey, 2003. In the project affected areas, a systematic discrimination is also not indicated by age of the land owner or the tenant. Figures 4.9-3 and 4.9-4 show the age distribution of land owners and tenants in the affected areas. It appears that in Okoomi, a higher percentage of the tenants are younger than 55. In Itoki, Ilogbo and Itori the older age populations are overrepresented among both the tenants and the landowners. Interestingly, the elderly constitute the majority of the affected owners in Ilogbo, Itori and Igangbo. However, these findings do not necessarily point to age related vulnerability among the affected populations in some areas. June 2004 Nigeria Final Draft RAP Rev 1 4-45 Chapter 4 Figure 4.9-3: Age of Affected Tenants* (% of tenants within each community) Tenants older than 55 Tenants younger than 55 Okoomi Igangbo Igbereb Igbesa Ewupe Igboloye seitin Araromi Ale mmuoc Oloya/Abiola Itoki Ilogbo Eremi Imeke/Agemowo Itori 0 20 40 60 80 100 percent of affected tenants *This chart only includes communities in which there are more than three affected tenants older than 55. Source: Nigeria Estate Survey, 2003. June 2004 Nigeria Final Draft RAP Rev 1 4-46 Chapter 4 Figure 4.9-4: Age of Landowners* Igboloye Ijoko Igbesa Okoomi Itoki seitinu Ajido Alade m Arobieye m co Imeke/Agemowo Egushi Benja Ilogbo Eremi Older than 55 Itori Younger than 55 Igangbo Igbereb 0 20 40 60 80 100 percent of affected landowners *This chart only includes communities in which there are more than four affected tenants older than 55. Source: Nigeria Estate Survey, 2003. 4.10 Attitudes toward the Project 4.10.1 Perceptions of impacts of the project for local residents The general population in the greater Lagos area has a positive outlook on the WAGP project. Overall, the perceived greatest benefit will be to individuals who will be compensated for lost land or other property. Additionally, the population sees additional benefits to industry resulting from the natural gas pipeline. The household survey answers confirmed that overall, local residents have a positive perception of the potential impacts of the project. In many communities, increased employment expectations due to construction activities are prevalent. In addition, the construction phase is expected to have an overall positive benefit on the social environment of the communities through increased opportunities to earn income, such as increased commercial activity during construction. At the same time, there are concerns among the affected households. Some worry about the loss of fishing grounds while some voice concerns over limits to agriculture in their areas. Residents expect that there will be migration to their communities during the construction phase, although this is welcomed since it is expected that it will also bring innovations. They are somewhat worried that after the construction phase is over, they will no longer receive benefits from the pipeline operations, especially due to the potential decrease in available jobs. Some worry that June 2004 Nigeria Final Draft RAP Rev 1 4-47 Chapter 4 during construction, environment and agricultural opportunities will decline and will not be restored fully after the construction is finished, and thus, they will be worse off than they were before the project. 4.10.2 Perception of Project Impacts on Communities Overall, the household survey results indicate that there is a positive outlook among people on the community impacts of the project. People think that increased employment, especially among young people, will not only benefit household members but will also benefit the communities as a whole through strengthening social capital. They expect an influx of more people into their communities, which is welcomed. Most worries about community effects focus on trust issues, such as not trusting the project to pay a fair value for expropriated land, or not trusting it to restore the land used during construction to its original state. An increase in local employment is expected, although there are concerns that most employees will be brought from the outside, and thus, the benefits of the construction will go solely to outsiders while the communities will have to bear the costs and inconveniences during the operational period. There is an expectation that this can be somewhat ameliorated through increased commercial activity although people state that they worry about the unknown factors. 4.10.3 Community Suggestions to Mitigate Potential Negative Impacts The primary concerns of the affected people focus on negative activities during the construction period as well as potential health and environmental hazards during the operation of the pipeline. Therefore, their suggestions to improve the project and to lessen the negative impacts on their livelihoods focus on these two concerns. One of the most important desires of the surveyed people is to have the agricultural and fishing grounds restored to their original state after the construction period is over, thereby creating a cushion for the expected decrease in employment due to the termination of construction-related jobs. Some communities are mostly dependent on agriculture, and they are worried that the pipeline construction and operations will cut off their access to agriculture completely. They indicate that similar projects have been undertaken in their and neighboring communities in the past with negative impacts, and those impacts have not been forgotten. To improve safety and to prevent pollution during pipeline operation, surveyed community members recommend taking security measures to ensure the safe operation of the pipeline. Constant expert monitoring is also expected, since pipeline vandalization was a common concern among those interviewed. Another important expectation is to make fair and timely compensation payments to the affected people. These will go a long way in establishing community trust and ensuring smooth operations during construction. In addition, a clause in contractors' agreements, stipulating them to hire local people at least for part of the jobs is seen as important in reducing crime in the communities. June 2004 Nigeria Final Draft RAP Rev 1 4-48 Chapter 4 Respondents also have expectations that WAPCo will assist their communities with overall social issues, including provision of educational programs and/or buildings, health centers, construction of new roads in and around the communities, and increased access to healthy water resources for the whole community. They expect increased consultation with communities regarding pipeline activities (during both construction and operational phase) and inherent risks. There are expectations of a community program that will address these issues in each affected community, thus providing a cushion to those affected people and communities. Respondents indicated that having a transparent and truthful dialogue with the communities will contribute greatly to the success of the project activities, as far as the communities are concerned. Even though they expect benefits to accrue to them, they are not sure about what to expect and they do not necessarily trust the process. June 2004 Nigeria Final Draft RAP Rev 1 4-49 Chapter 5 Chapter 5 Land Acquisition Procedures and Implementing Responsibilities 5.1 Goals The West African Gas Pipeline's project intends to comply with the International Project Agreement (IPA),Nigerian national legislation and regulatory standards as well as with the relevant international policies and guidelines as specified in the World Bank Group's Operational Policy (OP) 4.12 concerning land acquisition, compensation and resettlement.1 The specific goals of WAPCo's land acquisition procedures are based on full consultation with all stakeholders, including the directly affected communities, and households, and will aim at the following: · Considering social and economic issues during route determination and siting of temporary and permanent facilities to minimize physical relocation of people; · Choosing the pipeline corridor and siting of ancillary facilities to minimize acquisition of privately or publicly held productive land; · Developing fair and transparent procedures for determining compensation for (i) temporary use of land and assets for construction purposes; (ii) permanent acquisition of land and assets; (iii) restrictions on use of land that may be applied to areas within the corridor; · Acquiring land (or right to use land) through negotiated agreements, with the use of expropriation only as a last resort. Ensuring that no land is taken unless full payment is made and affected people who request relocation are relocated prior to the actual start of construction at that point along the pipeline corridor; · If Eminent Domain procedures are implemented, ensuring that compensation is adequate for full replacement of assets and for restoring land based incomes to a level equal or better than pre-project levels; · Providing compensation options to affected populations, including land-for-land arrangements; · Upon completion of construction, restoring land as best as possible to its original condition to permit landowners/users/lessees to continue their pre-project agricultural and other livelihood activities on their plots outside the Right-of-Way (ROW); · Upon completion of the corridor, allow its full use for grazing and pedestrian traffic as well as light traffic (e.g., motorcycle traffic) to allow continuation of trade and other activities 1For the purposes of WAGP project, OP 4.12 on Involuntary Resettlement (revised April 2004) has been applied. June 2004 Nigeria Final Draft RAP Rev 1 5-1 Chapter 5 · Keeping affected people and communities fully informed about the project, processes that will be followed to acquire and compensate for land, and their related rights and avenues to redress 5.2 Overview of Land Acquisition Strategy 5.2.1 General Principles WAPCo has prepared a land and asset acquisition process for the West African Pipeline Project in Nigeria. The project applies the following general principles to land acquisition: · All Right-of-Way (ROW) acquisition is to be on the basis of non-exclusive use. In Nigeria, WAPCo's requirement for a ROW over land along the pipeline route will be satisfied by the grant of an Oil Pipeline License (OPL). Such a license would have an initial 20-year term from the date of issue and will grant its holder an exclusive use of the ROW for the licensed period. The license will be extended as needed. At the end of the project, the ROW's ownership will revert to the Federal Government of Nigeria. However, for all practical purposes, the original owners will continue to use the land, expanding their use of it. · Per the IPA, permanent land rights that do not involve an Exclusive Possession Right shall be granted by the national State as rights attaching to the Pipeline License, or otherwise in accordance with the Constitution and laws of Nigeria. · The land for Compressor Station site will be acquired on the basis of exclusive acquisition. Per the IPA, WAPCo shall endeavor to obtain the Exclusive Possession Rights, which it needs over land not owned by the Federal Government of Nigeria or any State Authority. The acquisition will be based on negotiation with the owner and occupier of the land. This requirement would be satisfied by the grant of a statutory occupancy right. Foreign ownership of Nigerian land is not prohibited or regulated, and WAPCo would be protected under enabling legislation. Transfer or assignment of occupancy rights requires the consent of the Governor of the Federal State in which the land is located. In terms of compensation, the project applies the following general principles: · For all temporary acquisition, all land users, tenants, and/or cultivators are to be compensated for crops and any improvements or facilities that they may have built on the site during a specified period. In Nigeria, the principles and procedures for quantifying the amount of such compensation (together with procedures for resolving any disputes with respect to such compensation) shall be those applying under the prevailing national and local government laws per the inflation-adjusted 1998 Oil Producers Trade Section (OPTS) rates, described in detail in Section 5.4 (Valuation Methods) and Chapter 7 (Public Consultation and Disclosure).2 The rental or lease values offered for the temporary use of land shall not fall under the prevailing market rates; · For permanent acquisition of land, all owners of land and assets will be offered land-for-land or cash compensation as proposed options; 2 Also see Annexes 5.1, 5.2, 5.3, 5.4, and 5.5. June 2004 Nigeria Final Draft RAP Rev 1 5-2 Chapter 5 · Should the affected populations opt for cash in lieu of in-kind assistance, willing- seller/willing-buyer arrangements will be used; · OPTS 1998 rates will be adjusted to inflation and will be used as a basis for negotiations. Studies are underway comparing the inflation-adjusted OPTS rates to full replacement costs on a sample basis to ensure that when the people opt for cash compensation, they will not receive less than full replacement costs. It is assumed that a willing-buyer/willing-seller principle to be used for negotiations will allow coverage of replacement and transaction costs, so that OP 4.12 goals are met; · Rights on land owned primarily by the State shall be granted without charge to WAPCo by the relevant government, per the IPA, unless a charge for such land is provided for under local law as at the Execution Date; and · WAPCo's Right-of-Way Access Policy details the basic policies to be adopted by WAPCo regarding access to the pipeline ROW by the local population. Key policies with regard to affected populations include access during the operational phase by local residents to their properties through limited use of pipeline access roads as transportation routes. However, the uses of the pipeline ROW for raising crops or building will be precluded. Further details are provided below. 