Terms of Reference

PRELIMINARY ENVIRONMENTAL IMPACT ASSESSMENT (PEIA) STUDY OWNER Doc. No : T-12.210.705 CONTRACT NO. T9/P18/001 DETAILED ENGINEERING WORKS FOR THE NEW LNG Project Doc. No. : TRAIN9-P18-KSHC-CVS-ERP-000-0006 JETTY SUBSTRUCTURE AT BINTULU PORT, BINTULU, SARAWAK Rev. No. : E1 Page : 1 of 1

EXECUTIVE SUMMARY

ESI Konsultant Sdn Bhd PEIA STUDY FOR THE PROPOSED NEW LNG4 JETTY AT THE EXISTING LPG JETTY, BINTULU PORT

PRELIMINARY ENVIRONMENTAL IMPACT ASSESSMENT (PEIA) STUDY

EXECUTIVE SUMMARY

1.0 PROJECT TITLE

The title of this report is the “Preliminary Environmental Impact Assessment (PEIA) Study for the Proposed New LNG4 Jetty at the Existing LPG Jetty, Bintulu Port”. Hereafter, it shall be referred to as the “Project”. It is essentially a project to upgrade the existing LPG Jetty to handle both the LPG and LNG cargo.

2.0 PROJECT PROPONENTS/ INITIATORS

The Project Proponents of this project are Bintulu Port Authority and Petronas LNG 9 Sdn Bhd. The correspondence addresses are as follows: 1. Bintulu Port Authority, 8th, 9th& 10th Floor, Menara Kidurong, 12thMile, Jalan Tanjung Kidurong, P.O. Box 296, 97007 Bintulu, Sarawak, Malaysia. Tel.: 086-253888 Fax: 086-252929 Email: [email protected]

Contact Person: a) Tuan Hj. Hamdan Bin Hj. Abdul Hamid (General Manager) b) Puan Zuraidah Binti Mohd. Rais (Safety, Health and Environmental Manager)

2. PETRONAS LNG 9 Sdn Bhd, Level 49, Tower 2,PETRONAS Twin Towers, Kuala Lumpur City Centre, 50088 Kuala Lumpur. Tel/Fax.: 03-2391 0731 / 03-2391 0740

Contact Person: a) Mr Pandai Othman (Project Director) b) Mr Ting Ding Sie (Project Manager)

3.0 APPOINTED ENVIRONMENTAL CONSULTANT

ESI Konsultant Sdn Bhd is the Environmental and Safety Consultant for the preparation of the PEIA and other relevant studies for this project.

ESI Konsultant Sdn Bhd PEIA STUDY FOR THE PROPOSED NEW LNG4 JETTY AT THE EXISTING LPG JETTY, BINTULU PORT

PRELIMINARY ENVIRONMENTAL IMPACT ASSESSMENT (PEIA) STUDY

The correspondence address and contact details are as follows: 1. ESI Konsultant Sdn Bhd, No. 149, Lot 3435, 1stFloor,Parkcity Commerce Square,` 97000 Bintulu, Sarawak, Malaysia. Tel: 086-316240; Fax: 086-316239 Email: [email protected]

Contact Person: a) Datuk Dr. Francis Wong Ching Weoh (Project Team Leader)

4.0 REGULATORY REQUIREMENT

The requirement for this PEIA is under the purview of Department of Environment (DOE) Kuching, Sarawak.

The upgrading of the existing Liquefied Petroleum Gas (LPG) Jetty and construction of the new Liquefied Natural Gas (LNG) jetty (Jetty 4) are stipulated as the three (3) prescribed activities under Section 34A of the Environmental Quality (Prescribed Activities) (Environmental Impact Assessment) Order 1987, which require a PEIA Report to be prepared and submitted to DOE, as listed below:

Item 10(a): Ports: Construction of Ports.

Item 10(b): Port expansion involving an increase of 50 percent or more in handling capacity per annum.

Item 11(b): Sand dredging involving an area of 50 Ha or more

The scope of works for the PEIA Report preparation shall closely referred to the following documents, policies and legal requirements:  Environmental Quality Act, 1974 [Act 127] (Incorporating latest amendment up to 2012 – Act A1441);  Environmental Quality (Prescribed Activities) (Environmental Impact Assessment) Order, 1987 (Incorporating latest amendment up to 2000);  The Second National Physical Plan (NPP-2), August 2010;  A Handbook of EIA Guidelines (DOE, 2007);  Guidance Document for Preparation and Submission of Environmental Management Plan (EMP) (DOE, 2010);  Environmental Impact Assessment (EIA) Guidance Document for Sand Mining / Dredging Activities (DOE, 2010);  DOE Environmental Audit Guidance Manual;  ISO14001 Auditing Manual;  Bintulu Port Authority Act, 1981;

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 Bintulu Port Authority By-laws, 1983; and  Other relevant environmental legislation, regulations, guidelines and ratified international conventions.

5.0 PROJECT JUSTIFICATION

With the expansion of LNG production by Malaysia LNG Sdn Bhd (MLNG) from its Ninth LNG Train which is due for completion in 2016 an additional 3.6 MTPA of LNG products will be produced. The need for upgrading the existing LPG Jetty into a new LNG berth will increase Bintulu Port capability in accommodating bigger LNG carriers such as Q-Flex size (211,000 – 216,000 m3) at Bintulu Port.

It is proposed that the upgrading work will enhance the level of competitiveness of Malaysia in supplying LNG and attract new carriers especially of Q-Flex class to dock at Bintulu Port. The expansion and development of future LNG Berth is critical as the existing LNG port facilities are already congested thus any increase in operational efficiency by reducing waiting time for berthing of LNG carriers at Bintulu Port is an advantage worth investing.

6.0 PROJECT LOCATION

The site selection is generally predicted by the location of the LNG production plan, minimizing transportation and LNG transfer costs. The site selected should removes as many risks as possible by placing the new LNG4 Jetty in a sheltered location and remote from other shipping activities. Another factor is the nearby ignition sources. Environmental conditions that allow for safe berthing and mooring of LNG tanker is also crucial. In the event of an LNG spill, the possible extent of a gas cloud must also be considered.

Bintulu Port currently owns and operates three (3) LNG Berths and one (1) LPG Jetty located at the Outer Harbour. It can be approached through two existing approach channels, namely the northern navigation channel dredged to -16.0 m C.D. and 240 m wide; whereas the southern navigation channel is 220 m wide and dredged to -14.0 m C.D.

With the expansion of the of MLNG Plant that included an additional new Train 9 and Tank 7 and associated facilities, Bintulu Port had decided to construct an additional LNG4 berth to cater for an additional LNG cargo shipment. In order to meet this demand, the LPG Jetty is proposed to be upgraded into a new jetty for handling both LPG and LNG cargoes.

The proposed area for the construction of the new jetty is at the existing LPG basin (Figure ES 6.0). It is located at Lot 15, Block 20, Kemena Land District, Bintulu, within Bintulu Port land which is a gazetted Federal Port under the Bintulu Port (Declaration of Area to be Federal Port) Order, 1981. In order to give way to the construction of Berth 4 it was decided that the LPG Jetty will temporarily be decommissioned until completion of the upgrading and construction works there.

7.0 PROJECT DESCRIPTION

The need for the construction of a new LNG berth (Berth 4) is in line with expansion plan by Malaysia Liquefied Natural Gas (MLNG) Bintulu to build an additional Train 9, Tank 7 and associated facilities. With the completion of LNG Train 9 by 2016, an extra 3.6 million tonnes per annum (MTPA) of LNG will be produced thus increasing the processing capacity from the current 25.7 MTPA to 29.3 MTPA.

With enhanced demands for LNG which is expected to grow from countries such as Japan which is increasingly uncertain about nuclear power reliance for power generation, it is anticipated that a new

ESI Konsultant Sdn Bhd PEIA STUDY FOR THE PROPOSED NEW LNG4 JETTY AT THE EXISTING LPG JETTY, BINTULU PORT

PRELIMINARY ENVIRONMENTAL IMPACT ASSESSMENT (PEIA) STUDY

CONTRACT NO. T9/P18/001 OWNER Doc. No : T-12.210.705 DETAILED ENGINEERING WORKS FOR THE NEW LNG Project Doc. No. : TRAIN9-P18-KSHC-CVS-ERP-000-0006 JETTY SUBSTRUCTURE AT BINTULU PORT, BINTULU, SARAWAK Rev. No. : E1 Page : ES-4 of 61 berth with capability of loading both LNG and LPG and also allowing for provision for berthing of Q- Flex or Pacific-Max type of LNG carrier in the future this demand can be fulfilled.

This project also involves the capital dredging work as depicted in Figure ES7.0. This capital dredging is necessary to allow for safe manoeuvring of the large LNG tankers into Bintulu Port and at the new LNG4 Jetty.

8.0 PROJECT LPG JETTY UPGRADING AND NEW LNG4 JETTY CONSTRUCTION WORKS

After thorough feasibility studies and consideration of engineering, constructability, safety and risks aspects which was completed by the end of February 2014, it was concluded that the New LNG4 Jetty is feasible for construction at the existing LPG Jetty for accommodating up to Pacific-Max and Q- Flex LNG carriers.

The new LNG4 Jetty will be constructed by upgrading existing LPG Jetty. Minor extension of the LPG Jetty head by about 60m outward will allow for future alongside and berthing of LPG tankers as well as LNG carriers in accordance with the new LNG Jetty alignment (Figure ES8.0).The new jetty is planned for operation in June 2018.

ESI Konsultant Sdn Bhd PEIA STUDY FOR THE PROPOSED NEW LNG4 JETTY AT THE EXISTING LPG JETTY, BINTULU PORT

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Figure ES 6.0: Layout of Bintulu Port and location of LPG Jetty

Existing LPG Jetty

ESI Konsultant Sdn Bhd PEIA STUDY FOR THE PROPOSED NEW LNG4 JETTY AT THE EXISTING LPG JETTY, BINTULU PORT

PRELIMINARY ENVIRONMENTAL IMPACT ASSESSMENT (PEIA) STUDY

Figure ES 7.0: Shaded area indicate area for capital dredging works.

Figure ES 8.0: Proposed alignment of the New LNG Berth 4

ESI Konsultant Sdn Bhd PEIA STUDY FOR THE PROPOSED NEW LNG4 JETTY AT THE EXISTING LPG JETTY, BINTULU PORT

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Source: The Feasibility Studies on the Siting for the Proposed New LNG4 Jetty at the Existing LPG Jetty, Bintulu Port for PETRONAS LNG 9 Sdn Bhd (February 2014)

ESI Konsultant Sdn Bhd PEIA STUDY FOR THE PROPOSED NEW LNG4 JETTY AT THE EXISTING LPG JETTY, BINTULU PORT

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9.0 PROJECT ACTIVITIES AND PROCESSES

9.1 Project Activity Phase

The scope of activities to be carried out during construction, post-construction and operational stage is as tabulated in Table ES9.1.

