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Central Térmica De Temane Project - Environmental and Social Impact Assessment Report Moz Power Invest, S.A

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Central Térmica De Temane Project - Environmental and Social Impact Assessment Report Moz Power Invest, S.A REPORT Central Térmica de Temane Project - Environmental and Social Impact Assessment Report Moz Power Invest, S.A. and Sasol New Energy Holdings (Pty) Ltd Submitted to: World Bank Group Submitted by: Golder Associados Moçambique Limitada 6th Floor, Millenium Park Building, Vlademir Lenine Avenue No 174 Maputo, Moçambique +258 21 301 292 18103533-320908-2 March 2019 November 2018 18103533-320908-2 Distribution List 1 x electronic copy World Bank Group 1 x electronic copy SNE, EDM and TEC 1 x electronic copy e-projects library [email protected] 1 x electronic copy Golder project folder i November 2018 18103533-320908-2 Executive Summary INTRODUCTION Moz Power Invest, S.A. (MPI), a company to be incorporated under the laws of Mozambique and Sasol New Energy Holdings (Pty) Ltd (SNE) in a joint development agreement is proposing the construction and operation of a gas to power facility, known as the Central Térmica de Temane (CTT) project. MPI’s shareholding will be comprised of EDM and Temane Energy Consortium (Pty) Ltd (TEC). The joint development partners of MPI and SNE will hereafter be referred to as the Proponent. The Proponent propose to develop the CTT, a 450MW natural gas fired power plant. The proposed CTT project will draw gas from the Sasol Exploration and Production International (SEPI) gas well field via the phase 1 development of the PSA License area, covering gas deposits in the Temane and Pande well fields in the Inhassoro District and the existing Central Processing Facility (CPF). Consequently, the CTT site is in close proximity to the CPF. The preferred location for the CTT is approximately 500 m south of the CPF. The CPF, and the proposed site of the CTT project, is located in the Temane/Mangugumete area, Inhassoro District, Inhambane Province, Mozambique; and approximately 40 km northwest of the town of Vilanculos. The Govuro River lies 8 km east of the proposed CTT site. The estimated footprint of the CTT power plant is approximately 20 ha. Associated infrastructure and facilities for the CTT project will include: a) Electricity transmission line 25km in length to the Vilanculos substation; b) A water pipeline from a borehole to the CTT plant site; c) Gas pipeline between the CPF and the power plant; d) An access road, construction camp and contractor laydown areas at the CTT site. PROPONENT The project developers are Moz Power Invest, S.A. (MPI), a company to be incorporated under the laws of Mozambique and Sasol New Energy Holdings (Pty) Ltd (SNE) in a joint development agreement. MPI’s shareholding will be comprised of Electricidade de Mozambique E.P. (EDM) and Temane Energy Consortium (Pty) Ltd (TEC). The ESIA Practitioner The ESIA is being prepared by Golder Associados Moçambique Lda, coordinated by Aiden Stoop. The table below lists the primary contacts for the ESIA professionals and their roles. A complete team is presented in the EIS report. Should you have any comments or queries, please contact Jamila das Neves or Cândida Boavida below. Contact Persons Aiden Stoop Jamila das Neves/ Cândida Boavida Purpose Technical ESIA Public Participation ii November 2018 18103533-320908-2 Contact Persons Aiden Stoop Jamila das Neves/ Cândida Boavida Address Building 1, Maxwell Office Park, Av. Vladimir Lenine, Nr 174, Millennium Magwa Crescent West, Waterfall Park Building, 6th Floor, Maputo City City, Midrand, 1685 Telephone +27 11 254 4800 +258 21 301 292 E-mail [email protected] [email protected] [email protected] This ESIA has been prepared by Golder Associados Moçambique Lda. The ESIA comprises 3 volumes and is made up as follows: Volume 1: Non-Technical Summary (NTS) and ESIA Main Report The report summary is prepared to provide lead agencies with sufficient information about the findings and proposed actions of the main report to make a decision about the project. The main report is divided into three parts. Part 1 includes general project information, the legal framework and the stakeholder engagement process. Part 2 sets out the project baseline for the receiving environment. Part 3 covers all aspects of project impact, mitigation and monitoring. Records of consultation meetings with lenders, affected people, government agencies and nongovernmental organizations (NGOs); and a list of associated reports will be included in appendices to the main ESIA report. Volume 2: Environmental and Social Management Plans (ESMPs) The Environmental and Social Management Plans (ESMPs) are contained in Volume 2. Each ESMP is divided into construction, operation and decommissioning phases. Specific sub-plans dealing with environmental and social aspects and components support these ESMP’s. Volume 3: Specialist Studies Specialist studies are included in Volume 3, which have been used to inform the ESIA. iii November 2018 18103533-320908-2 Figure A: Project Location iv November 2018 18103533-320908-2 LEGAL FRAMEWORK The relevant