5.2.2 Types of Land to be Acquired In Nigeria, the land to be acquired is essentially privately held and predominantly under customary rights of occupancy, though some land is under statutory rights of occupancy. The Pipeline Development Plan will identify those areas of land with respect to which WAPCo requires a right of exclusive occupancy for the siting of its facilities, and all other land over which WAPCo seeks a temporary or permanent right of way or right of access (other than a right of exclusive possession) for the implementation of the project. WAPCo will need: · Pipeline Right Of Way (ROW): non-exclusive possession. WAPCo will seek rights of way over (or under) land on which it intends to lay its pipeline. Once the pipeline is constructed, limited-use rights will be granted to the communities so that travel patterns are not adversely affected. · Compressor Station Site: exclusive possession. WAPCo will seek a right of exclusive occupancy over the land where it intends to place its compressor station. The land will be fenced and access prohibited upon completion of construction. 5.2.2.1 Exclusive Occupancy Rights WAPCo seeks to be granted exclusive occupancy rights to all station land identified in the approved Pipeline Development Plan with respect to which WAPCo requires exclusive occupancy. The Land Use Act empowers the Federal Government of Nigeria or the Government of a State to compulsorily acquire land rights for a public purpose. Based on existing case law, it appears that the construction and operation of a pipeline would meet the public purpose criteria. However, WAPCo intends to negotiate for all exclusive occupancy rights through private agreements rather than implement compulsory acquisition or Eminent Domain procedures. June 2004 Nigeria Final Draft RAP Rev 1 5-3 Chapter 5 Compensation would be paid to the legitimate owners and affected stakeholders of such land for the acquisition of their interests. The procedure for acquisition/revocation of rights of occupancy and compensation as well as the resolution of dispute over such compensation is provided for under the Land Use Act and the Oil Pipelines Act, as applicable. If Eminent Domain procedures are implemented, this compensation will be sufficient to fully replace the lost assets and cover the transaction costs of selling and buying new assets as well as transport and moving to new residences when residential areas and homes are affected. For any land over which statutory or customary rights of occupancy have been granted, WAPCo will seek to acquire that land directly through negotiation and pay a price based on the inflation- adjusted OPTS rates to be used for negotiation purposes. As of May 2004, consultations and negotiations show full agreement on the project's ability to negotiate willing-buyer/willing-seller arrangements and a lack of need to resort to expropriation. The process for doing so would be as follows: (a) Identify the holder (and nature) of the occupancy right; (b) Ensure that everyone is fully informed about all existing land rights and that the affected communities are aware of WAPCo's land acquisition plans; (c) Obtain the Governor's prior consent for the acquisition of any existing statutory occupancy right (or, in the absence of such existing right, obtain a grant from the Governor of a statutory right of occupancy) and, upon giving that consent or granting that right, WAPCo would succeed to all the rights of occupancy with respect to that land including those previously vested in the holder of that right; and (d) For a small portion of the land where there are no statutory or customary rights over the land, WAPCo would only need to obtain the approval of the Governor or the Local Government to occupy that land (which approval would be evidenced by the grant of a certificate of occupancy). 5.2.2.2 Preparations for the Acquisition of Community, Customarily or Tribally Owned Lands Preparations for the acquisition of such lands will be in accordance with the relevant legislative framework discussed in Chapter 3. 5.2.2.3 Preparations for the Acquisition of State Lands/Assets No state lands have been identified for acquisition by the project. As such, no preparations have been identified or implemented. Should the project needs to acquire such land the necessary procedures for acquisition would be implemented in accordance with the relevant national legislative framework. 5.2.2.4 Acquiring Rights of Way/Access The IPA states that licenses will be granted per the statutory requirements of each State as modified by enabling legislation. A pipeline license, as provided for under the Oil Pipelines Act, grants the holder a right of exclusive possession over the strip of land identified in the license. Accordingly, under the Land Use Act, the land interests that WAPCo requires to build out the June 2004 Nigeria Final Draft RAP Rev 1 5-4 Chapter 5 pipeline would not involve compulsory acquisition of large swathes of land along the pipeline route by the Governor or Local Government in each state through which the pipeline passes. The only land interests that WAPCo needs for this purpose are those granted under the pipeline license, which would include the grant of various easements over adjoining land. It should also be noted that a right of exclusive possession is more than WAPCo requires. WAPCo's main requirements include access to a strip of land, laying and burying a pipeline along that strip, and access to the land as and when necessary to inspect, maintain, repair, or expand the pipeline. WAPCo also needs to prevent people from encroaching and building on the pipeline ROW to ensure that it retains access for ROW maintenance or future use. 5.2.3 WAGP Right-of-Way Access Policy The basic policies to be adopted by WAPCo regarding access to the pipeline ROW by the local population that will apply in Nigeria as well as in other participant countries follow. 5.2.3.1 Fences Fences will be installed around the properties containing the Alagbado Tee, midline valve station, cathodic protection station(s), and Lagos Beach Compressor Station. Access to these fenced areas will be restricted to authorized visitors and WAPCo personnel only. Local populations will not have any access to these areas once WAGP construction begins, and throughout the WAGP operational phase. No fences will be installed around any other part of the project footprint. The pipeline ROW will not be fenced in any WAGP countries. 5.2.3.2 Pipeline Maintenance Roads3 WAPCo will develop maintenance roads for patrol purposes within the pipeline ROWs roughly paralleling the pipeline, along the full length of the ROW. These roads will be maintained in a condition suitable for inspection and maintenance of the pipeline system throughout the WAGP operational phase. Prior uses of land occupied by pipeline maintenance roads other than for transportation and grazing livestock, e.g., raising crops, will be terminated once WAGP construction begins and throughout the WAGP operational phase. As the construction of the corridor proceeds in a specific segment, it may not be safe for either passengers or livestock to be near the construction area. However, the contractors will not leave any part of the ROW open for more than several weeks at a time; once the pipeline is buried and covered with soil, people could begin to use the ROW. When it is safe to cross the corridor, the contractors will ensure that local populations are fully informed. After completion of construction (i.e., during the WAGP operational phase), local residents will be granted access to their properties through use of pipeline maintenance roads as transportation 3 A new access road may be required for the compressor station (Chapter 2). However, no decision yet has been made regarding this issue. June 2004 Nigeria Final Draft RAP Rev 1 5-5 Chapter 5 routes. Use of the maintenance roads will be limited to light traffic only. Future roads, particularly those crossing the ROW, connecting two locations will be approved by WAPCo Management on a case-by-case basis. No decisions will be made unless alternative routes are in place so that local economic and social activities are not adversely affected. In urban or semi-urban areas, lockable barriers will be erected across all entrances to pipeline access roads to prevent heavy use by car and truck traffic. In these areas, pipeline maintenance roads will not be accessible to cars and trucks, but will be fully accessible for use by motorcycle and pedestrian traffic during the WAGP operational phase. In rural areas, no barriers will be erected at the entrance to pipeline access roads, and these roads will be accessible to all light vehicle traffic including cars and light trucks during the WAGP operational phase. WAPCo will prohibit heavy trucks from using these access roads through the posting of signs and periodic patrol. 5.2.3.3 Transportation Routes Transecting the Pipeline ROW Existing busy roads and highways crossing WAGP pipeline routes will not be affected by WAGP during either the construction or operational phases. Construction methods such as thrust-boring beneath the roads will be used to eliminate the need to close these roads at any time (some disruption of traffic patterns may occur on these roads during the construction phase due to the movement of construction equipment on and near the roads). Less busy roads and footpaths crossing the pipeline routes will be temporarily re-routed and/or closed during the construction phase but with provision for alternative access for people or livestock across the right of way throughout the period of closure. In all cases, every effort will be made to temporarily re-route all transportation routes rather than to temporarily close them. Where transportation routes must be temporarily closed, alternate routes will be identified and marked. Transecting transportation routes that must be temporarily closed/re-routed during WAGP construction, and their closure/re-routing schedules, will be determined once detailed construction plans have been finalized; and local residents will be notified of the closures/re-routing schedules prior to any construction activities. During the WAGP operational phase, there will be no restrictions on any prior transportation routes that cross the pipeline ROW. All such routes will be fully restored to their previous condition by WAPCo at the end of the construction phase and will be fully accessible and open to traditional use. 5.2.3.4 Pipeline Burial Zone The pipeline centerline will be located approximately five meters from one edge of the right of way. The land within the pipeline burial zone (i.e., land directly above where the pipeline is buried, extending to roughly five meters on one side of the centerline and 10 meters on the other side, and forming a corridor of approximately 15 meters in width) will not be available for any use by the local population once WAGP construction begins in the vicinity of the pipeline construction spread. Throughout the WAGP operational phase, except in the case of transecting transportation routes as described above, the pipeline mound will not be available for use. Each June 2004 Nigeria Final Draft RAP Rev 1 5-6 Chapter 5 spread of construction will be completed in a short period; thus, the inconvenience caused by temporary use of access from one side of the burial zone to the other will be limited, as described below: · This land will be re-contoured at the end of the construction phase, and seeded with native, low-growing, shallow-rooted cover vegetation. This vegetation will be cut and maintained at a relatively low growth height by WAPCo throughout the operational phase, with priority consideration given to using the community in the vicinity of the right of way. · Prior uses of the pipeline burial zone for raising crops or any other purpose (other than transportation on transecting transportation routes) will be precluded within this zone once WAGP construction begins and throughout the WAGP operational phase. · WAPCo will post signs along the pipeline ROW restricting access and use of the land except for those locations identified as public transportation routes. · Environmental impacts to rivers and other surface water bodies will be very temporary and localized. There will be no permanent impacts. The villagers surveyed in Nigeria do not fish in or derive livelihoods from the rivers or wetlands along the ROW. The socioeconomic impact associated with pipeline installation across surface water bodies is therefore deemed negligible. The single exception is Badagry Creek, the estuarine creek/lagoon near the coast, but no permanent impacts are anticipated on the small amount of habitat on the shores of that creek. People do fish in Badagry Creek, so there could be a socioeconomic impact associated with any appreciable decline in fish populations in the creek, but appreciable difference in the fish populations is not expected and will approach zero if the Horizontal Directional Drilling (HDD) method is successfully implemented. 5.2.3.5 Other Areas within the ROW All land of 20-to-25 meter width within the pipeline ROW will be acquired by WAPCo in accordance with the land acquisition laws on use of ROW. To avoid liability and prevent encroachment that could result in permanent construction on the right of way--except as stated below--areas within the ROW not occupied by pipeline access roads or burial zones will not be made available to the local population for use at the end of the construction phase for purposes of cultivation, horticulture, and/or construction. Areas within the ROW not occupied by pipeline access roads or burial zones will be accessible to the local population throughout the WAGP operational phase for such uses as livestock grazing and local foot traffic across the ROW only. Local residents will not be permitted to erect structures of any kind within the ROW, including buildings, fences, walls, cisterns, wells, irrigation facilities, or any other type of structure. 