The company has presented IFC with extensive information both written and through interviews on its current practices and polices that seek to address E&S risks and impacts to ensure that the proposed project currently complies with or will comply with host country laws and regulations and IFC Performance Standards on Social and Environmental Sustainability upon implementation of specific additional measures agreed upon with the IDB, such as the implementation of the resettlement plan including completion of the resettlement of fishermen and vendors on the Portmore Causeway, development and implementation of a mangrove monitoring plan and noise monitoring and mitigation measures.
>> PS1: Social and Environmental Assessment and Management System
The Project is a component of Highway 2000, a Government of Jamaica (“GOJ”) proposal to build a multilane, limited access highway to link major towns with the capital Kingston. Originally, the project was conceived through the Agricultural Credit Bank of Jamaica, now the Development Bank of Jamaica, who commissioned a Strategic Environmental Assessment (SEA) to guide the design of the highway. These implementation responsibilities have since been taken over by NROCC. The SEA, completed in June 2000 by the Canadian consulting firm Dessau Soprin, analyzed six corridors in deriving the current alignment as the preferred route. Factors considered in the analysis included the location of population centers, environmentally sensitive and protected areas, and terrain. Six alternatives were considered, and the alignment chosen minimizes environmental disruption and the need for relocation of residents and businesses.
The SEA provided guidelines for design and alignment within the context of a 1 km corridor, and recommended issues and areas for further study in detailed project-level EIAs. As the concessionaire for Highway 2000, TJH is required to prepare an environmental impact assessment for each phase/subphase of work. TJH’s consultant initiated work on the EIA for Phase 1B in early 2007. The analysis built on the experience of the design, construction, and operation of earlier segments of Highway 2000. Issues identified from past experience and during consultation and for which mitigation was presented in the EIA included drainage and flooding; slope stability in roadway cut and fill areas; air quality; noise; habitat modifications; parks and protected areas management; locations of toll plazas, highway entrances/exits, and crossings; waste management; and land acquisition and resettlement. The final EIA report was submitted in September 2007 and an environmental permit was granted, based on this EIA, by NEPA in January 2008.
TJH’s role in the design, construction, and operation of the concession is that of program manager. The Operator, JIO, has implemented a Quality, Safety & Environmental (“QSE”) program that satisfies IFC’s requirements under PS1. The operations and procedures were recently audited in line with ISO 9001:2000 for Quality and 14001:2004 Environmental standards, and certification was obtained. TJH submits detailed reports to NROCC on a monthly basis that include Quality Assurance/Quality Control management and any non-conformances experienced; traffic data; accident statistics and reports, environmental issues, including corrective actions taken; comments from customers; and performance indicators.
>> PS2: Labor and Working Conditions
TJH currently has only a few, headquarters-level employees and its Human Resource Policy and Management is under Bouygues TP SA and Autoroutes du Sud de la France SA. TJH will require the design and construction contractor, BYTP, to meet the requirements under PS2 Labor and Working Conditions. IFC appraised the JIO’s Human Resource Policies and Management.
JIO directly employs most management and administrative personnel, and outsources the toll collection and maintenance functions. The total number of employee and contractor personnel at JIO is about 160, who, with the exception of the General Manager who is an expatriate, are Jamaicans. Women are represented in JIO’s senior management. 75% of toll collectors employed by the subcontractor are women which is not unusual in the service sector in Jamaica.
JIO has well-conceived and documented HR policies and procedures, which are also required of its contractors. JIO’s employee handbook covers aspects of working hours and overtime, holiday, sick and annual leave, jury duty and voting time off, health insurance and other benefits, training plan, performance evaluation, employees’ and employers’ responsibilities, disciplinary practices, grievance mechanism, and safety and sexual harassment. The handbook is readily available to all employees. The Policy and Procedures are communicated to employees during training and through an employment contract. The minimum age of employment is 18 years and national identification as well as police record verification is undertaken. Normal working hours are 40 per week based on a 5 day working schedule. Overtime is paid at 1.5 after 40.5 hours and holidays are double pay. JIO wages and benefit compensation is above industry standards. Turnover rate is very low (less than 1%). The company promotes within, and provides training opportunities (i.e. English, mathematics, accounting, and high school degree) based on needs identified during performance evaluations.
National Law recognizes worker’s rights to join a union and to bargain collectively. The union representing some JIO workers is University and Allied Worker’s Union. In the past most of the toll road operators were part of the union and currently only a few remain. The relationship between the Union and JIO management has been strained over the past few years as a result of several aggressive disputes. In August 2008, a settlement was awarded to the Union by the courts increasing the benefits of toll road operators. In May 2008, JIO revamped its labor strategy to subcontracting model for the required labor for the toll operation and by doing so shifted potential union interaction to the subcontractor. As a consequence, Toll Road operators were made redundant and approximately 90% were rehired by the subcontractor. JIO followed due process to ensure that redundancy took place in accordance to the Jamaican Labor Law. The staff hired through the subcontractor has increased wages and benefits compared to when employed directly by JIO due to the settlement award.
As most employees are not unionized, IFC recommended to management that JIO reinforce its support for freedom of association by taking the following action:
>> JIO explicitly stated in the Employment Handbook that Freedom of Association is supported by management. A copy of the revised handbook was distributed to all employees. In addition to an already good grievance mechanism in place, staff will elect (through a voting system) a worker’s representative (one each for the contractors and for JIO direct employees) who will serve as liaisons with management. JIO will facilitate this process, and JIO along with its subcontractor will ensure that Unions are not discouraged to interact with JIO employees (direct or contracted) as long as it is not disruptive to employees’ work.
