Livelihood Restoration Plan

Project Number: 51112-001

October 2019

Jawa-1 Liquefied Natural Gas-to-Power Project

(Republic of Indonesia)

Prepared by Jawa Satu Power for the Asian Development Bank

The Livelihood Restoration Plan is a document of the borrower. The views expressed herein do not
necessarily represent those of ADB's Board of Directors, Management, or staff, and may be
preliminary in nature. Your attention is directed to the “Terms of Use” section of this website.

In preparing any country program or strategy, financing any project, or by making any designation of
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Bank does not intend to make any judgments as to the legal or other status of any territory or area.
 Jawa 1 - LNG to Power Project

Livelihood Restoration Program

for Vulnerable Fishermen Affected by Offshore Facilities of
the Project

30 October 2019
1. Project Description and Objective

1.1 Project Description

The PLTGU Jawa-1 LNG to Power Project (the Project) involves the development
of a Combined Cycle Gas Turbine (CCGT) Power Plant, a Liquefied Natural Gas
(LNG) Floating Storage and Regasification Unit (FSRU) and a 500kV power
transmission line and Substation. These project elements will be developed within
the Subang, Karawang and Bekasi Regencies of West Java, Indonesia.
The Project has been developed by PT Pertamina (Persero), Sojitz Corporation and
Marubeni Corporation via the project company named PT. Jawa Satu Power (JSP).
The construction work has commenced since December 2018, anticipating
commercial operations in 2021.

The Project includes the following main components:

A) Installation and operation of an FSRU (in Karawang/Subang);
B) Construction and operation of seawater intake and seawater discharge
pipelines (in Karawang);
C) Construction and operation of an onshore gas receiving facility (ORF) (in
Karawang);
D) Construction and operation of a jetty (in Karawang);
E) Gas supply pipelines, both subsea and terrestrial (in Karawang/Subang);
F) 1,760 MW CCGT power plant and associated facilities (in Karawang);
G) A 52 km 500 kV transmission line (in Karawang/Bekasi); and
H) An electricity substation (in Bekasi)

JSP will construct and operate (for 25 years after Commercial Operation Date for
the power plant) the offshore facilities listed in A), B), D), and E) above in
Karawang and Subang Regency (the Offshore Facilities), which will have impact
on the fishermen who have made livelihood by fishery activities in the offshore
area. In order to assess such impact to the livelihood of the fishermen, ERM, as
JSP’s environmental advisor, conducted a Fish Catch Survey, the first one in
October 2018, the second one March 2019 and the third in June 2019 to properly
assess the impacted fishermen.

This Livelihood Restoration Plan (LRP) has established the programs for the
vulnerable fishermen who have been identified as the group potentially impacted
by Project based on the latest Fish Catch Survey and the criteria outlined in this
plan.

1.2 Objective of LRP

The objectives of this LRP are to:

1) Restore the livelihood and welfare of fishermen to be affected by the Project’s

Offshore Facilities , who are identified as “Vulnerable Fishermen” in Karawang
and Subang Regency based on the criteria explained in the Section 2; and
 2) Support the Vulnerable Fishermen in achieving sustainable growth in their
business and lifecycle

This LRP is set for “3 years program” during the constrcution period of the Project
and shall comply with IFC standards and ADB Safeguards requirements. The
implementation of the first three-year program of the LRP for the fisherfolks will
be properly monitored based on the key indicators as stated in table 2. During
project operations phase, the LRP will be extended to address the likely impact of
project operation activities on the fisherfolks. The LRP for the operations phase
will be prepared based on further impact assessments and the monitoring results
of the first phase LRP.