5.3 Land Acquisition Procedure The general procedure for WAGP land acquisition is as follows: · First, a suitable route and land are identified, taking care to minimize the need for land acquisition. Topographical surveys are performed for station sites and pipeline routes. EIA June 2004 Nigeria Final Draft RAP Rev 1 5-7 Chapter 5 and socioeconomic assessments are conducted concurrently with the survey of the pipeline routes. External Affairs (EA) engages with the communities for information exchange and education about the project and processes; · Second, Estate Surveyors are contracted, and work together with WAPCo to identify all affected land and property owners and verify owner titles to the land. External Affairs continues working with the communities, and develops a preliminary dispute resolution process; · Third, surveyed lands and properties are assessed, their values are established, and negotiations are conducted with landowners and different levels of government. External Affairs conducts consultations on land valuation with Town Councils and Local and State Governments, and the RAP is developed; · Fourth, the application for the Oil Pipelines License (OPL) is prepared and, according to procedures, the OPL application is published and public hearings are held to gather community comments. Following a period to gather public comment, disputes are negotiated and resolved according to the developed process (described in Chapter 7), and contracts with landowners are developed and owner endorsements obtained; and · Finally, the OPL is finalized, FID decision made, payments for land and property issued, and land acquired. A Certificate of Occupancy is obtained, and title documents officially registered. WAPCo has prepared a detailed land acquisition and compensation process, the key elements of which follow: · WAPCo has attempted to minimize physical and economic displacement through careful corridor alignment. Alternative routes and alternative compressor station sites have been reviewed taking social issues, among others, into consideration. Overlapping the corridor with the existing Shell/NNPC corridor in the densely populated urban and semi-urban areas as well as limiting the width of the ROW to 25 meters has minimized economic and physical dislocation impacts; · Since early in the process, WAPCo has engaged the potentially affected communities to inform them about the project through community forums and meetings with chiefs and elders. Consulting activities ranged from information provision to information exchange, collaboration, and cooperation with different stakeholders including the land/asset owners; · With the assistance of an independent Estate Surveyor, WAPCo has worked with each potentially affected person or group to create a mutually agreed upon inventory of affected assets; · The communities have engaged independent Estate Surveyors to review and verify the report of the WAGP Estate Surveyor and to negotiate on his behalf; · A formal public hearing was held to discuss the project and the land to be acquired, establishing a deadline for registering future compensation claims; and · WAPCo is collaborating closely with the Bureau of Lands on matters related to land acquisition, including compensation and dispute resolution. June 2004 Nigeria Final Draft RAP Rev 1 5-8 Chapter 5 The land acquisition process is illustrated by Figures 5.3-1, 5.3-2 and 5.3-3. June 2004 Nigeria Final Draft RAP Rev 1 5-9 Chapter 5 Figure 5.3-1: Land Acquisition Process in Nigeria Apply for Permit to Survey Apply for Permit to Survey Issue Permit to Survey Issue Permit to Survey Health Safety Health Safety Government ­ Government ­ Environment/Business Environment/Business Nigeria/Business Nigeria/Business Development & Planning Development & Planning Development & Planning Development & Planning Dialogue With Engineering to Dialogue With Engineering to Ensure that EIA Ensure that EIA Requirements Are Met Requirements Are Met Health Safety Environment Health Safety Environment Identify Customer Identify Customer Identify Suitable Land Identify Suitable Land Location, Demand, Capacity Location, Demand, Capacity Site/Route and Size Site/Route and Size Commercial/Legal Commercial/Legal Engineering Engineering LEGEND: Lead Responsibility Commercial/Legal Coordinate Public Sector Coordinate Public Sector Engineering/Survey/Estate Survey Input & Preliminary Input & Preliminary Health Safety Environment (HSE) External Affairs (EA) Land Identification Land Identification Accounting Governments EA/Community Relations External Affairs External Affairs Other Business Development & Planning (BDP) June 2004 Nigeria Final Draft RAP Rev 1 5-10 Chapter 5 Figure 5.3-2: Land Acquisition Process in Nigeria LEGEND: Lead Responsibility Commercial/Legal Engineering/Survey/Estate Survey Health Safety Environment (HSE) Develop Estate Survey Develop Estate Survey External Affairs (EA) Accounting Engr/Legal/HSE/EA Engr/Legal/HSE/EA Governments Other Business Development & Planning (BDP) Oil Pipeline License Oil Pipeline License Publication and Public Publication and Public Hearing Hearing Orientation of Contractors Orientation of Contractors Select Estate Surveyor Select Estate Surveyor HSE HSE HSE/EA HSE/EA Engr/Legal/HSE/EA Engr/Legal/HSE/EA Preparation of Oil Preparation of Oil Perform EIA & Socio Perform EIA & Socio Develop Contract Pipeline License (OPL) Pipeline License (OPL) Assessments Develop Contract Assessments HSE Concurrently with Survey Concurrently with Survey Engr/Legal Engr/Legal HSE HSE/EA FID HSE/EA Identify All Land and Identify All Land and Property Owners and Property Owners and Evaluate Surveyed Lands Evaluate Surveyed Lands Develop Contract Survey Station Sites and Develop Contract Survey Station Sites and Verify Titles Verify Titles and Property and and Property and Pipeline Routes Documents with Documents with Pipeline Routes Negotiate with Engr/Survey/Estate Negotiate with Engr/Survey/Estate Landowners and Obtain Landowners and Obtain Engr/FEED/Survey Landowners Engr/FEED/Survey Survey/Legal/EA Landowners Owners' Endorsements Owners' Endorsements From Survey/Legal/EA Engr/FEED/Estate Survey Figure Engr/FEED/Estate Survey Legal Legal 5.1 5.3-1 Community Info & Community Info & Advocacy for Community Advocacy for Community Education for Education for Relations & Cooperation Relations & Cooperation Consultation on Consultation on Smooth Survey Smooth Survey Land Develop Dispute Develop Dispute EA EA Land Resolution Process EA Resolution Process EA Town Council/Local & Town Council/Local & State Legal/EA State Legal/EA Security Input for Security Input for Develop Preliminary Pipeline Develop Preliminary Pipeline Dispute Resolution Dispute Resolution World Bank Resettlement World Bank Resettlement EA EA Process Process Action Plan (RAP) Action Plan (RAP) EA EA HSE/EA HSE/EA Note: EA denotes WAPCo External Affairs /Community Relations June 2004 Nigeria Final Draft RAP Rev 1 5-11 Chapter 5 Figure 5.3-3: Land Acquisition Process in Nigeria (Phase 3C) Advocacy to Ensure Advocacy to Ensure Approval of Final Approval of Final Permits Permits External Affairs External Affairs Process Payment for Process Payment for From Figure 5.2 5.3-2 Land and Property Final Permits for all Land and Property Final Permits for all Oil Pipeline Countries Countries Accounts/Business Accounts/Business License Granted Development & Government Development & Government Planning Planning FID From Figure 5.2 5.3-2 Make Payment and Register Title Make Payment and Obtain Certificate of Obtain Certificate of Register Title Contracts with Acquire Land Documents Where Acquire Land Occupancy Occupancy Documents Where Landowners Required Required Endorsed Engineering Engineering Legal Legal Legal Legal LEGEND: Lead Responsibility Commercial/Legal Engineering/Survey/Estate Survey Health Safety Environment (HSE) External Affairs (EA) Accounting Governments Other Business Development & Planning (BDP) Note: EA denotes WAPCo External Affairs /Community Relations June 2004 Nigeria Final Draft RAP Rev 1 5-12 Chapter 5 5.3.1 Identification of Pipeline Route and Affected Land 5.3.1.1 Description of Route Determination in Pre-Feasibility, Feasibility, Basic Engineering, and Detailed Engineering Stages After conducting multiple site studies to identify the optimal routes and station sites for identification of the required pipeline right of way and development of options of station and equipment layout, the width of the ROW was established with due consideration for current system needs and future expansion. The need for a safe, incident- and injury-free operation and for protection of personnel and equipment greatly affected the determination of the area requirement for each station location, which was then surveyed. Optimization of the pipeline route and station locations was carried out on site with the involvement of Environmental and Social Impact Assessment (ESIA) representatives to ensure impact to the environment was given due consideration. 5.3.1.2 Identification and Demarcation of Affected Plots Critical steps in identifying lands affected by the initial development included conducting a topographical survey, followed by an Estate Survey. Both surveys were performed by independent organizations in coordination with the ESIA team in Nigeria. The survey crews demobilized from site on 25 December 2002. At the commencement of work, control pillars were proved in situ, horizontally and vertically. All boundary lines were set out and traversed accordingly. A total number of 412 pillars were placed at every 200m interval. A comprehensive detailed survey of all manmade and natural features (i.e., creeks, rivers, canals, pipelines, buildings, etc.) was carried out. A population density survey was also carried out along the entire gas pipeline route. The entire pipeline route is about 58km. It traversed about 23 (twenty three) villages/towns (i.e., Itoki, Ijoko, Alade, Owode, Ajibode, Ewupe, Atuwara, Abule Benja, Igbo Oloye, Arobieye, Abiola, Okoomi, Ore Akinde, Edu, Agbara, Igbesa (Agotutun), Ilogbo Ijobun, Ilogbo Eremi, Agunmo, Araromi Ale, Imeke, Ajido); two major tarred roads, one borrow pit, and one major creek. The topographical survey of the selected pipeline route and station sites enabled WAPCo to finalize the property boundaries of the pipeline rights of way (ROW) and the station sites in the country based on actual site conditions. As part of the topographical survey, there was monumentation and staking out of the ROW. The list of coordinates for the ROW and station sites was part of the newspaper advertisement and the public display document. The Estate Survey enabled WAPCo to determine exact land demarcations and identify landowners along the proposed pipeline route. Cadastral maps or alignment sheets of the project-affected lands prepared by the Front-End Engineering Design (FEED) contractors were used by contracted Estate Surveyors to demarcate landownerships in the project-affected area along the ROW and station sites. The Estate Surveyor physically marked with stakes property boundaries as appropriate. The surveyor was charged with the completion of a detailed report with recommendations regarding land demarcation, as well as issues relating to land-and-access ownership of, stakeholder concerns about, and valuations and assessments of the property to be June 2004 Nigeria Final Draft RAP Rev 1 5-13 Chapter 5 acquired. The Estate Surveyor also identified and documented whether the project-affected lands are public or private properties. Relevant data are presented in Chapters 1, 2, 4, and 6. 5.3.1.3 Identification of Areas of Stakeholder Significance and Access Issues The Estate Survey highlighted areas of particular stakeholder significance, such as religious sites, nature reserves, protected areas and the like. In addition, an assessment was made of property access or access infringement issues for the land to be acquired. For all adjacent property owners, planned projects, buildings, residences, or other planned development were identified. Property boundaries were surveyed, physically marked, and documented. 5.3.1.4 Consideration of Social Issues during Route Selection and Selection of Temporary and Permanent Facilities The pipeline route avoids areas of high population density with infrastructures such as markets, housing estates, churches, mosques, shrines, and schools as much as feasible. Avoidance of these locations also has reduced the need for resettlement of people along the pipeline route. There are nevertheless a number of residential and cultural structures on the affected plots (described in Chapters 1 and 4). Consideration is ongoing for route alternations to avoid additional affected structures. 