SUMMARY ENVIRONMENTAL IMPACT ASSESSMENT

SHANXI ROAD DEVELOPMENT II PROJECT

IN THE

PEOPLE'S REPUBLIC OF CHINA

May 2002

CURRENCY EQUIVALENTS

Currency Units – Yuan (Y) Y1.00 = $0.1208 $1.00 = Y8.2800

ABBREVIATIONS

ADB – Asian Development Bank BOD – biochemical oxygen demand CO – carbon monoxide COD – chemical oxygen demand EIA – environmental impact assessment EIRR – economic internal rate of return GB – Chinese national standards MOC – Ministry of Communications NOx – nitrogen oxides Pb – lead pH – an expression of the intensity of the basic or acid condition PRC – People’s Republic of China RAP – resettlement action plan SCD – Communications Department SEPA – State Environmental Protection Administration SEPB – Shanxi Environmental Protection Bureau SHEC – Shanxi Hou-yu Expressway Construction Company Ltd. SS – suspended solids TSP – total suspended particulate matter YEPB – Environmental Protection Bureau YWNR – Yuncheng Wetlands Nature Reserve

WEIGHTS AND MEASURES dB – decibel ha – hectare hr – hour km – kilometer km2 – square kilometer m – meter m2 – square meter m3 – cubic meter mg/Nm3 – milligram per normal cubic meter t – ton yr – year

NOTES

(i) The fiscal year of the Government ends on 31 December. (ii) In this report, "$" refers to US dollars.

CONTENTS

Page

MAPS ii-iv

I. INTRODUCTION 1

II. DESCRIPTION OF THE PROJECT 1

III. DESCRIPTION OF THE ENVIRONMENT 2

A. Physical Setting 2 B. Environmental Setting 2 C. Historic and Cultural Resources 3 D. Social and Economic Environment 4

IV. PROJECT ALTERNATIVES 4

V. ANTICIPATED IMPACTS AND MITIGATION MEASURES 6

A. Land Use and Resettlement 6 B. The Yuncheng Wetlands Nature Reserve 6 C. Historic and Cultural Resources 8 D. Soil Erosion 8 E. Water Quality 9 F. Hazardous Material Spills 11 G. Air Quality 11 H. Noise Impacts 11 I. Visual Impacts 12 J. Socioeconomic Impacts 13

VI. ECONOMIC ASSESSMENT 13

VII. INSTITUTIONAL REQUIREMENTS AND ENVIRONMENTAL MONITORING PROGRAM 14

A. Institutional Requirements 14 B. Environmental Monitoring Program 14

VIII. PUBLIC INVOLVEMENT 15

IX. CONCLUSIONS 16

APPENDIXES

1 Action Plan for Gray Crane Wintering Ground Protection 19 2 Soil Erosion Control and Management Plan 20 3 Costs of Mitigation Measures 21

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I. INTRODUCTION

1. The environmental impact assessment (EIA) of the proposed Houma–Yumenkou Expressway Project in Shanxi Province, People's Republic of China, (PRC), was carried out by the Research Institute of Highways of the Ministry of Communications (MOC). The terms of reference gained approval by the State Environmental Protection Administration (SEPA) in June 2000. The EIA report was completed in February 2001 and reviewed in April 2001 at a special meeting in held by the Environmental Protection Office of MOC and SEPA. The final EIA report was approved by SEPA in March 2002. This summary environmental impact assessment was prepared based on the final EIA report1 with some modifications, following the Asian Development Bank (ADB) guidelines and format as indicated in Environmental Assessment Requirements of the Asian Development Bank.2

II. DESCRIPTION OF THE PROJECT

2. The Project will be an integral part of the National Trunk Highway System and a major new component of the highway network of Shanxi Province. The project expressway will serve as a much needed transport artery to foster the economic development of the relative less- developed Shanxi Province (Maps 1, 2, and 3).

3. The proposed 65.0 kilometer (km) dual four-lane access-controlled expressway, starting from Houma City will cover three counties (Xinjiang, Jishan, and Hejin), running across the and linking to the Expressway in Shaanxi Province. The Project will include the construction of 3 super large bridges (the Yellow River Bridge and 2 dry bridges), 9 large bridges, 3 medium or small bridges, 4 interchanges, 133 culverts, and 99 overpasses and underpasses. There will be six toll stations and one service area serving the road. The 4-year project construction period is scheduled to begin in early 2003, with the expressway going into full operation in 2007. Traffic volume on the expressway is estimated at 20,918 vehicles/day in 2007 and 53,057 vehicles/day in 2026, with a design vehicle speed of 120 km/hour (hr). The Project also includes improvement of 70.7 km of local roads.

4. The Shanxi Hou-yu Expressway Construction Company Ltd. (SHEC) was established in October 2001 by the Shanxi Communications Department (SCD) for the Project. SCD will be the executing agency for the overall Project including the local road component, and SHEC will be the project implementation agency responsible for construction, maintenance, and operation of the proposed expressway and the Yellow River Bridge.

1 The EIA was conducted in accordance with relevant laws, regulations, and standards applicable in the PRC, in particular (i) Technical Guidance on Environmental Impact Assessment, Environmental Protection Standards of PRC (HJ/T 2.1-2.3 – 93, HJ/T2.4-1995, HJ/T19-1997, SEPA); (ii) Standards for Environmental Impact Assessment of Highway Construction Projects (Trial) (JTJ 005 – 96), Ministry of Communications of PRC, January 1996; (iii) PRC Regulations for the Protection of Nature Reserves (State Council, No. 167, 1994); and (iv) Notice on Environmental Management of Construction Projects with Impacts on Nature Reserves (SEPA, No. 177, 1999). 2 Environmental Assessment Requirements of the Asian Development Bank. Environmental Division, Office of Environment and Social Development, March 1998. 2

III. DESCRIPTION OF THE ENVIRONMENT

A. Physical Setting

1. Geology, Topography, and Soils

5. The project area is situated in the southwest of Shanxi Province. The terrain features mainly hilly land (the east and the west parts) and basin (central part), with the elevation decreasing from the northeast at 2,346 meters (m) towards the southwest at 400 m in the Yellow River flood land. The proposed expressway will run through the Basin with mostly plain terrain of low altitude. The main types of soil along the proposed alignment include cinnamon soil and limy cinnamon soil, with some demoisture soil and salinized soil in the Xinjiang section and some aeolian sandy soil and calcareous eolian soil on the Yellow River flood land.

2. Climate

6. The project area features a semiarid continental monsoon climate. The annual mean temperature is 12.2–13.6 degrees Celsius (oC), with a mean temperature of 26.4 oC in July, and negative 4.0 oC in January. The average annual precipitation is approximately 543–590 millimeters. Most of the rainfall concentrates from June through September, accounting for more than 50% of the total, with frequent thunderstorms. This contributes heavily to the soil erosion problem of the area. The wind speed is relatively high, averaging annually 1.9–3.6 m/second, with varied prevailing wind direction in different locations.

