Odisha Disaster Recovery Project (WB-P148868)

  • India
Geographic location where the impacts of the investment may be experienced.
Financial Institutions
  • World Bank (WB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Voting Date
Feb 20, 2014
Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
  • Construction
  • Water and Sanitation
The service or industry focus of the investment. A project can have several sectors.
Potential Rights Impacts
  • Cultural Rights
  • Healthy Environment
  • Housing & Property
  • Right to Food
  • Right to Water
Only for projects receiving a detailed analysis, a broad category of human and environmental rights and frequently at-risk populations.
Investment Type(s)
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 153.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Project Cost (USD)
$ 218.60 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Primary Source

Original disclosure @ WB website

Updated in EWS Mar 12, 2018

Disclosed by Bank Dec 1, 2013

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Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

The proposed development objective of the project is to restore and improve housing and public services in targeted communities of Odisha, and increase the capacity of the State entities to respond promptly and effectively to an eligible crisis or emergency, such as tropical cyclones, storm surges, tsunamis, and floods.

The State of Odisha is particularly vulnerable to earthquakes, floods, drought, cyclones, and landslides. On October 12, 2013 Cyclone Phailin hit Odisha with wind gusts up to 220 kilometers per hour, heavy rains measuring up to 25 centimeters and storm surge over 3 meters. This was the strongest cyclone to hit the Indian coast in the past 14 years and the ocean pushed in as much as 40 meters along parts of the coast. In 1999 the Super Cyclone 05B hit Odisha and killed more than 10,000, destroyed 275,000 homes and left 1.67 million homeless.

This project has two locations, the first on India's coast near Puri and the second inland near Banigochha. This project is currently being implemented.

The project has five components.

Component 1: Resilient Housing Reconstruction and Community Infrastructure. This component has two sub-components: (i) housing reconstruction for the reconstruction of about 30,000 houses in the designated rural areas in the coastal belt 5km from the high tide line in the districts of Ganjam and Puri, 5km from the Chilika lake boundary; and (ii) selected community infrastructure for public infrastructure improvements to complement the housing reconstruction.

Component 2: Urban Infrastructure in Berhampur. This component will finance investments to improve public services in this area while at the same time reduce the vulnerability of its population. It has four sub-components: (i) upgrading of slums; (ii) public service infrastructure; (iii) community participation; and (iv) technical assistance.

Component 3: Capacity Building for Disaster Risk Management. This component supports the Odisha State Disaster Management Authority (OSDMA) in strengthening their overall capacity towards better risk mitigation, preparedness, and disaster response.

Component 4: Implementation Support. This component is meant to finance the incremental operating costs of the project management units and project implementation units.

Component 5: Contingent Emergency Response. This component will draw resources from the unallocated expenditure category or allow the Government of Odisha to request the World Bank to re-categorize and reallocate financing from other project components to partially cover emergency response and recovery costs. This project has two locations, the first on India's coast near Puri and the second inland near Banigochha. This project is currently "active" and is proceeding as planned.

Early Warning System Project Analysis
For a project with severe or irreversible impacts to local community and natural resources, the Early Warning System Team may conduct a thorough analysis regarding its potential impacts to human and environmental rights.


The project is designated as Category B, which warrants a partial assessment. A Category B project has potential adverse environmental impacts on human populations or environmentally important areas - including wetlands, forests, grasslands, and other natural habitats - that are less adverse than those of Category A projects. Bank records state that, on the whole, with proper planning and implementation of management measures, the project interventions are not likely to cause large scale, significant or irreversible damage to natural and/or physical environment.


According to Bank documents, the World Bank's safeguard standards are triggered because the project includes: (i) fulfilling housing needs of the poor affected households, (ii) improving affected slums in Berhampur with civic infrastructure and services such as access roads, water, sanitation, drainage, and streetlights a socially and environmentally sustainable manner; (iii) ensuring community participation in the reconstruction process; (iv) addressing differential impacts on and recovery needs of the affected vulnerable/ marginalized families and groups women headed households, and disabled persons; (v) enhancing disaster resilience of coastal communities with secure public infrastructure and services in the worst affected areas; and (vi) minimizing and mitigating any adverse social impacts arising out of any project activities.