5.3.2 Identification and Registration of Property Owners and Other Affected People A field visit was performed for all alternative pipeline routes considered at the outset of the project. A survey of the final route as well as project sites was conducted to identify property owners with the sizes of their properties, size classification, and use of the land and property including construction type. Communities and other interested parties were present or were consulted to verify title and all liens to the land to be acquired, either fully or partially. The Estate Surveyor identified the land-owning communities with vested interest in the ROW. This was done in liaison with the Land Surveyors. The Estate Surveyor team met with the Obas (the Chiefs), and Elders including non-leadership individuals. As part of the Estate Survey information, each landowner or other stakeholder interest group -- including temporary residents on the properties at the time of survey--was documented and reported. Temporary residents were defined as those who did not have formal legal rights to land at the time of the census but had a claim to such land or assets, provided that such claims were recognized under Nigerian law or become recognized through a process identified in the RAP. The Estate Surveyor evaluated land, physical assets, and other property improvements, if any, potentially subject to compensation claims. He also established types, ownership, and numbers of crops, trees, and other plants on the land. Communities were informed of the importance of identification of claims and resettlement options. Communities were also assured of prompt payment of compensation after the Final Investment Decision (FID) and before commencement of the project construction. No construction will start on any given plot prior to execution of full payment (see Section 5.4.3 June 2004 Nigeria Final Draft RAP Rev 1 5-14 Chapter 5 [Compensation] for a full discussion of options and disbursement issues). Those claimants with residential and commercial property on the affected plots will be given adequate timing after payment to resettle, and all cultural property (graves, shrines, etc.) and community resources will be relocated or replaced, prior to initiation of the WAGP construction phase on the affected land. 5.3.2.1 Tracking Affected Land and Asset Data The independent Estate Surveyor set up an Excel database of affected land plots that conforms to the OP 4.12 (Annex 1.1). Data collected and recorded include the claimant's name, age, and gender; date of inspection; address and location of property; and valuation of property, including crops, economic trees, fish ponds, structures, and construction details of buildings and dimensions as well as land area subject to compensation requirements or claims, such as cultural assets, including graves, cemeteries, shrines, etc. The Estate Surveyor set up and maintained a landowner register including detailed information and profiles on landowners, as information was available. Reconciliation of the Estate Survey inventory began during and following the period allowed for public comment described below, with the few remaining disputes currently being negotiated. 5.3.3 Public Notification and Comment Procedure: Procedures for Finalization/Verification of Registration and Approved List of Affected Persons This Section provides an overview of the stages of public notification and comment. Chapter 7 (Public Consultation and Disclosure) describes the process in Nigeria in detail. 5.3.3.1 Notification In 2003, the Estate Surveyor and WAGP External Affairs staff conducted open forums and consultations in affected communities in order to: · Inform the communities about the proposed ROW acquisition · Introduce the independent Estate Surveyor · Elicit the support of the communities, Royal Fathers, Chiefs, Elders, Local Government, and general populace during the project execution; and · Further reassure the communities that the process of land acquisition will be absolutely transparent and that fair and adequate compensation will be paid to the affected landowners and tenants, so they will be able to replace the affected assets and restore or improve the incomes they derived from these As reported in the independent Estate Survey, a large number of open forums, town hall meetings, and community consultations have been held from November 2002 to date. These included large gatherings in, for instance: Igbesa - 10 July 2003 Badagry - 11 July 2003 Otta - 12 July 2003 June 2004 Nigeria Final Draft RAP Rev 1 5-15 Chapter 5 In addition, the communities have retained their own independent Estate Surveyors to conduct a valuation of their land and represent their interests in negotiations with WAPCo and WAPCo's own Estate Surveyors. Therefore, the community had an opportunity to learn of the comment process through these independent Estate Surveyors, to whom a Power of Attorney was granted, as well as from subsequent negotiation meetings between WAPCo and the surveyors (see also 5.4.3 Compensation). 5.3.3.2 Information to and Feedback from Communities Concerning Route Selection Informally and Formally Through Public Hearing Consistent with the procedure established and implemented in the other project countries (Ghana, Benin, and Togo), WAPCo conducted public hearings in Nigeria to disclose its land acquisition and resettlement plans, including entitlements and the claims process-and-dispute resolution processes. Workshops were a voluntary effort in the other countries, consistent with the IPA, but the hearings in Nigeria were conducted as part of the DPR Oil Pipelines Act approval process. Under the IPA, WAPCo is required to display the Front-End Engineering Design (FEED) documents for 21 days, after which a public forum is to be organized to offer a platform for the concerns of the general public to be addressed by project officials. The public display of these documents is done to satisfy legal requirements, but also for transparency and to address potential community concerns over land acquisition and safety. The workshops and hearings offer a platform for the concerns of the public to be heard and also offer the project officials the opportunity to refine the design and implementation framework for the gas pipeline by incorporating, where appropriate, the views and concerns of the general public. The forum also provides an opportunity to demonstrate to stakeholders that WAPCo will build and operate a safe and reliable pipeline system. Notification of the forum is be similar to that used in Ghana, Benin, and Togo. The procedures are mandatory per the requirements of the IPA and national laws and regulations (the Oil Pipelines Act). Specifically, FEED documents should be displayed at public places. The public will be informed about the availability of the documents through public notices and radio announcements over a period of 21 days. The concerns of the public will be recorded in notebooks provided for this purpose and collected after the 21-day public display period. Invitations to the public hearing were extended to various government ministries, departments, and agencies; NGOs; traditional councils; landowners within the proposed ROW and compressor station sites; and the media. In Nigeria, public hearings were held on 29 and 31 March 2004. People affected by the project were notified of the forum either through personal visits by WAPCo staff to communities to hold open-air discussions, or through regular town hall-type meetings in Ota, Igbesa, and Badagry as listed above (Section 5.3.3.1). Stakeholders were assisted in getting to the meeting venues. An additional period of 21 days after the public hearing was allowed for the affected populations to register their consent or objection to the project plans. This period was also used for the identification of unknown landowners. Additional information on the informal stakeholder consultation process is provided in Chapter 7. It should also be noted that as part of the stakeholder consultation process during the June 2004 Nigeria Final Draft RAP Rev 1 5-16 Chapter 5 environmental impact assessment, communities were invited to give feedback on a range of issues, including route selection. 5.3.3.3 Public Display of Information Prior to Public Hearing During the second half of 2003 and in early 2004, WAPCo displayed the list of landowners and associated assets at various libraries, local government headquarters, and state land departments, thereby establishing a cut-off date. WAPCo also published details on the land acquisition needed for the project in both local newspaper and official gazette. Prior to the public hearing, route survey data was advertised in national newspapers. Additional announcements were made locally to the project-affected area as part of the process of public notice. The display of the register provided affected persons with the opportunity to lodge their claims of ownership and resettlement problems. Radio and TV announcements were also made. The next phases of the process of land acquisition will continue to be highlighted and explained during future public hearings to educate the public on land to be acquired. 5.3.3.4 Final Submission of Public Feedback Consistent with the IPA, during the FEED/PDP Public Hearings in Nigeria and via announcements in the newspapers, participants and members of the public were advised that comments regarding the project could be submitted by the announced date to any of the following: · West African Gas Pipeline Authority (WAGPA) member in Nigeria4; · Technical Authority in Nigeria, i.e., the Department of Petroleum Resources; or · The WAPCo External Affairs representative. Community leaders were encouraged to gather feedback from individual landowners, tenants, and other community members. 5.3.3.5 Established Cut-Off Date for Claims The cut-off date is the date on which the project declares its intent to acquire land and land-based assets and advises landowners of such intent. Following the cut-off date, no new assets or improvements should be added to the land. The status of the land and land-based assets as of the cut-off date is thus the basis for final valuation. The cut-off date as described in this RAP was the date of public posting of the affected land/assets and route in March 2004, and opportunities are provided to stakeholders to request corrections in their claims. Should there be substantial delays in the project schedule, prior to the Final Investment Decision (FID), the land register will be displayed, public hearings conducted, 4 The WAPCo Authority was established under the Treaty signed by the States on 31 January 2003 and is a harmonizing regulatory agency, reporting to the respective Ministries of Energy in all four countries. June 2004 Nigeria Final Draft RAP Rev 1 5-17 Chapter 5 and WAGP survey data reconciled with inventories from the communities' separate surveyor information. 5.3.3.6 Final Steps Used in the Acquisition of Privately Owned Lands WAPCo's Legal Counsels and contracted Estate Surveyor will finalize the land acquisition documentation; and the engineering and external affairs teams will complete negotiations and make the necessary payments directly to the affected persons as required while the legal team will register the agreements after payment to identified landowners. 5.3.4 Negotiation Procedures As shown in Figures 5.3-4, 5.3-5, 5.3-6, and 5.3-7, WAPCo intends to negotiate compensation with agents of landowners, if a Power of Attorney is issued by the landowner and verified legally. Otherwise the negotiation will be with the landowner directly. Since communities have hired their own Estate Surveyors and provided these firms with a Power of Attorney, WAPCo is conducting negotiations with these agents. For all assets, including land, WAPCo will use a value calculated to be equivalent or better than the full replacement value as the basis of payment. All valuation of land and properties will be adjusted for inflation to use the existing OPTS rates. For all productive assets, replacement value will not fall under the income stream derived from these assets. When affected owners opt for cash compensation rather than land-for-land arrangements, WAPCo will prepare and approve valuation reports. WAPCo will then implement acquisition by developing contracts with landowners (or with their representatives) and make payments after FID. All payments will be deposited directly to the bank account of the owners, unless they request other arrangementsFor those affected claimants who do not have a bank account, the cash or a check can be given to them in the presence of village leaders and other affected populations(per their wishes). Following successful completion of these steps, WAPCo will seek certificates of occupancy/title documents for the acquired land. WAPCo will be assisted by the Estate Surveyor in the following activities: negotiation of land purchase agreements and/or options to purchase as well as all appropriate registrations of the property purchases. All Power of Attorney verification will be carried out by the local counsel for the project. All agreements reached with landowners will be registered by the Legal Counsels. 