B. Environmental Setting

1. Ecosystem

7. The project area is characterized mainly by farmland and orchards, with some tree farms on the Yellow River flood land. Animals include mostly domestic livestock. No rare, endangered, or threatened species were identified within the project area. However, the proposed Yellow River Bridge (4.6 km) of the expressway will cut through the Yuncheng Wetlands Nature Reserve (YWNR) at Hejin, which is 2.5 km from the border of a wintering ground for gray cranes—a migratory bird of national level Class II Priority protected wildlife.

2. Soil Erosion

8. As shown in Table1, the project corridor is somewhat sensitive to soil erosion, with mostly a moderate degree of soil erosion loss (average erosion modulus of 2,500–5,000 tons per square kilometer per year (t/km2/yr), as per the Standards for Environmental Impact Assessment of Highway Construction Projects JTJ 005–96).

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Table 1: Soil Erosion Data Along the Project Corridor

Total Area Eroded Area Erosion Modulus Annual Erosion County (km2) (%) (t/km2/yr) Loss (t) Xinjiang 593.4 33.6 375–4630 103.5 (slight - moderate) Jishan 686.3 47.6 415–4700 103.5 (slight - moderate) Hejin 593.1 39.9 2605 (moderate) 61.6 km2=square kilometer, t=ton, yr=year.

3. Water Quality

9. The only river crossed by the proposed alignment is the Yellow. The expressway will traverse the river at Hejin, where a super large bridge will be built. The water quality of the Yellow River was checked on 21–22 June 1999 at five monitoring points along the Hejin section against the applicable Environmental Quality Standards for Surface Waters (GHZB1-1999), Class IV, based on the contents of suspended solids, chemical oxygen demand, oil and grease, and lead as well as pH value. The results showed that all the water quality parameters were in compliance with the standards except for suspended solids due to the high sand content of the river. The source of drinking water for the project area is groundwater.

4. Air Quality

10. Air quality (nitrogen oxides [NOx], carbon monoxide [CO], and total suspended particulate matter [TSP] concentrations) was checked at three representative locations along the proposed alignment against the applicable Ambient Air Quality Standards GB3095-1996, Class II (for residential and commercial areas). Only NOx (average daily concentration 0.009– 0.036 milligram per normal cubic meter [mg/Nm3]) was in compliance with the allowable limit of 0.12 mg/Nm3. The CO contents at two of the selected locations (average daily concentration 2.14–5.84 mg/Nm3) most of the time exceeded the allowable limit of 4.00 mg/Nm3, mainly due to the air emissions from coking plants, chemical plants, and other small industrial enterprises scattered along the road. The average daily concentration of TSP ranged from 0.45 to 0.85 mg/Nm3, being well above the maximum allowable limit of 0.30 mg/Nm3. This was attributed to industrial emissions and the use of coal as an energy source in the area.

5. Noise

11. There are currently 15 sensitive points (14 villages and 1 school) along the proposed alignment. Noise measurements were performed at 10 representative locations on 21–28 June 1999. The noise levels, both in daytime and at night, were well within the limits of the applicable Noise Standards for Urban Areas GB3096-93 with only one exception: the noise level at Shuixizhuang village was a little higher than the standard limit by 2.3–4.5 decibels (dB). On the whole, the acoustic environment is considered good for the sensitive points in the project area.

C. Historic and Cultural Resources

12. Shanxi Province is well known for its abundant historic and cultural resources. The proposed alignment, however, will not go through any historic sites.

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D. Social and Economic Environment

13. Shanxi is one of the poorer interior provinces in the country with a gross domestic product of Y164.4 billion in 2000, only about 17% of the coastal Guangdong Province’s level. Shanxi has a population of 32.48 million, of whom 23.72 million (73%) are rural. Among Shanxi’s 85 counties 35 (41.2%) are classified as poverty counties, in which a majority or substantial part of their population exist below the current PRC national poverty level per capita annual income of Y1,000. According to 2000 data, the project influence area, including the three counties of Hejin, Jishan, and Xinjiang, has a total population of approximately 1,000,000, with 33,965 identified as poor (3.4%), living in 1 township, 35 villages, and 7,817 households.

14. The project influence area, including Hejin, Jishan, and Xinjiang counties, is among the more prosperous within Shanxi Province and the fastest growing within Yuncheng Prefecture. Along with having some of the best agricultural land in the prefecture, their small and medium- sized industries, coal mining, and agricultural processing sectors are undergoing impressive expansion. Yuncheng Prefecture now has the greatest number of township and village enterprises (52,563) of all the prefectures in Shanxi Province, providing full or part time employment to an estimated 422,665 people, 124,573 (29.5%) of whom are in the project influence area. Though 84% of the population in this area reside in townships and villages, the trend in the last decade has seen the greater percentage of rural household income derived from nonfarm sources, mainly migrant labor for the construction and service industries. The growing township and village enterprises also serve as a major contributor for more rural household income. In 1990 farming accounted for 71% of rural household income; the percentage has now declined to less than 30% on the average. As a result, rural household income increased from Y1,208 in 1995 to Y1,906 in 2000, an average annual increase of 9.5%. However, economic development of this area has reached a level where one of the greatest constraints is inadequate road transport.

IV. PROJECT ALTERNATIVES

15. Without the Project Option. Currently the only road linking Houma and Yumenkou is national highway G108, which is an older class II road with poor conditions. The traffic volume of the road has been increasing tremendously along with the economic development of the area. As revealed by recent statistics, the annual average mixed traffic volume on the road has reached 6,313 vehicles/day, with a congestion index of 1.39, going far beyond the design capacity of class II road. The road passes through many densely populated commercial areas, townships, villages, and small industrial enterprises without access control, with many buildings, vehicle service and fueling stations, and even schools located adjacent to the roadway. As a result, serious congestion and traffic accidents have been a major problem. Reported major accidents in the project influence area were 594 in 1997 with 367 fatalities, 382 injured, and an economic loss of Y1.42 million. With the traffic volume increasing year by year, the accident rate is also on the rise. In addition, the increased traffic has also caused more traffic noise, vehicle emissions and dust, car-washing wastewater pollution, and other environmental problems in the area. It is obvious that the G108, if left as is without the proposed Project, can no longer meet the local transportation needs in terms of increased traffic volume and road safety as well as environmental protection. There is no waterway or civil aviation transport available in the project corridor, and railway transport is limited.

16. Four options were developed. The Yellow River Bridge, the key component of the proposed expressway, will cut through the YWNR. Accordingly, four alignment alternatives with different location of the Yellow River Bridge, K, A, B, and C, were proposed by the project 5

feasibility study for comparison. Alternative K was preferable to other alternatives in all respects except that its Yellow River Bridge was the longest. Based on overall engineering and socioeconomic considerations, alternative K has been selected in the feasibility studies for the proposed expressway.

