ASHUGANJ POWER STATION COMPANY LTD [AN ENTERPRISE OF BANGLADESH POWER DEVELOPMENT BOARD) DETAILED FEASIBILITY STUDY AND ENVIRONMENTAL IMPACT ASSESSMENT STUDY FOR ASHUGANJ 450MW COMBINED CYCLE POWER PLANT (SOUTH) AT ASHUGANJ EXISTING POWER STATION SITE ENVIRONMENTAL IMPACT ASSESSMENT STUDY REPORT ATLANTA ENTERPRISE LIMITED in association with PROKAUSHAL UPODESTA LIMITED HOUSE NO-1 ROAD NO-3 SECTOR-7, UTTARA, DHAKA-1230 JUNE 2011 ABBREVIATIONS APSCL - Ashuganj Power Station Company Ltd AoI - Area of Influence AEL - Atlanta Enterprise Limited BPDB - Bangladesh Power Development Board CCPP - Combined Cycle Power Plant DoE - Department of Environment EIA - Environmental Impact Assessment EMP - Environmental Management Plan FGD - Focus Group Discussion GoB - Government of Bangladesh GDP - Gross Domestic Product IEE - Initial Environmental Examination IEC - Important Environmental Component KII - Key Informants Interview MoFE - Ministry of Forest and Environment PRA - Participatory Rural Appraisal RRA - Rapid Rural Appraisal DO - Dissolved Oxygen Ab-1 TABLE OF CONTENTS VOLUME – I EXECUTIVE SUMMARY CHAPTER -1: Socio-economic Condition and Energy Scenario of Bangladesh CHAPTER – 2: Present Status of Power Sector and Ashuganj Power Station Company Limited CHAPTER – 3: Energy Resources and Supply CHAPTER – 4 : Power Market Load Forecast and Supply CHAPTER – 5: The Project CHAPTER – 6 : Layout Planning & Preliminary Design CHAPTER – 7 : Project Implementation Schedule CHAPTER – 8 : Cost Estimate CHAPTER – 9: Financial Analysis CHAPTER – 10: Economic Analysis CHAPTER – 11: Findings and Recommendations CHAPTER –12: Project Risks and Mitigation VOLUME – II ABBREVIATIONS/ ACRONYMS EXECUTIVE SUMMARY CHAPTER –1: Introduction CHAPTER –2: Regulatory Frameworks CHAPTER – 3: Project Activities CHAPTER – 4: Baseline Condition CHAPTER – 5: Socio-economic Survey CHAPTER – 6: Environmental Impacts Identification CHAPTER – 7: Environmental Management and Monitoring Plan CHAPTER – 8: Public Consultation CHAPTER –9: Conclusion ToC-1 EXECUTIVE SUMMARY Bangladesh is running with acute shortage of power generation capacity and addition of generation capacity through implementation of proposed Ashuganj 450 MW CCPP South at APSCL premises is considered essential to cope with the consumers’ demand and to provide reliable power in Dhaka and adjoining areas. This Environmental Impact Assessment has been prepared as part of the feasibility study for Ashuganj 450 MW Combined Cycle Power Plant South project proposed for construction at Ashuganj Power Station Complex owned by Ashuganj Power station Company Limited (APSCL). The project proponent is the APSCL of the Ministry of Energy and Power. The objective of the study is to help APSCL prepare a power generation project suitable for GoB financing. The Project aims to improve power supply by replacing the old unreliable power plants resulting in reducing load shedding and ensuring stable power supply. This EIA study based on field investigations, coordination with APSCL, requirement of law Department of Environment (DoE), and stakeholder consultations. This report covers the description of existing environmental conditions, assessment of environmental impacts of the power station operation, recommended mitigation measures and environmental monitoring. The environmental impact was considered for activities during pre-construction, construction and operation phases of the Project to satisfy the Department of Environment that it meets with the requirement of law. As power projects are identified as having the potential for environmental impact, the Bangladesh Department of the Environment (DoE) has categorized them as being the “Red Category” of industrial processes. As such, an Initial Environmental Examination (IEE) and Environmental Impact Assessment (EIA) are required. However, the Director General of DOE has exempted IEE and allowed the project proponent to go for EIA for which the project proponent prepared this report through AEL. The EIA has identified various potential impacts and recommended suitable mitigation measures together with a monitoring program. The potential negative environmental impacts are temporary and relatively minor and will occur during construction as well as in operational stages of the proposed project. Again the proposed plant is of advanced design with dry low Nox (DLN) burner with premix burning system which restrict the combustion temperature to 1317OC which is much below the Nox forming temperature (1600OC). Thus possibility of Nox formation is minimal. Since the new plant will be of single gas turbine and of advance design noise and vibration pollution will be less in companion with the existing power stations. The total quantity of water withdrawal will be about 