5.3.4.1 Dispute Resolution Procedures (Non-Negotiated Cases) The Oil Pipelines Act assumes that the landowners and the acquirers would negotiate the level of compensation. As Figure 5.3-5 shows, if there is failure to agree on compensation or ownership rights, WAPCo would involve the Bureau of Land and community leadership in efforts to resolve the dispute amicably. Meetings will be called between the landowner and WAPCo to seek a way forward in resolution of the dispute. If both parties are not agreeable on the amount of compensation to be paid, then such compensation will be fixed by a court in accordance with the provisions of Part 1V of the Oil Pipelines Act and the relevant provisions of the Land Use Act as may be applicable. The Oil Pipelines Act provides that if a dispute arises over June 2004 Nigeria Final Draft RAP Rev 1 5-18 Chapter 5 Figure 5.3-4: Land Acquisition Process in Nigeria Engineering to prepare and send Engineering to prepare and send Surveyed station sites and ROW Surveyed station sites and ROW Maps to EA and Estate Maps to EA and Estate Surveyor Surveyor Engr/Surveyors Engr/Surveyors Identify all land and property Identify all land and property owners and verify their title to owners and verify their title to Write to Bureau of Lands (with Write to Bureau of Lands (with the land the land Maps attached) ­ inform them of Maps attached) ­ inform them of intention to acquire land Estate Surveyor/EA/Engr/Legal intention to acquire land Estate Surveyor/EA/Engr/Legal EA/Estate Surveyors EA/Estate Surveyors Carry out assessment/ Carry out assessment/ evaluation of land and other evaluation of land and other properties in consultation with properties in consultation with affected households and affected households and Set up meeting with community Set up meeting with community communities communities Leadership ­ Launch the process of Leadership ­ Launch the process of consultation with community Estate Surveyor/EA/Engr consultation with community Estate Surveyor/EA/Engr EA/Estate Surveyors EA/Estate Surveyors Organize joint inspection visit Organize joint inspection visit to station and ROW with to station and ROW with Bureau of Lands Bureau of Lands EA/Estate Surveyors EA/Estate Surveyors Bureau of Lands - publication Bureau of Lands - publication of land/ROW acquisition in of land/ROW acquisition in gazette and local newspaper to gazette and local newspaper to disclose information to the disclose information to the affected communities and other affected communities and other stakeholders stakeholders EA EA Bureau of Lands ­ conduct Bureau of Lands ­ conduct LEGEND: Lead Responsibility public hearing on land/ROW public hearing on land/ROW Commercial/Legal acquisition acquisition Engineering/Estate Surveyor EA EA External Affairs Note: EA denotes WAPCo External Affairs/Community Relations June 2004 Nigeria Final Draft RAP Rev 1 5-19 Chapter 5 Figure 5.3-5: Land Acquisition Process in Nigeria Negotiate compensation Negotiate compensation with landowners, with with landowners, with Failure to agree options options compensation or ownership rights From EA/Estate Valuers EA/Estate Valuers Figure 5.3-4 5.4 Bureau of Lands Complete Involve Bureau of Lands Involve Bureau of Lands Public Compensation and community and community Hearings agreed leadership in efforts to leadership in efforts to resolve dispute amicably resolve dispute amicably LEGEND: Lead Responsibility EA/Legal EA/Legal Commercial/Legal Engineering/Estate Surveyor External Affairs (EA) Prepare valuation report Prepare valuation report and send to Engineering and send to Engineering Landowners/Claimants' Landowners/Claimants' & EA Managers & EA Managers solicitors get involved in solicitors get involved in EA/Estate Valuers EA/Estate Valuers dispute ­ Notify and get dispute ­ Notify and get WAGP legal involved WAGP legal involved EA EA Valuation IfIflandowners/claimants landowners/claimants sue Chevron Nigeria report sue Chevron Nigeria Dispute is taken to court Limited (CNL) or an approved Dispute is taken to court Limited (CNL) or an and/or WAPCo is sued ­ and/or WAPCo is sued ­ other CVX or sponsor other CVX or sponsor Notify legal and provide Notify legal and provide entity ­ Notify CNL legal entity ­ Notify CNL legal detailed facts to legal in detailed facts to legal in and WAGP and and WAGP and response to claim response to claim coordinate reaction coordinate reaction between CNL and WAGP between CNL and WAGP Develop contracts with EA Develop contracts with EA legal groups legal groups landowners landowners EA EA Legal Legal Instruct local counsel to Instruct local counsel to represent WAPCo in represent WAPCo in court court Make payment, sign Make payment, sign contracts with contracts with Legal Legal landowners, and acquire landowners, and acquire land land EA/Estate Surveyors EA/Estate Surveyors Apply for and obtain Certificate of Occupancy/ title document Legal/EA Note: EA denotes WAPCo External Affairs/Community Relations June 2004 Nigeria Final Draft RAP Rev 1 5-20 Chapter 5 Figure 5.3-6: WAGP Dispute Resolution Process in Nigeria From Figure 5.5 5.3-5 While matter is in While matter is in Matter cannot Case Brought to court, also explore court, also explore be resolved Court amicable settlement amicable settlement amicably Matter is resolved Continue with court Continue with court amicably case while working case while working with Bureau of with Bureau of Lands/community Lands/community leaders to pay leaders to pay From Figure 5.5 5.3-5 compensation into compensation into Develop court or escrow and court or escrow and Contracts With secure access to the secure access to the Owners land pending land pending LEGEND: Lead Responsibility resolution of the resolution of the Commercial/Legal dispute dispute Engineering/Estate Survey Legal/EA External Affairs (EA) Legal/EA Note: EA denotes WAPCo External Affairs/Community Relations June 2004 Nigeria Final Draft RAP Rev 1 5-21 Chapter 5 Figure 5.3-7: Post Acquisition Claims & Disputes Resolution Process in Nigeria Receive and investigate Receive and investigate IfIfdispute is taken to court dispute is taken to court IfIflandowners/claimants/third landowners/claimants/third claims/disputes/complaints and/or WAPCo is sued ­ and/or WAPCo is sued ­ parties sue CNL or any other parties sue CNL or any other claims/disputes/complaints Notify Legal and provide CVX or Sponsor entity ­ by Landowners/property by Landowners/property Notify Legal and provide CVX or Sponsor entity ­ owners or third parties detailed facts to Legal in detailed facts to Legal in Notify CNL legal and WAGP Notify CNL legal and WAGP owners or third parties response to claim response to claim legal and coordinate legal and coordinate EA EA reaction/handling by WAGP EA reaction/handling by WAGP EA Legal Legal EA EA Advise legal and Advise legal and Engineering of the Engineering of the Instruct local counsel to merits of each Instruct local counsel to merits of each represent WAPCo and claim/dispute/complaint represent WAPCo and claim/dispute/complaint any other sued Sponsor any other sued Sponsor EA EA party in court party in court Legal Legal Involve relevant Involve relevant Community leadership in Community leadership in While matter is in court, amicable resolution of While matter is in court, amicable resolution of Dispute is also explore amicable Matter cannot claim/dispute/complaint settled also explore amicable claim/dispute/complaint be settled amicably settlement se tlement EA amicably EA EA/Legal EA/Legal IfIflandowners/claimants/ landowners/claimants/ Develop and sign relevant third parties get their third parties get their agreement to reflect Continue with court case Continue with court case solicitors involved in solicitors involved in settlement (and pay agreed Matter is while working with while working with dispute/claim ­ Notify and dispute/claim ­ Notify and compensation where settled community leadership and community leadership and get WAGP legal involved get WAGP legal involved appropriate) amicably landowners/claimants to landowners/claimants to EA EA ensure work is not interrupted Legal/EA ensure work is not interrupted pending resolution of pending resolution of dispute/claim dispute/claim Legal/EA Legal/EA Develop and sign relevant agreement to reflect settlement (and pay agreed compensation where appropriate) Legal/EA LEGEND: Lead Responsibility Commercial/Legal Engineering External Affairs Note: EA denotes WAPCo External Affairs/Community Relations June 2004 Nigeria Final Draft RAP Rev 1 5-22 Chapter 5 compensation payable, the matter would go before the courts. The Act also provides for resolution of disputes as to compensation by a magistrate or the High Court. Pending such resolution, the holder of the right remains entitled to enter onto the land in the meantime. 5.3.4.2 Eminent Domain Declaration WAPCo will acquire land or the right to use land through negotiated agreement, with the use of compulsory acquisition only as a last resort should negotiations fail. This is not expected. Indeed, negotiations are being successfully completed. 5.3.4.3 Jurisdiction The High Court of the State has jurisdiction over disputes arising in relation to title over land. 5.4 Valuation Methods A general principal adopted in the formulations of the compensation valuation is that, in accordance with World Bank Group guidelines, lost income and assets will be valued at their full replacement cost; and project-affected populations should experience no net loss. As such, WAPCo applies the following principles in valuation and compensation payments: · When graves, shrines, and tombs are affected, WAPCo will move these, at its own expense, to a place the affected families and persons may choose elsewhere on their property. Should they be privately owned and their owners suggest other options, these will be accommodated by the project in consultation with community leaders. Should the communities prefer, a mutually agreeable price to pay for the move will be made. · Economic crops and trees will be evaluated on the basis of OPTS rates. In Nigeria, updated and inflation-adjusted rates are based on maximum farm gate prices or the rates determined by independent assessors' market value consideration, whichever is higher. Since OPTS rates are given, the replacement values of income stream considerations are made on a sample basis to ensure that adjusted OPTS rates correspond or exceed these values. · Houses and properties, including such physical assets as water wells, irrigation structures, fences, and livestock pens are valued on the basis of full replacement costs. All land will be compensated at a value no less than its full replacement value. The income stream from all immovable assets will be taken into consideration in willing-buyer/willing-seller negotiations. · Improvements made to previously owned agricultural land, such as the addition of irrigation infrastructure or improved soil quality through the use of fertilizer, will be reflected in valuation and compensation arrangements as negotiated with the seller. · Payment will be for a single land parcel if the severed parcel comprises more than 50 percent of the affected plot, subject to negotiation, thereby taking into account the economic viability of orphaned land5; 5This will be applied only at the request of the landowner. Until May 24, no such requests had been received. As a result, this option has not been reflected in the compensation matrix presented in Chapter 6. June 2004 Nigeria Final Draft RAP Rev 1 5-23 Chapter 5 · Standing crops will be compensated at their full market value, to be paid directly to crop owners within nine months of the Final Investment Decision, and prior to the start of construction on the affected plot. In Nigeria, all issues relating to valuation of crops, land, and buildings, are handled by Estate Surveyors.. WAPCo retained the services of an independent Estate Surveyor to oversee valuation of all affected assets. Communities also retained their own Estate Surveyors to conduct valuations and negotiations on their behalf. Compensation procedures are described below (Section 5.4.3). 5.4.1 OPTS Standards Operators in the oil and gas sector have devised a means of compensating local communities, without being seen as contravening the provisions of the Land Use Act, which effectively removed the concept of a freehold interest in land and vested the title in either the Governor or the Local Government. This device is the "Payment for Deprivation of Use of Land," and payment is regulated by the Oil Producers Trade Section (OPTS), which provides a compensation payment schedule (Annexes 5.1-5.4).6 The Oil and Gas Sector compensates local communities impacted by projects through the "Payment for deprivation of use of land." For the ROW, WAPCo intends to pay for crops and economic trees on the land based on the OPTS principle of quantifying the crop or economic tree, using rates established by the OPTS with provision for inflation relative to the dates of the last negotiations of the OPTS rates. The schedule lists the amount payable for crops (rate per hectare) and economic trees (rate per unit/tree) in Nigeria. Maximum farm gate prices are provided for crops and trees. The OPTS schedule also lists compensation rates for manmade structures relocated due to land acquisition and for natural land that is acquired. The Estate Surveyor documented land valuations of all natural and manmade improvements, e.g water wells/boreholes. Government rates for land and agricultural consideration are to be identified for purposes of (i) comparison with OPTS rates and (ii) negotiation. However, it should be noted that the OPTS rates are always higher than the Government rates in all circumstances. Moreover, since the law in Nigeria is for payment of what is on the land only and not for the land, WAPCo is going beyond the Government requirements by providing compensation for land. Further details of entitlements and compensation policies are provided in Chapter 6. 5.4.1.1 Adjustment of OPTS Rates The OPTS rates were last reviewed in 1998. While some communities may consider the rates inadequate, they remain the established schedule for compensation in Nigeria. During project scoping meetings, communities raised the issue that the rates may be inadequate and requested a 100 percent increase. WAPCo evaluated compensation payments on the basis of the 1998 OPTS standards and adjusted for inflation. For land, WAPCo is offering 10 times the 1998 OPTS rates 6Annexes 5.1-5.4 present sample OPTS rate schedules for: Structures/Natural Features; Economic Crops and Trees; Natural Features/Land; and Natural Features/Land: Siltation/Pollution/Loss of Use. June 2004 Nigeria Final Draft RAP Rev 1 5-24 Chapter 5 plus a 50-75 percent increase over these values during negotiations with owners. For crops, WAPCo is offering OPTS rates plus 50-75 percent during negotiations with owners. 