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Planning and Management of Social Compensation Programs

Infrastructure projects where expropriation of property is necessary will usually require complex and diversified Social Compensation Programs. These will involve property indemnification and may also imply in involuntary resettlement of population and/or economic activities. Frequently, loss of real estate market values may occur and will require compensation. Affected local infrastructure and community facilities will need to be replaced. Compensation may also include assistance with worker replacement where displacement of economic activities results in loss of employment. Technical assistance programs and institutional strengthening projects are among complementary measures which may be required.

Formulation of Social Compensation Programs requires negotiation with local authorities and host communities, and JGP will assist project sponsors in this process.

Implementation of Social Compensation Programs usually involves a large amount of service providers, including topographers, property appraisers, legal advisors and others. Lack of proper coordination of these activities can easily derail a project’s implementation schedule.

JGP’s experience includes development of Social Compensation Programs on very varied infrastructure projects, including urban redevelopment, highways, transmission lines and hydroelectric power plants. In many cases, JGP’s services have been retained to coordinate implementation of all social compensation.

Involuntary Resettlement Planning and Implementation

Involuntary Resettlement Action Plans are necessary on projects that involve displacement of population and/or economic activities. They are frequently the most critical component of the project’s Social Compensation Program. Both IFC and IDB have specific policies on involuntary resettlement and rigorous technical guidelines for resettlement planning.

JGP has earned an international reputation in resettlement planning and has concluded resettlement plans and/or frameworks on projects in Brazil, Peru and Angola.

Involuntary Resettlement Action Plans developed by JGP will generally contemplate:
  • Organizational responsibilities and institutional arrangements between participating entities, including arrangements for funding resettlement,
  • Assessment of legal framework and customary rights,
  • Socioeconomic survey planning and contents,
  • Valuation policy and methodology,
  • Procedures for compensation of lost income,
  • Definition of resettlement options and project types,
  • Definition of the matrix of entitlements per category of project affected people,
  • Community participation and public consultation,
  • Grievance redress mechanisms,
  • Assessment of impacts on host communities,
  • Reporting requirements,
  • Monitoring and evaluation procedures, including post-resettlement monitoring.
JGP services are frequently retained to manage implementation of resettlement. This will include coordination of socio-economic surveys and property appraisals, assistance with negotiation of indemnification, supervision of construction of housing or other resettlement options, coordination of resettlement support assistance, as well as reporting and monitoring as established in the Involuntary Resettlement Action Plan.

Irregular Settlement Improvement Planning

Infrastructure improvements in slums and other low-income irregular settlements in urban areas are an important element of housing policy in most underdeveloped countries. However, occupation of unstable slopes, flood plains, transmission line easements and other situations, can represent severe environmental and human risk and may require removal of people and buildings.

JGP has assisted local governments with socio-environmental risk assessments in irregularly occupied urban areas and with planning of emergency works (see Landmark Projects).
JGP Consultoria e Participações Ltda. TEL: 11 5546.0733 Design: M.Peri Design      Sistema: Construnet