2. Beneficiaries Target

The LRP will target 275 fishermen impacted by the Project’s construction work of
the Offshore Facilities and who are categorized into the following groups: Muara,
Cilamaya Girang, Rawameneng and Blanakan villages in Karawang and Subang
Regency. As described in the third Fish Catch Survey (June 2019), it is estimated
that these 275 impacted fishermen will lose the income more than 10% due to
the estimated increase of the cost for them to move farther away from their
current fishing grounds.
Of the 275 impacted fishermen, 54 fishermen are categorized as “Vulnerable
Groups” based on following criteria:

 Households with an income below the poverty line of IDR

354.866/month/capita as set by the National Statistical Bureau’s for West
Java Province year 2017;
 Households headed by an elderly (older than 65 years old assumed to be an
unproductive group); and
 Female-headed households

This LRP establishes the specific and priority program for the Vulnerable Group
as shown in Table 2.

The Fish Cath Survey looked out for a criteria of fishermen operating simply as
crews (rather than captains or vessel owners) of 0-3 GT vessels where their fishing
grounds are located within the vicinity of the Offshore Facilities activities in
Muara, Blanakan, Cilamaya Girang and Rawameneng Villages. Based on this
criteria, 54 fishermen are identified as Vulnerable Group as listed in Table 1 below.

The fishermen who use smaller vessels (0-3 GT) generally don’t have the flexibility
to relocate their fishing grounds to avoid the Offshore Facilities of the Project
compared to those with larger vessels. As such, inflexibility in reaching a new
fishing ground is also an important factor for the consideration and analysis of
the Vulnerable Group.
 It is confirmed that there are no Female-headed households nor Indigenous
Peoples and ethnic minorities in the impacted fishery group.

Table 1: Vulnerable Fishermen Groups

Boat Total Poverty Line

Family Poverty
Age Sex Size Monthly for Family (on Vulnerable Category
member Line
(GT) Income HH basis)
Muara
1. 60 Male 2 2 3.000.000 354.886 709.772 Elderly Group
2. 55 Male 5 1 3.000.000 354.886 1.774.430 Elderly Group
3. 50 Male 4 1 1.500.000 354.886 1.419.544 Close to poverty line
4. 56 Male 3 1 3.000.000 354.886 1.064.658 Elderly Group
5. 62 Male 3 1 2.500.000 354.886 1.064.658 Elderly Group
Cilamaya Girang
6. 58 Male 3 1 2.400.000 354.886 1.064.658 Elderly Group
7. 56 Male 3 1 2.400.000 354.886 1.064.658 Elderly Group
8. 61 Male 2 1 2.600.000 354.886 709.772 Elderly Group
9. 57 Male 2 1 2.550.000 354.886 709.772 Elderly Group
10. 60 Male 4 1 2.600.000 354.886 1.419.544 Elderly Group
11. 56 Male 4 1 2.500.000 354.886 1.419.544 Elderly Group
12. 61 Male 4 2 2.400.000 354.886 1.419.544 Elderly Group