5.4.2 Basic Principles Underlining Valuation 5.4.2.1 Valuation of Assets 5.4.2.1.1 Productive Assets For the valuation of all productive assets (e.g., irrigation structures, wells, pastures, and land), WAPCo will use the adjusted OPTS rates, ensuring that they are equivalent or higher than the full replacement cost. Under this approach, compensation for the property is determined by the present cost of materials used on the property, i.e., the cost of the asset if produced today, including the use of modern materials and construction techniques. Replacement cost is the money required to construct a property of utility equal to the one being appraised on nearby land of at least equivalent quality and size. As already mentioned, the land and other assets will not be expropriated, but will be purchased based on willing-buyer/willing-seller principles, using adjusted OPTS rates as a basis for negotiations. Despite the fact that the land ultimately belongs to the state, in practice, individual ownership is deeply rooted in the project areas as an institution. This allows the project to enter into land purchase negotiations with affected owners and users. By May 2004, no cases had been noted that would require recourse to Eminent Domain. 5.4.2.1.2 Valuation of Economic Crops and Trees The valuation approach is to (i) determine the type of crop, (ii) count the number of crops on the land, (iii) apply the 1998 OPTS rates to establish the amount payable, and (iv) adjust, where appropriate, the final valuation for inflation. The OPTS rates list the maximum farm gate prices for economic crops and trees. There will be no additional adjustment of these rates other than as indicated for inflation and per the rules of OPTS. Where payment is effected in US dollars the dollar inflation rate will be applicable. 5.4.2.1.3 Valuation of Immovable Assets and Infrastructure, Including Residential Homes, Barns, and Other Structures Houses and properties, including such physical assets as water wells, irrigation structures, fences, livestock pens, graves, and tombs are valued on basis of full replacement costs. The rates used are open-market or replacement cost. During the time of the Estate Survey, even though a cut-off point had not been established, the affected plot owners were told that no other assets than those identified by the Estate Surveyors would be compensated for. However, this was done in March 2004, in accordance with the legal framework described in Chapter 3 and Section 5.3.3.5, above. While some residential structures incomplete in 2003 could have been completed during the period between the completion of the Estate Survey and the declaration of the cut-off point, the ongoing negotiations show that this has not been done. Nevertheless, if at the time of the final negotiations some homes appear to be more complete and/or contain additional immovable assets, compensation will be provided to June 2004 Nigeria Final Draft RAP Rev 1 5-25 Chapter 5 cover these additions. This is reflected in the budget set aside for land acquisition and resettlement. 5.4.2.1.4 Valuation of Severed Parcels of Land As discussed in Chapter 6, land acquisition for the project right of way and ancillary facilities will affect a substantial number of plots. Some plots may become unprofitable to cultivate for the duration of both construction and operation phases. Valuation of severed parcels of land will be examined by WAPCo on a case-by-case basis and will take into account whether the orphaned area remains economically viable. If the severed area is greater than 50 percent of the affected plot, WAPCo will pay compensation for the single plot, subject to negotiation. If the severed area is less than 50 percent of the single affected plot, WAPCo will pay compensation for the affected portion, subject to negotiation. This compensation will be based on the same compensation rates or negotiation principles applicable to the area of land within the project corridor. 5.4.2.2 Verification of Valuation Rates WAPCo, with assistance from the Estate Surveyor, will identify government valuation rates for land and agricultural consideration for purposes of comparison and negotiation. It should be noted that the OPTS rates are higher than the government rates in all cases. Competing land and property payment rates in the area will also used for comparison. Final negotiated values are expected to be 50 to75 percent higher than the OPTS rates fully adjusted for inflation. 5.4.3 Compensation After studying the nature of the losses due to the project activities and reviewing the community practice in compensation issues as well as in consultation with the affected landowners and tenants, WAPCo will compensate according to the following three options: (1) cash compensation, (2) replacement, or (3) relocation and reconstruction. As already mentioned, several rounds of consultations showed affected people's preference for cash. 5.4.3.1 Cash Compensation Cash compensation based on the valuation approaches detailed above will be offered to landowners and users, as appropriate. In keeping with the World Bank Group's guidelines, this is particularly appropriate (a) where land is not the preferred option of the affected persons; (b) where livelihoods are land based but the land taken for the project is a small fraction of the affected asset and the residual is economically active; (c) where active markets for land, housing, and labour exist, and where displaced persons use such markets and there is sufficient supply of land and housing; or (d) where livelihoods are not land based. Following negotiation with the registered landowner or land use, if preference is given for cash compensation for loss of non-moveable assets rather than replacement/reconstruction, WAPCo will provide cash compensation. The communities' Estate Surveyors have indicated in a draft Letter of Intent that the cash compensation offer will be accepted, with values based on WAPCo's Estate Survey Report, June 2004 Nigeria Final Draft RAP Rev 1 5-26 Chapter 5 which reflects a 50 percent increase over OPTS rates for crops, economic trees, buildings, and structures, and a 75 percent increase for permanently acquired land. Payment will be provided in the form of cash, check, or bank deposit, directly to the affected owners and other affected claimants. For those affected people with bank accounts who wish to receive payment directly to their accounts, this will be done. Checks or deposit slips will be given to each holder of occupancy or to tenants, organizations, or communities in the presence of local government officials. Otherwise, for those affected claimants who do not have a bank account, the cash or a check can be given to them, as per their wishes, in the presense of village leaders and members of their communities.7 5.4.3.2 Replacement Land Where the landowner prefers replacement land8 in lieu of cash compensation, WAPCo will provide alternative land. Land at Agbara Estate and in the vicinity of Otta has been identified as replacement residential land for certain landowners. Suitable agricultural replacement land has also been identified, which is either of similar quality or will be prepared accordingly. WAPCo is committed to working with each affected individual or household to ensure that they accept the option to receive replacement land, and then to identify acceptable replacement parcels. WAPCo will acquire the identified replacement land on their behalf and subsequently transfer ownership to the households.9 Households will then claim occupancy prior to the demolition of their identified land. The same procedure will be used for homes, individual plots, and commercial entities. However, as of May 2004, no claimant has chosen the option for in-kind replacement. Should such a claim arise, suitable land is available and will be provided (Annex 5.5). 7 WAGP will pay after FID and preferably into a bank account of the owner. In Nigeria it is illegal to carry a large sum of money in cash. Most of the landowners in Nigeria are rural and do not have bank accounts. There was a rumor in Igbesa that the Oba had concluded arrangements with a local bank manager to deduct a certain amount of money from each claimant when the money was paid. Therefore claimants might not be favorably disposed to bank payments. In light of the above, WAGP may need to encourage the claimants to have their own bank accounts into which the compensation can be paid directly. 8 The Estate Agent has confirmed that replacement plots are very much available along Ota-Ewekoro and Ota- Idiroko axis, not far from Alagbado gas terminal. Each residential plot, measuring 120 x 60 feet, currently sells for between N300, 000 and N350, 000. As shown by various investigations and reported in the OPIC report, replacement land is available. 9 As indicated, replacement land is available but cash compensation is demanded by the affected people. Investigations reveal the wide-scale availability of rental homes and land. In the Alagbado axis, rents for single rooms, very popular among the urban poor, range from N 800 to N 1,200 ($5 to $9) per month. Two-bedroom and three-bedroom apartments, the sort of accommodation popular among the middle class, go for N3,000 to N5,000 (US $20-45) per month, while more prosperous individuals live in detached and semi-detached bungalows, paying between N10,000 and N15,000 (US $90-135) per month. It is usual for prospective tenants to be required to pay one or two years advance rent before they move into the estates. This rent is applicable in much of Lagos and the surrounding areas. Allocation of land for rental purposes in these areas is usually done in acres (1 acre =6 plots), and the rent is about N2, 500 to N3, 000 for an acre/per annum. Also payments may be made in kind. For instance, the tenant will pay the landlord a certain amount of the crop that he/she is growing on the land. Another form of payment is for the landlord to take the tenant to work on another farm (e.g., the landlord's farm) during harvest in lieu of rent. June 2004 Nigeria Final Draft RAP Rev 1 5-27 Chapter 5 5.4.3.3 Relocation and Reconstruction This option is recommended for any common property resources, public structures, cultural properties as well as infrastructure within the project affected area.. WAPCo intends to relocate/reconstruct cultural structures, such as shrines, that will be affected by the project. WAPCo likewise, if required, intends to relocate/reconstruct any common infrastructure, such as sewage lines, that may be affected by the project, on which stakeholders do not have personal claims yet derive various benefits. It should be noted, however, that the practice is to go under the infrastructure rather than relocate the utility. Following negotiation with the registered landowner or land user, if preference is given for cash compensation for loss of non-moveable assets rather than replacement/reconstruction, WAPCo will provide cash compensation at the full replacement value. 5.4.3.4 Disbursement of Compensation in Disputed Cases Where the interests injuriously affected are those of a local community, under Section 21 of the Oil Pipelines Act, the Court may order the compensation to be: · Paid to any chief, headman, or member of that community on behalf of such community; or · Paid in accordance with a scheme of distribution approved by the court; or · Paid into a fund to be administered by a person approved by the court on trust for application to the general, societal, or educational benefit and advancement of that community or any Section thereof Chapter 6 details the project's various mitigation measures, including income restoration and replacement. WAPCo intends to pay compensation after FID and before mobilization for construction. If payment is delayed beyond the period agreed upon with the landowners, bank rate interest will be added for the delayed period, which complies with national law10. 5.5 Implementation Roles and Responsibilities The roles and responsibilities of WAPCo, Estate Surveyors, and external agencies with regard to RAP implementation are detailed below. There are additional roles and responsibilities associated with the RAP that are yet to be defined for the project. 5.5.1 WAPCo Roles Responsibilities for commitments proposed in the RAP exist within WAPCo and are delegated internally and to qualified contractors such as estate surveyors. A well defined organizational structure exists, with all units and staff assigned to specific roles associated with resettlement, including impact minimization, census and inventory preparation and confirmation, consultation and feedback, compensation negotiations, and land acquisition and registration as well as monitoring and reporting. 