ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation E1417 VOL. 4 Public Disclosure Authorized

State Enterprise National Energy Company <> Public Disclosure Authorized Project 330 kV Transmission Line of the Dniester HPPS-Bar with a Reconstruction of the 330 kV Bar Substation

ENVIRONMENTAL IMPACT ASSESSMENT (EIA) Final Public Disclosure Authorized

December 2006 Public Disclosure Authorized

Project Proponent: < General Designer: State Design and Survey, Scientific and Research Institute of Power Systems and Power Grids <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar < with a Reconstruction of the 330 kV Bar Substation

1. Introduction 1.1. Background to the Project 1.2. Environmental Impact Assessment of the Project 1.3. Planning Process 1.4. Public Consultations 1.5. Regulations and Rules applicable to the Project 2. Studies of Options and Selection of the Final Route 2.1. Study of Alternative Transmission Line Routes 2.2. Results of the Transmission Line Route Selection 3. Description of the Project 3.1. Main Elements and Scope of the Project 3.2. Power Transmission Line 3.2.1. Characteristics of the Line Route 3.2.2. Technical Characteristics of the Transmission Line 3.3. Substation 330/110/35 kV Bar 3.4. Fiber-Optic Communication Line 3.5. Construction 3.5.1. Organization of Construction Works 3.5.2. Transmission Line Construction 3.5.3. Construction of the Substation 3.5.4. Fiber-Optic Communication Line 3.5.5. Construction Equipment 4. Anticipated Environmental Effects 4.1. Potential Environmental Relevance of the Project Type 4.2. Electrical Transmission Line and Fiber-Optic Communication Line 4.3. Substation 5. Environmental Baseline Conditions 5.1. Geology and Geomorphology 5.2. Soils and subsurface 5.3. Ground Waters 5.4. Surface Waters 5.5. Climate and Ambient Air Quality 5.6. Flora, Fauna and Habitats 2 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

5.7. Land Use and Physical Planning 5.8. Landscape and Scenery 5.9. Cultural Heritage and Archeological Sites 6. Environmental Impact and Mitigation Measures 6.1. Impact Assessment Geology and Geomorphology 6.2. Impacts on Soil and Subsurface 6.3. Impacts on Ground Water 6.4. Impacts on Surface Water 6.5. Impacts on Climate and Air 6.6. Impacts on Plants, Animals, and Natural Environment 6.7. Impacts on Land Management 6.8. Impacts on Property and Income 6.9. Impacts on Visual Properties and Landscape 6.10. Health Protection and Occupational Safety 6.10.1. Power Transmission Line 6.10.2. Substation 6.10.3. Fiber-Optic Communication Line 6.11. Noise Pollution Impact 6.12. Impacts on Cultural and Archeological Heritage 7. Environmental Risks and Hazards 7.1. Power Transmission Line and FOCL Cable 7.2. Substation 8. Environmental Management 8.1. Objective of Environmental Management Plan 8.2. Environmental Management in the Stage of Design 8.3. Environmental Management in the Stage of Construction 8.4. Environmental Management and Monitoring in the Stage of Operation 8.5. Implementation of Environmental Management Plan

3 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <

330 kV TRANSMISSION LINE OF THE DNIESTER HPPS - BAR WITH A RECONSTRUCTION OF THE 330 KV BAR SUBSTATION ENVIRONMENTAL IMPACT ASSESSMENT (EIA) IN DESIGN AND CONSTRUCTION

1.Introduction 1.1 Background to the project The Dniester Hydropower Pump Station (HPPS) is being constructed on the territory, whose power supply will be to the South-Western Power System (SWPS), which is encompassed within the United Power System of (UES - United Energy System of Ukraine). Commissioning of this station will allow for a reliable solution of the problem of feed-in to variable loads and will provide a rational operational mode of combined heat and power plants (CHPP) for a prospective period (2010-2020) not only within the SWPS, but also within the UES of Ukraine. Construction of the Dniester HPPS is being effected southwards form the Dniester HPS, at the distance of 10 km downstream of the Dniester river. A system forming network of this region is done with the voltage 330 kV - two 330 kV main transmission lines, which join the busbars 330 kV substation (SS) 750kV and Zakhidnoukrayinska. An area of the central main transmission line 750 kV UES Ukraine West - East goes along the territory of the region. This is a transmission line 750 kV of the substation 750 kV Vinnytsia and substation 750 kV Zakhidnoukrayinska. It should be noted that along with the separation from the whole of the UES Ukraine of the south-western part of the network of the Western energy system for a simultaneous operation with the energy system CENTREL/UCTE (the so-called <

4 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <» of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

commissioning of energy network facilities. Operation of the system forming network was verified in the operational mode and in the power units' charge mode of the Dniester HPPS under normal operational conditions of networks, under conditions of after emergency disconnection of transmission lines 330(750) kV or concurrence of planned repairs of one transmission line with the emergency disconnection of another transmission line 330(750) kV. Without a commissioning of the transmission line 330 kV Dniester HPPS - Bar (i.e. the station is connected to the South-Western Power System (SWPS) grid with the help of facilities of the existing TL 330kV Ladyzhyn CHPP - Dniester HPS) disconnection of one of the feed-in TL 330 kV (from the Ladyzhyn CHPP) during the operation of the HPPS in the charge mode will lead to the necessity of unit shutdown due to the lowering of the voltage level on the station generator bus-bars and on bus-bars of the transit Substation of the Burshtyn CHPP - Dniester HPS to impermissible values. To provide a reliable voltage output and charge of the first power unit, it is necessary to construct a 330 kV grid in full scope, including the 330 kV TL of the Dniester HPPS - Bar. The International Bank for Reconstruction and Development (IBRD) is considering a possibility for project financing.

1.2 Environmental impact assessment of the project Requirements for EIA Environmental Impact Assessment (EIA) is part of the Ukrainian project planning and permitting procedures. Implementation regulations for EIA and Public Consultation and Disclosure are included in the Ukrainian State Construction Standard DBN A.2.2.-1-2003 (Title: "Structure and Contents of the Environmental Impact Assessment Report (EIR) for Designing and Construction of Production Facilities, Buildings and Structures"). Annex E of this standard contains a list of "types of projects or activities which constitute higher environmental risk" for which full EIA is mandatory, and the Ministry of Environment being the competent authority. Power transmission lines, substations and fiber-optic communication lines are not included in this list. However, DBN A.2.2-1-2003 prescribes that an EIA with a narrower scope (to be determined case by case) shall be undertaken for projects not contained in the Annex E list, and the local authorities of the Ministry of Environmental and local State Sanitary and Epidemiology Service (Ministry of Public Health) being the relevant authorities for the project permitting. Thus, project permitting falls into the competence of authorities. In pursuance of the requirement of the Ministry of Environment of Ukraine an EIA needs to be carried out in compliance with the provisions of the State Construction Norms DBN A.2.2.1- 2003 and the requirements of the nature protection legislation (letter dated 11.04.05, Ref. No.2496/21-10). The Ukrainian EIA implementation regulations contained in the Standard DBN A.2.2.-1- 2003 also include provisions for public consultation and information disclosure as part of the implementation of the Aarhus Convention to which Ukraine is signatory. According to the Standard, for Annex E projects (i.e. with significant environmental relevance), public hearings are mandatory, while for non - Annex E Projects only the decision on the result of the Environmental Assessment needs to be made public by the regulating authority. In compliance with the Terms of Reference (ToR) for EIA (see annex A), approved by NEC "Ukrenergo", pursuant to the approval of the representative office of IBRD in Ukraine (, 01010, Dniprovskiy Uzviz., 1) the environmental impact assessment must be performed for Category B projects, including some provisions of the Category A (Environmental Management Plan and Monitoring Plan).

5 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar < with a Reconstruction of the 330 kV Bar Substation

The impact assessment process for the Project therefore needs to comply with the Ukrainian project permitting requirements and also satisfy the requirements of the Bank.

Purpose of the EIA This EIA report is to serve as a main input for project permitting by the competent Ukrainian regulatory authorities and the environmental appraisal of the project by the IBRD for funding decision. Furthermore, the study shall form the basis for specifying the environmental provisions for engineering, procurement and construction, and operation and maintenance documents to be elaborated in the subsequent project planning steps, to ensure that the design, construction and operation of the Project will be in an environmentally acceptable manner.

1.3 Planning Process The planning of the Project was carried out in 2 stages: * Route selection for the transmission line incl. consultation with statutory stakeholders on principal routing alternatives, in 2006. * Detailed alignment and tower spotting incl. consultation with affected landowners in 2006. Route selection and tower spotting was in general governed by the approach to avoid environmental and land use conflicts.

1.4 Public Consultations Line routing decision stage Ukrenergomerezhproekt have undertaken consultation with statutory stakeholders, i.e. authorities, administrations, agencies and utilities during the first planning stage of route selection. In total about 30 different statutory stakeholders were involved. Purpose of these consultations was to receive comments and planning decision inputs on the routing alternatives developed. The comments, suggestions and planning advice incl. consent statements for the preferred route received are included in the technical planning documents (materials on the selection and approval).

Detailed alignment stage The project affected landowners (in total 21) who were approached directly (detailed alignment and tower spotting) to gain consent about the detailed line route and land requirement. The planning documents presented contain detailed (1:10.000 scale) land use strip maps which show the property plots, tower location and line route. Preliminary confirmation was received by signature from the respective land owner on the alignment strip-plan that he/she in principle agrees with the proposed alignment across the property and the land requirement for the towers and expansions of the territory of Bar Substation.

EIA scoping A Scoping document containing Project presentation and initial impact assessment was made available for information to statutory stakeholders, organizations which might have an interest in the Project incl. NGOs, and the general public.

Public Hearings on EIA results Public Hearings on the EIA's findings were held in each of the two districts affected by the project (Bar and Murovani Kurylovtsi), on 28 November 2006. 6 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> with a Reconstruction of the 330 kV Bar Substation

The comments received during public hearings and the written feedback gained from stakeholders was considered in the preparation of the present EIA document. Main issues identified in public hearing relate to: * - Impact of electromagnetic field on health, * - Impact on agricultural work activities, * - Procedure and conditions for land and property issues and compensation.

Documents related to the public hearings are collected in the Annexes F, G, H, I, J. Stakeholders, interested parties and the public have the opportunity to review the EIA report and submit comments. Copies of final EIA were made available in Vinnytsia Oblast Administration. In addition, this report is available on the websites of Ukrenergo (http://www.ukrenergo.energy.gov.ua) and World Bank Infoshop website (http://www.worldbankinfoshop.org).

1.5 Regulations and Rules applicable to the Project Preparation of this EIA Report and planning of environmental protection measures is being made by Lviv Branch of Ukrenergomerezhproekt Institute in accordance with the regulations and standards applicable to the project. The relevant regulatory framework is as follows:

Laws of Ukraine * On Protection of Natural Environment" (1991); with amendments (#3180-XII of 05.05.93; #81/96-BP of 06.03.96; #186/98-BP of 05.03.98; #783-XIV of 30.06.99; #934-XIV of 14.07.99; #1287-XIV of 14.12.99;#1288-XIV of 14.12.99; #1642-III of 06.04.00; #1807-III of 08.06.00; #824-IV of 22.05.03); * Amendments to the Law of Ukraine <> #254-IV of 28.11.02. Uryadovyi Kurier, 2003., #1; * "On Natural Reserve Fund of Ukraine" (1992); * "On Environmental Expert Evaluation" (1995); with amendments (#1642-Ill of 06.04.00; #254-IV of 28.11.02); * Law of Ukraine "On Protection of Cultural Heritage" with changes and amendments introduced by the Land Code of Ukraine No.2768-III of 25.10.01, Laws of Ukraine of 10.01.2002 No. 2921 -III, of 16.12.2004 No. 2245-IV

Regulatory Codices of Ukraine * Forest Code (1994 with amendments #1381-XIV of 13.01.00; #1458-IlI of 17.02.00; #1492-III of 22.02.00; #1712-Ill of 11.05.00; #2120-Ill of 07.12.00; #2905-Ill of 20.12.01; #380-IV of 26.12.02; #762-IV of 15.05.03; #1344-IV of 27.11.03; #2285- IV of 23.12.04; #2505-IV of 25.03.05), * Water Code (#213/95-BP of 06.06.1995 with amendments #1990-Ill of 21.09.00; #2120-III of 07.12.00; #2905-Ill of 20.12.01; #380-IV of 26.12.02; #762-IV of 15.05.03; #1344-IV of 27.11.03; #2285-IV of 23.12.04; #2288-IV of 23.12.04; #2505-IV of 25.03.05), * Land Code (2001 with amendments #2905-Ill of 20.12.01; #675-IV of 03.04.03; #762-IV of 15.05.03; #898-IV of 05.06.03; #1103-IV of 10.07.03; #1119-IV of 11.07.03; #1158-IV of 11.09.03; #1344-IV of 27.11.03; #1626-IV of 18.03.04; #1694-IV of 20.04.04; #1709-IV of 12.05.04; #2059-IV of 06.10.04; #2229-IV ofl4.12.04).

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Binding Decisions and Instructions * Resolution of the Cabinet of Ministers of Ukraine "On Approval of the Procedure for Determination of Dimensions and Limits of Water protection Zones and Regime of Economic Activities in Such Zones" of 08.05.1996, No. 486. * Resolution of the Cabinet of Ministers of Ukraine of 27.07.95 No.554 "On the List of Activities and Objects that Pose High Environmental Danger" * Instructions on the State Environmental Expert Evaluation, Kharkiv (1999); * Resolution of the Cabinet of Ministers of Ukraine of 17.11.1997 No. 1279 "On Size of and Procedure for Calculation of Agricultural and Forestry Losses Subject to Compensation" and "Procedure for Calculation of Agricultural and Forestry Losses Subject to Compensation". * "Procedure for Calculation and Compensation of Losses to Land Owners and Land Users" approved by Resolution of the Cabinet of Ministers of Ukraine of 19.04.1993 No.284

Standards and Rules * State Construction Standard DBN A.2.2.-1-2003 Structure and Contents of Materials of the Environmental Impact Report (EIR) in Designing and Construction of Production Facilities, Buildings and Structures (Kiev 2003); * Rules for Guarding of Electricity Transmission Lines (1997) [Resolution of the Cabinet of Ministers of Ukraine of 04.03.1997]; * Rules for Set-Up of Electric Equipment (2006); * State Sanitary Standards and Rules for Protection of Population from Impact of Electromagnetic Radiation (1996). * GOST 12.4.154-85 "Shielding Devices for Protection from Industrial Frequency Electric Fields" * State Construction Standard DBN D.2.6-1-2000 - "Electrotechnical Devices". * DBN B.2.5.-16-99 "Determining Dimensions of Land Plots for Power Network Installations" * SNiP 2.01.01-82 "Construction Climatology and Geophysics" * SNiP 11-12-77 "Acoustic Protection" (amended 2003) * "Technical Operation of Power Stations and Networks. Guidelines." GKD 34.20.507- 2003; * "Guidelines for Safe Use of Consumer Power Appliances" DNAOP 0.00-1.21-98). * Sanitary Norms and Regulations (DSTU) approved by the Ministry of Health of Ukraine (Order No. 476 of 18.12.2002). * DBN 360-92** "City Development. Planning of Cities and Villages" * "Norms for Technological Design of 6-750 kV AC Substations" (GKD 341.004.001- 94) approved by the Ministry of Energy of Ukraine on 5 September 1994 and implemented on 1 January 1995. * GOST 12.1.019* "Electrical Safety. General Requirements and Protection Types" * SNiP III-4-80* "Construction Safety" * "Guidelines for Lightning Protection of Buildings and Installations" RD 34.21.122- 87 * SNiP 2.01.07-85* "Loads and Impacts" * SNiP 2.03.01-84* "Concrete and Reinforced Concrete Structures" * SniP 3.03.01-87 - "Bearing and Fencing Structures" * DBN B.2.3-4-2000 ,,Motor Roads" * Fire Safety Rules of Ukraine (NAPB A.01.001-2004). 8 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) < of the project 330 kV Transmission Line of the Dniester HPPS-Bar < with a Reconstruction of the 330 kV Bar Substation

* SNiP Il-89-80* - "General Layouts of Industrial Enterprises"; * GOST 12.4.009-83 "Fire Equipment for Protection of Installations" * DBN B. 1. 1-7-2002 - "Fire Protection. Fire Protection of Construction Facilities" * "Guideline for Operation of SF6 Circuit-Breakers" (GKD 34.47.503-2004)

2. Studies of Options and Selection of the Final Route 2.1. Study of Alternative TL Routes This section contains information on the planning process, including the study of alternative routes of TL, due to which route option No. 1 was chosen (it is shown on the drawing #5054-370- 02-TI, sheet 1 in red (see Annex B). Distance between the substation 330 kV Bar and the point of insert {angle 9 (p.A) between supports #484 and #485 of TL 330 kV Ladyzhyn CHPP - Dniester HPS} of facilities of the TL 330 kV toward the Dniester HPPS as the crow flies is approximately 58 km. Three options were being studied when selecting a route of TL 330 kV between the substation and p.A. Comments and recommendations from many stakeholders and authorities were considered when selecting the final line route. Zones and objects that might be affected during the construction of TL were determined, including forestlands, rivers, ponds, etc. The chosen line route minimizes or zeroes the adverse impact upon these zones and facilities. Moreover, it lies beyond settlements located nearby. There, where it is possible, the route of TL 330 kV lies parallel to the routes of the existing TL 110 kV, which has already been constructed in this region. The basic comparative characteristics of the alternative routes are shown in Table 2.1.

Table 2.1 Comparative options of the line route

Description/Criteria Option I Option II Option III 1 2 3 4 Principle layout of the line 9-11-13-17-25-27-29-34-40 9- IOA-1 2-17-23A-26-28-33- 9-1OB- 12B-I 7-24-27B-28-33- route (numbers of turning red 33A-35A-42 33(B)-35(B)-42 angles of the route) See green blue #5054-370-02-TI, sheet I Length of the route 72,989 km 68 km 78 km Description of the route Rout I starts at the cross of Rout 11 is starting as variant I Rout IlI also is starting as Transmission Rout (TR) 330 at point A (p.9) and variant I at point A and kV Ladizhinskaya HPP- immediately turns to north- coincides with variant I up to Dniester Hydro Station with west up to p. 9A and then to p. 1 IB, from where through entrance of TR 330 kV to north where at p.13 it is straight angle tums to north Dniester PSP (point 9). Further merging with variant I. west up to p. 13B, where again it follows to the south up to Starting from p. 13 to p 23 rout turns to north east up to p. 17, 2 p.1 near Rivne village, and 11 aligns with variant 1. crossing road Myrovani- turns to west, crossing road Between p.24A and 27 rout Kirilivtsi - Rivne. From p. 17 Rivne - Yarishiv. Further turns crosses railway track and to p. 25 rout coincides with to south-west up to p. 12. In forest. Between p. 27 and 34 rout in variant 1. Between p. 25 between p. 15. and 16 rout rout two variants are the same. and 29 transmission rout crosses steep bank with Starting from p. 34 to p 34A comes close to Martinivka Karaets river. Between p. 18 rout go to the north and further Village, crossing forest and and 20 rout go between two turns to east, passing around two roads. Further up to villages Posukhiv and Antonivka village from Substation transmission line Kurashivtsi and further northern part. From p. 35A coincides with rout in variant I between p. 20 and 22 between rout turns to south-wert and (p. 29-34) and routs variant 11 villages Dolinyani and further down to south-east to (p.34-35A - Substation). Krivokhizhintsi. enter substation 'Bar'. Starting from p. 22 rout of Transmission line sharply turns to north-west up the border of Bar region and further goes between p. 23 and 23 and villages Verkhivka and 9 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> with a Reconstruction of the 330 kV Bar Substation

Maryanivka, crossing Liadova river. Between p. 25 and 26 rout follows close to Kosharinskiy forest, crossing railway track. Starting from p. 28 rout again turns to south crossing road Mateikiv-Mitki- Malchivtsi. and further turns to northwest up to p. 330 and to southwest to p. 31, following forest. From p. 31 to p. 32 rout again tums to northwest and further up to substation to northeast, crossing railway track and turns around substation in parallel to the existing TL 110 kV. Important limitations for Transmission line - variant 11 Transmission line - variant III selection of this transmission is crossing forest with the class crosses forests with the class of rout were: of Ist Bonitet- Ist level of Ist Bonitet- Ist level of forest * Minimization of cutting forest productiveness) at p. productiveness) at p. 12B-13B- trees, IOA-13, 24A-27 and 34-34a, 17, 26B-27B and 34-34B, • Selection of rout which which will require in addition which will require in addition will go around villages and to variant I cutting forests with to variant I cutting forests with settlements, the area of 6.4 ha. the area of 5 ha. • Laying transmission rout Between p. 35A-36A rout Between p. 12B-13B rout Limitations and Problematic far from archeological crosses gardens, which are comes on the distance of 50m Issues monuments/sites and private property. There is no to the buildings of Rivne natural/ecological sites. agreement with the landowners village. Between p. 35B-36B Transmission line which was of the garden to put transmission rout crosses selected, variant I is complying transmission line. gardens, which are private with above mentioned property. There is no requirements. agreement with the landowners of the garden to put transmission line. There is a need to put more tillage land for the transmission line then in variant I.

2.2 Results of the Transmission Line Route Selection Having analyzed the comments and proposals, which NEC "Ukrenergo" and "Ukrenergomerezhproekt" institute received during consultations with affected stakeholders, the Route of the option I was chosen in the sequence 9-11-13-17-25-27-29-34-40. Further planning was done on the basis of this route. After some changes and elaborations the final route was determined for the TL 330 kV with a length 72,989 km, which is shown on drawing #5054-370-02- TI, sheet I with a red line (see Annex B).

3. Description of the Project 3.1. Main Elements and Scope of the Project The project includes: * Construction of the power transmission line of 330 kV with a length 72,989 km; * Mounting of FOCL cable on the towers of TL 330 kV; * Expansion of the Bar substation and installation of additional equipment. In compliance with SNiP 1.04.03-85 - <, construction within the framework of the project will last 5,5 months, and considering the factors that complicate the construction - 6 months.

