Draft Environmental Impact Assessment Volume 2 Project Number: 48307-001 July 2014 PAK: Engro Fast Track LNG Regasification Project Prepared by Environmental Management Consultants (EMC) for Engro Elengy Terminal Private Limited The environmental impact assessment 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 or reference to a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area. Elengy Terminal Proposed LNG Import Terminal Project, Port Qasim-Karachi Pakistan Limited ESIA Report Public / Stakeholders Consultation & Information 07 Disclosure 7.1 Public Consultation & the public in general and project affected persons, in the Participation decision making process is to have a fair interaction with all community groups and ensuring them that every attempt Public Consultation and Public Participation are two would be made to minimize negative impacts of the project, effective tools of social interaction. Public Consultation is an and that adequate mitigation measures would be taken to important tool to build up confidence between the compensate the loss of the affected persons, if any. Thus, it stakeholders and the project formulators to minimize the ensures partnering between the community and the project risk of delay of project implementation. It also counters proponent leading to timely completion of the project with erroneous information, if any, about the project. It helps the least social cost and disruption. Moreover, experience project proponent (Elengy Terminal Pakistan Limited; indicates that unexpected project effects on the local ETPL) make informed assessments of public opinion about community generally give rise to significant issues and the project, and the nature and extent of opposition likely to concerns among Project Affected Persons (PAPs). These occur during the implementation stage. problems get reduced when people are properly informed and consulted about the project and given the opportunity Public Participation, on the other hand, helps project of being heard. Similarly, Non Governmental implementation to a great extent. The purpose of involving Organizations (NGOs) will frequently come forward to Environmental Management Consultants 1 of 21 S e c t i o n 7 Elengy Terminal Proposed LNG Import Terminal Project, Port Qasim-Karachi Pakistan Limited ESIA Report advocate on behalf of the stakeholders, including PAPs. By guidelines. making NGO's party to the decision making process, future Guiding Principles: ADB requires public consultation in litigation at later stages can be avoided. the environmental assessment process. For category A 7.2 ETPL's Policy of Public and B projects, the borrower must consult with groups affected by the proposed project and local non- Consultation & government organizations (NGOs). The consultation Disclosure Plan needs to be carried out as early as possible in the project Since ETPL's proposed LNG Terminal project is a cycle so that views of affected groups are taken into significant development in Port Qasim, it has special account in the design of the project and its environment consultation responsibilities. Effective project planning mitigation measures. Such consultation will also take has required regular consultation with a wide range of place during project implementation to identify and help project stakeholders. Based on an extensive public address environmental issues that arise. For category A outreach program, including public meetings, public projects, ADB ensures that the borrower carries out public hearings, and individual and group consultations, the consultation at least twice: (i) once during the early stages local community is well informed of the project objectives, of EIA field work; and (ii) once when the draft EIA report likely impacts and essential provisions of compensation is available, and prior to loan appraisal by ADB. ADB’s policy through the Project's conduct of the following Environmental Assesment Guidelines describe the best activities: practices for consulting stakeholders and providing acces to information. 1) Information dissemination campaigns using media, notice of meetings or information leaflets; The project has also followed International Finance Corporation (IFC) Performance Standard 1: Social and 2) Holding Public/Stakeholder Consultation Meetings Environmental Assessment and Management Systems, in and Focus Group Discussions (FGDs); developing the public participation program for the LNG 3) Arranging interviews with the communities and their project. A relevant objective adhered to in designing the stakeholder groups; public involvement program for the project is: 4) Formation of focus groups involving key stakeholders, n To ensure that affected communities are like local/community leaders, women, the poor, and appropriately engaged on issues that could other groups; potentially affect them. 5) Setting up various committees for planning, Requirement 19 of this Performance Standard states implementation and monitoring of construction and "When local communities may be affected by risks or operations; and adverse impacts from a project, the engagement process will include consultation with them. …Community 6) Involvements of the PAPs in a formal grievance redress engagement will be free of external manipulation, process. interference, or coercion, and intimidation, and conducted To discuss and seek opinion/suggestion from the on the basis of timely, relevant, understandable and communities & other stakeholders, their representatives accessible information." were invited to participate in various meetings regarding Requirement 23 of this Performance Standard states "The project related issues involving impact mitigation and client will respond to communities' concerns related to the compensation procedures in light of ADB & IFC Environmental Management Consultants 2 of 21 S e c t i o n 7 Elengy Terminal Proposed LNG Import Terminal Project, Port Qasim-Karachi Pakistan Limited ESIA Report project. If the client anticipates ongoing risks to or adverse Public Participation (IAP2). impacts on affected communities, the client will establish The project has striven to rely on the following IFC a grievance mechanism to receive and facilitate resolution principles: of the affected communities' concerns and grievances about the client's environmental and social performance. n Early engagement: Commencing engagement early The grievance mechanism should be scaled to the risks is critical in building trust, mutual respect and in and adverse impacts of the project. It should address establishing relationships with communities. ETPL concerns promptly, using an understandable and will ensure that consultation activities are proactive, transparent process that is culturally appropriate and planned and delivered in a timely way. readily accessible to all segments of the affected n Long-term view: Establishing and maintaining communities, and at no cost and without retribution. The relationships is a long-term investment. To enhance mechanism should not impede access to judicial or the value of community relationships, ETPL will take administrative remedies. The client will inform the a long-term view to engagement. affected communities about the mechanism in the course n Tailored at each phase of project: The outreach and of its community engagement process." engagement program will be tailored to each phase IFC Performance Standard 4: Community Health, Safety of the project. In developing the project, activities, and Security and a relevant objective is to: issues and stakeholders associated with the phase will be considered and built into the engagement n To avoid or minimize risks to and impacts on the activities for that phase. health and safety of the local community during the project life cycle from both routine and non-routine n Proactive, not reactive: ETPL will set a proactive path circumstances. for consultation and will consult in a strategic manner, as opposed to being reactive and IFC Performance Standard 7: Indigenous Peoples and responding to grievances as they arise. A proactive relevant objectives are to: approach to consultation will build credibility and n To establish and maintain an ongoing relationship relationships with the community. with the Indigenous Peoples affected by a project n Managed as a business priority: ETPL will ensure throughout the life of the project; and that engagement activities are planned and delivered n To foster good faith negotiation with and informed through a systematic and consistent approach and participation of Indigenous Peoples when projects that management responsibilities are assigned to are to be located on traditional or customary lands each consultation activity. under use by the Indigenous Peoples. The major objectives of ETPL's public consultation International standards that are followed by ETPL program are to: relevant to community engagement include: n Create awareness among local people about the n International Finance Corporation, 'Stakeholder project in general and its potential impacts (both Engagement: A Good Practice Handbook for positive and negative)