A long-term vision of the Government of Vanuatu (GoV) is to provide potable water, sanitation, roads, drainage, and electricity to low-income households for the largest number of citizens. To address this, the International Development Agency of the World Bank Group is supporting the GoV with the Vanuatu Affordable and Resilient Settlements Project (VARS). Aims of the Project include developing a phased, 10-year, risk-informed Land Development, and Investment Strategy (LDIS) for the Greater Port Vila area with an estimated population of 114,000 people, almost 40 percent of the country’s population. VARS also will support GoV to prepare a five-year action plan to implement phased settlement upgrading (SURP) of the 23 existing informal settlements in the Greater Port Vila area. To build towards these two interdependent medium-term platforms, the Project will implement on-the ground selected investments and associated institutional, and policy strengthening measures to pilot and set policy precedents for new land development and in situ settlement upgrading. This includes: (a) basic area upgrading of four informal settlements (Ohlen Mataso, Seaside, Tokyo and portion of Anambrou); (b) developing a 10 ha ‘sites-and-services’ (greenfield) lower-middle income residential area subdivision; (c) expansion or rehabilitation (as required) of off-site infrastructure focusing on flood management and mitigation; and (d) implementing measures for transformative institutional capacity strengthening of responsible Government of Vanuatu and sub-national agencies for planning, financing, and implementing the 10-year LDIS and 5-year SURP in partnerships with communities and the private sector.
The Project is being implemented by the Ministry of Lands and Natural Resources (MoLNR), supported by the Ministry of Internal Affairs (MIA), Ministry of Infrastructure and Public Utilities (MIPU), the Department of Environmental Protection and Conservation (DEPC), Shefa Provincial Council, and Port Vila City Council (PVCC).
Vanuatu Affordable and Resilient
Settlements Project (VARS)
The Ministry of Lands and Natural Resources
(MoLNR) is implementing the Vanuatu Affordable and Resilient Settlements (VARS)
Project through a US$25 million grant from the World Bank
International Development Association (IDA).
Project Development Objective (PDO):
The objective of the VARS project is to:
(i) improve access to and
resilience of infrastructure and services in selected new and existing
settlements, and
(ii) strengthen land planning and
management for resilient human
settlement.
Implementation Arrangements
Institutional and implementation arrangements are shown diagrammatically in Figure 1 below:
| Proposed Components and Sub-components |
| Component 1: Affordable and Resilient New Settlement Development
Resilient new settlement development Institutional and systems strengthening for future settlement planning and development. Component 2: Affordable and Resilient Settlement Upgrading 2.1 Resilient settlement upgrading 2.2 Sustainable Urban Drainage for settlements 2.3 Institutional and systems strengthening for upgrading unplanned settlements. Component 3: Strengthening Institutional Capacity for Implementation and Sustainability Component 4: Contingent Emergency Response (CERC) |
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Ministry
of Finance and Economic
Management/ Ministry of Lands and Natural
Resources
Vanuatu
Affordable and Resilient Settlements Project
(P173278)
Draft
ENVIRONMENTAL
and SOCIAL
COMMITMENT
PLAN (ESCP)
December
2021
ENVIRONMENTAL AND SOCIAL COMMITMENT PLAN
1.
The Republic of Vanuatu will implement Vanuatu Affordable and Resilient Settlements Project (the Project),with the involvement of the Ministry of Lands and Natural Resources (MoLNR) as the Implementing Agency (IA). The International Development Association (hereinafter the Association) has agreed to provide financing for the Project.
2. The MoLNR will implement material measures and actions so that the Project is implemented in accordance with the Environmental and Social Standards (ESSs). This Environmental and Social Commitment Plan (ESCP) sets out material measures and actions, any specific documents or plans, as well as the timing for each of these.
3. The MoLNR will also comply with the provisions of any other E&S documents required under the ESF and referred to in this ESCP, such as Environmental and Social Management Framework (ESMF), Environmental and Social Impact Assessment (ESIA) Environmental and Social Management Plans (ESMP), Stakeholder Engagement Framework (SEF), and Stakeholder Engagement Plans (SEP), and the timelines specified in those E&S documents.