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3.2. Power Transmission Line 3.2.1. Characteristics of the Line Route The route of the power transmission line designed lies along the territories of Mogyliv- Podilsky, Murovani Kurylovtsi and Bar Districts of Vinnytsia Oblast. In terms of landscape, the area of alignment refers to the Volynsk-Podilsk elevation. The ambient locale is slightly hump shaped, marks along the axis of the TL are from 245 m to 369 m above the sea level. From the start point (p.A) the line route goes along the territory of the Khonkovtsy Village Council, farther - along the territory of the Rivne Village Council, along the automobile road N.Ushytsya - M.Podilsky, crosses it and goes farther along the border of land use on the lands of the Zherebylivka Village Council. On the territory of the Rozdolivka Village Council the line route goes on the cultivated lands along the forest tract to cultivated lands of the Popelyukhivka Village Council. On this area the line route crosses a wide and deep forest ravine with the river Karaets. On the territory of the Rozdolivka Village Council the line route crosses the automobile road as a detour of the village Perekoryntsi, then goes along the gravel road to the village Posukhiv and crosses the automobile road to the village Rozdoliv. On the territory of the Kuroshovtsy Village Council the line route is laid along the automobile road as a detour of the small village Degtyarka, crosses the road, then goes between the villages Posukhiv and Kuroshivtsi to the border with the lands of the Dolynyanska Village Council. On the territory of the Dolynyansk Village Council the line route goes between the villages Kryvokhyzhyntsi and Dolynyany up to the crossing with the automobile road to the village Mykhailivtsi along the border with the lands of the Mykhailovetsk and Dolenyansk Village Councils and to the border with the lands of Bar District. Beginning from the border of District the line route goes on the cultivated lands of the Supivsk Village Council, farther - on the territory of the Verkhivsk Village Council with the crossings of the automobile road Bar - Maryanivka and water reservoir on the river Liadova. On the territory of the Kuzmynets Village Council the line route goes on cultivated lands up to the border with the lands of the Popovtsi Village Council. On this area the line route crosses the railway - Mogyliv-Podilsky. From the crossing with the railway the line route goes through the lands of the Popovtsi Village Council, farther - through the lands of the Mytkiv Village Council to the border with the Popovtsi state forestry. On the territory of the Malchovtsi Village Council the line route goes along the border of the Zhmerynka state forestry and lands of the Mateikiv Village Council. In this area the route crosses three high-pressure gas pipelines, the automobile road Malchivtsi - Stepanky and the railway Zhmerynka - Bar. On the territory of the Mankivtsi Village Council the line route goes through the lands of the Bar forestry, farther - through the territory of the Antonivka Village Council in one corridor with the existing double circulation transmission line 110 kV Bar - Compressor station and crosses them in the area of the Bar substation. Facilities of the Bar substation are located on the lands (cottage land plots) of the Ivanovtsi Village Council in parallel to the existing 330 kV power transmission line.

3.2.2. Technical Characteristics of the TL A new power transmission line 330 kV between p.A (crossing with the existing TL 330 kV Ladyzhyn CHPP - Dniester HPS) and substation 330/110/35 kV Bar meets the technically verified Ukrainian standards (DSTU and GOST). It has the following characteristics:

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Total length of the 330 kV TL is 72,989 km. Along the line route there will be installed 267 towers, including 39 anchor and angle tension towers. Suspension towers will be mounted between these towers. It is designed that angle tension towers will be made of metal skeleton independently standing towers Y 330-3B with supports and without supports, and suspension towers - of H-frame structure FIB 330-7H with internal connections, which consist of two reinforced concrete supports and a metal traverse. Anchor metal towers Y 330-3B. and Y 33O-2BT+14 will be installed at the crossovers through reservoirs, wide ravines, etc., where the length of a span exceeds 700m, as well as at the crossing with the railway and Motor Roads of Category IA and Ib. All types of towers are similar to the towers designed at the facilities of 330 kV TL to the Dniester HPPS. 2 In compliance with DBN B 2.5-16-99 the area of ROW for a suspension tower is 52m , 2 average area of ROW for an anchor and angle tension tower - 81m . Width of a sanitary zone of the TL 330 kV is limited by size of 20m, width of the protection zone of TL (long impact of electromagnetic fields) - 30m from the outermost wire in a tense position. Together with a zone of TL 330 kV, which has a width 16m, the width of a sanitary zone will be equal to 56m, protection zone - 76m. The height of wires on the towers allows for a use of land under wires for agricultural work with the help of machinery. Detailed technical characteristics of the TL is shown in Table 3.1, infonnation on the number of towers - in Table 3.2, and a schematic depiction of standard and anchor and angle tension towers - in Picture 3-1.

Table 3.1 Technical characteristics of the TL Length of TL 72,6885 km Number of phases 3 (single chain power transmission line) Wire 2 wires AC 400/51 in a phase Cross wire cut 445,1 mm2 Grounding Vertical and horizontal grounding electrodes Grounding electrode wire cross cut 12 mm2 Insulation Glass Length of the insulation support 3,7m suspension The same referring to a stretching 5,7m suspension Suspension tower HE 330-7H - portal (<> pole) with internal connections, maximum length of a span - 405m Anchor and angle and anchor tension Y 330-3B - metal, independently standing, angle and end and towers towers for cross-overs of railway, automobile road, water barriers and ravines, where a length of a span exceeds 500 m. Foundations Pre cast, reinforced concrete Total number of towers 267 Maximum span 720 m Type of lightning guard cable TK- 1I Average length of a span 275 m Type of FOCL cable (ORLGC) AA/ACS 0/57

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Suspension tower HE 330-7H Anchor and angle tension tower Y330-3B

Picture 3-1 Layout of a suspension tower and anchor and angle tension tower

Table 3.2 Information on a number of towers Type of towers Number Type of towers Number

*Y330-3B 9 Y 330-2BT+ 14 2 *Y330-3B+5 10 HE 330-7H1 228 *Y330-31B+9 1 5 Total 267 *Y330-3Bi-14 3

3.3. Substation 330/110/35 kV Bar Site of the existing substation 330 kV Bar is at the distance 5 km eastwards from the district center - the town Bar of Vinnytsia Oblast, in the village Shyroke, at the distance 300 m from the automobile road Bar - Antonivka. Site of the substation with the automobile road of the IV-th category Bar - Antonivka is connected with an access road with solid covering with a length 460 m.

13 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

Total fenced area of the substation is 4,907 hr, area of a site development is - 3,222 hr, for a substation expansion, according to the design of 1987, 1,74 hr are reserved. It is envisaged to expand the territory of the substation in a south-westward direction at the distance 60 m from the fence for its whole width, 1,44 ha, to connect a new TL. Two substation units #9 and #10 of 330 kV outdoor switchgear shall be constructed in this territory. The rehabilitation shall be performed by way of transfer from the scheme <> to the scheme <>. In substation units #9 and #10 gas-insulated switches and current transformers shall be installed. Moreover, in the existing 330 kV outdoor switchgear, in substation units #3, #4 and #5 the switches and current transformers shall be replaced with gas-insulated ones; in 110 kV outdoor switchgear, in substation units #5, #7 and #12 and in 35 kV outdoor switchgear, the switches shall be replaced with gas-insulated ones; two ancillary buildings are designed on the existing household part of the substation. The proper placement of high voltage equipment renders it accessible and provides the possibility to perform repair and assembly works at the substation using machines and mechanisms. New power and control cables, installed in 330, 110 and 35 kV outdoor switchgear, will be laid in the existing and new cable trays. The design provides for installation of biological protective screens and devices in the 330 kV outdoor switchgear in order to protect from electromagnetic radiation. The bio-protection will be designed according to the type of the existing one in the 330 kV outdoor switchgear. The work places of the operational personnel and the footpaths shall be protected in compliance with GOST 12.4.154-85 taking into account the measurement data of electromagnetic field density of the existing 330 kV outdoor switchgear. The lightning guard of the new substation units shall be provided by installing a lightning conductor with a height 28.5 m on the 330 kV portal and two standalone lightning guards with a height 30.5m. The territory occupied by substation units #9 and #10 shall be illuminated with new floodlights with 400 W sodium-vapor lamps mounted on new lightning conductors and with the existing floodlights. The ground loop in the new substation units shall be made of a 40x4 mm cut steel strip with round steel vertical grounding electrodes, D=16 mm. The grounding step-downs from the equipment with connection to the general loop are also made of a 40x4 mm cut steel strip.

3.4. Fiber-Optic Communication Line Fiber-optic communication line (FOCL) is a cable made of 16 optic fibers, inserted into a special casing, above which a lightning guard cable is mounted (ORLGC - optic rope lightning guard cable). Thus, ORLGC cable performs a double function: lightning guards the TL and provides connection between subscribers. ORLGC is mounted on cable supports of TL 330 kV towers instead of one of the lightning guard cables. Connection of cable mounting spans is done on boundary towers (towers which limit the length of a cable) with the help of special connection couplings.

3.5. Construction 3.5.1. Organization of Construction Works Time of construction Construction of the substation and power transmission line together with the fiber-optic communication line do not depend on each other. Since the 330 kV route partially goes on a tillage and the territory of the substation, which is being expanded, it is occupied by cottage plots, the construction of the above-mentioned facilities should be carried out after completion of agricultural works in autumn and before the beginning of spring field works. Therefore, the start date and the 14 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) «UKRENERGO> of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

sequence of construction will be set forth in the main contractor's construction execution plan in accordance with the aforesaid requirements. Construction of the power transmission line together with the mounting of FOCL cable and construction of substation units and replacement of the equipment in the substation may be performed simultaneously.

Construction Materials Mostly prefabricated units and elements will be used during construction, such as reinforced concrete foundations, re-enforced elements, steel reinforced concrete towers, portals, steel elements, sections or parts of steel towers or portals, wires, conductors, substation equipment. Materials for the construction of the foundations of metal towers of line and posts of reinforced concrete supports will be brought also from other regions (soil, gravel and sand mixtures, crushed stone). No borrow pits are planned to be developed along the line route. For the project there will be no new construction material borrow sites. All materials for concrete generation and backfill with gravel and sand etc. will come from existing licensed open pits. Soil will not be brought onto the territory of the substation, organization of a relief is done in half-pit - half-backfill, i.e., the soil from the pit will be moved into the backfill.

3.5.2. Transmission Line Construction The line construction will be carried out in accordance with the work process schedule and instructions developed by Orgenergostroy Institute, and according to SNiP 3.05.06-85 "Electrotechnical Devices". It is planned to establish several temporary construction facility sites and storages for material and equipment in compliance with the "List of temporary buildings and facilities" (the list of temporary buildings and installations is included in the construction management plan elaborated by the general designer). Special assembling and erection sites are planned for some tension towers. Tower foundations are prefabricated and have a mushroom shape. They are put into excavated holes with the help of a crane. Reinforced crossbars are mounted on the foundations when necessary.

3.5.3. Construction of the Substation To construct two new substation units and replace the existing equipment in the substation, similar structures are accepted with the existing ones: line and busbar portals BPC 330 kV are designed from reinforced concrete centrifuged posts CL>, foundations for the equipment BPC - from reinforced posts YCO, cable trays - from reinforced elements YFBK. Posts of gas insulated switches are steel, prefabricated by a firm that supplies switches, and are fixed on monolithic reinforced concrete foundations. Posts of CLUl- of line and busbar portals are fixed in soil in mechanically excavated holes on foundation reinforced concrete plate with an arrangement of stays. Tower posts for the rest of the substation equipment are erected into drilled holes without stays. Foundations of ancillary buildings are made of reinforced concrete piles with an arrangement of a monolithic grillage and laying of foundation blocks; walls - from silicate bricks for an application of trowel works, roof is hipped, roof covering is metal tiles. On a non-constructed territory of the substation or directly next to it, a temporary site for construction purposes is organized.

3.5.4. Fiber-optic communication line 15 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

Mounting of ORLGC of fiber-optic communication line is done similarly to the mounting of lightning guard cable after the erection of towers into the designed position. ORLGC is mounted on the cable post with the help of line rib-bar, designed for the mounting of lightning guard cable and special line rib-bar of the firm <>. On boundary towers ORLGC are mounted with a reserve to provide for a possibility of connecting it in the coupling, whose cable connection is performed under the tower in the special laboratory. Couplings are inserted into metal casings, which are fixed on the towers at the height not less than 10 m with the help of special fittings.

3.5.5. Construction Equipment For the performance of construction and assembly works on the construction of facilities, which are envisaged by a design, certain construction machines and mechanisms should be used. Main contractor for the construction of facilities shall be determined based on tender results made public by NEC "Ukrenergo". Below is an approximate list of machines and mechanisms necessary for the performance of construction and assembly works. Main contractor's equipping with construction machines and mechanisms, their quantitative and qualitative composition may deviate from the shown list.

Equipment for transmission line works For an excavation of holes for foundations of metal towers, excavators with a scoop volume 0,63 m3 are used, for a drilling of bores for posts of suspension towers - drilling and crane machines. Backfilling of foundations is done by a bulldozer. Territory planning near towers is done by a wheeled excavator. If necessary, sub-surface pumps are used for drying holes and bores. Assembly of metal supports into a lattice structure, laying of mushroom-shaped foundations into holes, loading and unloading of structures and materials is done by automobile cranes of different loading capacity. Installation of metal towers upon foundations shall be done by two tractors with winches and falling jib, or with the help of two tractors with winches and automobile crane, depending on the erection technology applied. Mounting of wires and lightning guard cable is done with the help of winches installed on caterpillar tractors and special shunts, on which drums with wire or cable are installed. Cable and wire stringing in spans is done with mounting winches. Wire fixing on towers is performed with the help of telescopic towers. For a transportation of construction materials and structures, board trucks are used, for reinforced concrete posts CLUl - special machines - post carriers. Dump trucks are used for the delivery of loose materials and soil. Moreover, compression units are used for the connection of wires, self propelled maintenance stations and mobile heating and lightning units and mobile shops are used for servicing the construction equipment on the line route, bush cutters, petrol saws and timber carriers are used for glade clearing. Transportation of workers to the work place is performed with the help of special cross- country vehicles, equipped for passenger transportation. The list of equipment necessary for construction and mounting works is shown in Table 3.3.

16 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> with a Reconstruction of the 330 kV Bar Substation

Table 3.3 Demand for construction equipment and vehicles Denomination Type, mark Number, pcs. Drilling machine MPK-750A 1 Bulldozer JL-535 1 Bulldozer - excavator - loader, capacity 0,15 m3 lBopeKc-3106 1 Excavator, capacity 0,63 m3 30-4321A 1 Caterpillar tractor with a winch JI-lOF T-13OMF-I 2 Load lifting automobile crane 16t KC-4574 1 Load lifting automobile crane 6,3t KC-2561 1 Telescopic tower TB-26, 1 Board truck KPA3; 3H1JI 5 Dump truck KAMA3-5511 5 Timber carrier with a shunt MA3-509A 3 Bush cutter ,F1I-24 I Brigade truck (base car - FA3 66-01) I3MJ1-66M 2 Tower carrier CJI - 26/2 2 Welding unit T,M-315Y2 1 Compression unit YlI-320 2 Self propelled maintenance station CCTO-IA 1 Cross country vehicle YA3-3303 1 Mobile heating and lightning unit AO-301 1 Mobile shop HPM-5A 1 Petrol saw Taiira-214 4 Water pump FHOM 10-lOT 4 Manual mounting winch TJI - 2A 2 Electric nutrunner 143-3112A 3 Electrical rammer C-690 4 Note: Quantity of construction and mounting equipment (column 3) is shown for one brigade

Equipment for the construction of the substation Excavators with a scoop volume 0,63m3 are used for digging holes for monolithic foundations of gas insulated switches, for supports of line and bus-bar portals, drilling and crane trucks are used for drilling bores for the rest of supports. Bulldozer is used for the arrangement of pit and backfill, automobile graders - for territory planning, soil rolling - single-drum wheel-drive rollers. Backfilling of foundations with soil and territory planning after the completion of construction and mounting works are performed by a wheeled excavator. If necessary, subsurface pumps are used for drying holes and bores.

17 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar <

Assembly of metal traverses into a latticed structure, erection of posts into holes and drilled bores, loading and unloading of structures is performed by automobile cranes of different loading capacity. Mounting of a jumper on the outdoor switchgear of the substation is performed with the help of winches and telescopic towers. Reinforced concrete piles for foundations of ancillary buildings are hammered with the help of vibration deepener of piles, and automobile cranes are used for the construction of walls, roof. Solvent mixers, solvent pumps, paint application units, parquet polishing machines, etc., are used for finishing works. Board automobiles are used for the transportation of construction materials and structures, for CLFI posts - special machines - post carriers. Dump trucks are used for the delivery of loose materials. Compression units are used for the connection of wires, self propelled maintenance stations and mobile shops are used for servicing the construction equipment. Transportation of workers to the work place is done by special shift buses. The list of equipment necessary for construction and mounting works is shown in Table 3.4.

Table 3.4 Demand for construction equipment and vehicles Denomination Type, mark Number, pcs.

Drilling machine MPK-750A I Bulldozer AJ-535 2 Bulldozer - excavator - loader, capacity 0,15 m3 bopeKc-3106 1 Excavator, capacity 0,63 m3 30-432 IA I Load lifting automobile crane 16t KC-4574 1 Load lifting automobile crane 6,3t KC-2561 1 Telescopic tower TB-26,A 2 Board truck KPA3; 3HJI 5 Dump truck KAMA3-5511 4 Vibration deepener of piles CI1-49B 1 Shift bus H3AC-3964 2 Post carrier CJI - 26/2 1 Welding unit T,aM-315Y2 2 Compression unit YH-320 2 Self propelled maintenance station CCTO-IA 1 Mobile shop HPM-5A 1 Water pump FHOM 10-lOT 2 Manual electric winch liM-lM 2 Manual mounting winch TJ - 2A 2 Electric nutrunner 149-3112A 2

18 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) < of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

Electrical rammer C-690 2 Solvent mixer P=2 m3 /hour CO-46 1 Solvent pump P=2 m3/hour CO-29 1 Paint unit P=3,6 1/min 2600H 2

Paint application unit P=50 m 2/hour CO-74 1 Parquet polishing machine P=60 m2/hour CO-60 1

Equipment for the construction of FOCL The same equipment that is used for the mounting of lightning guard cable when mounting the FOCL (ORLGC) cable, although for stringing the ORLGC through rolls, a special haulage and brake machine of the firm <> is used.

4. Anticipated Environmental Effects 4.1. Potential Environmental Relevance of the Project Type In the Ukrainian EIA Standard, electricity transmission lines are not included in the list of types of activity and facilities, which present an increased environmental hazard. The operation of electricity transmission lines 330 kV with a mounted instead of one of the lightning guard cables of fiber-optic communication line and substation equipment under normal and extreme conditions does not produce waste and does not cause particulate or liquid emissions to the environment, and does not result in non-reversible or critical changes in atmo-, hydro-, lithospheres. In the following the anticipated main environmental effects of the Project are listed. The evaluation of the environmental impacts will consider the impact of the project structures as well as the impacts during construction and operation of the transmission line, substation and FOCL.

4.2. Electrical Transmission Line and Fiber-optic communication line The project envisages all the required measures to ensure that during the construction of the new 330 kV transmission line and mounting on the towers of FOCL cable instead of one of the lightning guard cables the affect of factors, which might cause an impact upon the environment, be lowered:

Physical structure of the line * Permanent land requirement for tower locations; * Temporary land requirement for the corridor along the TL route for mounting wires, lightning guard cable and FOCL cable; * Potential land use limitations in the line corridor; * Safety, free space and right of way corridor clearance requirements, * Visual appearance of the line and visual change into landscape; * Potential hindrance to bird routes.

Line construction: * Transport and temporary storage of materials * Foundation, assembly and erection of towers Conductor stringing

19 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <«UKRENERGO>> of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

Line operation: * Low-frequency electro-magnetic fields in sanitary zone * Corona noise emissions * Effects of potential operation disturbance, accidents and natural disasters

4.3. Substation It is necessary to carry out the expansion of the territory with the construction on the 330 kV Bar substation of substation units 330 kV for the line connection of 330 kV from the Dniester HPPS. Area of the site required for the expansion of the substation is 1,44 ha Potential environmental relevance's are: * Permanent land requirement for substation expansion; * Temporary land requirement for construction purposes; * Installation of new equipment; * Accidental disturbance of operational mode; * Emergencies and acts of God.

5. Environmental Baseline Conditions 5.1. Geology and Geomorphology In geo-morphological respect the 330 kV line route passes within two geo-morphological regions: Mogyliv - Podilsky Prydnistrovsky plain and Khmelnytski plateau. Mogyliv - Podilsky Prydnistrovsky plain (southem part of the route) is characterized by deeply divided forms of a relief with a variation of absolute marks of the relief 245 - 285m above the sea level. The characteristic feature for the given region is an extensive development of erosion processes (dense network of ravines and gullies). Depth of erosion division reaches 150 - 200m. Khmelnytskyi plateau (northem part of the route) is characterized by hunch-like and wavy shapes of the locale with a variation of absolute marks of the relief 285 - 360m above the sea level. The characteristic feature for the given region is a formation of wide gullies, cut in the rocks by cenosite and development of movement processes on the slopes of the valleys of the rivers Karaets, Zhvan, Liadova and Nemiya. In tectonic respect the territory of route is within the Southem and Westem slopes of the Ukrainian crystalline shield. Due to the deeply divided relief, the rocks of the crystalline foundation (granite - gneiss) are de-layered in boards of the valleys of the rivers Dniester, Nemiya, Liadova and Murafa. Crystalline foundation lies here at the depths exceeding 1OOOm. In geological respect in the surveyed region of line route the rocks of Archae, lower Proterozoic, Age of Reptiles and Age of Mammals prevail. These are granites, crystalline slate, argillites, siltstones, sandstones, limestone, clays with the total width from 25-40m to 1000-1500m. Quatemary rocks are represented by Aeolian - alluvial - dealluvial and alluvial loamy soil, clay sand, sand with the width from 1,5-2,Om to 10-15m. Flashes of the 1 st type are characteristic for loamy soil.

5.2. Soils and subsurface In the line route zone common black soils, carbonated, medium clay are developed with the width up to 0,7m with the content of humus up to 6-8% with the following characteristics: density - 1,00-1,75g/cm3; the least moisture ratio - 35,0%; moisture efficiency ratio - 52-65%. The indicated soils are used for the plantation of agricultural products, such as wheat, barley, sunflower, rape, vegetables, etc. 20 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) < of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

Meadow and black soil with a width up to 2,0 m prevail in the composition of soil covering of river water meadows. They lie on flooded and over-flooded flood plains of river and stream benches, which the line route crosses. Development of solonets and solonets-like soils is not evident along the line route. There are separate lowered saucer-like areas, the so-called <>, where over-moistened slightly solonets soils with sodium - chloride - natrium type of salting are developed.

