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(Scoping) Report for the Proposed Storage and Logistic Facility for Petroleum Products in Usakos

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(Scoping) Report for the Proposed Storage and Logistic Facility for Petroleum Products in Usakos ENVIRONMENTAL IMPACT ASSESSMENT (SCOPING) REPORT FOR THE PROPOSED STORAGE AND LOGISTIC FACILITY FOR PETROLEUM PRODUCTS IN USAKOS, ERONGO REGION AUGUST 2019 DOCUMENT INFORMATION Title Environmental Impact Assessment (Scoping) Report the establishment of a storage and logistic facility for petroleum products in Usakos. ECC Application Reference number Activity Activity 9: Hazardous substance treatment, handling and storage Activity 10: Construction of public roads & railways Location Usakos Town Lands Erf number 40A/REM (industrial property) about 150 m from the railway and B2 Highway Proponent MDL International (Pty) LTD For Official Correspondence: Mr. Domingos Manuel Chief Executive Officer Office: +264 61 217549 E-mail: [email protected] For Technical Enquiries: Mr. Hans Shingenge General Manager: Commercial Services Office: +264 8111222912 E-mail: [email protected] Issue Date Authors: Grace Shihepo, Environmental Assessment Practitioner (EAP) Reviewer: Jonas Heita, Environmental Assessment Practitioner (EAP) Copyright “This document is the intellectual property of TEC and may only be used for the intended purpose. Unauthorized use, duplication, copying or reproduction without referencing or obtaining written consent from TEC is illegal” i Environmental Scoping Report: MDL Petroleum Products Logistic and Storage Hub@Usakos-Namibia EXECUTIVE SUMMARY MDL International Trade (PTY) Limited is a Namibian based company that specializes in onshore and offshore operations with the focus on petroleum products. The company proposes to establish a petroleum storage and logistic facility in Usakos for storage and distribution thereof. MDL envisioned to undertake the project in two phases; namely Phase 1 and 2. Each phase is characterized by a series of infrastructural development. The proposed petroleum storage and logistic hub triggers activities that are listed under the EMA. MDL proposes to transport and distribute petroleum products using an innovative logistic scheme throughout the supply chain. The proposed process requires the company to incur high initial investment costs; however, the process is preferred due to its safety. This includes the use of ISO certified carrying and above ground storage tanks, improved storage floor and machinery. There will be no transfer of petroleum products at the facility, reducing oil spill incidences. During Phase 1 MDL supply chain involves petroleum transportation from Petroleum Farm in Walvis Bay until the fuel is distributed to the respective clients within the SADC region. Phase 2 petroleum products will be transported in two routes to the petroleum storage and logistic hub in Usakos. The potential environmental impacts associated with the proposed project were determined by identifying the environmental aspects and then undertaking an environmental risk assessment to determine the significant environmental impacts. The impact assessment included all phases of the project, with specific emphasis on construction and operation in mind. The assessment of the biophysical and socio- economic environment revealed that there are no environmental fatal flaws or significant negative impacts associated with the project, and potential impacts can be minimised by implementing mitigation and management measures as prescribed in the project EMP. As a safety approach the floor will be designed and constructed in a manner that will minimise chances of groundwater contamination, in an event of an accidental oil spill. The fuel tankers will always be required to be parked on the special flooring. Regular inspections are recommended on the tankers and flooring to monitoring any signs of fuel leakage or spillage in the area. Monitoring boreholes will need to be established near to the project site to track changes in groundwater quality. If fuel contamination is detected, actions must be taken to identify the source of contamination and mitigation measures implemented. The impact on air quality, water quality and health & safety are considered the most notable potential impacts which may result from the proposed project. However, the impact mitigation measures contained within the EMP will aid in reducing the environmental and social impacts. ii Environmental Scoping Report: MDL Petroleum Products Logistic and Storage Hub@Usakos-Namibia TABLE OF CONTENTS CHAPTER 1 ..................................................................................................................................... 1 1. INTRODUCTION ................................................................................................................... 1 1.1 MDL International Trade ...................................................................................................... 1 1.2 Location ...................................................................................................................................... 1 1.2.1 Project Rationale and Motivation ...................................................................................... 4 1.3 Terms of Reference for Environmental Assessment .................................................. 5 1.3.1 Application for ECC ................................................................................................................. 5 CHAPTER 2 ..................................................................................................................................... 6 2. PROJECT INFORMATION ................................................................................................... 6 2.1 Process Design.......................................................................................................................... 6 2.1.1 The Fuel Chain Process ......................................................................................................... 6 2.1.2 Storage Capacity ...................................................................................................................... 6 2.1.3 Route 1: Via B2 Highway ....................................................................................................... 7 2.1.4 Route 2: Via the Trans-Namib Railway ............................................................................ 7 2.2 Tank Design ............................................................................................................................... 8 2.3 Floor Design .............................................................................................................................. 9 2.4 Project Phases ....................................................................................................................... 11 2.4.1 Phase 1: Erection of a Temporary Logistics Hub ...................................................... 11 2.4.2 Phase 2: Establishment of a Fuel Storage and Logistic Hub .................................. 12 2.4.3 Socio-economic Development ......................................................................................... 12 CHAPTER 3 .................................................................................................................................. 14 3. LEGAL FRAMEWORK ....................................................................................................... 14 3.1 Environmental Protection: Namibian Constitution ................................................. 14 3.2 Environmental Management Act No. 7 of 2007 ......................................................... 14 3.2.1 Listed Activities ..................................................................................................................... 14 3.2.2 Environmental Management Plan (EMP) .................................................................... 16 3.3 Environmental Assessment Policy (1995) .................................................................. 16 3.4 Other Legal Requirements ................................................................................................ 16 3.5 Precautionary and Polluter Pays Principles .............................................................. 19 CHAPTER 4 .................................................................................................................................. 20 4. AFFECTED ENVIRONMENT............................................................................................ 20 4.1 Surrounding Environment ................................................................................................ 20 4.2 Climate ..................................................................................................................................... 20 4.2.1 Vegetation and Biodiversity ............................................................................................. 20 4.3 Socio-economics ................................................................................................................... 21 CHAPTER 6 .................................................................................................................................. 22 5. IMPACT ASSESSMENT METHODOLOGY .................................................................... 22 5.1 Assessment of Impact Significance ................................................................................ 22 5.2 Determination of Significance ......................................................................................... 22 5.3 Environmental Mitigation ................................................................................................. 23 5.4 Cumulative Effects...............................................................................................................
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