4. The MoLNR is responsible for compliance with all requirements of the ESCP even when implementation of specific measures and actions is conducted by the Ministry, agency or unit referenced in 1. above.
5. Implementation of the material measures and actions set out in this ESCP will be monitored and reported to the Association by The MoLNR as required by the ESCP and the conditions of the legal agreement, and the Association will monitor and assess
progress and completion of the material measures and actions throughout implementation of the Project.
6. As agreed by the Association and MoLNR, this ESCP may be revised from time to time during Project implementation, to reflect adaptive management of Project changes and unforeseen circumstances or in response to assessment of Project performance conducted under the ESCP itself. In such circumstances, the MoLNR will agree to the changes with the Association and will update the ESCP to reflect such changes. Agreement on changes to the ESCP will be documented through the exchange of letters signed between the Association and the MoLNR. The MoLNR will promptly disclose the updated ESCP.
7. Where Project changes, unforeseen circumstances, or Project performance result in changes to the risks and impacts during Project implementation, the MoLNR shall provide additional funds, if needed, to implement actions and measures to address such risks and impacts.
| MATERIAL MEASURES AND ACTIONS | TIMEFRAME | RESPONSIBILE ENTITY/AUTHORITY | |
|---|---|---|---|
| MONITORING AND REPORTING | |||
| 1.1 | ORGANIZATIONAL STRUCTURE | MoLNR | |
| Establish and maintain an organizational structure with qualified staff and resources to support management of E&S risks, including a dedicated and qualified full time Environmental and Social Specialist, one Environmental Officer and one Social Officer to provide ongoing support, advice and monitoring related to the implementation of the Project | The Project Management Unit (PMU), including one Environmental and Social Specialist, one Environmental Officer and one Social Officer will be established within 30 days after Project effectiveness. The organizational structure, including the specialist and officers, should be maintained throughout Project implementation. |
||
| 1.2 | ENVIRONMENTAL AND SOCIAL ASSESSMENT/MANAGEMENT PLANS AND INSTRUMENTS/ CONTRACTORS | MoLNR | |
| a) The Environmental and Social Management Framework (ESMF) is to be updated (if required), disclosed, adopted, and implemented for the Project. | a) ESMF has been prepared and shall be updated (if required), disclosed and adopted prior to commencement of relevant Project activities. | ||
| b) Screen all proposed Project activities and assess the environmental and social risks impacts of the activities in accordance with the ESMF prepared for the Project. | b) All Project activities shall be screened, and environmental and social risks shall be assessed in accordance with the ESMF prior to the carrying out of the relevant Project activities. | ||
| c) Prepare, disclose, adopt, and implement any relevant instruments, for example activities specific Environmental and Social Impact Assessment (ESIA) and Environmental and Social Management Plan (ESMP) based on the assessment process, in accordance with the ESMF, all in a manner acceptable to the Association. The TOR for ESIA/ESMP should be prepared in a manner acceptable to the Association. For minor civil works that does not require specific instruments based on the screening process, implement the Code of Environmental Practice (CoEP) that is part of the ESMF. |
c) Activity/site specific ESIA or ESMPs to be prepared, disclosed and adopted prior to carrying out of the relevant Project activities. Thereafter, activities/site specific ESIA or ESMPs and CoEP to be implemented throughout the carrying out of such activities. |
||
|
d) Incorporate the relevant aspects of this ESCP, including, inter alia, any environmental and social management plans or other instruments, ESS2 requirements, and any other required ESHS measures, into the ESHS specifications of the procurement documents and contracts with contractors and supervising firms. Thereafter ensure that the contractors comply with the ESHS specifications of their respective contracts. |
d) Before the launching of procurement process for the relevant Project activities, and thereafter throughout the carrying out of such activities. |
||
| 1.3 | EXCLUSIONS: | MoLNR | |
| Exclude the following types of activities as ineligible for financing under the Project: • Activities that may cause long term, permanent and/or irreversible (e.g., loss of major natural habitat) adverse impacts; • Activities that have high probability of causing serious adverse effects to human health and/or the environment; • Activities that may have significant adverse social impacts and may give rise to significant social conflict; • Activities that may affect lands, livelihoods or rights of vulnerable groups; • Activities that may involve involuntary resettlement, land acquisition/use restriction or adverse impacts on land affixed assets or livelihoods; • Activities that may involve involuntary displacement and/or acquisition, restriction or adverse impacts on cultural heritage • Demolition or removal of assets without consultation, consent of owners of the structure and compensation for the replacement cost of the affected asset; • Construction works involving forced labor, child labor, or other harmful or exploitative forms of labor; • Activities that have potential to cause significant loss or degradation of critical natural habitats whether directly or indirectly or those that could adversely affect forest and forest health; • Activities that could affect sites with archaeological, paleontological, historical, religious, or unique natural values; • Use of goods and equipment for military or paramilitary purposes. |