Table ES9.1: Scope of Activities

Pre-construction Site Investigation during pre-construction stage include: Stage  Bathymetric Survey  Geo-technical Survey  Engineering Design Construction Sub-project activities in support of the actual construction Stage activities include:  Construction of Temporary Access Road:  Construction and Operation of Construction Site Office and Yards  Material Handling, transportation and Storage  Construction of Temporary Jetty for Mobilisation of Materials and Manpower  Mobilisation of machinery and manpower by marine vessels  Construction of LNG4 Jetty  Capital dredging works  Disposal of Dredged Material at the Approved Disposal Area Post-construction  Decommissioning of Onshore Temporary Facilities Stage  Decommissioning of temporary structures at the New LNG4 Jetty  Demobilisation of manpower, machinery and materials from site by road  Marine vessels leaving Bintulu Port after completion of construction activities Operation Stage  Operational phase of LNG4 Jetty  Berthing and mooring of LNG/LPG carrier  Shore-to-ship LNG/LPG cargo transfer  Navigational Activities involving larger LNG tankers  Maintenance Dredging and Offshore Disposal Works

9.2 Project Abandonment

The proposed Project will increase Bintulu Port capability in accommodating bigger LNG vessels such as Q-Flex and Pacific Max at Bintulu Port to cater for the expansion of LNG production by MLNG from its Ninth LNG Train which is due for completion by end of 2015 with an addition production of 3.6 MTPA LNG. As the construction of Ninth LNG train is already underway, the likelihood of this project to be abandon is highly unlikely.

In the event of worst case scenario, abandonment may take place due to variation of project scope, incompetent project contractor and change in business decision. The following scenarios will most likely to take place:

ESI Konsultant Sdn Bhd PEIA STUDY FOR THE PROPOSED NEW LNG4 JETTY AT THE EXISTING LPG JETTY, BINTULU PORT

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1. Partially or fully constructed jetty structure may hinder the operation of LPG Jetty and pose navigational hazard to other marine vessels;

2. Dredged approach channel and/or LPG Jetty basin could be abandoned;

3. Coastal hydraulic and geomorphological change caused by dredged approach channel and LPG Jetty basin; and

4. Abandonment of Project site office, fabrication yard, batching plant and storage yard.

Proposed mitigation measures as discussed in Table ES13.15 of Section 13.15 may be implemented where applicable.

9.3 No Project Option

A “No Project Option” will undoubtedly affect the planning of PETRONAS MLNG and Bintulu Port Authority in their effort to compete in the global export market for LNG production due to lack of modern berthing facilities to cater for the bigger LNG vessels. For the local population, the “No Project Option” will deny them of benefits, employment and business opportunities that oil and gas industries are normally associated with.

While at the state and federal government levels, a “No Project Option” would translate into loss of economics returns. This would also deny competitive edge in investments and aspiration to promote Bintulu as an Energy Town of Sarawak. Thus it is clear that “No Project Option” will hurt the local economy of Bintulu Port and the state of Sarawak.

10.0 EXISTING ENVIRONMENT: PHYSICO-CHEMICAL

The existing environment of the surrounding area of the Project site is as discussed in the following sections:

10.1 Climate and Meteorology

Malaysia is situated within the belt of the Inter-tropical Climate Zone (ITCZ) where it experiences the Northeast Monsoon (NE Monsoon) from the period of November to March and the Southwest Monsoon (SE Monsoon) from the period of May to September. The calm periods between these 2 monsoon seasons is commonly referred to as transitional or inter-monsoon period. The high rainfall and rain days occurred during the prevailing NE Monsoon season. The colder temperature and high precipitation rates experienced during the NE Monsoon season lower the evaporation rate.

For temperature, the warmest daily maximum were recorded from May – June (31.8 °C), with the highest extreme maximum recorded in August (36.3 °C). Coldest daily minimum and lowest extreme minimum were both recorded in January (23.3 °C and 19.2 °C, respectively).

The mean monthly relative humidity of Bintulu region ranged from 84.1-87.3%, with mean annual relative humidity of 85.5%. It was observed that the relative humidity increased exponentially from August – January then decreased exponentially from January – August.

On the average, Malaysia receives about 6 hours of sunshine per day. In Year 2013, the average solar radiation distribution at most parts of Sarawak was 15-17 megajoule per square metre per day (MJ/m2/day)

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10.2 Geology, Geomorphology and Hydrology

Geologically, the LPG Jetty area within the Bintulu Port can be described as the Nyalau Formation comprising of sandstone, siltstone, shale, mudstone and lignite of Oligocene to Miocene ages. The rock formation found as inter-bedded and interlaminated are of sandstone with thin layer and/or lamination of siltstone. The rock layers are dominantly wavy and with lenticular bedding. The rock is highly weathered to fresh with mostly weak to strong in strength and fractures rocks are mainly found at layer of lamination contact surfaces.

The proposed site for the new LNG4 Jetty is located within the outer port area of Bintulu Port between the northern Outer Breakwater and north of the northern access approach channel of Bintulu Port. Geographically, there are three rivers namely Sungai Sebatang, Sungai Plan Besar and Sungai Terus that provide natural drainage within the three (3) kilometer radius of the corridor.

10.3 Oceanographic Conditions

The topography offshore and nearshore Bintulu around the project area, in general, is fairly simple. The depth increases gradually from the shoreline towards offshore.

The tide is predominantly diurnal with a tidal range near Bintulu varies from CD +2.40 m during spring tide and CD +0.7 m during neap tides.

10.4 Noise

Noise levels were measured at five (5) locations (N1 – N5) within the five (5) kilometer radius of the Project site. Overall, the daytime noise levels measured at all monitoring stations complied with the permissible limits of 70 dB (day time); while and night-time noise levels at Station N1 - N4 exceeded the limit of 60 dB (night time) for Designated Industrial Zones category Schedule 1 and Schedule 6 of The Planning Guidelines for Environmental Noise Limits and Control, DOE. The cause of the slight value exceed in value can be attributed to sound pressure waves recorded could be from all direction and deflected from adjacent buildings or natural barriers which attributed to strong wind gusts experienced at all stations as the study was conducted during the Northeast Monsoon period which started from the 1st November 2013.

10.5 Air Quality

The 5 existing ambient air quality was sampled at five (5) sensitive receptors (A1 – A5). Overall, the air quality is well within the MAAQS levels.

10.6 Marine Water Quality

A total of thirteen (13) sampling stations were selected in this study.

Generally, water temperature ranged from 29-31 °C for stations within Bintulu Port water, while a range of 30-31 °C were recorded at the offshore disposal site.

The pH for marine water quality for this project was still within the normal range which it ranged from 7.9-8.2.DO concentration in surface and bottom water levels at all stations complied with the MWQCS Class 3.

The SS results of 3-56 mg/L at Bintulu Port Water and 7-27 mg/L at the offshore disposal area were well below the stipulated limit for MWQCS of 100 mg/L.

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All stations registered BOD5 and COD levels below the detection limit of <2.0 mg/L and <10 mg/L respectively.

O&G at all sampling stations ranged within <1.4-2.3 mg/L well below the stipulated limit.

The NH3-N concentration for the sampling stations ranged between <0.01-0.12 mg/L and well below the MWQCS Class 3 of 0.32 mg/L.

Phosphorus concentration for all stations ranged from <0.02-0.03 mg/L. Total coliform count at bottom water level of ST7 recorded the highest count of 19,860 MPN/mL while mid-depth water at ST4 and ST6 recorded the lowest (110 MPN/mL).

On the other hand, the faecal coliform count (<10-630 MPN/mL) had exceeded the stipulated limit for some water strata at some sampling stations.

For heavy metals, Cd, Cu and Pb had exceeded the respective limits as stipulated (0.01 mg/L, 0.01 mg/L and 0.05 mg/L, respectively) while Zn, Hg and As are well below the stipulated limit (0.1 mg/L, 0.05 mg/L and 0.05 mg/L, respectively) for all water column layers at all thirteen (13) sampling stations.

10.7 Marine Sediment

All parameters at all sampling stations for marine sediment recorded values well within the target value as stipulated under Dutch Guidelines.

11.0 EXISTING ENVIRONMENT: MARINE BIOLOGY

Thirteen (13) sampling stations were been set up for the purpose.

11.1 Phytoplankton

For ST1 to ST8, the phytoplankton species identified were categorized into three (3) major groups, namely Diatoms (89.48%), Dinoflagellates (19.39%) and Cyanobacteria (0.13%). A total of 50 phytoplankton species belonging to 22 genera and 20 families were recorded.

At ST9 to ST13, the phytoplankton species identified were also categorized into three (3) major groups, namely Diatoms (62.22%), Dinoflagellates (33.34%) and Cyanobacteria (4.44%). A total of 45 phytoplankton species belonging to 22 genera and 19 families were recorded.

In terms of phytoplankton diversity, diversity Index at Stations ST1 – ST13 ranged between 0.27-2.06.

11.2 Zooplankton

Results from the analysis conclude those zooplanktons identified were composed mainly of six (6) genera comprising twenty (20) species at Stations ST1 - ST8 and fifty (50) species at Stations ST9 - ST13.

In terms of zooplankton diversity, Stations ST1 – ST13 recorded diversity index ranging from 0.11- 0.92.

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11.3 Macrobenthos

For Stations ST1 - ST8, the macrobenthos samples were categorized under nine (9) groups, namely Bivalve (62.04%), Foraminifera (25.04%), Gastropod (10.65%), Dentaliidae (1.13%), Annelid (0.81%), Echinoderm (0.21%), Amphipod, Crustacea and Insecta (0.04%). About thirty one (31) species of macrobenthos were identified.

In terms of diversity, Stations ST1 – ST8 comprised of three (3) major group of macrobenthos, namely Bivalve (1,891 individual/m3), Foraminifera (763 individual/m3) and Gastropod (324 individual/m3) which were found ubiquitous throughout the sampling stations; while at Stations ST9 - ST13, the value of macrobenthos abundance ranged from 1,082 – 323,317 individuals/m3. Foraminifera were recorded in abundance at all stations with estimated total of 323,317 individuals/m3, followed by Annelid (48,317 individual/m3), Gastropod (22,957 individual/m3), Bivalve (1803 individual/m3) and Crustacea (1082 individual/m3). Diversity index ranged from 0.25-1.46. Station ST3 recorded the highest diversity index of 1.46 for macrobenthos community while the lowest at Station ST1 (0.25).

On the other hand, macrobenthos samples at Stations ST9 - ST13 were categorized into five (5) groups, namely Foraminifera (80.54%), Annelid (12.04%), Gastropod (5.72%), Bivalve (1.44%) and Crustacea (0.27%); all of which comprised of 48 species. Diversity index ranged from 0.24-0.71. Station ST9 recorded the highest diversity index of 0.71, while the lowest was at Station ST12 with value of 0.24.

11.4 Chlorophyll-a (Chl-a) Biomass

For Stations ST1 - ST8, Chl-a biomass measured was below the detection limit of 0.32 mg/m3 and Stations ST9 - ST13 values were recorded at <0.32 mg/m3 to 0.96 mg/m3.

