Resettlement planning and implementation Audience A Awarenessraising session

Resettlement planning and implementation Audience A: Awareness-raising session for senior staff

Aims and objectives of this session In this session we’ll explore: What is the issue and why is it relevant to business? What are the risks? What do we need to do to avoid or reduce these risks? What is required from management? What value is added through effective resettlement planning? 2 www. icmm. com Follow us

What do we mean by resettlement? Resettlement: the disruption and displacement of communities resulting from project-related land acquisition and restrictions on land use Voluntary or involuntary Voluntary: when resettled households have the choice to move Involuntary: when affected persons or communities do not have the right to refuse Physical or economic Physical: relocation or loss of shelter Economic: loss of assets or access to assets that leads to loss of income sources or other means of livelihood 3 www. icmm. com Follow us

Why manage resettlement well? A high impact endeavor • High impacts on community • High risks to business • Large resources required Therefore… • Avoid or minimize resettlement, wherever possible But, if resettlement is inevitable… 4 • Enhance or improve pre-resettlement living standards • Align with international standards to manage impacts and risks • Treat as a significant project, with associated resources. www. icmm. com Follow us

Standards and legislation governing resettlement International standards IFC Performance Standard 5: Land Acquisition and Involuntary Resettlement considered the international gold standard National legislation Resettlement legislation tends not to cover full set of resettlement issues. Beyond compliance thus essential, although risks to business exist in closing the gap. Industry organisations ICMM SD Framework: members to respect human rights (Principle 3) and contribute to the social, economic and institutional development (Principle 3 & 9) Company’s corporate policy on resettlement 5 www. icmm. com Follow us

What is our company’s resettlement policy? Insert a summary of your company’s policy with regards to resettlement. 8 www. icmm. com Follow us

Risks to business Resettlement is a highly complex endeavour, as it concerns both tangible and nontangible impacts. This poses significant risks to business: • Potential conflict, and associated project delays and works stoppages • Restrictions on future developments and loss of future concessions • Financial costs associated with remedying poor practice, litigation, triggering conflict and protracted negotiations • Damaged social licence to operate • Reputational damage • Unsustainable precedent setting • Strain on government-company relations due to differing standards on resettlement. 9 www. icmm. com Follow us

Impacts on resettled communities These negative impacts are often particularly harsh for poor and vulnerable groups, while host communities are also affected: • Conflict and the break-up of communities and social support networks • Loss of identity or sense of place • Impeded or lost access to resources • Loss of access to public infrastructure or services, and common property • Compromised livelihoods • Social ills, family breakdown • Decreased marketability of skills in host communities • Cultural impacts • Emotional and psychological impacts. 11 www. icmm. com Follow us

What do we need to do to avoid or reduce these risks? 1. Avoid or at least minimize involuntary resettlement wherever feasible 2. Avoid forced eviction 3. Mitigate adverse social and economic impacts from land acquisition or restrictions on affected persons’ use of land by: livelihoods and standards of living of displaced persons 5. Improve living conditions among displaced persons through provision of adequate housing with security of tenure at resettlement sites. a) Providing compensation for loss of assets at replacement cost; and b) Appropriate disclosure of information, consultation, and the informed participation of those affected. 4. Improve or at least restore the 13 www. icmm. com Follow us

What is required of management? (1 of 2) 14 • Senior level commitment, support and resources required until resettlement objectives have been met and final signoff given • Detailed RAP budget required – linked to implementation schedule • Resettlements take twice as long as your worst estimate and twice as much as your highest cost estimate www. icmm. com Follow us

What is required of management? (2 of 2) 15 • Compensation costs also a significant part of the budget – full replacement cost, plus moving allowances, plus transitional allowances • Expert resettlement team required – associated consultant costs – and staff time • Providing project benefits also has cost implications. www. icmm. com Follow us

What is the value-add of effective resettlement planning? ü Improved risk management process, throughout the resettlement process ü Minimized resettlement impacts on project-affected people ü The development of a Resettlement Action Plan (RAP) ü Opportunity for improved collaboration with government and civil society ü Opportunity to be change agents and create a positive legacy ü Alignment with international standards and commitments on resettlement. 16 www. icmm. com Follow us

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