While the Bank indicates that the nature and scale of activities associated with these proposed project interventions and their impact on physical and natural environment are not likely to be significant or irreversible per se, the project itself is located in the coastal realms of a state that is marked by various degrees of vulnerability and some sensitive environmental features. Therefore, there are risks or issues that need to be managed through appropriate planning and upfront care during the site selection process, particularly in case of settlements/ habitations located close to the shoreline or high tide line influence area or in low lying area/s.

Other social and environmental standards are not triggered by this project because the Bank determined that the project does not involve the necessary activities that would trigger other standards such as: Forests OP/BP 4.36, Pest Management Op 4.09, Indigenous Peoples OP/BP 4.10, Safety of Dams OP/BP 4.37, Projects on International Waterways OP/BP 7.50, and Projects in Disputed Areas OP/BP 7.60.

Specifically, the Bank has excluded the Indigenous Peoples standard because it determines that tribal habitations with unique socio-cultural identities different from the general population are not found in the project area. Bank documentation indicates that the few tribal families that may be present are part of the mainstream population.

The following standards are triggered as a result of the nature of this project:

Environmental Assessment OP/BP 4.01

An Environment and Social Management Framework (ESMF) has been prepared in compliance with Bank safeguards policy OP 4.12. The ESMF provides a) an entitlement matrix for mitigating any adverse impacts cause; and b) a Gender Equity and Social Inclusion framework to address the special needs of the women, vulnerable families and marginalized communities. The Bank states that social screening will be carried out as per ESMF guidelines at village levels for housing and at cluster levels for slum improvement works. Based on screening, short or full resettlement action plans (RAP) will be prepared and implemented prior to start of the civil works.

Natural Habitats OP/BP 4.04
According to Bank documentation, this standard is triggered because the project impacts could include (a) existing blockages of natural drainage system/channels resulting in water logging in some areas; (b) absence of sanitation facilities and open defecation; (c) waste water stagnation and associated health hazards; (d) poor solid waste management practices; (e) uprooting of trees; (f) damage to natural habitats/buffers and; (g) erosion in specific areas.

Physical Cultural Resources OP/BP 4.11

This policy is triggered because of the presence of historical and a number of cultural properties in the project area. Measures may be required during the site selection process and during construction phase to ensure that adverse impacts are avoided. For management of issues related to the housing reconstruction, the following key activities would be carried out: (i) identification of reconstruction site/s informed by results from a vulnerability mapping exercise to ensure that appropriate sites/locations are chosen keeping in mind the risks from future natural disasters; (ii) environmental screening based on which prioritization and phasing of the civil work program would be worked out and; (iii) public consultation, continued through the various stages of the project - from planning to post implementation.

Involuntary Resettlement OP/BP 4.12

The Bank Operational Policy on Involuntary Resettlement (OP 4.12) has been triggered because two infrastructure components may have involuntary resettlement impacts: (a) provision of housing and common infrastructure in affected villages within 0-5 km of the coastline in Ganjam, Puri, and Khordha districts, and (b) slum improvement activities in Berhampur city with the provision of common infrastructure and services.

People Affected By This Project
People Affected By This Project refers to the communities of people likely to be affected positively or negatively by a project.



