Initial Environmental Examination October 2012 MFF 0021-PAK: Power Distribution Enhancement Investment Program – Proposed Tranche 3 Prepared by the Quetta Electric Supply Company for the Asian Development Bank. Power Distribution Enhancement Project (PAK) Tranche 3 INITIAL ENVIRONMENTAL EXAMINATION (Draft) Khuzdar – Quetta Industrial 132KV Double Circuit Transmission line Subproject Submitted to Asian Development Bank October 2012 Submitted By Quetta Electric Supply Company (QESCO) Government of the Islamic Republic of Pakistan Power Distribution Enhancement Multi Tranche Financing Facility PAK Tranche 3 Khuzdar-Quetta Industrial 132KV DC Transmission line Initial Environmental Examination Table of Contents 1. Introduction 1 1.1 Overview 1 1.2 Background 3 1.3 Scope of the IEE Study and Personnel 3 1.4 Policy and Statutory Requirements in Pakistan 5 1.5 Structure of Report 9 2. Description of the Project 11 2.1 Type of Project 11 2.2 Categorization of the Project 11 2.3 Need for the Project 11 2.4 Location and Scale of Project 12 2.5 Decommissioning and Disposal of Material 9 2.6 QESCO Subproject 13 2.7 Proposed Schedule for Implementation 13 3. DESCRIPTION OF THE ENVIRONMENT 14 3.1 Project Area 14 3.2 Physical Resources 14 3.3 Ecological Resources 17 3.4 Economic Development 18 3.5 Social and Cultural Resources 19 4. SCREENING POTENTIAL ENVIRONMENTAL IMPACTS AND MITIGATION MEASURES 22 4.1 Project Location 22 4.2 General Approach to Mitigation 22 4.3 Potential Environmental Impacts during Design & Pre-Construction Stage 24 4.4 Potential Environmental Impacts from Construction 24 4.5 Potential Environmental Impacts during Operation 28 5. INSTITUTIONAL REQUIREMENTS & ENVIRONMENTAL MANAGEMENT PLAN 29 6. PUBLIC CONSULTATION AND INFORMATION DISCLOSURE 44 6.1 Approach to Public Consultation 44 i Power Distribution Enhancement Multi Tranche Financing Facility PAK Tranche 3 Khuzdar-Quetta Industrial 132KV DC Transmission line Initial Environmental Examination 6.2 Public Consultation Process 44 6.3 Results of Public Consultation 45 6.4 Grievance Redressal Mechanism 47 7. CONCLUSIONS 50 7.1 Findings and Recommendations 50 7.2 Summary and Conclusions 51 List of Tables Table 5.1 Environmental Management Plan – Matrix Table 5.2 Monitoring Plan – Matrix Figures and Maps Figure 1.1 Pakistan IEE Process Figure 1.2 Letter from Pakistan Federal EPA on IEE Process Figure 2.1 Jurisdiction of QESCO. Figure 2.1 Layout of QESCO Khuzdar -Quetta subproject DGS Figure 6.1 Grievance Redress Mechansim Appendices Appendix I Institutional Arrangements for Monitoring Plan ii Power Distribution Enhancement Multi Tranche Financing Facility PAK Tranche 3 Khuzdar-Quetta Industrial 132KV DC Transmission line Initial Environmental Examination ABBREVIATIONS ADB Asian Development Bank COI Corridor of Influence CSP Country Strategy Program DC Double Circuit DoF Department of Forests DFO Divisional Forest Officer DGS Distribution DGS Substation DGL Distribution DGS Line DIZ Direct Impact Zone EA Environmental Assessment EARF Environment Assessment Review Framework IEE Environnent Impact Assessment EMP Environmental Management Plan GDP ` Gross Domestic Product GOP Government of Pakistan GIS Gas Insulated Switchgear LARP Land Acquisition and Resettlement Plan QESCO Quetta Electric Supply Company Leq Equivalent sound pressure level MPL maximum permissible level NEQS National Environmental Quality Standards NGO Non Governmental Organization NIPS National Information and Population Service PC Public consultation BEPA Balochistan Environmental Protection Agency PEPAct Pakistan Environment Protection Act 1997 (as regulated and amended) PPMS Project Performance Monitoring System REA Rapid Environmental Assessment SIA Social Impact Assessment SP Subproject SR Sensitive Receiver TOR Terms of Reference TXL Transmission line Units cfs cubic feet per second Rupee, PKR Unit of Pakistan currency. $US approx. Rs. 95 iii Power Distribution Enhancement Multi Tranche Financing Facility - PAK Tranche 3 – Khuzdar-Quetta industrial 132KV DC Transmission line, Initial Environmental Examination 1. INTRODUCTION 1.1 Overview 1. This document is the Initial Environmental Examination for the construction of a new Khuzdar- Quetta Industrial 132KV DC Transmission lines,(DGL) sub-project of Quetta Electric Supply Company QESCO and adjacent to five DGS of QESCO in four districts of Baluchistan Pakistan. This IEE presents the results and conclusions of environmental assessment for the proposed construction of transmission line subproject. This report is submitted by Quetta Electric Supply Company (QESCO). 