Rawameneng
13. 75 Male 2 1 1.100.000 354.886 709.772 Elderly Group
14. 61 Male 4 1 6.300.000 354.886 1.419.544 Elderly Group
15. 71 Male 1 1 4.850.000 354.886 354.886 Elderly Group
16. 59 Male 2 1 7.580.000 354.886 709.772 Elderly Group
 Boat Total Poverty Line
Family Poverty
Age Sex Size Monthly for Family (on Vulnerable Category
member Line
(GT) Income HH basis)
17. 56 Male 3 1 5.800.000 354.886 1.064.658 Elderly Group
18. 58 Male 2 2 6.540.000 354.886 709.772 Elderly Group
19. 64 Male 3 1 6.500.000 354.886 1.064.658 Elderly Group
20. 67 Male 2 1 2.700.000 354.886 709.772 Elderly Group
21. 65 Male 2 1 2.350.000 354.886 709.772 Elderly Group
22. 63 Male 3 1 4.750.000 354.886 1.064.658 Elderly Group
23. 57 Male 2 1 2.300.000 354.886 709.772 Elderly Group
24. 64 Male 3 2 5.825.000 354.886 1.064.658 Elderly Group
25. 55 Male 2 1 4.000.000 354.886 709.772 Elderly Group
26. 69 Male 2 1 3.890.000 354.886 709.772 Elderly Group
27. 65 Male 2 1 4.730.000 354.886 709.772 Elderly Group
Blanakan
28. 40 Male 5 1 1.500.000 354.886 1.774.430 Below Poverty Line
29. 56 Male 3 2 3.000.000 354.886 1.064.658 Elderly Group
30. 55 Male 3 2 2.500.000 354.886 1.064.658 Elderly Group
31. 47 Male 6 1 2.000.000 354.886 2.129.316 Below Poverty Line
32. 42 Male 2 2 500.000 354.886 709.772 Below Poverty Line
33. Below Poverty Line and
66 Male 8 1 800.000 354.886 2.839.088
Elderly Group
34. 69 Male 3 1 2.500.000 354.886 1.064.658 Elderly Group
35. 55 Male 4 2 1.500.000 354.886 1.419.544 Close to poverty line
36. 55 Male 4 1 1.500.000 354.886 1.419.544 Close to poverty line
37. 57 Male 3 2 2.000.000 354.886 1.064.658 Elderly Group
38. 50 Male 5 2 1.300.000 354.886 1.774.430 Below Poverty Line
 Boat Total Poverty Line
Family Poverty
Age Sex Size Monthly for Family (on Vulnerable Category
member Line
(GT) Income HH basis)
39. Below Poverty Line and
60 Male 5 2 1.500.000 354.886 1.774.430
Elderly Group
40. 47 Male 4 1 1.500.000 354.886 1.419.544 Close to poverty line
41. 52 Male 7 2 1.600.000 354.886 2.484.202 Below Poverty Line
42. 70 Male 4 2 2.000.000 354.886 1.419.544 Elderly Group
43. 28 Male 6 2 1.000.000 354.886 2.129.316 Below Poverty Line
44. 55 Male 4 2 1.400.000 354.886 1.419.544 Below Poverty Line
45. 64 Male 4 1 1.000.000 354.886 1.419.544 Below Poverty Line
46. Below Poverty Line and
65 Male 3 2 1.000.000 354.886 1.064.658
Elderly Group
47. 58 Male 2 2 1.000.000 354.886 709.772 Elderly Group
48. 43 Male 3 2 1.000.000 354.886 1.064.658 Below Poverty Line
49. 35 Male 3 2 1.000.000 354.886 1.064.658 Below Poverty Line
50. 30 Male 3 2 1.000.000 354.886 1.064.658 Below Poverty Line
51. 32 Male 4 2 1.000.000 354.886 1.419.544 Below Poverty Line
52. 50 Male 3 2 1.000.000 354.886 1.064.658 Below Poverty Line
53. Below Poverty Line and
62 Male 3 2 1.000.000 354.886 1.064.658
Elderly Group
54. 44 Male 5 1 1.000.000 354.886 1.774.430 Below Poverty Line
Source: Fisherfolk Database, JSP, 2019
3. Livelihood Restoration Program

Based on the Fish Catch Survey and assessement described above, JSP established
the following LRP. Please refer to the detail program in Table 2 hereafter.

1) Programs for Vulnerable Group – priority programs focusing on vulnerable fishermen

to restore their livelihood and support a sustainable livelihood;
2) Impacted Fishermen – compensation to recover potential income loss

3.1 Programs for Vulnerable Group

Through field assessments and focus group discussions for the detail LRP design,
there are fundamental common issues identified among the vulnerable fishermen
impacted by Offshore Facilities. These include the following:

A) For operators of smaller vessels (less than 3 GT), it is relatively less flexible for
them to move from their current fishing grounds where they have been doing
the fishery activities for a long time;
B) Use of poor fishing equipments due to limited access to capital sources and
financing institutions to improve productivity/amount of fish catch;
C) Lack of fishermen’s capacity to run their business sustainably (technical and soft
skill, including less knowledgeable to the regional fishery map etc);

Based on the above considerations, JSP has developed the programs by seeking for
sustainable livelihood and long term business growth and opportunity, focusing on
the Vulnerable Groups.