5.3. Ground Waters In hydro-geological respect the following water bearing horizons and complexes are evident along the line route: - Water bearing horizon of modem alluvial and alluvial and deluvial deposits of flood plains and bottoms of gullies Water containing rocks and sands with inclusions of gravel, pebble, pieces of crystalline rocks and limestone, which contain layers of loamy soil and clay sand with a width of water containing deposits of 5-7m. Deposit depth of a water-bearing horizon does not exceed 2-3 m from the daily surface. On flood plain areas of small rivers and on the bottoms of gullies the level of a deposit of a water-bearing horizon is 0,6-1,5m. Water-bearing horizon is without a pressure. By their chemical composition, the waters of alluvial deposits are mainly hydrocarbonate - calcium - magnesium with a mineralization level from 0,3 to 1,0g/1 and with a value of general hardness from 3 to 10mg.eq/1, sometimes 15,7mg.eq/1. Waters are slightly alkaline, more rarely neutral (pH - 7,1-7,5), hydraulically connected with the waters of a fracture zone of crystalline rocks (sandy and clay zones of the Neogene). - Water bearing horizon in sarmat deposits of the Neogene This water-bearing horizon refers to the fracture zone of limestone and small-grained sands with layers of clay and marl. Width of the water-bearing horizon varies from 3-10 up to 20-30m. For the most part waters are without pressure, in some places pressure can be observed, whose value varies from 1,0 to 10,2m. Well yield varies from 0,1 to 0,71/sec. Waters are mainly hydrocarbonate - calcium, more rarely hydrocarbonate - sulfate - sodium. Mineralization varies from 0,3 to 0,7g/l. Feed-in of the water-bearing horizon takes place due to the infiltration of atmospheric precipitation in places of shallow deposits of sand and limestone and due to the in-flow of fracture waters from the crystalline rocks of the Pre-Cambrian. Annual amplitude of fluctuations of water level horizons varies between 0,5 up to 1,2m. - Temporary water bearing horizon of the type "ablet" ("verkhovodka") This water-bearing horizon is formed due to atmospheric and surface waters and lies on water resistant layers or in the so-called lenses of loamy soil and clay on the fractured covering of marl, sandstones and limestone. > lies hypsometrically above the level of ground waters. The relief of the locale significantly impacts its formation. On steep slopes <> is absent or exists for a very short time. It is formed mostly in the forest like or alluvial and diluvial loamy soil. The level of the <> in natural conditions sharply varies depending on the quantity of atmospheric precipitations, duration of rainy period, humidity, air temperature. Well yields that operate this horizon are insignificant and do not exceed 0,01-0,051/sec. In dry period of the year wells become dry. By their chemical composition waters are mostly hydrocarbonate, more rarely - hydrocarbonate - sulfate, slightly mineralized (up to 1 g/l). The protection of water resources including groundwater is governed by Water Code of Ukraine.

21 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

5.4. Surface Waters The 330 kV line route designed crosses two ponds on the rivers Rov and Liadova, as well as about twenty gullies, and streams.

5.5. Climate and Ambient Air Quality Climate of the region where design facilities are located (TL 330 kV Dniester HPPS - Bar and substation 330/110/35 kV Bar) is moderately continental, is characterized by warm, quite humid summer and relatively short, not rigid winter. The prevailing north - western movement of air brings cloudy and rainy weather in summer and significant warming and thaws in winter. Average yearly level of precipitation is 565-575 mm. During the year a fallout is divided unevenly, the largest amount of precipitations coincides with summer months. Strong winds are most frequently observed in autumn and winter period. Maximum air speed was many times observed at 16-20m/sec, sometimes gusts of wind reached 34m/sec. These winds were accompanied by rain, sleet, ice covered ground. Ice covered ground, hoarfrost, sleets are observed during the period November - March, less often in October and April. Average number of fallout with glazed frost is 16 in a year. Duration of glazed frost build-up is in average about 5 - 8 hours. Average yearly air temperature is plus 7,5°C, maximum - plus 40°C and minimum - minus 34 0C. Snow cover appears at the end of November and melts at the end of March. Average height of the snow cover is 20 cm, maximum - 50 cm. Average depth of ground freezing is 45 cm, maximum - 85 cm. Thunder days in the given region are observed from March to October, most intense - in summer. Average yearly number of days with lightning is 30-33. Duration of lightning is in average 70-83 hours a year.

5.6. Flora, Fauna and Habitats Fauna and habitats Animal world of surface ecosystems is studied by the Institute for Zoology named after I.I. Smalzgauzen of the National Academy of Science of Ukraine (01601, Kyiv, B. Khmelnytsky Str., 15). A significant number of insects, which take part in the soil formation, plant pollination, extermination of insects - pests of plantations and forests, are feed objects of birds and animals, was registered in the area of construction of the 330 kV TL. A number of them are quite rare, and some are registered with the Red Book of Ukraine. A number of pests were revealed, but they, except for a Colorado beetle, are not numerous. 88 species of birds were discovered, which refer to near water, water-swamp, tree-bush and field complexes. In general ornithological fauna is quite rich, 72 species of birds were revealed in nest period. Species, registered with the Red Book of Ukraine. Two types of species are nested in the region where construction of transmission line will be performed: 'Endromis Berezoviy' (birch silkworm) - Endromis versicolora - which is an insect of squamuliform wings, which is inhabiting young mixed forests, especially in birch forests and sometimes in bushes close to birches along rivers. 22 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) < of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

* 'Beetle Pustelnik' - Osmoderma eremite - which is a insect with firm wings, which inhabits deciduous forests (oak with addition of poplar, pussy-willow, apple-tree, pear-tree, sedge and other trees) and is preferring to be close to old trees with hollows. Fauna complex of mammals is represented by the combination of northern (forest) and southern (steppe) species, which is typical for the surface fauna of Podillya in general, which became very poor as a result of forest zone landscape transformation. In total, the fauna of mammals is represented by 30 species. Species, registered with the Red Book of Ukraine, are determnined, but the existence of some of them may not be excluded, in particular a steppe polecat (Mustela eversmanni) and two wing bats (Vespertilio murinus). On the territories were the 330 kV transmission line passes and the expansion of the 330 kV Bar substation is carried out, there are several species of animals and birds. According to the data from Institute of Zoology (see. Annex 0) - for environmental impact assessment of the Project on animal and bird species, it is required to carry out a field investigation, which are possible to do in string of 2007.

Vegetation and plant species Plant world of surface ecosystems is studied by the Institute of Botany named after M.G. Kholodny of the National Academy of Science of Ukraine (01601, Kyiv, Tereshchenkivska Str., 2). In the area of 330 kV TL construction and expansion of the Bar substation, due to the intensification of commercial activity, the main type of vegetation and forests are preserved as small islands between agrophytocenoses and settlements, which is also typical for the whole plain part of Ukraine. Despite the man-caused transformation of the flora in the area of facilities' construction, its biological diversity has quite a significant phytogenous fund - more than 800 species of vascular plants, among which 18 plants are registered with the «Red Book of Ukraine») and the <

Territories and objects of the natural preserve fund There is a number of territories and objects of the natural preserve fund in the area of location of the construction facilities. A list of these objects within Mogyliv-Podilsky, Murovani Kurylivtsi and Bar Districts of Vinnytsia Oblast is shown according to the data of the Institute for Biology of the NAS of Ukraine and the Chernivtsi State University (1994). I.Nature preserves of the state signiificatice - «Grabarivsky>> - landscape, area 487 ha, Yurkovtsi forestry of Mogyliv-Podilsky District. - <> - botanical, area 265 ha, village Sadkivtsi of Mogyliv-Podilsky District. - >- botanical, area 373 ha, Yurkovtsi forestry of Mogyliv- Podilsky District. 2. Reserves of the local significance

23 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <» of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

- <> - botanical, area 63 hr, Kotyuzhanske forestry of Mogyliv-Podilsky District. 3. State nature preserves - <> - botanical, area 20 ha, village Nemerche of Murovani Kurylovtsi District. - Tract <> - botanical, area 18 ha, Murovani Kurylivtsi forestry. - Tract <> - botanical, area 5,7 ha, Murovani Kurylivtsi forestry. - <> - botanical, area 24 ha, village Druzhba of Murovani Kurylivtsi District. - <> - botanical, area 109 ha, Murovani Kurylivtsi forestry. - Outcrop of the Grushansky formation - geological, area 0,5 ha, right bank of the river Murafa, village Grushka of Mogyliv-Podilsky District. - Sandstones of Bernashivka - geological, area 0,5 ha - outcrop of the rocks of the Zaroshevks formation of the Pre-Cambrian period, south-northern border of the village Bernashivka of Mogyliv-Podilsky District. 4. Nature preserves of the local significance - <> - area 0,06 ha, Murovani Kurylivtsi forestry. - > - area 0,15 ha, Yurkovtsi forestry of Mogyliv-Podilsky District. - <> - area 180 ha, Murovani Kurylivtsi forestry. - Spring <> - area 0,01 ha, village Nemerche of Murovani Kurylivtsi District. - Spring - area 0,01 ha, village Mykhailivtsi of Murovani Kurylivtsi District. - Kukavski springs - (2 items), area 0,02 ha, village Kukovka of Mogyliv-Podilsky District. - Springs <> - (7 items), area 0,07 ha, village Serebriya of Mogyliv-Podilsky District. - Spring <> - area 0.01 ha, village Yaruga of Mogyliv-Podilsky District. - Spring <> - area 0,01 ha, village Kukovka of Mogyliv-Podilsky District. - Spring <> - area 0,01 ha, village Kukovka of Mogyliv-Podilsky District. - Upper Proterozoic sedimentation rocks - area 1.0 ha, village V.Olchedayiv of Murovani Kurylivtsi District. - <> - area 0,5 ha, village V.Olchedayiv of Murovani Kurylivtsi District, left bank of the river Liadova, on the southern boundary of the village. - Pechery - (7 items), area 1,0 ha, village Nagoryany of Mogyliv-Podilsky District. - Senomanski limestone - area 1,0 ha, village Yaryshiv of Mogyliv-Podilsky District. - Senomanski limestone - area 1,0 ha, village Bronnytsya of Mogyliv-Podilsky District. - Upper Proterozoic sedimentation rocks - area 1,0 ha, village Yaryshiv of Mogyliv- Podilsky District. - Proterozoic sandstones - area 1,0 ha, village Ozarentsi of Mogyliv-Podilsky District. - Senomanski limestone - area 1,0 ha, village Kreminka of Mogyliv-Podilsky District. - <> - area 0,5 ha, village Bronnytsya of Mogyliv-Podilsky District. - <> - area 0,5 ha, village Lomaziv (slopes of the ravine on the bank of the river Liadova) of Mogyliv-Podilsky District. - <> - area 0,5 ha, village N.Olchedayiv (open pit mine on the right bank of the river Liadova) of Mogyliv-Podilsky District. - Yaryshiv formation - area 0,5 ha, village Yaryshiv (western boundary of the village) of Mogyliv-Podilsky District. 5. A +rchitecturalmontuments of the naturepreservefund The vast majority of the territory and objects of the nature preserve fund is located far beyond the impact zone of the 330 kV TL and 330-kV Bar substation. Projected Regional Landscape Reserve <> with the area about 520 ha, part of which s located alone Dniester river along Zhvan village of Murovani Kurylivtsi District and Serebria village of Mogilev-Podilskiy region. Territory of this park is picturesque and has rare species of flora and rare groupings, to which feather grass areas belong. Establishment of the preserve has 24 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <» of the project 330 kV Transmission Line of the Dniester HPPS-Bar <

5.7. Land Use and Physical Planning The characteristics of the land use under the line route are presented in the following Table 5-1. In order to avoid possible obstacles to the construction, it was coordinated with and approved by organizations that provided information about the existing objects along the line route as well as organizations that plan development of the region.

Table 5.1. Land use along the line corridor Line length Land use under the line of Distance to the nearest Infrastructure on/along along the this section, km town, village, km the route territory of the region between... Mogyliv-Podilsky District Angle #9 tillage - 2,938 pasture - 4,037 8,392 km forest - 0,677 Rivne - 1,4 plantation - 0,204 Zherebilivka - 1,7 motor roads - 1 garden - 0,412 Irakliyvka - 1,4 boundary of the non-estates - 0,124 area Murovani Kurylovtsi District boundary of the tillage - 20,360 Druzhba - 1,2 motor roads - 5 area pasture - 4,430 Bilyany - 1,0 connection cable - 9 forest - 0,540 Perekoryntsi - 0,3 TL 35 kV - 1 plantation - 0,434 Rozdolivka - 1,8 TL 10 kV - 5

25 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

garden - 0,500 Posukhiv - 0,4 communication line - 2 27,189 km non-estates - 0,624 Kurashivtsi - 0,5 FOCL cable - 1 bushes - 0,135 Kryvokhyzhyntsi - water duct - 1 clearing - 0,052 0,3 pasture with trees - 0,070 Dolynyany - 0,3 boundary of the swamp - 0,044 area Bar District Supivka- 1,6 Gubachivka - 1,5 boundary of the tillage - 30,617 Maryanivka - 0,7 area pasture - 2,875 Prymoschanytsya - forest - 1,717 a, n motor roads - 7 plantation - 0,124 Martynivka - 1,4 railway - 2 non-estates - 0,561 ryntSi - , TL llOkV-2 buhs-045 Mytky - 0,6 TL 35 kV- 2 37,4075 km swamped area -0,109 Mateykiv -01,2 TL 10 kV- 6 pasture with trees -0,096 Malchivtsi - 0,4 TL 0,4 kV - 4 land plots - 0,3215 Stepanky - 1,5 o -Ulyanivka - 0,8 boundary of the reservoirs - 0,512 Mankivtsi - 1,1 area Mizhlissya - 1,7 Glynyanka - 0,5 Shyroke - 0,8 Total 72,9885

5.8. Landscape and Scenery Three main types of landscape may be found in the area of line route: 1. Mogyliv-Podilske Prydnistrovya, which is characterized by a deep fragmentation of the relief. The locale takes on features of a mountain type. Water shedding country between rivers resembles narrow ridges about 5 km wide, round slopes reach the foot of valleys, sometimes ending in separate ledges. Agricultural fields in the form of narrow strips are squeezed in ravines and gullies. Fields are separated one from the other by forest belts of significant length. 2. Plain is with a development of wavy - hunch like fomns of the relief, which in general is of great significance, especially for agriculture. 3. Urbanized landscape is represented by villages, motor roads and railway intersections. Artificial and natural obstacles that influenced the choice of route altematives were villages, towns, cottage land plots, small rivers, gullies and wide canyon like valleys of rivers, as well as the regional ecological corridor along the river Liadova, Myrafa and Riv, as well as objects of natural- preservation fund, where the closest one is located on the distance of 800m from transmission rout (angle 15-16).

5.9. Cultural Heritage and Archeological Sites

State Department of Culture Protection of Vinnitsia Oblast and the Department for Culture and Tourism of Vinnytsia Oblast State Administration, and archeological assessment are done by Podillya Branch of Salvage Archeological Service, Archeological Institute, National Academy of 26 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> with a Reconstruction of the 330 kV Bar Substation

Science of Ukraine. According to expert assessment of Podillya Branch of Salvage Archeological Service, Archeological Institute, National Academy of Science of Ukraine and letter from the Department for Culture and Tourism of Vinnytsia Oblast State Administration, near transmission rout 330 kV (angle 24) near borders of Maryanivka village of Bar Oblast (on the distance from transmission rout over 700 m) there is a need to carry out archeological investigation of archeological monument - settlement of Chemiakhivsk culture III-IV centuries to present day (see annex M,N). In general, selected transmission rout 330 kV is agreed with above mentioned institutions.

6. Environmental Impact and Mitigation Measures 6.1. Impact Assessment Geology and Geomorphology Impacts from Construction For the Project, it is not planned to open pits or quarries in the immediate vicinity of the substation sites, all materials for the construction being transported from other locations.

Impacts from Physical Structures of the Project There are no geological deposits of commercial interest within 2 kilometers from the line route or the substation.

Impacts from Operation and Maintenance No impact on geological or geomorphologic aspects is expected from operation and maintenance of the transmission line or the substation.

Mitigation Measures None required.

6.2. Impacts on Soil and Subsurface Impacts from Construction The temporarily working strip needed for tower construction will be 20 m wide according to the technical standards. According to DBN B.2.5-16-99, the width of a temporary strip for conductor unwinding, lightning guard cable and FOCL cable is 14 m. In addition, a temporary construction site will be necessary with the size of 250 m2 for each suspension tower and 550 m2 for each angle tower. An area of 110.028 hectares will be necessary for the construction of the line. During the reconstruction of the 330 kV Bar substation, it is necessary to allocate for temporary use about 0,6 ha of land for the location of the utility and storage zone. Measures for the collection of oil products with pallets, which might be accidentally spilt during the required repair of construction equipment are envisaged on the line route. As the majority of the line route is under agricultural use with heavy machinery, the risk of soil compaction from construction works for the transmission line is considered negligible as the machinery used for construction will have similar impact magnitude. The risk of erosion is limited to the spots were towers are assembled and installed.

Impacts from Physical Structures of the Project The impact of the designed facility on the soil condition occurs in withdrawal of some areas of arable land for permanent use for the overhead transmission line. Sizes of permanently withdrawn plots are deternined by standards for various types of towers (see Section 3.2.2.). Total 27 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> with a Reconstruction of the 330 kV Bar Substation area of plots subject to withdrawal for towers of a 330 kV overhead transmission line is 2,942 ha, including: * 1,502 ha for the line suspension towers * 1,44 ha for the expansion of the 330 kV Bar substation.

Impacts from Operation and Maintenance No impacts on the soil are expected during operation and maintenance of the new facilities. Contamination of the soil from transformer oil leaking from autotransformers and transformers installed at Bar substation is not possible because the substations are equipped with emergency oil catchers that direct oil leaks to a hermetically sealed oil collector. The new equipment, which will be installed at the Bar substation, does not comprise harmful substances line PCBs or others, which might leak into the soil.

Mitigation Measures The about 0.4 m thick fertile layer will be removed from the plots in advance and stored for re-vegetation and planning after land withdrawal for the substation and erection of towers. Part of fertile soils will be stored on the territory of the substation for the restoration of sites after construction, and part of soils will be used for the improvement of less fertile soils at other locations. Slopes of tower foundations and the territory of the substation free from construction will be secured by sowing grass.

6.3. Impacts on Ground Water Impacts from Construction No significant impacts on groundwater are anticipated. Even in areas with relatively high groundwater table (near river banks), construction works will comprise only excavation of shallow holes (up to 3 m) for foundations of metal towers and for posts of reinforced concrete towers (up to 4 m). No extensive groundwater pumping for draining excavation pits will be necessary.

Impacts from Physical Structures of the Project The structures, which are placed into the ground for foundation purposes, are only limited in size. They reach into the groundwater only in the estuary lowlands and valley bottoms. However, foundations of floodplain towers are separately located far from each other. In estuary valleys they are standalone and relatively small objects. As such, they do not interfere with hydrodynamic groundwater flows.

Impacts from Operation and Maintenance No impacts on groundwater are expected from operation and maintenance of the transmission line and the substation. The new equipment, which will be installed at the substation does not comprise harmful substances line PCB's as cooling oil or other, which might leak into the groundwater.

Mitigation Measures No specific mitigation measures are required. From construction activities no particular risk for groundwater arises, provided that fuel and lubricants are stored and handled with diligent care. When purchasing new cooling oil for transformers, procurement experts should prohibit purchase of oils containing PCB's.

28 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar < with a Reconstruction of the 330 kV Bar Substation

6.4. Impacts on Surface Water Impacts from Construction The route of 330 kV overhead transmission line is laid directly across all the water bodies. The conditions of intersections are regulated by the Rules for Set-Up of Electric Equipment. The distances between the towers and the edges of water bodies are specified in Table 6.1.

Table 6.1 Distance between the Towers and the Edges of Surface Water Numbers of Horizontal distance sections Water bodies crossed by the between the center of between angle transmission line tower and the water towers body, m 15 - 16 the Karayets River Y 330-2BT+14 #94 265 17-18 unnamed brook FB 330-7H #114 118 19 - 20 unnamed brook rll 330-7H #125 159 19 - 20 unnamed brook HE 330-7H #127 107 23 - 24 pond on the Liadova River HE 330-7H #189 24 24 - 25 unnamed brook FM 330-7H #201 181 27-28 unnamed brook HE 330-7H #227 42 31-32 the Murafa River Fb 330-7H #267 130 35-36 unnamed brook [lb 330-7H #287 65 36-37 pond on the Riv River I) 330-7H #297 65

No negative impact on the water bodies is anticipated from the transmission line construction activities, as boats will be used to cross the water bodies during the construction, in particular during installation of the wires (mounting of the lightning guard cable and ORLGC) over the rivers and ponds.

Impacts from Physical Structures of the Project The route of transmission line is laid with observance of required distances to surface waters, defined as: Airspace over the surface of a water body limited with vertical planes distant from the outermost wires on both sides, provided that they do not deviate from verticality. For un-navigable rivers, which are the water bodies crossed by the route of transmission line under consideration, the width of such space equals the overland protection zone of TL. As to environmental protection, the transmission towers will not have any negative impact directly on the regime and quality of water resources and on the regime of waterworks related in any way to multipurpose use of such resources. The transmission towers will neither disrupt the sustainable regime of floodplain deposits, nor scour the floodplains. In accordance with Article 85, par. 8 of the Water Code of Ukraine and Resolution of the Cabinet of Ministers of Ukraine "On Approval of the Procedure for the Use of Land Belonging to Water Resources" dated 13 May 1996, No. 502, it is not forbidden to construct linear installations within the boundaries of water bodies. The intersections and juxtapositions of transmission line with the water bodies are regulated by the Rules for Set-Up of Electric Equipment. The angle of intersection is not regulated. The spans of transmission line at intersection with water obstacles are specified in the design on a case-by-case basis.