17. The four alignment alternatives were evaluated and compared in the EIA report in terms of potential environmental impacts. Public input, including comments from the Shanxi Province Forestry Department, YWNR Administration, and other local government agencies, has been included in the decision-making process. As illustrated in Table 2, alternative K is preferable in terms of engineering, geological, safety, ecological, environmental, and economic factors, and hence was recommended. While alternative A is relatively shorter in terms of the bridge length passing through the nature reserve, it was rejected given its geological, safety, resettlement, and technical implications.

Table 2: Alternative Comparison Favored Impacts Alternative K Alternative A Alternative B Alternative C Alternative(s) Farmlands, orchards, Less impact due Relatively more Relatively more Relatively more K and wild lands to shorter route impact due to impact due to impact due to longer route longer route longer route

Soil erosion Less significant Significant More significant Less significant K, C than K & C but less significant than A

Length of Yellow Longest Shortest Shorter Shorter A River Bridge (4,566 m) (495 m) (3,857 m) (3,976 m)

Noise 5 sensitive 6 sensitive 5 sensitive 4 sensitive K points with lower points with points with points with over-standard higher over- higher over- higher over- noise level standard noise standard noise standard noise level level level

Air quality Insignificant Insignificant Insignificant Insignificant K, B, or C

Land acquisition and Less More More More K resettlement

Historic resources Insignificant Insignificant Insignificant Insignificant No significant difference

Engineering Less difficult Difficult Less difficult Less difficult K, A, B geological condition

Costs of resettlement Less More More More K

Public acceptability Support from Objection Objection Objection K local from local from local from local government government government government

Recommended alternative Alternative K 6

V. ANTICIPATED IMPACTS AND MITIGATION MEASURES

A. Land Use and Resettlement

18. Land Acquisition. The total land area to be acquired for the proposed project will be 410.7 hectares (ha), including irrigated land (83.9%), dry farmland (2.1%), orchards (8.6%), vegetable plots (0.5%), and uncultivated land (4.9%). The loss in agricultural products due to farmland decrease is estimated at Y3.25 million per year. Another 9.33 ha of land is needed during the construction period for temporary use (construction camp sites, staging areas, access roads, borrow and spoil sites, etc.). All temporarily occupied land will be fully reinstated to productive use after construction. Some 3,983 square meters (m2) of buildings will be demolished and 478 wire poles removed, and one small enterprise (a coking plant) will have to be moved.

19. Resettlement Action Plan. For the 3,423 people unavoidably affected by the Project, a resettlement action plan (RAP) was prepared to insure attainment of equal or better livelihood and living standards in line with the PRC’s Land Administration Law (1998) and ADB’s Policy on Involuntary Resettlement (1995). Most of the affected will receive lands of similar quality within the same village administration, plus assistance for resuming production as soon as possible. For the few who do not, skill training opportunities will be offered to provide equal living standards along with permission to move to urban areas where such skills can be utilized. Only 20 households with 90 persons will have to be moved into new houses; all will be resettled in the same villages in houses built prior to demolition of existing ones and preferably within 1,000 m of their previous dwelling at a location of their choice. For those affected, resettlement subsidies as well as compensation for loss of output will also be provided. Resettlement costs for realizing the RAP are estimated at Y258.20 million and are included in the overall project cost estimates.

20. The proposed Project will disrupt some existing irrigation systems, particularly in the plain areas where the road will be constructed on filled-up embankment. This fragmentation will also affect the existing flood-relief channels and natural drainage of the area. To address this problem, the engineering design has included 133 culverts for surface runoff and linking up the split irrigation systems so as to essentially restore the original irrigation pattern of the area. The proposed access-controlled expressway will also cause some blocking effect for local residents living on both sides of the road in terms of farm work and social association. To solve this problem, four interchanges linking to county and rural roads and 99 underpasses or overpasses will be built.

B. The Yuncheng Wetlands Nature Reserve

21. Information on the Nature Reserve. The YWNR was officially established in April 2001 as a provincial level nature reserve. It was an expansion of the Yuncheng Swan Wintering Ground Nature Reserve and the Hejin Gray Crane Wintering Ground Nature Reserve in Shanxi Province—both formed in 1994. The newly established nature reserve is located along the Yellow River in eight counties and cities within Yuncheng Prefecture with a total length of 336 km, covering a total area of 79,830 ha. Also included in the reserve are the Yanhu, Wuxing, and Shengtian Lakes. The YWNR has a rich diversity of both flora and fauna, including 151 species of breeding and wintering terrestrial wildlife and 641 species of wetland plants. Eighty-six species of wetland birds have been identified in the reserve, including 7 species of national level 7 class I priority protected wildlife and 11 species of national level class II priority protected wildlife.

22. Project Impacts. The Yellow River Bridge of the expressway, which will pass through the YWNR at Hejin, is about 2.5 km from the border of the original Hejin Gray Crane Wintering Ground Nature Reserve. Although the bridge is located outside the gray crane wintering ground, it will have impacts on gray cranes.3

23. Every year during winter migration some 1,500–2,000 gray cranes fly to Hejin, roost and feed on the barren beach and farmland by the riverside in the daytime, and rest on the shoals in the river course of the Yellow River at night. Experts from the Nature Reserve Administrative Station of Shanxi Province have been asked to evaluate the potential adverse impacts associated with the proposed expressway on the YWNR. Their inputs are as follows:

(i) The construction activities will drive some wildlife away from their habitats, particularly birds like the gray cranes. The construction period will last for quite a long time (3–4 years) and it is predicted that the gray cranes within 500 m of the proposed expressway will leave their currently roosting and feeding places and move southward.

(ii) During road construction, the vegetation on the acquired land will be destroyed, and the local ecosystem changed. In addition, the destruction and fragmentation effect of the road construction may diminish the habitats for some of the animal species, so that there may not be enough roosting places any more for them to survive. These species may include, as shown by investigation, hare, black moorhen, and weed oriole.

(iii) During operation, the traffic noise, traffic lights at night, and vehicle emissions may cause some adverse impacts on the wildlife around the road.

24. The affected gray cranes are the major concern. According to the experts mentioned in para. 23, the number of gray cranes currently roosting and feeding in the project area, as revealed by investigation, is approximately 70–100, and those resting at nighttime on the shoals of the Yellow River around the proposed Yellow River Bridge location total about 50. This brings the number of affected gray cranes to 120–150, or about 6–10% of the total staying in Hejin every winter. Investigation also showed that the number of other affected wildlife like wild geese and ducks, swans, hares, back moorhens, and weed orioles are all in the range of 5–10% of the total number existing in the area. They are all widely distributed species, and the change or even the loss of some of their habitats will not be an issue in terms of resource conservation.