During the assessment process conducted under action 1.2. above. | ||
| 1.4 | MANAGEMENT OF TECHNICAL ASSISTANCE ACTIVITIES: | MoLNR | |
| Ensure that the consultancies, studies, capacity building, training and any other technical assistance are carried out in accordance with ESMF and terms of reference reviewed, all in a manner acceptable by the Association, that incorporate the relevant requirements of the ESSs. Ensure that any outputs from the technical assistance are consistent with the terms of reference and in accordance with the ESSs. |
Throughout the implementation of the Project. |
||
| 1.5 | CONTINGENT EMERGENCY RESPONSE FINANCING | ||
|
a) Prepare Emergency Response Manual (ERM) to also include a description of the ESHS assessment and management arrangements including for the implementation of Contingent Emergency Response Component (CERC), in accordance with the ESSs and in a manner acceptable to the Association. |
a) ERM shall be prepared before the CERC activation |
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|
b) Prepare, disclose, consult and adopt any environmental and social (E&S) management plans or instruments which may be required for activities under Component 4 (Contingent Emergency Response) of the Project, in accordance with the ESMF, Emergency Response Manual, and the ESSs, and thereafter implement the measures and actions required under said E&S management plans or instruments, within the timeframes specified in said E&S management plans or instruments. |
b) The E&S management plans or instruments shall be prepared, disclosed, consulted, and thereafter adopted before the carrying out of the relevant Project activities under Component 4 (Contingent Emergency Response) of the Project. The E&S management plans or instruments shall be implemented in accordance with their terms, throughout Project implementation. |
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|
c) Prepare, disclose, consult and adopt an ESMF addendum with the situation specific environmental and social risk assessment and management measures if current ESMF measures envisaged do not fit the activities of the CERC. |
c) Prior to CERC activation | ||
| ESS 2: | LABOR AND WORKING CONDITIONS | ||
| 2.1 | LABOR MANAGEMENT PROCEDURES | MoLNR | |
| Update (if necessary), adopt, and implement the Labor Management Procedures (LMP) that have been developed for the Project. Provisions to prevent Sexual Exploitation and Abuse/Sexual Harassment (SEA/SH) are included in the LMP for Project staff and for contracted workers in line with relevant national laws and legislation and ESS2 and adopted and applied under the Project. |
Labor Management Procedures shall be updated (if necessary), disclosed and adopted as part of the ESMF before the carrying out of the relevant Project activities and throughout the Project implementation period. |
||
| 2.2 | GRIEVANCE MECHANISM FOR PROJECT WORKERS | MoLNR | |
| Establish, maintain, and operate a grievance mechanism for Project workers, as described in the LMP and consistent with ESS2. |
Adopt, implement and update the Grievance Redress Mechanism throughout Project Implementation. | ||
| 2.3 | OCCUPATIONAL HEALTH AND SAFETY (OHS) MEASURES | MoLNR | |
| Prepare activities specific ESIA or ESMPs which include OHS measures in accordance with ESMF and LMP, in a manner acceptable to the Association. Thereafter, adopt and implement the measures specified in the activities specific ESIA or ESMPs, and CoEP (for minor civil works), in a manner acceptable to the Association. |
Prepare and disclose activities specific ESIA or ESMPs before finalization of the design and contractor procurement documents. Implement activities specific ESIA or ESMPs and CoEP throughout the Project implementation. |
||
| ESS 3: | RESOURCE EFFICIENCY AND POLLUTION PREVENTION AND MANAGEMENT | ||
| 3.2 | WASTE MANAGEMENT, RESOURCE EFFICIENCY AND POLLUTION PREVENTION AND MANAGEMENT: |
MoLNR | |
| Prepare activities specific ESIA or ESMPs which include waste management and material management measures in accordance with ESMF, in a manner acceptable to the Association. Thereafter, adopt and implement the measures specified in the activities specific ESIA or ESMPs and CoEP (for minor civil works), in a manner acceptable to the Association. |
Prepare and disclose activities specific ESIA or ESMPs before finalization of the design and contractor procurement documents. Implement activities specific ESIA or ESMPs and CoEP throughout the Project implementation. |
||
| ESS 4: | COMMUNITY HEALTH AND SAFETY | ||
| 4.1 | TRAFFIC AND ROAD SAFETY | MoLNR | |
| Adopt, implement, and update traffic and road safety measures in the ESMF through the development of a Traffic Management Plan (TMP) in the activities specific ESIA or ESMPs, in a manner acceptable to the Association. The TMP shall include measures for keeping motorists and pedestrians safe from road work areas. |