29 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

The shortest distance between the sagging part of wires at higher temperature and the water surface is accepted as 7.5 m in accordance with Table 2.5.30 of the Rules for Set-Up of Electric Equipment dated 2006, Association of Power Enterprises, "Branch Reserve and Investment Energy Fund".

Impacts from Operation and Maintenance No impacts on surface water are expected from operation and maintenance of the transmission line with FOCL cable and the substation.

Mitigation Measures The route of transmission line is laid with observance of required distances to the surface of water bodies. No negative impact on surface water is foreseen, provided application of proper construction and economic activity methods at the construction site.

6.5. Impacts on Climate and Air Impacts from Construction In the process of construction, short-term local impact on air will occur in a form of dust, which may be generated in the working areas during the use of construction equipment in the dry period of spring, summer, or autumn.

Impacts from Physical Structures of the Project The physical structures which will be erected for the power transmission line and for rehabilitation of the substation will be minor in dimensions and therefore will not have any impact on the currents of air or on the local motion of air masses.

Impacts from Operation and Maintenance No air pollution, e.g. with gasses, sprays, etc., is expected from operation and maintenance of the transmission line. Corona discharges around the wires may cause minor ionization of air. Rehabilitation of the substation will include installation of airtight SF6 equipment (breakers for 330, 110, and 35 kV and current transformers). Leakage of insulation gas is possible, mainly in emergent situations, which causes global warming.

Mitigation Measures Application of proper construction methods in order to reduce dust emissions during construction. Proper handling of SF6 gas to prevent the loss of sealing in accordance with Guide # 117 of International Council on Large Electric Systems (CIGRE) on the use and recycling of sulfur hexafluoride published in 1997. The original manufacturer guarantees uninterruptible operation of gas-insulated equipment (provided its appropriate handling) for the period of 25 years.

6.6. Impacts on Plants, Animals, and Natural Environment Impacts from Construction As the route of transmission line was selected with a very deliberate approach, there will be a minor need to withdraw and prune the plantations for creation of the protection zone. The design drawings will include the detailed description of areas where the trees will be cut down during the 30 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) < with a Reconstruction of the 330 kV Bar Substation construction of transmission line for creation of the protection zone. The total cut-over land and the area of garden trees to be pruned along the route of transmission line is about 11.852 ha.

Impacts from Physical Structures of the Project The power transmission line is routed mostly in the agricultural area and will run outside of the wildlife sanctuaries, reserves, and other protected areas. The nearest landscape reserve "Dniester" is located at a distance of 12 km from the route of transmission line, and the regional ecological corridor runs along the Liadova River at a distance of about 2 km from the route of transmission line. No rare, endangered, or protected species of plants or animals occur along the route of transmission line. In the places where the transmission line crosses woodland belts, deforestation will be minimal, merely subject to conditions of construction (extension of the wires, assembly and installation of the towers) and safe operation of the transmission line. The standard distance is observed between the transmission line and the woodland belt along which it will run. Beyond this distance it is not required to cut down the trees. No rare, endangered, protected, or Ukraine's Red Data Book species of plants or animals occur within the woodland belts. Construction of the transmission line and rehabilitation of Bar Substation will not disrupt the stable life habits of and migration routes of animals. The plots where the towers are located and the activities at the substation will not make any negative impact on the living conditions of game and rare and endangered species of animals and birds included in Ukrakine's Red Data Book. The 330 kV transmission line designed for construction will not have any unfavorable impact on the fauna and will not hinder seasonal and daily migrations of animals and birds. No major problems related to electric injury of birds or their clash with the wires have occurred in the zone along the route of existing 330 kV transmission lines Dniester HPS - Ladyzhyn HPP and Dniester HPS - Beltsi. Therefore it is considered that the new 330 kV transmission line Dniester HPPS - Bar will have a minor impact on this important habitat of birds.

Impacts from Operation and Maintenance It is not planned to conduct regular surveys using helicopters, therefore there will not be any noise impact on birds and animals.

Mitigation Measures So as not to expose birds to electric injury, the design provides for installation of special wire twists on the towers over the catenaries to prevent birds from sitting on the towers. In order to prevent birds from clashing with relatively thin and therefore barely visible lightning guard cable and ORLGC, such cables need to be equipped with marking devices. In practice such devices are installed only if a transmission line is laid across major routes of birds migration. No major routes of birds migration occur in the project implementation territory, therefore there is no need to install the marking devices. In order to prevent any impact on fauna habitats during the construction of transmission line, the trees should be cut down and the greenery should be withdrawn before the seasons of birds reproduction near water bodies. This is especially important for the Liadova River, where bird habitats are the largest. Besides, the land damaged during construction will be reclaimed and its grass restored.

6.7. Impacts on Land Management

31 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> with a Reconstruction of the 330 kV Bar Substation

Impacts from Construction In accordance with the technical standards, the width of temporary right-of-way for installation of the tower shall equal 20 m. In accordance with the Ukrainian State Construction Standard DBN B.2.5-16-99 the width of temporary right-of-way for unwinding of the wires, the lightning guard cable, and the FOCL cable shall be 14 m. An additional plot shall be withdrawn temporarily to assemble and mount the towers: covering 250 m2 for each suspension tower [lB 330- 7H and 550 m2 for each angle tension tower Y 330-3B. The total area of land to be temporarily acquired for all the transmission line equals 110.028 ha. About 0.6 ha of land is to be temporarily acquired for utility and storage zone, which will be needed during extension of the substation.

Impacts from Physical Structures of the Project In order to install the towers, 1.502 ha of land is required for permanent use. After installation of the towers, this land cannot be used for agricultural or any other activities. The arable land below the transmission line wires can be used for agricultural work, but only for mechanized operations.

Impacts from Operation and Maintenance No restrictions on agricultural activity are needed, except for the permanently withdrawn plots. During the use of irrigation systems, the irrigation front shall not break into the protection zone of transmission line. No irrigation territories are located to date or planned to be arranged in the near future along the selected route of transmission line. Motor vehicles for maintenance survey of the transmission line shall pass along motor roads and rights-of-way along the boundaries of land tenure. Therefore the impact from operation and maintenance of the transmission line will be minor. Damage to crops is possible during transmission line accidents (falling of the towers, wire break, thunder protection wire break/OKGT etc.) and during elimination of such accidents.

Mitigation Measures In accordance with the technical standards, the area of temporary right-of-way for installation of 330 kV transmission line towers shall equal 250 m2 for interim tower and 550m2 for anchor triangle tower, and the width of temporary right-of-way for unwinding of the wires, the lightning guard cable, and the FOCL cable shall be 14 m. In the territories of arable lands, the construction shall be performed as a rule after harvesting and before spring agricultural activities. After completion of the construction, all the temporary structures and mounds shall be dismantled, the land shall be reclaimed, and the micro- relief shall be restored to its previous status. Any damage to crops caused by possible accidents of the transmission line and by elimination of such accidents shall be compensated to the land owners by the South-Western Power System in accordance with the established procedure.

6.8. Impacts on Property and Income It is expected that the transmission line will have a minor impact on agricultural activities, incomes, and profits due to the following reasons: * minor areas of land subject to permanent withdrawal in a few farms; * long distance between the towers (270-500 m);

32 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

large sizes of the fields for agricultural activities with the use of agricultural engineenrng equipment. Therefore, the profits of farmners and agricultural companies which have their fields in the construction zone of transmission line will not be exposed to a major impact. Losses of land and crops caused by the construction of transmission line will be compensated. The data on the number of land owners, the length of transmission line sections over the state-owned and private plots of land, an the sizes of respective plots in each district are specified in Table 6.2. Table 6.2. List of Plots Withdrawn for Temporary and Permanent Use and Their Owners* Number of owners Length of Plot and Area of Land Required for Transmission Towers Private State-owned Total > temporary/permane temporary/permane temporary/permane

District # ... nt nt nt

km ha km ha km ha

* Complete Information with List of Plots withdrawn for temporary and permanent use and their owners are in the process of completion Vinnitsa scientific-research and project-investigation Institute of Zemleustroy and Vinnitsa Regional filial DP 'Center fir State land cadastre at Derzkomzemli of Ukraine' and will be filled in and disseminated as available in line with Land Acquisition Framework prepared by World Bank in line with OP 4.12. As the boundaries of private plots are not marked in the territory where the transmission line route will run, the specific number of plots for installation of the transmission towers shall be determined in the land acquisition plan. At the current time there is a design plan for sharing land plots in all regions, which are part of the transmission line and substation, which was prepared Vinnitsa scientific-research and project-investigation Institute of Zemleustroy and Vinnitsa Regional filial DP 'Center fir State land cadastre at Derzkomzemli of Ukraine'. This plan has boundaries with numbers of land plots and it's area, but the distribution of those land plots between landowners is still to be done and finalized in table 6.2 in line with World Bank procedure OP 4.12.

Compensation for the Land Required for Construction (Temporary Use) For the period of transmission line construction and extension of the substation, the land for such needs shall be provided to NEC "Ukrenergo" under a short-term lease contract. The compensation to the land owners for temporary withdrawal of land for the period of construction shall be stipulated in the land acquisition plan pursuant to Resolution of the Cabinet of Ministers of Ukraine No. 1279 "On Size of and Procedure for Calculation of Agricultural and Forestry Losses Subject to Compensation" dated 17 November 1997 and "Procedure for Calculation of Agricultural and Forestry Losses Subject to Compensation". During estimation of the indemnity, the account shall be taken of the average crop capacity of the plot and the market value of the agricultural produce, which could be grown on the plot. If during the construction period crops are present on the plot, the compensation shall be estimated on the basis of actual damage and market value of the harvest, which could be gained if the land were not damaged (Resolution of the Cabinet of Ministers of Ukrane No. 284). In accordance with Article 146 of the Land Code of Ukraine and Article 350 of the Civil Code of Ukraine, the owners and users of land located near or under the wires of transmission line

33 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> with a Reconstruction of the 330 kV Bar Substation as per the design, shall be informed of the construction through mass media at least a year prior to its beginning. When the direction of transmission line was being sanctioned in December 2005, the land owners (and users) gave their consent to withdrawal of the land, which is reflected in the materials on the selection and approvals.

Compensation for the Permanently Withdrawn Land Withdrawal of land and provision of it for ownership to NEC "Ukrenergo" for installation of transmission towers and extension of the 330 kV Bar Substation shall be governed by the following regulatory framework: * Land Code of Ukraine (I January 2002) (especially Articles 92 and 144-149) * Law of Ukraine "On Land Assessment (Valuation)" * Resolution of the Cabinet of Ministers of Ukraine of 17 November 1997 No. 1279 "On Size of and Procedure for Calculation of Agricultural and Forestry Losses Subject to Compensation" and Appendix. * Constitution of Ukraine, Articles 13, 14, 41 * Law of Ukraine of 21 May 1997 No. 280/97-BP "On Local Self-government in Ukraine" * "Regulation on the State Committee of Land Resources of Ukraine" approved by Presidential Decree of 14 August 2000 No. 970/2000 * Law of Ukraine of 06 October 1998 No. 161-XIV "On Land Lease" * "Procedure for Calculation and Compensation of Losses to Land Owners and Land Users" approved by Resolution of the Cabinet of Ministers of Ukraine of 19 April 1993 No. 284. If the transmission towers are installed on the privately owned plot (provided that the right of ownership is registered in a form of land title), the land is provided to NEC "Ukrenergo" for permanent use in accordance with the withdrawal procedure pursuant to Articles 92 and 146 - 149 of the Land Code of Ukraine. Protection of a right to private ownership of land is governed directly by the Constitution of Ukraine, Article 41, which states that "... nobody can be misappropriated unlawfully". The plan of land acquisition for permanent use is developed in the contractor design for the transmission line, where all the data about the plots required for installation of the towers are consolidated in a table. The experts of NEC "Ukrenergo" shall communicate directly with the land owners/users whose plots are going to be affected by the project and provide the necessary information through mass media and through the executive authorities. In particular, Part 3, Article 350 of the Land Code of Ukraine stipulates the notification requirement set by the public authorities. NEC "Ukrenergo" should study the international practice of such projects and capitalize on the applicable experience of appeals during implementation of this project. The damages should be paid pursuant to the "Procedure for Calculation and Compensation of Losses to Land Owners and Land Users" approved by Resolution of the Cabinet of Ministers of Ukraine of 19 April 1993 No. 284. In order to determine the scope of damage and provide for its full compensation in accordance with its real value, a commission shall be created and prepare the respective reports. Establishing of such commission (in accordance with the law) provides for transparency of the compensation process. The owners shall be reimbursed for their withdrawn land based on the fair market value of the plot as of the date when the decision on withdrawal was made. The market value of land includes the quality of land, the average crop capacity, and the period of capitalization, which is 33 years. If the land is withdrawn from the state fund (i.e. if it is not privately owned), the losses shall be estimated and covered in accordance with Resolution of the Cabinet of Ministers of Ukraine of

34 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> with a Reconstruction of the 330 kV Bar Substation

17 November 1997 No. 1279. In this case the quality of land, the rate of use of agricultural land, and the fertility of land shall also be taken into account. The number of trees and the cut-over area shall be estimated for each household in the contract design for the transmission line. NEC "Ukrenergo" shall reimburse the forest owner for the trees cut down in the withdrawn forests within two months after the land acquisition plan for the construction of transmission line has been approved in accordance with the established procedure. The sum of compensation (pecuniary valuation) shall be defined in accordance with Resolution of the Cabinet of Ministers of Ukraine of 17 November 1997 No. 1279 "On Size of and Procedure for Calculation of Agricultural and Forestry Losses Subject to Compensation" and the Appendix to the Resolution. Procedure for compensation is set in line with the World Bank OP 4.12 Procedure where Land Acquisition Plan is developed.

Compensation for the Land Required for Operation and Maintenance NEK "Ukrenergo's" right of access to transmission lines is regulated by the "Power Networks Protection Rules" approved by the Resolution of the Cabinet of Ministers of Ukraine of 04 March 1997 and by servitude contracts (easement agreements) which NEK "Ukrenergo" shall conclude with the land owners and users of land plots adjacent to the electric power structures. Preventive maintenance of the transmission line shall be performed after harvesting and before the beginning of spring field works. Access to the line during regular and emergency repairs is regulated by the easement contract between NEK "Ukrenergo" and the land owners and users. The draft easement contract (see Annex B) provides for relationships between NEC "Ukrenergo" and the land owners during operation of the complete power transmission line. Damages to crops, especially caused during emergency repairs, are compensated on a case- by-case basis, based on an assessment protocol. The amount of compensation for damages shall be determined by commissions organized by the State Administrations of Mogyliv-Podilsky, Murovani Kurylovtsi and Bar Districts. The commissions shall include the representatives of district state administrations, executive committees of village councils (heads of the commissions), land owners or users (lessees) who suffered the damages, the representatives of enterprises, institutions, and organizations and the individuals liable for compensation of the damages, and the representatives of public land resource authorities, financial authorities, architecture and city development authorities, and executive committees of the councils of relevant villages and cities. If the customer and the land owners/users do not reach an agreement on the crops damage issue, it shall be solved in court. In this case the procedures provided by the Resolutions of the Cabinet of Ministers of Ukraine No. 284 and No. 1279 shall apply.

6.9. Impacts on Visual Properties and Landscape Impacts from Construction As any construction, the project of power transmission line will cause temporary changes in the landscape. Construction facility sites for storage of materials and structures shall be established along the route of transmission line (their number, sizes, and location are specified in the Construction Management Plan). In the places where the towers shall be installed, construction equipment will be used, holes will be excavated for the foundations of metal towers, the towers will be assembled and installed, and wires, lightning guard cable, and ORLGC will be mounted. It will take four days on average to assemble the metal tower into a lattice structure and install it onto the foundation and it will take six month in total to construct this 330 kV transmission line. The start date and the sequence of construction shall be set forth in the Construction Execution Plan, which 35 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <

Impacts from Physical Structures of the Project The construction of new transmission line will have a minor impact on the visual properties of existing landscape and scenery. Given the suspension towers, which are relatively minor in size (the total share of suspension towers is over 85%), the general large scale of landscape, laying of the transmission line route along the existing structures, including woodland belts, which will hide the towers, and in most cases remoteness of the transmission line route from the inhabited localities, as a whole this impact is expected to be insignificant. The route of transmission line does not conflict with landscape reserves (the nearest Dniester sub-meridional environmental corridor is bordering with the starting pint of transmission line - point A), and with recreation or tourist zones. No historical, architectural, or landscape heritage monuments which could be affected by the transmission line exist near its route. Due to thorough planning of the TL route, there will be no need to cut down many trees in the forest or wood areas in the protection zone of transmission line, which would otherwise damage the visual properties of the neighborhood. Visual changes will be noticeable in the places where the transmission line crosses motor roads, wide rivers, and deep ravines and gullies.

Impacts from Operation and Maintenance There will be no noticeable visual impact from operation and maintenance of the transmission line.

Mitigation Measures Restriction on cutting down trees, bushes, and other key elements of the landscape. Creation of green vegetation belts in the cut-over land. During the stage of land acquisition for the construction of transmission line, the owner of green plantations jointly with the customer shall prepare the certificate of green plantations inspection. The certificate shall include the amount of trees to be cut down and the pecuniary compensation in accordance with the current state price-lists. NEC "Ukrenergo" shall transfer these funds to the owner of green plantations, who will choose the places for planting of new trees at his/her own discretion. 36 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar < with a Reconstruction of the 330 kV Bar Substation

Application of advanced construction technique with high intensity of work, land reclamation after installation of each tower, and sowing of perennial grass on the banked surface of towers.

6.10. Health Protection and Occupational Safety 6.10.1. Power Transmission Line The contractor design of the power transmission line, the substation expansion, and ORLGC cable mounting shall be performed in accordance with current norms, rules, and standards, compliance with which will ensure safe operation and maintenance of the sites, including the ones subject to fire & explosion and fire safety regulations. High voltage warning signs shall be posted on the towers at the height of 2.5-3.0 m. The towers shall be installed along the line route in such a way that the distance from the ground surface to the lowest sagging point of wires at their maximal sagging would be the one set forth by the Rules for Set-Up of Electric Equipment. Standard towers shall be used for the substation, which allow specially qualified maintenance personnel to be lifted on a tower without disconnecting voltage. The design shall provide for using the towers' grounding devices to ensure the fixed grounding resistance. Adequate working facilities at the substations nearest to the line route shall be provided for the personnel operating the power transmission line and FOCL cable. The 330 kV Bar Substation has corresponding facilities for the personnel operating the substation equipment and instrumentation. Personnel operating the power transmission line shall regularly trim the trees along the whole line route. Operation of constructed power installations shall be executed in accordance with regulative documents currently in force (GKD 34.20.507-2003 - "Technical Operation of Power Stations and Networks. Guidelines"; DNAOP 0.00.11.21-98 - <>). In order to protect local population from the effects of electric field of the power transmission line, safety buffer zone will be established. Safety buffer zone is a territory along the line route with electric field intensity exceeding 5 kV/m. Safety buffer zone for the 330 kV line would be a land strip along the line axis with its boundaries set at 20 m distance on both sides from the point of the outermost wires projection onto the ground, perpendicular to the line axis direction (Sanitary Norms and Regulations (DSTU) approved by the Ministry of Health of Ukraine (Order No. 476 of 18 December 2002), DBN 360-92*). At the South-Western Power System, every five years the specialized laboratories conduct certification of the work places with respect to working environment. Certification procedure includes measuring of the electromagnetic field intensity levels at the operating 330 kV overhead lines. The measurements data are kept at the Service of Vinnytsia Trunk Transmission Lines of the South-Western Power System. INEP-2 device was used to measure the intensity levels of electromagnetic field. Intensity of electric field at the height of 1.8 m from the ground surface, at the designed height of the wires suspension does not exceed 5 kV/m within the safety buffer zone and 1 kV/m outside the safety buffer zone. Operation personnel and farmers who have land plots within the area of the designed power transmission line should work under the line wires in short and infrequent intervals. Therefore operation of the 330 kV power transmission line will not have harmful effects on the health of population and operation personnel. The requirements for conducting the work within the boundaries of the electric network protection zones are listed in the Rules for Guarding of Electricity Transmission Lines (1997). 37 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) > of the project 330 kV Transmission Line of the Dniester HPPS-Bar <(Ukrenergomerezhproekt> with a Reconstruction of the 330 kV Bar Substation

The protection zone is established as a land plot and airspace on both sides of the 330 kV power transmission line with their boundaries being vertical planes at 30 m distance from the outermost wires. Protection of the 330 kV overhead line from a direct lightning strike is provided through suspension on the tower cable supports of a lightning guard cable and FOCL cable, enclosed in the lightning guard cable, so called ORLGC, which run to the linear outlet portals of the outdoor switchgear of the 330 kV Bar Substation and Dniester HPPS.

6.10.2. Substation The design of rehabilitation of the 330/110/35 kV Bar Substation shall be implemented in accordance with current "Norms for Technological Design of 6-750 kV AC Substations" (GKD 341.004.001- 94) approved by the Ministry of Energy of Ukraine on 5 September 1994 and implemented on 1 January 1995. All of the engineering solutions related to the structures and equipment used under the design shall be developed in compliance with current norms and rules, instructions and standards, as well as fire & explosion and fire safety regulations. Requirements of the following documents shall be taken into account: * "Rules for Set-Up of Electric Equipment" - 6th edition, modified and amended (Moscow, 1986); * DNAOP 0.00.1.21-98 - "Guidelines for Safe Use of Consumer Power Appliances"; * GOST 12.1.019* - "Electrical Safety. General Requirements and Protection Types."; * SNiP III-4-80* - "Construction Safety"; * GKD 34.20.507-2003 - "Technical Operation of Power Stations and Networks. Guidelines." The following safeguards are provided at the substation to protect personnel from accidental contact with conductive units: 1. Protective shields, stationary and temporary; 2. Safe arrangement of conductive units; 3. Insulation of conductive units; 4. Insulation of a workplace; 5. Groundfault circuit interrupters; 6. Warning alarms, interlocks, safety signs. The following safeguards are provided to protect personnel from electrical shock in case of contact with metal nonconductive units which may appear under voltage due to damaged insulation: I. Safety grounding; 2. Neutral grounding; 3. Potential grading; 4. Groundfault circuit interruption; 5. Insulation checks; 6. Compensation of groundfault current to ground; 7. Personal protective equipment. The existing facilities of the substation are equipped with water supply, heating, and ventilation systems. The same systems shall be provided in the facilities, designed for the substation rehabilitation. The design provides for installation of biological protective screens and devices for protection from electromagnetic radiation at the 330 kV outdoor switchgear of the new units. Protection of the operation personnel workplaces and foot-paths shall be provided in accordance with GOST 12.4.154-85 with consideration of the data on measuring the density of electromagnetic field of the existing part of the 330 kV outdoor switchgear, regularly performed by the Service of Vinnytsia Trunk Transmission Lines. 38 ENVIRONMENTAL IMPACT ASSESSMENT (ERA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

The safeguards to prevent lightning strike shall be designed pursuant to the provisions of RD 34.21.122-87 - "Guidelines for Lightning Protection of Buildings and Installations".