25. Protective Measures. Under the guidance of the Shanxi Forestry Bureau and the Nature Reserve Administrative Station of Shanxi Province, an action plan (Appendix 1) was developed for minimizing the adverse impacts on the YWNR. It provides details of the objectives, cost estimates, and responsible authority for each of the main actions required, including training, education, engineering measures, and institutional strengthening. In addition, about Y1.15 million ($138,000 equivalent) of environmental and ecological monitoring equipment will be procured to monitor migrating birds and environmental quality at the proposed Yellow River Bridge area. A summary of the action plan is as follows:

3 The gray crane (Balearica regulorum) is a migratory bird of national level class II priority protected wildlife. It is estimated that currently only 22,000–25,000 gray cranes exist in the world, 9,000–12,000 of which are in China. 8

(i) Public awareness of the significance and the need to protect the YWNR will be increased. Three training workshops will be held to educate all the people involved, in particular construction managers and workers, and make them aware that any impacts on the nature reserve are subject to compliance with the National Regulations for Protection of Nature Preserves, PRC; Wildlife Protection Law, PRC; Wild Plants Protection Law; and other applicable laws and regulations.

(ii) Construction activities will be appropriately scheduled. To the extent feasible, construction activities will be reduced in winter (November–March) to minimize disturbance to the winter migration of the migratory birds. Blasting operation will be avoided where possible to minimize disturbing the wintering birds.

(iii) Borrow sites, disposal sites, campsites, staging areas, storage areas, or other use areas within the nature reserve will be prohibited. Temporary fencing or barriers will protect sensitive plant and animal habitats from accidental encroachment by construction equipment.

(iv) Equipment and construction materials will be stored away from wetlands and riparian areas. All wastewater and solid wastes during construction will be collected, treated, and discharged properly to avoid polluting the water bodies.

(v) Noise control measures will be provided at approaches to the Yellow River Bridge to avoid disturbing the wildlife in the nature reserve.

(vi) Four ecosystem monitoring points will be set up in the YWNR during construction to monitor the effects of the construction activities on the survival and quality of the reserve’s ecosystem, including habitats, birds, mammals, and amphibians.

(vii) An enrichment program will be developed to provide food to attract the gray cranes away from the construction area.

(viii) An environmental management unit will be established under SHEC, to be joined by staff from the Yuncheng Environmental Protection Bureau (YEPB) and YWNR Station.

C. Historic and Cultural Resources

26. The proposed alignment will not pass through any historic sites.

D. Soil Erosion

27. Road construction will intensify the effects of natural soil erosion due to vegetation removal, soil disturbance, and exposure of bare soil surface. The most severe problems will be associated with embankment construction in the plain area, road sections with heavy cuts and fills, borrow and spoil sites, as well as bridge and culvert construction sites, particularly on rainy days. If appropriate measures are not taken, the increased erosion loss could be significant over the 4-year construction period.

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28. The engineering design shows that 45 km of the proposed expressway will be sections with fill operation, and 12.7 km with cut operation. As a result, the amount of earth filled will be larger than that of earth cut by 2,947 m3. Accordingly, there should be no waste generated at all. In reality, however, the movement of earth along the alignment cannot be accomplished perfectly as planned, and there will always be some amount of waste.

29. A soil erosion control and management plan (Appendix 2) was prepared as part of the EIA in accordance with the requirements of the PRC Soil Conservation Law. It provides the objectives, responsible authority, and cost estimates for each of the key actions for soil erosion control. The management plan was approved by the Ministry of Water Resources in February 2002. Soil erosion control measures were developed including both permanent measures incorporated into the engineering design and temporary measures to be implemented during construction (paras. 30-31).

30. Permanent Erosion Control Measures. As permanent control measures for slope stabilization and embankment drainage and protection, 92,770 m2 of side ditches and berms, 95,129 m2 of rock lining and slope walls, and 9,680 m2 of torrent chutes were designed along the road, where appropriate. The road design also includes sodding and tree planting on both sides, and center dividers. The landscaping will not only beautify the road but also protect it from soil erosion. All the permanent erosion control features are required to be incorporated into the Project at the earliest practicable time.

31. Temporary Erosion Control Measures. Temporary erosion control measures will be used during construction to limit erosion and resultant sediment and water pollution, as follows:

(i) Silt basins will be used, where appropriate, to intercept water runoff and allow solid matter to settle. After completion of road construction these basins will be graded and revegetated or returned to farm use.

(ii) To the extent feasible, the length and steepness of cut and fill slopes will be minimized particularly at borrow and spoil sites.

(iii) Silt dikes and runoff ditches will be installed where appropriate to prevent silt from leaving sensitive areas (borrow sites, spoil sites, etc.) and entering farmland or water bodies.

(iv) Topsoil of cultivated land used for temporary work areas, in particular the borrow sites, will be stripped off and stockpiled, to be replaced when the construction is completed and the cultivated land rehabilitated. Stockpiled topsoil will be located and protected so that storm water runoff will not cause sedimentation.

(v) Temporary groundcover (matting, hay bales, sandbags, etc.) will be used on disturbed and exposed areas to control erosion and retard runoff, particularly during rainy periods.

E. Water Quality

32. Major sources of potential water pollution were identified as (i) increased soil erosion during construction, which may cause water pollution with sedimentation, as detailed in Section D; (ii) wastewater pollution caused by large construction sites, in particular bridge construction 10 sites; (iii) potential pollution associated with the construction of bridge foundations with bored piles; and (iv) pollution caused by surface runoff and service area wastewater.

33. Water Quality Impacts Due to Construction Sites. Wastewater and hazardous materials (fuel, oil, acids, caustics, etc.) may drain into streams and drainage areas, causing pollution to surface water or groundwater. This is particularly true for large bridge construction sites, construction campsites, and staging areas where workers, construction equipment, and building materials are most concentrated. It was estimated, for example, that the construction of the Yellow River Bridge will need, on the average, about 2,300 workers on site every day, generating approximately 109 tons/day of sanitary wastewater and 2.30–2.45 tons/day of garbage. In the 4-year construction period, a total of 160,000 tons of wastewater and 3,358– 5,037 tons of garbage will be generated.

34. Pollution Caused by Construction of Bridge Foundations. The Project will involve the construction of 12 large and super large bridges, which will be built with hollow piers and deep foundations with bored piles. The pile drilling operation will generate a great amount of spoil. It is estimated, for example, that the construction of the super large Yellow River Bridge, with 78 piers to install, will produce a total of 117,900–135,000 cubic meters (m3) of waste. This waste will be properly removed and stored outside the construction area to avoid polluting the water body. In addition, the drilling operations may stir up the sediments in the riverbed and add to the high suspended solid problem of the river.

35. Expressway Runoff. Rainwater washes out atmospheric pollutants, picks up roadway deposits, and runs off into rivers. The impact of the initial runoff pollutants on the water quality was estimated for two of the three super large bridges of the Project, the Shuixi Reservoir Bridge and the Yellow River Bridge, using a mathematical model. As indicated in Table 3, the increase of pollutant concentrations of the affected water will be insignificant and will have little impact on the water quality of Shuixi Reservoir and the Yellow River.