10Late payments will be made only under exception circumstances. Otherwise, the project intends to pay all claimants well ahead of the construction schedule to ensure the smooth transition of title from owners to WAGP. June 2004 Nigeria Final Draft RAP Rev 1 5-28 Chapter 5 Figure 5.5-1 presents the organization of WAPCo's RAP implementation team. Various WAPCo departments will be involved in the RAP implementation, under the overall direction of the project director, construction management agreement (shaded in red in Figure 5.5-1), who reports directly to the WAPCo managing director. A special unit referred to as the RAP management team (shaded in green in Figure 5.5-1) will work with the project director to ensure RAP implementation as well as to carry out internal monitoring. The core responsibilities for RAP implementation will rest with the community relations staff, although a number of departments (shaded in yellow in Figure 5.5-1) within WAPCo's overall organization will have roles in RAP implementation. Responsibilities of various WAPCo departments will include the following: · External Affairs (EA) is currently responsible for facilitating liaison with communities as well as government agencies to facilitate stakeholder consultations throughout the life of the project. Following FID the Government Relations reps will report to WAPCo General Manager, Corporate Affairs, with Community Relations maintaining it's reporting relationship to the Project Director · Health, Safety and Environment submits Estate Survey and socioeconomic surveys as part of the EIA and RAP approval process, including public notification and public hearings; · Engineering identifies alternative project sites and pipeline routes, contracts and supervises Estate surveyors, works with landowners and tenants on verifying their titles and conducts negotiations on compensation payments; · Legal provides advice to the WAPCo team, including verification of power of attorney and drafting of legal agreements with affected parties; and · Accounting processes payments to the affected people. In addition, a number of the central and federal government agencies have legal responsibilities in the implementation of the RAP. They include State Ministry of Lands and Housing, Bureau for Lands and Survey, Office of State Surveyor General, Town Planning Division, Forestry Research Institute of Nigeria, Department of Petroleum Resources, State Ministry of Tourism/Tourism Board, as well as local government councils and traditional leadership. June 2004 Nigeria Final Draft RAP Rev 1 5-29 Chapter 5 Figure 5.5-1: W AP C o R AP Team O rganization C hart W A PC o M anaging D irector G eneral M anager G eneral G eneral M anager G eneral M anager G eneral M anager B usiness and C o m m ercial C orporate A ffairs C ounsel O perations Finance D evelop m ent P roject M anager P roject D irector T echnical Services G overnm ent O utside C onstructio n M anagem ent A greem ent R elations C ounsel A greem ent R ep. B enin B enin G overnm ent O utside H ealth Safety R elations C ounsel C o m m unity E nvironm ental B usiness and E ngineering and R ep. G hana G hana R elations S upervisor M anager P lanning M anager C onstructio n M anager G overnm ent O utside R elations C ounsel L ead O nshore L ead O ffshore R ep. N igeria N igeria C om m unity R elations R ep. E ngineer E ngineer B enin G overnm ent O utside R elations C ounsel R ep. T ogo T ogo C om m unity R elations R ep. P ipeline Station G hana C onstructio n C onstructio n Superintendent Superintendent K E Y R A P M anagem ent T eam C om m unity (m onitoring and R elations R ep. O nshore P ipelines R & M Stations O ffshore P ipelines im plem entation support) N igeria · Benin · Takoradi · M ain Line · Ghana · Cotonou · Benin Lateral R A P Im plem entatio n · Nigeria · Lome · Ghana Laterals M anager C om m unity · Togo · Tema · Togo Lateral R elations R ep. R A P Im plem entatio n R ole T ogo June 2004 Nigeria Final Draft RAP Rev 1 5-30 Chapter 5 5.5.2 Key Responsibilities 5.5.2.1 Land Acquisition and Negotiation The RAP Implementation Team aims to implement (i) the land and asset acquisition, (ii) the compensation plan, and (iii) all RAP project resettlement requirements as defined by this RAP. The organization of the RAP Implementation Team is as follows: 1) Negotiation Team Leader; 2) Community Relations Representative; 3) Government Relations Representative; 4) Communications Representative; and 5) Estate Surveyor. 5.5.2.2 Compensation Based on values assessed by the Estate Surveyor and negotiated with affected persons by Engineering and the Estate Surveyor, and as stated in contracts developed by the Legal Department, Accounting and Engineering will process and make the actual payments, respectively, to affected persons within nine months after the FID and before the start of construction on affected lands. WAGP will pay the negotiated sum to each claimant directly (into their own bank accounts if available). For affected claimants who do not have a bank account, payments can be made in cash or with a check in the presence of village leaders or other persons of their choice. No claimant will receive payments indirectly through agents or other intermediaries. 5.5.2.3 Resettlement, Including Provision of Homes Included in its responsibility for land acquisition, External Affairs bears primary responsibility for the oversight and supervision of this Resettlement Action Plan, including purchase and transfer of ownership of in-kind replacement land should that option be accepted by affected persons, and ensuring that any person who will lose a residential structure will have access to housing prior to the demolition of the affected structure. Adequate time will be allowed after payment and prior to mobilization to ensure that affected persons are able to move their homes, as well as commercial and agricultural activities to new sites. Cash and in-kind compensation will be in amounts no less than the full replacement value. By mid-May 2004 none of the affected persons had chosen to receive in-kind compensation. However, should any such person emerge, in-kind land will be provided. 5.5.2.4 Land-for-Land Arrangements Institutional analysis is being conducted to determine the agencies relevant to implementing land-for-land arrangements. Replacement land is to be provided by WAPCo at the Agbara June 2004 Nigeria Final Draft RAP Rev 1 5-31 Chapter 5 Estate or Otta in Ogun State in cases where in-kind replacement is the preferred option of the landowner and the available land has characteristics such that it will fully replace land to be acquired by WAGP. The RAP Implementation Team will oversee the implementation of land- for-land arrangements. 5.5.2.5 Preparation of Newly Allocated Land for Cultivation Any land allocated under the land-for-land arrangements will be prepared accordingly by WAPCo for the landowner. WAPCo's RAP Implementation Team will supervise this process. 5.5.2.6 Reinstatement of Land Reinstatement of land falls within the scope of the contractor and will be performed at the end of the construction period per the project stipulations and the EIA mitigation plan. 5.5.3 External Roles and Responsibilities 5.5.3.1 Estate Surveyors Estate Surveyors are responsible for all issues relating to valuation of crops, land, and buildings. In general, their professional competencies relate to Estate Agency, Project Management (community development), Valuation, Feasibility and Viability Reporting, Assessment, and Compensation. Relatively fewer firms have extensive experience with compensation; however, WAPCo has identified the best-qualified firms in this area. WAPCo's Legal Counsels and contracted Estate Surveyors will complete documentation regarding the land acquisition as required and register the agreements after payment to identified landowners is made. Communities have also hired independent Estate Surveyors to conduct land and asset valuation. These agents are granted Power of Attorney to negotiate on the community members' behalf. 5.5.3.2 Government The Nigerian Government advised WAPCo of survey requirements, issued the Permit to Survey (PTS), and will grant the final permits. 5.5.3.3 Key Organizations in Ogun and Lagos States The key external institutional roles and responsibilities concerning land and asset acquisition in Ogun and Lagos States are provided below. As noted in Chapter 3, the Land Use Act provides for the establishment of a Land Use and Allocation Committee in each state that determines disputes as to the amount of compensation payable under this Act for improvements on land. This Committee would also be responsible for advising the Governors on any matter connected with resettlement. The role of the Department of Petroleum Resources has been summarized in Chapters 1 and 3. June 2004 Nigeria Final Draft RAP Rev 1 5-32 Chapter 5 5.5.1.1.1 Ogun State The Bureau for Lands and Survey, Abeokuta, is the main government agency in Ogun State. The Bureau has a good knowledge of landownership in the State, and also has its own Estate Surveyor who will take part in the assessment and arrive at his own valuation.11 WAPCo will also be relying on the traditional Authority in the relevant LGAs, the most prominent being the Olota of Otta, and the Akran of Badagry. WAPCo will also seek out the local chiefs, and community leadership for assistance in identifying landowners as well as resolution of disputes. WAPCo may consult with the Local Government Council, in accordance with the Land Use Act, which vests the administration of rural land with this Council. 5.5.1.1.2 Lagos State In Lagos, the State Ministry of Lands and Housing, Alausa, is vested with responsibility of administration of land in the State. However, the role of the Ministry is limited since the project is primarily seeking to acquire rights to rural lands. The provisions of the Land Use Act vest the administration of rural land in the hands of the Local Government Council; in reality, the community leadership and traditional authorities remain the custodians of rural land, and play a vital role in determining ownership and resolving disputes. It should be noted that the length of the ROW at the Lagos end is far less than that in Ogun State. The Oba of Badagry will be involved as appropriate in addition to the community leaders and local Bales. 5.5.4 RAP Fund Once the World Bank Group approves the RAP and WAPCo arranges the transfer of the occupancy certification, a special budget will be established to meet all regular costs of land acquisition and resettlement. When the assessments, negotiations, and process of revocation are completed, WAPCo will launch its voluntary Community Development Programs. A separate and modest RAP Fund will be established to address issues concerning the relocation of cultural assets such as graves, shrines,12 etc., as well as to deal with accidental problems including those that have not been anticipated in the project but were reported for other pipeline projects. For instance, in the case of other projects financed by the World Bank Group, it was decided to make alignment adjustments after the entry to a particular plot was completed. As a result, areas far larger than the originally anticipated corridor were affected. If a special RAP Fund (or a large contingency) were not available to make immediate payments to the affected claimants, the construction process could not have proceeded smoothly. 11The summary of steps include: (a) WAPCo writes a formal letter to the Bureau informing it of the project's intention to acquire the proposed Right of Way, attaching a survey map showing the entire ROW; (b) The Bureau arranges for a joint inspection visit to the proposed Right of Way; (c) WAPCo places a notification and description of the ROW in local and national newspapers, and members of the public are invited to comment within a period of 21 days; (d) WAPCo conducts a Public Hearing in the community, followed by an additional 21-day period to collect public comment. This establishes a deadline to register comments and disputes; (e) Based on the outcome of the hearing and comment period, and contingent on the negotiation of outstanding disputes, a Certificate of Occupancy would be granted to WAPCo by the Bureau. 12Provided that the communities do not demand cash compensation to remove these assets themselves. June 2004 Nigeria Final Draft RAP Rev 1 5-33 Chapter 5 5.5.5 Community Development WAPCo has identified community development objectives as follows: · Identification of critical needs and "high-yielding" community development strategies · Local self-reliance and avoidance of paternalism or dependency · Partnerships with qualified NGOs, other private companies, international agencies, and other members of civil society who will take the lead in program execution · Facilitation for better service delivery to local communities from governments and development institutions WAPCo's Community Development Program intends to emphasize capacity-building, training, and institutional strengthening rather than "bricks and mortar" projects or activities that require continued WAGP support. The overall objective is to help communities increase their productivity and competitiveness in the marketplace so that they can make long-term social and economic improvements. In Nigeria, WAPCo has initiated stakeholder consultations and participatory needs assessments (PNA) using local social scientists, separate from EIA assessments, to determine an appropriate direction in line with its evolving community development objectives. WAPCo's consultations and PNA work validate EIA socioeconomic conclusions in Chapter 5, in that WAGP faces a unique opportunity to promote effective access to clean water, elementary health care and education for its neighbors and to improve their quality of life.WAPCo's preliminary efforts have encouraged community members to identify and prioritize their own needs, and which are then filtered through a set of WAPCo "value drivers" to determine which projects will have the greatest impact on health, education, income generation, etc. This approach replaces "top down" models of assistance and corporate philanthropy, in which remote "professionals" try to guess what will be most effective or appreciated. WAPCo Value Drivers include: 1. Impact Spread benefits as evenly as possible within impacted communities with an aim toward poverty alleviation through high "value-added" social and economic initiatives 2. Sustainability Local "ownership" of projects, encouraging self-reliance and avoiding dependency 3. Project Partnership opportunities, transferability, optimizing existing Management resources, and minimizing direct WAGP involvement in implementation June 2004 Nigeria Final Draft RAP Rev 1 5-34 Chapter 5 Consultations and the results of the PNA Work indicate the following initial priority areas during WAGP construction and in the first few years of operation in Nigeria (Ibid.). · Youth and development (technical skill training, apprenticeships) · Scholarship programs · Community and preventive health program (clinics and education) · Clean water supply WAPCo's focus during this initial timeframe will be on Education and Healthcare support and overall fixed budget commitments towards these objectives are being finalized. The PNA work also identified future opportunities in terms of income generation and capacity building that can be incorporated into later year operating budgets. Distribution of fixed budget benefits will be based on an overall geographic allocation in terms of "community impact" of WAGP operations. Implementation plans are being developed, with initial efforts focused on: · Continuing consultation, communication, and feedback to WAGP communities; · Initial and annual prioritization processes to determine specific communities to receive that year's benefit as well as specific projects to implement; · Development of written agreements with communities in terms of benefits and WAPCo's conditions for the communities to receive the benefits; · WAPCo resources, administration, and other infrastructure to support a sustainable Community Development program; · Further assessment of partnership opportunities, including WAGP EPC contractors, NGOs, and government in terms of general financial support as well as specific project implementation. 