ELECTRIC AND MAGNETIC FIELD EFFECTS Effects on Environment When electric power of alternating current flows through a conductor, electric and magnetic fields are created. Electric fields arise from voltage, and their intensity depends on the difference of potentials between the conductors, ground and nearby objects. Intensity of electric field is measured in Volts per meter (V/m). Current flowing through conductors creates magnetic field. The concept of flux density (magnetic induction) is used to describe magnetic fields, which is measured in teslas. Electric and magnetic fields are commonly referred to as electromagnetic fields (EMF). Potential effect of EMF on human health was actively discussed in the 1980-90's. Among other issues, the effect from the long-term exposure to the low-frequency EMF of such sources as overhead transmission lines was discussed. However, to this very day, even the most competent and world-known epidemiological studies have not been able to provide compete substantiation of the cause-effect relation between exposure to the EMF of power transmission infrastructure (50 Hz) and diseases (possible occurrence of leukemia was the subject of foremost concern).

Exposure Limits Standards In 1998, based on available information, the International Council on Non-Ionizing Radiation Protection (ICNRP) issued recommendations for low-frequency fields exposure limits, listed in the "Guidelines for Limiting Exposure to Time-Varying Electric, Magnetic, and Electromagnetic Fields (up to 300 GHz)". ICNRP recommendations applied both to the long-term exposure of the general public and the short-term exposure at the industrial sites. The exposure limits established in the recommendations are widely accepted all over the world. They were adopted in the Recommendation of EU Council 1999/519/EC of 12 July 1999 Limiting the Public Exposure to Electromagnetic Fields (0 Hz to 300 GHz), as well as in the Directive 2004/40/EC of the European Parliament and EU Council of 29 April 2004 on the Minimum Health and Safety Requirements regarding the Exposure of Workers to the Risks Arising from Physical Agents (Electromagnetic Fields). In Ukraine, the EMF exposure limits are listed in the State Sanitary Standards and Rules for Protection of Population from Impact of Electromagnetic Radiation (1996). The reference levels for the general public and industrial exposure to electric and magnetic fields with frequency of 50 Hz are listed in Table 6.3.

Table 6.3. EMF Exposure Limits Public Exposure Industrial Exposure Adopted by: Electric Field Magnetic Field Electric Field Magnetic Field

[El _B] [EE [B] ICNRP/EU 5 kV/m 1OOitT 10 kV/m 5OOpT Ukraine 5 kV/m 1.4 kA/m 5 kV/m 1.4 kA/m

Strength of EMF of the overhead transmission line depends on voltage and quickly decreases as the distance from the conductor increases. Ukrainian standards establish safety buffer zones to protect population from the long-term exposure to EMF. Beyond the borders of these safety buffer zones, the above-mentioned exposure limits shall not be exceeded. The safety buffer zone dimensions depend on voltage value. In our case boundaries of the safety buffer zone are fixed at a distance of 30 m on both sides from the outermost wires of the transmission line. 39 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) < with a Reconstruction of the 330 kV Bar Substation

Current Ukrainian requirements correspond to the international practice of design planning and recommendations for planning, prepared in accordance with exposure limits, set by the International Council on Non-Ionizing Radiation Protection (ICNRP).

6.10.3. Fiber-Optic Communication Line Impacts from Construction The only and probably the most important impact on human health will be caused by off- cuts of the guiding fiber, which may cause certain diseases if penetrate in the human system. This applies only to fitters, who solder the ends of fiber in a special connection coupling.

Impacts from Physical Structures of the Project Not applicable.

Impacts from Operation and Maintenance No impact is expected during operation and maintenance of FOCL cable.

Mitigation Measures The cutting waste, which may remain after soldering of the guiding fiber in the coupling shall be subject to complete utilization. Besides, the personnel engaged in such operations must have personal protective equipment.

6.11. Noise Pollution Impact Impacts from Construction Typical unavoidable sound effects will be observed during construction of the transmission line. However, such effects will not be very significant and will not last for a long time. They may include sound effects caused by movement of trucks and other construction vehicles (excavators, bulldozers, tractors, etc.). No activities causing major noise, like explosions, will be needed for the construction of transmission line. No noise impact on the potential recipients is expected from the construction of transmission line, as its route is being laid outside of inhabited localities and the duration of construction in one place will be restricted due to the linear method of work. As a whole, it is expected that the level of noise and the possible inconveniences may be compared with the noise of agricultural vehicles. The similar typical sound effects will be observed during rehabilitation of the substation. The noise impact on the neighborhood residents will be minimal, as the building site will be located at a distance of 500 m from the nearest buildings. It is noteworthy that those buildings were constructed after the substation had been commissioned.

Impacts from Physical Structures of the Project Not applicable.

Impacts from Operation and Maintenance Power Transmission Line with FOCL Cable During the operation, perceptible noise is caused by corona discharges around the conductors alive. If the line is laid near residential houses, their residents may perceive it as an inconvenience. 40 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> with a Reconstruction of the 330 kV Bar Substation

NEC "Ukrenergo" cannot provide any data on the reference levels of noise caused by corona discharges for 330 kV transmission line because such measurements have not been performed. However, for the purposes of prognosis it is possible to use as reference the levels of noise on other available transmission lines. Corona discharges depend on many factors, including the voltage, the number and the type of wires in a phase, and the geometry of line components. In accordance with SNiP 11-12-72 - <> and GOST 12.1.003-83 - <

Substation Rehabilitation of the existing Bar Substation will not cause any change in the current operational levels of noise. On the opposite, installation of SF6 circuit-breakers in place of the air circuit-breakers will reduce the level of noise significantly, especially when the live line is switched off.

Mitigation Measures Application of proper construction techniques to prevent excessive noise during construction and assembly works. Proper planning of working hours at each stage of the construction.

6.12. Impacts on Cultural and Archeological Heritage Impacts from Construction There are no important cultural buildings in the protection zone of 330 kV transmission line. However, it is probable that the spots where the towers will be installed will conflict with archeological items. Pursuant to Article 12 of the Law of Ukraine "On Protection of Cultural Heritage", before the start of construction (earthworks), the South-Western Power System must invite the representatives of Department for Culture and Tourism of Vinnytsia Oblast State Administration and Podillya Branch of Salvage Archeological Service of the Archeological Institute of the National Academy of Science to conduct archeological survey of the plots in order to protect the cultural heritage items from destruction, elimination, or damage. The construction can begin only after obtaining of the positive conclusion based on the survey results.

Impacts from Physical Structures of the Project No visual impact is expected on the territories near the heritage monuments. As the towers will be installed taking into account the actual location of archeological items upon the permission given by the experts from Podillya Branch of Salvage Archeological Service of the Archeological Institute of the National Academy of Science, no impact on the heritage items is expected from the designed transmission line. 41 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

Impacts from Operation and Maintenance No impacts are expected during operation and maintenance of the transmission line.

Mitigation Measures If an archeological discovery is made during the time when the foundation is being laid for the towers, in accordance with the current laws of Ukraine the work must be stopped and the representatives of relevant authorities must be called out to carry protective archeological measures. Pursuant to Article 12 of the Law of Ukraine "On Protection of Cultural Heritage", the scientific archeological assessment of land plots shall be made by the Archeological Institute of the National Academy of Science of Ukraine. As to the territory where this project will be implemented, it is required to apply for the necessary heritage preservation procedures to the Research Center of Podillya Branch of Salvage Archeological Service at the address: 1, Repina St., Vinnytsia, tel. (067) 664 03 36. Pursuant to Article 37 of the Law of Ukraine "On Protection of Cultural Heritage", all the protective archeological measures shall be performed at the cost of the project owner.

7. Environmental Risks and Hazards 7.1. Power Transmission Line and FOCL Cable Transmission of electric power presents potential risks and hazards for the environment and people, as it implies the use of electric current conductors and high voltage. However, there exist safety standards and the approved standard design parameters, including protection systems, which reduce potential risks and hazards and make power transmission lines safe components of the infrastructure. The regulative documents currently in force (GKD 34.20.507-2003 - <> and DNAOP 0.00.11.21-98 - «Guidelines for Safe Use of Consumer Power Appliances>>), which establish the electric safety rules, the requirements to safety buffer zones and to the distances from transmission lines, and the land management restrictions within such zones enable to avoid the negative impact on other objects from the wires alive. In order to protect local population from the effects of electric field of the power transmission line, safety buffer zone will be established. Safety buffer zone is a territory along the 330 kV line route, which has boundaries set on both sides from the point of the outermost wires projection onto the ground, perpendicular to the line axis direction. Electric field intensity in the safety buffer zone may exceed 5 kV/m. Otherwise, in accordance with the Sanitary Norms and Regulations (DSTU) approved by the Ministry of Health of Ukraine (Order No. 476 of 18 December 2002), in the safety buffer zone the density of 50 Hz electromagnetic field under regular impact shall not exceed 5 kV/m. At the South-Western Power System, every five years the specialized laboratories conduct certification of the work places with respect to working environment. Certification procedure includes measuring of the electric magnetic field density levels at the operating 330 kV overhead lines. The measurements data are kept at the Service of Vinnytsia Trunk Transmission Lines of the South-Western Power System. INEP-2 device was used to measure the density levels of electromagnetic field. Protection zone is established along the route of transmission line. It is a land plot and airspace with the boundaries being vertical planes at 30 m distance from both sides of the outermost wires, provided that they do not deviate from vertical position. In accordance with the Sanitary Norms and Regulations and DBN 360-92*, the width of protection zone for the 330 kV transmission line shall be 30 m from the outermost wire on both sides of the transmission line. 42 ENVIRONMENTAL IMPACT ASSESSMENT (ELA) < with a Reconstruction of the 330 kV Bar Substation

Together with the zone of transmission line itself, which is 16 m wide, the width of protection zone shall be 76 m. Except for the areas directly occupied by transmission towers, the land in the protection zone can be used for agriculture purposes. The shortest distance between the sagging part of wires and the ground surface is calculated pursuant to the Rules for Set-Up of Electric Equipment and shall equal 7.5 m in uninhabited areas, which corresponds to the conditions necessary for the route of designed 330 kV transmission line. In accordance with the Rules for Set-Up of Electric Equipment, the land plots in the protection and safety buffer zones of power networks can be used only after obtaining written sanctions from the owners of networks and the state fire safety and sanitary supervision authorities. It is forbidden to do the following in the protection and safety buffer zones: construct residential and public buildings and cottages; arrange gas stations or any other depots of fuel and lubricants; arrange sports grounds for games, stadiums, markets, and public transportation stops; and pull up any types of transport (except for railway transport). It is also forbidden to perform any actions in the protection zone which can disrupt the normal operation of or damage power networks or cause casualties: arrange any dumps; make fires; climb the transmission towers and/or disassemble their elements; plant trees and other perennial greenery, except for Christmas-tree plantations; arrange any confluence events for people not engaged in the operations which are allowed in accordance with the established procedures; launch sports aircraft models and kites; and perform operations with the use of percussion mechanisms. During the use of irrigation systems with vertical watering, the irrigation front shall not break into the protection zone of transmission line. A high voltage waming sign shall be posted on each tower. During conclusion of the agreements with the owners of plots over which the transmission line will be laid, they shall be informed of the restrictions and prohibitions related to safety or stability of TL operation. The transmission line will be equipped with electric safety system including insulators, a ground wire, proper grounding of the structures, and lightning guard. If the wire breaks (such events has happened ones in 2005 in the South-Westem Power System), the transmission line shall be cut off automatically. For that purpose sets of snap-acting microprocessor guards with absolute selectivity will be installed on both sides of the transmission line. The transmission line interrupting time will not exceed 0.12 seconds. The wire can break because of unfavorable weather conditions, e.g. in winter when the wires get covered with ice and break due to their excessive weight, or in summer in the event of fire, when the high temperature can damage the insulators. A natural disaster, like tomado or gale- strength wind, can be another possible reason of wire break. In accordance with DNAOP 0.00-4.03-01 - <> and <>, the accidents which happen on the 330 kV transmission line shall be classified as Category I and II breakdowns. The accidents (breakdowns) on 330 kV transmission lines, which caused their disconnection are listed in Table 7.1.

Table 7.1. List of Faults in Operation of the Power Supply System Date Description of Transmission Cause Description of Damage Line 24 June 330 kV Transmission Line Ternopil - Strong wind, V=35 Three suspension towers 2002 Khmelnytskyi m/sec destroyed and two towers bent 04 March 330 kV Transmission Line Crash of wire Break of Phase B wire 2003 Kamianets-Podilsky - Chemivtsi against the ballast 43 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) < with a Reconstruction of the 330 kV Bar Substation

02 May 330 kV Transmission Line Incorrect Wire break 2003 Kamianets-Podilsky - Chemivtsi pressurization of wire 02 July 330 kV Transmission Line - Strong wind, V=30 Five suspension towers 2003 Bila Tserkva rn/sec destroyed 10 July 330 kV Transmission Line Burshtyn Strong wind, V=40 Two suspension towers 2004 CHPP - Temopil m/sec destroyed and four towers I bent 07 April 330 kV Transmission Line Dniester Fire near TL Disconnection of TL due to 2005 HPS - Beltsi flashover 29 April 330 kV Transmission Line Falling of a cut Disconnection of TL 2005 Khmelnytskyi APP - Shepetivka down tree 23 May 330 kV Transmission Line Dniester Shot with rifle Catenaries damaged, TL 2005 HPS - Beltsi disconnected for repair 23 June 330 kV Transmission Line Ladyzhyn Break of steel wires One of the two-phase wires 2005 CHPP - Dniester HPS in during glazed broken frost of 2000 24 June 330 kV Transmission Line Destroyed insulator Disconnection of TL due to 2005 Khmelnytskyi APP - Shepetivka and split catenary short circuit between Phases B and C During the accidents of 330 kV transmission lines, which happened in 2002 - 2006, agricultural losses amounted to UAH 13,647. The South-Western Power System reimbursed the landowners for these losses. The damage was done to wheat, maize, barley, buckwheat, oats, and white beet crops in the area of 5.07 ha.

The personnel of South-Western Power System which is responsible for TL maintenance and emergency repair is properly trained and equipped for the work on transmission lines. The structure of towers and foundations corresponds to the current regulatory documents: * Rules for Set-Up of Electric Equipment, Kyiv, 2006; * SNiP 2.01.07-85* "Loads and Impacts" * SNiP 2.03.01-84* "Concrete and Reinforced Concrete Structures" * SNiP 11.23-81 * - <> The 330 kV transmission line designed for construction shall be protected against a direct lightning strike by suspending TK-1 1 lightning guard cable and ORLGC, which run to the linear outlet portals of the outdoor switchgear of the 330 kV Bar Substation and Dniester HPPS.

7.2. Substation Rehabilitation of the substation will not cause any additional risk or hazard for the existing buildings and equipment. The greatest risk for substations is the risk of fire. The 330/110/35 kV Bar Substation, which has been in operation since 1988, belongs to Fire- Extinguishing Means Group II (substation with autotransformers of unit power up to 200 MVA). The substation is equipped with fire alarm. In accordance with "The Guidelines on Design of Fire Precaution Measures and Fire- Extinguishing Means at Power Installations", the substation is equipped with a fire-fighting installation, which includes: * water reserve tanks, V=2x100 m3 ; * fire pump plant; and * encircling fire line with fireplugs. Water is supplied to fire cocks in the substation control house from the fire line through a separate water-service pipe to the standalone standpipe. Fire is also extinguished with fire fighting primary means, such as carbon-dioxide and foam fire extinguishers and sand. 44 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) < of the project 330 kV Transmission Line of the Dniester HPPS-Bar < with a Reconstruction of the 330 kV Bar Substation

The direct-telephone communication is available between the substation and the fire station of Bar. In the event of autotransformer accident, the oil is automatically drained into the oil catcher through the closed system of oil conduits. Access lanes to the buildings and to the high-voltage equipment of outdoor switchgear are arranged in accordance with SNiP II-,ZI-6-72, which conforms to the current DBN B.2.3-4-2000 <. Internal netted fence with a height 1.6 m shall be installed in order to prevent the maintenance personnel from entering occasionally the territory of 330 kV and 110 kV outdoor switchgear without the permits of respective authorities. In order to prevent fire from spreading, fire breaks are arranged between the existing buildings in accordance with the requirements of SNiP 11-89-80* < and the Rules for Set-Up of Electric Equipment. Free access of fire engines is ensured to the buildings and structures and along the full length of high-voltage equipment of 330 kV and 110 kV outdoor switchgear. General fire fighting is made with fire hydrants installed in immediate proximity to potential fire locations. To date, the availability of necessary fire-extinguishing means at the substation corresponds to the Fire Safety Rules of Ukraine (NAPB A.01.001-2004). The places where the fire hydrants and tanks are installed have been equipped with the indicators of appropriate model in accordance with SNiP 2.04.02-84 and GOST 12.4.009-83. Pursuant to GKD 343.000.004.003.001-2001 «Fire Safety Guidelines»>, the substation shall be equipped with fireproof seals of apertures in the places where the wires run through the building structures, in order to provide for at least 0.75 hr of refractoriness limit. Cables which do not spread fire shall be installed for cable connections at the substation under this design. Relay protection and automation system is used to protect the lines and the substation elements in accordance with the current rules and regulations. Modem airtight SF6 equipment (breakers and current transformers) shall be installed at the substation. Despite the fact that the equipment is airtight and does not produce emissions, there is a potential risk of seal failure (due to an explosion, erroneous actions of the personnel, or a natural disaster). The operators of this equipment shall have high skills and first undergo the practical training in operation and maintenance of the new, including SF6, equipment. Operation of the SF6 circuit-breakers and their maintenance procedures shall be performed in accordance with the following sectoral regulatory documents: * "Guideline for Operation of SF6 Circuit-Breakers" GKD 34.47.503-2004 approved by Order No. 135 of the Ministry of Fuel and Energy on 5 March 2004 and implemented since 5 April 2004; and * "Technical Operation of Power Stations and Networks. Guidelines." GKD 34.20.507-2003. An auxiliary building shall be constructed on the substation premises, in which a repair shop for SF6 equipment and a storehouse for SF6 bottles shall be arranged. Such buildings shall be equipped with special SF6 concentration indicators and the devices which switch on the combined extract and input ventilation automatically. Substations of 330 kV voltage present the risk of EMF impact on the maintenance personnel. At the South-Western Power System, the specialized laboratories conduct certification of the work places with respect to working environment. Certification procedure includes measuring of the EMF density levels at the outdoor switchgear. The EMF density of each substation is charted. The measurements data of Bar Substation are kept at the substation and at the

45 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar < with a Reconstruction of the 330 kV Bar Substation

Service of Transmission Lines of the South-Western Power System. INEP-2 device is used to measure the density levels of electromagnetic field. The design provides for installation of biological protective screens and devices in new substation units # 9 and 10 of the 330 kV outdoor switchgear to protect from electromagnetic radiation. The bio-protection will be designed according to the type of the one existing in the 330 kV outdoor switchgear. The work places of the operational personnel and the footpaths shall be protected in compliance with GOST 12.4.154-85 "Shielding Devices for Protection from Industrial Frequency Electric Fields" based on the measurement data of electromagnetic field density of the existing 330 kV outdoor switchgear. The lightning guard of the new substation units shall be provided by installing a lightning conductor with a height 28.5 m on the 330 kV portal and two standalone lightning guards with a height 30.5 m in order to avoid a lightning strike in accordance with RD 34.21.122-87 - "Guidelines for Lightning Protection of Buildings and Installations" In order to protect the personnel from injuries and to be able to perform repairs in evenings and at night, the territory occupied by substation units #9 and #10 shall be illuminated with new floodlights with 400 W sodium-vapor lamps mounted on new lightning conductors and with the existing floodlights. The interior of the existing and designed buildings shall be illuminated with fluorescent incandescent lamps. In order to avoid electrical shock caused by the spreading current, a ground loop shall be installed in addition to the existing one in the new substation units. It shall be made of a 40x4 mm cut steel strip with round steel vertical grounding electrodes, D=16 mm. The grounding step-downs from the equipment with connection to the general loop shall be also made of a 40x4 mm cut steel strip. The grounding shall be installed in accordance with the Rules for Set-Up of Electric Equipment.

8. Environmental management 8.1 Objective of Environmental Management Plan This section includes description of the Environmental Management Plan (EMP) of the project (see annex P). The main goal of the Environmental Management Plan is to ensure eligibility of the design, the construction works, and the operation in terms of impacts and mitigation measures described above (see Section 6). The Environmental Monitoring Program and the Environmental Management Plan shall be drafted in order to ensure implementation of the recomended mitigation measures and to provide for any contingent impacts. Therefore, the Environmental Management Plan stipulates the procedures and rules to be followed during construction and further operation of the overhead transmission line with the FOCL cable and the substation.

8.2. Environmental Management in the Stage of Design During selection of the transmission line route and location of the towers, the main criteria were to avoid environmental and land management conflicts.

