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46933-014: Initial Environment Examination Initial Environment Examination Report Project Number: 46933 March 2015 KAZ: Akmola Electricity Distribution Network Modernization and Expansion Project Prepared by LLP “TITECO” For Akmola Electricity Distribution Company JSC This Initial Environment Examination Report is a document of the borrower. The views expressed herein do not necessarily represent those of ADB’s Board of Directors, Management, or staff, and may be preliminary in nature. Your attention is directed to the “Terms of Use” section of this website. In preparing any country program or strategy, financing any project, or by making any designation or reference to a particular territory or geographic are in this document, the Asian Development Bank does not intend to make any judgments as to legal or other status of any territory or area. Initial Environmental Examination(IEE) Document status: Final draft [November 2014] PROJECT ―RECONSTRUCTION OF 110/10 KV ASTANA SUBSTATION― for ―AkmolaElectricity Distribution Company‖ JSC to be submitted to Asian Development Bank Prepared by LLP ―TITECO‖ 110/10 kV Astana Substation ReconstructionIEE CONTENTS CONTENTS 2 LIST OF TABLES 5 LIST OF FIGURES 6 ABBREVIATIONS 7 REVIEW 9 I INTRODUCTION 11 1. Purposeand content of the Project 11 2. Description of AEDC production facilities 12 2.1 Review of Akmola Electricity Distribution Company 12 2.2 AEDC organizational chart 17 2.3 Information of AEDC personnel 19 3. Brief description of planned work for reconstruction of substation «Astana» 26 3.1 Reconstruction of 110/10 kv Astana Substation 26 3.2 Methodology and scope of the study 36 II KAZAKSHTAN AND AKMOLA REGION 37 4. Kazakhstan 37 5. Economics 38 6. Akmola oblastand Astana city 38 7. Electric power 41 7.1 Organization of power sector: state regulation 42 7.2 Organization of electric power sector: key participants 44 7.3 Organization of power industry sector: key rules of the market 45 III POLICY, LEGAL AND ADMINISTRATIVE FRAMEWORK 47 8. State legislation in the field of environmental protection of the Republic of Kazakhstan, the legal norms and directives 47 9. Environmental policies and guidelines of the Asian Development Bank (ADB) 65 IV ENVIRONMENT DESCRIPTION 71 10. Aspects of the environment, health and safety of existing production facilities (AEDC) 71 10.1 Brief description of the climatic conditions of the area of the project location 74 10.2 Relief and landscape 78 10.3 Soil 79 10.4Local water resources 80 10.5 The structure of the vegetation area and its floristic composition 81 10.6 The fauna of the region under study 85 10.7 Cultural, historical and archaeological assets 88 VSOCIO-ECONOMIC CHARACTERISTICS 90 november 2014 page2 110/10 kV Astana Substation ReconstructionIEE 11. Socio-economic activities of AEDC 90 11.1 Scope of land acquisition, leasing and impact of resettlement 90 11.2 History of land acquisition (and relocation) of the existing production facilities of AEDCandInvoluntary Resettlement 91 11.3 Indigenous people 91 11.4 Social protection and labor protection 92 11.5Monitoring and reporting on the implementation of measures of social adaptation 103 11.6Development of gender policy 105 VI EXPECTED ENVIRONMENTAL IMPACT AND MITIGATION MEASURES 107 12. Assessment of potential impact on air and mitigation measures 109 13. Assessment of potential impact on local water bodies, and mitigation measures 110 14. Assessment of potential impact on soil and land resources, and mitigation measures 111 15. Assessment of potential impact on the flora and fauna of the project area 112 16. Assessment of potential noise pollution and mitigation measures 112 17. Assessment of potential impacts on waste formation and disposal, and mitigation measures 114 18. Assessment of potential impacts in relation to cultural, historical and archaeological assets and mitigation measures 115 VII INFORMATION DISCLOSURE, CONSULTATION AND PARTICIPATION 116 19. Interaction with related parties 116 20. Scheduled disclosure of information 118 21. Comments and responses 118 VIII GRIEVANCE MECHANISM 120 22. Levels of settlement of grievance 120 23. Coordination with the complaints, accounting and reporting 121 24. Disclosure of the complaint process 121 IX ENVIRONMENTAL AND SOCIAL PLANNING AND MANAGEMENT (ECPM) 122 25. Environmental and Social Management Plan 122 X CONCLUSIONS AND RECOMMENDATIONS 125 ANNEX 1Environmental and Social Management Plan 130 ANNEX 2Disaster management / emergency response 139 ANNEX 3List of investment activity prohibited by ADB 141 ANNEX 4Copy of State License of LLP ―TITECO‖ 143 ANNEX 5 Copies of Certificate of Conformity LLP ―TITECO‖ 145 november 2014 page3 110/10 kV Astana Substation ReconstructionIEE LIST OF TABLES Table 2.1: Information on the average number of AEDC employees