Resettlement policy framework and specific resettlement action plan



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6Institutional framework

According to the legislation of RUz, the following State organizations are responsible for implementing resettlement activities:




  • Regional and district khokimiyats;

  • Regional land acquisition commission;

  • District department of Geocadastre;

  • District evaluation commission;

  • District HGME;

  • District department of nature protection;

  • District SES; and the

  • District departments of fire supervision

These agencies have sufficient institutional capacity for the implementation of land acquisition and compensations for damages incurred by land users; thus there is no need to create additional capacity for the purposes of RF. In addition to State bodies, non-governmental organisations (WUA, AFDE and Makhallas) may be involved in land acquisition procedures to ensure the rights and legitimate interests of affected land users.


7Eligibility / right to compensations and assistance


The legislation of RUz foresees two types of compensation for temporary or permanent acquisition of lands for non-agricultural purposes:


  • Compensation of damages incurred by land tenants, land users, land lessees, and land owners (Land Code, Art. 86); and

  • Compensation of losses of agricultural and forestry production. However when allocating land for water management purposes, for construction of irrigation and drainage facilities, losses of agricultural and forestry production are not subject to compensation (Land Code, Art. 87)

According to the legislation of the RUz, the following persons are eligible to claim compensation of damages resulting from land acquisition:



  • Leaseholders/Lessees – farmers, who were allocated land plots for agricultural production purposes, on the basis of long-term lease; at the first stage of Project implementation, 36 farm plots will be covered by construction works, which will require temporary and permanent land acquisition and respective compensations;

  • Land tenants- (citizens who were allocated land plots for individual housing construction and/or dehkan farming on the basis of life-long heritable tenure), land owners (users of land plots under objects of trade and services, which are used as private property), and land users (all other enterprises, organizations and institutions, which are entitled to use non-agricultural lands), if their land, homes or other property is affected by Project activities; homes and settlements will not be affected by the Project.

  • Other persons eligible for compensation. There is a land plot in the Project area, owner of which has the right to compensation equally with other farmers. It is a hired guard, who was allocated a land plot of 0.16 ha for use in the former shirkat, his employer, in 2004. He does not have documental proof of the right to use the plot. But during the period of use, he made investments into planting fruit trees and taking care of them, therefore, he is eligible for compensation of damages.

Therefore within the first stage of the Project, leasehold farmers (36 persons and a guard 1 person) are eligible for compensations. Rights of these people for compensation are to be established by the khokim’s decision to implement construction works on their plots. The amount of compensation is determined by the Certificate of agreement for land acquisition. The final date for payment of compensation is established by the legislation within one month after funding is made available to the Contractor.

One has to keep in mind that measures on enlargement of farms are in progress in the Project area, which may lead to conflict of laws. For instance, if construction is not completed in time, and the owner of the farm would change within this period, additional compensation may have to be paid to another person: the new farmer. In order to avoid such conflicts, a cut-off point will be declared and the right for compensation will be provided to the lease holding farmer at the date of issuance of the Certificate of agreement for land acquisition.


8Valuation of and compensation for losses


National legislation of RUz envisages compensation for involuntary acquisition of lands for non-agricultural purposes, in the following instances:

  • Exemption, purchase or temporary occupation of land;

  • Restriction of rights resulting from installation of protection and sanitary zones around national reserves, sanctuaries, parks, sites, cultural and historical monuments, ponds, sources of water supply, health resorts, along rivers, canals, discharges, roads, pipe lines, communication and power lines; and

  • Deterioration of land quality as a result of effects of construction and operation of water resources, canals, collector drains, and other objects emitting harmful, for agricultural crops and plants, substances, as well as effects of other actions by physical and legal persons leading to harvest decrease and deterioration of agricultural produce quality.

Specialists recommend refraining from sowing crops in SHD construction area in order to prevent its early clogging during implementation of Project activities, temporary or permanent acquisition of land for construction of IDs and SHDs. Thus, there will be restrictions of land users’ rights to use land during the year after the completion of SHD construction. The probability of deterioration of land quality as well as the decrease of harvests and quality of agricultural produce will be determined by environmental assessment. The farmers will incur income loses when their ability to cultivate is restricted. As a result, they will have to be compensated. As to valuation of losses of agricultural producers incurred as a result of land acquisition, and of those incurred as a result of restriction of land users’ rights, in both cases, the same valuation methodology shall apply.

Calculation of compensation for permanent acquisition of land under annual crops. Agricultural producers shall be paid the amount of gross annual income from standing crops on their affected plot. Gross income shall be calculated as current prices of crops, based on average production during last three years and crop area (prices for crops shall be multiplied by crop area, and then multiplied by average production for last three years). Valuation shall be performed separately for each crop, so that an average weighted annual income is obtained.

Calculation of compensation for temporary acquisition of lands for the first year is performed in the same way as for permanent acquisition (multiplication of crop price by crop area, and by average production). If temporary acquisition lasts for several years, agricultural producers shall receive compensation for the second and consecutive years equal to annual net income in current prices, received from all standing crops on the plot. Net income is calculated by extracting gross expenditures for crop production from gross annual income. Valuation shall be performed separately for each crop, so that an average weighted annual net income is obtained.