Prepare and disclose activities specific ESIA or ESMPs before finalization of the design and contractor procurement documents. Implement activities specific ESIA or ESMPs throughout the Project implementation. |
||
| 4.2 | COMMUNITY HEALTH AND SAFETY | MoLNR | |
| Relevant aspects of this standard shall be considered, as needed, under action 1.2 above including, inter alia, measures to: minimize the potential for community exposure to communicable diseases; ensure that individuals or groups who, because of their particular circumstances, may be disadvantaged or vulnerable, have access to the development benefits resulting from the Project; manage the risks of labor influx; and prevent and respond to sexual exploitation and abuse, and sexual harassment. | Throughout the Project implementation period. |
||
| ESS 5: | LAND ACQUISITION, RESTRICTIONS ON LAND USE AND INVOLUNTARY RESETTLEMENT | ||
| 5.1 | ESS5 SCREENING & DUE DILLIENCE | MoLNR | |
|
a) Screen, assess and exclude involuntary land acquisition, involuntary restrictions on land use or involuntary resettlement as per the exclusions list 1.3. b) Adopt, implement and document voluntary and negotiated settlements as per the process included within the ESMF prepared for the Project in a manner acceptable to the Association. |
a) Throughout the Project implementation period. b) Submit due diligence for negotiated settlement for the Bank’s approval and, once approved, implemented prior to commencing Project activities that involve voluntary/negotiated land acquisition, restriction or resettlement |
||
| ESS 6: | BIODIVERSITY CONSERVATION AND SUSTAINABLE MANAGEMENT OF LIVING NATURAL RESOURCES | ||
| 6.1 | BIODIVERSITY RISKS AND IMPACTS | MoLNR | |
| Adopt and implement the biodiversity management measures specified in the ESMF and include the measures in activities specific ESIA or ESMP, in a manner acceptable to the Association. These shall include measures to avoid or minimize disturbance of natural habitats during Project design and construction. |
Prepare ESIA and ESMP before finalization of the design and contractor procurement. Implement the ESIA and ESMP throughout the Project implementation period. |
||
| ESS 7: | INDIGENOUS PEOPLES/SUB-SAHARAN AFRICAN HISTORICALLY UNDERSERVED TRADITIONAL LOCAL COMMUNITIES | ||
| Not Relevant. | |||
| ESS 8: | CULTURAL HERITAGE | ||
| 8.1 | CHANCE FINDS | MoLNR | |
| Adopt, and implement the chance finds procedure described in the ESMF and include the Procedure in the activities specific ESIA or ESMPs developed for the Project. | Prepare, adopt and implement the chance find procedure before commencement of relevant activities and throughout Project implementation. |
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| ESS 9: | FINANCIAL INTERMEDIARIES | ||
| [This standard is only relevant for Projects involving Financial
Intermediaries (FIs). See below a couple of examples of actions that should be
considered when FIs are involved.] Not Relevant. |
|||
| ESS 10: | STAKEHOLDER ENGAGEMENT AND INFORMATION DISCLOSURE | ||
| 10.1 | STAKEHOLDER ENGAGEMENT PLAN PREPARATION AND IMPLEMENTATION | MoLNR | |
|
a) Update, adopt, and implement Stakeholder Engagement Framework (SEF). b) Prepare, disclose, adopt and implement site specific Stakeholder Engagement Plans (SEP) |
Update, prepare, adopt and implement the SEF throughout Project implementation. Prepare, disclose, adopt and implement site specific SEP before relevant project activities commence. Throughout the project implementation |
||
| 10.2 | PROJECT GRIEVANCE MECHANISM | MoLNR | |
| Prepare, adopt, maintain and operate a grievance mechanism, as described in the SEF. | Throughout the project implementation | ||
| CAPACITY SUPPORT (TRAINING) | MoNLR/ PMU Environmental and Social | ||
| CS1 | Develop a timebound training program for PMU Environmental and Social staff, stakeholders, communities, Project workers on: • Introduction to World Bank ESF • Overview of ESMF • E&S Instruments Preparation, Implementation and Monitoring (ESIA/ESMP/ECoP) • LMP and SEP Preparation and Monitoring • Project Orientation and Risk Awareness (Project Stakeholders) • Risk Awareness Orientation (Project Workers) • GBV and SEA orientation |
Training program to be prepared, adopted and implementation initiated within 90 days of effective date. Trainings to be provided at regular intervals throughout the project implementation period | Specialist |
ENVIRONMENTAL AND SOCIAL MANAGEMENT FRAMEWORK
ESMF
VERSION 4: ISSUE
Table of Contents
List of Tables ........................................................................................................................................................................................................................................................................................... i
List of Figures ........................................................................................................................................................................................................................................................................................ i
ABBREVIATIONS AND ACRONYMS....................................................................................................................................................................................................................................... ii