2. This IEE was prepared under Tranche 3 of the Asian Development Bank (ADB) Power Distribution and Enhancement Multi-tranche Finance Facility (PDEMFF) for Quetta Electric Supply Company (QESCO). The proposed PDEMFF facility has been designed to address both investment and institutional aspects in the electrical power sector. QESCO has been nominated by Ministry of Water and Power (MOWP) to act as the Executing Agency (EA) with each DISCO being the Implementing Agency (IA) for work in its own area. QESCO‘s role in the processing and implementation of the investment program is that of a coordinator of such activities as preparation of PC-1s and PFRs, monitoring implementation activities; that includes submission of environmental assessments for all sub-projects in all tranches of the PDEMFF under ADB operating procedures. An IEE has been carried out to fulfill the requirements of ADB Safeguards Policy Statement 2009. 3. Government of the Islamic Republic of Pakistan (GoP) has requested ADB to provide the PDEMFF to facilitate investments in power distribution and development of networks of eight independent distribution companies (DISCOs) that distribute power to end user consumers. The investment program will cover necessary PDE development activities in secondary transmission/distribution networks of eight DISCOs and the PDEMFF loan is proposed to be approved by ADB. The PDEMFF activities include extension (additional transformers) and augmentation (replacement of transformers with higher capacity) distribution line extensions, new and replacement distribution lines, additional sub-stations, transformer protection and other non- network activities such as automatic meter reading, construction equipment and computerized accounting. New distribution lines to and from various network facilities. 4. The environmental assessment requirements of the GoP for DGL and power transmission projects are different to those of ADB. The environmental regulations of the GoP categorize development projects into two schedules according to their anticipated potential environmental impacts. The proponents of projects that have more adverse environmental impacts (Schedule II) are required to submit an environmental impact assessment (EIA). A review of the need for IEE / EIA submission is therefore required by the relevant environmental protection agency, in this case the Baluchistan Environmental Protection Agency (BEPA). Page 1 of 61 Power Distribution Enhancement Multi Tranche Financing Facility - PAK Tranche 3 – Khuzdar-Quetta industrial 132KV DC Transmission line, Initial Environmental Examination Page 2 of 61 Power Distribution Enhancement Multi Tranche Financing Facility - PAK Tranche 3 – Khuzdar-Quetta industrial 132KV DC Transmission line, Initial Environmental Examination 1.2 Background 5. The standards and conditions of the power transmission system in Pakistan are inadequate to meet the rapidly growing demand for electrical power. New developments in SP will result in additional load on the DGS stations, which are already facing difficulties in meeting the demands of even the existing communities. This situation limits national development and economic growth. To cope with the constraints, the existing power transmission infrastructure has to be improved and upgraded. The overall contribution of power infrastructure also requires institutional arrangements and capacity that support strategic management of the sector, and planning and management of investments. 6. The Tranche 3 subprojects can be broadly separated into two groups. Projects that involve the improvement of facilities and equipment within existing DGS boundaries and do not require any land acquisition belong to group 1. However, the SP involves construction of a new DGL, and Impacts from the SP should not be excessive even though some land needs to be acquired for the Right of Way (RoW) to accommodate the transmission line towers. The location of the DGL is known and enabling observations and consultations for an Environmental Impact Assessment (Cat B). The designs for the Tranche 3 (T3) subprojects and further subprojects in all later tranches will be developed; under the project support component of TA. 7. The GOP has requested the Asian Development Bank (ADB) to provide finance for the SP to cover the construction of a DGL to help fulfill the overall objective of the MFF to encourage economic growth and improve transmission and distribution efficiency, by creating a series of regional improvements. The improved transmission efficiency will contribute to expansion of economic opportunities by improving capacity and efficiency and security of supply in the Baluchistan Province of Pakistan. 1.3 Scope of the IEE Study and Personnel 8. This IEE study has included field reconnaissance survey of some of the proposed Khuzdar- Quetta industrial 132 KV DC transmission lines and connecting it with existing Distribution Grid stations DGSs under