In order to determine amounts of compensations for temporary or permanent acquisition of lands, the following information is required:



  • Crop patterns;

  • Current market prices for agricultural crops;

  • Yields from production of crops for last three years; and

  • Expenditures for crop production.

Information about crop patterns and production costs was obtained from the 2009 farms census (Tables 14, 15 and 17). Information about production of crops in 2006 to 2008, and on current prices in Project districts, was provided by district departments of statistics (Table 16). Compensations for permanent and temporary acquisition of lands under annual crops, per ha, are shown in Table 17.

Table 14. Crop structure in Project farms, whose land will be acquired for ID construction (taking into account permanent crops)

 

Area, ha

Average weighted

Cotton

717.9

43.0%

Wheat

574.4

34.4%

Corn

12.1

0.7%

Rice

2

0.1%

Vegetables

24

1.4%

Melon, water-melon

8.6

0.5%

Bean crops

2.3

0.1%

Fodder crops / corn for silo, Hay, lucerne

179.4

10.7%

Apple tree

9.4

0.6%

Apricot tree

39.1

2.3%

Peach tree

32.1

1.9%

Merry tree

0.8

0.0%

Pomegranate

3.9

0.2%

Persimmon

1.6

0.1%

Walnut tree

2.2

0.1%

Mulberry tree

48

2.9%

Vine (table variety)

11.7

0.7%

Total

1,669.5

100%

Compensations for acquisition of lands under permanent crops (fruit trees, vineyards, berry bushes) shall be calculated separately for each tree/bush.

Calculation of compensations for permanent acquisition of land under permanent crops. Agricultural producers shall be paid gross annual income for 1 year, received from all trees on the plot. Gross income from one tree shall be calculated as cost of produce in current market prices, based on data on average production of one tree for last three years, and the data on the number of trees. Valuation shall be performed separately for each crop, so that an average weighted annual income is obtained. Besides, agricultural producers are entitled to lost income, which would have been received until the end of productive life of trees. Compensation of lost income per tree shall be calculated as net income for the previous year, in current prices, multiplied by the remaining period of productive life of the tree. Remaining period of productive life shall be calculated by extracting current age of a tree as of the date of calculations, from the maximum production life. Productive lives of fruit trees are shown in Table 15.

For calculation of compensation for permanent acquisition of land being used for permanent crops, the following data is required for each type of orchard:



  • Number of trees by type;

  • Average production from each tree during last three years;

  • Current market prices for fruits;

  • Age of trees; and

  • Maximum productive life.

If orchard farmers, whose plots are to be acquired, will get replacement land of similar quality, apart from the compensation of lost income for 1 year, they will be provided with funds for setting up new orchards. These compensations include expenditures related to planting trees (cost of plant, transportation expenses, plus planting expenses), as well as lost income for the period until the tree becomes productive (expenses for planting new tree, and ages of productivity of various sorts of trees are shown in Table 15).

Valuation of compensations for temporary acquisition of lands under permanent crops includes expenses related to orchard recovery. These include expenditures related to planting trees, as well as lost income for the period until the trees become productive.

For calculation of compensation for starting a new orchard (when a replacement plot is allocated and in instances of temporary land acquisition), the following data is required on each type of trees:



  • Number of trees;

  • Costs of planting one tree;

  • Net income from 1 tree per year, in market current prices; and

  • Age of productivity.

Estimates of compensations for temporary and permanent acquisition of land being occupied by permanent crops, are presented in Table 15.

Table 15. Estimates for compensations most common fruit trees and bushes





Productive life of trees, years

Average price of a 2-year-old plant (UZS)

Cost of planting a new tree (UZS) (plant+cost of transportation and planting)

Cost of growing and collecting harvest (UZS per year)

Ave-rage (for 3 years) pro-duction (kg)

Market price (UZS/kg), 2008

Annual income (‘000 UZS)

Net income from one tree, ‘000 UZS



Non-productive period (years)

Compensation for one tree (‘000 UZS) until the end of productive life *

Compensation of lost income for the period until new plant enters productive age (‘000 UZS)

Total compensation for permanent acquisition without providing replacement plot

Total compensation for cutting, when replacement plot is provided, or for temporary acquisition

1

2

3

4

5

6

7

8

9

10

11

12

13

 

 

 

 

 

 

 

(7)-(4) 

 

(1)/2*(8)

(8)*(9)

(7)+(10)

(7)+(3)+(11)