Bank documentation notes that two project components may result in involuntary resettlement: slum upgrading in Berhampur city and the provision of housing and common infrastructure in affected villages within 0-5 km of the coastline in Ganjam, Puri, and Khordha districts within 0-5km of the coastline in the Ganjam, Puri, and Khordha districts. In affected coastal villages, the Bank states that the project will require acquisition of land and area in the relocation of aquaculture activities, use of land allocated by local government for a Training Center, as well as resettlement in six villagers in Xiapu County. Land acquisition is mostly related to access roads, which will also serve as emergency evacuation routes, borrow areas and the training center. Resettlement includes acquisition of 207 mu of land and the relocation of an area of 276 mu used for aquaculture, as well as relocation of four small enterprises.

In cases where relocation is required, Bank documentation states that the Government will identify appropriate government lands, or will purchase private lands 'free of encumbrances' from willing sellers for housing along with common infrastructure such as access roads, water supply, sanitation, etc. In case of in situ housing, common infrastructure improvements in existing villages will be undertaken through a community resolution if community land is available or private land (if minor parcels) are available for donation.

In case of slum improvement affecting some 30,000 people in 80 slums, Bank documentation states that common infrastructure and services such as access and street roads, street lights, drainage, water supply and sanitation will be provided within available carriageway or through land purchase or voluntary land donation agreements with the beneficiaries where feasible without resorting to land acquisition. Any residual adverse impacts arising out of the housing or slum improvement subcomponent will be assessed and mitigated by preparing and implementing resettlement action plans (RAP) in line with the ESMF complying with the OP 4.12.

Some safeguards risks posed by the project are as follows: (i) obtaining land in a few cases where suitable government land may not be available; (ii) challenges of mobilizing adequate community mobilization professionals to ensure participatory planning and implementation of the housing and slum improvement activities; (iii) addressing capacity building issues at the level of central and field level implementing mechanisms; and (iv) having to apply the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act (LARRA) 2013, which has come into force on January 1, 2014 for taking private land for project activities.

To address these risks, Bank documentation states that the Project will focus exclusively on land donation and purchase to avoid any private land acquisition. The ESMF adopts an adaptive legal framework and provides for a participative approach, offers guidelines to ensure gender equality and social inclusion, and sets out robust implementation arrangements to deal with the above risks. In discussing the acquisition of project lands, Bank documentation relies heavily on voluntary land donation, as in the following: "The ESMF provides clear guidelines for carrying out and documenting voluntary land donation transparently with prior disclosure of norms and community resolutions. These guidelines are provided to ensure that: land is not acquired from poor and vulnerable land owners who are in the small or marginal category farmers, no pressure is exerted, no adverse impact if generated on the owner's incomes, shelter, business due to such donation, donated land is free of encumbrances and no land with structures is accepted, land is jointly measured and the government bears all costs towards mutation, and that grievance redress mechanism is established to address concerns of the donor."

The following questions may be relevant to determining whether you or your community has suffered a violation of your right to property as a result of this project:

  • Have affected residents been adequately consulted in the resettlement process?
  • Will they be ensured adequate housing in their new location?
  • Have they been properly compensated for loss of property?
  • Are any of the affected residents being forcibly evicted?
  • Have you and your community had an opportunity to input on resettlement plans and provide suggestions about alternatives to relocation to the company?
  • Has the land and/or housing provided following relocation been adequate and of an equal or better quality than the land and/or housing previously occupied?
  • If you were resettled, do you feel that you received adequate compensation for your land, housing, or crops?
  • What options do you have (legal or otherwise) at your disposal in the event that you feel that your right to property or adequate housing has been compromised?


According to the 2012 Human Rights in India Status Report, India spends only 4.4% of its budget on health, which is far below the global median of 11.5%. As a consequence, India's health-care infrastructure is sub-standard and inadequate, lacking doctors and hospital beds. There are six doctors and nine hospital beds per 10,000 people. Only 15% of the population has health insurance, making quality healthcare in private hospitals inaccessible for a vast majority of the population. In addition, this project could have an impact on existing mangroves, where medicinal plants exist. Specifically, the coastal mangroves house a number of rare and endangered species. Some of the mangrove species, including 38 angiospermic taxa have been identified to have medicinal values. Construction and overall changes to the coastal areas may put this crucial vegetation at risk.