8.3. Environmental Management in the Stage of Construction The construction works at the transmission line and Bar Substation will be performed under supervision of the customer's authorized representatives. The customer is the South-Western Power System of NEC "Ukrenergo". Its office is located at 5 Boguna St., Vinnytsia 21100. Among other things, they will supervise the environmental protection and mitigation measures. In order to prevent any impact on archeological heritage, the South-Western Power System must invite Podillya Branch of Salvage Archeological Service of the Archeological Institute of the 46 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> with a Reconstruction of the 330 kV Bar Substation

National Academy of Science to conduct archeological survey of the plots in order to protect the cultural heritage items from destruction, elimination, or damage. The construction can begin only after obtaining of the positive conclusion based on the survey results. The construction execution plan shall be developed by the main contractor or by the specialized organization before the start of construction works, based on the contractor's capacities (employment size, the number and the quality of available machines and mechanisms). The construction works should be arranged in a way that would minimize their environmental impact. The building organization must perform all the environmental requirements included in this Environmental Impact Assessment, as well as any other terms and conditions (if any) specified by the regulating authorities in their permit for construction and assembly works. In its agreement with the contractor, the customer must obligate the contractor to take the necessary environmental protection measures. The existing lay of land shall be preserved during the construction of transmission line. After completion of the construction and assembly works, the micro-relief shall be restored to its previous status. The geologic structures shall not be damaged. A fertile layer (humus) 0.3 - 0.4 m thick will be removed from the plots withdrawn for permanent use to install foundations of suspension towers and angle tension towers. Part of the removed humus shall be used to restore the fertile layer along the route of transmission line and on the substation premises, and the other part shall be carried to other places for land reclamation purposes. Only those plots of land shall be withdrawn from utilization on which the towers shall be installed for the transmission line and which shall be occupied by the extended substation. In order to prevent bogging, erosion, and other negative impacts on the land withdrawn temporarily for construction purposes (for the transmission line and the substation), the micro-relief shall be restored to its previous status.

8.4. Environmental Management in the Stage of Operation As the electric field intensity at a height of 1.8 m from the ground surface with the rated height of wire stringing does not exceed 5 kV/m within and 1 kV/m outside of the safety buffer zone, no additional measures are needed to protect the social and the natural (animals) environment. At the South-Western Power System every five years the specialized laboratories conduct certification of the work places with respect to working environment. Certification procedure includes measuring of the electromagnetic field density levels at the operating 330 kV overhead lines and substations. The measurements data are kept at the Service of Vinnytsia Trunk Electricity Supply Networks of the South-Western Power System. Operation of new and existing power installations shall be executed in accordance with regulative documents currently in force (GKD 34.20.507-2003 - "Technical Operation of Power Stations and Networks. Guidelines" and DNAOP 0.00.11.21-98 - <>). The requirements for activities within the boundaries of the electric network protection zones are listed in the Annex to the Rules for Guarding of Electricity Transmission Lines (1997) and described in par. 6.10 herein. The existing buildings of the substation are equipped with fire-control, water-supply, heating, and ventilation systems. The design includes installation of the similar systems for the new buildings to be constructed at the substation. The design also provides for installation of biological protective screens and devices for protection from electromagnetic radiation at the new units of 330 kV outdoor switchgear.

47 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

8.5. Implementation of Environmental Management Plan The detailed draft environmental provisions and mitigation measures shall be approved before the start of construction works and coordinated with the specialists of competent organizations. The contractor will bear the main responsibility for proper fulfillment and implementation of the plans, measures, control, etc. in accordance with the terms and conditions specified in the respective permits and Environmental Management and Monitoring Plan (see annex P and Section 6 above). During the construction, the customer and the designer (field supervision) will supervise implementation of the decisions specified in the design. After the commissioning, the environmental management and the routine maintenance shall be organized by the South-Western Power System of NEC "Ukrenergo".

48 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) < of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

Annexes

Annex A: Terms of Reference for Environmental Impact Assessment Annex B: Transmission Line Route. Alternatives I, II, and III. Scale 1 in 100 000. Annex C: Plan of Ecological Zones along the Route of Transmission Line Annex D: Draft Land Use Agreement Annex E: Letter from Environmental Protection Department of Vinnytsia Oblast (# 3804/04 of 28 November 2006) Annex F: Insertion in Vinnytska Gazeta Newspaper of 23 November 2006 Annex G: Letters of Invitation for Bar District Annex H: Letters of Invitation for Murovani Kurylovtsi District Annex I: Protocol of Meetings Annex J: List of Participants in Public Consultations Annex K: Insertion in Podilskyi Krai Newspaper of 2 December 2006 Annex L: Insertion in Nashe Prydnistrovia Newspaper of 2 December 2006 Annex M: Letter # 2033/02-20 from Department for Culture and Tourism of Vinnytsia Oblast State Administration dated 4 December 2006 Annex N: Letter # 451 from Podillya Branch of Salvage Archeological Service of the Archeological Institute of the National Academy of Science dated 1 December 2006 Annex 0: Letter from Institute of Zoology named after I.I. Shmalgauzena NAS Ukraine # 114/593 dates 12 December 2006 Annex P: Letter from Institute of Botany named after M.G. Kholodniy NAS Ukraine # 111-670/1- 11 dated 8 December 2006 Annex Q: Map of 330 kV and Higher Voltage Networks for 2006 Annex R: Environmental Management Plan (EMP)

49 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

Annex A: Terms of Reference for Environmental Impact Assessment

Terms of Reference (TOR) for the Development of an Environmental Impact Assessment (EIA) for the Proposed Dnister-Bar Electrical Power Transmission Line in Western Ukraine 1. Introduction These TOR specify the objectives and the scope of work for a Consultant who will carry out an Environmental Impact Assessment (EIA) of a proposed power transmission project proposed for financing by the World Bank. The EIA study shall contain i) a comprehensive Environmental Assessment (EA) of the proposed corridor, and ii) a detailed Environmental Management Plan (EMP) and a Monitoring Plan (MP) to establish and ensure environmental compliance during the construction and operation phases of the project

2. Background Information Project Description The proposed Power Transmission Project is the second SIL (Sector Investment Loan) in support of the Energy Sector Reform and Development Program. The first programmatic SIL supports the Hydropower Rehabilitation Project. Among several other components the proposed Power Transmission Project would include the following: Component B: Dnister PSP transmission connection. This component includes strengthening of the transmission connection of the Dnister Pumped Storage Project (PSP) with the national power grid at the 330 kV voltage level through the construction of the 80 km long transmission line Dnister PSP - Bar and the extension of the existing transmission line Dnister HPP (hydropower plant) - Ladizhinska TPP(thermal power plant) to the Dnister PSP. This consultancy refers solely to the above quoted project component B. Project Location The proposed transmission project is located in Western Ukraine between the towns of Novodnistrovsk (located on the S bank of Dnister river) at the Southern end, Bar at the North. The proposed favored alignment is mapped (on the attachment) though with some variability of the alignment to hundreds of meters. The southerly 12 kilometers of the line has already been covered by a Ukrainian EIA and is not proposed for Bank financing. The remaining 77 kilometers is proposed for Bank financing. The new power transmission line reportedly follow existing local roads and local rights-of-way for some of its length, with the majority of the alignment being in newly established or expanded ROW.

50 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

Project Objectives The overall objective of the Energy Sector Reform and Development Program is to improve the security, reliability and quality of the energy supply and, therefore, facilitate unimpeded operation of the energy market, both domestically and internationally. Also, the program supports Ukraine's aspirations with regard to legal, regulatory and technical harmonization and increasing energy trade with the EU Internal Energy Market. The main objective of the proposed Power Transmission Project is to improve reliability of power supply through the rehabilitation of transmission substations and the strengthening of the power transmission network. The project will also aim to upgrade the capabilities of transmission system operator, UkrEnergo (UE), so that it can assure security and reliability of power supply, including: (a) removing critical bottlenecks in transmission networks; (b) improving operational stability of power grid; (c) upgrading load dispatch and system control capabilities; and (d) upgrading infrastructure and systems for electricity market administration.

3. Objectives of Consultancy Assignment This consultancy assignment is set within the project preparation phase, aiming to establish an understanding of the environmental baseline along the proposed corridor, the potential impacts of the project (including any alternative alignments considered), as well as appropriate countermeasures and monitoring approaches before formal World Bank approval, for the benefit of the owner, the public and the financing institution (WB). The main objectives of this assignment are to (i) obtain a thorough understanding of the current project design, key technical aspects; (ii) conduct a comprehensive environmental assessment with the purpose of sufficiently understanding the current environmental baseline and the potential impact scenarios of the proposed project; (iii) identify measures avoid, minimize, or mitigate adverse environmental impacts of the transmission line in question, through the preparation of a corridor-specific Environmental Management Plan (EMP) which would apply to the construction and operational phases. The generic EMP prepared for the overall project [attachment 1] may be adapted as relevant, recognizing the need for some greater corridor specificity. (iv) elaborate a monitoring plan to ensure adequate criteria and observational approaches are taken for measuring, monitoring and enforcing environmental compliance during all phases of the project. A level of site specific detail appropriate to the requirements of OP 4.01 is expected. The Consultant will conduct a thorough field surveys, physically inspecing the whole alignment length and present his findings in a geo-referenced manner with graphic representations (thematic maps, drawings, schemes) allowing a precise location of environmental information to the layout of the project area and surrounding area. While the overall project has been rated as a "B" for Environmental Assessment (given the expected modest risk), the level of attention to the EIA will approximate that used for Category A projects under OP 4.01. The Consultant is referred to the World Bank safeguard policies for guidance regarding EA and related policies. The Client should be enabled to mainstream the findings from this assignment into work programs, tender documents and operational manuals for the detailed design, construction and operation phases of the project. 51 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> with a Reconstruction of the 330 kV Bar Substation

4. Scope of Work and Tasks of the Consultant The Consultant shall work closely with the UkrEnergo to obtain all relevant existing information, to establish familiarity with actual project design, site conditions, to interact and consult with all relevant stakeholders and to both profit from local knowledge and disseminate BAT in the Ukrainian working environment. The Consultant will prepare an EIA consisting of four key sections; outlined in 4.1 through 4.4 below. 4.1 Task 1: Establishment of Framework and Baseline Legal and administrativeframework The Consultant will review the relevant Ukrainian laws, standards and regulations that apply to transmission lines and similar works, and briefly explain their relevance and implications for the project. He will then compare in general terms Ukrainian requirements regarding environmental due diligence procedures for such lines with those practiced by the World Bank in their safeguard approaches in the region, and highlight the major differences if any. Project Description The consultant shall study and understand the technical interventions and activities planned under the project. The Consultant shall provide a summary technical description of the project components (such as access roads, towers, construction sites etc., planned or projected , with a special emphasis to those aspects of the project which are of particular relevance to the EMP. The Consultant shall be clear about scale and dimensions of the project as a whole and of each of the major sub-components. The Consultant will obtain, review and process reports and studies, design concepts, design documents, drawings, plans for site access, site preparation, construction camps and site infrastructure. The Consultant will summarize the project in a concise, understandable fashion, including maps and drawings to put the project in its regional and local geographical context and scale.

52 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

Baseline Data The Consultant will review all available relevant existing information from the projects database as well as secondary sources, as appropriate. These can include geological, hydro(geo)logical, geo- morphological, agricultural, demographical reports, land use plans, maps and scientific publications; data, reports and studies on the environmental baseline and existing anthropogenic impacts in the region. At the beginning and throughout the assignment the Consultant shall analyze and review the Ukrainian institutional arrangements for monitoring and enforcing environmental compliance. He shall identify the existing key players on national, regional and local level, be knowledgeable of relevant legislation, standards and regulations and compare them to best international practice. He ensure that Ukrainian regulations are reflected in the EIA, but shall note improvements where the legal framework of Ukraine leaves gaps or is distinctly less strict than international or World Bank standards. The Consultant shall familiarize himself with the World Bank safeguard policies (www.worldbank.org/safeguard) and bear their requirements in mind when conducting the project. A generic EMP for the planned transmission line has been elaborated and been disclosed to the public. It is available as an additional baseline information source to the Consultant. The Consultant will also prepare: * An inventory of physical cultural resources in the ROW and in neighboring areas which might be affected by the project following desk review, field studies and consultation with designated Ukrainian experts and authorities. *' An inventory of natural habitats (using World Bank OP 4.04 as a guide), including local parks, protected areas (established and proposed) and other locally-valued sensitive areas. *n A review of the current practices for the use of pesticides, herbicides and vegetation control around the ROW is managed; summarizing this vis-a-vis good practice. *n' A summary of natural site conditions along the corridor, water bodies and ground-water recharge areas (if known), wetlands, major anthropogenic activities and consequent environmental impacts, and other relevant features. *n The Consultant will identify any gaps regarding baseline information to be filled and draft a work program for additional site surveys and field investigations, if necessary. The Consultant will use the baseline data to define boundary conditions for the EMP. These findings and potentially resulting work programs for further surveys / site investigations will be summarized in a concise baseline / inception section of the EIA. 4.2 Task 2: Environmental Impacts Analysis for Alignment Alternatives The Consultant should perform a thorough analysis of the expected environmental impacts associated with the preferred alignment of the transmission line within the previously defined project boundaries, and beyond them where indirect impacts have been determined likely. He shall distinguish between significant positive and negative impacts, direct and indirect impacts, and immediate and long-term impacts. He should also characterize the extent and quality of available data, explaining significant information deficiencies and uncertainties associated with predictions of impacts. Comparison of impacts from preferred and other alternative considered (if any) will be included. Whenever possible impacts should be

53 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) oUKRENERGO>> of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

* described quantitatively as compared against relevant baseline data, * structured according to their persistence and magnitude (scale) * the geographical context of the impacts clearly delineated * uncertainties and different scenarios owing to data quality and limitations of predictability addressed * mitigation measures clearly coupled with environmental impacts and adequately described * residual negative impacts addressed and described, which cannot be mitigated The Consultant is expected to assess and analyze the following issues specific to transmission lines, both temporary (construction phase) and permanent (operation): Terrestrialhabitat alteration: * vegetation damage, natural habitat (and critical natural habitat) loss; along the ROW and access roads and around any substation sites (during construction and during operation); * any potential for invasive plant species on ROW, * habitat fragmentation or disturbance, loss of forest area; * interference with (migratory) bird and bat flight patterns * waste management, discharges and emissions, land degradation and damage to vegetation, disturbance of wildlife during line construction; Aquatic habitat alteration: * runoff and sedimentation from grading for access roads, tower pads, and substation facilities, alteration of hydrological patterns due to maintenance roads * construction activities near / in aquatic ecosystems at water crossings of ROW * discharge of liquid waste into aquatic ecosystems, accidental spills Impacts on socio-economic issues and culturalproperty: * disturbance / degradation / removal of physical cultural assets * health effects and annoyance from electromagnetic radiation and ambient noise * interference of power line operation with communication systems in the area (telephone, radio, television, etc.) * aesthetic impact on landscape, visibility from villages and settlements * noise, dust, emissions and increased traffic during construction period Waste and hazardous materials * insulating oils * fuels and lubricants used during construction time * construction site waste management * use of herbicides for ROW maintenance Furthermore the Consultant should prepare a summary of relevant occupational health and safety provisions to be implemented during transmission line construction.

54 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

The impact assessment should specifically address individually identified sensitive areas such as proposed or established protected areas, water bodies, valuable forests), within their local context in the transmission line corridor. The individual impacts should be listed and described in an inventory, which, by inclusion of labeled locations and geographical coordinates can be referenced to detailed maps (scale 1:50.000 or larger) included in the deliverables. The use of geographical information system (GIS) software is highly encouraged. For delineating the scope of the EMP relevant Ukrainian regulations and standards shall be applied, governing environmental quality, health and safety, protection of sensitive areas and others tied to the planned civil works in the project context. These regulations and standards will be augmented by other best practices. The Consultant will deliver this information in the detailed EIA report with attached supporting documentation, such as original data, aerial photos, maps and site photographs.

4.3 Task 3: Development of Environmental Management Plans Based on the identified potential environmental impacts, an environmental management plan (EMP) shall be developed for the construction and operational phase of the completed transmission line. The EMP shall recommend feasible and cost effective measures to prevent or reduce significant negative impacts to acceptable levels at the relevant project phases. Mitigation measures should be amenable to later incorporation into works contracts and any manuals and guidelines for operation. The following points should be regarded by the Consultant in the EMP: * mitigation measures should adequately address all identified key environmental impacts; * for each mitigation measure, the level of technical detail and design should be sufficient for implementation (i. e. for mainstreaming into tender documents); * environmental impacts of the mitigation measures should be adequately and quantitatively described; * linkages should be provided with other mitigation plans (resettlement, cultural property), if applicable; * all key environmental impacts that are later addressed in the monitoringplan; * corrective / contingency measures should be specified in detail sufficient for implementation / execution; * the responsibilities, capacities, capabilities of the implementing and regulating entities should be clearly known; * training / staffing arrangements should be outlined to ensure sufficient capabilities for implementation and supervision of the EMP and monitoring plan. Special attention should be paid to minimizing risks resulting from dealing with any hazardous materials (e. g. toxic or flammable liquids), and complying with occupational health and safety rules. The Consultant should establish specific criteria when to test for quality and harmlessness of consumables or construction materials (e. g. paints, coatings, isolation). The impacts and costs of those measures, and of the institutional and training requirements to implement them, shall be estimated, including proposed work programs. The provisions in the EMP should be amenable to be directly integrated into the tender documents by the project developer.

55 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

The EMP shall also include a guide or references to good practice documents related to construction works. 4.4 Task 4: Monitoring Plan A Monitoring Plan (MP) will be prepared by the Consultant, which will include two general aspects: 1) ascertaining the correct implementation of activities and measures outlined in the EMP and 2) monitoring of specific environmental conditions. The MP should essentially answer the key questions listed below. It can be developed in tabular form with annotations and footnotes to explain technical details. It shall cover the construction phase as well as the operation of the completed transmission line. What is to be monitored? A list is to be elaborated of the major processes and parameters to be monitored, such as vegetation clearing (area surveys), dust generation on access roads (visual), waste management (volume accounting, disposal records) and land use by construction infrastructure and facilities (area surveys). Where will be monitored? A plan / map at an appropriate scale will be produced, describing the locations of monitoring activities. These should include the locations of major project components and installations and monitoring locations. These should be laid out in a way to reflect broad environmental impact as well as specific situation near sensitive features. How are the parameters to be monitored? The Consultant should list at the appropriate level of detail, the proposed methods (visual, surveys, measurements...), equipment, and procedures. Situations which would signal stepping up the program (e. g. by increasing frequency) or corrective actions shall be identified. When is the parameterto be monitored? In this section the Consultant will elaborate on the frequency of measurements at the individual monitoring areas / locations. The duration of observing particular parameters in relation to construction activities and during operation shall be indicated (not all parameters might have to be monitored throughout all phases with the same frequency). Monitoring cost estimates The incremental and total charges for equipment, on- and off-site services (e. g. measurements, expert time, laboratory tests) and Consultant's services for the duration of the project should be estimated. The Consultant shall develop specific solutions for the above questions differentiating between the construction and operation phases. The Monitoring Plan shall constitute a key deliverable to be submitted by the Consultant. All project activities and findings will be presented in a final project report in a concise, summary way. The heart of the final project report will constitute a non technical summary with references to a clearly structured package of detailed technical reports and documents. 4.5 Task 6: Stakeholder Information The consultant will assist the Client / Borrower in coordinating the EA process with relevant stakeholders on the regional and local level and will advise the government how to arrange a second round of consultations (one was completed by mid-2006) with groups likely to be affected by the

56 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

proposed project and with local NGOs on the environmental aspects of the proposed project following the disclosure of a draft EIA. The draft EIA report will be disclosed to the public and presented to involved stakeholders . The Consultant shall assist the Client/Borrower in present the key findings and proposed measures at meetings, lasting about 3 hours, in the project area. The response of the public to the draft EIA will be recorded and, if indicated, the document modified and updated accordingly for the final version, thus helping the government to ensure that stakeholders' views regarding project design, implementation and monitoring are taken into account.

5. Qualifications. The required qualification profile will warrant a consulting firm or an association of individuals. The Consultant must be able to demonstrate profound experience in projects with comparable professional background. He shall demonstrate knowledge of the special technical aspects of power transmission technology. The Consultant shall have and be able to document a strong background in environmental and social science, environmental engineering and management. Relevant experience from environmental and socio-economic assignments in infrastructure and energy projects is mandatory. Work experience in low income developing countries, especially countries in transition of the ECA' region, will be an important asset.

6. Client's Services The Client will assist the Consultant with the following services, provided free of charge and in a timely fashion within the project's schedule: * free and uninhibited access to the project area; * access to all available relevant information on project design and project area; * organizing venues and invitations to stakeholder meetings in the project area.

7. Duration of Assignment, Deliverables and Payment [Note: This section is our estimate only; and could be adjust accordingly] The consultant will enter a fixed-term contract with the Bank per standard terms and conditions. It is expected that total level of effort for the services will not exceed 6 pM2 extended over a period of max. 3.5 calendar months. One block of public meetings is expected to be carried out in week 9 of the assignment. The submission of deliverables shall be scheduled as follows below:

Calendar weeks from Task No. Deliverable contract starting date (D=draft, F=final)

1 Inception / Baseline Report 5 (F)

2-5 EIA, EMP, MP and 8(D)

(Eastern) Europe and Central Asia 2 Person-Months 57 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar < with a Reconstruction of the 330 kV Bar Substation

Institutional Assessment Report

6 Stakeholder presentation and 9 consultation

2-5 EIA, EMP, MP and 10 F Institutional Assessment Report (F)

The consultant will be selected and contracted by UkrEnergo using the World Bank's procurement procedures for consultancy assignments. Reporting on the assignment will be to the UkrEnergo Task Manager. The consultant should be prepared work closely with UkrEnergo project management unit - PMU and with local specialists. The contract will be a time based contract with a defined ceiling sum. Direct costs such as travel, accommodation, consumables, as well as per diems will be quoted separately and reimbursed against receipts. Interim payments will be released against specific achievements such as completion of specific tasks and the submission of reports. The following payment schedule is foreseen: * 20% at contract signature, * 30% on delivery and acceptance of draft deliverables of tasks 2-5 * 50% on delivery and acceptance of final deliverables of tasks 2-5

58 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) with a Reconstruction of the 330 kV Bar Substation

Annex B: Transmission Line Route. Alternatives I, 11, and 111. Scale 1 in 100 000.

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59 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar < with a Reconstruction of the 330 kV Bar Substation

Annex C: Plan of Ecological Zones along the Route of Transmission Line

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60 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

Annex D: Draft Land Use Agreement See attached

61 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) with a Reconstruction of the 330 kV Bar Substation

Annex E: Letter from Environmental Protection Department of Vinnytsia Oblast (# 3804/04 of 28 November 2006) November 18, 2006

Ref. # 3 804/04 Y.M. Navrotsky Director, South-Western Power System SE "NEC "Ukrenergo"

Re. Data Inputfor EnvironmenitalImpact Assessmenit

In response to your letter, the State Environmental Department in Vinnytsia Oblast is sending you the map of the national ecological corridor in the Dniester River Basin, the regional ecological corridor along the Liadova River, the designed Regional Landscape Reserve "Dniester", and the protected areas located in the zone of new transmission line project.