5.6 Implementation Issues and Solutions There are a number of land acquisition implementation issues that WAPCo has successfully addressed and/or is in the process of addressing 5.6.1 Ensuring Accurate Registration and Compensation Disbursement WAPCo will register all agreements in the land registry and court. These measures will help ensure that the list of affected owner/users has been properly and accurately documented and recorded in the public domain. To reduce compensation disbursement disputes, photographs of recipients of payments will be made, and the Estate Surveyor will arrange for meetings of landowners with the payees. June 2004 Nigeria Final Draft RAP Rev 1 5-35 Chapter 5 5.6.2 Identification of Absentee Owners The public hearing forum and meetings with communities and community leaders have been used to identify absentee landowners in all countries. 5.6.3 Resolution of Owner Disputes While there have been no difficulties in establishing ownership and rights in most affected communities along the right of way, there are a few communities/families where there are ownership disputes. WAPCo is working closely with its Estate Surveyors, the affected communities, and their representatives to resolve these disputes. June 2004 Nigeria Final Draft RAP Rev 1 5-36 Chapter 6 Chapter 6 Project Impacts and Mitigation Measures 6.1 Summary of Land Acquisition In Nigeria, the affected areas are situated between the Alagbado "Tee" and the Atlantic Ocean, south of Ajido. The dimensions and layout of the WAPCo ROW are described in Chapter 2. The owners of these lands are individuals and communities from 23 communities located along the pipeline ROW. The communities are situated from the Alagbado Tee to the shore crossing (roughly northeast to southwest) as indicated in Figure 6.1-1. Annex 6-1 provides data obtained from the Estate Survey and Valuation Assessment undertaken in the affected areas in 2003. The 23 affected communities have a total population of approximately 90,000 people. They include Itoki, Ijoko, Alade, Owode, Ajibode, Ewupe, Atuwara, Abule Benja, Igbo Oloye, Arobieye, Abiola, Okoomi, Ore Akinde, Edu, Agbara, Igbesa (Agotutun), Ilogbo Ijobun, Ilogbo Eremi, Agunmo, Araromi Ale, Imeke, and Ajido. The Estate Survey conducted in 2003 for the purposes of WAGP identified the exact demarcation of land plots, including affected segments that will be acquired by the WAGP project. They include a total of 2,578 land plots that comprise over 10,212 land segments and are claimed by to 2,485 individuals. These claimants who are classified as directly affected people include 1,557 landowners and 928 tenants. Majority of them are farmers, males, under 55 years of age, Youruba by ethnic affiliation and are originally from their respective communities. Table 6.1-1 shows, for each community, the characteristics of land segments that lie within the plots to be acquired and the total area of the land that will be acquired (Estate Survey 2003).1 In the more detailed version of the Estate Survey, the area occupied by each type of crop and/or structure is provided. The data show some differences in the types of impacts among communities. Generally, in each of the 23 affected communities some agricultural land and wooded areas are affected. In some communities (e.g. Ilogbo), crops include those used for medicinal purposes and are thus of high commercial value. In other communities, flowers are planted for commercial purposes (e.g. Itoki). Finally, in a number of communities, primarily stable food crops are cultivated. Many communities have wooded plots. However, of the total number of 10,212 segments within the plots to be acquired only 305 contain hard wood trees and 518 have softwood of varying numbers, maturity and type. 1 As indicated in Chapters 1 and 4 of in this report, "plot" refers to project-affected land that will be acquired by WAPCo. "Plots" may contain one or more "segments" that represent different land uses, such as houses, agricultural fields, or fish ponds. The Estate Survey provided data about the area of plots and land uses of segments within them. It did not provide data about the area or nature of land holdings outside the plots to be acquired. June 2004 Nigeria Final Draft RAP Rev 1 6-1 Chapter 6 Water resources such as fishing ponds and streams are found in a limited number of segments but in many of the affected communities (Tables 6.1-1 and 6.1-2). The project impacts on residential structures are not universal, with Ijoko and Etere not being impacted at all in this regard.such impacts. There is only one rural health center that will be affected (Ilogbo), but this has not been built yet. Shrines and graves are reported from many communities, but the effects are limited to very few segments. In three communities there are praying grounds. All of the cultural elements affected are of an informal nature. The insistence by communities and individual owners on obtaining cash compensation for them (instead of having them re-located) hints at their relative low significance in cultural terms. June 2004 Nigeria Final Draft RAP Rev 1 6-2 Chapter 6 Figure 6.1.1 Pipeline Route in Nigeria June 2004 Nigeria Final Draft RAP Rev 1 6-3 Chapter 6 Table 6.1-1 Area and Use of Affected Land in Project-Affected Areas Number of Total Area Community Land Uses and Features Affected of Affected Plots Land (ha) Agriculture (crops, flowers, medicinal) Wooded areas (hardwood, softwood) Cultural sites (churches, graves, praying grounds) Residential structures at various stages of Itoki construction completion and other 83 3.51 buildings along with boreholes, wells, surface reservoirs, septic tanks Staking stick Community rights claims land segments Royal/traditional claims land segments Agriculture (crops, flowers) Wooded areas (hardwood, softwood) Cultural sites (churches, graves, praying grounds, shrines) Residential structures at various stages of construction completion and other Ijoko buildings along with boreholes, wells, 179 9.25 surface reservoirs, septic tanks, soak- away pits, pit toilets Commercial structures and fences Marketplace Community-claimed lands Royal/traditional lands Agriculture (crops) Fish pond Stream Wooded areas (hardwood, softwood) Staking stick Alade Cultural sites (shrines) Residential structures at various stages of 36 4.02 construction completion and other buildings along with boreholes and wells Wetland Community-claimed lands Royal/traditional lands Agriculture (crops) Fish stream Wooded Areas (hardwood, softwood) Cultural sites (shrines, churches) Owode Residential structures at various stages of 25 2.14 construction completion Wetland Community-claimed lands Royal/traditional lands June 2004 Nigeria Final Draft RAP Rev 1 6-4 Chapter 6 Table 6.1-1 Area and Use of Affected Land in Project-Affected Areas Number of Total Area Community Land Uses and Features Affected of Affected Plots Land (ha) Agriculture (crops) Fish pond Ijako Wooded Areas (hardwood, softwood) 6 1.39 Community-claimed lands Royal/traditional lands Agriculture Isorosi Wooded areas (hardwood) Community-claimed lands 10 0.75 Royal/traditional lands Agriculture (crops) Fish pond Wooded Areas (hardwood, softwood) Staking stick Ajibode Cultural sites (shrines) Residential structures at various stages of 13 1.84 construction completion and other buildings along with boreholes and wells Community-claimed lands Royal/traditional lands Agriculture (crops) Fish pond Wooded Areas (hardwood, softwood) Ijaliye Boreholes and wells 16 2.96 Cultural sites (shrines) Community-claimed lands Royal/traditional lands Agriculture (crops) Fish pond Wooded Areas (hardwood, softwood) Staking stick Bush trap Ewupe Cultural sites (shrines) 40 4.93 Residential structures at various stages of construction completion and other buildings with boreholes and wells Community-claimed lands Royal/traditional lands Agriculture (crops) Fish pond Wooded Areas (hardwood, softwood) Etere Boreholes and wells 14 1.12 Cultural sites (shrines) Community-claimed lands Royal/traditional lands June 2004 Nigeria Final Draft RAP Rev 1 6-5 Chapter 6 Table 6.1-1 Area and Use of Affected Land in Project-Affected Areas Number of Total Area Community Land Uses and Features Affected of Affected Plots Land (ha) Agriculture (crops) Fish stream Wooded Areas (hardwood, softwood) Staking stick Cultural sites (shrine) Igbango Igberen Residential structure at various stages of construction completion and other 33 2.66 buildings along with boreholes, wells and surface reservoirs Wetlands Community-claimed lands Royal/traditional lands Agriculture (crops) Fish pond Wooded Areas (hardwood, softwood) Cultural sites (shrine) Egushi Benja Residential structure at various stages of construction completion and other 32 4.57 buildings along with boreholes, wells and surface reservoirs Community-claimed lands Royal/traditional lands Agriculture (crops) Fish pond Wooded Areas (hardwood, softwood) Staking stick Cultural sites (graves, shrines) Igboloye Residential structures at various stages of construction completion and other 156 6.52 buildings along with boreholes, wells and surface reservoirs Canal Community-claimed lands Royal/traditional lands Agriculture (crops) Fish pond Wooded Areas (hardwood, softwood) Cultural sites (graves) Arobieye Residential structures at various stages of 35 3.76 construction completion and other buildings along with boreholes and wells Community-claimed lands Royal/traditional lands June 2004 Nigeria Final Draft RAP Rev 1 6-6 Chapter 6 Table 6.1-1 Area and Use of Affected Land in Project-Affected Areas Number of Total Area Community Land Uses and Features Affected of Affected Plots Land (ha) Agriculture (crops) Fish pond Wooded Areas (hardwood, softwood) Cultural sites (graves) Oloya Abiola Residential structures at various stages of 107 4.53 construction completion and other buildings along with boreholes and wells Community-claimed lands Royal/traditional lands Agriculture (crops) Fish stream Wooded Areas (hardwood, softwood) Cultural sites (graves, shrines) Itori Residential structures at various stages of 43 3.2 construction completion and other buildings along with boreholes and wells Community-claimed lands Royal/traditional lands Okoomi Community-claimed lands Royal/traditional lands 275 12.74 Agriculture (crops) Wooded Areas (hardwood, softwood) Staking stick Igbesa Cultural sites (graves, shrines) Commercial structures (market) 1,176 26.49 Fish stream Community-claimed lands Royal/traditional lands Agriculture (crops, medicinal) Wooded Areas (hardwood, softwood) Staking stick Residential structures at various stages of Ilogbo Eremi construction completion and other buildings along with boreholes and wells 94 13.46 Hospital and fence works Wetland Community-claimed lands Royal/traditional lands June 2004 Nigeria Final Draft RAP Rev 1 6-7 Chapter 6 Table 6.1-1 Area and Use of Affected Land in Project-Affected Areas Number of Total Area Community Land Uses and Features Affected of Affected Plots Land (ha) Agriculture (crops) Wooded Areas (hardwood, softwood) Staking stick Residential structures at various stages of Idagha Iyeshi construction completion and other 34 2.41 buildings along with boreholes and wells Borehole/Well Community-claimed lands Royal/traditional lands Agriculture (crops, flowers) Wooded Areas (hardwood, softwood) Fish pond Staking stick Arami Ale Cultural sites (shrines) Residential structures at various stages of 57 6.12 construction completion and other buildings along with boreholes and wells Community-claimed lands Royal/traditional lands Agriculture (crops, flowers) Fish Pond Stream Wooded Areas (hardwood, softwood) Staking stick Imeke Agemovo Cultural sites (shrines) 58 12.25 Residential structures at various stages of construction completion and other buildings along with boreholes, wells Community-claimed lands Royal/traditional lands Agriculture (crops) Fish pond Stream Wooded areas (hardwood, softwood) Staking stick Ajido Cultural sites (shrines) Residential structures at various stages of 56 5.42 construction completion and other buildings along with boreholes, wells Wetland Community-claimed lands Royal/traditional lands TOTAL 2,578 143.73 June 2004 Nigeria Final Draft RAP Rev 1 6-8 Chapter 6 Table 6.1-2 summarizes the types of assets on the affected land. I The data points at the tendency that individual plots may have more than one use. Therefore, the numbers in Table 6.1-2 of the total area and number of segments exceed those presented in Table 6.1-1to These lands can be classified as agricultural lands; lands with other assets including those of cultural importance and those with residential and commercial structures, and water resources.. There are a few fishing ponds affected by the project, although the effects on fishing are highly localized and rather limited. Table 6.1-2 Types of Assets Impacted in the Project Affected Areas Number of Total Size of Assets Affected Land Affected Area Segments (m2) Agricultural Assets Structures 8 4,775 Flowers 26 13,900 Hardwood trees 305 49,368 Medicinal plants 5 713 Crops 8,837 1,201,242 Softwood trees 518 68.134 Bush Trap 1 10 Staking Stick