The right to health could be infringed upon as a result of this project because of numerous factors. Stagnant water leads to mosquito breeding and public health problems in the project sites. The ESIA for the project notes that poor site selection - flooding, water logging - may increase vulnerability and inappropriate house design may increase indoor air pollution from using wood as fuel which could have a significant negative effect on human health, especially for women exposed to smoke during cooking. The spread of AIDS is also higher at construction sites, as reported by the World Bank. Finally, surface water pollution and groundwater pollution are additional risks posed by this project's construction.

The following questions may be relevant to determining whether you or your community has suffered a violation of your right to health as a result of this project:

  • Have you suffered a decrease in your overall health following the start of this project?
  • Have you suffered any health issues specifically related to mosquitos?
  • Have you contracted AIDS following the start of this project?
  • Have you suffered any health issues specifically related to surface or groundwater pollution?
  • What opportunities (legal or other) are available if you feel that your right to health has been affected?


In the aftermath of a disaster, some existing environmental issues, such as flooding, water logging, and pollution, affect the health and safety of residents (in varying degrees depending on their location) and therefore would require some consideration in the process of reconstruction and redevelopment. Additionally, some environmental issues associated directly with construction such as impacts due to construction material sourcing (laterite stone, sand, water, earth, wood) and management of debris/construction waste would also require some management measures.

The following questions may be relevant to determining whether you or your community has suffered a violation of your right to water as a result of this project:

  • Will wastewater discharge, hazardous waste disposal, or other forms of environmental contamination affect the quality of water sources relied on by local communities?
  • Can local water resources sustain industrial needs and still ensure access to safe and adequate drinking water for local communities?
  • Does the resettled population have access to safe and adequate drinking water in their new location?
  • Have individuals and communities been actively engaged in decisions that may affect their access to water and sanitation?
  • Will the appropriation of new lands interfere with water availability downstream or from groundwater?
  • Will local indigenous communities still have access to their traditional water sources?


There are numerous potential negative impacts this project could have on the peoples' right to a healthy environment. The Bank claims there could be water, noise, and soil pollution, leakage from water supply/sewerage system which would then lead to stagnation and in turn health risks, absence of disposal point/outfall creating water pollution, soil contamination, health issues/concerns, traffic safety and management concerns/disruption during construction, health and safety issues during construction, inconvenience to the public at large due to poor construction planning and sequencing, an increase in water demand leading to exploitation of ground water, constraints in working due to congestion/limited site availability in some slums/urban areas affected by the project, and a disruption of access to existing utilities such as water, power etc.

The following questions may be relevant to determining whether you or your community has suffered a violation of your right to a healthy environment as a result of this project:

  • Will the project introduce particulate pollution, greenhouse gases, or other noxious chemicals into the air?
  • Will effluents from the project contaminate local rivers or other water sources
  • Is the project in the vicinity of delicate ecosystems or unique species that may be endangered by nearby development?
  • Are the methods used for storage, transport, and disposal of hazardous waste sufficient to prevent contamination of the surrounding environment?
  • Can local waste treatment and disposal systems handle the volume of waste and types of contaminants produced by the project?


"About 27 percent of the people living in the coastal villages affected by the cyclone are poor living in mud and thatch and semi-concrete houses. Their source of livelihood is fishing, and agriculture. While those with land engage in cultivation, the majority of fishing population is solely dependent on marine fishing for their livelihood. Construction, changes or alterations to the coastal areas may impact the overall ecosystem, vegetation, fish nesting grounds and thus their ability to continue fishing.

The ESMF for the project notes that many of the sub-projects are situated in areas protected by the Coastal Regulation Zone Regulations, (CZR) and will require obtaining permission before start of construction." "The purpose of Coastal Regulation Zone (CRZ 2011) is to ensure livelihood of fisher communities and other communities living in the coastal areas and conservation and protection of coastal stretches and its unique environment and marine environment."

