Types of Losses/

No Eligible People Entitlements Implementation

Impacts
A Loss of land
1 Loss of agricultural and Residential land
a Loss of Private Land Those with legal rights ● Cash compensation ● The independent
(Agricultural and (certificate) or those equal to replacement licensed appraiser
residential land) whose land claims are cost and market value at will carry out
553 HH recognized as full rights the time of payment of valuation of the lost
include people who compensation; or land during LARP
occupy state land in ● Replacement of land implementation
good faith. with at least similar (during land
attributes to the acquired acquisition
land in terms of value, implementation).
productivity, location,
and certification.
● Any taxes and
transaction costs are
borne to the subproject.
● Financial assistance for
the renewal of the land
ownership documents
(certificate and land
documents recognized
as full title) for the
residual area of the
entitled person’s land.
● If the remaining area of
the land plot is no longer
economically viable (a
too-small area or the
shape is complex for
cultivation), the entitled
parties/landowners may
 Types of Losses/
No Eligible People Entitlements Implementation
Impacts
seek compensation for
the entire land.
● If the rest of the affected
land cannot be used for
special use and
utilization (less than 100
m²), the entitled party
can ask for
compensation for the
entire land at a
replacement cost.

2 Loss of Government land

a Loss of government ● Cash compensation ● The independent
land. - Land owned / controlled equal to replacement licensed appraiser
by the government cost and market value at will carry out the
agencies and used for the time of payment of valuation of the lost
operation compensation; or land affected during
● Replacement of land implementation of
- Land owned/controlled
with at least similar land acquisition.
by state owned
enterprises/regional attributes to the acquired
state enterprises/village land in terms of value,
enterprises. productivity, location,
and certification.
- Village treasury land ● Any taxes and
transaction costs are
borne to the subproject.
● Financial assistance for
the renewal of the land
ownership documents
(certificate and land
documents recognized
 Types of Losses/
No Eligible People Entitlements Implementation
Impacts
as full title) for the
residual area of the
entitled person’s land.
● If the remaining area of
the land plot is no longer
economically viable (a
too-small area or the
shape is complex for
cultivation), the entitled
parties/landowners may
seek compensation for
the entire land.
● If the rest of the affected
land cannot be used for
special use and
utilization (less than 100
m²), the entitled party
can ask for
compensation for the
entire land at a
replacement cost.
3 Waqf Land Nadzir/ Trustee of waqf  Land replacement with  Valuation of affected
(None) land the same or higher value land by an independent
(in terms of value, appraisal
productivity, location, and
certification
 The Ministry of Religious
Affairs grants a waqf land
release permit at the
discretion of the
Indonesian Waqf Board
according to the request
from nazir.
B Loss of Crops and Trees
 Types of Losses/
No Eligible People Entitlements
Impacts
4 Loss of crops Owners, regardless of ● Seasonal crops
land tenure status (with cultivated on non-
certificate or agricultural land: cash
recognizable rights, compensation will be
sharecroppers) and paid based on prevailing
sharecroppers/land market prices equivalent
users using land more to the harvest value for 1
than 10 years.1 period of cropping cycle
to a maximum of one (1)
year of the net harvest
value.
● Seasonal crops
cultivated on land
designated for
agriculture:
Compensation at
replacement cost based
on prevailing market
price equivalent to the
harvest value for 2
periods of cropping cycle
to 2 years of the net
harvest value 2
● Provide opportunities to
the AHs to harvest the
Implementation
● The valuation of lost
crops will be carried
out by the
independent
licensed appraiser.
● For sharecroppers
or land users, the
social community
impact handling will
collaborate with
village office to
secure the evidence
of the land use by
the AHs and
address the identity
(KTP) issue in case
of the AH’s address
in the identity card is
not in project area.
.
● 60 days advance
notice for
harvesting/removal
of trees before land
clearing