1. BACKGROUND ................................................................................................................................................................................................................................................................................ 3
1.1 Project Development Objectives ..................................................................................................................................................................................................................................... 3
1.2 Purpose of the ESMF ............................................................................................................................................................................................................................................................... 4
1.3 Methodology ................................................................................................................................................................................................................................................................................. 4
1.4 Scope of the ESMF .................................................................................................................................................................................................................................................................... 5
2. PROJECT DESCRIPTION .......................................................................................................................................................................................................................................................... 6
2.1 Project Components ................................................................................................................................................................................................................................................................ 6
2.2 Ineligible Activity List .............................................................................................................................................................................................................................................................. 9
3. POLICY, LEGAL AND REGULATORY FRAMEWORK ............................................................................................................................................................................................ 10
3.1 Vanuatu Laws and Regulations ...................................................................................................................................................................................................................................... 10
3.2 World Bank E&S Standard and Guidelines ............................................................................................................................................................................................................ 16
4. ENVIRONMENT AND SOCIAL BASELINE ................................................................................................................................................................................................................... 21
5. POTENTIAL ENVIRONMENTAL AND SOCIAL RISKS AND MITIGATION ............................................................................................................................................... 37
6. Procedures And Guidelines To Screen And Assess Environment And Social Risks And Impacts .................................................................................... 43
7. Public Consultation And Information Disclosure ............................................................................................................................................................................................... 47
8. Institutional Roles, Responsibilities And Capacity ............................................................................................................................................................................................ 48
9. REFERENCES................................................................................................................................................................................................................................................................................ 53
10. ANNEXES ...................................................................................................................................................................................................................................................................................... 54
Annex 1: Environmental and Social Screening Form ............................................................................................................................................................................................ 54
Annex 2: Screening Procedures for Voluntary/Negotiated Land Use Agreements .......................................................................................................................... 59
Annex 3: Indicative ESIA Outline ......................................................................................................................................................................................................................................... 66