12.0 EXISTING ENVIRONMENT: LAND USE AND SOCIO-ECONOMIC

12.1 Land Use within 5 km Radius

There are currently three LNG jetties namely LNG1, LNG2 and LNG3 sited within the first 3 km corridor of the proposed project. PETRONAS Malaysia Liquefied Natural Gas (MLNG) and Bintulu Integrated Facilities (BIF)/ Bintulu Crude Oil Terminal (BCOT) are two (2) of oil and gas plants within this corridor.

There are three main categories of land use types found within this corridor i.e. industrial area, residential area and forest cover. Within the main industrial zone are major petrochemical players such as Asian Bintulu Fertilizer (ABF), Bintulu Crude Oil Terminal (BICOT), Shell Middle Distillate Synthesis (SMDS) and MLNG Plant (approximately 3.6 km). The adjoining area is designated as the Kidurong Industrial Area (KINDA) and Kidurong Light Industrial Estate (KLIE) for medium and light industries. The major industrial players in KLIE are CCM Agriculture Sdn Bhd, Daiken Sarawak Sdn Bhd, Air-Marine Cargo Agency Sdn Bhd, Sime Darby Plantation and others, while Hak Lee Trading Sdn Bhd, Moh Heng Co Sdn Bhd, PK Fertilizer Sdn Bhd and others are located at KINDA Phase.

Sensitive receptors were selected by their proximity to the proposed project and by land use. There are several residential housings that are developed within this corridor namely: the ABF/MLNG/BDA/SESCO Housing Area, Taman Matahari, RPR Kidurong and Teachers’ Quarters at south eastern end. Other settlements within the corridor include BDA Pasir Putih Squatters and Kg. Sg. Plan Lot; while Masako squatters and Hock Peng Squatters are slightly outside (5.3 km) of the 5 km radius. Other places of public interest are public schools i.e. namely SK Kidurong, SK Kidurong II and SMK Kidurong; house of worships comprises of three (3) churches and two (2) mosques; a library,

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CONTRACT NO. T9/P18/001 OWNER Doc. No : T-12.210.705 DETAILED ENGINEERING WORKS FOR THE NEW LNG Project Doc. No. : TRAIN9-P18-KSHC-CVS-ERP-000-0006 JETTY SUBSTRUCTURE AT BINTULU PORT, BINTULU, SARAWAK Rev. No. : E1 Page : ES-13 of 61 mini post office, police station and fish market all situated to the south and south-east of the proposed project site.

12.2 Socio-Economic

The primary data for the analyses is acquired from survey interviews of some 123 household heads residing within five (5) kilometer radius of the proposed project. Located within the affected area are several villages or settlements which include squatters settlement namely BDA Pasir Putih, Sg. Plan, Masako and Hock Peng; and Housing area of ABF/MLNG/BDA/SESCO, Taman Matahari, RPR Kidurong and Teachers’ Quarters. The interviews were carried out by trained enumerators using a set of pre-tested questionnaires administered on each respondent.

The overall economic structure of the project site is predominantly industrial area, signifying that the skills of the local are geared to meet the need of the manufacturing and industrial sector. A survey of the local awareness and perceptions of the proposed project shows that more than half of the locals are aware about the project. Majority of them agreed with the setting up of the project because of the advantages that they might get and enjoy. Some of the advantages perceived are increased in employment and expanding business opportunities as well as improvement in basic amenities and standard of living.

Based on the socio survey, most of the respondent believes that the public have the right to be informed of any development within their community. In spite of the development, there is concern that further development within the Kidurong Industrial Area will negatively affect communities within the five (5) kilometer radius due to deterioration of ambient air quality.

The issue of congested roads and traffic jam will be stressful to the community and warrant that an alternative route or upgrading of the existing infrastructure is expected to ease and improve traffic flow.

Other issues that negatively affect the community are related to social safety and inadequacy of existing facilities to contain events of fire and disaster preparedness. Nevertheless in spite of all the perceived negative impacts, most of the respondent expresses hope of securing equal employment opportunities and the Project will positively affect the development of socio-economic of Bintulu as a whole.

13.0 POTENTIAL IMPACTS AND MITIGATION MEASURES

The key to understanding environmental and associated risks at any project site or facility is to understand the task processes, equipment used and the consequences on environmental, safety and health at the study area/ adjacent public areas/ the public or workers.

Once these have been established, reference is made with regards to pertinent legislations and provisions; relevant guidelines to propose mitigating measures to prevent or minimize the deteriorative effects of activities carried out. The summary of potential impacts that required effective mitigation measures is shown in Table ES 13.0 below.

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Table ES 13.0: Summary of potential impacts that required effective mitigation measures.

Proposed Activity Air Noise/ Water Marine Scheduled Effluent Traffic Ship Wastes Navigation Operational Occupation Coastal Socio- Quality/ Vibration Quality Biology Wastes Discharge Safety & Garbage Safety Safety al Safety & Hydraulic & economi Dust Health Geo- c morphology Pre-Construction Phase 1. Bathymetric survey 2. Geotechnical survey Construction Phase

1. Construction of Temporary Access Road 2. Construction & Operation of Construction Site Office and Yards 3. Materials Handling, Transportation and Storage

4. Construction/Upgrade of Temporary Jetty for Mobilization of Materials and Manpower 5. Mobilization of Machinery and Manpower by Marine Vessels 6. Construction of LNG4 Jetty Dredging Phase 1. Capital Dredging Works 2. Maintenance Dredging 3. Disposal of Dredged Material at the Offshore Disposal Ground Post- Construction and Operational Phase 1. Decommissioning of Onshore Temporary Facilities

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Table ES 13.0: Summary of potential impacts that required effective mitigation measures.

Proposed Activity Air Noise/ Water Marine Scheduled Effluent Traffic Ship Wastes Navigation Operational Occupation Coastal Socio- Quality/ Vibration Quality Biology Wastes Discharge Safety & Garbage Safety Safety al Safety & Hydraulic & economi Dust Health Geo- c morphology 2. Removal of Temporary Structure at the New LNG Jetty 3.Demobilisation of manpower, machinery and materials from site by road 4. Marine Vessels Leaving Bintulu Port After Completion Activities 5. Operational Activities at LNG4 Jetty

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13.1 Operational Safety

Table ES13.1: Summary of impacts and recommended mitigation measures (Operational Safety)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No.

CONSTRUCTION CONSTRUCTION Daily site inspection Section 7.5 by Safety and Health (pg. 7-20 to C7-22)  Encroachment of 400 m Safety Zone by  Appoint competent marine and safety personnel of work vessels especially when there is a expert/consultant to oversee the safe work contractor LNG vessel berth alongside the LNG1 systems are established i.e. Work Permit Jetty. System and Hot Work Permit System are BPA to conduct implemented. weekly Safety site  Fire and explosion hazards. Source of inspection walkabout ignition on the work vessels may cause  Appointed safety consultant is to assess the fire and explosion due to the close preparation of safety control measures in Joint monthly site proximity of the project site to LNG1 controlling major OSH hazards and undertaking inspection audit with Jetty. This hazard could be catastrophic regular inspections of the site to ensure the site environmental and causing loss of human life and is run safely during its construction. consultant money, and disturbance to the Quarterly operations of Bintulu Port.  Perform risk assessments for various site activities as a means of safeguarding the environmental and  Accidents or incidents occurring within adjacent LNG1 Jetty from impacts of all safety audit for the 400 m safety zones either at activities associated with Project construction. compliance reporting constructed LNG4 Jetty or on marine vessels.  Permit system for activities categorized as hot works and having the potential to induce source  Hazards associated with typical of ignition especially when working upwind of construction activities such from lifting LNG1 jetty are implemented and monitored for and cranage activities. compliance at all times.  Workers may be exposed to drowning  Provide access for port and plant operators to hazards. perform emergency shutdowns, fire-fighting or other emergency responses.  Barges anchor wires can cause

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Table ES13.1: Summary of impacts and recommended mitigation measures (Operational Safety)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No. obstructions and unsafe movements of  Separate equipment and flammable gases to other marine vessels and workboats. minimize the effects of a fire or explosion on the constructed jetty and adjacent facilities.  Facilitate personnel escape and rescue in the event of an emergency.  Specific precautionary measures must be established to ensure that while a LNG carrier is at Berth 1, the safety zone of 400 m should not be encroached. All sources of ignition must not be allowed within the 400 m safety zone. Where necessary the boundary of the 400 m Safety Zone must be prominently marked.  Priority should be given to LNG2 Jetty and LNG3 Jetty for cargo transfer operations.  All support marine vessels or any other craft shall notify the Port Control on any intended movements within the port waters and shall not enter the 400 m Safety Zone of the LNG jetties without prior approval.  Contractors must also observed all pertinent occupational safety and health legal provisions and that this is reflected in their respective safety management plan.

Dredging Works Dredging Works Section 8.9 The impacts as outlined for construction phase  Mitigation measures as outlined for construction (pg. C8-25 to C8-

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Table ES13.1: Summary of impacts and recommended mitigation measures (Operational Safety)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No. are relevant especially when dredging vessel phase are relevant. 26) encroaching the Safety Zone  Dredger and other work boats within the 400 m Safety Zone must not allowed naked light to be used either for cooking or any other purposes.  Where necessary, flammable gas detector must be install to detect possible gas leakage from the LNG1 Jetty.