We would also like to draw your attention to the fact that the designed transmission line crosses the regional ecological corridors located along the Rivers of Murafa and Riv (plotted on the map).

You may obtain the information about economic value of plant and animal species and migration routes of birds at M.G. Kholodnyi Botany Institute (2 Tereshchenkivska St., Kyiv 01601) and at I.I. Shmalgauzen Zoology Institute (15 B. Khmelnitskogo St., Kyiv 01601) of the National Academy of Science.

The sizes and boundaries of protection zones are regulated in accordance with Article 87 of the Water Code of Ukraine.

Attachment: Map of protected objects and areas located in the zone of new Transmission Line Novodniestrovsk - Bar.

O.G. Yavorska Head of State Environmental Department in Vinnytsia Oblast Ministry of Environmental Protection of Ukraine

Copied to: Mr. I.S. Satursky, Project Engineer Mr. Y.M. Kalyniv Mr. Valytsky

62 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> with a Reconstruction of the 330 kV Bar Substation

Annex F: Insertion in Vinnytska Gazeta Newspaper of 23 November 2006 Newspaper "Vinnyts'ka Gazeta", November 24, 2006, NE 6134

To the Attention of Oblast Residents

The South-West Electrical Power System has a pleasure to invite the oblast residents to participate in the public discussion of the building project "Dnistrovs'ka HPSPP-Bar 330 kV OTL" and its environment effect. The discussion will take place: - city of Bar - House for Culture - November 28, 2006, 10:00; - city of Murovani Kurylivtsi - House for Culture - November 28, 2006, 14:00. Contact telephone numbers: city of Vinnytsya - (0432) 63-41-98; city of Bar - (04341) 2-24-63; city of Murovani Kurylivtsi - (04356) 2-14-63

63 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) < of the project 330 kV Transmission Line of the Dniester HPPS-Bar < with a Reconstruction of the 330 kV Bar Substation

Annex G: Letters of Invitation for Bar Rayon MINISTRY OF FUEL AND ENERGY OF UKRAINE PUBLIC ENTERPRISE "NATIONAL POWER COMPANY "UKRENERGO" SOUTH-WEST ELECTRICAL POWER SYSTEM

Vul. I.Boguna, 5, Vinnytsya, 21100 tel. (0432) 32-58-94, 32-60-33, fax 38-41-88; tel. 38-41-66 bank account 26002301198 at a branch of Vinnytsya Central Office of Prominvestbank, MFO 302571, code 21725012

November 22, 2006 N° 14-1/2672 Head of Bar Environmental Inspectorate Of Bar Region

On Public Discusion of the Building Project Dnistrovs'ka HPSPP-Bar 330 kV OTL and Its Environment Effect Assessment

The South-West Electrical Power System of the Public Enterprise "National Power Company "Ukrenergo" is planning to build 330 kV overhead transmission line between Dnistrovs'ka HPSPP and Bar 330 kV substation attracting the credit funds of the World Bank. The 87 km long line will cross the territory of the following three districts: Mohyliv-Podil's'ky, Murovani Kurylivtsi and Bar. To inform the community on importance of the OTL building, SWEPS of PE NPC "Ukrenergo" and the World Bank conduct information meetings to discuss the building project as regards assessment of its environment effect according to the international standards. We have a pleasure to invite you to participate in the discussion which will take place in the premises of the House of Culture of the city of Bar at 10:00 on November 28, 2006.

Director (signature) E.Navrots'ky

Grebeniok V.M. 63-41-98 63-49-12

64 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar < with a Reconstruction of the 330 kV Bar Substation

Annex H: Letters of Invitation for Murovani Kurylovtsi Rayon

MINISTRY OF FUEL AND ENERGY OF UKRAINE PUBLIC ENTERPRISE "NATIONAL POWER COMPANY "UKRENERGO" SOUTH-WEST ELECTRICAL POWER SYSTEM

Vul. I.Boguna, 5, Vinnytsya, 21100 tel. (0432) 32-58-94, 32-60-33, fax 38-41-88; tel. 38-41-66 bank account 26002301198 at a branch of Vinnytsya Central Office of Prominvestbank, MFO 302571, code 21725012

November 22, 2006 X2 14-1/2673 Head of Murovani Kurylivtsi District Office for Land Resources

On Public Discusion of the Building Project Dnistrovs'ka HPSPP-Bar 330 kV OTL and Its Environment Effect Assessment

The South-West Electrical Power System of the Public Enterprise "National Power Company "Ukrenergo" is planning to build 330 kV overhead transmission line between Dnistrovs'ka HPSPP and Bar 330 kV substation attracting the credit funds of the World Bank. The 87 km long line will cross the territory of the following three districts: Mohyliv-Podil's'ky, Murovani Kurylivtsi and Bar. To inform the community on importance of the OTL building, SWEPS of PE NPC "Ukrenergo" and the World Bank conduct information meetings to discuss the building project as regards assessment of its environment effect according to the international standards. We have a pleasure to invite you to participate in the discussion which will take place in the premises of the House of Culture of the city of Murovani Kurylivtsi at 14:00 on November 28, 2006.

Director (signature) E.Navrots'ky

Grebeniok V.M. 63-4 1-98 63-49-12

65 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar < with a Reconstruction of the 330 kV Bar Substation

Annex I: Protocol of Meetings

THE MINUTES Public consultations and dissemination of information on the building project "Dnistrovs'ka HPSPP-Bar 330 kV OTL and enlargement of Bar 330 kV SS territory"

The meetings took place according to the schedule below on December 28, 2006:

1. Bar District State Administration: Vul. 50 Years of October, 12, city of Bar, Vinnytsya Oblast; conference hall, November 28, 2006, 10:00; 2. Murovani Kurylivtsi State Administration: Vul. Lenina, 74, urban-village of Murovani Kurylivtsi, Vinnytsya Oblast; House for Culture, November 28, 2006, 14:00.

1. Informing procedure The written invitations to participate in the meetings with the community and to disseminate information were sent to official stakeholders, non-state and public institutions as well as local people who may suffer due to some effect caused by implementation of the project (copies of invitation letters and the copy of announcement in "Vinnyts'ka Gazeta" newspaper are enclosed). The document containing information on the project was sent by mail to official institutions, both public and non-state, which may suffer due to some effect caused by implementation of the project or interested in the project. This is why their participation in the meetings defining the content of the project and in public discussion is important (mailing list is enclosed).

1. The participants of the meetings The list of participants of all meetings is enclosed to the Minutes.

The speakers of the meetings of public consultations and dissemination of information on the project: For the project owner that of the South-West Electrical Power System of NPC "Ukrenergo": Navrots'ky E.M. - Director of the South-West Electrical Power System; Grebeniok V.M. - Deputy Director of the South-West Electrical Power System; For the Project Design Institute that of Lviv Branch of the Institute "Ukrenergomerezhproect":

Saturs'ky I.S. - Chief Engineer of the Project

2. Agenda Introduction - Navrots'ky E.M.; Information on building of the overhead transmission line (on materials and elements) - Grebeniok V.M.; Information on possible environment effects - Saturs'ky I.S.

Heard:

66 ENVIRONMENTAL IMPACT ASSESSMENT (EtA) < with a Reconstruction of the 330 kV Bar Substation

Navrots'ky E.M. - the objective of the meeting is to provide information to the local community on the building project "Dnistrovs'ka HPSPP-Bar 330 kV OTL and enlargement of Bar 330 kV SS territory". OTL, which is planned to be built, will be a power line of state property. The building is planned for 2006-2007. It will be accomplished by the South-West Electrical Power System of NPC "Ukrenergo" and supported by the European Bank of Reconstruction and Development (EBRD). According to the EBRD requirements, it is necessary to hold public discussion on possible environment effect of the line and development of measures to reduce possible negative effect. According to the action plan on ensuring power safety of Ukraine approved by the President's Edict N2 1863/2005 of December 27, 2006, and to use capacity of Dnistrovs'ka HPSPP within the integrated power system of Ukraine, it is necessary to build this line. Building of Dnistrovs'ka HPSPP, as accumulating station, is aimed at equalizing of consumption schedule of electric power which will result in stabilization of voltage, especially within adjacent network, and it will raise the quality of electric power transmitted to consumers. Connection of Dnistrovs'ka HPSPP to the network of IPS of Ukraine will be maintained by reconstruction of active lines and 330 kV OTL as well as by building of new 330 kV lines which will raise reliability of electric power supply to consumers in Vinnytsya, Khmelnyts'ky and Chemivtsi oblasts. For instance, building of Dnistrovs'ka HPSPP-Bar 330 kV OTL will raise reliability of electric power supply to consumers of Bar electric power unit in two times.

Grebeniok V.M. - the work before the project to select the run for Dnistrovs'ka HPSPP-Bar 330 kV OTL was accomplished by Lviv Branch of the Institute "Ukrenergomerezhproect". The Institute has been well known since the time of the . It has acquired a great experience designing the lines like this one having necessary licenses and permits. We, as the project owners, believe that all designing standards will be observed in the project. The building will be accomplished after tender by Ukrainian companies. The Ukrainian materials (manufactured in Stryi, Donbass and the Crimea) will be used in the building. It is compulsory that all losses (damage caused to crops) caused by the building will be reimbursed to the population. The necessary finances will be in the project for it.

Saturs'ky I.S. - when accomplishing design of Dnistrovs'ka HPSPP-Bar 330 kV OTL and enlargement of Bar 330 kV SS territory, the optimal route was selected for OTL to avoid negative environment effect. Environment effect assessment (EEA) is a part of standard procedures for Ukraine which must be accomplished in the period of project design and obtaining permits. The line's length is 73 km, the average height of towers is 27 m, allotment of land for intermediate tower is 52 m2 and for angle-tension tower is 82 m2 , the width of the sanitary zone of the line is 20 m, the width of the conservation zone of the line is 30 m from the last wire on both sides of OTL, minimal length of span is 276 m. The period of the line's building is planned for 8 months. The OTL run is selected to be away from populated areas, probable separate buildings and fields to reduce negative effect of electromagnetic field. The run will go along field roads and highways of III-IV categories, 0.1-0.4 km away from them and cross them. The run's relief is wavy and humpy. OTL will cross a wide canyon like forest-covered valley of the Karaets' river. The width is approximately 600 m. It will also cross the storage pond on the Lyadova river, the Murafa river and the Riv river as well as the railway Zhmerinka - Mohyliv-Podilsky and Zhmerynka - Bar; and it will cross three gas mains of high pressure and 110 kV OTL and 0.4 kV OTL.

3. The result of the meetings (1) Bar District State Administration: Vul. 50 Years of October, 12, city of Bar, Vinnytsya Oblast; conference hall, November 28, 2006, 10:00

Questions: 67 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <, of the project 330 kV Transmission Line of the Dniester HPPS-Bar < with a Reconstruction of the 330 kV Bar Substation

Question 1: Khimich M.A., Deputy Head of "Barteploenergo": "Is the building of 330 kV OTL a part of the development plan of Ukraine?" Answer: Navrots'ky E.M.: "As I explained before, the building is in the list of activities to ensure power safety of Ukraine approved by the President's Edict X2 1863/2005 of December 27, 2006."

Question 2: Hryts'kiv R.R., Deputy Head of the Land Resources Office: "When building OTL, the rights of the citizens-land owners will not be infringed, will it?" Answer: Grebeniok V.M.: "The process of allotment of land is regulated by active legislation of Ukraine. The design institute "Zemleustriy" has implemented the project on allotment of land. With each land owner, whose land will be in the zone of tower building, the agreement will be concluded on transfer of ownership to NPC "Ukrenergo" in accordance with the law. The institute "Zemleustriy" will prepare the necessary documents which will be approved by district state administrations."

Question 3: Nikitin S.S., Deputy Head of the Town-Planning Inspection: "Have you provided for finances to reimburse losses in agricultural production in the period of building?" Navrots'ky E.M.: "It is compulsory that enough finances are provided for to reimburse losses in agricultural production in the period of building."

Question 4: Moroz P.M., Chief State Sanitary Inspector of the District: "What is the effect of radiation on crop capacity?" Saturs'ky I.S.: "The OTL route runs along the field edges. It will reduce every effect. The average tower height is 27 m. It will not hinder agrarian work and agrarian machinery operation. Electromagnetic field does not effect crop capacity, but under certain circumstances it can effect people. This is why the line will be in a maximal distance from the inhabited areas."

Question 5: Levyts'ky S.M., Editor of "Barchany" newspaper: "Will electric power supply in Bar District be improved?" Navrots'ky E.M.: "The building of OTL will raise reliability of electric power supply in Bar District."

Folyushnyak L.F., Deputy Chairman of Bar District State Administration, emphasised importance of the overhead transmission line building project discussion. She confirmed necessity and importance of the line for the district and urged to support the started work. She asked to contact the District and local councils as well as land owners within the building period.

There were no more questions, and the agenda was over.

(2) Murovani Kurylivtsi State Administration: Vul. Lenina, 74, urban-village of Murovani Kurylivtsi, Vinnytsya Oblast; House for Culture, November 28, 2006, 14:00.

Questions:

Question 1: 68 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) < of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

Lischenko I.V., Deputy Head of the Land Resources Office: "How will allotment of land for towers be legalized? What is the role of the District State Administration in it?"

Answer: Grebeniok V.M.: "The allotment of land is regulated by active legislation of Ukraine. The design institute "Zemleustriy" has implemented the project on allotment of land. With each land owner, whose land will be in the zone of tower building, the agreement will be concluded on transfer of ownership to NPC "Ukrenergo" in accordance with the law. The institute "Zemleustriy" will prepare the necessary documents which will be approved by district state administration."

Question 2: Ivantsov P.V., Chairman of the District Council: "Is the line the property of the state? Who guarantees repay of credit for the line building?" Answer: Navrots'ky E.M.: "The overhead transmission line, which project is discussed now, will be the property of the state. Preparation of the project "Dnistrovs'ka HPSPP-Bar 330 kV OTL and enlargement of Bar 330 kV SS territory" has been implemented within approved action plan for implementation of the Cooperation Program between the Govemment of Ukraine and EBRD according to which repay of credit is guaranteed."

Question 3: Scherblyuk O.V., Deputy Head of the Main Current Networks: "What is the cost of the project? Will electric power tariffs rise?" Answer: Grebeniok V.M.: "The project cost is about 200 mln. UAH. It will not effect tariffs for population."

Question 4: Okaevych V.G., Head of the Environment Inspection Section: "What is a possible effect of electromagnetic field of the overhead transmission line of this voltage on people and crops in the areas where the line will run?" Answer: Saturs'ky I.S.: "The OTL route is selected to run along the field edges. It will reduce to minimum negative effect. The length of span is about 276 m, there will be no more than 5-6 towers on plots. The height of towers is 27 m. OTL will not hinder agrarian work and agrarian machinery operation. Electromagnetic field does not effect crops. Under certain circumstances it can effect people, but it has been designed observing all active standards and requirements, and it will run far away from the populated areas."

Question 5: Pazur Yu.A., Head of the Town-Planning and Architecture Inspection: "In the period of building heavy machinery ruins highways which condition, even now, is not satisfactory. Is reimbursement for ruining of highways provided for?" Answer: Grebeniok V.M.: "The issues like this will be considered as one goes."

Question 6: Koval M.I., Head of the Office of "Nashe Prydnistrov'ya" newspaper: "Has the project undergone examination?" Answer: 69 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

Grebeniok V.M.: "Yes, this project should undergo complex state examination which will be done by the company 'Ukrlnvestexpertisa', including environmental expertise".

Mr. Voit V.I, Deputy head of the regional administration of Myrovanikirilivskogo region highlited importance of the public consultations done on transmission project, confirmed importance of it's construction, asked everyone to support beginning of this project and asked for support for the project during construction phase by regional and local authorities as well as land owners. At this stage all the questions were asked and agenda for Public Consultations complete.

Annexes: 1. List of officially invited interested parties. 2. Example of Invitation Letter. 3. Copy of newspaper publication (on 3 pages). 4. List of Participants (on 2 pages)

Head - leading Public Consultations: Deputy director of capital construction South-Western Energy Systems NEK 'UkrEnergo' V.M. Grebenuk

Secretary: Engineer VBK South-Western Energy System NEK 'UkrEnergo' V.D. Nevinchana

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Annex J: List of Participants in Public Consultations Ref. # 6515 15 December 2006

List of Participants of Public Consultations on Bar-Novodniestrovsk High-Voltage Line Construction

LII Name Place of Residence Office Note 1 Petro Olexiyovych Voytiuk Antonivka Village, Head of Village /Signed/ Bar Rayon Council 2 Mykola Antonovych Balky Village, Bar Head of Village /Signed/ Sovestianov Rayon Council 3 Vasyl Olexiyovych Voinashivka Village, Head of Village ISignedl Skochak Bar Rayon Council 4 Vasyl Volodymyrovych Volodiyivtsi Village, Head of Village /Signed/ Dubchak Bar Rayon Council 5 Yaroslav Mykhailovych Gayove Village, Bar Head of Village /Signed/ Khoroshun Rayon Council 6 Nadiya Anatoliyivna Garmaky Village, Head of Village /Signed/ Stadnik Bar Rayon Council 7 Mykhailo Kostiantynovych Guli Village, Bar Head of Village /Signed/ Fedoryshyn Rayon Council 8 Vasyl Olexandrovych Zhuravlivka Village, Head of Village ISignedl Dolynnyi Bar Rayon Council 9 Volodymyr Vasyliovych Ivanivtsi Village, Bar Head of Village /Signed/ Savoliuk Rayon Council 10 Anatoliy Mykhailovych Karyshkiv Village, Head of Village ISignedl Butsvin Bar Rayon Council 11 Volodymyr Saveliyovych Komarivtsi Village, Head of Village /Signed/ Pikhur Bar Rayon Council 12 Mylenkyi Victor Kuzmyntsi Village, Head of Village ISignedl Mykolayovych Bar Rayon Council 13 Pavlo Volodymyrovych Lisove Village, Bar Head of Village /Signed/ Vityk Rayon Council 14 Mykola Petrovych Luka-Barska Village, Head of Village /Signed/ Nechytailo Bar Rayon Council 15 Jabir Mamedovych Malchivtsi Village, Head of Village /Signed/ Mamedov Bar Rayon Council 16 Mykola Borysovych Mankivtsi Village, Head of Village /Signed/ Zbrozhek Bar Rayon Council 17 Valeriy Petrovych Mateykiv Village, Head of Village /Signed/ Vasiutynskyi Bar Rayon Council 18 Volodymyr Stepanovych Mygalivtsi Village, Head of Village /Signed/ Kazik Bar Rayon Council 19 Petro Boleslavovych Mytky Village, Bar Head of Village ISignedl Kolodiy Rayon Council 20 Igor Mykhailovych Popivtsi Village, Bar Head of Village /Signed/ Andrukhov Rayon Council 21 Grygoriy Mykhailovych Tereshky Village, Head of Village /Signed/ Yurchak Bar Rayon Council 22 Petro Anatoliyovych Chemeryske Village, Head of Village /Signed/ Vitkovskyi Bar Rayon Council

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23 Oxana Ivanivna Melnyk Antonivka Village, Secretary of ISignedl Bar Rayon Village Council 24 Zhanna Yosypivna Bilyk Balky Village, Bar Secretary of ISignedl Rayon Village Council 25 Oxana Petrivna Shevchuk Voinashivka Village, Secretary of /Signed/ Bar Rayon Village Council 26 Liubov Stepanivna Tretiak Gayove Village, Bar Secretary of /Signed/ Rayon Village Council 27 Nadiya Grygorivna Vovk Guli Village, Bar Secretary of /Signed/ Rayon Village Council 28 Galyna Ivanivna Tretiak Ivanivtsi Village, Bar Secretary of /Signed/ Rayon Village Council 29 Yevdokia Victorivna Kuzmyntsi Village, Secretary of /Signed/ Revchuk Bar Rayon Village Council 30 Volodymyr Fedorovych Bar Government /Signed/ Zhakharchuk Controller on Ecology and Natural Resources in Bar Rayon 31 Regina Romanivna Bar Deputy Head of /Signed/ Grytskiv Land Department, State Administration of Bar Rayon

List of Participants of Public Consultations in Murovani Kurylovtsi Rayon on Construction of 330 kV Overhead Transmission Line for Dniester PSPP

LII Name Address Position Signature I L.M. Andrushchak I Goryncuka St. Secretary of Village Council /Signed/ 2 T.D. Pozur 37 Rudanskogo Chief Accountant of Village /Signed/ St. Council 3 Y.A. Pozur 28 Zovtneva St. Inspector of Department for /Signed/ State Architectural and Building Control 4 A.O. Cheryvchuk 18 Zhovtnevyi Head of Architect's Bureau /Signed/ Lane 5 O.A. Cheryvchuk 18 Zhovtnevyi Occupational Safety /Signed/ Lane Engineer, Rayon Intersectoral Construction Department 6 L.P. Shevchuk 6-A Gorynchuka Accountant of Architect's ISignedl St. Bureau 7 O.B. Moroz 88 Lenina St. Rayon Architect /Signed/ 8 G.M. Tsybulska 148 Lenina St. Head of Village Council /Signed/ 9 P.V. Bagriy 170-A Lenina St. Rayon State Administration /Signed/ 10 V.D. Bazyshyn 13 Rayon State Administration /Signed/ Sorokarichchia Zhovtnia St. 72 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> with a Reconstruction of the 330 kV Bar Substation

