Background and Objectives:
On the morning of December 26 2004, the Indonesian island of Sumatra was hit by two inter-connected disasters – a powerful earthquake followed by a massive tsunami.

The economic loss resulting from the disaster amounted to US$4.5 billion or 2.3% of Indonesia’s GDP. Between 90,000 and 125,000 new houses need to be built and another 40,000 are in need of repair.

The Aceh Nias Settlements Support Programme aims to assist approximately 3,600 households in 21 communities affected by the tsunami disaster in six affected districts including Nias and Simeulue, which were most affected by the second earthquake in March 2005.

The programme supports a process of Community Action Planning (CAP) to ensure a needs-driven, participatory approach to rehabilitating and reconstructing houses and community infrastructure damaged or destroyed by the tsunami. The programme’s strategy ensures that the affected families are at the centre of the recovery process.
  
The development objective is to strengthen the government’s response capacity to reduce vulnerability resulting from the loss of housing, livelihoods and displacement by: promoting good governance and management at local government level; recovery of livelihoods; rebuilding communities; and improving environmental and social conditions in settlements.

Activities:
The main activities include:

• Identifying villages through discussion with local district authorities and consultation at the community-level.
• Re-establishing community councils in the targeted area to provide a framework for managing the project.
• Disseminating and promoting the integration of community-based disaster management approaches to ensure higher levels of survival in the event of another tsunami.
• Undertaking community mapping exercises, followed by Community Action Planning (CAP) with villagers, assisted by the regional coordinator and field facilitators to agree upon land ownership rights, the overall settlement design, and house designs.
• Agreeing upon community infrastructure priorities.
• Supporting the establishment of community contracting and building committees.
• Coordinating the release and accounting of housing and community infrastructure grants.
• Providing technical support to local artisans during the rebuilding process.
• Monitoring and reporting the construction progress.

Results:

• 3,200 permanent houses constructed and handed over (December 2006), with the remaining 140 nearing completion by end January 2007.
• Village plans updated for 21 communities through a participatory process, where the village plan reflects a common consensus and people’s priorities and needs. 
• Guidelines for community mapping and Community Action Planning preparation developed and validated, which are being followed by all organizations involved in village plan formulations.
• Social changes (due to construction activities) and economic recovery set in motion, as housing is a powerful incentive for some families to mobilize additional resources.
• Broad technical and housing policy support to Aceh Nias Rehabilitation and Reconstruction Agency implemented.