POST-CONSTRUCTION AND OPERATION POST-CONSTRUCTION AND OPERATION Quarterly Section 9.5 environmental and  The following mitigation measures shall be (pg. C9-15 to C9- There are a number of hazards associated with safety audit for applicable when working on marine vessels: 18) mooring activities, these include: compliance reporting  Seaworthiness of Marine Vessels  working near to or over water;  slips, trips and falls;  All vessels or barges used in the port area must  parting ropes or wires; be sea worthy;  stepping over, passing under or standing in  All open edges of vessel or barge must be the bight of ropes or wires; properly or adequately guarded to prevent risk  hit by falling objects; of falling into water; and  crush injuries;  falling into the water – drowning;  Provisions of safe gangways or ladders for the  working at height; purpose of embarkation or disembarkation are  cuts and lacerations from damaged wires; crucial. and  Implement stop-work procedure  boat works  During rough sea conditions, workers can be There are a number of hazards associated with exposed to danger. In certain circumstances, it LNG/LPG cargo transfer operations, these might be advisable to stop all hazardous works

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Table ES13.1: Summary of impacts and recommended mitigation measures (Operational Safety)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No. include: particularly lifting; and  Leakage of cargo delivery system (loading  Strict supervision must be carried out to ensure arm, manifold joints); all objects, machinery and equipment used for  Release of liquid nitrogen; offshore works are placed or stationed in stable  Release of bunker oil during bunkering; conditions and able to withstand any swell  Cargo related fire/explosion; movements cause by rough sea conditions. The  Fire in engine room; and construction activities shall be restricted in  Fire on open deck. daylight hours if possible.  Provision of PPE Any mishap from LNG loading operations can be serious where LNG is released to the  All personnel working over or near water are atmosphere, i.e. from rupturing of loading arms also required to wear life vests or some form of or failure of emergency shut-down systems. LNG buoyancy aid. Workers shall be trained to swim is easily ignited and thus can give rise to fire of and performing sea survival or rescue activities. great intensity.  During the LNG transfer, special attention by  LNG at -160 Degree Celsius can cause continuous monitoring shall be given to: brittle fracture upon contact with non-  potential LNG leakage from the transfer lines, cryogenic metals like ship hulls and frost manifolds and couplings; bite on human.  pressure and temperature in the transfer system  Fire can occur within the vapour cloud and cargo tanks; which will disperse based on wind direction.  LNG level in the LNG tank;  LNG transfer rate;  mooring conditions;  Design envelope of the loading arms and bunker hose shall be monitored to stay within

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Table ES13.1: Summary of impacts and recommended mitigation measures (Operational Safety)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No. the design specifications; and  Implement ship-shore safety checklist prior to cargo transfer operations.  Procedure for emergency shut-down systems  The primary function of the ESD system is to stop liquid and vapour transfer and eliminate potential ignition sources in the event of a hazardous scenario to regain control of the situation.  The ESD system shall bring the LNG transfer system to a safe condition.  General requirements to the ESD system are as follows; . ESD 1 shuts down the LNG loading operation in a quick, safe and controlled manner so as to minimize the potential release of liquefied gas or vapour in the event of an emergency (Manual activation);

. ESD 2 system has been developed to uncouple the loading arms quickly with minimum spillage in an emergency when ship or loading arms are at risk (Option for manual and automatic activation).

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Table ES13.1: Summary of impacts and recommended mitigation measures (Operational Safety)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No. . It shall be possible to stop the operation both from the receiving and supply side’s control panel at any time during the process.

 Installation of Fire protection system on the LNG Jetty  The jetty fire protection facilities are primarily installed for the following purposes: . protection of the overall jetty facilities-

 installation of hydrants and monitors;  provision of hose boxes, fire points and extinguishers;  fixed water spray system ;  Fire and gas detection system;  Combustible gas detectors,  Automatic fire detector.  General Mitigation Measures during Post-LNG loading Operations  Draining /Stripping operations  The transfer line(s) shall be drained for LNG post transfer operations. The system shall be designed according to a zero emission

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Table ES13.1: Summary of impacts and recommended mitigation measures (Operational Safety)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No. tolerance of methane to the atmosphere during drainage of the lines. For system designs with IMO type C tanks, the remaining LNG may be pushed into the receiving tank(s).  The bunker lines and piping shall be gas free or inerted during extended periods of not being in use.  Disconnection of the system  The bunker line(s), vapour return line(s), communication link and ESD link shall not be disconnected before the lines have been drained, purged and inerted and all valves are in their final position.

 Detection of combustible gas using gas detector  Authorised gas tester should be deployed to the jetty topside area prior to any repair or maintenance works carried out there.

13.2 Navigational Safety

Table ES13.2: Summary of impacts and recommended mitigation measures (Navigational Safety)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No.

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Table ES13.2: Summary of impacts and recommended mitigation measures (Navigational Safety)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No.

CONSTRUCTION CONSTRUCTION Daily site inspection Section 7.4 by Safety and Health (pg. C7-17 to C7-  Collision between the dredgers, barge,  Appoint competent marine and safety personnel of 20) transport vessels and various work expert/consultant to oversee the safe work contractor vessels with vessels navigate in and out systems are established i.e Work Permit of Bintulu Port. System and Hot Work Permit System are BPA to conduct implemented; marine navigational safety are weekly Safety site  Impact with fixed installations, observed at all times; inspection walkabout machinery, floating pipelines and shore structures such as jetties.  Appointed safety consultant is to assess the preparation of safety control measures in Joint monthly site  Striking with floating objects such as controlling major OSH hazards and undertaking navigational aids buoys. inspection audit with regular inspections of the site to ensure the site environmental  Grounding of vessels due to insufficient is run safely during its construction; consultant water depths and adverse weather and  A safety management system will need to be sea conditions. Quarterly established specifically for the implementation environmental and  Uncoordinated movement of vessels of this project for New LNG4 Jetty. Such system safety audit for within confined water especially at the shall encompass safe work systems and safe compliance reporting project site may pose collision and navigation system particularly for works fall striking or impact risks. within the project site and the 400 m Safety Zone;  Vessels encroaching the 400 m Safety Zone may pose operational hazards to  Ship to Shore communication shall be LNG vessel undergoing LNG loading established by any vessels within Port water operation at adjacent berth. strictly on VHF Channel 12 to inform Bintulu Port Control Tower of their movement. This is to prevent any incident involving collision, impact, grounding or striking with other vessels plying there;

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Table ES13.2: Summary of impacts and recommended mitigation measures (Navigational Safety)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No.  All support marine vessels to have VHF communication system on-board for the purpose of transmitting and receiving information from the Port Control and other vessels. Communication between shore base to ship or ship-to-ship can use other designated channels as approved by the Port authority;  All Port users to observe the “General Safety Regulations for Visiting Vessels”;  Specific precautionary measures must be established to ensure that while a LNG carrier is at Berth 1, the safety zone of 400 m should not be encroached. All sources of ignition must not be allowed within the 400 m safety zone. Where necessary the boundary of the 400 m Safety Zone must be prominently marked;  All vessels or any other work boat must notify the Port Control on any intended movements within the port waters and shall not enter the 400 m Safety Zone of the LNG jetties without prior approval;  Provision of adequate fire-fighting system onboard the vessel;  Safety measures must be implemented during bunkering operations;  The oil spill emergency response plan should be

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Table ES13.2: Summary of impacts and recommended mitigation measures (Navigational Safety)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No. activated and the spillage contained using a suitable containment system. The clean-up of spills using suitable absorbent pads should be conducted;

 Speed limit shall be enforced for vessels plying within the vicinity of the project area;

 The Port Control shall, prior to commencement of construction and mobilization of materials, advise the contractor of the normal schedule of shipping movements that may be expected and that shipping operations will proceed as usual;

 All work vessels shall plan and conduct operation in harmony with and not unnecessarily interfere with or endanger shipping, and other activity in the area;

 Effective watch keeping on bridge at all times to prevent any striking, impact and collision incidents;

 Movements of work vessels shall not obstruct the smooth flow of shipping traffic or impede the navigation of vessels calling or leaving the port. Stranding vessels must be towed immediately

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Table ES13.2: Summary of impacts and recommended mitigation measures (Navigational Safety)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No.

away from the navigation routes in and out of Bintulu Port;

 Prior to commencement of construction works at the LPG Jetty, all affected navigation buoys, and other obstructions at the proposed construction area shall be shifted. Temporary marker buoys and other suitable navigation aids may be installed to mark edge of construction area limits;

 The activity shall keep free and open a passage or channel of such width as is deemed safe for the passage of other vessels;

 Rules for preventing collisions of vessels navigating in the waters of the port especially those specified in The Convention on the International Regulations for Preventing Collision at Sea (COLREGs) 1972 must be strictly adhered to;

 Contractors must ensure that their ship masters are aware of the need to keep existing navigation channel free from any obstruction

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Table ES13.2: Summary of impacts and recommended mitigation measures (Navigational Safety)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No.

which may hinder the smooth flow of commercial vessels navigating within the channel;

 Adherence to safety and environmental provisions as contained in the Merchant Shipping Ordinance and Bintulu Port Authority By-laws and any instruction as may be issued by the Port Authority or Bintulu Port Sdn Bhd from time to time;

 Where applicable, work vessels must exhibit the day and night signals prescribed in the International Regulations for Prevention of Collision at Sea, 1972, to warn other vessels that they are engaged in construction and towing operations and to keep out of the way;

 Observe weather conditions and construction operations shall cease when adverse weather condition is approaching;

 All work vessels, dredgers, barges and the support craft working at the dredging sites and disposal site must be well illuminated at night;

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Table ES13.2: Summary of impacts and recommended mitigation measures (Navigational Safety)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No.

 All temporary obstructions within the designated work site such as anchors, anchor pontoons, pipelines and the like shall be clearly marked and illuminated; and  Any casualty and accident that may impede or endanger the traffic within port must be reported at once to the Port Authority and Port Control.

Dredging Works Dredging Works Section 8.8 The impacts as outlined for construction phase  Mitigation measures as outlined for construction (pg. C8-24 to C8- are relevant. phase are relevant. 25)

POST-CONSTRUCTION AND OPERATION POST-CONSTRUCTION AND OPERATION Quarterly Section 9.6 environmental audit (pg. 9-19 to C9-21)  The potential hazards to navigational  Recommendations as outlined for construction for compliance safety during the operational phase are phase are relevant with addition to the reporting as follows: followings:  As the volume of vessels is likely to  Establish guidelines for shipmasters entering increase during the operational phase of and leaving the port including anchorage area; the project, the overall navigational risks of collision may also increase;  Establish procedure to prevent transit of other vessels through the anchorage areas;  Impact with fixed installations and shore structures such as jetties;  Review the by-laws governing weather/ wave/current/ visibility conditions on carriers  Striking with floating objects such as berthed alongside and in transit; navigational aids buoys;  Ensure sufficient pilots are available and well-

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Table ES13.2: Summary of impacts and recommended mitigation measures (Navigational Safety)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No.  Possible ship collision or contact at trained (including training for emergency crisis anchorage area due to insufficient handling) for increase in vessel movements and anchorage space to accommodate new LNG vessels handling; larger LNG vessels;  Ensure there is sufficient number of trained  Inadequate number of pilots to cater for personnel for mooring gangs serving the LPG/ projected increase in vessels LNG berths; movements;  Review and adjust aids to navigation for  Due to the proximity of the new LNG widened channel (e.g.relocation of buoys) and Jetty 4 to the access channel, waves marking of turning basin; generated by other vessels moving at  Speed of vessels to be regulated to reduce the high-speed may result in mooring lines ship-generated waves; parting or damage to ship-shore connections, leading to LNG spillage  Minimum safety exclusion zone for LNG2 and and potential fire; LNG3 shall be applied to LNG1 and LNG4; and  Encroachment of 400 m Safety Zone  All sources of ignition shall be eliminated within when there is a LNG vessel berth at the safety exclusion zone. either LNG Jetty 1 or LNG Jetty 4; and  Chapter 5 of the Marine Traffic Risk  Encroachment of fishing boat especially Assessment (MTRA) Report – Vol. 2 can also during August to November in vicinity of be referenced for the recommendations on the port for catching “bubuk” mitigating measures.

13.3 Occupational Safety and Health

Table ES13.3: Summary of impacts and recommended mitigation measures (Occupational Safety and Health)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No.

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Table ES13.3: Summary of impacts and recommended mitigation measures (Occupational Safety and Health)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No.

