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47083-004: Accelerating Infrastructure Environmental and Social Due Diligence Report Project Number: 47083-004 October 2019 INDIA: Accelerating Infrastructure Investment Facility in India – Tranche 3 Jindal Urban Waste Management (Guntur) Ltd Prepared by India Infrastructure Finance Company Limited for the India Infrastructure Finance Company Limited and the Asian Development Bank. This environmental and social due diligence report is a document of the borrower. The views expressed herein do not necessarily represent those of ADB's Board of Directors, Management, or staff, and may be preliminary in nature. In preparing any country program or strategy, financing any project, or by making any designation of or reference to a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area. Environment and Social Safeguards Due Diligence Report India Infrastructure Finance Company Ltd. Environment and Social Safeguards Due-Diligence Report Construction of 15 MW Municipal Solid Waste to Energy Processing Facility at Guntur in the State of Andhra Pradesh, India Sub Project Developer Jindal Urban Waste Management (Guntur) Ltd – April 2019 IIFCL/ESDDR/ADB/2019/110/V2 1 JUWMGL Environment and Social Safeguards Due Diligence Report India Infrastructure Finance Company Ltd. SUB PROJECT: 15 MW Waste-to-Energy (WtE) Project with construction and operation of MSW processing facility for the obligated quantity of MSW during the concession period on design, build, finance, operate and transfer (DBFOT) basis and setup of landfill and disposal of the process remnants and residual inert matters at Guntur in the State of Andhra Pradesh, India. Jindal Urban Waste Management (Guntur) Limited Environmental and Social Safeguards Due Diligence Report (ESDDR) Prepared by Dr. Rashmi Kadian Assistant General Manager (Environmental Specialist) ESMU, IIFCL Mr. Krupasindhu Guru Assistant General Manager (Social Specialist) ESMU, IIFCL Reviewed and Approved by Dr. S. S. Garg Head, ESMU IIFCL IIFCL/ESDDR/ADB/2019/110/V2 2 JUWMGL Environment and Social Safeguards Due Diligence Report India Infrastructure Finance Company Ltd. CONTENTS PROJECT BACKGROUND ...................................................................................................................................... 6 1. PURPOSE OF THE REPORT ........................................................................................................................ 7 2. SUBPROJECT TITLE .................................................................................................................................... 7 3. SUBPROJECT SCOPE ................................................................................................................................... 7 4. PROJECT BACKGROUND ........................................................................................................................... 7 5. PROJECT DETAILS ....................................................................................................................................... 8 6. SUB-PROJECT LOCATION ........................................................................................................................ 10 7. DEBT COMPONENT OF THE PROJECT ................................................................................................ 11 8. STATUS OF REGULATORY PERMISSIONS AND APPROVALS FOR SETTING UP JUWMGL .. 11 9. ABOUT THE PROJECT ............................................................................................................................... 14 10. PROJECT LOCATION AND SCALE ......................................................................................................... 14 12. POLICY, LEGAL AND REGULATORY REQUIREMENT .................................................................... 17 13. COMPLIANCE OF JUWMGL WITH ESSF OF IIFCL ........................................................................... 17 16. DESCRIPTION OF THE ENVIRONMENT ............................................................................................... 20 17. VISIT TO SUB-PROJECT LOCATION ..................................................................................................... 21 18. ANTICIPATED ENVIRONMENTAL IMPACTS DURING CONSTRUCTION PHASE AND MITIGATION MEASURES ......................................................................................................................... 21 21. ENVIRONMENT MANAGEMENT PLAN ................................................................................................ 27 22. INSTITUTIONAL FRAMEWORK FOR EMP IMPLEMENTATION ................................................... 31 23. CATEGORIZATION OF SUB-PROJECT ................................................................................................. 