56.67m3/sec by all the units including the proposed 150MW CCPP & 450MW CCPP and the 450MW CCPP South. This water will be discharged back to the river with a temperature rise of 7OC i.e. with discharge temp of 37.54OC. This discharge will not have any tangible effect on entire river water (2050m3/sec). Since the proposed 150MW CCPP will discharge 3.34m3/sec water at 7OC above the temp of river water about 250m upstream of the common intake, the temp of water at intake will be 30.54OC instead of 30OC. Ex-1 However, after immediate vicinity of the discharge point due to instant mixing with equal volume of river water with temp 30OC the temp will be 34.04OC which is much below the limit of 40OC set for the by DoE. There is a permanent jetty at the river bank in APSCL Complex provided with crane of capacity 200ton plus 50ton auxiliary. But this crane require major rehabilitation. After rehabilitation of the crane and with help of some other cranes of appropriate capacity any larger unit can be unloaded. But transportation to the proposed site of Ashuganj 450MW CCPP South is difficult even incase of smaller units since there are no free space to make even temporary road to carry heavy equipment across existing power station premises. The existing railway line and the internal roads could not be extended to the new site because of various obstacles all ready built as different components of the power station. Investigation was made to find out a suitable location at river side near the proposed site. But the immediate nearest riverfront is already occupied by a market and other installation. Further investigation was done to build a temporary jetty at the old ferry ghat about one and a half km away from the site for unloading the equipment and carry the same to the site by lowbuoy carriers. The approach road from old ferry ghat to proposed site was also investigated and found suitable for the purpose. Since the power plant will be within the APSCLs premises, no new requisition of land is required so there will be no question of resettlement. On the other hand, the project will promote significant economic benefits resulting from project operation. Implementation of the proposed mitigation measures and the monitoring program will reduce the impacts to significant levels. At the time of construction, the contractor will implement the mitigation measures identified in the EIA, while project consultants will conduct regular monitoring to ensure contractor’s compliance with applicable provisions of the EMP. The project consultant will assist the APSCL in preparing contractual documents such as bidding documents; bills of quantity and other contractual obligations of the contractor clearly identify environmental responsibilities and describe penalties for non-compliance. The local people expressed support for immediate implementation of the project, as they clearly realized the project benefit during the consultations. Finally, the Project will result in positive environmental and economic beneficial impacts and will have minor negative impacts during construction period which will be carefully monitored and adequately mitigated. The completion of this EIA fully meets the GoB standards. After completion of the project, a post project evaluation would be useful for sustainability and ensuring environmental safeguards of the project. Conclusions The EIA has identified various potential impacts and recommended suitable mitigation measures together with a monitoring program. The potential negative environmental impacts are temporary and relatively minor and will occur during construction as well as in operational stages of the proposed project. Since the new plant will be of single gas turbine and of advance design noise and vibration pollution will be less than those by the existing ones. There will be no water pollution except rising of temp to 37.04OC against river water temp of 30OC. Ex-2 Major transportation will be by river and unloading will be done at a temporary Jetty at the ferry ghat which is only about one and a half a kilometer from away the project site. So, no tangible impact on road network is envisaged. Since the power plant will be within the APSCL complex no new requisition of land is requested. So there will be no question of settlement of inhabitants. Thus it is seen that negative impacts of the project on environment as well as on society are negligible. On the other hand, the project will promote significant economic benefits resulting from project operation. Implementation of the proposed mitigation measures and the monitoring program will reduce the impacts to significant levels. During construction, the contractor will implement the mitigation measures identified in the EIA, while project consultants will