Table 3: Predicted Impacts of Runoff Pollutants on River Water Quality

Road Surface Amount of Increases in Pollutant Annual Rainfall Collecting Rain Runoff Concentration Water Body (mm) (m) (m3/hr) (mg/l) Shuixi Reservoir 590 246 x 28 1.52 COD 0.1–0.2 Oil & Grease Yellow River 590 4,566 x 28 28.3 0.006–0.01 COD=chemical oxygen demand, m=meter, mm=millimeter, m3/hr=cubic meter per hour, mg/l=milligram per liter.

36. Wastewater Effluent from the Service Area. There will be fueling and service stations as well as offices, hotels, and restaurants for the passengers in the service area. Sanitary wastewater effluent from these facilities as well as wastewater generated by car washing, maintenance, and repair operations will be generated. As estimated in the EIA, approximately 200 people (in 2005) will be involved in the area every day, and 127 m3/day of wastewater will be discharged. The wastewater from car washing can be reused after oil separation and sedimentation treatment. A chemical and biological wastewater treatment system is to be installed to treat the effluent wastewater as per National Integrated Wastewater Discharge Standard GB8978-1996.

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F. Hazardous Material Spills

37. The probability of hazardous material spills on the proposed expressway and associated bridges was evaluated using a mathematical model. The results indicated a probable accident rate of 1.016, 1.875, and 2.689 accidents per year on the road for 2006, 2015, and 2025, respectively. For the 12 large and super large bridges (with a total length of 7,294 m), the corresponding numbers are 0.114, 0.210, and 0.302 accidents per year. While these rates are relatively low, the risk of hazardous material spills cannot be overlooked. Furthermore, the predicted rates are on the upward trend, going up from 2006 to 2025 by a factor of 2.65.

38. It should be noted that the number of incidents of hazardous material spills alone is not necessarily indicative of the environmental impact of such incidents. To prepare for the possible accidents, it is essential to have a sound hazardous materials emergency preparedness and response program. The monitoring center for traffic management under SHEC will act as an emergency center in case of an accident. A contingency plan and a training program for emergency preparedness will be developed. Transporters of hazardous materials are under the control and inspection of the local communications bureau, and are required to have three certificates (driver’s license, escort’s license, and hazardous material transport permit) to operate.

G. Air Quality

39. Air Quality Impacts During Operation. The project area is a non-attainment area for TSP and CO, with their background concentrations well exceeding the applicable air quality standards. The vehicle emissions and fugitive dust emissions from the expressway will add to the problem. Potential air quality impacts on the NOx concentrations from expressway operations for 2006, 2015, and 2025 were evaluated for sensitive points located within 10 m. The evaluation was made based on traffic volume, vehicle type, topographical and climatic conditions, and other factors. The predicted results show concentrations of NOx well below the standard limits throughout the operational period. To reduce the air pollution in the sections that are located near residential areas, trees will be planted between the villages and the alignment.

40. Air Quality Impacts During Construction. Construction activities—particularly earthworks; increased traffic; and the use of cement, asphalt, and other building materials—will produce excessive airborne dust and toxic asphalt fumes, causing a major impact on air quality within the project area. It was determined in a location similar to this Project that the TSP concentration at a distance 50 m to the leeward of a concrete mixing plant can be 1.368 mg/Nm3, exceeding the allowable limit, but this decreased to 0.619 mg/Nm3 at 100 m. To minimize the dust impact, construction fields and major access roads and haul roads will be watered on a set schedule, particularly in the dry season. Construction materials storage and concrete mixing plants will be sited more than 100 m away, and asphalt mixing plants 300 m away in a downwind direction from residences and schools. All the mixing equipment will be closed systems with dust extractors. Dust-generated materials will be stored and hauled in bags or containers with appropriate covers. In addition to the regular monitoring during construction (Table 4), spot checks of air quality will be performed as needed. Additional dust abatement measures will be taken if found necessary.

H. Noise Impacts

41. The potential traffic noise impact for 2006, 2015, and 2025 was evaluated using mathematical models suggested in the Standards for Environmental Impacts Assessment of 12

Highway Construction Projects (Trial) (JTJ005–96, MOC). The evaluation was based on projected traffic volume, vehicle type, vehicle speed, road surface conditions, and other factors. Traffic noise levels, both in daytime and at night, were calculated along the road at 20 m increments between 10 m and 200 m from the centerline of the road. With these data and the background conditions, noise levels were predicted for all the sensitive points within the project area as shown in Table 4.

Table 4: Predicted Noise Impacts of the Project During Operation

Over-Standard Noise Affected Sensitive Level Number of People Year Points (dB) Affected 2006 4 Villages 2–6.9 (nighttime) Village: 450

2015 5 Villages 1.3–8.4 (nighttime) Village: 495 1 School 0.8–1.4 (daytime) School: 320

2025 7 Villages 0.9–10.0 (nighttime) Village: 635 1 School 2.8–3.2 (daytime) School: 320 dB=decibel.

42. Noise Impacts During Operation. To control the noise impacts within the standards, the following measures were developed for different locations: (i) relocate affected households (10 households in Cangtou Village); (ii) install noise-insulating windows along approaching roads to the Yellow River Bridge (5 households and gray crane habitats); (iii) establish greenbelt between the road and the villages and school; (iv) prohibit blowing of car horns in close proximity to villages and schools; and (v) perform noise impact monitoring during operation, and consider further mitigation measures as appropriate based on actual monitoring data.

43. Noise Impacts During Construction. Noise impacts are expected to increase during construction due to the use of construction machinery and earth-moving equipment. As estimated considering the major construction equipment to be used, the daytime noise levels will be within the applicable standards of 75 dB (GB12523-90) when the noise receptor is at a distance of 50 m or more from the noise source except for high noise equipment like pneumatic hammer, rock drill, and generator. In the nighttime, however, the noise sources will have to be at a distance of 100 m or more from the receptor to be within the allowable limit of 55 dB. Because most villages and schools within the project area are located 100 m or more from the road, no significant noise impacts are expected in the daytime. To minimize the nighttime noise impacts, noise suppressors will be used on construction equipment where feasible. High noise machinery will not be allowed to operate in the proximity of a school when classes are in session, and also from 22:00 to 6:00 hrs when there are residential areas nearby. Construction workers exposed to excessive noise will be provided with hearing protection devices.

I. Visual Impacts

44. Some expressway components, like heavy cuts and fills, vegetation clearing, large bridges, and interchanges, will create visual impacts and detract from the natural beauty of the area. To minimize the impacts, the following measures will be taken: (i) minimize cut and fill slopes where possible and, in particular, avoid steep cut slopes; (ii) implement site-specific landscaping and revegetation on both sides of the road, all cut slopes, and disturbed land, making the expressway a beautiful green corridor; and (iii) design bridges, interchanges, and 13 other infrastructure in such a way as to achieve consistency with the surrounding natural landscape, local buildings, and facilities in terms of form, color, and texture.