CONSTRUCTION CONSTRUCTION Daily site inspection Section 7.6 by Safety and Health (pg. C7-22 to C7- Potential hazards during construction phase are: a. Appointment of competent marine and safety personnel of expert/consultant; 29)  Slips, trips and fall; contractor  Drowning; b. Formulation of Safety and Health Policy; BPA to conduct  Lifting hazards; c. Safety, Health & Environmental Officer; weekly Safety site  Being caught in or struck by moving inspection walkabout machinery or other objects; d. Safety, Health & Environmental Committee;

 Fire and explosions; e. Job Safety Analysis and Safe Work  Transportation and vehicle-related Procedure; Joint monthly site accidents; and inspection audit with  Confined spaces. f. Hot works Permit; environmental consultant g. Safety and health priority; h. Emergency response plan; Quarterly environmental and i. Implement grievance procedures; safety audit for j. Working over water; compliance reporting k. Safety and Health Awareness and Training Program; l. CIDB Safety & Health Induction Course; m. Toolbox Meeting; n. Maintenance of Machinery and Equipment; o. Accidents Investigation and Reporting; p. Housekeeping;

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Table ES13.3: Summary of impacts and recommended mitigation measures (Occupational Safety and Health)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No. q. Provision of Personal protective Equipment; r. Safe System of Works; s. Hazard Identification Risk Assessment and Risk Control (HIRARC); t. Lift plan; u. Seaworthiness of all marine vessels, work boats and barges; v. Stop work procedure; w. Provision of PPE

Dredging Works Dredging Works Section 8.14 OSH impacts to crews as in dredging phase above,  Mitigation measures as proposed in (pg. C8-30) however only confined to crews on-board of construction phase above can be dredgers and other work boats. implemented.

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Table ES13.3: Summary of impacts and recommended mitigation measures (Occupational Safety and Health)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No.

POST-CONSTRUCTION AND OPERATION POST-CONSTRUCTION AND OPERATION Daily site inspection Section 9.10 by Safety and Health (pg. C9-28 to C9- OSH impacts to personnel and crews as in  Mitigation measures as outlined in personnel of 29) construction phase above, however only confined construction phase above can be contractor to crews from the ship and personnel at the jetty. implemented. BPA to conduct weekly Safety site inspection walkabout Joint monthly site inspection audit with environmental consultant Quarterly environmental and safety audit for compliance reporting

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13.4 Water Quality

Table ES13.4: Summary of impacts and recommended mitigation measures (Water Quality)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No.

CONSTRUCTION CONSTRUCTION Monthly water quality Section 7.7 monitoring  Surface runoff due to site clearing works  Proper storage and handling of construction (pg. C7-29 to C7- in preparation to construction of temporary materials related to oil, fuel and chemical use Quarterly Marine 37) access road, site office, jetty area, on-site; sediment quality fabrication and concrete pre-cast area and monitoring even vehicles running on unpaved road.  Provision of proper drainage, silt trap and sedimentation pond;  Within  Pushing of spoil (pollutant loading) into Bintulu Port watercourse during overburden  Implement erosion and sedimentation control water limit plan (ESCP) to mitigate water pollution; excavation and earthworks.  At Approved  Surface runoff during heavy precipitation  Provision of tyre washing facilities; Disposal further contributes to pollutant loading.  Vehicles transporting construction materials Area  Spillage of oil and grease from machinery shall be properly covered to prevent spillage; and runoff from workboats and vessels.  All site clearing works including earthworks  Presence of marine vessels at the work and overburden excavation during site shall area and service boats for transporting be supervised; manpower and materials to the jetty which  Restrict site clearing during rainy season or can cause sediment re-suspension due to avoid altogether during rainy days; agitation of propeller.  Provision of concrete bunding for fuel depot  Routine discharge of wastewater and and oil storage facilities; waste to the sea from the marine vessels  Fuel, lubricants and other petroleum products  Discharge of vessel biological fouling. should be stored on impervious surface and  Vessel collisions resulting in fuel and oil away from gas storage;  Use of porta-cabins in construction of site

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Table ES13.4: Summary of impacts and recommended mitigation measures (Water Quality)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No. spills, and/or damage to benthic habitats. office infrastructure can minimize ground disruption during installation and dismantling;  Contain spillage to prevent fuel or other petroleum product from storage area if allow to reach water bodies may pollute the water;  Appropriate selection of equipment for pile driving work, proper use of silt curtains where necessary;  Proper management of oily leakages from machinery and construction wastes;  Master of the vessel/barge must first ensure that his vessel is cleared of any oily residue and leaks from machinery are contained or stopped before commencement of work.

Dredging Works Dredging Works Monthly water quality Section 8.6 monitoring  Increased of Total Suspended Solid and  Due consideration must be given to the (pg. C8-18 to C8- turbidity due to re-suspension of sediment selection of optimum dredging method, Quarterly Marine 20) and sediment dispersion. dredged materials storage and handling, and sediment quality disposal techniques. monitoring  Re-introduction of heavy metals and nutrient from sediment into water column.  Installation of physical structures such as silt  Within Bintulu curtain may be necessary to curtail or Port water  Off-shore disposal generates sediment minimise transport of suspended sediment. limit plume.  Conduct monthly water quality and sediment  At Approved quality monitoring study at the LNG4 harbour Disposal basin, along the northern navigation channel Area

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Table ES13.4: Summary of impacts and recommended mitigation measures (Water Quality)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No. and offshore disposal site.  Consideration for re-utilization of dredged material for reclamation works.  Disposal at offshore site must be evenly carried out.

POST-CONSTRUCTION AND OPERATION POST-CONSTRUCTION AND OPERATION Quarterly water Section 9.7 quality monitoring  The main sources of water pollution during  Implement ESCP and measures after (pg. C9-21 to C9- this phase are from activities related to decommissioning of all temporary building; Marine sediment 24) decommissioning all temporary facilities quality monitoring  The contractors concerned shall reinstate and housekeeping at the worksites that  Within may indirectly cause water pollution. disturbed areas as necessary – levelling of ground & hydroseeding/turfing; Bintulu Port Removal of building foundations and water limit compacted soil left behind after site  Site supervision of all housekeeping works; clearing and road construction cause  At Approved surface runoff to continue as plant will not  Any traces of spillage must be mopped using Disposal grow there. spill absorbent kit and properly managed; Area  Cargo-transfer involving LNG or LPG is  All bunkering activities shall be monitored and unlikely to pose problem on water quality supervised by the supplier; except there is major spill involving  Ship generated wastes shall be properly bunkering operations. managed and where oily residues or oil contaminated wastes shall be managed in accordance with the Environmental Quality (Scheduled Wastes) Regulations 2005;  Relevant recommendation as outlined in Construction and Dredging Phase; and  Oil spill must be installed around the tanker to

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Table ES13.4: Summary of impacts and recommended mitigation measures (Water Quality)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No. contain spillages during bunkering.

13.5 Marine Biology

Table ES13.5: Summary of impacts and recommended mitigation measures (Marine Biology)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No.

CONSTRUCTION CONSTRUCTION Quarterly marine Section 7.8 biology monitoring  The disturbance to the seabed during piling Mitigations implemented for control of water quality is (pg. C7-37 to C7- works will result in the removal of benthic applicable for marine biology (refer Table ES13.4 Marine sediment 40) species around the construction footprint of above) where applicable. quality monitoring the jetties. This action will not result in the Construction of LNG4 Jetty  Within Bintulu permanent removal of species from the site Port water and those areas not directly beneath a  No specific mitigating measures can be limit piling will recover in time. implemented to curb loss of benthic communities’ diversity;  At Approved Disposal  Where practicable, install silt-curtain to Area minimise dispersion of suspended sediment from piling work;  Implement environmental monitoring programme to access extent of impact;  Adequate sanitation facilities must be provided to prevent pollution of marine environment due to sewage & garbage;  Provide adequate drainage system for surface runoff, oily and hazardous material during

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Table ES13.5: Summary of impacts and recommended mitigation measures (Marine Biology)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No. construction phase;  Avoid all illegal disposal or dumping of construction materials, debris and any other wastes like garbage, etc; and  Conduct the necessary briefing and provide instruction for works in marine area to highlight the critical issue of marine pollution

Dredging Works DREDGING WORKS  As above Section 8.7  The negative impact on planktonic and  Selection of optimum techniques from (pg. C8-21 to C8- benthic communities due to dredging dredging methods, storage, transportation and 24) activities is expected to be very minimal disposal must be given due consideration and temporary. The planktonic and benthic during planning stage. communities will re-colonize the dredged areas after cessation of dredging activities.  Regular checking and maintenance on the marine vessels and machineries involved in  The dislodging of material would destroy the dredging work to ensure effectiveness of the macrobenthic communities at the area pollution control measures to waste LNG 4 Jetty Basin and Northern discharges to the surrounded marine Navigational Channel. environment;  These activities shall definitely increase the  Use of silt curtain to contain disposal of amount of suspended sediment to the sea, dredged material; and resulting in the reduction of light penetration, which affect photosynthesis  Dredgers to have DDMS system installed on- activities. board to facilitate tracking of dredging and dumping activities. The system shall be  Disturbance from dredging activities may connected online to DOE Sarawak at all cause displacement of fishery resources times; and other mobile bottom dweller.  Record logs of volume of dredged materials

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Table ES13.5: Summary of impacts and recommended mitigation measures (Marine Biology)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No.  Disturbance from dredging activities may and dumped spoil shall be kept for ease of cause displacement of fishery resources auditing and inspection by relevant authorities; and other mobile bottom dweller. The  Periodical monitoring of aquatic organisms impact is permanent but local in nature. including planktons and macrobenthos The benthic and planktonic organisms will abundance, diversity, composition and be re-established on completion of works. distribution shall be carried out to assess the Potential temporary increase in TSS, extent of impacts and possibility of recovery or turbidity, nutrients and heavy metals that re-colonization process for negatively can threaten planktonic and benthos impacted organisms; and communities. Temporary reduction of light intensity in water column and stimulate  The adverse effects of dredging could be alternation of hydrological process that minimized by proper removal and placement could reduce diversity and abundance of or disposal of dredged material play a critical aquatic organisms. part in preserving the environment. Reutilization of dredged material for reclamation works may offset problems being caused by disposal at sea.

POST-CONSTRUCTION AND OPERATION POST-CONSTRUCTION AND OPERATION Quarterly marine Section 9.8 biology monitoring The impacts are related to water quality as in Mitigations implemented for control of water quality is (pg. C9-24 to C9- Table ES13.4 above. applicable for marine biology (refer Table ES13.3 Marine sediment 26) above). quality monitoring

 Implement environmental monitoring program  Within Bintulu LNG or LPG tanker undertaking cargo loading during construction, post-construction and Port water operations may discharge ballast water releasing operational phase of the LNG4 Jetty. limit invasive species in the marine environment.  Comply with International Convention for the  At Approved Control and Management of Ships’ Ballast Disposal Water and Sediments (BWM), 2004. Area

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Table ES13.5: Summary of impacts and recommended mitigation measures (Marine Biology)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No.

