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ENVIRONMENTAL ASSESSMENT Public Disclosure Authorized 11 EV9L519 I I ~~~~~SOCIALIST REPUBLIC OF VIETNAM Public Disclosure Authorized i 1 I RURAL ENERGY 2PROJECT Public Disclosure Authorized ! ~~FEASIBILITY STUDY | ~LAO CAI PROVINCE 1 Volume 2 l ENVIRONMENTAL ASSESSMENT Public Disclosure Authorized I ehia cetfcZrieEtrrs EC 220 l Public Disclosure Authorized II- SOCIALIST REPUBLIC OF VIETNAM RURAL ENERGY 2 PROJECT I I | FEASIBILITY STUDY LAO CAI PROVINCE Volume 2 l ENVIRONMENTAL ASSESSMENT l Project Manager Doan Tat Quang Deputy Chief Clerk Nguyen Anh Tuan PP. Director I Technical Scientific Service Enterprise Deputy director I l | Nguyen Van Dong I l ELECTRICITY OF VIETNAM l WB credit VN -4000 I ENVIRONMENTAL ASSESSMENT AND ENVIRONMENTAL MANAGEMENT PLAN Vietnam Rural Energy 11 Lao Cai province I Prepared by Science, Technology Service Enterprise Power Engineering and Consulting Company N°1 H lI Hanoi, July 2005 1 1. INTRODUCTION AND SCOPE OF WORK 1.1. Objectives of the Project The development objectives of the proposed Rural Energy II Project are to assist the Govemment of Vietnam to alleviate poverty in the rural areas by providing basic infrastructure service such as electricity and access to general services, for improving living conditions and productivity. The Project will assist the Government of Vietnam to implement I its national objective of providing electricity to about 12 million rural households through: - An effective strategy for rural electrification with special focus on provision of energy to the remote mountainous areas; I - Rehabilitating, upgrading and expanding the rural power system in order to meet the demand for power supply for future socio-economic development; - Strengthening reliability and quality of power networks, reduce voltage and electricity losses on the grid, lower rural consumption price, improve businesses efficiency and rural power management ability of local power management boards; 3 - Refurbishment of the existing rural power network to increase reliability and quality of supply, including reduction of technical and non-technical losses; this Project incorporates 19 communes in 6 districts (Muong Khuong, Van Ban, Si Ma Cai, Sa I Pa, Bat Xat and Bac Ha) of Lao Cai province. - Extension of existing power networks to supply additional households; - Assisting local District and Commune committees to improve power system I management processes and improve business efficiency, to provide electricity reliably, safely and at reasonably cost; - Review rural power management models, to establish power management units of legal standing, with economic independence and the managerial/technical skills to operate effectively and profitably, repaying loaned funds; I - Expanding the use of renewable energy for the off-grid systems to serve the rural load inthe remote and isolated areas, where feasible and economically practicable; 1.2. NEED FOR PROJECT INVESTMENT I Based on the forecast data on economic development, power demand, the current situation of the existing power distribution network of the Project's commune. The existing distribution network is degraded, not synchronous. Power losses are very high. The alignmeunt of power lines is not well designed. Many types of poles are existed in the network. The alignment of power lines is not well designed. There are also many types of X electricity meters. In the past in order to save money, the distribution lies were created to go across gardens, ponds etc. The conductor is overhead type and not covered by any insulating materials, so it cause a lot of risk on safety to local people. The Project is planned to implemented in order to: - Improve the quality of the existing distribution network in the Project's communes. l - Increase the safety management of the distribution network; - Reduce power losses; 2 I - Increase electricity supply for the Project's communes; l - Change the form for management model of rural power network; - Gradually modernize the distribution power network. * 1.2. Commune selection criteria 1.2.1. General criteria * To be voluntary participants in the Project and understand requirements and regulations of World Bank and the Government of Vietnam to carry out RE II I Project; * To be willing to convert the communes power management model to legal local distribution units to control LV networks; * To have potential for economic development; * To have an acceptable capital recovery rate; * Revenue from power business can cover management, operation and funding costs. 