J. Socioeconomic Impacts

45. The Project will have significant impacts on both urban economics and rural poverty in the project area. The construction of the expressway and the rehabilitation of local roads constitute the only long-term solution to the depressed economic conditions in the project area due to the lack of transport infrastructure. The greatest beneficiaries from a monetary standpoint will be the current road users, who will experience greater efficiency, higher safety, and less wear and damage to their vehicles. From a numerical standpoint, the largest group of beneficiaries will be farmers, who will have improved access to markets and cheaper transport costs for their commercial produce. Farmers and their families will also benefit from expanded opportunities for seasonal employment elsewhere to earn supplemental incomes. Rural villages will also have improved delivery of health, education, and other social services by virtue of all- weather feeder and rural road connections to the expressway interchanges. With the year-round access to new markets provided by the Project, the village level enterprises will also prosper, promoting local economic growth.

46. During construction, the Project will generate significant employment opportunities in the area. Annual labor requirements during the 4 years of construction, as estimated, will vary from 4,680 to 7,020 skilled and unskilled workers, totaling 23,400 person-years. In both categories first preference will be given to those below the poverty line. During operation an estimated annual income of Y600,000 will be generated for the unskilled poor workers from about 100 of the 395 jobs in the maintenance, administration, and service areas. Possible adverse social impacts of the Project have been taken into account through (i) the comprehensive RAP; (ii) measures to minimize any disruption to traffic on existing roads, irrigation systems, transport links to farmlands, and electrical and communications facilities; and (iii) measures to reduce health risks for construction workers, the local population, and road users.

VI. ECONOMIC ASSESSMENT

47. Costs and Benefits of Environmental Impacts. Quantitative economic evaluation of the costs and benefits of environmental impacts was not undertaken due to lack of data and methodological difficulties. The main costs of environmental impacts will be associated with activities during the construction period, such as soil erosion and ecosystem disturbance. Mitigation measures will be taken to minimize the environmental costs by reducing the identified adverse environmental impacts. The benefits of the environmental impacts will include reduction of air emissions and noise through reduced traffic congestion and better road condition.

48. The main economic benefits generated by the project will be vehicle operating cost savings, reduced travel time, and cost savings from reduced accidents. Other benefits will include freight cost savings and resource cost savings arising from diversion of freight from rail to highway. The benefits from a reduction in the number and severity of accidents constitute an important element of the economic benefits. While the economic cost of individual accidents may be higher on the expressway than on existing roads, the total number of accidents per vehicle-km in the project corridor will probably be reduced substantially. Thus a net cost savings will accrue to the Project. The economic internal rate of return (EIRR) for the Project is 20.3%, indicating that it is economically viable. Vehicle operating cost savings amount to 93% of total economic benefits. The sensitivity of the EIRR to various changes in costs and benefits is not of 14 major significance. The demand for expressway travel is relatively inelastic; therefore increased toll fees will not result in a significant reduction of economic benefits from the Project.

49. Cost Benefit and Cost Effectiveness of Mitigation Measures. The total costs of environmental mitigation and monitoring measures are estimated at Y21,677,000 (about $2.6 million equivalent), including design and temporary measures during construction (Y2,870,000), initial costs for mitigation measures during operation (Y13,867,000), operational costs for 20 years (Y4,250,000), and others (Y690,000) (Appendix 3). These costs are considered fully justified when compared with the expected benefits. The environmental benefits resulting from the mitigation measures recommended can readily be seen from reduction of soil erosion during the construction and operation periods; abatement of noise, water, and air pollution to local residents; and improvements in visual quality of the project area due to landscaping and road beautification. In addition, the local capacity of environmental management agencies will be strengthened through environmental monitoring program supported by the Project.

VII. INSTITUTIONAL REQUIREMENTS AND ENVIRONMENTAL MONITORING PROGRAM

A. Institutional Requirements

50. One of the key duties of SHEC is, under the supervision and guidance of SCD and the Shanxi Environmental Protection Bureau (SEPB), to organize and supervise the implementation of all the environmental mitigation and monitoring measures developed or recommended in the EIA report. To implement the environmental measures, an environmental management unit will be established under SHEC (3 staff), joined by YEPB (1 staff) and YWNR (2 staff). Through these measures, any adverse environmental impacts caused by the construction or operation of the Project will be avoided or minimized in accordance with applicable national and local environmental procedures and guidelines. It is critical that SHEC be committed to the Project’s environmental objectives and provided with competent environmental staff and the necessary tools and equipment. To ensure that the mitigation and monitoring measures are being carried out effectively on a continuing basis, a surveillance program and a clearly defined and regular reporting and response system will be established.

B. Environmental Monitoring Program

51. To ensure the proper implementation of the environmental mitigation measures, an environmental monitoring program has been established for both the construction and operation phases. The monitoring program will focus on noise impact, air quality, and water quality within the project area, as shown in Tables 5 and 6.

Table 5: Environmental Monitoring Program During Construction

Monitoring Testing Sampling Item Sampling Location Items Frequency Duration Interval Air Quality Concrete mixing TSP Once a quarter 1 day Twice plants & spot checks (a.m./p.m.)

Asphalt mixing plants TSP and Once a year & 3 days During asphalt fumes spot checks operation

15

Monitoring Testing Sampling Item Sampling Location Items Frequency Duration Interval Residential area near TSP Spot checks I day - unpaved roads

Noise Guanzhuang Village, Noise Once a month 1 day Twice Changtou School (daytime and at night)

Water Yellow River Bridge, COD , pH, Pb, Twice a year 1 day Twice Quality 5 checking points at SS, (wet/dry (a.m./p.m.) 100 m upstream & 200 turbidity, seasons) during m downstream oil & grease operation COD=chemical oxygen demand, Pb=lead, pH=an expression of the intensity of the basic or acid condition, SS=suspended solids, TSP=total suspended particulate matter.

Table 6: Environmental Monitoring Program During Operation Period

Monitoring Testing Sampling Item Sampling Location Items Frequency Duration Interval Air Quality Guanzhang Village NOx Twice a year 2 days 7:00, 10:00, TSP (winter/ 14:00, 19:00 CO summer)

Noise Fuyouzhuang, Lingli Noise 4 times a year 1 day 10:00-11:00 Village, Xixin Village, 22:00-23:00 Guanzhuang, Changtou Village, Changtou School

Water Yellow River Bridge, COD, Twice a year (wet 1 day 2 times Quality 5 checking pts at 100 m pH, SS, / dry seasons) (a.m./p.m.) upstream and 200 m oil & grease downstream

Service area wastewater COD, Twice a year 1 day 2 times discharge BOD, (wet/dry (a.m./p.m.) oil & grease seasons) BOD=biochemical oxygen demand, CO=carbon monoxide, COD=chemical oxygen demand, NOx-nitrogen oxides, pH=an expression of the intensity of the basic or acid condition, SS=suspendid solids, TSP=total suspended particulate matter.

52. Additional monitoring or spot checks may be necessary. Local certified environmental monitoring stations in Shanxi Province will be contracted to perform the monitoring work in accordance with all applicable national and local environmental regulations and standards. The results of monitoring will be analyzed, evaluated and reported to SHEC and SCD on a regular basis, and additional mitigation measures will be considered based on updated data. SCD will prepare a report every six months to SEPB based on these data.