13.6 Air Quality

Table ES13.6: Summary of impacts and recommended mitigation measures (Air Quality)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No.

CONSTRUCTION CONSTRUCTION Monthly air quality Section 7.13 monitoring Dispersion of fugitive dust will pollute the  Cut and filled soil surface on access road (pg. C7-58 to C7- atmosphere and cause nuisance to workers and shall be compacted to prevent dust 64) sensitive receptors (settlement or neighbouring dispersion; sites) adjacent or downwind of the fabrication and storage yard.  Minimise movement of machinery and vehicles on unpaved surface roads; Workers exposed to fugitive dust and toxic gases from fuel burning equipment can suffer chronic  Reduce speed limit of vehicles while health effects such as asthma, chronic obstructive travelling along dusty roads;

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Table ES13.6: Summary of impacts and recommended mitigation measures (Air Quality)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No. airway diseases and lung cancer.  Covering of loads especially dusty cargoes with tarpaulin and ensure the vehicles are not Sources of air pollution: overloaded to prevent load spillage;  Fugitive dust from wind-blown effects and  Spray water on dry surfaces/ unpaved roads movement of vehicles along unpaved regularly particularly during dry period; temporary access road and roads within the site office, fabrication yard and storage  Provide workers with proper dust respiratory yard. shields to reduce excessive dust inhalation;  Demolition and abrasive works at LPG  Provision of wheel wash troughs; Jetty and grinding at the fabrication yard and batching plant.  Conservation of fringing vegetation;  Emission of generators, machinery, marine  Fuel burning equipment should undergone boats, vessels and dredgers. regular servicing and maintenance to reduce pollutant emissions from exhaust system; Prevent idling of vehicles;  Provide adequate ventilation to worker doing hot works; and  Conduct environmental monitoring for ambient air quality to gauge the compliance with air quality standards. Monthly air quality Dredging Works Dredging Works Section 8.10 monitoring  Air quality is not an issue of concern during  Dredgers and work vessels shall undergone (pg. C8-26) dredging activities as the effect is only regular servicing and maintenance to reduce confined to the barges, dredgers and pollutant emissions; tugboats. The main source of air quality deterioration is from emission of ship  Dredgers shall not emit black smoke from funnels while in port; and

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Table ES13.6: Summary of impacts and recommended mitigation measures (Air Quality)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No. funnels.  Dredgers are encouraged to use fuel in low sulphur content (maximum content 1.0 %  No significant impact is expected during m/m) and where appropriate comply with dredging and offshore disposal activities. International Convention for the Prevention of Pollution from Ships (MARPOL 73/78), Annex VI on SOx NOx and Particulate Matter.

POST-CONSTRUCTION AND OPERATION POST-CONSTRUCTION AND OPERATION Monthly air quality Section 9.9 monitoring The main sources of air pollutants during this  Implement site restoration and rehabilitation (pg. C9-27 to C7- phase are from: plan (Erosion and sedimentation control plan) Monitoring of 28) at all sites by planting of cover crops and methane during  Activities related to de-commissioning and planting of trees; purging operation. dismantling of site office, fabrication yard and storage facilities.  Conduct environmental monitoring for Quarterly ambient air quality to gauge the compliance Environmental Audit  Emissions from machinery such as ship with air quality standards; for compliance engines while navigating along the channel reporting and when berth alongside.  Regulation and proper detection of emissions from ships are effective means to reduce  Where purging of inert gas is carried out discharges of pollutants; while tanker is alongside the berth, i.e. for LNG tanker returning from dry-docking,  Prohibition of the use of heavy diesel oil as such operation may cause some LNG gas fuel could be a possible means to reduce to be released to the environment and thus pollutants; may give rise to air pollution (LNG is essentially methane which is a potent  While it is practicable to do so, no release of greenhouse gas) and safety hazards. LNG vapour shall be allowed at berth. A dedicated purging line can be used to send  Cargo vapour can escape via manifolds the LNG vapour to shore flare off or and cargo lines and during disconnection containment system; process.  Use only pure nitrogen as inert gas for

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Table ES13.6: Summary of impacts and recommended mitigation measures (Air Quality)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No. possible onshore transfer of LNG vapour from the purging operation; and  Purging of inert gases into the atmosphere is not allowed, but should be diverted into inert gas return line for safe venting and emission of green-house gas.

13.7 Ambient Noise

Table ES13.7: Summary of impacts and recommended mitigation measures (Ambient Noise)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No.

CONSTRUCTION CONSTRUCTION Monthly ambient Section 7.9 noise monitoring Noise can be a nuisance to the neighbouring sites  Establish communication or grievance (pg. C7-40 to C7- and workers working at the Project ie. fabrication procedures for venue to address these noise 46) yard, batching plant and jetty construction site. pollution complaints affecting noise sensitive receptors; Impulsive noise will be generated from the piling work but the impacts will be more localized and  Identify all dominant sources of noise from moderated due to absence of residential and most construction to better appreciate the industrial area close to the Project. effects these equipment have in contributing towards generation of noise pollution;  The impact from piling will be more pronounced if mechanical pile driven is to  Install engine silencers to reduce the emitted be used. noise level;  The impact of noise generated from the  Provision of ear-plug or ear muff is Project site can cause Noise Induced recommended to workers with higher risk of Hearing Loss (NIHL) to workers exposed to exposure;

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Table ES13.7: Summary of impacts and recommended mitigation measures (Ambient Noise)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No. excessive noise where worker may be  Limit working hours to mitigate the nuisances exposed to noise level exceeding the from construction activities; threshold limit as mentioned the Factories and Machinery (Noise Exposure)  Transportation of equipment and materials Regulations 1989. activities can be minimized by restricting the movement of the heavy vehicles during daytime (0700 to 2200 hours) only when using the transportation routes close to residential  On issue of noise and vibration effects on areas. Transportation works during public marine fauna, temporary disorientation on holiday and weekend shall be minimized; life of marine organism may occur but will return to normal after cessation of piling  Project proponents or their contractors should activities. optimize sea transportation to transport heavy construction material; and  Certain tools such as used can generated not only significant noise pollution but also  Use of hydraulic type pile driver is vibration giving rise to hand-arm vibration recommended to minimize generation of syndrome to affected workers and in noise. certain cases, on the whole body. Tools such as grinders, rock drills, jackhammers and chipping hammers are typical tools used at the construction site that can give rise to significant noise exposure and thus health impairment of workers.

Dredging Works Dredging Works Monthly ambient Section 8.11 noise monitoring Noise from dredgers and tugboats is not expected  Dredgers and work boats must be regularly (pg. C8-27) to affect the acoustic serenity of sensitive receptors maintained and checked; and may only be confined to the dredger only.as dredging activity is located far away from the  Section 20 of Bintulu Port by-Law, prohibit

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Table ES13.7: Summary of impacts and recommended mitigation measures (Ambient Noise)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No. nearest sensitive receptors. the use of whistle and siren in Port, except in the case of danger to life and property;and The main sources of noise are from operation of main engine and auxiliary engine for ship.  All operators of such machines and other workers working within the vicinity where

noise level exceeds 90 dB(A) over 8 hours duration are required to wear PPE for hearing protection.

POST-CONSTRUCTION AND OPERATION POST-CONSTRUCTION AND OPERATION Quarterly ambient Section 9.13 noise monitoring  Heavy machinery used in the dismantling  Refer to the mitigation measures as outlined (pg. C9-32) and decommissioning of site office, for construction phase; fabrication yard and storage facility  Land vehicles transporting out machinery, equipment and material from the project site.  Increased shipping activities and thus ship generated noise at channel and berth. The presence of tug boats during LNG vessel transiting and for berthing and un-berthing operations.  While at berth, ship auxiliary engine will be kept running for vessel operation and will be the main source of noise.

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13.8 Scheduled Wastes/Ship Wastes

Table ES13.8: Summary of impacts and recommended mitigation measures (Scheduled Wastes/Ship Wastes)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No.

CONSTRUCTION CONSTRUCTION Daily site inspection Section 7.10 by Safety and Health (pg. C7-47 to C7-  The sources of this scheduled waste will be  Provision of drip trays or secondary personnel of 52) mainly from the use of machinery and containment during servicing and lubrication contractor equipment such as dredgers, vessels or to contain any spillage/leakage of oil & marine crafts, excavators, bulldozers, grease; BPA to conduct dump trucks, cranes, compressors and weekly Safety site generators sets.  Wastes oil shall be collected in durable drums inspection walkabout for storage prior to disposal to a licensed  Scheduled wastes generated in LNG facility; Joint monthly site vessels cover all types of wastes from the inspection audit with carriage of oil as fuel, engine room slops,  Spill containment systems should be installed environmental cargo (tank washings), oily bilge or dirty and maintained for all fuel, chemical and consultant ballast water. scheduled wastes storage facilities. Petroleum storage and fuelling facilities; Quarterly  Indiscriminate handling and disposal of environmental audit ship wastes in Port water can impact the  The size of the containment system should be for compliance water quality, marine biology and marine of sufficient volume to contain the largest reporting storage unit within the system; sediment.  Storage of incompatible scheduled wastes  Drip trays must be provided for maintenance can also produce hazardous situations and refilling activities for the prevention of through heat generation, fires, explosions accidental spillage; or the release of toxic substances.  In the event of any spillage, immediate measures must be taken to contain, cleanse or abate the spill or accidental spillage. Use spill kit to contain any spill and control its flow;  Polluted soil must be collected and stored as scheduled waste under the category SW 410;

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Table ES13.8: Summary of impacts and recommended mitigation measures (Scheduled Wastes/Ship Wastes)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No.  Any major spill must be reported to the Project Proponent, as the Oil Spill Contingency Plan of Bintulu Port can be mobilized to combat the spill;  Contained oil & grease may be reused for other lubrication purposes, where possible to minimize the amount to be disposed;  Oily wastes including oily rags and papers shall be retained on-board and be disposed as scheduled wastes at on-shore prescribed premises in accordance with Environmental Quality (Scheduled Wastes) Regulations, 2005;  Any non-compliance of scheduled wastes treatment, storage or disposal will lead to serious penalty under Section 45 (Compounding of offences) of EQA 1974 which carries a fine amounting to a sum of money not exceeding two thousand ringgit;  Scheduled Wastes shall be disposed of at prescribed premises only;  DOE must be notified prior to disposal or transportation of any schedules wastes outside the port’s premises; and  Consignment note for Schedule Wastes must be completed in accordance with the Sixth Schedule of the Environmental Quality

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Table ES13.8: Summary of impacts and recommended mitigation measures (Scheduled Wastes/Ship Wastes)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No. (Scheduled Wastes) Regulations 2005.

Dredging Works Dredging Works Section 8.13 Same as above Similar impacts during construction phase above is  Where applicable, wastes generated shall be (pg. C8-27 to C8- expected to be observed managed in accordance with the MARPOL 29) Convention;  Where oily bilge from vessel is generated, the wastes shall be treated as scheduled wastes and managed as such;  Similar mitigation measures as proposed above are applicable during dredging works.