1
The category of people using or occupying the government land more than 10 years and less than 10 years refer to Presidential Regulation No.
62/2018 concerning Handling Community Social Impacts in the Framework of Provision of Land for National Development.
2
The valuation method for the sessional crops is based on Indonesia Valuation Standard 204 (SPI 2018), ADB has assessed the valuation
standard and found this method has been inline with the ADB SPS. The gap identified for SPI 204 is related to depreciation deductions when
valuing structures which is not in accordance with the replacement cost principle. However, the SPI also indicates that if principle on “no
depreciation” is included in the LARP or based on request of agency needing the land, the depreciation will not apply. This gap has been indicated
in the Table of Gap analysis and requirement on no depreciation for the compensation of affected structures has been reflected in the project
policy principle and entitlement matrix
 Types of Losses/
No Eligible People Entitlements Implementation
Impacts
crops.
Owners of crops ● Compensation seasonal ● The valuation of lost
using/occupying state crops at replacement crops will be carried
land for less than 10 cost equivalent to the out by the
independent
years harvest value for 1
licensed appraiser.
period of cropping cycle ● The social
to a maximum of one (1) community impact
year of the net harvest handling will
value following the collaborate with
valuation by independent village office to
appraiser; or Income secure the evidence
of the land use by
support for three-months
the AHs and
income based on the address the identity
proof of actual income or (KTP) issue in case
official minimum monthly the AH’s identity
wage in cash or in kind card is not in project
whichever is the highest. area.
● Provide opportunities to ● For sharecroppers
or AHs using state
the AHs to harvest the
land less than 10
crops. years, compensation
at replacement cost
will be provided
either in cash or in
kind such as
assistance of
agricultural
equipment, seeds or
plants, capital
assistance and
business
equipment.3
3
According to Presidential Regulation No. 62/2018 on Social Impact Handling for Land Availability for National development, people using or occupying
government’s land is only for those who have been using or occupying land more than 10 years. These eligible peoples are entitled to get compensation based on
valuation by independent appraisers. While the regulation stipulates on compensation payment to be provided for people using or occupying land less than 10
 Types of Losses/
No Eligible People Entitlements Implementation
Impacts
● 60 days advance
notice for
harvesting/removal
of trees before land
clearing
5 Loss of trees Owners, regardless of ● Timbers/trees: ● The valuation of lost
land tenure status (with compensation at current trees/timbers will be
certificate or market prices based on carried out by
recognizable rights, age, tree species and independent
sharecroppers) and trunk diameter at breast licensed appraiser.
period of use of the land. height. ● The AHs have the
● For affected fruit trees, right to use
compensation at salvageable trees.
market price of fruits ● For sharecroppers
calculated as number of or land users, the
years needed to bear social community
fruit. impact handling will
collaborate with
village office to
secure the evidence
of the land use by
the AHs and
address the identity
card (KTP) issue, in
case of the AH’s
identity card is not in
project area.
● For sharecroppers
or AHs using state
land less than 10

years. This is a policy gap compared to ADB SPS 2009 on involuntary resettlement safeguard as for ADB SPS, non land rights holders including people using or
occupying the government land should be provided with the compensation as long as they are identified in the inventory of loss regardless the length of the stay
and paper work to show that they are eligible to compensation such as statement letter from the local authority that they have been using or occupying the land.
 Types of Losses/
No Eligible People Entitlements Implementation
Impacts
years, compensation
at replacement cost
will be provided
either in cash or in
kind such as
assistance of
agricultural
equipment, seeds or
plants, capital
assistance and
business equipment.