VIII. PUBLIC INVOLVEMENT

53. The EIA team conducted a field survey and visited 127 households along the proposed alignment in 10 villages and towns of the counties of Hejin, Jishan, and Xinjiang in June 1999 with the following objectives: (i) inform the public and local governments about the need for the 16

Project and the proposed alignment, (ii) identify concerns of the public, and (iii) inform the public and agencies regarding potential impacts associated with the Project and the mitigation measures considered.

54. A questionnaire was completed at each of the households visited. Table 7 is a summary of the feedback from the questionnaire. A large majority of the respondents were in favor of the Project. Most people believed that the Project would be beneficial to the country as well as to the local economy, and hoped for its success. It also enjoyed wide support from local governments and agencies. However, because the visits were made in the early stage of the Project, when public awareness was still inadequate, there were also respondents who did not support it (6 of 127 households) or disagreed with the land acquisition and resettlement proposals (9 of 127 households). Some respondents said they did not know about the compensation policy for the land acquired and about relocation. Note that only 3 of the 127 households visited were affected by the Project and required to resettle.

Table 7: Summary of the Public Consultation Questionnaire

Questions Feedback No. of households Attitude towards the Project In favor 116 Not in favor 6 Do not know 5

Is the Project beneficial to the Yes 123 economic development of your village? No 4

Reaction of the affected households to the Agree/Disagree 118/9 land acquisition and resettlement arrangementsa

Concerns about adverse environmental Noise 122 impacts Vehicle emissions 87 Dust 68

Suggested mitigation measures Roadside landscaping 92 Noise barrier 35 Keep away from villages 43 a Only 3 of the 127 households visited were affected by the Project and required to resettle.

55. As revealed during the visits, the major concerns focused on traffic noise, vehicle emissions, and access inconvenience caused by the road. They hoped that mitigation measures would be appropriately designed and implemented along with the road construction, and adequate underpasses or overpasses would be provided to facilitate the connection between the two sides of the road, and also that the disrupted irrigation facilities would be restored as soon as possible. In addition, the affected households requested that the acquisition and resettlement plan be implemented in accordance with applicable laws and government policies.

IX. CONCLUSIONS

56. General Conclusion. The proposed alignment of the Houma-Yumenkou Expressway has, insofar as possible, purposely avoided populated areas, arable lands, historic landmarks, 17 and cultural sites, thereby causing minimal disruption. Nevertheless, as evaluated by the EIA, the Project will create some adverse environmental impacts, which can be mitigated or minimized to acceptable levels. A balance can be struck between environmental protection and the need for economic development. With the total mitigation costs accounting for about 1% of the total project costs, the Project is considered feasible environmentally as well as economically.

57. Alternatives. Four alignment alternatives—K, A, B, and C—and the no-project alternative were evaluated and compared in terms of potential environmental impacts, and alternative K was recommended. This is consistent with the recommendation of the project feasibility study based on engineering and socioeconomic considerations.

58. Yuncheng Wetlands Nature Reserve. The only major sensitive environmental issue identified is that the proposed expressway is located 2.5 km from the border of the gray crane (migratory bird of national level class II priority protected wildlife) wintering grounds in the YWNR, a provincial level nature preserve. The proposed road will cause adverse impacts on the reserve’s natural ecosystem and, in particular, change some of the feeding and resting grounds for the gray cranes and other wildlife. It has been investigated and evaluated by the pertinent authority that the number of gray cranes affected (6–10%) is considered acceptable and will not constitute a significant threat to the survival and long-term productivity of the existing protected species. Other affected wildlife are all widely distributed species, and the change or even the loss of some of their habitats will not be an issue in terms of resource conservation. With appropriate protective measures, the adverse impacts can be minimized without irreversible changes and harm to the function, structure, and value of the gray crane wintering grounds and the YWNR.

59. Soil Erosion. Another environmental concern identified is soil erosion. The construction activities will increase the soil erosion rate over the baseline rate, as modeled, by a factor of 6.53, or an increased erosion loss of 10,889 tons per year. With implementation of the recommended temporary soil erosion control measures during construction and of permanent measures during operation, the actual soil erosion loss will be far less than this value. As the soil erosion control programs go into effect gradually, the soil erosion will be reduced accordingly, and, as predicted, in 2–3 years after the road operation, eventually restored to the preconstruction level.

60. Water Pollution. In addition to the common water quality impacts associated with construction activities (water pollution with sedimentation due to increased soil erosion, wastewater and solid waste pollution at campsites, etc.), a major water pollution threat to the Yellow River was identified at the large bridge construction sites, where the bridges will be built with hollow piers and deep foundations with bored piles. The pile drilling operation will generate somewhat large spoils. These wastes will be properly removed and stored outside the construction area to avoid polluting the water body. In addition, the drilling operation may stir up the sediments on the riverbed and add to the high SS problem of the river. During operation, no significant water quality impacts to the river are anticipated due to the runoffs from the expressway’s bridges. Wastewater effluents from the service area at Hejin will be treated by a chemical and biological treatment system in accordance with applicable standards before discharge into the nearby irrigation system.

61. Air Quality and Noise. Evaluation of the traffic emissions impacts associated with the Project showed that the NOx emissions will be well in compliance with the applicable air quality standards throughout the operation period. However, the project area was originally a non- 18 attainment area for TSP and CO, with their background concentrations exceeding the standard limits. The fugitive dust emissions from the expressway will certainly add to the already serious TSP problem. The plan on tree planting in the sections close to residential areas will contribute to reduction of TSP. The project construction will be relatively short-term, and adverse impacts will be localized. As predicted, 8 of the 15 sensitive points along the proposed alignment will suffer from noise impacts in operation period, with a maximum over-standard noise level of 10 dB. With the noise abatement measures recommended, these impacts will be mitigated.

62. Environmental Management. SHEC will assume overall responsibility for environmental management of the Project during both the construction and operation periods. SHEC, under the supervision and guidance of SCD and SEPB, is charged with organizing and supervising the implementation of all the environmental mitigation and monitoring measures developed or recommended in the EIA. To ensure that these measures will be carried out effectively on a continuing basis, an environmental management unit under SHEC, joined by YEPB and YWNR, will be established. A surveillance program and a clearly defined and regular reporting and response system will also be established.

63. Monitoring. An environmental monitoring program has been established for both the construction and operation phases, focusing on noise impact, air quality, and water quality within the project-affected area. Local certified environmental monitoring stations in Shanxi Province will be contracted to perform the monitoring work in accordance with all applicable national and local environmental regulations and standards. Another four ecosystem monitoring points will be set up in the YWNR during the construction period to monitor the effects of the construction activities on the survival and quality of the reserve’s ecosystem, including habitats, birds, mammals, and amphibians. Monitoring of soil erosion and roadside landscaping in the operational period will be included in the routine maintenance program.