Large fruits trees





































Apple

25

2,000

3,000

6,900

35

900

31,5

24,6

6

307,5

147,6

339,0

182

Pear

20

2,000

3,000

7,530

25

1,400

35,0

27,5

6

274,7

164,82

309,7

203

Quince

15

1,000

1,500

3,480

20

800

16,0

12,5

3

93,9

37,56

109,9

55

Apricot

30

1,800

2,700

7,950

45

800

36,0

28,1

7

420,8

196,35

456,8

235

Peach

8

1,900

2,850

3,700

30

1,500

45,0

41,3

3

165,2

123,9

210,2

172

    Sweet cherry

20

1,400

2,100

11,000

20

2,000

40,0

29,0

3

290,0

87

330,0

129

Cherry

20

1,500

2,250

14,000

20

1,500

30,0

16,0

3

160,0

48

190,0

80

Sub-tropical





































Pomegranate

35

1,000

1,500

7,190

10

2,500

25.0

17.8

3

311.7

53.43

336.7

80

Fig

30

1,500

2,250

8,460

15

2,800

42.0

33.5

4

503.1

134.16

545.1

178

Mulberry (for leaves)

50

2,000

3,000

400

30

1,200

36.0

35.6

5

890.0

178

926.0

217

Persimmon

45

1,800

2,700

7,500

35

2,000

70.0

62.5

3

1,406.3

187.5

1,476.3

260

Nut-trees





































Walnut

70

3,000

4,500

5,000

30

4,200

126.0

121.0

9

4,235.0

1,089

4,361.0

1220

Almond

30

1,500

2,250

5,200

15

5,000

75.0

69.8

4

1,047.0

279.2

1,122.0

356

Vine








































Table variety

15

400

600

3,500

10

1,500

15.0

11.5

3

86.3

34.5

101.3

50

Wine grape

15

300

450

3,100

12

700

8.4

5.3

3

39.8

15.9

48.2

25

* Assuming that the tree is in the middle of its productive age


Table 16. Average annual production of crops in Project districts, 2006-2008




Main crops

Bagdad, c/ha*

Rishtan, c/ha

Altiarik, c/ha

Average for 3 districts

2006

2007

2008

Average for 2006-2008

2006

2007

2008

Average for 2006-2008

2006

2007

2008

Average for 2006-2008

1

Cotton

23.7

23.4

22.8

23.3

23.0

25.9

23.1

24.0

25.5

30.3

23.1

26.3

24.5

3

Wheat

53.3

56.4

56.8

55.5

44.9

52.8

55.3

51.0

51.3

53.5

53.2

52.7

53.1

4

Corn for grain

31

49.3

51.3

43.9

0

0

0

0.0

68

85

0.0

51.0

31.6

5

Rice

0

0

0

0.0

0

0

35

11.7

0

0

0.0

0.0

3.9

6

Other grain crops

0

0

0

0.0

0

49.3

0

49.3

0

0

0.0

0.0

16.4

7

Potato

155.4

218.5

220.3

198.1

0

210

284

247.0

155.5

156

162.0

157.8

201.0

8

Vegetables

250.6

254.3

313.1

272.7

136.2

316.7

300

251.0

191.6

212.2

313.5

239.1

254.2

9

Melons

161.8

223.7

262.5

216.0

112

148.4

150

136.8

240

250

210.0

233.3

195.4

10

Beans

0

0

0

0.0

0

49.3

0

49.3

0

0

0.0

0.0

16.4

11

Corn for silo

131.2

282.8

318.1

244.0

111.6

301.9

524.1

312.5

149.9

253.9

245.4

216.4

257.7

13

Fruits

61

46.4

56.3

54.6

53.5

48

51.8

51.1

36.5

45.2

62.3

48.0

51.2

14

Vine

35.6

68

68.2

57.3

66

64

82

70.7

33.3

279

262.2

191.5

106.5


Source: District departments of statistics, 2009

*Centners (100kg) per Hectare



Table 17. Estimates of compensations for loss of annual crops

Main crops

Average production for Project districts, 2006-2008 (c/ha)

Average market price (UZS/kg), 2008

Annual income (‘000 UZS/ha)

Net income, 2008, (‘000 UZS/ha)

Permanent acquisition of land - compensation of losses per year per ha

Temporary acquisition of land - compensation of losses per year per ha

Temporary acquisition of land for 2 years (compensation of losses for 1st year and lost income for 2nd year, per ha)*

1

2

3

4

5

6

7

 

 

 

 

 

 

(3)+(4)

 

 

 

 

 

 

 

 

Cotton

24,5

365

895.5

215.5

895

895

1111

Wheat

53,1

250

1326.4

172.9

1326

1326

1499

Corn for grain

31,6

300

948.7

116

949

949

1065

Rice

35,0

2000

7000.0

1500

7000

7000

8500

Other grain crops

16,4

1200

1972.0

212

1972

1972

2184

Potato

201,0

550

11053.2

614

11053

11053

11667

Vegetables

254,2

480

12203.7

645

12204

12204

12849

Melons

195,4

600

11722.7

592.8

11723

11723

12315

Beans

16,4

1000

1643.3

516

1643

1643

2159

Corn for silo, hay lucerne, other forage crops

257,7

100

2576.6

2414.7

2577

2577

4991

*Note: Sample estimates if construction and rehabilitation works last for two agricultural seasons




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