31 24. PROJECT AGAINST THE PROHIBITED INVESTMENT ACTIVITIES LIST .................................. 31 25. PUBLIC CONSULTATION AND INFORMATION DISCLOSURE ....................................................... 31 26. GRIEVANCE REDRESSAL MECHANISM .............................................................................................. 32 28. CONCLUSIONS AND RECOMMENDATIONS ....................................................................................... 34 29. PURPOSE OF THE SOCIAL SAFEGUARDS DUE DILIGENCE: ......................................................... 37 30. PROJECT AGAINST THE PROHIBITED INVESTMENT ACTIVITIES LIST: ................................. 37 31. OBJECTIVE OF SOCIAL SAFEGUARDS DUE DILIGENCE: .............................................................. 37 32. APPROACH AND METHODOLOGY: ...................................................................................................... 37 33. STAKE HOLDERS CONSULTATION: ..................................................................................................... 38 34. SOCIAL IMPACT OF THE PROJECT: ..................................................................................................... 38 34.1 IMPACT ON STRUCTURE: ........................................................................................................................ 38 34.2 LAND ACQUISITION IN THE PROJECT: ............................................................................................... 39 34.3 RESETTLEMENT IMPACT IN THE SUB-PROJECT ............................................................................. 39 34.4 IMPACT ON SCHEDULE TRIBE PEOPLE: ............................................................................................. 39 34.5 IMPACT ON COMMON PROPERTIES RESOURCES (CPR): .............................................................. 40 35. GRIEVANCE REDRESSAL MECHANISM: ............................................................................................. 40 36. LOCAL EMPLOYMENT: ............................................................................................................................ 40 37. LABOUR LICENSE OBTAINED BY THE SUBPROJECT DEVELOPER: .......................................... 40 38. DISCLOSURE: ............................................................................................................................................... 41 39. SITE VISIT OBSERVATION: ..................................................................................................................... 41 40. CONCLUSIONS AND RECOMMENDATIONS: ...................................................................................... 41 LIST OF TABLES TABLE 1: SALIENT FEATURES OF JUWMGL………………………………………………………………..8 TABLE 2: MAIN UNITS OF JUWMGL…………………………………………………………………………..9 TABLE 3: AVAILABILITY OF PERMITS/APPROVALS FOR SETTING UP JUWMGL …………………11 TABLE 4: STATUS OF JUWMGL CONSTRUCTION …………………………………………………………14 TABLE 5: STATUTORY CLEARANCES/APPROVALS/PERMITS REQUIRED & PRESENT STATUS..18 TABLE 6: ASSESSMENT BASED ON LOCATION CRITERIA AS PER CPHEEO, GOVERNMENT OF INDIA..……………………………………………………………………………………………………….21 TABLE 7: ENVIRONMENT MANAGEMENT PLAN IMPLEMENTATION MATRIX FOR CONSTRUCTION STAGE………………………………………………………………………………...27 IIFCL/ESDDR/ADB/2019/110/V2 3 JUWMGL Environment and Social Safeguards Due Diligence Report India Infrastructure Finance Company Ltd. TABLE 8: ENVIRONMENT MANAGEMENT PLAN IMPLEMENTATION MATRIX FOR OPERATION STAGE……………………………………………………………………………………………………….29 LIST OF FIGURES Figure 1: JUWMGL Plant location – MSW Processing facility (A) and landfill site (B) …………….16 ANNEXURES Annexure I Government Order for Land Allocation to JUWMGL Annexure II Labour License Annexure III Group Personal Accident Insurance Annexure IV Airports Authority of India No Objection Certificate Annexure V Evacuation arrangement letter Annexure VI Concession Agreement of JUWMGL (relevant clauses to Environmental Management) Annexure VII No Objection Certificate from Forest Department Annexure VIII Consent for Establishment from State Pollution Control Board Annexure IX Authorisation from State Pollution Control Board Annexure X Letter regarding treated sewage water supply Annexure XI Permission for ground water use Annexure XII Provisional Fire No Objection Certificate Annexure XIII Village Resolution for setting up of JUWMGL Annexure XIV Director of Factories Approval Annexure XV Fuel Storage Permission Annexure XVI Buffer zone amendment letter Annexure XVII Lease Agreement Annexure XVIII ESIC Certificate PHOTOPLATES PHOTOPLATE I - SITE VISIT PHOTOGRAPHS PHOTOPLATE II – STAKE HOLDERS CONSULTATION IIFCL/ESDDR/ADB/2019/110/V2 4 JUWMGL
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