ACTION PLAN FOR GRAY CRANE WINTERING GROUND PROTECTION

Category Objective Actions Responsible Authority Cost Estimate Education Increase public awareness of Three training workshops (for total 90 persons) will be held to Shanxi Hou-yu Y30,000 and training the significance of the train/educate construction managers and workers, and to make Expressway Construction Yuncheng Wetland Nature them aware that any impacts on the YWNR are subject to Company Ltd. (SHEC), Reserve (YWNR) and the compliance with the National Regulations for Protection of Nature Yuncheng Environmental need to protect valuable Preserves, PRC Wildlife Protection Law, PRC Wild Plants Protection Bureau resources Protection Law, and other applicable laws and regulations. (YEPB), and YWNR

Engineering Minimize the disturbance to (i) Store equipment and construction materials away from SHEC Y600,000 control the winter migration of the wetland and riparian areas. All the wastewater and solid measures migratory birds wastes during construction will be collected, treated, and discharged properly to avoid polluting the water bodies. (ii) Place temporary fencing or barriers to protect sensitive plant and animal habitats from accidental construction equipment encroachment. (iii) Provide noise counter measures (such as no car horn blowing and fences along approach roads to the Yellow River Bridge) to avoid disturbing the wildlife in the YWNR. (iv) Appropriately schedule construction activities. Reduce, to the extent feasible, construction activities in the winter (November – March). Avoid blasting operations, where possible, to minimize disturbing the wintering birds.

Enrichment Reduce disturbance of the Enrichment program will be developed to provide food to attract the SHEC, YWNR Y160,000 program feeding areas gray cranes away from the construction area.

Institutional Increase coordination among Establish environmental management unit comprising 2 staff from SHEC, YEPB, YWNR setting key actors involved in SHEC, 1 from YEPB, and 2 from YWNR. environmental management Prohibited Prevent additional adverse (i) Setting up of any borrow sites, disposal sites, camp sites, SHEC activities impacts staging areas, storage areas or other use areas within YWNR will be prohibited. (ii) Setting fires and cutting trees or destroying vegetation in non- construction sites will be prohibited.

Monitoring Effectively Implement the (i) Four ecosystem monitoring points are to be set up in the YEPB, YWNR, Y1,150,000 for and action plan YWNR during construction to monitor the effects of the SCD monitoring enforcement construction activities on the survival and quality of YWNR's equipment, and ecosystem, including habitats, birds, mammals, and Y200,000 for amphibians. sampling and (ii) Y300–Y10,000 will be charged, or certification for project analysis during payment will be suspended for any violations of the construction requirements specified in the action plan.

SOIL EROSION CONTROL AND MANAGEMENT PLAN Responsible Cost Estimatea Category Objective Actions Authority Permanent engineering Minimize soil erosion (i) Civil engineering control measures including slope stabilization, Construction Y2.29 million control measures and water loss during embankment drainage and protection (92,770 square meters (m2) companies, Shanxi operational period of side ditches and berms, 95,129 m2 of rock lining and slope Hou-yu Expressway walls, and 9,680 m2 of torrent chutes) Construction Co. (ii) Biological control measures including sodding and tree planting Ltd. (SHEC), Y1.32 million on both sides of the road and center dividers, and at cut-and-fill Department of sites of earthwork, and land recultivation Water Resources Management

Temporary engineering Limit erosion and (i) Appropriate use of silt basins and revegetation or returning to Construction Y115,000 control measures resultant sediment and farm use after the completion of road construction companies, SHEC, water pollution during (ii) Temporary berms or diversion ditches to collect water from Department of construction period disturbed areas, and to direct water away from the project site to Water Resources the drainage system to allow the flow to pass through the worksite Management without additional contamination (iii) Minimization of length and steepness of cut and fill slopes, particularly at borrow and spoil sites (iv) Installation of silt dikes and runoff ditches to prevent silt from leaving sensitive areas and entering farmland or water bodies (v) Installation of retaining walls on spoil sites with steep slopes, with the finished slope vegetated (vi) Striping and stockpiling topsoil of cultivated land used for temporary work areas. Protection of stockpiled topsoil to prevent sedimentation caused by storm water runoff (vii) Installation of settling basins at bridge and interchange construction sites to collect sediment from construction wastewater before its discharge; appropriate disposal of removed sediment and spoils from drilling operations at the bridge construction sites (viii) Minimization of soil exposure of disturbed area and revegetation of excavated area at the earliest practicable time; application of turf establishment to the finished slopes, preferably 1 month before rainy season (ix) Use of temporary groundcover on disturbed and exposed areas, particularly in rainy periods

Soil and water erosion Rehabilitate lands Compensation to Xinjiang, Jishan, and Hejin counties for SHEC Y1.55 million compensation affected by soil erosion restoration and rehabilitation of lands affected by soil erosion

Institutional capacity Strengthen institutional (i) Establishment of work-site supervision office comprising one SHEC, Yuncheng building capacity on soil erosion staff from each SHEC and Yuncheng Water Resources Water Conservation control and Management Department Office management (ii) Establishment of archives and database for soil and water erosion management

Soil erosion monitoring Effectively implement Monitoring at five key sections Yuncheng Water Y200,000 and enforcement the action plan Monitoring stability of slopes, discharge facilities, degree of water Conservation Office erosion, annual rate of soil loss, and vegetation coverage

Others Quality Control on permanent and temporary measures, design of Y179,000 soil erosion control measures, administration fees, etc. Contingency Y280,000 a The estimated costs are accounted as part of project costs, not separated as costs for environmental protection. COSTS OF MITIGATION MEASURES Costs Items Description (Y'000) Temporary Mitigation During Construction Environmental design Road landscaping, service area wastewater treatment, solid 500 waste treatment, signs for noise control and hazardous materials transport Water quality protection Campsite septic tanks and garbage collection facilities, 60 bridge construction sites runoff pollution protection, wastewater 500 treatment, and site cleanup Dust abatement during construction Watering of construction sites and access roads, 400 bags and covers for clean transportation and storage of dust- 150 generating materials Construction safety measures 60 Environmental monitoring during construction Environmental monitoring, 200 ecological monitoring at Yuncheng Wetland Nature Reserve 200 Restoration of borrow sites and temporarily 800 used lands Subtotal 2,870 Mitigation During Operation Landscaping Side slopes and center dividers (Y100,000/km), 6,500 service area and interchanges (Y1,000,000/interchange) 5,000 Renovation of borrow sites and temporarily 1,300 used lands Warning signs Y1000/piece 22 Noise abatement Relocation to avoid noise impacts (Y30,000 /household), 300 noise-insulating windows (Y5,000/household) 25 Service area wastewater treatment Y600,000/area 600 Solid waste treatment 120 Subtotal 13,867 Operational Costs of Environmental Mitigation (20 years) Maintenance of environmental measures Y50,000/yr 1,000 Environmental management Y50,000/yr 1,000 Environmental monitoring Includes (i) purchasing equipment, and (ii) monitoring 1,450 Contingency 600 Subtotal 4,250 Others 690 Total 21,677