The following questions may be relevant to determining whether you or your community has suffered a violation of your right to food as a result of this project:

  • Have you (as a people) been deprived of your means of subsistence since the beginning of the investment project?
  • Does the company have a policy or program to ensure that the planned investment project does not affect people's right to food?
  • Do you and your community have access to food in sufficient quantity?
  • Do you have reason to believe that the planned expansion of the project will affect your community's access to food? If so, how?
  • Have project officials included community members in assessments and plans addressing threats to food security?


Bank documentation states: A few project interventions may be located close to sites, structures, natural/man-made features that have historical, archaeological, religious or other cultural significance. According to the Bank, the project's potential impacts on physical cultural resources will be determined through screening and assessment process, and management measures, as required will be taken and integrated into the sub-project cycle. The ESMF also provides procedures to deal with chance finds during implementation of sub-projects.

The following questions may be relevant to determining whether you or your community has suffered a violation of your right to culture as a result of this project:

  • Do the land or other sites affected by the investment project have a cultural significance for your community?
  • Have your traditional practices or knowledge been affected since the beginning of the investment project?
  • What opportunities (legal or other) are available if you feel that your right to take part in cultural life has been restricted or denied?
  • Has your community has been discriminated against because of its culture as a result of this proposed project?
  • Are these cultural sites taken into account and respected by the companies and investors in their plans and assessments?
  • Have community members been involved in plans to protect this heritage?
  • Does the company consider that the planned investment project could result in restricting or denying the right to take part in cultural life?
Investment Description
Here you can find a list of individual development financial institutions that finance the project.

The World Bank International Development Association (IDA) is providing USD $153 million of the total USD $218.60 million for the project through a Specific Investment Loan (SIL). The IDA lends money on concessional terms, meaning that the IDA charges little or no interest and repayments are stretched over 25 to 40 years, including a 5-to-10-year grace period. IDA also provides grants to countries at risk of debt distress. SILs support the creation, rehabilitation, and maintenance of economic, social, and institutional infrastructure. SILs may finance consultant services and management and training programs and are flexible lending instruments appropriate for a broad range of projects. The Government of India will be providing the remaining $65.60 million in funding for this project.

Private Actors Description
A Private Actor is a non-governmental body or entity that is the borrower or client of a development project, which can include corporations, private equity and banks. This describes the private actors and their roles in relation to the project, when private actor information is disclosed or has been further researched.


The borrower under this project is the Government of India. The implementing agency is the Odisha State Disaster Management Authority. At the time of publication, the World Bank website shows that it had funded 549 projects in India over the last decade and there were 20 projects under consideration in different sectors including: agriculture, energy efficiency, flood protection, fishing and forestry, general water, sanitation and flood protection, irrigation and drainage, renewable energy, rural and inter-urban roads and highways, transmission and distribution of electricity, urban transport, and water supply. Analysis of the Bank's documentation indicates that all of the above projects in India represent a total of commitment of USD $98.35 billion. Currently under consideration in India, there are two projects in the sub-national government administration sector and another two projects in the general water, sanitation and flood protection sector.


The World Bank has funded numerous projects in the industry and trade subsector of housing construction India. The World Bank is a key partner of the Government of India in general, and of the Government of Odisha in particular, in its risk mitigation and management efforts in terms of damage prevention as a result of natural disasters. The current National Cyclone Risk Management Project I has been supporting the Governments of Odisha and Andhra Pradesh since 2010 to improve their capacity to manage hydro meteorological hazards, which contributed to the limited impact of Cyclone Phailin's damage (discussed above) in comparison with earlier events of comparable magnitude.