C Loss of Structures
6 Fully affected or
partially affected main
structure, but the
remaining area is not
sufficient to live in – the
structures can be rebuilt
on the remaining
residential land after
land acquisition.
Owners of the affected ● Compensation at full  The valuation of the
structure, regardless of replacement cost that
land tenure and period reflects prevailing
of stay or use of the market prices of
land. materials and cost of
labor for dismantling,
transferring, and
rebuilding at the time of
compensation payment.
No depreciation should
be applied ● No depreciation
● Compensation for
affected electricity,
telephone, and other
services based on
prevailing cost of
disconnection and re-
installation.
● Moving costs. For
relocating AHs, cash
lost structures will
be carried out by
independent
appraiser including
Solatium (additional
cash compensation
of 5% - 30% for
loss of emotional
attachment to lost
shelter).
applies for the lost
building. If SPI uses
the devaluation, the
depreciation and
deduction for
affected structures
will be given back to
the AHs in the
premium value.
 Types of Losses/
No Eligible People Entitlements Implementation
Impacts
assistance for moving, if ● If more than 50% of
the sub-project is not the main structure is
able to provide the labor affected, the entire
and/or the use of means system will be
of transportation to carry compensated at full
goods to a new place. replacement cost.
 For relocating AHs, ● If less than 50% of
transitional allowance the main structure is
(living benefits) is affected but it will
equivalent to the district jeopardize the
minimum wage for 3
stability of the
months.
● All taxes and transaction residual area of the
costs are to be borne by main structure, i.e.,
the project. which is structurally
● Right to salvage the unsuitable, the
materials structures will be
compensated at full
replacement cost.
●
●
● The social
community impact
handling will
collaborate with
village office to
secure the evidence
of the land use and
address the identity
card (KTP) issue .
Applies for No. 7, 8
● For AHs using state
land less than 10
years, compensation
 Types of Losses/
No Eligible People Entitlements
Impacts
7 Partially affected main Owners of the  Compensation at full
structures (the affected structure replacement cost for
remaining structure is regardless of tenure and the affected structures
viable for continued use) period of stay or use of that reflects prevailing
market prices of
the land
materials and cost of
labour for rebuilding at
the time of
compensation payment.
No depreciation should
be applied.
 All taxes and transaction
costs are to be borne by
the project
 For partially affected
structures, the cost of
repairing the residual
unaffected portion of the
structure in addition to
the compensation at
replacement cost for the
Implementation
at replacement cost
will be provided
either in cash or in
kind such as
assistance of
building materials
and rebuilding,
participate in home
improvement
program. Applies for
No. 7, 8
● APs will be given a
notice of site
clearance six (6)
months in advance
 The valuation of
lost/affected
structure will be
carried out by
appraiser including
Solatium (additional
cash compensation
of 5% - 30% for loss
of emotional
attachment to lost
shelter).
 If the main structure
is affected, and if it
will jeopardize the
stability of the
residual area of the
main structure, i.e.,
which is structurally
unsafe, unsuitable,
the structures will be
 Types of Losses/
No Eligible People Entitlements Implementation
Impacts
affected portion. compensated at full
 Compensation for replacement cost.
affected electricity,  Minimum of 6
telephone, and other months advance
services based on notice for demolition.
prevailing cost of
disconnection and re-
installation.

8 88 Secondary structures Owners of the  Compensation at full  The valuation of

affected structure replacement cost that lost/affected
regardless of tenure and reflects prevailing structure will be
period of stay or use of market prices of carried out by
the land.. materials and cost of appraiser.
labor for rebuilding at  Minimum of 6
the time of months advance
compensation payment. notice for demolition
No depreciation should
be applied.
 For partially affected
structures, the cost of
repairing the residual
unaffected portion of the
structure in addition to
the compensation at
replacement cost for the
affected portion.
 Compensation for
affected electricity,
telephone, and other
services based on
prevailing cost of
disconnection and re-
installation.
 All taxes and
transaction costs are to
be borne by the project
 Types of Losses/
No Eligible People Entitlements Implementation
Impacts
 Right to salvage the
materials
D D. Loss of Public Assets
99 Public infrastructure and Affected communities  Rebuild facilities or
facilities/objects attached and owners of affected provide cash
to the land) utilities compensation based on
agreement with affected
parties
E. E. Loss of Livelihood/Business Income
E.
Loss of access of arable ● Loss of arable land ● Cash compensation for ● Loss of potential
land and income for farming access to arable land income from arable
(sharecroppers). (sharecroppers). equivalent to at least one land will be
cycle of the market value assessed by the
of the product or 3 independent
months of actual wage appraiser.
or minimum wage ● The prevalent atual
whichever is highest. or minimum wage
rate of the affected
area will be
considered.
10 Loss of business ● Business owner ● For permanent business ● Loss of business
income/livelihood/Loss of regardless of land loss, such as stalls, income will be
permanent jobs / change tenure and period of restaurant, cash assessed by the
of profession. use of land compensation @ 3 independent
● Street vendors months of average appraiser.
● Employees working potential monthly income ● The prevalent actual
for the affected to re-establish / stabilize or minimum wage
business the business including rate of the affected
establishment cost for permanents area will be
● Loss of permanent workers. considered.
job / change of ● For private or ● Potential business
profession. professional business income is calculated
such as tailor, haircut, based on net income
 Types of Losses/
No Eligible People Entitlements Implementation
Impacts
carpenter, cash plus business cost
compensation @ 6 that should be borne
months of average during the relocation
business income for the
such as cost for
last 6 months.
● For employees in permanent workers
displaced business
establishment, cash
assistance for the period
of 3 months @ actual
wage or minimum wage
rate.
● For temporary business
loss by street vendors,
cash assistance for the
period of business loss
@ actual or minimum
wage rate

