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Initial Environmental Examination: India, Infrastructure Development Investment Program for Tourism

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Initial Environmental Examination: India, Infrastructure Development Investment Program for Tourism Infrastructure Development Investment Program for Tourism (RRP IND 40648) Initial Environmental Examination Document Stage: Draft for Consultation Project Number: P40648 July 2010 IND: Infrastructure Development Investment Program for Tourism—Himalayan Waters Sanctuary Destination Subproject Prepared by the Government of Himachal Pradesh This IEE 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. ABBREVIATIONS ADB – Asian Development Bank BOD – Biological Oxygen Demand BPL – Below Poverty Line EAC – Expert Appraisal Committee EIA – Environmental Impact Assessment IEE – Initial environmental examination MLD – Million Liters per day MOEF – Ministry of Environment and Forests NGO – Non-Governmental Organization PIU – Project Implementation Unit PMU – Project Management Unit RPM – Respirable Particulate Matter SEAC – State Expert Appraisal Committee SPM – Suspended Particulate Matter TDS – Total Dissolved Solids TSS – Total Suspended Solids VFDS – Village Forest Development Society TABLE OF CONTENTS EXECUTIVE SUMMARY 1 I. INTRODUCTION 2 A. Background 2 B. Purpose of the IEE 3 C. Environmental Regulatory Compliance 3 D. Report Structure 5 II. DESCRIPTION OF PROJECT COMPONENTS 6 A. HWSD – An Overview 6 B. Shimla Heritage Route 8 C. Loan 1 Suprojects 8 III. DESCRIPTION OF ENVIRONMENT 9 A. Environmental Profile – HWSD 9 B. Environmental Profile – Shimla Heritage Route 12 C. Demographic Profile 14 IV. Environmental Impacts and Mitigation Measures 15 A. Land Acquisition and Resettlement 16 B. Environmental Impacts 16 IV. INSTITUTIONAL REQUIREMENTS 32 A. Institutional Arrangements 32 B. Environmental Monitoring Plan 34 C. Capacity Building 36 D. Environmental Budget 38 V. PUBLIC CONSULTATION AND INFORMATION DISCLOSURE 39 A. Process for Consultation Followed 39 B. Plan for Continued Public Participation 40 VI. FINDINGS & RECOMMENDATIONS 41 VII. CONCLUSIONS 41 APPENDIXES 1. Rapid Environmental Assessment (REA) Checklist 2. Description of Subproject Elements 3. Information Sheet on Ramsar Wetlands-Pong Dam Lake 4. Contract Clauses to be integrated into Bid Documents 5. Table of Organization 6. Environmental Management Plan 1 EXECUTIVE SUMMARY 1. The India Infrastructure Development Investment Program for Tourism (the Investment Program) envisages environmentally and culturally sustainable and socially inclusive tourism development in the project states of Himachal Pradesh, Punjab, Tamil Nadu and Uttarakhand, delivered through a multi-tranche financing facility (MFF) modality. Loan 1 (first tranche) includes the states of Himachal Pradesh and Punjab. 2. This Initial Environmental Examination (IEE) assesses Loan 1 (first tranche) subprojects for the state of Himachal Pradesh in the (i) Himalayan Waters Sanctuary Destination (HWSD), and (ii) Shimla Heritage Route clusters and specifies measures towards addressing the impacts. The IEE was based on a careful review of subproject site plans and reports; defined management plans (e.g., Archaeological Survey of India [ASI] management plans and Pong Wetland Management Plan); field visits, and secondary data to characterize the environment and identify potential impacts; and interviews and discussions with stakeholders. An environmental management plan (EMP) outlining the specific environmental measures to be adhered to during implementation of the subproject has been prepared. Subprojects will provide needed environmental and tourist infrastructure to improve the environmental management and quality of the sites towards preserving their ecological and cultural integrity. 3. The selection of components are consistent with the subproject selection criteria outlined in the Environmental Assessment and Review Framework (EARF) aimed at enhancing protection of these sites and enhancing their environmental quality. Subprojects are consistent with defined management plans designed to protect environmentally sensitive and cultural locations. Management plans guided subproject design and location, therefore, all proposed facilities in natural areas are located outside sensitive areas and sited in designated tourist development zones (as per the Pong Reservoir management plan prepared by the State Department of Wildlife and Forest) and located away from sensitive habitats. The project design incorporates the views of primary and secondary stakeholders including local communities, local officials, and nongovernment organizations (NGOs, local and international – e.g., World Wildlife Fund [WWF], International Union for Conservation of Nature [IUCN], etc.) who were all meaningfully consulted during IEE and project preparation. The subproject will conform to all Government regulations, policies, and standards, as well as Asian Development Bank’s (ADB's) Safeguard Policy Statement (2009). The Investment Program includes additional environmental awareness-building to raise conservation values consistent with management plans and Himachal Pradesh’s environmental and tourism policies (which emphasizes ecotourism) amongst local communities and local governments in order to ensure future sustainable development in and around these locations. 