Annex 4: Indicative ESMP Outline ...................................................................................................................................................................................................................................... 68
Annex 5: Stakeholder Engagement Plan_Waste Disposal ................................................................................................................................................................................ 70
Annex 6: Labor Management Procedures .................................................................................................................................................................................................................... 86
Annex 7: Occupational Health and Safety Procedure ........................................................................................................................................................................................... 96
Annex 8: Asbestos Containing Material (ACM) Management Guideline ................................................................................................................................................ 100
Annex 9: Construction Waste Management Plan ................................................................................................................................................................................................. 107
Annex 10: Code of Environment Practice (CoEP) for minor works ................................................................................................................................................................ 111
Annex 11: Chance Find Procedure........................................................................................................................................................................................................................................ 117
Annex 12: Vanuatu Land Administration Assessment (Component 3) ...................................................................................................................................................... 118
List of Tables
TABLE 1: SUMMARY OF KEY PROJECT INFORMATION ........................................................................................................................................................................................... 6
TABLE 2: ENVIRONMENT AND SOCIAL SAFEGUARD STANDARD RELEVANT TO VARS PROJECT ......................................................................................... 17
TABLE 3. WORLD BANK ESS AND RELEVANT VANUATU LAWS AND REGULATIONS AND APPLICABILITY TO VARS ............................................. 17
TABLE 4. ENVIRONMENTAL & SOCIAL INSTRUMENTS & TIMEFRAMES .................................................................................................................................................. 37
TABLE 5: ASSESSMENT OF KEY RISKS/IMPACTS AND MITIGATION METHODS FOR DESIGN & CONSTRUCTION ACTIVITIES ......................... 40
TABLE 6: TASKS AND INSTITUTIONAL RESPONSIBILITIES FOR SAFEGUARDS IMPLEMENTATION ..................................................................................... 50
TABLE 7: PROPOSED TRAININGS AND WORKSHOPS FOR THE MOLNR AND PMU ....................................................................................................................... 51
TABLE 8: PROPOSED BUDGET FOR ESMF IMPLEMENTATION ..................................................................................................................................................................... 52
List of Figures
FIGURE 1. AVERAGE PRECIPITATION IN PORT VILA FOR 2020 ...................................................................................................................................................................... 22
FIGURE 2: LOCATION OF THE SETTLEMENTS IN PORT VILLA AND SHEFA PROVINCE ................................................................................................................ 25
FIGURE 3: AERIAL VIEW OF ETAS GREENFIELD SITE ........................................................................................................................................................................................... 28
FIGURE 4. AERIAL VIEW OF OHLEN MATASO SETTLEMENT .......................................................................................................................................................................... 29
FIGURE 5. AERIAL VIEW OF TOKYO SETTLEMENT ................................................................................................................................................................................................... 31
FIGURE 6: AERIAL VIEW OF SEASIDE SETTLEMENT ............................................................................................................................................................................................. 33
FIGURE 7: AERIAL VIEW OF ANAMBURU SETTLEMENT ..................................................................................................................................................................................... 35
FIGURE 8. ISLAND COMMUNITIES WITHIN ANAMBURU .................................................................................................................................................................................. 36