Further more, a specific program for the Muara’s Vulnerable Group will be provided
since the Muara fishermen might not find alternative fishing ground. As outlined in
the 3rd Fish Catch Survey, it is anticipated that the Muara fishermen will experience
potential long term and more adverse impact (compared to those in the other area
due to installation of jetty and pipeline) during both construction and operation. As
such, prior to the operations phase, the currently suggested program presented in
item C Table 2 will be reviewed and updated based on the need of and demand made
by the subject fishermen.

During LRP implemantion, and in order to enhance JSP communication with the
fishermen and to properly capture their concerns/grievances, JSP will conduct a
regular safety awareness campaign (poster distribution) to all impacted fishermen.
Intensive consultation with Impacted Fishermen and Vulnerable Groups will be done
to ensure a proper implementation and close monitoring of the project’s impact.
Grievance Redress Mechanism as per Stakeholder Engagement Plan will be applied.

3.2 Programs for Impacted Fishermen

JSP has initiated a cost compensation program to all Impacted Fishermen for the 1st
year program. The budget for this program has been secured based on the
assessment of potential income losses described in the Fish Catch Survey. The Survey
came to a conclusion of considering a potential income recovery for 4 months’ productive
work that would have lost during construction. JSP will implement this program through a
one time payment to the Impacted Fishermen.
 Table 2: Detail LRP for Impacted Fishery Group including Vulnerable Groups

Target (Category of Planned Programs (Input) Implementation

Vulnerability) Input Target Outcome/Key Indicator
Vulunerable A. Poverty 1. Providing Materials for business JSP to provide hard materials to efficiently improve their productivity/fish catch amount. It will be
Groups improvement provided through micro credit scheme in cooperation with existing local institution (fishermen
cooperative- KUD), and it is expected that their family could also get access to such finance institution.
(a) Providing Fish Catch Tool - more advanced Fisch catch tools (25 GPS, 25 Fish finder, 75 life • 100% of 25 boats (as targeted poverty
than the ones currently used by the fishermen jackets for 25 boats) will be procured and group) will be equipped with more advanced
(25 GPS, 25 Fish Finder, 75 Life Jackets). distributed. tools and;
• 85% of 25 boats will find new fishing ground

(b) Providing Fish Seeds, Shrimp Seeds and any The following items for pond improvement (for total • 10 Ha of shrimp/fishpond will be re-
other requested seeds for 10 Ha fish/shrimp 10 Ha) will be distributed to beneficiaries. constructed,;
pond • 20-25 % income/per yield increase for
(applicable in case the fishermen wish to change - Fish seeds: Total 25,000 pieces (2,500 beneficiaries
their type of the business.) pieces/ha)
- Fish feeds: Total 15 tons
- Fishpond rehabilitation; 4 packages consisting
of;
 Total 1 ton of limestone (kapur)
 100 kg of natural fertilizer
 75 litres of organic fish supplement
(c) Renovation of the fisheries meeting places to 3 (three) fishermen group meeting places will be • Capacity of the 3 meeting places will be
promote the opportunities for the constructive renovated/built improved from 12 people to 50 people per
discussion of common issues/problems among place to enhance communication among
local fishery groups, and for conducting technical fishermen and JSP.Frequency of meeting
trainings. with/among communities will be improved
from once a month to at least 2 times/month

2. Capacity Building JSP to provide training programs by appointing relevant external experts and coordinate with the
relevant fishery groups in the area
(a) Simple accounting and business management 2 batches of basic accounting training will be • 85% of 25 people participants will have their
training conducted, expecting total 25 participants. capacity in basic accounting increased
• 85% of 25 people will have basic accounting
applied to either their own business or their
family business.
 (b) Group management training - to efficiently 4 batches of conflict management training will be • 80 people will get trained in conflict
participate in the local fishery groups and conducted, expecting total 80 participants. management80% of issues arising from the
strengthen the existing fishing communities community conflict will be resolved at each
fishermen group level