The company has a comprehensive grievance mechanism. Employees can express their grievances through (i) their direct supervisor, (ii) Human Resources (there is conflict resolution process outlined in the employee handbook), (iii) the Union for those employees that are unionized, (iv) Management Team, and (v) suggestion box.
JIO requires that contractors complete and sign a Quality Form-Supplier Evaluation that encompass quality system, procurement practices, material control, training and material datasheet.
>> PS3: Pollution Prevention and Abatement
Bouygues construction arm, BYTP, will design and construct all of Phase 1B, and obtain all permits and approvals, with the exception of the NEPA Permit which is the responsibility of TJH and was obtained in January 2008. BYTP is required by its contract to execute the construction in accordance with environmental protection regulations of the GOJ and to implement an Environmental Management Plan and monitoring program based on the mitigation measures in the EIA and permits.
Noise has been identified as a potential issue for few houses located in the edge of the road’s right of way in some section of the road. The Company has in place a noise monitoring and mitigation plan for equipment and construction processes. Additional studies will be conducted to determine potential impacts on sensitive receptors during operations and, if required, define mitigation measures accordingly.
>> PS4: Community Health, Safety, and Security
Flooding has repeatedly been identified during EIA consultation as a concern of local communities. JIO has in place mitigation measures to reduce flooding and a hurricane preparedness plan that includes radio announcement on toll road operation hours and staff security. Unarmed Patrol guards make rounds to provide road side assistance or call for help (except during hurricanes – in this occasions, one office is on duty in each toll plaza, but there is no patrol officer on the toll road). Storm water management is surveyed bi-annually to identify any defects in drainage networks. The toll road will be fenced on both sides to ensure community safety. Furthermore, regular overpasses and other crossings will be available to ensure pedestrian safety. Emergency preparedness and response in order to provide timely first aid response in the event of accident and hazardous material spills is included in QSE Program. Accident and fatality rate of automobilists is tracked by JIO, and JIO provides annual safety training for toll road users. In addition, grievances can be expressed through completing a form that is available at each toll collection booth, calling the toll authority which is committed to respond within 24 hrs. Issues that cannot be resolved are escalated to senior management.
>> PS5: Land Acquisition and Involuntary Resettlement
The current alignment considered is the outcome of the Strategic EIA which assessed a 1 km wide corridor to identify the best alignment for Highway 2000 project while minimizing environmental and social impacts. As currently configured, Phase 1B-1 involves the acquisition of 139 parcels of land totaling 170 hectares over a distance of 17 km. Approximately 84 persons will be resettled and 34 parcels with structures (39 structures) affected by the acquisition. The land acquisition process is managed by the National Road Operating and Construction Company Limited (NROCC), which is a special purpose governmental organization created in 2001 to act as the implementing agency for the management of the land acquisition process as well as other services. NROCC has contracted independent chartered valuation surveyors to handle the notification, detailed inspection, and valuation and negotiation process for households and farmlands while it focuses on the larger commercial entities.
IFC assessed the ongoing land acquisition and resettlement process and, together with IDB, provided guidance to NROCC for the preparation of a Resettlement Action Plan (RAP) based on the Jamaican Land Acquisition Act of 1947, IFC’s Performance Standard 5 and IDB’s Resettlement Policy. The RAP (attached) documents all project-related activities to-date; defines the procedures, principles and criteria for ongoing resettlement activities; and serves as a framework for future interventions by NROCC.
All persons affected will be consulted and given the opportunity to participate in the planning and implementation of their own resettlement. Assistance will be provided in helping individuals to restore their standard of living or even to raise them, but no individual should suffer a lowering of their standard of living as a consequence of the project. Particular attention will be given to groups such as the elderly, those living below the poverty line, women and children, and those without land tenure.
Assistance and compensation eligibility is based on the following categories of ownership and title status: informal settlers/squatters; informal purchasers/family lands; registered owners; tenants/tenant farmers; and businesses. Compensation will be prompt, effective and at full replacement cost for losses such as lands, structures, crops, trees, businesses and incomes lost. In accordance with the size of the affected lot, NROCC will either acquire the total lot or compensate the owner for that portion of land and other assets that will be affected.
NROCC engages continuously with the communities along the Sub-Phase 1B-1alignment. During initial meetings the project’s impacts as well as suggestions from the communities on how impacts can be mitigated were discussed. These initial meetings were followed by smaller group meetings in the field to discuss specific issues of concern from the community or affected persons. To mitigate any negative perceptions and to keep the affected communities involved NROCC will create local offices where the affected communities can go and obtain responses to any concerns through the grievance redress mechanism and obtain current information.
The acquisition of 117 parcels and resettlement of 41 people required for the construction of Phase 1A was completed in 2006. During the same process 74 fishermen (Boat Owners) and 23 vendors located on both sides of the Portmore Causeway were relocated by NROCC on temporary facilities in the Kingston Harbor side of the new highway. In discussions with the fishermen and vendors it was agreed that a new and permanent “Fishing Village” with access to the beach and road traffic would be built to include 81 storage units for the fishermen and 23 stalls for the vendors. Works on these new facilities commenced in 2008 and they are now substantially completed with the exception of dredging works which started the last week of April 2009 and are expected to be completed by August 2009. A more detailed review on the relocation of the fisherfolks is discussed in the attached report entitled “Relocation for Portmore Causeway Fishing Village” dated 2008.
NROCC has included follow-up monitoring and evaluation procedures in the RAP and will engage an independent third party audit that will enable NROCC to assess the socio-economic outcome of the land acquisition and resettlement process and verify that livelihoods of the affected persons and businesses were restored. TJH has agreed to actively collaborate with NROCC to achieve outcomes that are consistent with the objectives of IFC’s PS5.