by 20 category Table 2.2: Information on AEDC authorized personnel complement in 20 the context of their positions Table 2.3: Data on educational background of AEDC employees (as of 24 the end of 2014) Table 3.1: Technical-and-economic indexes 27 Table 3.2: The timing of replacement of 2x40 MVA power transformers with 2x63 MVA power transformers 33 Table 6.1: Administrative districts of Akmola area (as of the beginning of 2014) 39 Table 8.1: Legislation and regulations on environmental assessment in the Republic of Kazakhstan and applicable to activity AEDC and CAEPCO (within the activity connected with AEDC) 48 Table 8.2: Legislation and regulations on labor, health and safety issues, applicable to AEDC and CAEPCO operations (within its activities related to AEDC) 63 Table 10.1: Radiation balance of the surface activity (MJ / m2) under average cloud conditions 74 Table 10.2: Frequency of winds by direction (%) 76 Table 10.3: Wind speed frequency (%) 76 Table 10.4: Listofplants 84 Table 11.1: Data on the land lease 90 Table 11.2: Distribution of AEDC staff by type of work (including company-AEDC Energosbyt, data as of the end of 2014) 93 Table 11.3: AEDC personnel by education level (as of the end of 2014) 93 Table 11.4: Distribution of AEDC staff by the number of years worked in the company 94 Table 11.5: Conventions of International Labor Organization, adopted in the Republic of Kazakhstan 95 Table 25.1: Potential environmental and social impact 124 november 2014 page4 110/10 kV Astana Substation ReconstructionIEE LIST OF FIGURES Figure 2.1: Schematic map of AEDC JSC’s electric networks of 35kV and higher 16 Figure 2.2: Power supply to consumers in the area of responsibility of AEDC 17 Figure 2.3: Organization chart of AEDC 18 Figure 2.4: Organization chart of AEDC branches 19 Figure 2.5: Internal chart of AEDC branches (inter-municipal 19 electric power networks) Figure 2.6: Classification of AEDC employees by category (as of the 23 end of 2014) Figure 2.7: Structure of company's employees by work experience in the power system by category (as of the end of 2014) 24 Figure 2.8: Structure of AEDC employees by categories and by age (as of the end of 2014) 25 Figure 2.9: Gender structure of AEDC employees by categories 26 Figure 3.1: Monitoring of AEDC substation with existing SCADA system 32 Figure 3.2: Transformer hall in Astana substation 34 Figure 3.3: Astana substation 34 Figure 3.4: Disconnecting of one of 40 MVA power transformer in Astana 110/10 kV (de facto) 35 Figure 3.5: Disconnecting of one of 63 MVA power transformer in Astana 110/10 kV (after the proposed investment) 35 Figure 4.1: Administrative map of Kazakhstan 39 Figure 6.1: Map of Akmola oblast and districts 40 Figure 7.1: The review of the main power institutes in the Republic of Kazakhstan 45 Figure 10.1: Wind rose in January 77 Figure 10.2: Wind rose in July 77 Figure 10.3: Annual wind rose 78 Figure 10.4: Yesil river embankment in Astana 80 Figure 10.5 Hardy-shrub species in Astana 84 Figure 10.6: Souslik 86 Figure 10.7: Golden eagle 88 november 2014 page 5 110/10 kV Astana Substation ReconstructionIEE LIST OF ABBREVIATIONS ADB AsianDevelopment Bank AEDC Joint-Stock Company "Akmola Electricity Distribution Company‖ CAEPCO Joint-Stock Company " Central-Asian Electric Power Corporation" IEE Initial Environmental Examination(survey) SS Substation ESMS Environmental and Social Management System ESMP Environmental and Social Management Plan RK The Republic of Kazakhstan AERC AkmolaEnergyRetailCompany USSR The Union of SovietSocialist Republics KEGOC Kazakhstan Electricity Grid Operating Company MES (IEN) Inter-Municipal Electric Power Network REN Regional Electric Power Network LSS Linear Service Site RZA (PSP) Relay protection and automation (Power system protection) AREM (ARNM) Agency on Regulation of Natural Monopolies ASCAE AutomatedSystem for Commercial accounting of energy AFS Automatic failover switch NPSCP Negative phase-sequence-current protection OCP Overcurrent protection ShC Short circuit HV High voltage CBFP circuit breaker fail protection OLTC On-load tap changing KOREM(KPJMO) Kazakhstan Operator of Electricity and Power Market REDC Regional Electric Distribution Company RPSC Regional power supply company EIA Environmental impact assessment november 2014 page 6 110/10 kV Astana Substation ReconstructionIEE SES MH Sanitary and Epidemiological Service of Ministry for Public Health MM Mass media CEE Committee for Ecological Expertise DE Department of Ecology ToR Terms of Reference IA Implementation Agency EE Environmental Examination SR Safeguard Requirements GIDP ADB Gender identity and development policy RP Resettlement Plan SPS Safeguards Policy Statement LF Labour force GDP Gross domestic product MSW Municipal solid waste SanPiN Sanitary Regulations
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