3. Job Opportunities for the Project

Hiring fishermen as non technical temporarily 15 job opportunities for the Project as non- • 15 fishermen will be hired.
labors for the Project – e.g., the security patrol in permanent workers (non-skill daily workers, • Number of security and social issue related
offshore and fishery area. JSP to discuss with the security assistant) will be created to offshore work will be down to zero
fishermen to investigate the demands by the
subject vulnerable groups
B. Elderly JSP to provide a technical training for reading 4 batches of fishery technical training will be • New fishing ground will be identified
Household fishery map of the area so that eldery household conducted to the elderly e (total 36 peopleand their • 10 % income increased for 36 beneficiaries
can effciently find alternative fishing area. The family members if requested, with at least total 80 (36 elderly households)
technical training: fishery map reading, participants.
understanding fishing calendar, navigating GPS ,
introduction to fish finders.

(The other program for Poverty group will also be

available for the elderly household upon their
demand)
Fishermen in Vocational/technical training program for 4 batches of production techniques and business • 80 fishermen will be trained on production
Murara who alternative income generation – skill for boat development training will be conducted for 80 techniques and business development
will be repair or fishing equipment repair , fishpond food fishermen in Muara • 3(three) new community business groups
impacted processing, product marketing etc. The type of will be developed.
parmanentl training is optional, depending on needs
y and unable assessment
to move to This program will be applied to the fishermen
other fishing who wish to have alternative means of livelihood
ground. still related to fishery activities. The program will
be updated upon request by the vulnerable
fishermen
JSP will provide technical and vocational traning
for the fishermen adversely impacted on long
term basis by the Project. Such training will be
implemented by external experts. The content of
the program will be adjusted (depending on how
much knowledge they wish to acquire).
All Impacted (a) Compensation of additional cost increase due One time payment of 100% compensation claim. • 100% of Affected Fishermen will receive the
Fishermen to longer fishing trips which is assumed to cause one time off compensation
including the potential income loss more than 10%. • Zero outstanding community grievance due
Non JSP will provide reasonable one time off to loss income during offshore construction.
Vulnerable compensation to fishermen to support them find
Group new altnertive fishing ground.
This program is only applicable to 1st year.
(b) Safety Campaign related to Offshore Facilities 4 batches of safety campaign events will be • 200 fishermen received offshore safety
including FSRU being a restricted area. conducted, with 200 participants knowledge
JSP to do a regular campaign to fishermen 100 posters of safety campaign will be installed at • Zero accident and all of fishermen can find
regarding “restricted area”, in terms of the community public place at 4 villages the safety new route around the project
Offshore Facilities safety and security. area.

(c) Socialization of potential alternative fishing 4 times of public consultation and socialization will • 200 fishermen received knowledge about
ground be conducted with 200 participants potential new fishing ground
JSP to advise the alternative fishing ground • 4 new fishing grounds identified
through the socialization and/or focus group
discussion.
Picture 1: Grand Design and Approach for the LRP

Poor Equipment Capacity

Issue Building Issue

1st Year: 1st Year:

- Providing business tools or raw materials - Basic accounting training
- Renovation of business support facilities or - Hygiene food processing
- Packaging training
farming/fishery facilities
- Fish catch tech training
- Fishery aquaculture training (if applicable)
2nd to 3rd Year: - Vocational training for unemployed (if applicable)
- Support to become - Lesson for fishery market
- Linkage to capital/ financial institution
2nd to 3rd Year:
- Business analysis and management
- Strengthening business networking

Intensive technical assistance and support

Sustainable Livelihood and Business

4 Implementation and Monitoring Plan

The Social and Local Affairs Manager of JSP, assisted by a Social and Local Affairs
Officer, is responsible for the implementation and monitoring of the overall
programs stated in CDP, including those set out for the vulnerable groups in this
LRP for the affected Vulnerable Fishermen.
JSP will appoint a capable third party for support of the implementation of this
LRP so that each item under the plan could be implemented properly and timely.