4. The environmental impacts of the project are therefore not significant and at Category B level, as per ADB's Safeguards Policy Statement. The specific measures stated in the EMP will address all adverse environmental impacts due to the subproject. Impacts are readily mitigated through careful siting, specific selection criteria for procuring contractors with demonstrated experience; execution of proven mitigation measures during the design; and adoption of good engineering practices during construction and implementation. A detailed monitoring plan prepared as part of this IEE will further mitigate negative environmental impacts during implementation. 5. Potential induced impacts are addressed through the following: (i) awareness-building of local management plans at proposed sites specifically addressing the need to regulate tourism related development and planning in the area through coordination with related government 2 departments and local land use committees; and (ii) project-supported environmental awareness campaigns in surrounding communities to encourage participatory sustainable development consistent with eco-tourism principles and in compliance with the state's tourism policy ecotourism aspects. Moreover, to further regulate future development in the project areas, Government policies require automatic an environmental impact assessment (EIA) of development activities (≥20,000 sq.mtrs and <150,000 sq.mtrs. of built-up area) within 10km of notified protected areas. 6. The Investment Program includes upfront and ongoing supervision and training assistance for environmental monitoring reporting in project management structures. The effective implementation of the measures proposed will be ensured through the building up of capacity towards environmental management within the project management unit (PMU) supplemented with the technical expertise of a Safeguards Specialist as part of the Design Supervision Consultants (DSC) and Project Management Consultants (PMC). Further, the environmental monitoring plans provide adequate opportunities towards course correction to address any residual impacts during construction or operation stages. I. INTRODUCTION A. Background 7. The expected impact of the Investment Program in the four states is sustainable and inclusive tourism development in priority state tourism subcircuits divided into marketable cluster destinations that exhibit enhanced protection and management of key natural and cultural heritage tourism sites, improved market connectivity, enhanced destination and site environment and tourist support infrastructure, and enhanced capacities for sustainable destination and site development with extensive participation by the private sector and local communities. The Investment Program will contribute to the accomplishment in the four states of the following outcomes: (i) improvement of institutional and regulatory frameworks that will ensure coordinated efforts of multiple agencies, (ii) promote environmentally and culturally sustainable and socially inclusive tourism development, and encourage private sector and community participation in tourism; (iii) enhanced protection and management of natural and cultural tourism assets; and (iv) integrated development of high-priority tourism infrastructure in high-potential tourism circuits and their related cluster destinations, resulting in enhanced connectivity and improved environment, utilities, and tourist services. 8. The Investment Program has been designed as a Sector Loan as (i) the destination clusters within the priority State-wide tourism circuit have similar features and needs; (ii) the tourism infrastructure interventions comprise many small-scale, site-specific components; (iii) there is a need for flexibility in the design approach; (iv) the respective State Governments have sound tourism policies and are in the process of updating their institutional arrangements and seeking to strengthen their institutional capacity as part of the implementation of this proposed Project; and workable sector road maps and investment plans outlining the overall sector needs are present. The current project design has been developed around one sample cluster destination subproject in each state which has been selected from the set of cluster destinations
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