POST-CONSTRUCTION AND OPERATION POST-CONSTRUCTION AND OPERATION Quarterly Section 9.11 & environmental audit 9.12  The impacts of scheduled wastes can  Similar mitigation measures as proposed in for compliance (pg. C9-29 to C9- result in the contamination of marine water construction phase are applicable during post reporting and sediment and impact to marine biology construction and operational phase. 31) if spillage is not mitigated or scheduled wastes are left unattended or not properly  Disposal of ship generated waste shall comply managed during this phase. with MARPOL Convention as follows: o MARPOL Annex I: Oil, oily waste, oily mixtures, oily bilge water, slops, sludge, oily tank washings, oily cargo residues, ballast water containing oily mixtures; o MARPOL Annex II: Mixtures, tank washings, and cargo residues containing noxious liquid substances (NLS) as defined in MARPOL Annex II;

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Table ES13.8: Summary of impacts and recommended mitigation measures (Scheduled Wastes/Ship Wastes)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No. o MARPOL Annex III: Prevention of Pollution by Harmful Substances Carried by Sea in Packaged form; o MARPOL Annex IV: Sewage; o MARPOL Annex V: Garbage as defined in MARPOL Annex V including cargo residues not governed by Annex I or II (such as dry/bulk cargo residues) and cargo-associated waste (such as dunnage and packaging); and  Oily wastes including oily rags and papers shall be retained on-board and be disposed as scheduled wastes at on-shore prescribed premises in accordance with Environmental Quality (Scheduled Wastes) Regulations, 2005.

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13.9 Garbage and Construction Waste

Table ES13.9: Summary of impacts and recommended mitigation measures (Garbage and Construction Waste)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No.

CONSTRUCTION  All contractors and the workers involved in the Daily site inspection Section 7.12 project must be informed through official by Safety and Health (pg. C7-54 to C7-  Indiscriminate disposal of garbage and directive that any form of open burning and personnel of 58) construction at onshore sites especially indiscriminate dumping into the water course, contractor along roadside, compound of site office river or port waters is strictly prohibited; and yards; temporary jetty and workshops can cause land and water pollution;  Proper waste management system, BPA to conduct procedures and practices must be established weekly Safety site  Poor housekeeping can cause prior to the commencement of the project; occupational hazards such as slip, trip and inspection walkabout falls; and fire hazards;  Adopt an integrated waste management Joint monthly site approach to waste management;  Spreading of vector borne diseases due to inspection audit with improper waste management practice.  All waste shall be handled and disposed of by environmental method which will not endanger the workers consultant and the environment; Quarterly  Garbage generated on board vessels shall be environmental audit retained until subsequent transfer to landside for compliance facilities for disposal; reporting  Provision of suitable receptacles for collection and separation of garbage generated on- board vessel and jetty structure;  Whenever applicable domestic and construction wastes generated may be sorted and segregated prior to final disposal to the municipal landfill;  Any indiscriminate disposal of rubbish shall be

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Table ES13.9: Summary of impacts and recommended mitigation measures (Garbage and Construction Waste)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No. monitored; and  All marine vessels where applicable, to comply with the Annex V by MARPOL

Dredging Works Dredging Works Same as above Section 8.13  Generation of wastes such as garbage is  Mitigation measured as outlined for (pg. C8-28 to C8- expected to be minimal construction phase are relevant. 30)

POST-CONSTRUCTION AND OPERATION POST-CONSTRUCTION AND OPERATION Same as above Section 9.14 The impacts as outlined for construction phase are  Mitigation measures as outlined for (pg. C9-32 to C9- relevant. construction phase are relevant. 34)

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13.10 Effluent Discharges

Table ES13.10: Summary of impacts and recommended mitigation measures (Effluent Discharges)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No.

CONSTRUCTION CONSTRUCTION Monthly water quality Section 7.11 monitoring  Without the provisions of proper and  Toilet facilities approved by the Ministry of (pg. C7-52 to C7- adequate sanitary facilities, the sanitary Health should be built for the workers before Quarterly 54) wastes and effluent discharged could be a the commencement of the project; environmental audit major source of water pollution if it is not for compliance being treated effectively.  The sewage from the toilets of the site office reporting must be stored in the septic tanks facility to  Effluent, which contains heavy metals, ensure that there will be no release of bacteria, organic and inorganic substances wastewater into the watercourse; could be very damaging to the environment and will pose significant threat through  Sufficient approved portable toilet facilities water contamination. must be provided at the various designated location of the project site for the workers  Increase of nutrient content in marine convenience. The portable toilets must be waters from effluent discharges may also regularly maintained with its wastes properly promote algae blooms. treated prior to disposal to approved oxidation pond or sewage treatment plant; and

 Warning must be given to workers to ensure they will be no urinating or defecating indiscriminately within the project site. Stern disciplinary action must be taken against any offenders.

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Table ES13.10: Summary of impacts and recommended mitigation measures (Effluent Discharges)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No.

Dredging Works Dredging Works Quarterly Section 8.12 environmental audit The impacts as outlined for construction phase are (pg. C8-27)  Sewage sludge and effluent shall be retained for compliance relevant. in ship’s holding tank for subsequent reporting discharge to Port’s reception facilities, if available, or to be properly managed by dredging contractor.

POST-CONSTRUCTION AND OPERATION POST-CONSTRUCTION AND OPERATION Quarterly Section 9.15 environmental audit (pg. C9-34 to C9-  Improper handling and disposal of sewage  All sewage septic tank must be de-sludged for compliance 35) septic tank can cause water pollution and and left buried or removed from site. reporting affect health by water-borne diseases.  Sewage from portable toilet will be de-sludged and will be disposed at sewage treatment plant.

13.11 Coastal Hydraulic and Geomorphology

Table ES13.11: Summary of impacts and recommended mitigation measures (Coastal Hydraulic and Geomorphology)

Potential Impacts Proposed Mitigation Measures Monitoring Section /Page No.

Dredging Works Dredging Works  Annual Section 8.15 Coastal  Based on result from the coastal  In spite of the minimal impact expected from the (pg. C8-30 to C8- Hydraulic hydraulic study conducted for this channel deepening activities, periodical 31) Monitoring Project, it is anticipated that the impacts coastline monitoring is recommended to be of deepening of navigational channel and conducted; and turning basin for New LNG4 Berth is

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Table ES13.11: Summary of impacts and recommended mitigation measures (Coastal Hydraulic and Geomorphology)

Potential Impacts Proposed Mitigation Measures Monitoring Section /Page No. expected to be minimal on water current,  Conduct maintenance dredging to maintain the water level, coastal geomorphology, depth of the deepened channel and LNG Jetty sediment transport and erosion/siltation Basin. south of the Project site;

 Dredging for the purpose of deepening

harbour access channel to allow for bigger LNG Carrier such as those of Q- Flex class has the effects of altering the wave action and tidal current that can cause erosion/siltation of the coastlines at the proximity of the Project.  Additional siltation at the navigational channel and access entrance is in the order of 1 m/year. Therefore, maintenance dredging is required to maintain the designated water depth at the affected area; and  The proposed works will not cause siltation or erosion at the neighbouring beaches and coastal areas. The regional coastal morphology can remain stable under the prevailing climate conditions

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13.12 Road Traffic Safety

Table ES13.12: Summary of impacts and recommended mitigation measures (Road Traffic Safety)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No.

CONSTRUCTION & POST CONSTRUCTION CONSTRUCTION & POST CONSTRUCTION Daily site inspection Section 7.14 by Safety and Health (pg. C7-65 to C7- Uses of land vehicles to transport manpower and  Any uneven surfaces of the roads and personnel of 67) construction materials in and out of the Project Site potholes must be regularly repaired and contractor such as fabrication yard, storage yard and site maintained for safe use by all road users. office have the potential to expose workers and BPA to conduct other road users to traffic accident.  Suitable safety or warning signs shall be weekly Safety site erected at appropriate locations along the inspection walkabout access road. Joint monthly site  Speed limit and traffic volume restrictions shall inspection audit with be imposed to at certain locations necessary environmental to reduce vehicles speed. consultant  The laden weight of any vehicle using a road Quarterly shall not exceed the maximum permissible environmental audit laden weight for compliance reporting  All vehicles used shall comply with requirements of Road Transport Department.  Planned maintenance procedures prevent accidents and delays due to mechanical failures, minimize repair downtime and prevent excessive wear and breakdown.  Road safety and responsible driving awareness campaign shall be conducted periodically to educate the drivers to drive safely.

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13.13 Socio-Economic

Table ES13.13: Summary of impacts and recommended mitigation measures (Socio-Economic)

Potential Impacts Proposed Mitigation Measures Monitoring Section/Page No.

CONSTRUCTION CONSTRUCTION Daily site inspection Section 7.15 by Safety and Health (pg. C7-67 to C7-  The influx of workers both local and foreign  Preference of employment shall be given to personnel of 68) can contribute to social discontent to the the locals where this is possible. contractor local community, if they are not given the employment opportunities. In addition,  Special entry permit or passes system shall BPA to conduct workers who are not properly trained or be implemented to control movements of weekly Safety site induced might become a risk to the security workers including disciplinary action for inspection walkabout and safety of the port. anyone creating social disturbances or trouble. Joint monthly site  Not all impacts of the Project are expected inspection audit with to be negative as job opportunities will be  Upon completion of the works, all workers, environmental available to the local population. staff and personnel in particular foreign consultant workers shall be immediately removed from the project site. Quarterly environmental audit  Contractors engaged by Project Proponent for compliance shall be liable to foreign workers employed by reporting them to avoid over stay and create social unrest.

Dredging Works Dredging Works Quarterly Section 8.16 environmental audit The impacts as outlined for construction phase are (pg. C8-31 to C8-  Mitigation measures as outlined for for compliance relevant. 32) construction phase are relevant. reporting

POST-CONSTRUCTION AND OPERATION POST-CONSTRUCTION AND OPERATION Quarterly Section 9.16 environmental audit (pg. C9-35) The impacts as outlined for construction phase are  Mitigation measures as outlined for for compliance relevant. construction phase are relevant. reporting

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13.14 Project Abandonment

Table ES13.14: Summary of impacts and recommended mitigation measures (Project Abandonment)

Potential Impacts Proposed Mitigation Measures Monitoring Section /Page No.