Basic implementation and monitoring plan for 3 years (construction period) are
set out in Table 3. This LRP is applicable from the time of the Offshore Facilities
construction (expected to be Q4 2019).

Table 3: LRP Implementation and Monitoring Plan During Construction Phase

Year Implementation Monitoring
1 st year (Q4 A) JSP to start providing JSP to monitor those
2019 to Q4 training materials and materials and skills to be
2020) technical skills provided, and how these
(capacity building) as will improve their
per Table 2. productivity. Monitoring
will be done on quarterly
basis in accordance with
B) JSP to provide cost key indicator as per Table
compensation for the 2.
additional cost to the
impacted fishermen.

2nd year (Q4 A) JSP to provide JSP to monitor the

2020 to Q4 material and technical improvement of the
2021) skills for the fishermen fishermen’s productivity
to be impacted by and check their business
construction of “sustainability” in
offshore pipelines accordance with key
B) JSP to review the indicator as per Table 2.
program (as
necessary) and
provide supplemental
support based on the
monitoring result
C) JSP to conduct
additional fish catch
survey to identify the
result of this program
and baseline data for
the development of
 the LRP for operation
phase

3rd year (Q4 A) JSP to provide JSP to summarize the

2021 to Q4 supplemental support whole 3 years program and
2022) based on the consider further approach
monitoring result for
1st and 2nd year.
B) JSP to implement LRP
for operational phase
in accordance with the
findings and results in
the survey in 2nd year

For the operations phase, as required, JSP will extend and/or update the LRP in
accordance with the monitoring and additional Fish Catch Survey results in the
2nd year of the program and the exact boundary of the “exclusive zone” for the
Offshore Facilities. The fishery activities will be restricted only in “exclusive zone”
around Offshore Facilities which will be identified based on the applicable
regulation and final design of the facilities.
At least three months prior to the Commercial Operation Date, JSP will (i)have
reviewed the overall monitoring results of the LRP implementation; (ii) establish
a comprehensive engagement strategy; and (iii) prepare livelihood restoration
plan for the continued engagement with Vulnerable Groups during project
operations, which LRP might be integrated into the general CSR programs for
operations phase as explained in the CDP.

5 Program alignment with JSP, Local Government and Community Priorities

The LRP for fishermen to be affected by Offshore Facilities will be aligned with the
JSP vision/mission and engagement strategy developed in the CDP. It is also
alligned with the local government policy that stipulates the economic
development in the region.

6 Program Communication Plan

To leverage program impact, the LRP will be strategically communicated to related

stakeholders, including using printed and electronic materials. The details of
communication strategy and plan will be developed when the programs will be
executed, in line with the CDP communication plan.

7 Budget for the Program

 JSP is committed to ensuring timely availability of an adequate budget for
successful implementation of the LRP. As such, an approximate amount of IDR
1,680,000,000 per annum (including the program which is applicable only to the
1st year) and IDR 4,450,000,000 (Approximately USD310,000) for 3 years is
allocated to this program. JSP will further investigate the adequacy of the budget
and will adjust the appropriate budget accordingly.

This budget will be used in line with the implementation and monitoring plan
stated in Table 3.

In terms of budget for the operations phase, once JSP sets up the strategy and plan
for a continued engagement with the Vulnerable Groups after construction period
(3 months prior to commercial operation as stated Section 4 above), the new
appropriate budget for another CDP (and LRP) will be developed and allocated for
the operations phase.

Table 4: LRP Budget for yearly and total 3 years during construction phase
Programs Budget per Budget
annum for 3 years
(IDR 000) (IDR 000)
Providing of business tools, livelihood raw 600,000 1,800,000
materials and/or business support facilities
Technical and soft skill training 550,000 1,650,000
Compensation of additional cost to impacted 300,000 300,000
fishermen (*)
Project Management / Monitoring 150,000 450,000
Contingency 80,000 250,000
Total 1,680,000 4,450,000

(*) Only for program for the 1st year