11 Y.V. Berbeniuk 35 Rudanskogo Pensioner /Signed/ St. 12 O.V. Bilyk 176 Lenina St. Entrepreneur /Signed/ 13 A.L. Bondar 1 Zhovtneva St. Specialist of Rayon State /Signed/ Administration 14 V.M. Gladiy 44 Komarova St. Driver, Rural Cooperative /Signed/ Society 15 A.O. Goldynskyi 146 Lenina St. Pensioner /Signed/ 16 A.M. Gora 35 Zhovtneva St. Entrepreneur /Signed/ 17 V.V. Dolia 3 Zhovtneva St. Private Notary /Signed/ 18 O.S. Dorosh 81 Poliova St. Pensioner /Signed/ 19 A.A. Zadorozhnyi 138 Lenina St. Head of Electron Coupling /Signed/ Shop 20 P.V. Ivantsov 146 Komarova Head of Rayon State /Signed/ St. Administration 21 N.O. Kamenska 4 Zhovtneva St. Deputy Head of Rayon State /Signed/ Administration 22 S.V. Ladan 53 Lenina St. Deputy Head of Rayon State ISignedl Administration 23 V.I. Voyt 126 Lenina St. Deputy Head of Rayon State /Signed/ Administration 24 I.P. Gonchar 138 Lenina St. First Deputy Head of Rayon /Signed/ State Administration 25 L.M. Mykhailivska 12 Kirova Av. Specialist in Land ISignedl Management, Village Council 26 A.M. Lutska 42 Kirova St. Secretary of Rayon State /Signed/ Administration 27 V.P. Dudnik 39 Chapayeva St. Inspector, Rayon Electricity /Signed/ Supply Network 28 O.V. Shcherbaniuk 28 Chapayeva St. Deputy Director, Rayon /Signed/ Electricity Supply Network 29 S.A. Lebed 54 Lenina St. Deputy Director, Rayon /Signed/ Electricity Supply Network 30 O.B. Pastukh 6 Komarova St. Head of Emergency /Signed/ Department, Rayon State Administration

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LIST OF PARTICIPANTS of the public consultations to disseminate information on the building project "Dnistrovs'ka HPSPP-Bar 330 kV OTL and Reconstruction of Bar 330 kV SS"

1. Bar District State Administration: Vul. 50 Years of October, 12, city of Bar, Vinnytsya Oblast; conference hall, November 28, 2006, 10:00 N° Name, position Institution/ Address Additional private person information/ remarks 1 2 3 4 5 1 Folyushnyak L.I Bar District State Vul. 50 Years of Administration, Deputy October, 12, city of Bar Chairman 2 Sinchak M.S. Bar District Council, Vul. 50 Years of Deputy Chairman October, 12, city of Bar 3 Zakharchuk V.F. Head of the Environment Vul. Gagarina, 1, Inspection Section of the city of Bar State Environment Protection Department 4 Moroz P.M. Chief State Sanitary Vul. Rosy Luxemburg, Inspector 24, city of Bar 5 Hryts'kiv R.R. Deputy Head of the District Vul. Proletars'ka, 6, Land Resources Office city of Bar 6 Nikitin S.S. Deputy Head of the Town- Vul. 50 Years of Planning and Architecture October, 12, city of Bar Inspection 7 Khimich M.A. Deputy Head of "Barteploenergo" 8 Levyts'ky S.M. Editor of "Barchany" newspaper 9 Tetyanchuk A. Deputy Editor of "Podil's'ky Krai" 10 Nadvoma N.O. Head of the Infrastructure Development office 11 Chairmen of 11 village councils of the district 2. Murovani Kurylivtsi State Administration: Vul. Lenina, 74, urban-village of Murovani Kurylivtsi, Vinnytsya Oblast; House for Culture, November 28, 2006, 14:00. 12 Voyt V.I. District State Vul. Lenina, 74, urban- Administration, Deputy village of Murovani Chairman Kurylivtsi 13 Ivantsov P.V. District Council, Chairman 14 Yurchenko I.V. Chief State Sanitary Inspector 15 Okaevych V.G. Head of the Environment Vul. Lenina, 135, Inspection Section of the urban-village of State Environment Murovani Kurylivtsi Protection Department

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16 Lischenko I.V. Deputy Head of the District Land Resources Office 1 2 3 4 5 17 Pozur Yu.A. Head of the Town-Planning and Architecture Inspection 18 Scherblyuk O.V. Deputy Head of the Main Current Networks 19 Guk I.I. Head of "Raiagrolis" 20 Koval M.I. Head of the Office of "Nashe Prydnistrov'ya" newspaper 21 Chairmen of 5 village councils of the district

22 Navrots'ky E.M. Director of South-West Vul. I.Boguna, 5, Electrical Power System city of Vinnytsya 23 Grebeniok V.M. Deputy Director of South- Vul. I.Boguna, 5, West Electrical Power city of Vinnytsya System 24 Rakhovs'ky K.V. Deputy Head of the Capital Vul. I.Boguna, 5, Construction Office city of Vinnytsya 25 Nevinchana V.D. Engineer of the Capital Vul. I.Boguna, 5, Construction Office city of Vinnytsya 26 Saturs'ky I.S. Chief Engineer of the Vul. Heroiv Krut, 1-A, Project of Lviv Branch of city of Lviv the Institute "Ukrenergomerezhproekt" 27 Kalyniv Yu.M. Head of General Layout Vul. Heroiv Krut, 1-A, Section of Lviv Branch of city of Lviv the Institute "Ukrenergomerezhproekt"

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INVITATION LIST for participation in the meetings with the community on the building project "Dnistrovs'ka HPSPP-Bar 330 kV OTL and enlargement of Bar 330 kV SS territory"

Bar District

1. Chairman of the District State Administration 2. Chief State Sanitary Inspector 3. Head of the District Land Resources Office 4. Head of the Town-Planning and Architecture Inspection and Housing and Communal Services 5. Head of the Environment Inspection Section of the State Environment Protection Department 6. Director of the Public Enterprise of Zhmerynka Forestry 7. Director of Raiagrolis 8. Chairman of Verkhivs'ka Village Council 9. Chairman of Popovets'ka Village Council 10. Chairman of Ivanovets'ka Village Council 11. Chairman of Antonivs'ka Village Council 12. Chairman of Verkhivs'ka Village Council 13. Chairman of Mal'chovets'ka Village Council 14. Chairman of Mytkivs'ka Village Council 15. Chairman of Supivs'ka Village Council 16. Chairman of Kuzminets'ka Village Council 17. Chairman of Voynashivs'ka Village Council 18. Chairman of Supiyvs'ka Village Council

Murovani Kurylivtsi District

19. Chairman of the District State Administration 20. Chief State Sanitary Inspector 21. Head of the District Land Resources Office 22. Head of the Town-Planning and Architecture Inspection and Housing and Communal Services 23. Head of the Environment Inspection Section of the State Environment Protection Department 24. Director of Raiagrolis 25. Chairman of Rivnens'ka Village Council 26. Chairman of Dolynyans'ka Village Council 27. Chairman of Rozdolivs'ka Village Council 28. Chairman of Popelyukhivs'ka Village Council 29. Chairman of Kurashiyvs'ka Village Council

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Annex K: Insertion in Podilskyi Krai Newspaper of 2 December 2006 Newspaper "Podil's'ky Krai", December 2, 2006, JN 95 (10045)

The Energy of the Dnister Water Will Come to Us

The public discussion and presentation of the building project of Novodnistrovs'ka-Bar overhead high-voltage transmission line took place at the district House of Councils on Tuesday. The chairmen of village councils and representatives of the area communities attended it. According to the President's Edict, to reinforce the integrated electrical power system of Ukraine, stabilize and ensure electrical power supply in the district, the big project which estimates 200 mln. UAH is planned to be implemented for eight months after the approval of the Cabinet of Ministers. Evhen Navrots'ky, Director General of the South-West Electrical Power System, Volodymyr Grebeniov, his deputy for building, and Ivan Saturs'ky, Chief Engineer of the Project (Research Institute "Ukrenergoelectroproekt"), presented the project and provided its environment assessment. South-West Electrical Power System, like seven more EPS in Ukraine, is a public institution which is not subject to privatisation. It supplies electric power via high-voltage networks (330-750 kV) to substations from which olbenergo (oblast electric power system), using 110 kV lines, supply it to consumers. A substation like this is within Vinnytsya-Khmelnyts'ky line near the city of Bar. Why will it be this substation as a final destination of the would-be high-voltage run? More than 20 years ago, few kilometres from Dnister HPS down-stream, a building of a storage plant, one of the most high-capacity plants in Europe, started. But the first generator is planned to be put into operation only in a year and a half. It is life that proves the necessity to finish this building of state importance: in the periods of "rush hours" from 9 to 12 hours and from 15 to 20 hours our electrical power system operates at the breaking capacity, and at night it is incapable of full accumulation of produced electric power. It is impossible to store this sort of goods. Having no support provided by substations, HPSPP can not operate. The building project provides for installation of 267 ferroconcrete towers of 27 m high (from 3 to 5 towers per one kilometre), 39 of which are angle one. The line will not be nearer than 300 m to a populated area, and electromagnetic radiation will not exceed 5 kW/m2 which is in accordance with environment standards. The heads of sanitary and environment services of the district, who attended the discussion, had no remarks. The project budget provides for reimbursement of property losses to the owners of the land where towers will be installed. Lyudmyla Folyuschak, Deputy Chairman of the District State Administration, and Mykola Sinchak, Deputy Chairman of the District Council, took part in the public discussion.

Anatoliy Tetyanchuk

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Annex L: Insertion in Nashe PrydnistroviaNewspaper of 2 December 2006 Newspaper "Nashe Prydnistrov'ya", December 2, 2006, NE 87 (8714)

The High-CapacityLine Will Ruin Across the District

The South-West Electrical Power System of the Public Enterprise "National Power Company "Ukrenergo" is planning to build a 330 kV line between Dnister hydroelectric pumped storage power plant and 330 kV substation in the city of Bar attracting credit of the World Bank. The 87 km long line will cross the territory of the following three districts: Mohyliv-Podil's'ky, Murovani Kurylivtsi and Bar. To inform the community on the building project, SWEPS of PE NPC "Ukrenergo" and the World Bank conduct information meetings to discuss the building project as regards assessment of its environment effect according to the international standards. A meeting like this was held in our district the other day. The representatives of the electric power company, design institute, heads and experts of some district enterprises and organizations and chairmen of village councils assembled in the district house of culture. Ivantsov P.V., Chairman of the District State Administration, and Voyt V.I., Deputy Chairman of the District Council, took part in the discussion meeting. Navrots'ky E.M., Director of PE NPC "Ukrenergo", spoke to the participants. He presented the main operation factors of the building project "Dnistrovs'ka HPSPP-Bar 330 kV OTL". He assured that the building and operation of the line would have no negative environment effect. The losses caused by allotment of land would be reimbursed to the land owners. Navrots'ky E.M. and other representatives of the company gave irrefragable answers to the questions of the participants of the meeting.

Mykhailo Koval

78 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) < of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

Annex M: Letter # 2033/02-20 from Department for Culture and Tourism of Vinnytsia Oblast State Administration dated 4 December 2006 December 4, 2006

Ref. # 2033/02-20 Y.M. Navrotsky Director, South-Western Power System SE "NEC "Ukrenergo"

Re: Letter # 14-1/2671 of22 November 2006

Sanction to Construction Project 330 kV Transmission Line Dniester PSPP - Bar

The Department for Culture and Tourism of Vinnytsia Oblast State Administration reviewed the Draft Sanction to Construction Project 330 kV Transmission Line Dniester PSPP - Bar with Rehabilitation of 330 kV Bar Substation in Bar and Murovani Kurylovtsi Rayon of Vinnytsia Oblast.

Based on the Experts' Report # 451 from Podillya Branch of Salvage Archeological Service, Archeological Institute, National Academy of Science of Ukraine, dated I December 2006, and pursuant to Article 6 (par. 9) and Article 37 of the Law of Ukraine "On Protection of Cultural Heritage" and Article 123 of the Land Code of Ukraine, the Department for Culture and Tourism as a government authority in charge of cultural heritage protection hereby gives its sanction to the construction of transmission line, provided that the archeological research is conducted in Marianivka Village of Bar Rayon after preparation of the contractor design for the construction project prior to commencement of the construction works. The approximate cost of the archeological research is 10 thousand hrivnas.

A. Levytsky Head Department for Culture and Tourism Vinnytsia Oblast State Administration

79 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) < of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

Annex N: Letter # 451 from Podillya Branch of Salvage Archeological Service of the Archeological Institute of the National Academy of Science dated 1 December 2006 December 1, 2006

Ref. # 451

Experts' Report

The Commission of Experts from Podillya Branch of Salvage Archeological Service, Archeological Institute, National Academy of Science of Ukraine, consisting of A.A. Kotyk, Dyrector, M.V. Potupchyk, Scientific Associate, and S.P. Khavliuk, Scientific Associate, reviewed the submitted materials and on 29-30 November 2006 performed archeological survey in Bar and Murovani Kurylovtsi Rayons of Vinnytsia Oblast in the territory selected for construction of 330 kV Transmission Line Dniester PSPP - Bar and rehabilitation of 330 kV Bar Substation.

The survey was conducted pursuant to Article 37 of the Law of Ukraine "On Protection of Cultural Heritage", Article 12 of the Law of Ukraine "On Protection of Archeological Heritage", and Article 123 of the Land Code of Ukraine. The grounds for the survey were Form 2 Open Letter # 001/0791 of 17 January 2006 and Permit # 22-014/06 of 6 February 2006 from the Ministry of Culture and Tourism of Ukraine issued to Mr. Oleg Osaulchuk, Director of Salvage Archeological Service, Archeological Institute, National Academy of Science of Ukraine.

During the archeological research in the territory selected for the TL route, an archeological heritage object, which is a settlement of Chemiakhiv Culture, III-IV century A.D., was revealed in the neighborhood of Marianivka Village, Bar Rayon.

Conclusion: Given the findings of archeological survey, the Commission considers it possible to give its sanction to the selected route of 330 kV Transmission Line Dniester PSPP - Bar and renovation of 330 kV Bar Substation, provided that the archeological research is conducted at the archeological heritage site after preparation of the contractor design for the construction project with specified location of the towers. The approximate cost of the archeological research is 10 thousand hrivnas.

Attachment: Outline of TL Route.

Signed by: A.A. Kotyk, Dyrector M.V. Potupchyk, Scientific Associate S.P. Khavliuk, Scientific Associate

Podillya Branch Salvage Archeological Service Archeological Institute National Academy of Science of Ukraine

80 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar < with a Reconstruction of the 330 kV Bar Substation

Annex 0: Letter from Institute of Zoology named after I.I. Shmalgauzena NAS Ukraine # 114/593 dates 12 December 2006

National Academy of Science of Ukraine SCHMALHAUSEN INSTITUTE IF ZOOLOGY Vul. B. Khmelnits'kogo, 15 Kyiv, Ukraine, 01601 Phone: +38(044) 235-1070 Fax: 234-1569 E-mail: [email protected]

12.12.2006 #1 14/593 To chief Engineer of Lviv Filia State Project-Reseach and Scientific-Analytical Institute ' UkrEnergoMerezproekt' To. Mr. Grab M.S.

Concerning Economic value of types of animals and migration routs of birds along transmission rout 330 kVDniester PSP-Bar

To analyze environmental impact on animals of any project always require separate special field investigations. Only this assessment could give an economic assessment of impact of construction on animals, which are part of Red Book of Ukraine, International Red List and additional Bonn and Bern Conventions. Without those investigations we could only operate with the general data collected on Regional level. We can carry out this investigation in spring of next year at the beginning of field season only after signing contract with us.

With kind regards,

Director of Institute Member of NAS of Ukraine signature I.A. Akimov

Prepared by Kostushin 235-51-87

81 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

Annex P: Letter from Institute of Botany named after M.G. Kholodniy NAS Ukraine # 111-670/1- 11 dated 8 December 2006

M.G. Kholodny Institute Of Botany of the National Academy of Science of Ukraine 01501, Kyiv, Ukraine Terebukhivska str. 2. Tel/fax: (380)44 234-40-41 E-mail: inacCu!botany.kieN .ua

# 111-670/1-11 dated 08/12/2006 To chief Engineer of Lviv Filia State Project-Reseach and Scientific-Analytical Institute 'UkrEnergoMerezproekt' To. Mr. Grab M.S.

Concerniing request of value ofplant and animal species alone transmissionirout 330 kV Dniester PSP - Bar

Institute of Botany named after M.G. Kholodny NAS of Ukraine does not have any records conceming this territory close to transmission rout, therefore could not provide any information concerning economic value of plant species close to Transmission rout 330 kV Dniester PSP - Bar. To get this information we need to carry out field investigation during vegetation period (in 2007), which will require additional financing.

With kind regards,

Director Professor, Member of NAS of Ukraine signature Y.P. Didykh

82 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar <

Annex Q: Map of 330 kV and Higher Voltage Networks for 2006

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83 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> with a Reconstruction of the 330 kV Bar Substation

Annex R: Environmental Management Plan (EMP)

6 6 o 6 3Location of Description of Funding of 4oParameters of Loaino ecito f Frequency of enviromet environmental environmental ipementaton .9 environmental E environment Eimplementation ^ measures measures c measures

2 3 4 5 6 7 8 9 10 330 kV Transmission Line Dniester HPPS - Bar and FOCL Cable

Imbalance of soil and Temporary amenity Arrange on unusable At the time when Funds are _ vegetation and storage zones land the location is included in the c selected project so Littering of the territory

with waste: I- nontoxic (food waste and Same as above Garbage collectors; Weekly Minor. > household rubbish); arrange garbage Procurement of > o disposal special tanks at the cost of s - toGeneral Contractor o w toxic (waste oil and fuel). Same as above Special oil tanks at As the tanks fill Same as above c POL depot; arrange v waste disposal o Destruction of topsoil Same as above Restore soil structure Moderate. Supply of structure and vegetation and sow grass after soil, operation of the amenity and machinery, and storage zone is procurement of grass 5 dismantled seeds

84 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar < with a Reconstruction of the 330 kV Bar Substation

Noise from construction Temporary parking Not to allow prolonged On a permanent No additional vehicles driving in and out lot for construction operation of motors at basis funding is of the parking lot vehicles the parking lot needed

85 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <> of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

- 2 3 4 5 6 7 8 9 10 Imbalance of soil and TL route: Restore soil After the towers Moderate. Supply ol vegetation (damage to - in the places where structure with are installed and soil, operation of topsoil, destruction of towers are installed; imported soil and the wires are machinery, and greenery and bushes) - within 14 m zone sow grass mounted procurement of grass along TL route sed during wiring work and mounting of lightning guard cable (ORLGC) Waste: e - nontoxic (unused Same as above Dispose of waste After the work is Moderate. .J fabricated metals, complete on a Included in the e pieces of wire and plot estimate o a lightning guard cable); documents.

- toxic (FOCL cable off- In the places where c Collect and dispose After cable ends Minor. cuts after its soldering connection e of cable off-cuts are soldered on X Included in the o in couplings). couplings are u the boundary estimate . u installed tower u documents. High level of dust On field roads Slow down the In dry weather Minor. e (transportation of traffic. Water sand and strong wind Watering 0 structures and equipment and peat roads. on to TL route) Noise (extensive noise TL route: Not to allow During the time No additional 3 from operating motors of - in the places where operation of motors of construction funding is construction machinery) towers are installed; in idle machinery needed - within 14 m zone along TL route during wiring work and mounting of lightning guard cable (ORLGC) 86 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) oUKRENERGO>> of the project 330 kV Transmission Line of the Dniester HPPS-Bar <> with a Reconstruction of the 330 kV Bar Substation

2 3 4 5 6 7 8 9 10 Electromagnetic fields: Under the wires along TL route - extensive EMF density 3 N/A (EMF density On a permanent N/A within the safety buffer s corresponds to basis zone; t regulatory value) o Q

- restriction on duration S Promote appropriate On a permanent N/A of stay in the safety . safety measures among basis o, buffer zone the public; control C availability of waming ; J signs

o - observation of design r Perform sampling During wiring X Minor. dimensions . measurements of work and annual Included in the 4 dimensions on at checkups estimate 0 least 10% of spans - documents. M O along all the TL

route ______Imbalance of soil and Along TL route Restore ground During Moderate. vegetation surface in the places elimination of Procurement and o where the towers are accident sowing of grass . replaced; reimburse consequences (if seeds; machinery , land owners for crops any) or during operation. . > 0 damage; and sow routine checkup 0 grass in the places where the turf is damaged

87 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) <«UKRENERGO>> of the project 330 kV Transmission Line of the Dniester HPPS-Bar < with a Reconstruction of the 330 kV Bar Substation

I 2 3 1 4 5 6 7 8 9 10 Extension and Rehabilitation of Bar 330/110/35 kV Substation Imbalance of soil and Ground for Select location unfit At the time when Moderate. vegetation temporary amenity for agricultural the location is Included in the and storage zone activities selected estimate documents.

Destruction of turf and top Same as above Restore soil Constantly during Minor. fertile layer of ground structure and sow the stay of Procurement of E perennial grass construction and grass seeds and mounting operation of organization machinery Littering of the amenity 0 C and storage zone with v waste: Mior nontoxic (household Same as above Install special Weekly Minor. rubbish); t garbage containers ; Procurement of = o and arrange garbage containers and u disposal garbage disposal. - toxic (waste oil and Ground for Install special oil As the tanks fill Minor. accidentally spilled temporary amenity tanks and arrange Procurement of fuel). and storage zone waste disposal. tanks and waste and parking lot for Cleanse the spots disposal construction contaminated with vehicles fuel spills. Noise (extensive noise Same as above Not to allow On a permanent N/A from operating motors prolonged operation basis of construction of motors at the machinery) parking lot

88 ENVIRONMENTAL IMPACT ASSESSMENT (EIA) «(UKRENERGO»> of the project 330 kV Transmission Line of the Dniester HPPS-Bar < with a Reconstruction of the 330 kV Bar Substation

1 2 3 4 5 6 7 8 9 10 Removal of topsoil from Land for extension Export part of fertile During the period Moderate. the ground for extension of substation soil to land of construction Included in the of substation reclamation sites estimate documents.

Littering of the territory The territory Use special equipment When removing Same as above > and the roads adjacent to the for loading and the ground and c substation and the transportation of ground. delivering bulk 3 roads along which o Observe rules and stone materials 2 O the soil is regulations of bulk solid E c transported transportation. Air dustiness Same as above c Water the ground During earthwork Minor. u and the roads and ground u Costs of transportafion in watering strong wind Noise (extensive noise Land for extension Measure the level of For the period of Minor from motors of of substation noise regularly at construction construction machinery different hours of a machinery operating simultaneously) day and on different operation days of a week Change of atmosphere Substation Observe the rules of On a permanent Minor. background state caused by premises a equipment operation and basis X Procurement of X possible emission of SF6 in o maintenance and train .- special literature the event of breaker Q operators and and training. 3 O chamber leakage : maintenance personnel

89 I

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