Mozambican legislation and international standards applicable to this project were considered for the studies included in the EIA process and in the resulting mitigation measures. ESIA PROCESS The registration of the proposed project was carried out in August 2014, together with the Ministry of Land, Environment and Rural development (MITADER), having been classified as a Category A Project and is therefore subject to an Environmental Impact Assessment (EIA) under Article 12 of the EIA Regulation (Decree 45/2004 of 29 September amended by Decree 42/2008 of 4 November), now Article 11 of the new EIA Regulation (Decree 54/2015 of 31 December). The Environmental Pre-feasibility and Scoping Study (EPDA) was then carried out and the Terms of Reference (ToR) were defined for the Environmental Impact Study (EIS). Public consultation was undertaken during the EPDA & ToR phase in early 2015, whereafter the EPDA & ToR, together with stakeholder comments was submitted to MITADER and approved later in 2015. Due to prevailing economic conditions, the project was on hold until 2018, when the next phase of the ESIA proceeded with impact assessment and devising mitigation measures. The EIS report together with Environmental and Social Management plans (ESMPs), will be submitted to MITADER for decision making in early 2019, after the next round of public consultation has been undertaken. Furthermore, the CTT project ESIA complies with local Mozambican legislation as well as the World Bank Performance Standards (OP 4.03) and EHS guidelines. Scheduling It is expected that the following CTT project timeframes will be followed: Construction: 18-24 months; Operations (design life): 25 years (although plants are often re-furbished and the life extended); and Decommissioning: 18-24 months. The above timeframes are indicative and will be refined depending on the technology and supplier selected. These timeframes have been used to inform the assessment of impacts in this ESIA. IMPACT ASSESSMENT FINDINGS The potential environmental and socioeconomic impacts of the Project were identified through a process of developing a baseline through both desktop studies and fieldwork. The proposed project infrastructure and associated activities were analysed against this baseline and impacts were predicted using quantitative and qualitative methods. A variety of impacts were identified for the Bio-Physical Environment and the Socio- economic Environment. The following section describes the baseline setting and summarizes the main impacts identified and mitigation measures to reduce negative impacts and enhancing positive impacts. v November 2018 18103533-320908-2 BIOPHYSICAL ENVIRONMENT BASELINE SUMMARY The study area is situated along the coastal plain of Mozambique, approximately 20 km inland of the coastline and about 30 m above mean sea level. The topography of the study area ranges from flat to undulating. A low, north-south trending dune ridge runs between the coast and the Govuro River, and acts as a natural watershed. The Govuro River lies at 13 m above sea level (m.a.s.l). Land to the west of the river rises to 58 m.a.s.l, while that to the south rises to 68 m.a.s.l. The vegetation in the project area consists mainly of a mixture of tall and short woodland and bush with grass areas and river habitat alongside the Govuro River. Most of the CTT plant and associated infrastructure are located on land that has been transformed through human activity with limited natural habitat that will be disturbed by the project. There is no identified Critical Habitat near any of the proposed project infrastructure and associated activities for the terrestrial environment (Figure B). There is potential critical habitat triggering under criterion 1,2,4 and 5 in the marine environment of the study area, linked to potential anchorage points and barge routes associated with the temporary beach landing activities. Given the temporary nature of the beach landing activities as described further in the subsequent sections, the critical habitat would be triggered for approximately 10 days during the first 12-15 months of the Project in blocks of 1-2 days each. In addition, mitigation measures will be implemented to reduce these impacts to an expected Low or Negligible impact as detailed in Sections Error! Reference source not found. and Error! Reference source not found.. Numerous tree species are felled by locals and used as firewood or to produce charcoal. Subsistence firewood collecting does not necessarily have a negative impact on vegetation, as dead wood is often gathered. The use of various plant materials for building huts, granaries, livestock pens and various other rural infrastructure is common throughout the region, and one of the main forms of ecosystem goods. Various crops are grown on both a subsistence and commercial basis. Subsistence farming is by far the most common form of agriculture and features prominently throughout the area. Maize and cassava are common crop plants and are often grown together. Depending on productivity, each plot is cultivated for a few years (sometimes up to four) before being abandoned in favour of a new plot.
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