or
Alternate location for
continuance of vending
activity

.
F F. Temporary or Permanent Impact on Non-Land Assets During Construction
11 Temporary or permanent For those with formal ● For lease payments of ● The AHs will be
impacts due to legal rights (certificates) land affected by the provided with
construction activities or those whose land contractor based on advance notice 60
claims are recognized applicable lease fees days prior to
as full rights. and the agreement with temporary land use
the landowner. by the contractor.
● For a temporary impact ● This provision shall
on productive land, AH be included in a
can choose contract/ agreement
compensation for with the Civil Works
 Types of Losses/
No Eligible People Entitlements Implementation
Impacts
acquired non-land Contractor.
assets (trees/plants, ● The contractor will
structure, and business be responsible for
income) which are the lease payment,
permanently affected will compensation, and
be compensated at restoration of the
replacement cost. land.
● The land will be restored
to pre- subproject
conditions or even better
after utilization by
contractor. .
121 Those who do not have ● There are no land rental
2 legal rights and costs during the period
entitlements that can be of impact.
recognized as full ● Any damage to crops,
ownership. trees and / or non-land
assets, business income
will be compensated at
market rate
.
G G. Other Losses
13 Loss of emotional Entitled parties who ● Additional compensation ● The percentage of
attachment to assets lose emotional ties with of 5 - 30% of total emotional loss
(solatium) affected assets compensation for compensation will be
(residential structures). affected structures. based on the
● Compensation will calculation results of
include transitional living an independent
support funding consultant.
equivalent to 3 months ● Detailed calculations
of basic living costs at and solatium
the poverty line of coverage are
districts goverment. specified in SPI 204.
 Types of Losses/
No Eligible People Entitlements Implementation
Impacts
14 Waiting period Entitled parties to ● Cash compensation
compensation receive late based on risk-free
(interest) compensation payment. interest, government
bank interest.
15 Assistance for Vulnerable Entitled parties who ● Be entitled to participate ● Project component
and Severely AHs. lose 10% or more of the in the Livelihood under the MOHA
- total asset or Restoration Program through the
productive/income- (LRP) managed by the Directorate of
and/or relocation local government Synchronization of
households. ● Given opportunity to get Regional
Vulnerable households a job related to the Government Affairs
are (i) households subproject. 1 and Directorate
headed by women, (ii) General of Regional
heads of households Development of
with disabilities, (iii) MHA, will dedicate
households that are to the LRP for the
below the poverty line, affected households
(iv) elderly household in each sub-project.
heads, (v) landless ● The LRP will be
households and (vi) integrated with the
non-land rights holders social action
including program of v districts
people/sharecroppers goverment, With the
using or utilizing state’s support from project
land component (LRP)
under the Ministry of
Home Affair (MOHA)
● Written commitment
from the local
government will be
secured, prior to the
approval of
LARP/Updated
 Types of Losses/
No Eligible People Entitlements Implementation
Impacts
LARP.