1 1.2.2. Criteria for selection of communes for rehabilitation * Power losses exceeds 20%; aged power networks degraded and require 3 refurbishment; * Power demand is substantial (over 500 households); * Power demand for industrial production is substantial (over 20%); 1 * Number of electrified communes over 80%; * Average power consumption rate power household in substantial; estimated 3 annually 500 kWh/household. 1.2.3. Criteria for communes to be connected 3 * Number of households connected to power network is Provincial communes is bellow the average (60%); * Customers are able to pay cost of connection and subsequent power bills; I * Communes have potential for development in agriculture, forestry and handicraft, which would be enhanced if electrified; * * Communes in the poorest communes list; * Communes in the assistance program of World Bank. l * Communes are ready to adopt the management model of power network. Ig L 31 Table 1.1. Project communes No Name of communes Muong Khuong district 1 La Pan Tan 2 Ta Thang *_______ Van Ban district 3 Nam Xe 4 Nam Xay 5 Nam Chay I* Si Ma Cai district 6 Man Than 7 Ban Me 8 Thao Chu Phin Sa Pa district I 9 Ta Giang Phin 10 SuoiThau 11 Thach Kim Bat Xat district 12 Phin Ngan 13 Tong Sanh 14 Pa Cheo 15 Trung Leng Ho Bac Ha district 16 Ban Lien 3 17 Ban Cai 18 TaCuTy 19 Nam Luc I U U I~~~~~~~~~~~~~~~~~~~~~~~ I I I 4 FROJECT DESCRIPTION 2.1. PROJECT SCALE - MEDIUM VOLTAGE Medium voltage part of the Project will be consisted of 234.355 km distribution lines. I Total number of new substations is 43. Power company No 1 will be the Project Owner for medium voltage part of the Project. 23.2. PROJECT SCALE - LOW VOLTAGE Low voltage part of the Project is consisted of 178.825 km low voltage transmission line, E om which - Total number of energy meters is 21,212 sets. I Provincial People committee will be the Project Owner for low voltage part of the Project. I'.3 INVESTMENT STRUCTURE OF THE PROJECT at le 2. 1. The investment structure of the Project (VND) -___ Items Medium Voltage Low Voltage 1l l Equipment 3,418,751,861 2 Construction 43,258,031,270 26,193,832,842 3 Other cost 13,685,878,895 3,561,811,814 3 4 Contingencies 5,125,291,633 2,975,564,466 ____ Total 65,487,953,658 32,731,209,122 l ; .2 PROJECT COMPONENTS at le 2.2. Project's components - LOW VOLTAGE No No of No of energy Length of LV 3 District communes meters line (m) 1 Muong Khuong 2 1,1712 18,890 3 2 Van Ban 3 1,727 31,391 3 Si Ma Cai 3 1,444 22,090 3 4 Sa Pa 3 2,075 36,189 5 Bat Xat 4 2,380 36,722 3 6 Bac Ha 4 1,877 33,570 l TOTAL 19 21,212 178,852 5 I ab le 2.3. Project's components - MEDIUM VOLTAGE Number of No of substation District Communes New MV line (m) 1 Muong Khuong 2 26,000 5 2 Van Ban 3 26,600 5 3 Si Ma Cai 3 52,500 7 4 Sa Pa 3 38,800 7 5 Bat Xat 4 38,955 9 l 6 Bac Ha 4 51,500 10 l_L_| TOTAL 19 234,355 43 lII I 2.3. BRIEF DESCRIPTION OF NATURAL AND SOCIAL CONDITION OF THE PROJECT'S PROVINCES Geographical position and topography 7 .. Lao Cai is mountainous province among northern border provinces of Vietnam. More than 70% of land is high land. There are two high mountain chains, Hoang Lien Son and Con Voi. The highest peak is 3,143 m. I Topography of Lao Cai is very complicated, high slope, many valleys, many abysses, floods, land slides etc. 3 Natural area of Lao Cai is 6,344 km2. I Population of Lao Cai is 547,106 people; Average population density is 74 people/ km2. There are 25 ethnics living in Lao Cai provinces. l Lao Cai is consisted of 8 districts, 1 township (Lao Cai) and 164 communes and wards. Climate Lao Cai has monsoon climate characteristics, I . Hot and rainy season from April to October. Cool season and dry season from November to March of the next year. I Average rainfall: is from 1,800 mm to 2,100 mm. Average humidity: 84% Average temperature is 22.9 oC. I Land resource l Total natural land: 805.7 ha . Agricultural land: 92.5 ha . Forested land: 274.8 ha; 3 . Specially used land: 12.4 ha; . Homestead land: 3.2 ha l Water resource Lao Cai has dense river system. River and stream system is not evenly distributed, 0.3 to 1.7 * km/km2. There are more than 10,000 big and small rivers, streams in the province. There are two big rivers crossing the province, they are Red river and Chay river. Protected areas Hoang Lien Son National Park is San Sa Ho, Lao Chai, Ta Van and Ban Ho commune, Sa Pa district and Muong Khoa, Than Thuoc communes, Than Uyen district. There is no Project's commune is located in the U protected area. Hoang Lien Son- Van Ban Proposed Nature Reserve is located in Nam Xay, Nam xe, Minh Luong, Tham Duong, Duong Quy, Da Thang and Nam Chay communes, Van Ban district.
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