FIGURE 9: SCREENING STEPS FOR ACTIVITIES IN VARS .................................................................................................................................................................................... 45
FIGURE 10: INSTITUTIONAL ARRANGEMENTS .......................................................................................................................................................................................................... 48
ABBREVIATIONS AND ACRONYMS
ACM Asbestos Containing Materials
CoEP Code of Environment Practice
E&S Environmental and Social
ESCP Environment and Social Commitment Plan
ESIA Environmental and Social Impact Assessment
ESHS Environmental, Social, Health and Safety
ESMF Environmental and Social Management Framework
ESMP Environmental and Social Management Plan
ESS Environmental and Social Standards
E&S Environmental and Social
FM Financial Management
GM General Manager
GRM Grievance Redress Mechanism
IPF Investment Project Financing
LMP Labor Management Plan
LMS Land Management Information System
MoLNR Ministry of Lands and Natural Resources
OHS Occupational Health and Safety
PDO Project Description and Objectives
PEA Preliminary Environment Assessment
PMU Project Management Unit
PPE Personal Protective Equipment
SC Steering Committee
SE Stakeholder Engagement
SEF Stakeholder Engagement Framework
TA Technical Assistance
UNELCO Union Electrique Du Vanuatu
VARS Vanuatu Affordable and Resilient Settlement
WB World Bank
WMP Waste Management Plan
1. BACKGROUND
Vanuatu is a small island nation located in the South Pacific approximately 2,000 kilometers to the east of
Australia. The population is 300,000 residents and the country is administratively divided into six provinces –
Malampa, Penama, Sanma, Shefa, Tafea, and Torba. Shefa Province includes Efate Island in which the capital --
Port Vila – is located. The archipelago of 83 volcanic islands (72 of them inhabited) with approximately 12,200
square kilometers land area, is dispersed over an exclusive economic zone of about 827,000 square kilometers.
The economy is characterized by a formal sector driven by tourism and agriculture, and informal subsistence
activity outside the main urban centers of Port Vila and Luganville. The country’s poverty rate, based on the
national basic needs poverty line, is estimated to be 12.7 percent of the population in 2010. A large proportion of
the population (20-50 percent) is concentrated marginally above the poverty line and is highly vulnerable to falling
back into poverty. The country ranks 140th out of 189 on the 2019 United Nations Human Development Index,
placing it in the ‘medium human development’ category.
A significant development challenge facing Vanuatu is high exposure to hydrometeorological hazards (tropical
cyclones, floods, and droughts) and geophysical disasters (volcanic hazards, earthquake-related hazards, and
tsunamis). In addition, concentration of people and settlements in hazardous areas is significantly increasing the
country’s risk profile.
Port Vila's municipal boundaries enclose a population of 49,528 (2020 Population and Housing Census), but
Greater Port Vila – as a functional city with economic and social connectivity – is home to closer to 114,000 people.
Informal settlements are an important gateway to urban opportunities and services for low- and middle-income
people alike, providing “access to the city” for a wide range of socioeconomic groups. The majority of population
growth in Vanuatu (74 percent) currently occurs outside the Port Vila municipal boundary, in unplanned, unserviced settlements in hazardous areas. As informal settlements continue to expand in an unplanned manner, it
increases the exposure to hydrometeorological and geophysical hazards.
There are significant demands on land to absorb growth, but there is also an available supply of underutilized land
in Greater Port Vila. The impediments to accessing available land include slow and inconsistent planning
regulations and approval procedures as well as weak land administration and management processes, including
the numerous and lengthy processes for registering a lease (estimated at 632 days). Second, restrictive conditions
on housing loans and the cost of housing in Vanuatu mean that a family on the minimum wage cannot realistically
afford a small house on the private market. Due to high demand and limited accessibility or affordable supply,
people have crowded into the city’s existing housing stock or accessed land through unrecorded, informal
occupancy arrangements or kastom (custom) tenure arrangements.
To improve management of human settlements and improve housing, the Government of Vanuatu (GoV) has
secured a US$25 million project in financing the Vanuatu Affordable and Resilient Settlements Project (VARS). This
project directly responds to the need to improve health, economic and social standards of settlement dwellers.
This project is inherent to the overall concern for settlements upgrade, sustainable urban drainage, and
institutional strengthening to solve future unplanned settlement and urban land use.
1.1 Project Development Objectives
The Project Development Objectives (PDO) is to: (i) improve access to and resilience of infrastructure and services
in selected new and existing settlements, and (ii) strengthen land planning and management for resilient human
settlement. The following are the proposed PDO-level indicators:
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