The Bank is also supporting the Government of India with similar efforts in Bihar, Tamil Nadu, Uttarakhand, and other states, as well as at the national level. This Project is part of a broader package to support the Government of Odisha's reconstruction and recovery efforts and to strengthen their capacity to manage future events. This broader package includes additional financing for the ongoing NCRMP-I, expansion of activities under the Integrated Coastal Zone Management Project (ICZM) and Odisha State Livelihood project, and assistance from the Asian Development Bank. As per the agreed framework, the ADB will be assisting the Government of Odisha in the Agriculture,Irrigation, and Energy sectors, while the World Bank assistance has been sought in rebuilding houses, slum improvements, expanding creation of risk mitigation infrastructure, enlarging the scope of plantations and livelihood enhancement activities.

In general, the World Bank has been involved in assisting the Government of India and the Government of Odisha in its efforts to improve its risk mitigation, preparedness, and disaster response. Specifically, the Bank will finance the following activities: i) Establishing an integrated complex comprising of OSDMA, GIS cell equipped with a decision support center, Emergency Operation Center and a training center, ii) Capacity augmentation of the OSDMA by providing them specialized dedicated manpower and through need-based hiring of technical experts in the areas of disaster risk management, hydro-met systems, risk assessment and financing, structural engineering, remote sensing, GIS, others to provide timely support to various project activities; and iii) Enabling the affected marginalized communities to cope with survival risks posed by natural calamities through community-based initiatives.


The World Bank Inspection Panel has received twelve complaints in regards to human rights violations in the country, none of which are in sectors related to the Odisha Disaster Recovery Project. Most of the complaints dealt with infrastructure development. There have only been two complaints from the province of Odisha sent to India's Human Rights Commission, both on issues outside of the scope of this project.

Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

Dr. Taradatt
Managing Director, Odisha State Disaster Management Authority
Email: mdosdma@osdma.org
Telephone No: 0674-2395398


The Bank indicates that the project beneficiaries are the population of the coastal areas of Ganjam, Puri and Khordha districts affected by the cyclone that will be part of the housing reconstruction program and about 30,000 inhabitants of selected slums in Berhampur, of which 50% are female. In addition, the Bank states that the total population of Berhampur, around 350,000 people, will benefit either directly or indirectly from the improvements expected to result from the master plans, as well as the totality of the 42 million inhabitants of the State as a result of increased capacity to manage and respond to disasters.

Bank documentation states that the fishing communities in these areas will be involved in all consultations because of their high status in their communities. The coastal fishing villages have powerful community leaders known as Naidu who look after the affairs of the community. The Naidu are different from the elected local representatives who represent wards in the local body and most of the village decisions are taken at the ward level. According to the Bank, these marine fishing communities "are telugu speaking, but understand the state's official Odia language."

Bank documentation states that a community consultation process to ensure proper consultation and participation of stakeholders will also be carried out in the slum clusters of Berhampur where slum upgrading will take place. This will be a large undertaking. According to the Environmental and Social Impact Assessment for the project, slum upgrade work "will be undertaken in about 80 slums of the city covering a population of about 30,000" and the slum population in Berhampur city is 153,445 persons or 43% of the total population (2011 census).

The project coordinators must consult with the public throughout the project's lifetime in order to ensure the prioritization and phasing of the civil work program as well as address any unknown concerns the public may have. Also, the ESMF provides guidelines for free, prior, and informed consultation with the communities, ensuring community capacity building and participation, grievance redress, information disclosure and monitoring and evaluation. The ESMF also provides clear guidelines for carrying out and documenting voluntary land donation transparently with prior disclosure of norms and community resolutions.


The World Bank Inspection Panel is the independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by a World Bank-financed project. If you submit a complaint to the Inspection Panel, they may investigate to assess whether the World Bank is following its own policies and procedures for preventing harm to people or the environment. You can contact the Inspection Panel or submit a complaint by emailing ipanel@worldbank.org. You can learn more about the Inspection Panel and how to file a complaint at: http://ewebapps.worldbank.org/apps/ip/Pages/Home.aspx.

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