 The following impacts will most likely to  Make safe, dismantle or demolish structures that  Coastal Section 9.17 happen: can pose operational and navigational hazards Hydraulic and (pg. C9-36) safety; Geomorpholo  Partially or fully constructed jetty structure gy monitoring will hinder the operational of LPG Jetty;  Remove all construction materials and waste from for 1 year. the Project site;  Partially or fully constructed jetty structure will pose navigational safety hazard to  Rehabilitation and re-vegetation of exposed other vessels navigating near to the ground. Suitable indigenous and fast growing proposed jetty; plants should be planted;  Dredged Nothern Access Channel and  Demobilised all construction works related LPG Jetty Basin will alter the hydraulic and equipment, machinery, materials and wastes from geomorphology profile at Bintulu Port and the Project site, including the fuel and water the adjacent water; storage tanks, septic tanks and etc.;  Loss of income from LNG export for PL9SB  All temporary structure such as quarters, site and government; offices, fabrication yard, batching plant and storage yard must be removed;  Loss of employment opportunity to the local workforce; and  Coastal hydraulic and geomorphology monitoring shall be conducted for a minimum of 12 months to  Improper removal or disposal of site office monitor the erosion and siltation at Bintulu Port facilities, fabrication yard, batching plant and the adjacent water after abandonment; and and storage yard may impact on water quality, marine biology and aesthetics.  In the event when the abandonment is anticipated, the Project Proponent shall notify the relevant government agencies (i.e. DOE, BPA and BDA

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Table ES13.14: Summary of impacts and recommended mitigation measures (Project Abandonment)

Potential Impacts Proposed Mitigation Measures Monitoring Section /Page No. etc.) agencies of their abandonment plan 3 months prior to abandonment. Proper abandonment management document must be submitted to DOE for approval prior to abandonment.

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14.0 RESIDUAL IMPACT

On the basis of the assessment of potential impacts and the recommended mitigation measures in this PEIA, overall, the proposed development is not likely to impose significant adverse effects on the environment. The impacts to water quality can directly affect marine biology in the affected area due to activities involving dredging works and disposal of dredged material.

The EIA has, however, identified some potentially slight negative to moderate negative impacts that can be expected to affect the identified sensitive receptors and settlement at the proximity of the project area.

Conversely, the implementation of mitigation measures to reduce the significance of potential impacts has allowed for some degree of minimization of impacts to the environment safety and health of the population as well as the workers who are directly or indirectly involved in the Project construction. Further, the economic benefits of job creation during the entire lifespan of the proposed project development are considered a positive effect, as is the potential for growth of economy of Bintulu Port and PETRONAS, thus the increase regional economy would entail.

15.0 PEIA CONCLUSION

The project is undoubtedly a major development proposal by both Bintulu Port Authority and PETRONAS LNG 9 Sdn Bhd. It will increase the capacity of the port to handle more and larger LNG vessels. The project will spur further economic growth in the region of Bintulu in particular and Sarawak in general.

During the construction phase, most of the environmental impacts are likely to be temporary in nature and can be minimized with appropriate mitigating measures as provided in this report. However if dredging works were to be carried, this will significantly affect the marine water quality and marine biology as sediment plume in the water column will take a long time to settle to the sea bottom.

However, precautions must be taken to avoid operational hazard during the operational phase of the project. Prevention of sources of ignition is crucial to prevent any untoward incident involving LNG or LPG fire and explosion. A comprehensive Environmental Management Plan (EMP) needs to be established to counter potential negative impacts of the project. The proposed environmental monitoring and auditing programmes will ensure that environmental requirements are observed and abided by the Project Proponents. Similarly, an effective ERP is also needed for emergency response.

16.0 MARINE TRAFFIC RISK ASSESSMENT CONCLUSION

A Marine Risk Assessment (MRA) comprising of qualitative Marine Traffic Risk Assessment (MTRA) and quantitative desktop ship navigation simulations was conducted to assess risks related to conversion of an existing LPG Jetty to an LNG cum LPG Jetty.

The MTRA involved conducting Marine HAZID & risk assessment workshop that has identified a number of hazards and evaluated the associated risks arising from LPG Jetty conversion. A further marine risk assessment was carried out based on applicable guidelines such as SIGTTO and ISO28460.

The following are findings of the MTRA conducted in relation to upgrading of the existing LPG Jetty to an LNG cum LPG Jetty capable of receiving Q-Flex and Pacific Max LNG vessels:

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(a) Anchorage areas were deemed to be well arranged and sufficient to accommodate larger LNG vessels. However, additional mitigation measures to determine and monitor the anchorage separation distances of specific LNG vessels, establish guidelines for shipmasters entering and leaving the port including anchorage areas and establish procedures to prevent transit of other vessels through the anchorage areas were recommended. (b) Though the width of approach channel is quite close to recommended width based on SIGTTO guidelines (4% less than the recommended width), a limited set of navigation simulations has shown that it is difficult to keep the larger LNG vessels within the channel unless more powerful tugs are deployed and escort tugs are used. These limited set of navigation simulations were conducted in extreme wind conditions. It is assessed that the channel will need to be widened, possibly by 20m to 50m, based on further deliberations with the Client with regard to operational policies. (c) Based on the present assessment, the existing turning basin is seen to be sufficient for swinging the larger LNG vessels. (d) A review will need to be carried out in terms of the capability of the existing tugs at the terminal to handle larger LNG vessels in extreme wind conditions. It was noted that much larger tugs together with escort tugs are required for safe handling of the vessels. (e) Under-keel clearance is more than that is required by the port’s guidelines, is provided to the LNG vessels that now call at the port. This helps to reduce the squat and improve the handling of the vessels. If this advantage is to be maintained with the larger and deeper drafted LNG vessels expected to call at the port, dredging of the channel will be needed. (f) Dredging of the basin up to the new berths will be required to provide sufficient under- keel clearance for the LNG vessels.

Further Full Mission Ship-Handling Simulation (FMSS) was also conducted primarily to validate the channel and basin design and to determine minimum requirements and specifications of tug boats including the use of Escort Tugs.

17.0 QUANTITATIVE RISK ASSESSMENT CONCLUSION

A Quantitative Risk Assessment (QRA) study to assess the risks posed by the upgraded LNG4 Jetty has been conducted. The results were integrated with the existing Bintulu Port QRA prepared in September 2005. The following section presents the conclusions of this study. (a) The 1 x 10-5 and 1 x 10-6 per year individual risk contours for LNG4 was found to extend beyond the Port’s boundary. However, the area exposed to that risk level is either open sea or uninhabited land area. Furthermore, the maximum consequence distance of 1.6 km due to LPG flash fire is not foreseen to reach the nearest settlement area, Sg. Plan squatter area, located 4 km away from LNG4. Therefore the risk associated with the upgraded LNG4 Jetty is considered to meet the risk criteria adopted by the DOE. (b) The 1 x 10-5 per year individual risk contour at the LPG Jetty/ LNG Jetties area was found to extend over the Port limits and encroach to the north side (i.e. MLNG), however is still within the industrial site. The 1 x 10-6 per year individual risk contour was found not to impact any residential areas. The results are therefore considered to meet the risk criteria adopted by the DOE.

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(c) This overall Port iso-risk contour has been integrated with the revised risk calculated for upgraded LNG4 Jetty. The results are considered to abide by the risk criteria adopted by DOE. (d) The FN curve for Bintulu Port lies within the ALARP and Negligible regions. The frequency of one fatality at 4.27 x 10-5 per year lies at the Negligible risk region. The ALARP region of the curve starts at more than 2 fatalities while the curve extends back to the Negligible risk region at slightly more than 40 fatalities. The maximum number of fatalities associated with LNG4 is slightly over 101 at a frequency of 9.9 x 10-10 per year. (e) Figure 7.1 of the QRA Report shows the 1 x 10-8 per year iso-risk contour to demonstrate that marine-related incidents around the navigational channels, while catastrophic in nature, has relatively low frequencies and therefore, low risk contribution. (f) Conclusion from the “Port Facility Security Assessment” indicated that the most vulnerable assets were the LPG and LNG jetties. The scenario, which requires the greatest effort for reducing the associated risk, is damage or destruction of the facilities or of the ship by explosive devices. (g) Other external events are not considered to pose a major threat to the port operations.

While LNG4 has been assessed to meet the DOE’s risk assessment criteria, the risk assessed is contingent on the functionality of the safety systems, good management and safe operational practice. Therefore, the following recommendations have been raised to ensure the risk of the Port operation is kept at a minimum:  Conduct loading arm inspection and regular maintenance to minimise the frequency of failure;  Conduct regular emergency drills and exercises to maintain a high level of preparedness for responding to any potential emergencies within the Port, of particular focus are the incidents relating to LNG and LPG operations; and  Emergency Response Plan (ERP) for the facility needs to be updated to cover the future traffic of Pacific Max and Q-Flex LNG as well as the new facilities of LNG4.

18.0 COASTAL HYDRAULIC STUDY CONCLUSION

Coastal Hydraulic Study was conducted to investigate the hydrodynamics, sediment plume and sediment transport for the proposed upgrading of the new LNG4 Jetty. Based on the results it is possible to conclude that: a) The water level varies with the tides but the surface gradient at the project site is very mild. b) The water levels under the baseline and post-project conditions are similar with very small difference in the order of 1 mm at harbour entrance area. c) The currents are directed southwest during the flood tide and northeast during the ebb tide. The maximum current speed occurs at the tip of the outer breakwater and is in the order of 0.25 m/s. The proposed dredging work only causes a small change in current (<0.1 m/s) at the navigation channel and port entrance areas. Therefore, the impact on the regional and local hydrodynamic condition is considered to be insignificant. d) Sediment transport is very mild during the inter-monsoon for which no wind and waves were included in the modelling. The only visible mean sediment transport occurs at the harbour entrance with a rate less than 1 x 10-8 m3/s/m. The dredging works will not cause changes of sediment transport under the inter-monsoon condition.

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e) The sediment transport rate is much higher during the monsoon seasons. For the SW monsoon, strong sediment transport occurs at the northern beach of the harbour with a rate in the order of 1 x 10-6 m3/s/m. No strong sediment transport is observed from the south beach to the north beach. The dredging works will cause a very small difference (<1 x 10-7 m3/s/m) in mean sediment transport under SW monsoon condition. The changes are observed at the entrance area, outer harbour areas, and outside the breakwater. f) The sediment transport during NE monsoon is the strongest. The maximum transport is observed along the outer breakwater and harbour entrance, which indicates the intense sediment bypass from the north beach to the south beach. The deepened navigation channel, which is however crossing the bypass route, causes obvious changes of sediment transport at the access entrance in the order of 5 x 10-7 m3/s/m. The additional siltation at the navigation channel and access entrance is in the order of 1 m/year. Therefore, maintenance dredging may be required to maintain the designed water depth at the port area. g) The proposed works will not cause siltation or erosion at the neighbouring beaches and coastal areas. The regional coastal morphology can remain stable under the prevailing climate conditions. h) Dredging and disposal activities will generate sediment plumes. The dispersion pattern of sediment plume inside the basin and outer sea are different. The dilution of sediment plume in the basin is relatively slow with higher concentration built up. The sediment plume discharged from the outer sea only spread at the nearshore area but does not reach the coastline. i) The mean concentration values in the nearby identified sensitive areas are compared with the allowable limit. It is found that the concentrations at all the sensitive areas satisfy the requirements: 100 mg/L inside the harbour, 20 mg/L for river mouths and sensitive coastal areas, and 5 mg/L for coral reefs. Therefore, the impact of sediment plume on the marine water and biology is considered insignificant.

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